“Annual performance reviews are costly and exhausting, swallowing on average 7.5hrs of manager’s time for each direct report. Only 6% of HR leaders think it’s worth the time it takes.”
Quotes from John Doerr’s Measure What Matters -book. Based on average monthly salary -statistics (found from Duunitori (https://duunitori.fi/palkat/esimies)) a supervisor earns, say 3 323e/month. In the months of January to February, when most performance appraisals are held (at least for me they were), the cost of meetings for a team of 10 employees is 2 weeks of work or 1 661e. Go ahead and do the math. What does that money buy you?
Now, who is surprised of the above facts?
Not me, nor the 60 employees we interviewed for our Market Research. There’s a lot of frustration out there and it is because:
- development discussions happened only once or twice a year
- they weren’t personalized
- the targets were set to the year-end
- they weren’t visited during the year.
- and for many, the “copy last year’s targets and paste them into this year’s form” was way too familiar — count me in on that one!
Why hold on to a process that is costly and inefficient when there are so many other, more efficient ways to coach and develop your employees? Use the OKR -framework to make the objectives and targets more concrete, more doable and understandable and the CFR -framework to have continuous conversations with your employees, make feedback gathering and giving a standard process and recognise based on data and create a new, modern and flexible one.
If you are nodding and feel that YES, let’s change your process. With Talbit, we can offer you an easy to implement, easy to use, efficient tool for developing your employees and their skills bit by bit in a systematic and transparent way.
Founder & CEO of Talbit