Six Steps To Performance Reviews
Part Five: Setting Performance Goals

Sample performance reviews should always provide clear instructions for the employee to meet future performance expectations.

In addition to recognizing employees for all their accomplishments, one of the most important benefits of annual performance reviews is establishing mutually agreed upon goals and objectives for the future.

Resist the temptation of "telling" employees what they "will do".

Instead, invite each employee to be a part of the process for determining their own goals – staying within the bounds of what the organization must achieve.

Here are some quick guidelines for setting performance goals:

• Involve the employee by educated him about the needs of the company and the important part his can play
• Determine overall department/team goals and objectives
• Review the employee's current roles and responsibilities for the job
• Align individual goals with team goals
• Determine measurements for success (How will you both know when the goal is achieved?)
• Review progress to goal regularly (weekly, monthly, etc.), revise goals as necessary

Using S.M.A.R.T. Goal Setting

Use the following S.M.A.R.T. principle when writing goals:

• Be Specific
• Make sure goals are Measurable
• Ensure goals are realistic and Attainable
• Make goals Results-oriented
• Make goals Time specific

A couple examples of a SMART goal are:

"To gain 15% increase in total production by end of 3rd quarter."

"To reduce losses by 20% or approximately $500 within the next 45 days".

Next, let’s discuss how we can quickly create a personal development plan.

Remember, employers who invest time, energy and money in their employees, get it all back multi-fold in terms of increased production and improved customer/employee retention.

Key points to consider while creating a useful development plan include:

• Explore strategies to improve overall skill level
• Explore opportunities for career growth
• Explore ways to improve performance in the current position
• Consider ways to enhance or expand roles and responsibilities. Use the development section of our sample performance reviews form for this purpose
• Identify key skills needed to be ready for promotion

Strategies for investing in and supporting employees might include:

• On the job training seminars or classes
• Joining professional organizations
• Encourage networking
• Provide additional mentoring
• Assign books, audio/video tapes, internet research for added learning
• Enroll in University courses or local seminars

Learning options are truly endless. Employees who are self-starters will be the first to take advantage of these opportunities.

Don't forget to take advantage of our free sample performance reviews form.

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