How to Measure Performance of Employees

Tools to Evaluate Employee Accomplishments and Write Annual Reviews

Aug 20, 2010
Jule Rizzardo

Measuring Employee Performance - mensatic

Writing an effective annual performance review is one of the most important duties of a supervisor. Document employee performance with appropriate metrics.

Employee performance appraisals start with effective documentation throughout the year. Make sure to let the employee know what performance will be based on. Include categories of work tasks and percentages of time spent. When possible, take this information from the job duty statement, to ensure transparency and consistency among staff.

Metrics for Evaluating Employee Performance

Evaluating employee performance begins with developing and communicating an accurate job duty statement. Supervisors need to update job duty statements annually to ensure employees are working within defined roles and to ensure performance is measured fairly. When writing the annual performance review, the supervisor should use the job duty categories and directly relate the employee's contribution in those areas.

Develop metrics for the various categories in the job duty statement. Do some research to find the latest tools and methods to track employee performance, and make sure to communicate with employees about how the information will be used. Involve employees in developing performance metrics, including product development, team work products, and individual employee task tracking.

Role of Peer and Customer Feedback in Measuring Employee Performance

Some organizations rely on more than a supervisor's comments to evaluate employee performance. Peer feedback can be useful in evaluating an employee's contribution to team products, and assess attitude and teamwork skills.

Survey customers about products, services and projects the employee worked on, as well as any direct feedback from customers on specific employees. Use an annual customer survey one or two months in advance of the annual performance review. Include questions on how well staff handle questions and allow customers to rate staff. Not only will it improve the organization's responsiveness to providing relevant products and services, it will provide instant feedback into the employee performance review.

Consistency in Evaluating Employee Performance

Maintain consistency in measuring employee performance across various divisions and units within an organization. Provide a uniform structure for performance reviews by:

using standard metrics, surveys and reports
assessing all employees at the same time of year
offering the same level of training for each employee to improve performance

Effectively documenting employee performance throughout the year, developing accurate job duty statements, and providing appropriate training to help employees improve is critical to your role as a supervisor. Consider involving peers and customers in the feedback process.

Update job duty statements and hold performance reviews annually. Keep updated on the newest tools to evaluate and track employee performance and standardize the organization's review process. While time consuming, well-planned appraisals can lead to increased employee job satisfaction and performance.