Employee Performance Review Tools

Employee performance review tools all present some kind of scale, and scales bring two predictable distortions.

The first is central tendency. Given five options, managers pick the middle one, because a high rating invites questions about pay and a low one invites a difficult conversation. Everybody meets expectations and the exercise says nothing.

The second is recency. A twelve month review reflects the last two months, because that is what the manager can recall.

Neither is fixed by a better form. Central tendency responds to calibration, where managers discuss ratings together before they are finalised. Recency responds to notes taken through the year, which is what a check-in log is for.

A four point scale with no middle also helps, by forcing a decision one way or the other.

The Fair Work Commission covers performance processes. This is general information rather than legal advice, and obligations vary by state and territory.

See Sentrient’s performance review software and meetings management software.