I don’t feel that managing performance can be a one-off annual event when a manager fills two-three days of their diary by cramming in all the employees for their annual performance review; I don’t feel that works, instead I think that managing performance should be a continuous cycle.

By creating a continuous performance management process you are allowing performance reviews to take place throughout the year instead of a traditional annual appraisal; through regular performance management the manager and employee has the opportunity to set short term relevant objectives, realtime feedback and have regular one-to-ones which can be used as check-ins with each other.

There are many inspirational leaders that have long been advocating continuous performance management and pushing for performance management to be part of a managers’ everyday role, not just a once a year appraisal which isn’t seen to be effective use of the managers or the employees time.

According to CEB (Corporate Executive Board) 95% of managers are not satisfied with the current annual performance process their organisation offers and 75% of employees at these organisations feel an annual performance review is unfair.

Research has found that over half the companies surveyed in the UK where goals are reviewed on a monthly basis and continuous performance management is in place can be found in the top quartile in terms of financial performance; while only 24% of companies where performance management is an annual ‘ thing to do’ can be found in the same bracket.

A study by Gallup has found that frequent feedback for employees through a continuous performance management process can boost employee and business performance by up to 39% and employees that had managers who held regular one-to-ones were three times more likely to be engaged with the manager, the business and the brand.

How is performance management of employees managed in your business? Do you feel it could be done better?