Three HRMS features that will improve performance reviews

Although workplace practices are constantly evolving, the dread prospect of the annual performance review persists. Despite progressive efforts to move away from the once-a-year model, both employees and managers often view the end of the performance year as a time of extra work and uncomfortable conversations. Your HRMS may be able to help…

1. Process automation

The first, simplest and possibly most impactful benefit is that an HRMS can notify parties of the action they need to take and when, simplifying the process of setting performance targets, gathering feedback, setting up review meetings, and writing reports. Sometimes the biggest downside is the parties’ procrastination that delays the process; which can be a real problem when performance markings influence pay raises and need to be finalized by a deadline. Not only does this kind of automation help keep the process to the timetable but it also encourages proper preparation and prioritizes follow up.

2. Keeping a record

One of the perennial problems with annual performance reviews is that they often become a discussion of whatever performance examples are freshest; i.e. most recent. With an HRMS performance management module, a record of performance over the whole year is encouraged with the result that, come the review, a full history is available. This encourages a fairer, more complete picture, give a broader perspective on any trends or patterns, and means that all examples are placed in an appropriate context.

Guide: 52 features to look for in your next HRMS

Furthermore, the system should permit both parties – employee and manager – to record performance examples and not only about the employee in question. It’s not uncommon for systems to facilitate collection feedback from peers, other departments, senior managers, even customers and clients; thus giving a much more complete picture of the employee’s performance.

3. Real-time performance management

A significant benefit of HRMS performance management is that the easy recording and exchange of feedback actively discourages the traditional ‘saving’ of that feedback for the single review meeting. Real-time performance data enables managers to give real-time feedback; giving credit for the job well done when it’s done and not at some distant future point. In cases of both positive and negative feedback this means the feedback is timely, i.e. the ‘consequence’ can come immediately after the action, which is particularly important when handling constructive criticism or seeking to manage poor performance.

Finally, looking at the bigger picture, a paperless performance management process has a direct beneficial impact on your running costs, efficiencies, and of course, the environment.