Chapter 5

What To Do If You Have To Use a Rating

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We’ve spo­ken to a num­ber of HR pro­fes­sion­als who recog­nise that rat­ings are not par­tic­u­lar­ly effec­tive and want to replace them but their hands are tied, for exam­ple because their CEO or CFO is wed­ded to them, or because of an edict from head office that rat­ings must be used. If this is the case, you can still improve the effec­tive­ness of your per­for­mance man­age­ment and improve its objec­tiv­i­ty by:

  • Using Con­tin­u­ous Per­for­mance Man­age­ment to ensure that rat­ings are based on a num­ber of per­for­mance dis­cus­sions and pieces of feed­back rather than on a sin­gle annu­al appraisal
  • Decou­ple the rat­ing process from your reg­u­lar, devel­op­men­tal per­for­mance discussions
  • Ask man­agers to answer a few pre­lim­i­nary ques­tions, such as those in my exam­ple above, to frame their think­ing before they give their rating
  • Pro­vide guid­ance or train­ing to man­agers on the dif­fer­ent types of rat­ing bias and how to recog­nise them

Wrap­ping up

I hope that this guide has giv­en you some insight and ideas on how per­for­mance relat­ed pay can be man­aged effec­tive­ly with a con­tin­u­ous per­for­mance man­age­ment approach. The approach that you choose will need to suit the cul­ture and goals of your par­tic­u­lar organ­i­sa­tion. If you are still unsure of how to pro­ceed, my advice is to go back the first prin­ci­ples and think about what you real­ly want to achieve from per­for­mance relat­ed pay and what is the sim­plest and eas­i­est way of achiev­ing it.

Good luck, and do let us know how you get on by email­ing us your com­ments and expe­ri­ences at hello@​clearreview.​com

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