The business world is slowly beginning to call time on the archaic, monolithic and somewhat ineffective annual performance appraisals. Research shows that staff dread this format, where they are dragged into a room with a manager once a year and subjected to the contents of secret dodgy dossier that the manager has been keeping about them for the past year. It sounds an uncomfortable process and understandably staff find it nerve-racking; staff much prefer to receive instantaneous performance feed-back. Employers should actually prefer giving more regular feed-back – despite the administrative burden – because research from Bersin by Deloitte reveals that employers who have quarterly reviews enjoy a 31% greater return on investment from their process than employers doing annual reviews. Monthly appraisals yield even greater returns.
Given the proven superiority of monthly/quarterly appraisals over annual appraisals, it’s no surprise to see many organizations moving to that format. General Electric now uses its PD@GE real-time performance feedback tool to give staff instant feedback on performance 24 hours a day. GE, Adobe, Netflix, Microsoft, Deloitte, Accenture and Amazon have all dropped annual feed-back in favour of some form of real-time feedback.
Of course, if you are going to make the move to real-time performance feedback you’ll need a software application to help you manage the entire process efficiently and effectively and so here are the top 4 free or affordable real-time employee performance feedback software applications.
1.Impraise. While being a new kid on the block, (most are in this area), this tool is already trusted and used by over 100 companies including: Quora, Atlassian and Priceline Group. This is a classic performance management tool which allows performance reviews, manager reviews, 360 degree feedback and of course real-time performance feedback. The system works by allowing employees to request feedback whenever they want; perhaps after an important project. The system suggests relevant skills or questions to help provide context and receive more targeted feed-back.
2.Achievers. This is another real-time employee performance feed-back tool designed to replace or at least supplement annual performance reviews. This system terms itself a behaviour-driving engine. This system allows managers and staff to provide instant and ongoing feedback in a range of critical business performance areas such as: health and wellness, recruiting referrals, innovation, living company values, sales, safety and loyalty/years of service. You can also use this system to recognize high achievement with points, badges and leaderboards which eventually translate to rewards. It’s a dynamic ongoing performance management system.
3. If you are reading these reviews and thinking that your firm is not quite large enough to justify using software, you might want to make use of my simple, more cost effective word and excel based appraisal systems, which I have listed below.
- StaffTRAK Performance – This is 5 piece performance management kit for small business which contains a word and excel based quarterly appraisal form, plus a bonus scheme, appraisal guide and probationary period management form
- StaffTRAK Performance Appraisal is a word Based, Quarterly Appraisal Form. It helps you conduct a high speed, 30 minute, performance check-in, once a quarter.
4.Peoplegoal. This is real-time feed-back system. It incorporates a quarterly goal/OKR feed-back system, 360 degree feedback system, and an annual review system which is nothing more than documentation of what’s already been achieved and discussed, and so it’s not returning to the dark days of annual appraisals. It has an excellent social recognition tool where employees can outline what they are working on and employees can comment and up-vote contributions and recognition about their colleagues on the time-line. Prices start at $7 per user per month.
5.Workday. This is a full service ERP HR system which contains a collaborative anytime feedback tool which allows staff and managers to provide feedback on any employee at any time. The information can be inputted into informal and formal performance reviews, career development plans but it can also be posted to a worker’s talent profile.
- 4 Free or Affordable Employee Performance Appraisal Software Packages for Small Business
- One Page Performance Appraisal Form. Price: £3.99 (Money back guarantee)