Leadership Tip #4: Do Your Performance Evaluations Objectivily

Today's blog post is on employee evaluations. We are going to talk about a specific grading system. The system that would be best for you to use is the graduated scale. It is simple to set up, easy to flesh out, and almost automatic to use. It's possibly the best form of performance evaluation there is.

Imagine a 0 to 5 scale. Zero means absolutely unsatisfactory and five means absolute perfection. Both ends of the scale are very difficult to achieve. You'll be using this scale for employee evaluation against a set of standards you wish him or her to meet. Assume your employee is required to take an annual test. Assume he or she scored 83% on the test. Under this grading system their performance evaluation would be 83% of 5.0 or 4.15.

If you assign a project you will wish to assign grades to the project the same way. The first step is to assign the task so that all expectations are clearly met. Once you are sure of the task, you will want to ensure that it is prioritized properly. Finally, counsel your subordinate on exactly what constitutes a 5.0 under this grading system.

The five point scale is fairly common. The key is clearly defining each area as shown below. The level of detail in the rating description is totally at your option. Even so, I've always found that the more detailed the better.

0-1: Poor: Generally unsatisfactory. Document all instances of poor performance.
1-2: Below Average: Most people could have done a better job.
2-3: Average: This is the middle of the pack. The results have achieved the standard but are nothing above the norm.
3-4: Good to Excellent: This is where most employees should fall. They are above average and can be counted on to do their best. Here is where you should weight your performance evaluation standards.
4-5: Excellent to Outstanding. These grades should reflect that the employee is an excellent overall worker or the task was taken to the next level.

By setting up this grading system and using it daily the scheduled performance evaluation becomes a snap. All you really have to do is average them out. Look at the average and compare it to the standard you've set for each set of grades. Do a gut check. Let's say that your objective rating of a person is 4.0. If you get that little voice in the back of your head who says "nope, this person is better than that"; It's time to double check your grading standards and modify them so this person "feels" like a 4.0 as well as adds up to one.

The biggest advantage of using objective employee evaluations is that every person is graded firmly but fairly against a measurable scale. Using this approach will be especially valuable if an employee is less than a stellar performer and termination is a possibility. This grading system can forestall a lawsuit in some states.

That's all for now. Thanks for reading. If you didn't already subscribe be sure to check back often.

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