Growing numbers of employees can expect to have their work assessed more frequently than in the past. While annual appraisals are still the norm, according to research issued by IRS Employment Review, published by LexisNexis Butterworths, over a third of the 145 employers surveyed now carry out six-monthly reviews.
More than half the organisations surveyed (54.8%) conduct appraisals annually, just over a third (34.2%) run them at six-monthly intervals, and 7.5% quarterly. Compared with IRS Employment Review’s 2003 survey, more frequent appraisals are on the rise. In 2003, seven in 10 respondents carried out annual reviews, less than a fifth (18.9%) ran them at six-monthly intervals and just 4.2% quarterly. A handful of employers use other types of schedules for appraisals.
Where an employeeís performance is of concern, just under half the employers surveyed (45.9%) arrange more frequent review sessions. These are also more common in the first year or two after an employee joins the organisation and for newly promoted employees.
The survey forms the second half of a two-part IRS Employment Review report on appraisals. This takes a detailed look at the processes and evaluation methods used by UK organisations and explore some of the issues that can arise.
Other key findings include:
Around half the respondents use competencies to measure performance, and nine in 10 (89%) measure accomplishments against objectives or goals. Less than half use numerical scores to rate individual staff.
Although the link between appraisals and pay is rarely a major reason for setting up an appraisal scheme, half the organisations surveyed use the results to help decide pay rises and almost a third (29.4%) to determine bonuses.
Almost all employers offer training for appraisers, usually on a one-off basis, but managers in 13% of organisations receive regular training.
Formal training is provided in six in 10 organisations (60.9%) and three-quarters (76.0%) say their appraisers are encouraged to use coaching techniques during the appraisal interview.
Self-appraisal forms part of the process at nine out of 10 organisations (91.1%).
Most organisations use appraisal results to assist with training and development plans; six in 10 (61.6%) use the information to help with succession planning and a similar number to plan promotions.
Most organisations evaluate their appraisal scheme and plan to make some changes in the near future.
Although four in 10 (40.4%) employers said there had been no problems linked to their appraisal system, less than a third (30.1%) said there had been, and just over a quarter (27.4%) did not know.
Disagreement between a manager and appraisee about negative feedback or the way a review has been handled was by far the most common problem.
IRS Employment Review managing editor, Mark Crail said:
Appraisals are central to company productivity. When managers have a good system to work with and implement it effectively, they can help improve both individual and organisational performance. But all too often things go wrong ñ so it is essential to keep any appraisal scheme under review. Our research shows that HR departments are well aware of this, with almost half those we spoke to planning to introduce changes in the near future.î
Under the microscope - staff appraisal frequency on the increase
Growing numbers of employees can expect to have their work assessed more frequently than in the past
