Survey: Performance Appraisals Get Mixed Reviews

The report card on performance management is out — and it isn't good.

Just 2 percent of human resources professionals reported in a recent Society for Human Resource Management survey that their organizations deserve an A grade in performance management, while 53 percent reported their organizations deserved between a C+ and a B. Twenty-one percent gave their organizations a C.

The survey included nearly 400 randomly selected HR professionals in the United States who are SHRM members.

When asked about the challenges keeping their firms from getting a high performance management grade, HR professionals cited lack of managerial time, insufficient training, higher business priorities, inconsistent evaluation standards and lack of training.

Roughly 72 percent of survey respondents, meanwhile, said their organizations conduct performance reviews annually, while 16 percent said they conduct them semi-annually — twice a year — and 3 percent said they do not conduct performance reviews at all.

More and more companies, including technology firms Adobe Systems Inc. and Microsoft Corp., have opted recently to ditch the traditional performance review process for more frequent, ongoing performance conversations. Read Talent Management's cover story case study of Adobe's performance "Check In" process here.