The majority of businesses have already abandoned annual performance management evaluations, and the minority that hasn’t will do so soon. When compared to the millions of dollars and countless hours spent on annual performance reviews, a performance management approach that uses real-time feedback, more frequent check-ins, and the integration of self-evaluations is effective for the organization and the growth of the employees. It is also much more economical and efficient.

Technology for performance management can give your employees and HR department what they want and need: efficiency, automation, and engagement. There are several ways to incorporate technology into the performance review process:

• Use online tools to facilitate the review process: Many organizations use online tools such as HRIS (Human Resource Information Systems) or performance management software to streamline the performance review process. With these tools, employees and managers can keep track of goals, give feedback, and record progress all year long. Technology can be used to automate and streamline the performance review process, making it faster and more efficient. Performance management software can be used, for example, to make and send out review forms, set up review meetings, and keep track of feedback. There are many software tools available that allow you to manage the performance review process digitally. This can include setting goals, tracking progress, and providing feedback.

• Use technology to facilitate continuous feedback: Instead of doing performance reviews once a year, use technology to keep managers and employees in constant contact. This can help improve communication and keep employees engaged throughout the year.

• Use data and analytics: Some organizations use data and analytics to help them decide how to review employees’ performance. For example, to judge an employee’s performance, they might use software tools to track how productive they are or get feedback from customers. Performance review software can often give a more complete picture of an employee’s performance by gathering data from different sources, such as project management tools and customer feedback platforms. 

• Use digital forms, templates, and collaborative tools:  Instead of using paper-based forms, consider using digital forms and templates for performance reviews. This can make it easier to track and store review data. Instead of waiting until the end of the year for a performance review, you can use collaborative tools like Google Docs or Trello to give feedback and set goals all year long.

• Consider using a 360-degree review process: A 360-degree review involves getting feedback on an employee’s performance from a variety of sources, including coworkers, supervisors, and customers. This can be done using online tools or through in-person meetings.

• Use technology to facilitate communication: It’s important to let employees know how technology will be used in performance reviews and to make sure they know how to use the tools that will be used. Training and support can help make sure that the change to a more tech-driven review process goes smoothly and works well. During the review process, managers and employees can talk to each other more easily with the help of technology. This could mean using video conferencing tools for virtual review meetings or collaboration software to share feedback and goals.

• Maintain the human element: While technology can be useful for streamlining the performance review process, it’s important to remember that performance reviews are a human process. Make sure to use technology in a way that complements and enhances the personal interaction between managers and employees, rather than replacing it.