Performance Reviews
Key Performance Objectives or Indicators
A good appraisal system should ensure that you are aware of what is required of you from the outset. This is usually communicated through a set of objectives or KPIs (key performance indicators).
Setting objectives should be done in conjunction with your manager. Individual objectives should relate to the strategic objectives that the firm has set.
Performance Appraisals
Performance appraisals are necessary if employees and employers wish to have open dialogue on the efficiency of the workplace.
An organised system of appraisals, which usually comprises an annual or twice-yearly review of your performance, holds many advantages for both parties.
It gives you an opportunity to:
- know what is expected of you
- comment on your own performance
- voice work preferences
- gain performance feedback and recognition
It allows your manager to:
- systemise observation and performance analyses of staff
- facilitate corrective action for inadequate performance
- provide an opportunity to improve performance
The SMART technique is a good guideline to use to set objectives. It prescribes KPIs which are:
- Specific to the individual job
- Measurable, quantifiable and able to be observed and documented
- Agreed. Managing performance needs to be an open, two-way communication process.
- Realistic. Expectations that are too high become easy to ignore, while low expectations do not stretch you enough. There needs to be a balance, with some allowance made for situations outside of your control.
- Timely and set within a realistic time frame.
KPIs specific to the legal profession could include:
- targets around billing and billable hours
- attraction of new clients
- efficiency targets, such as time to complete files
- debtor management, e.g. timely account settlements
- professional development, i.e. commitment to CPD requirements and education specific to your practice area
Competencies
Using a competency-based assessment, as well as KPIs, sends a clear message that the approach to achieving an objective is just as important as the achievement itself.
For example you may be:
- very good at attracting new clients and achieving good results, but your customer service skills need improving and you have difficulty retaining clients
- achieving your targets for billable hours, but the advice you provide is inadequate and your manager sees room for improvement in your technical/professional expertise
The written documentation behind a performance appraisal is important, however it is the discussion that happens between you and your manager that is the most valuable part of the process. Best practice shows that a constructive and well-planned performance review discussion is motivating and sets the scene for a good working relationship and performance.
Your Approach to Performance Appraisals
Both managers and employees often approach the annual appraisal with trepidation. However, reviewing your performance and gaining constructive suggestions for improvement can motivate you towards excellence.
A considered approach is critical to a good performance appraisal discussion and may subsequently maximise your chance of a raise or promotion:
- Planning is the key to holding a constructive meeting and needs to be done by you and your manager
- Do not be passive about your performance appraisal. Remember the aim of a performance appraisal is to assist you to continue to improve the way you do your job and get a raise or promotion
- With or without prompting from your manager, review your own performance and set a time for discussion. Be objective in your review
- Consider the areas you perform well in. Note down all major achievements for the year and assess whether they meet your KPIs
- Conversely, look at the areas where you think you could improve. Disclosing these demonstrates your insight and commitment to improving performance
- List additional goals and objectives which could be added to your KPIs, with suggestions for how they might add value to the firm
- Are you able to foresee any work processes that could be improved and, subsequently, add value to the firm? Any suggestions, even if they are not implemented, demonstrate that you are motivated and genuinely interested in improving firm performance
- Try not to take criticism to heart. Sometimes it can be difficult to be objective, but look at suggestions for improvement as areas that you need to work on
- In some cases salary is negotiated during the yearly performance review if you have been working for the firm for one calendar year. If you are aware that this discussion will be taking place, be realistic about your expectations for a salary increase. It is quite common for firms, especially large firms, to have a set procedure for increasing salary. Make sure you are aware of your firm's policy on salary increases
- Be aware of market salaries so you have quantifiable material to make comparisons. Salary surveys are a good tool for negotiation if you are receiving a lower salary than market rates