Effective people management is a key driver of organizational success. We all remember the great managers we’ve had, those who provide clear direction and support and make work more enjoyable.
On the flip side, it’s probably safe to say most people can name a bad manager or two whose impact on team performance was unfortunately negative.
So, while managers play a pivotal role in conducting performance reviews for their teams, evaluating their own effectiveness is equally essential.
Managerial performance reviews reinforce accountability and help align leadership behaviors with organizational goals. So, without further ado, use this guide to conduct an effective manager performance review.
Why Conduct A Manager Performance Review?
When it comes to those in a managerial role, performance reviews are important for:
Improving leadership quality
Reviews allow organizations to evaluate a manager’s leadership skills, decision-making abilities, and effectiveness in fostering a sustainable working environment.
Enhancing team performance
Since managers directly impact team performance, assessing their contributions ensures that they are providing the guidance, support, and resources their team needs to succeed.
Aligning with organizational goals
Reviewing managers ensures they’re aligned with the company’s goals and strategic objectives, which is crucial for cohesive organizational progress and success.
Increasing accountability
Performance reviews promote accountability for managers, encouraging them to meet established standards, set clear goals, and continually improve.
Identifying development needs
Reviews can highlight skills gaps and growth opportunities, informing future training and development plans to better equip managers in their roles.
Supporting succession planning
Manager performance data can be useful in identifying potential candidates for higher-level roles, ensuring a pipeline of prepared leaders.
How To Evaluate A Manager’s Performance: 7-Step Process
A manager’s performance review will closely mirror that of an individual contributor with the likely addition of 360-degree feedback.
1. Set clear objectives
Begin by defining the purpose of the review. Establish what you want to assess and the areas to focus on, such as team performance or team member satisfaction or development.
2. Collect 360-degree feedback
Gather feedback from various sources, including the manager’s team members, peers, any senior leaders who interact with them regularly, and even clients. As this can be somewhat time-consuming, 360-degree feedback can be useful here.
3. Review performance data and goals
Look at measurable outcomes related to the manager’s responsibilities, such as team performance metrics, project outcomes, and how well they met established objectives.
This can be combined with qualitative data that assesses their leadership qualities and ability to foster a positive environment.
4. Prepare a structured review format
Create a structured format for the review session with a self-assessment element.
Include discussion points such as strengths, areas for improvement, progress on goals, performance gaps, and specific examples.
Performance management software is particularly useful for providing customizable review templates and capturing and sharing feedback.
5. Hold a two-way review meeting
Schedule a private, focused meeting with the manager. Start by discussing their self-assessment to understand their perspective.
Then, share your observations, feedback, and insights from other team members. Encourage open dialogue to address any concerns and clarify points.
6. Identify development opportunities
Based on the discussion, work with the manager to outline specific areas for improvement and growth. This could include enhancing communication skills, improving conflict resolution, or taking a coaching course.
7. Set goals
Collaboratively set Specific, Measurable, Achievable, Relevant, and Time-bound (SMART) goals to provide clear direction for future performance. These goals should align with both the manager's development needs and organizational objectives.
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