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Just like a doctor conducting a yearly physical, an annual review affords you the opportunity to identify what’s going well with an employee’s performance and to diagnose problems before they worsen.


Cover of Performance Reviews (HBR 20-Minute Manager Series)


For the recipient of the review, it answers two critical questions: What is expected of me? and How well am I meeting those expectations? Both the recipient and the reviewer then have the chance to discuss opportunities for growth, strategize how to correct course if problems exist, and collaborate on new yearly targets so the employee can move forward in his job and career.