Using Subjective Criteria and Opinions in Measuring Performance

This continues our series analyzing how to measure business and employee performance

“Not everything that counts can be counted. And not everything that can be counted counts.” Albert Einstein

Previous posts discussed how to measure performance metrics, scorecards, benchmarks, and indicators. We shared the benefits and how to create them. This post will share additional opinions about adding subjective opinions to your performance evaluation process.

The Myth of Performance Metrics

Dick Grote outlines The Myth of Performance Metrics in The Harvard Business Review Blog. He calls the concept of measurable, objective assessments that require quantifiable metrics a myth. He defines a performance appraisal as "a formal record of a manager’s opinion of the quality of an employee’s work.”

He presents several points:

• “Your opinions, feelings, and judgments are what the appraisal process demands”
• “Managers must make judgments even when—or particularly when—all of the facts are not available”
• “Insisting that there must be quantifiable metrics can lead us astray in accurately evaluating performance”
• “Despite the myth that objectivity requires metrics, people generally want to know their supervisor’s opinion of their performance. They want honest answers to their most important questions”
• “Don’t get hung up trying to find quantitative metrics to support every judgment in a performance appraisal”

Neil Kokemuller added in What Is a Subjective Performance Evaluation? “A subjective performance evaluation typically relates to intangible employee qualities and is based on subjective feedback from the manager as opposed to objective, measurable feedback. Use of subjective evaluation criteria can offer employees a better overall picture of their performance, but overuse of subjective criteria does pose some risks.”

Berating Employees About Negative Aspects of Performance

Arnold Anderson published Myths About Performance Evaluation for The Chronicle of Houston. He said “employees sometimes see the annual performance evaluation as a way for management to berate them about the negative aspects of their performance.”

He lists the following myths:

• “Appraisals are not important”—they are
• “Performance appraisals are manager-employee only”—others help
• “Your appraisal determines your raise”—predetermined budgets do
• “Employee input is not considered”—employees’ views matter

Tuesday we will discuss using intrinsic and extrinsic motivation with your employees