Use tips from the Entrepreneur.com article “5 Steps to Better Performance Reviews” to help your reviews make a lasting impact that will benefit all parties in the coming year. As we approach the end of the year, many businesses will be holding evaluations of their employees. And while there’s plenty else on owner’s and manager’s minds, the importance of these reviews should not be overlooked. Put these tips to work to make the most of your evaluations:

1. Be specific and transparent. You need to have a formal review structure divided into specific goals and competencies. Employees should already be aware of how they will be evaluated and what’s most important. Use specific examples of good performance or areas for improvement.
2. Check in frequently. If you only conduct formal reviews once or twice a year, at least do a quarterly check-in to make sure everyone knows the expectations and there will be no surprises when the formal review comes around.
3. Gather feedback from all parties. Don’t just review employees from your own point of view – seek the opinions of other employees and don’t forget to have workers perform a self-evaluation. Have them reflect on their achievements as well as areas for improvement.
4. Know what motivates your employees. Different people are inspired by different styles of communication. To be most effective, you need to know identify what works for each employee. Some might respond well to quantitative data on their performance and where it needs to be, while others might need more nurturing and encouragement.
5. Make use of technology. There are several performance evaluation software options available for businesses of all sizes. These programs can help you keep your review system consistent, transparent and documented.

Click here to read the article from Entrepreneur.com.