January 19, 2016
January 19, 2016
Employee reviews are one of the most neglected tools a retailer can use to increase their retail sales.
By using regular employee reviews, you can always be cutting your lower 20% of associates to hire better associates and grow the culture of your business.
That means you never stop hiring, sorry to say.
But are employee reviews really that important? Aren't they just a way of saying, You're about to be fired?
There was a famous experiment at a Western Electric plant in Cicero, IL during the twenties. Through a set of experiments, researchers wanted to find out the best illumination for worker productivity. They first checked the productivity of the regular factory to establish a baseline. Next they told the crew they were going to increase some of the lights; worker productivity picked up. They added more lights and productivity went up. In the final stage the researchers forgot to turn on the extra lights, yet worker productivity increased. These experiments led to what is now called, “The Hawthorne Effect,” which means that people change their performance in response to any increase in attention paid to them.
You want this to be seen as much a review of your management skills as their employee skills so even if you don't feel comfortable the first time, it gets easier as you see what you could do better for your employees.
You should complete one 30 days after you’ve hired a new employee, 90 days after that, and then once every six months. You can just set up a reminder in Outlook or in your smartphone calendar.
Your employee reviews make sure you notice the things that make an employee a great employee. It allows you to give feedback on your concerns, hear theirs and sometimes yes, to reward them with a raise or deliver a reprimand.
Think of an employee review as just a chance to get together around a set of questions. You don’t want to set up the expectation that they will get a raise each time or there’s something bad about to happen – a review is just part of your process to better your retail sales.