Performance appraisal software is a tool used by small businesses to facilitate the employee evaluation process. Human resources teams can use it to automate the difficult process of measuring employee performance, help develop skills, and identify weaknesses and shortcomings in productivity and work efficiency within the workforce.
This type of software allows human resources teams to collaborate with the workforce and help them develop the necessary skills the organization requires, track their performance, reward employees based on their results, set achievable goals and share the results with stakeholders and other authorized personnel.
One of the main uses of performance appraisal platforms is to schedule, implement, and record performance reviews. Employees can use the platform to evaluate their own performance, review past evaluations, compare achievements against set goals and create review schedules for themselves.
Management teams can use the software to identify top talent within the organization, find ideal candidates for internal promotion, set performance review reminders, manage performance reports and disseminate the collected data wherever necessary.
Performance appraisal software is an invaluable tool for small businesses aiming to improve the efficiency and productivity of their workforce. Many performance appraisal solutions in the market come with a few key features, such as performance tracking and ratings, electronic record keeping, information sharing, stack ranking, goal setting and tracking, integrated internal communication and real-time reporting.
Most performance appraisal solutions vary in scope, features, and capabilities, but they are all designed to facilitate the same process—evaluating the performance and the productivity of a workforce.
The behavioral checklist feature benefits small businesses and startups as it is essentially a list of criteria that employees can utilize in their workflow to become more productive and reliable members of an organization. The list of behaviors will depend on the employee’s responsibilities and the type of job they’re hired to do.
A behavioral checklist is a method ideal for most SMBs with a nominal number of employees as it enables managers to run their performance review process according to the performance of an individual without making comparisons with other workers in similar positions.
Another type of performance appraisal software is the psychological appraisal system. This approach focuses on the psychological traits, emotional stability, analytical skills, and intellect of the employee. This is good for small businesses and organizations that rely on building teams for specific projects as it allows managers to effectively place the right personnel with the right team.
Management by objective, MBO for short, is also a type of performance appraisal software. This modern approach to the performance rating process involves the managing team and the employees agreeing on realistic objectives to be achieved within a deadline. This method is designed to make it easier for managers and HR teams to define success and failure when dealing with team performance and productivity.
The 360-degree appraisal method collects valuable feedback from everyone within an organization, including managers, supervisors, stakeholders, and team members. It is an ideal approach for promoting employee engagement within the company.
The key aspect of the 360-degree appraisal system is the opportunity for reviewed personnel to provide their own feedback for management consideration. This means managers can actually gain valuable insights regarding their employees and help them to develop strategies on how to get the most out of every member of the team.
A good example of performance appraisal software for small businesses is BambooHR. The platform is designed to serve the needs of HR teams when it comes to evaluating employee performance. It collects and curates all the data you gather throughout the lifecycle of the employee, from the hiring process and beyond.
BambooHR comes with mobile-friendly applicant tracking, employee onboarding, self-service time tracking, employee engagement tools, data analytics and much more. Small businesses can use these features to enhance their performance review process from start to finish. The mobile-ready applicant tracking tool will allow HR to find, evaluate, and hire the right personnel for the right position in the quickest and easiest way possible.
The benefits of using a performance appraisal solution can be integral to a company’s growth. While many established companies have embraced the importance of existing human resources software, a growing number of small businesses and startups have begun to appreciate its importance in finding the right people for the job, improving team performance and elevating an employee’s value within the organization.
A good performance appraisal software solution should have the following features:
Companies not using a software solution to manage employee reviews and appraisals are most likely dependent on outdated systems like Microsoft Excel or the paper-based approach. While these traditional methods do work, they’re not entirely effective when it comes to achieving company-wide visibility of employee performance and growth.
Modern employee management solutions provide managers and employees access to relevant data at any time and helps keep HR professionals, managers and employees up-to-date on personnel progress, team goals, and employee accomplishments. Document entries that need updating can easily be made from anywhere using any authorized device.
Employee management systems also serve as a central hub for vital personnel information. With all pertinent data stored in one secure location, Human resources will gain complete visibility and a much more efficient and accurate employee evaluation process.
Using performance appraisal software, HR teams can communicate with employees instantly and provide real-time feedback, helping to improve performance and productivity. It allows users to give comments and feedback in real-time and provide actual input. This makes performance reviews and work assessments way easier and more efficient for your HR department.
Although most organizations still implement annual employee performance reviews, many small businesses rely on software packages for personnel performance evaluation and management on a regular basis, giving employees more visibility and transparency over their performance.
Performance appraisal software helps facilitate employee productivity and performance tracking, regular feedback opportunities and full visibility of the review process. It can help identify top performers, provide insightful feedback to all employees and help your employee base grow and develop the necessary skills to perform at their best for your business.