Why do Millennials hate the performance review system?
The short answer is lack of explanation of the company process and no follow through with the elements required to make the process successful!
In order to actually motivate Millennial employees to perform their best, a performance management system should be timely and tied closely to organizational and personal goals. Timeliness to Millennials means daily or weekly meetings with their manager to stay continually on the same page. Those meetings should include career development discussions.
Here are 5 of the biggest mistakes employers make with the Performance Management Process and the Millennial employees!
- Not Giving the Millennial Employees Timely Feedback
If the only time a Millennial hears how s/he is performing is once per year, there are bound to be surprises to the employee. Many managers use the existence of a performance management system as an excuse to delay giving feedback until the formal review period. Once a year or even semi-annual feedback is a Millennial disaster. In other words, there should be no surprises at that time if the Millennial employees are given feedback at appropriate times throughout the year.
- Setting Inappropriate Goals for a Millennial
Millennials grew up with very specific directions from parents, teachers and other adult influencers. Employers need to translate to the Performance Management Process by doing the following:
- Tying employee goals to company goals. Millennial employees goals should be clearly linked to company goals. Random goals may help Millennials achieve their goals but may not bring the business any closer to achieving its organizational goals or mission.
- Set stretch goals. Millennials have a strong desire for achievement and therefore need stretch goals to motivate their performance! If goals need to be updated for business situation changes, then do so and communicate immediately.
- Creating goals that are measurable or objective. Millennials need their goals to be a clear, understanding of what it looks like to achieve a goal and how it will be measured. Goals need to be specific, measureable, achievable, relevant, and time-bound (commonly referred to as “SMART” goals). Goals should not be vague.
- Not Following Through on the Performance Appraisal Schedule Drives Millennials Crazy!
Millennials grew up on a daily schedules and expect that from their employers! Millennials get discouraged if they are never given timely feedback and even worse than that not providing feedback at all! Moreover, managers should understand how important it is to use the system to give appropriate performance ratings. Explain to the Millennial how and what the ratings mean towards compensation, career development and promotions.
- Not Explaining Clear Directions for Performance Improvement
Millennials grew up with specific directions and consequently need that direction in the workplace. The performance management system should provide a clear path for Millennial employees to meet expectations as well as a clearly communicated plan for when they don’t. Managers may also be vague in explaining expectations, leading to miscommunication and other problems later. Give specific recommendations and examples for improvement.
- Millennials Expect Action – Don’t Ignore Problem Employees and Recognize Star Employees!
Bottom line, Millennials expect the company management to address problem employees quickly! Lack of doing so, communicates to the Millennial employee the management does not respect company values. On the other hand, if an employee is performing well above average, s/he should get the deserved recognition. When different managers or departments are inconsistent in addressing performance, Millennial employees may perceive unfairness and/or favoritism. This can negatively impact both productivity and morale!