How to eliminate blind spots in performance review by SNA

(Source: business2community.com)

1. Introduction

Most of HRs in enterprise might see the performance review as a headache because it is hard to reach the reality due to various barriers such as managers’ personal preferences and coxcombical self evaluations. A sad truth told us that $35 millions has been spent per year in the United States for this particular routine work, yet it came out 90% of those performance reviews having an inaccurate information¹. Hence, for enhancing the accuracy, numerous HRs use 360 Degree Feedback, which will also seek advices from their peers and subordinates. However, it is still vulnerable as well as lacking constructive actions accordingly because it is rare to see a whole picture from 360 Degree Feedback due to no inter-person comparisons, and these blind spots could mislead you to flatterers or free riders, then it has higher possibility to become a waste if you keep investing more resources on these “high-performing people.”

"The imperial rater of nine grades seldom rates according to their merits but always according to his likes and dislikes." Said Sin Yu from Wei Dynasty, China in 3^rd Century², and it explains that why people would love to butter their boss up or put more effort on upward management.

2. How to approach  

A periodic survey would be an essential in order to portray the latest social networks, and the question could be designed in this way: In your function, who you would consult with at work related issues and frequency?

(1) Never because it won’t help

(2) Never due to no business contact

(3) Sometimes

(4) Somehow frequently

(5) Most frequently because he/she is the best we have

(6) Most frequently with full trust

For instance, as building a social network figure in the Human Resources department, here are suggested attributes:

• Education (1:Top 20 Masters / 2:Non Top 20 Masters / 3. Top 20 Bachelors / 4. Non Top 20 Bachelors)
• Tenure (1:Over 10 years / 2:5-10 years / 3:2-4 years / 4:less than 2 years)
• Hierarchy (1:Senior Manager / 2:Junior Manager / 3:Senior Specialist / 4:Junior specialist)
• Functions (1:Recruitment & Compensation / 2:Payroll / 3:Benefits / 4:Talent Development)

To ensure the accuracy, we could emphasize its confidentiality and address that it is a two-direction evaluation, and therefore frauds are easy to be detected.

3. Key measures / Applications

• High Indegree above 4^th level: the key mentor or coach
• High Indegree at 6^th level: excellent reputation, potential leader
• High Betweenness above 4^th level: information connecter, leader

Once you have such a figure at hand, it will be easier to detect some blind spots such as:

1. A self-claim high performance specialist has little high level indegree ties: Is he or she truly high-performed? Why their peers wouldn’t take advantage of it at all?
2. A managerial position has low betweenness: This team either has highly autonomy or the manager is not functioning somehow.
3. Our departmental stars from my view have no 6^th level indegree ties, but many 5^th level ones: Is the integrity truly existent or is there an extra issue?

In conclusion, besides of individual performance review, we can still take this figure to assess some general issues or whole atmosphere of the office. For example, some senior employees, who have higher tenure, are seldom to be consulted if compared to junior ones, and then we can conclude that experience might not be transit rapidly. There are tons of warning signs can be found potentially, and all you need is a detective brain with curiosity. 


By: Yen Hsiung Lai
MBA
Hult International Business School
                                                   

¹ Incentives within organizations, HBR

² “Understanding performance appraisal" by Kevin Murphy and Jeannette Cleveland