Why I Don’t Believe in Performance Reviews (and What to Do Instead)
Here’s a controversial take: I don’t believe in performance reviews.
At least, not the way most businesses do them.
You know the drill, managers scrambling at the end of year, ticking boxes in a clunky template, dusting off goals that were written 10 months ago and haven’t been looked at since. Employees walking away wondering if they should update their resumes, leaders left with a stack of paperwork that ultimately changes nothing.
Sound familiar? I am certain there are many of you nodding your heads right now.
The problem isn’t the intention. It’s the process.
Performance reviews are supposed to drive clarity, accountability and growth. But in reality, they often become a compliance exercise that eats up hours of leadership time without moving the needle on performance, retention or culture.
And here’s the kicker… we tell ourselves these reviews are “for the employee’s benefit” - a chance for recognition, feedback, or development. But when they are done poorly (which, sorry but they often are) they do the opposite. They leave people feeling undervalued, overlooked or boxed in. Instead of engagement they create disengagement.
The Time Drain No One Talks About
If you have 10 leaders, each with 10 direct reports, thats 100 one-one-one review meetings. Add prep, paperwork and follow up and you are easily looking at 200+ leadership hours gone.
And what is that return on investment? In many businesses, it’s minimal at best, and actively damaging at worst.
Now, imagine putting those same 200 hours into a single, well run talent review process.
Try a Talent Review Instead
A talent review, which commonly uses the 9-box framework, gives you a far more powerful picture of what is really happening in your business, in a fraction of the time.
Instead of isolating performance into 100 scattered conversations, you bring your leaders together in one room. You look across your whole team, not just one person at a time. You answer the bigger questions:
Who are our high potentials?
Who are our future leaders?
Where are our retention risks?
Who needs support or a reset?
The 9-box framework works because it looks at both performance and potential. But here is the catch - it only works if it is calibrated across your leadership team.
This means leaders challenge each others ratings. They bring different perspectives to the table. They cut through the bias and blind spots. The end result is a fairer, clearer and more actionable view of your people.
And this time saved? HUGE. You’ve traded 100 repetitive reviews for one focused leadership conversation and some small preparation time.
Why It Matters for Business Owners
As a business owner, your biggest cost - and your biggest opportunity - is your people. You need clarity on where to invest, who to bet on, and where the risks lie.
A calibrated talent review gives you that clarity. It gives your leaders shared accountability for developing talent. It forces honest conversations about succession, gaps, and underperformance. And most importantly, it drives real action, not just paperwork.
My Takeaway
If you are serious about building a high-performing team, stop wasting hundreds of hours on performance reviews that tick boxes and (ironically) risk disengaging the very people you think you are supporting.
Instead, give your leaders their time back and use it wisely. One talent review, done well, is worth more than a year’s worth of performance reviews. And thats a hill I’m willing to die on.
Here is where I can help. I simplify the process, provide the tools, and most importantly, facilitate the calibration. That means creating the space for leaders to push boundaries, have the unspoken conversations and walk away with clear united view of their people.
Becuase a tool is only as powerful as the conversations it sparks.