At this time of year many companies and employees find themselves immersed in the mid-year performance review process. This structured evaluation, whether loved or loathed, is a staple in many organisations. Recently, during an Empower Her session, we discussed the significant impact of words and their meanings, particularly how some people perceive “good” as a failure, feeling they must always be “excellent.”
The impact of words as a child may have played a bigger part than we thought, after all what is the difference between Good and Excellent?
Reflecting on my own childhood experiences, I recall the excitement of receiving homework back with coloured stars, often silver or gold, accompanied by the word “Good.” Back then, “Good” was all we looked for and it brought us a smile to our face. However, in professional settings, the term “good” can be interpreted differently. Why do some people see “good” as not good enough, insisting that only “excellent” counts?
Cultural and contextual tactors have a part to play as the interpretation of performance ratings varies by organisational culture. In some settings, “good” is genuinely positive and appreciated, while in others, it might be seen as merely mediocre due to higher expectations. This also has a major impact if a financial bonus is to be rewarded and for excellent you receive 100%.
The psychological impact for perfectionists or those with high personal standards, being rated as “good” might feel disappointing. They may associate “good” with not reaching their full potential, leading to feelings of inadequacy.
Past experiences shape how individuals perceive feedback. Those who grew up associating “good” with high praise may continue to see it positively. Conversely, if only “excellent” was celebrated in their past, “good” might feel insufficient.
The Role of Mid-Year Performance Reviews are meant to be checkpoints, not final evaluations. They provide opportunities to assess progress, give constructive feedback, and set goals for the rest of the year. Understanding this can alleviate the pressure to be “excellent” at this stage.
Balancing your expectations, managers should communicate that achieving “good” at mid-year is a strong indicator of progress, with ample time to work towards “excellent” by year-end. This approach helps manage expectations and reduces anxiety.
Receiving constructive feedback is crucial for managers to give and for it to mean something and be specific, actionable. Rather than just labelling performance as “good” or “excellent,” they should highlight strengths, areas for improvement, and concrete steps for development. This helps employees understand their performance and how to improve.
Managing team performance and welbeing is a crucial part of being a manager of people. Managers should recognise the daily efforts of their team members and understand that consistent “excellent” performance might not be sustainable due to varying workloads and responsibilities. It is also very difficult to have everyone at “excellent” within a team as each individual is unique and you will have A Players and B Players so that you have a diverse skill set and also not too many people at “excellent” and no where to go to as next move in role.
Promoting a growth mindset within the team can shift the focus from fixed labels like “good” or “excellent” to continuous improvement and learning. This reduces the pressure to be perfect and fosters a supportive and resilient team environment.
Setting achievable, incremental goals helps team members stay motivated and focused without feeling overwhelmed by the need to be excellent all the time. Celebrating small wins and progress can boost morale and reinforce positive performance.
My parting thought for everyone as we reach mid-year… understanding the impact of words and ratings on employee perception is crucial for effective performance management. By fostering a culture that values progress, provides constructive feedback, and sets realistic expectations, managers can help their teams navigate the pressures of performance reviews more effectively. Encouraging a balanced view of “good” as a positive and realistic assessment can reduce anxiety and mental health and support ongoing development and success and remember as we approach mid-year reviews, let’s remember to be realistic and supportive. Recognise that your team members have daily responsibilities, and setting achievable goals will help them grow and succeed. After all, progress is a journey, not a final destination.