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Components of a Performance Review

Set goals
Setting goals is a key part of any performance review. It’s incredibly important that these goals are laid out early in the year and that the employee has a clear understanding of what those goals are and what the timeframe to achieve them in is.
Conversation over Criticism
The tone of the conversation should be as non-intimidating as possible, the purpose of these reviews is not to point out all the mistakes an employee made throughout the year but rather to see where they can improve. This means creating a positive environment and having a conversation with the employee, rather than just listing off their deficiencies and areas they need to improve on. It’s your job to try and get the best out of these people so you must also come prepared with programs and advice for the employee on ways to improve on these deficiencies.
Pre-Appraisal Questionnaire
If a part of your performance review involves a questionnaire or form for the employee to fill out, always make sure they get this form well in advance of the meeting. This will give them proper time to prepare for the meeting and give them a better understanding of what criteria they are being reviewed on. It also helps employees feel less like they are being ambushed and more like they are a part of a process of self-improvement.
360 Degree Feedback
In order to get a better picture of how the employee works with others and how their peers view their work, it can be a good idea to ask coworkers and other staff members for an assessment on an employee. If they are working on a small team that shares a lot of responsibilities it can be hard to figure out exactly how much of it they are responsible for, so speaking to the people they work closest with can give you a better idea.