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Methods to Measure Employee Performance


It is important to company standards and goals that management rate employee performance on a regular basis. Although reviews were previously done annually, it is becoming more of a continuous process today. There are certain factors that must be considered when measuring employee performance.

Quantity and Quality

Measuring output is often a good indicator of performance, but it is crucial to look at the quality of the work that is being produced. If an employee works speedily and makes great gains but has work needing to be redone or rejected, it can be costly. It depends greatly on the type of industry, but productivity is what all employers look for in well-rated employees. A good mix of quality and quantity is essential when measuring employee performance.

Time and Cost Efficiency

The amount of time spent on a project can have a direct effect on cost efficiency. If it takes an employee a long period to produce a small amount of output, the employer is essentially losing money. Employees should work quickly and efficiently, making sure that all materials are put to use and that very little product is rejected and thrown out. Cost efficiency is very important to employers; businesses do not want to lose money on employees who are mindless about time and product waste.

Absences and Tardiness

It is very important to show up and be on time for all scheduled shifts. When one employee is absent or tardy, the entire business takes a hit; other members have to adjust their schedules and there may be missed opportunities due to absences and lateness. Work performance automatically goes down when an employee is late or absent, and production is overall slowed.

Guideline Adherence

Employers must find employees with a balance between workplace creativity and a strict adherence to guidelines. It is important for employees to follow all rules and regulations, but to emphasis creative methods, as well. Creativity goes a long way in the workplace, as long as there are boundaries. New strategies, ideas, and designs can help put a business a step up and can look very good during review time.

Personal Habits and Appearance

Outside of work habits, personal habits also have an effect on employee performance. Gossiping and negative behavior in the workplace can cause undue stresses on surrounding employees and limit productivity. Excessive social behaviors can also be a limiting factor to a business’s productivity levels. Appearance and grooming standards must be upheld by all employees, at all times. Inappropriate uniform standards can limit productivity and give customers the wrong idea about the professionalism of the business. All employees must be willing to follow rules and take criticism fairly well.



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