Should Performance Reviews Be Scrapped?

In this episode of The Pie, host Tess Vigeland introduces a special segment from the Chicago Booth Review Podcast, where Hal Weitzman interviews Chicago Booth's Stacey Kole about performance reviews. Kole argues that performance reviews, though often disliked, can be valuable if strategically implemented. She emphasizes the importance of organizations defining clear objectives for conducting reviews, such as tracking performance, identifying skill development, or aiding professional growth. Kole suggests that senior management should take charge of the review process, using it as a tool to communicate company vision, gather employee feedback, and align individual tasks with broader organizational goals. She also shares advice for revitalizing existing performance review processes, including ensuring procedural justice and encouraging managers to maintain feedback journals.