Staff appraisals - the right way to do them

As the economic climate continues to be felt by salons businesses, naturally, owners and managers are focusing on getting the maximum performance from staff, says David Wright.

While this has involved a toughened stance on absenteeism and pay rises have become scarcer, there has also been a growth of interest in appraisals and other reward tools as the following questions from readers demonstrate.

There is no legal requirement to carry out appraisals, but that doesn't mean they are not an invaluable tool. Chatting to staff on the shop floor isn't a substitute for a proper structured appraisal meeting with an employee. Most successful businesses see appraisals as an essential feature of employing staff. Some 75% of employers have an appraisal scheme. 

There is no one model or system for appraisals. But everyone agrees the aim of an appraisals is not to store up all you criticisms for a year to enable you to tell the stylist how poorly he or she has performed. Equally it isn't a vehicle for you to give a list of objectives to staff. 

The principle is that it is used to recognise and motivate improved performance and the acquisition of skills. The meeting also gives the employee an opportunity to raise any concerns they have, any issues regarding their working pattern or even career goals. These conversations might not happen naturally in a normal working day in front of colleagues.

The whole idea is that there is an open discussion to which the employee contributes.

The following tips might be useful: 

•Typically appraisal takes place annually but some salons carry it out half yearly or quarterly. 

•Some salons use the appraisal to decide upon pay awards to staff, although many believe pay and appraisal should be kept apart. 

•Most salons use appraisal to discuss staffs performance over the last 12 months. This may include issues like attendance, achieving targets or general skills development. It also provides a scenario for the employee to raise issues and contribute to the following year's objectives and training and development needs.

•The meeting also provides an opportunity to discuss training/skills needs of staff to help develop the business as a whole.

Some salons ask employees to come to the meeting prepared with one idea to improve profitability or services at the salon.

Poor appraisal is actually worse than not having appraisal. A meeting where employees are told everything that is wrong with them or an appraisal where nothing is agreed or what is agreed isn't then delivered are counter productive. 

As mentioned above if you set objectives these need to be assessed so they should be measurable. It is pointless to set an objective like "improve your communication skills" and then simply forget about it for 12 months. You should be able to measure the objective, it might be bookings, turnover or even client retention that are used as a measurement.

Time must be allocated for the appraisal and must be a priority. It is a serious issue and you should ensure the meeting is private without interruptions. I often recommend that staff are given a form to complete a week before the appraisal where they assess their progress since the last meeting and begin to think about future objectives. This means they don't just turn up at the appraisal having done no preparation or even thought about the meeting.

The most important aspect is that you are seen to take them seriously, the conclusion is written up and signed and promises are delivered.

My advice would be to meet them individually and ask them constructively what it was they didn't like. However, the following general tips may help:

•Avoid monopolising the meeting or using it as an opportunity to repeat criticisms of the employees performance over the last 12 months.

•Confirming the employee's failure to achieve agreed objectives has a part in the appraisal, but as important, is improving performance and getting the employee to leave the meeting committed to go the extra mile for you.

•Always indicate how and when objectives will be reviewed. 

•Always document the outcome and agreements from the appraisal 

•Set SMART objectives. Smart means objectives are