Goals and the annual report: a system for performance evaluation, part 2.

Do you feel unprepared for your annual evaluation? Does the process seem irrelevant to your work performance? If so, you can get a new perspective by using your next annual review as a tool in your own professional development by identifying goals and writing an annual report.

Annual evaluations have long been a part of staff evaluation, and their importance has been highlighted by the development of federal regulations for employee competency, such as those found in the Clinical Laboratory Improvement Amendments of 1988. In reality, however, there are problems with annual evaluations due to several factors, including the poor design of many evaluation systems, the small amount of time allocated for the evaluation process, and the low priority given to the evaluation process.

Sometimes evaluations are vague, glossing over problem areas that employees may genuinely wish to improve. In other cases, the evaluation can focus on irrelevant and insignificant tasks that do not represent a person's positive accomplishments. Several standardized evaluation forms emphasize attitudes and interpersonal skills, rather than an employee's performance. Forms that include an evaluation of specific skills listed in a job description are not as problematic, but even these better formats rarely make connections between previous levels of performance and current levels. The annual evaluation should include a mechanism that provides for the follow-up of targeted areas in more specific terms than such generalities as improved. Lastly, a poor evaluation highlights only recent events, rather than the performance of an entire year.

Such problems with annual evaluations can be remedied by completely transforming the process and addressing these areas of concern. This idea of transformation correlates with the quality improvement movement,and is addressed by several continuing quality improvement (CQI) programs. For example, the Malcolm Baldrige award criteria for quality organizations(1) specify that employees should be involved in the process of planning goals and in the assessment of their individual performances. It is recommended that annual evaluations be used to recognize employees for their accomplishments over the past year and for their unique contributions to the organization. When used properly, annual evaluations can become a motivational tool.(2) Employees who feel valued will be motivated to improve their work performance by performing at higher levels of quality and productivity and will be less likely to leave for other positions.(3) Motivated, high-achieving employees benefit the organization, the laboratory, and themselves.

Goal setting

A review of management literature(1-4) reveals a common theme: there are several advantages to using the annual evaluation as a context in which to set goals, especially when a consensus is reached between the supervisor and the employee. When there is agreement, supervisors can avoid having unrealistic expectations of their employees, and employees can avoid expending energy on irrelevant chores. When employees are involved in goal setting, they have a personal stake in meeting the goals and will be committed to reaching them. Establishing goals can help the employee manage time and can give meaning to tasks, both of which avoid the likelihood of burnout.

When the focus of an annual evaluation is on goals, and not on subjective personal attributes,(4) expectations are clarified and a beneficial balance of effort can be achieved for both employee and employer. Employees are then free to perform at their best and can become creative problem solvers, knowing that their individuality is appreciated and encouraged. Thus, the evaluation process becomes constructive rather than punitive. Both parties will find it rewarding to identify and establish objectives that unite the personal goals of an employee and the goals of the laboratory.

Characteristics of attainable goals

During the process of establishing objectives, those goals that are broad in scope may be identified early in the process. However, the final goals should be expressed as indicators of success, worded in more specific terms. These indicator goals make it possible to track progress. The following guidelines should be kept in mind.

A goal should be measurable. Most desirable outcomes have at least one component that can be measured. Quantitative components such as objectivity, standardization, and exhibition of trends over time have distinct advantages over qualitative components. Here are some examples:

* 100% of lab employees will be active members of at least one lab team.

* The number of purchase orders issued per week will be reduced by two, through consolidation of orders.

* Physician satisfaction with laboratory services will increase, as evidenced by a 5% increase in positive scores of ratings over last year's survey. Distribute the survey by June 1, and follow-up with any