Companies that do not systematically evaluate the performance of their employees fail to realize their potential. The result is poor employee performance, high turnover, and company growth. Evaluating an employee's performance is not just a brief performance review once a year. It's about observing employees and looking for areas where they excel and need to improve. It's not just telling them they're performing well or need to improve their presentation skills; it's telling them what you've noticed.
Realization of Potential
But I'm getting ahead of myself. Every company should have employees capable of moving into other positions or taking on greater responsibilities. Without this, the company will stagnate or have to recruit new employees from outside constantly. Both of these considerations are costly. This means that leaders need to know what is needed for these roles (e.g., specific technical skills, communication skills, creativity, fearlessness, etc.) and assess whether an employee has potential.
You should also continuously monitor your employees with computer monitoring software free to determine if they can thrive in their new roles. It would help if you then coached employees who may be potential candidates.
Loss of development opportunity
If you don't constantly evaluate your employees' day-to-day work, you won't recognize their potential and will miss the opportunity to develop them. The employee will then miss the opportunity to become the person they can be, and that's a lost opportunity for everyone. Why let it happen when there are alternatives? Does it take time? Does it take patience? Yes, of course. Will it lead to a positive outcome? Don't doubt it! The decision is yours.
