We can learn important insight from our employees all year long, but perhaps the best time is during their annual reviews. They can take this opportunity to give us feedback on how things are working, and we can take time to discuss their concerns. This is also the time we must decide whether to retain, retrain to reassign, or release a particular team member.
Always hire slowly, but fire quickly. Leaders often regret that they had not fired people the first time they thought about it, rather than letting a situation continue. I've never met anyone who said, "Gee, I wish I had let him stay a little longer." Usually it is the opposite. "Wow, I am glad she's gone. Wish I had done that sooner." Why do we tolerate bad employees? The first time you seriously consider firing someone is the best time to do it.
Finally, the annual assessment is a chance for us to look over our team as a whole. Do we have the team we need to get the job done? Do we have the leaders we need to support us? The leaders who got us here may not be the leaders we need to take advantage of upcoming opportunities. That's why leadership selection is critical to the future.
(Taken in part from: What's Shakin' Your Ladder? by Dr. Sam Chand)
