You are deciding how well your team will perform in 2025, right now.

We're in Q4 people. One task looms large on many leaders’ plates:

The dreaded annual performance review.

Year-end reviews have a reputation for being time-consuming, awkward, and often unproductive. But they don’t have to be. When done right, performance reviews are rocket fuel.

Today, I'm handing you a straightforward framework that I use to set teams up for amazing results in the new year.

(Plus, I’ve created a plug-and-play tool to help you streamline the process.)

Let’s break down the steps to make sure you’re setting up your team for success:

Step 1: Reflect on the Year’s Wins and Misses

Before diving into 1-on-1's, take a moment to reflect on the year from a high-level perspective.

What went well for your team? What projects or initiatives fell short? This reflection provides a starting point for honest discussions about performance.

• Ask Yourself: Did the team meet its key objectives? Were there unexpected challenges? What major lessons did the team learn?

Step 2: Gather Performance Data—Don’t Rely on Memory

To avoid biased reviews, use data. This includes:

• KPIs or other performance metrics.
• 360-degree feedback from peers, subordinates, and other leaders.
• Self-assessments (ask team members to consider their own performance).

Reviews should be factual and based on data. Not feelings.

Step 3: Focus on Strengths and Opportunities for Growth

The best reviews focus on 2 things:

Celebrating strengths and finding areas for improvement.

Instead of overloading your team with a laundry list of feedback, focus on:

1. Core Strengths: What is each team member doing well? How can they continue to leverage these strengths in the upcoming year?
2. Growth Areas: What skill gaps or challenges need attention in 2025? Be specific—vague feedback like “communicate better” won’t inspire change.

Step 4: Set Clear, Actionable Goals for 2025

Performance reviews are most effective when they end with a clear path forward. Work with your team to set goals for the coming year together.

• Make it SMART: Goals should be Specific, Measurable, Achievable, Relevant, and Time-bound.
• Align Goals with Company Strategy: Make sure people's goals work towards the goals of the team.

Step 5: Foster Continuous Feedback—Not Just a Year-End Review

One of the biggest pitfalls of performance reviews is treating them as a once-a-year event. Instead, build a culture where team members receive regular input on their progress.

• Schedule quarterly or even monthly check-ins to discuss goals and performance.
• Your team should feel comfortable discussing challenges before they become major issues.

The Plug-and-Play Tool: Year-End Review Template

I’ve created a Year-End Review Template that will help you run productive reviews with ease. I've built this template to guide you and your team through the process step-by-step.

What’s Included:

• A structured format for reviewing individual performance and aligning on goals.
• Simple prompts for strengths, areas of growth, and action plans.
• A SMART goal-setting section to ensure clarity and accountability heading into 2025.

​

Final Thoughts

Year-end performance reviews don’t have to be a chore. Once you have a system in place, you can leverage these conversations to set your team up for success in 2025.

Take the time to do it right, and you’ll see the impact.

Until next time,

Shaun

​