Two-Tier Performance Appraisals

Some innovative organizations are using a two-tier performance appraisal. One appraisal assesses how a person “manages”–did they get work accomplished in a timely manner and achieve their performance goals? This assessment determines the leader’s bonus. The second appraisal assesses the individuals leadership ability–how well did they develop, motivate and engage their people? This determines whether they get promoted. So someone may be a good manager and earn their bonus, but not as good a leader and therefore not eligible for promotion.

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