Performance Reviews8 min read

5 Common Mistakes That Are Killing Your Annual Reviews (And How to Fix Them)

Avoid these pitfalls that turn performance reviews into dreaded obligations instead of growth opportunities.

MJ

Marcus Johnson

Chief People Officer

January 10, 2025

The Problem with Annual Reviews

Let's be honest: most employees dread annual reviews. Managers procrastinate writing them. HR struggles to get everyone to complete them on time.

But it doesn't have to be this way.

After analyzing thousands of review cycles, we've identified the five most common mistakes that turn what should be growth conversations into anxiety-inducing checkboxes.

Mistake #1: The "Surprise" Review

The problem: Employees hear critical feedback for the first time during their annual review.

Why it happens: Managers avoid difficult conversations, saving everything for the "official" review.

    The fix:
  • Implement continuous feedback throughout the year
  • Use the annual review to summarize themes, not introduce new information
  • Train managers on giving real-time feedback

Mistake #2: Recency Bias

The problem: Reviews focus heavily on the last 2-3 months, ignoring the rest of the year.

Why it happens: Our brains naturally remember recent events more vividly than distant ones.

    The fix:
  • Keep a running document of accomplishments and feedback
  • Use quarterly check-ins to capture notes throughout the year
  • Ask employees to submit self-reviews covering the full period

Mistake #3: One-Size-Fits-All Questions

The problem: Using identical generic questions for every role—from engineering to sales to design.

    The fix:
  • Create role-specific competencies
  • Allow customization while maintaining core company values
  • Let teams add questions relevant to their function

Mistake #4: Focusing Only on Weaknesses

The problem: Reviews become a list of things to improve, ignoring what's working well.

    The fix:
  • Use a balanced framework (e.g., 3 strengths, 1 development area)
  • Start with wins before discussing growth opportunities
  • Help employees leverage strengths, not just fix weaknesses

Mistake #5: No Follow-Through

The problem: Reviews happen, goals are set, then everyone moves on until next year.

    The fix:
  • Schedule quarterly progress check-ins
  • Make development goals part of regular 1:1s
  • Create accountability partners

The Bottom Line

Annual reviews don't have to suck. The companies getting reviews right see higher engagement scores, better retention, and stronger performance.

The secret? Treat reviews as ongoing conversations, not annual events.

annual reviewsperformance managementHR mistakesemployee engagement

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MJ

Marcus Johnson

Chief People Officer

Marcus has built high-performing teams at startups and enterprises alike.

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