What is the primary purpose of performance reviews in the workplace?

The primary purpose of performance reviews in the workplace is to assess employee performance and identify areas for growth. Performance reviews serve as a crucial tool for supervisors and employees to engage in meaningful conversations about job performance, expectations, and career development. During these reviews, an employee's achievements, challenges, and overall contributions to the organization are evaluated, which helps in pinpointing strengths and areas where further improvement is necessary.

This process not only aids employees in understanding how their work aligns with the organization’s goals but also provides insights into potential training, skill development, and career advancement opportunities. By focusing on growth, performance reviews foster a culture of continuous improvement and enable employees to enhance their skills and productivity, ultimately benefiting the organization as a whole.

In contrast, while aspects like establishing pay raises or evaluating management effectiveness may be secondary outcomes of performance reviews, their primary aim is centered around employee assessment and development. The notion of creating competition among employees is generally counterproductive to the collaborative environment that performance reviews aim to nurture.