Performance Review in IT Companies: Process, Tips, and Useful Tools

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Performance reviews are often conducted “for show”: they provide feedback in a few words, indicating that the specialist is doing a good job, and that’s it. But does this approach make any sense?

A well-built performance review focuses on developing a specific employee and the entire team. We discussed what “well-built” means and how to achieve it with Kseniia Kotenko, HR Business Partner at JatApp, and Tetiana Myhushchenko, HR Manager at ELEKS.

Why do we need to conduct a performance review

The IT performance review evaluates an employee’s productivity over a certain period. If this tool is implemented properly:

👉The Employee self-reflects, receives feedback on their results, an understanding of their strengths and weaknesses, a roadmap for further development, and synchronizes with the manager. As a result, a personal performance review increases job satisfaction.

👉The Company focuses on increasing the performance of each teammate and the team as a whole. Regular performance reviews positively impact employee retention and loyalty to the company and allow for strategic development planning.

“For business, a performance review is a place to synchronize the needs and goals of the company with the person’s desires and capabilities.”
Tetiana Myhushchenko

How it works. At the review, the specialist shares feedback on uninteresting tasks on the project and the desire for rotation. Managers and the employee develop an exit plan (or changes within the current project). Of course, if the demotivated person remained in the team, it would negatively impact the overall motivation of the staff. Such personnel changes are a win-win strategy, where the company keeps a skilled specialist, and the employee feels more satisfied.

How a performance review should be conducted in IT

Stages. To implement a performance review, you need to:

1. Prepare an evaluation system (key attributes, checklists, tools, and train those involved in the process to conduct such meetings).
2. Start with the employee’s self-review.
3. Engage the manager and colleagues in the process.
4. Manage interviews to discuss the results.

Who is involved in the process:

• The specialist being evaluated.
• The evaluator: only the manager and the employee (180° evaluation) or also colleagues and clients (360°).
• The person responsible for the organization is usually an HR manager or an external performance management moderator. They oversee the process and the content of the stages.

Important! Sufficient competencies and skills of the manager are must-have for a quality process. This person should not only have strong hard skills but also the ability to give constructive feedback without toxicity and have substantial experience working with a specialist.

How often. Personal review should be conducted regularly — once every six months to a year (preferably not more often and not less often).

Key rules:

• The system should be transparent, and assessments should be objective. Otherwise, the review will be perceived as a bureaucratic hell.
• The manager should prepare for the meeting well and not hold it “for show.”
• Evaluate the results for a certain period, not just for the last few months.
• Consider the criticality of errors and the reasons why they occurred.
• Identify and highlight achievements.
• Separate the specialist’s performance from team outcomes.
• Align metrics and evaluation criteria with the company’s values and requirements.

It’s important not to consider performance review the only place to share feedback or plan your career path. A review is only a summary and an opportunity to examine performance over a long period. You shouldn’t wait until a scheduled evaluation if you already need to talk about your desires and goals. The culture of feedback involves constant communication.

We asked the experts about examples of performance review as a process in their companies — we share the cases below.

Performance Review at ELEKS

Tetiana Myhushchenko

HR Manager at ELEKS

“The performance management process at ELEKS is cyclical and starts from the moment a person enters the company:

• In the first two weeks of work, we hold a meeting to discuss expectations and set goals for the probationary period (PP).
• After 3–6 months (in case of successful completion of the PP), HR schedules a probationary period review, during which we exchange feedback, revisit initial goals, and plan new ones.
• From this point forward, all specialists have annual and semi-annual performance reviews twice a year. If a specialist or manager sees the need to conduct an unscheduled review (either earlier or later), we do so.

All feedback, agreements, and goals are recorded in CRM. Before the meeting, HR sends all participants a questionnaire that covers feedback, goals, satisfaction with various aspects, performance and interaction evaluation, etc. The answers are automatically sent to all stakeholders when everyone fills it out. This allows to prepare for the conversation with high quality.

The main participants in the process are:

• Direct Supervisor (usually, it is a Project Manager).
• Functional Manager who is responsible for the community and professional development of specialists in their office or stream (Competency Manager).
• HR Manager.
• Occasionally, a Tech Lead or another critical project stakeholder may also be involved.”

Performance Review at JatApp

Kseniia Kotenko

HR Businnes Partner at JatApp

“Our performance review process takes place every six months for each employee, depending on the date they started working for the company:

1. We automatically notify all participants through the HRIS system as the process begins.
2. Next, HR launches feedback forms for the process participants while the manager and the employee prepare for the meeting by filling out forms and reviewing the goals.
3. The last step is a meeting in which both parties share feedback and evaluation of the last six months and set goals for the next period.

Our approach stands out for its individuality, transparency, and data-driven approach. Among the key attributes, I would single out a well-developed evaluation of results and openness to feedback.

Our performance review process has undergone three transformations during my time at the company. This shows that nothing is perfect, and it’s our responsibility to meet the needs of the business and adjust this process all the time, just like others.”

Evaluation сriteria for performance review

A matrix is used for evaluation: you need to write down all the criteria and assign a certain score (for example, from 0 to 10). Additionally, you can ask questions that will reveal the evaluation, ask for examples of situations where a particular skill was demonstrated, etc.

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Example of a form for performance review 

Below, we analyze what items can be included in such a matrix and what criteria should be used to evaluate employees.

#1 Corporate values

It’s relevant if your values are not just buzzwords on your website but the principles guiding you in work. Matching this criterion can be checked during a performance review. For example:

• Value: Teamwork.
• How it shows up: The specialist communicates with colleagues, gives advice upon request, is open to consultations, etc.

Examples of questions:

1. How did you interact with your colleagues during your last project?
2. Did you have the opportunity to take initiative in teamwork? How did you do this?
3. How did you contribute to the overall goals of the team/department?
4. Have you experienced any difficulties in communicating with other teams or specialists? How did you solve these issues?

#2 Hard and soft skills

The technical skills required for effective work are usually determined by the corresponding grade. For example, a junior frontend engineer should know JavaScript and its frameworks, and a middle frontend engineer should additionally master refactoring techniques and unit tests. Grades also impact soft skills: a junior may need the help of senior specialists, but a senior should be a more independent unit.

However, in both cases, there are general requirements for specialists of all levels, such as:

• Ability to communicate with colleagues and clients.
• Be responsible within the scope of your tasks.
• Write clean code, etc.

Examples of questions to evaluate technical skills:

1. What new technologies or tools have you mastered recently?
2. How did you work with code review, and what approaches did you use to refactor the code?
3. Were you involved in the technical planning or architectural decisions of the project?

Examples of questions to evaluate soft skills:

1. How do you respond to criticism or feedback? Did you manage to change your work according to the recommendations?
2. How did you organize your time and prioritize your tasks?
3. Have you had the opportunity to mentor or help other employees?

#3 Performance indicators

How effectively does the specialist apply their skills in their work? Do they close tasks on time and to the expected standard? Usually, the assessment is carried out with the help of:

• KPI. It determines how much work a specialist has to do during the period. For example, to implement X features or handle Y bugs.
• OKR. Define the goals to be achieved (Objectives) and the key results on the way to these goals (Key Results). For example, to bring an app to the top downloads.

Examples of questions:

1. Were all tasks completed according to the original deadlines and requirements?
2. How did you overcome difficulties in the course of your projects? What approaches were used to solve problems?
3. Did your contribution to the project significantly impact the final result?

Tools for performance review

The larger the business and the workforce, the more necessary it is to use not just Google Sheets but tools for automating processes:

• Automated HRIS/CRM systems: these are used for sending out forms, collecting responses, etc., for example, PeopleForce, CleverStaff, and Zoho.
• Forms and questionnaires: where you can give evaluations and reflect on them. Google Forms or Typeform will be useful.
• Task managers and checklists: for tracking the process and its continuity. For example, Asana or Trello.

The process of creating a performance review should not be rushed. Take the time to find out what the team thinks, how to make the process more comfortable for them, and whether the tools you choose are convenient.

How to analyze the results and what to do after the performance evaluation

What’s next? After completing a performance review, it is important to record the results and use them as a basis for employees’ development. The manager has to:

1. Summarize the results. Objectively evaluate performance for the entire period.
2. Give feedback. During the meeting, it is crucial to provide constructive feedback, focusing on specific examples. For instance, according to the SBI model (Situation; Behavior — reaction to the situation; Impact — result of the situation).
3. Focus on development. Create a personal development plan (PDP). It allows setting specific goals and steps to achieve them. For example, it can involve participation in new projects or mentoring.
4. Provide further support. It is important to periodically review and adjust the goals, providing the necessary support.

Of course, the performance review does not end with feedback. It becomes a starting point for further career development, which increases teammates’ motivation and productivity.