Summary: Performance reviews are key for shaping employees’ motivation and fostering a positive organizational culture. Many organizations seem to be adopting narrative-based feedback or regular check-ins for actionable insights, but numerical rankings remain common for decision-making. Research published in the Academy of Management Discoveries highlights that narrative feedback, enriched with context and examples, is often seen as fairer and more motivating. However, numerical feedback proves equally effective when linked to rewards like bonuses. To build trust and transparency, a balanced approach is essential. Combining narrative and numerical methods ensures performance reviews are both meaningful and motivating, driving engagement and fostering fairness in organizational processes.
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