Are you a small company with an appraisal system in place?

Are you a small company with an appraisal system in place?
Promoted by Are you a small company with an appraisal system in place?

It’s midyear appraisal time! From experience with our clients, we know that most SME’s are probably paper based appraisal systems (if they have one at all). But appraisals for small companies don’t have to be painful – it doesn’t have to mean someone pulling paperwork together and preparing to send lots of email chasers asking managers to go through the motions. 


Did you know that it has been proven that small (or large businesses) with effective performance appraisal in place are 20% more profitable than those that don’t?


SME’s who achieve sustainable growth most profitably will have motivated, focused, and productive staff. Effective performance management and appraisal is key to achieving this, and as your SME grows you need to make sure that these processes are properly embedded.

It can be challenging for SME’s to encourage the right behaviours as very often the person with responsibility for performance appraisal may be doing a number of other roles, often administrative ones. This can give the impression that performance management is an administrative task as opposed to something that, if done well, will drive the business forward. This is where a small company appraisal system can really come in handy.


SME performance management top tips

  • Set and communicate clear organisational goals
  • Ensure everyone has SMART objectives at the start of the business year
  • Make it clear to line managers that performance management is a monthly, not annual activity
  • Put in place a quality appraisal system that can grow with you to enable this
  • Place value and focus on how people perform against their targets
  • Embed development and on the job learning within this
  • Take performance management and appraisal seriously, and ensure your managers do the same


Another challenge for SME’s is that paper based appraisal systems tend to encourage the wrong behaviours and give very little added value. It is rare for a small company appraisal system to be designed as straightforward and easy to use for a company of 10, yet able to grow with the business by providing additional functionality for a company of 200. Any system needs to be simple and intuitive to use, and able to grow with you.


For more information on performance management, download our FREE white paper on performance management below.


Alternatively if you would like to take a look at how Actus™ could help your business just drop us a line at [email protected], visit our website, or book a free demo using the button below.



Actus™ performance appraisal software is specifically designed to embed year round performance in your organisation. Award winning, highly configurable and securely hosted in the UK cloud. For more information, please visit

Be the first to comment.