Getting off to a good start

People tend to be anxious when approaching performance appraisal meetings, so it is key that you set the tone of partnership right in the beginning. Start out with a review of the purpose and objectives of the performance appraisal and note its positive benefits for both parties. This psychologically prepares you and the employee, and it acts as a "warm-up" for open dialogue.

Then ask the employee to talk about his or her self-appraisal. This helps you understand the employee's point of view and prevents you from controlling too much of the conversation early on. Listen very carefully to what the person is saying, and don't interrupt until the person has had his or her say. Demonstrate that you are listening by repeating what you've heard.

For example, you might say: "If I understand you correctly, you feel that you are meeting all goals with respect to the weekly sales reports, but that you are struggling to contact all the key customers you've been assigned. Do I have that right?"