The assessment of employees’ skills and contributions is an important part of the company’s workings. Employees need to know periodically that their efforts are being recognized, and know where they need improvement. Here are four reasons why periodic employee feedback is important for firms.

1. Track strengths and weaknesses 

In a firm, projects are worked upon by many people, and each employee has their individual strengths that they contribute to the working of the company. Periodic employee feedback means keeping a check on the strengths and weaknesses of each employee and utilizing that data as per the project needs.

2. Bettering performance

When we offer the employee information on his performance over the year, he gets to know how he has fared. The feedback can also provide him solutions on how he can improve his skill set and provide better results in the future. Constructive criticism paves the way to ensuring that both management and employees are able to work in tandem.

3. Identify candidates for promotion

In every firm, there are people who have to be uplifted to a better post on the basis of their work abilities. By providing feedback, a firm makes sure that it is able to identify and shortlist such potential employees.

4. Compensation decisions

For rewarding deserving employees, you need to know who deserves a higher percentage based on the kind and quality of work that has been rendered over the year. This can be ascertained only when the employee’s work is analyzed on a regular basis.

Regular performance appraisals help in creating a corporate culture which is focused on keeping the employee informed. They also provide positive reinforcements when he does his work well and criticism on any mistakes committed. Implementing periodic employee feedbacks also improves productivity and should be encouraged.