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Performance review process: how to run fair reviews

Reviews should not be a surprise. Done well, they help people improve and protect the business.

Manager and employee discussing goals during a review meeting

Quick answer

A performance review process is a structured way for managers and employees to look at results against agreed goals, discuss strengths and gaps and plan development. A fair process uses clear criteria, ongoing feedback, written records and the same approach for everyone.

Key takeaways

  • Agree on goals and standards up front.
  • Give feedback during the year, not only at review time.
  • Keep notes and examples.
  • Treat everyone consistently.

What are the steps?

  1. Set clear goals and expectations at the start.
  2. Hold regular check-ins.
  3. Ask the employee to reflect on their own performance.
  4. Prepare using notes and examples.
  5. Hold a two-way conversation.
  6. Agree actions and record them.

How do you give good feedback?

  • Be specific, using real examples.
  • Focus on behaviour and results.
  • Balance strengths with areas to improve.
  • Ask questions and listen.
  • Agree on support the person needs.

What should you document?

ItemWhy
GoalsShows what was agreed
Feedback givenProves issues were raised
Support offeredShows a fair process
Follow-up datesKeeps things moving

What if performance is a concern?

Raise it early and clearly, set reasonable timeframes and offer support. If the issue continues, follow a fair process, and get advice before any formal action.

The Fair Work Ombudsman and Fair Work Commission publish guidance on fair processes.

Common mistakes

  • Surprising people with first-time criticism.
  • Judging on recent events only.
  • Mixing pay talks with development talks.
  • Skipping reviews because things are busy.

A reliable performance review process fixes all four.

A simple agenda for the conversation

  1. Start with what went well.
  2. Review progress against goals.
  3. Discuss challenges and support needed.
  4. Set goals for the next period.
  5. Summarise and confirm in writing.

Share the agenda in advance so nobody feels ambushed. A predictable performance review process builds trust. Employees know what will be covered, and managers can prepare properly. Afterwards, send a short written summary so both sides remember what was agreed, and put the next check-in date in the calendar straight away.

Bottom line

A fair performance review process means no surprises: set clear goals, give feedback all year and keep honest records. A good review is a conversation, not a verdict.

Sources and further reading

Checked against the sources above and our own project experience. Last reviewed 7 October 2026.

Published by Kedra Digi

Kedra Digi is an Australian digital agency covering development, design, digital marketing and HR. This guide draws on work with real client projects.

Frequently asked questions

How often should we hold reviews?
Many businesses hold formal reviews once or twice a year, with regular check-ins in between.
Do we need written records?
Yes. Good records help both parties and are valuable if a dispute arises.
Can reviews be done remotely?
Yes, by video, as long as the conversation is private and two-way.

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