Most feedback becomes useless if you wait months to deliver it. If someone's struggling with time management, telling them about it in December when the problem started in March helps nobody.

Good managers give feedback immediately—both positive and developmental. They don't store it up for review season like some kind of professional Santa Claus.

I learned this the hard way early in my career when I waited six months to address a team member's communication issues. By then, the behaviour was entrenched, other team members were frustrated, and what should have been a five-minute conversation became a major performance management issue.

The Career Development Conversation

Here's where most reviews really fail: they try to combine performance feedback with career planning. These are completely different conversations that require different mindsets.

Performance feedback should happen regularly and focus on immediate improvement. Career development discussions should happen quarterly and focus on long-term growth, skills development, and opportunities.

Mixing them together creates confusion. People walk away unclear whether they're doing well in their current role or whether they need to start looking for new opportunities.

The most effective approach I've seen involves professional development as an ongoing conversation rather than an annual event. Teams that invest in continuous skill building consistently outperform those that rely on annual planning cycles.

The Pay Rise Elephant

Let's address the obvious question: how do you determine salary increases without annual reviews?

Simple. Base pay decisions on market rates, budget availability, and demonstrated value contribution. You don't need a complex rating system to figure out who's adding value to your organisation.

Some of my most successful clients have moved to transparent pay bands with clear criteria for advancement. People know exactly what they need to do to progress, and managers can have honest conversations about development without the artificial pressure of review rankings.

Making the Switch

If you're thinking about ditching annual reviews, here's what works:

Start with manager training. Most supervisors have never learned how to give effective feedback or have meaningful development conversations. They default to annual reviews because they don't know any other approach.

Set up regular one-on-ones focused on support rather than evaluation. Ask questions like "What's blocking your progress?" and "What resources would help you be more effective?" instead of "Rate your performance from 1 to 5."

Create separate processes for career development, compensation reviews, and performance improvement. Don't try to achieve everything in one conversation.

Document ongoing feedback rather than preparing for big review meetings. When everything's captured in real-time, there are no surprises and no need for elaborate review preparation.

The Bottom Line

Traditional performance reviews are a relic from an era when people stayed in the same job for decades and managers had time to prepare elaborate assessments.

Modern workplaces need continuous feedback, immediate problem-solving, and ongoing development conversations. Annual reviews actively work against these needs by creating artificial deadlines and formal barriers to honest communication.

The teams getting this right are the ones treating performance management as an ongoing partnership rather than an annual judgment process. They're seeing better retention, higher engagement, and more effective professional development.

Your people don't need to be scored and ranked. They need to be supported and developed.

Stop the annual review theatre. Start having real conversations about performance and growth. Your team will thank you, and your results will improve.

Even if HR doesn't like it.