Mid-Year Team Reviews- Reasons, Tips, and Rules for Effective Mid-Year Reviews: The 4-5-9 Approach

Over the years, I’ve observed that the most effective firms seem to always go above and beyond the typical annual review for their team members – providing more formal feedback at least twice a year (if not quarterly). So, as the midpoint of the year approaches, now’s the time to start laying the groundwork to conduct effective mid-year reviews. 

These reviews aren’t just routine check-ins; they’re pivotal tools to help ensure ongoing alignment with annual goals, foster continuing employee development, and ensure the continued success of the firm. They’re an opportunity to discuss:

• What meeting, exceeding, and far surpassing expectations looks like
• The specific criteria you use to measure performance
• What realistic goals you both agree on setting for the next six months
• Their career aspirations, as well as the skills and competencies they’ll need to continue to develop
• Opportunities for continuing education, training, and mentorship

These reviews offer an invaluable opportunity to reset and strategize (both individually and firmwide) to help ignite a strong second half of the year. They’re a chance to revisit goals, develop strategies to identify and address organizational gaps, uncover new business opportunities, and boost team morale.

Companies that deliver more consistent feedback report 15% lower turnover rates.

WHY: 4 Key Reasons for Mid-Year Reviews

In addition to routine check-ins and continuous feedback where you regularly communicate with team members to encourage, support, and assist your team, mid-year reviews provide an opportunity for more in-depth conversations about:

1. Progress Evaluation and Celebration: Mid-year reviews provide a structured opportunity to evaluate progress against the annual plan – giving team members and firm leaders time to determine whether they’re on track to meet their goals, celebrate the progress made, and make the appropriate adjustments. It’s a time to reflect on the original agreements for performance and assess if current efforts and results align with the set objectives.
2. Employee Development: Periodic reviews are crucial for employee career planning and growth. They offer a platform to discuss competencies in the assigned role, gain new experiences, and develop necessary skills. Regular feedback lets employees know exactly what they need to achieve to reach the ‘next rung’ on the career ladder and helps guide their professional development plan.
3. Role Clarity & Responsibility: Clear roles and responsibilities are vital for a high-functioning team. Mid-year reviews help ensure each team member understands their duties and how their work contributes to the success of the whole – enhancing accountability and ownership of the process and helping employees feel more connected and responsible for their performance. They also serve to identify and resolve any confusion or overlap of duties.
4. Strategic Adjustments: The dynamic nature of financial markets and client needs often requires timely strategic pivots. Mid-year reviews allow you and your team to reset and adjust strategies to ensure a strong second half of the year. They provide a chance to realign goals, strategies, and expectations to stay competitive and responsive to unexpected market changes.

HOW: 5 Steps for Conducting Successful Mid-Year Reviews

Conducting mid-year reviews that engage and motivate team members about their future with the firm requires a fair amount of planning, collaboration, and follow-up. But these don’t have to be a time-consuming undertaking. The following are a few easy steps to help ensure both you and your team members will benefit:

1. Preparation:
   • Review Annual Plan: Assess whether the firm is on track with its annual goals. Identify any gaps or areas where the team is excelling.
   • Gather Data: Collect performance metrics, client feedback, and other relevant data for each employee review.
2. Individual Performance Assessment:
   • Roles & Responsibilities: Review each employee’s roles and responsibilities, ensuring they’re clearly defined and understood.
   • Performance Agreements: Revisit the original performance agreements set at the beginning of the year. Evaluate progress against these benchmarks.
   • Expectation Levels: Discuss what constitutes meeting, exceeding, and far surpassing expectations. Use specific examples to illustrate each level.
3. Team Member Involvement:
   • Self-Reflection: Encourage individuals to reflect on their own performance and come prepared to discuss their measurable achievements, challenges, and areas for improvement.
   • Peer Feedback: Suggest that individuals seek feedback from other team members to gain a well-rounded view of their performance.
4. Feedback & Development:
   • Constructive Feedback: Provide constructive and balanced feedback. Highlight valuable strengths and address specific areas needing improvement.
   • Career Planning: Discuss career goals and development plans. Identify opportunities for future growth within the firm.
5. Actionable Goals:
   • Set Goals: Establish clear, actionable goals for the second half of the year. Ensure they’re specific and measurable, well documented, and aligned with the firm’s plan for the remainder of the year.  These goals should be supportive of the individual’s career development plan.
   • Support & Resources: Identify any support or resources required to achieve the goals laid out for the team member.  This might include mentorship, coaching, or specific training.

The 9 Rules for the Mid-Year Checklist

• Start Early: to ensure thoroughness
• Be Transparent: to build trust and credibility
• Foster Open Communication: so team members can comfortably share thoughts/ feedback and listen deeply to what each team member has to share
• Stay Objective: use data and specific examples to support your assessment
• Emphasize Development: focus on growth and skill development, not just performance
• Celebrate Successes: acknowledge achievements to boost morale/motivation
• Address Challenges: offer constructive solutions and support
• Follow Up: schedule time to monitor goal progress and provide ongoing support
• Document Reviews: keep detailed records of discussions and agreements 
  

In today’s fast-paced, constantly evolving business environment, elite advisory firms have embraced the need to provide team members with more frequent performance communication and development opportunities. Mid-year reviews are crucial tools to assess progress, foster development, and ensure the success of your wealth management team. By following a structured approach and emphasizing clear communication, role clarity, and employee involvement, these reviews will help set the stage for your business to have a strong and successful second half of the year.  Let me know how your team conducts mid-year reviews and what wisdom you’d like to share with our community.

Coaching Questions:

1. Strategic Alignment and Future Planning:
   How can we leverage the insights gained from our mid-year reviews to align our team's efforts more effectively with our long-term strategic goals and market opportunities for the next six months and beyond?
2. Employee Development and Career Growth:
   What new skills or experiences do you see as critical for your role in the next six months, and how can the firm support you in acquiring them to advance your career aspirations?
3. Team Dynamics and Role Clarity:
   In what ways can we improve role clarity and communication within the team to enhance collaboration and ensure everyone feels connected and accountable for our collective success in the second half of the year?