Narrative-Based Performance Reviews Are Seen as Fairer and More Useful by Employees

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Shifting away from numerical scores and toward narrative-based performance reviews may significantly improve how employees perceive fairness and how effectively they act on feedback. That is the central finding of a recent Cornell Universityโ€“led study that closely examined how different feedback formats influence employee reactions, motivation, and understanding of performance expectations.

The research, published in the journal Academy of Management Discoveries, compared three common approaches to performance feedback: numerical-only ratings, narrative-only written feedback, and a combination of both numbers and narrative. While many organizations assume that combining metrics with written explanations offers the best of both worlds, the studyโ€™s results point in a different direction. Employees consistently rated narrative-only feedback as the fairest and most helpful format overall.

How the Study Was Designed

To understand how feedback formats affect employee perceptions, the researchers conducted four controlled experiments involving approximately 1,600 participants. Across these experiments, participants were asked to imagine receiving performance evaluations in workplace-like scenarios.

Crucially, the content of the evaluations remained the same in every case. What changed was only the format in which the feedback was delivered. Some participants received feedback entirely in numerical form, such as ratings or scores. Others received the same feedback expressed entirely through written explanations. A third group received a combination of numerical ratings alongside narrative commentary.

By holding the feedback content constant, the researchers were able to isolate the psychological impact of how feedback is presented, rather than what it says.

Narrative Feedback and Perceptions of Fairness

One of the clearest findings was that employees viewed narrative-only feedback as the most fair. Participants who received written explanations without numbers were less likely to feel judged or negatively evaluated. They were also more likely to believe the evaluation process itself was just and reasonable.

In contrast, numerical-only feedback performed the worst across several measures. Even when the numbers were not especially low, participants tended to interpret them negatively. Mid-range scores, in particular, often left employees feeling discouraged or unfairly evaluated, despite the absence of explicitly harsh criticism.

The researchers suggest that numbers carry an implicit sense of ranking and comparison. Without context, a score can feel definitive and final, leaving little room for interpretation or growth.

Understanding How to Improve Performance

Beyond fairness, clarity about future improvement was another key area where narrative feedback stood out. Participants who received narrative-only evaluations reported a better understanding of what they had done well, what needed improvement, and how they could perform better going forward.

Numerical ratings alone did not provide this clarity. A score might indicate where someone stands, but it does not explain why they received that rating or what specific actions would lead to improvement. The absence of explanation made it harder for employees to translate feedback into concrete steps.

Even when numerical ratings were paired with written feedback, the presence of numbers still influenced how participants emotionally processed the evaluation. In many cases, the numbers overshadowed the narrative, drawing attention away from constructive guidance.

Why Numbers Can Trigger Negative Reactions

One of the more interesting conclusions from the study is that numbers can amplify negative emotions, even when performance is described as average or acceptable. Participants often focused on what the number implied about their relative standing rather than on the developmental intent of the feedback.

This effect was especially pronounced when performance was described as โ€œokayโ€ or โ€œmoderate.โ€ In these situations, narrative-only feedback softened the emotional impact and reduced defensiveness. Without a numerical label attached, employees were more open to viewing feedback as information rather than judgment.

Practical Implications for Employers

The findings offer valuable guidance for organizations rethinking their performance management systems. Removing numerical ratings from certain types of feedback could help employees feel more respected, better supported, and more motivated to improve.

However, the researchers are careful not to suggest that all organizations should immediately eliminate numbers from performance reviews. Numerical ratings still play an important role in many administrative decisions, such as determining bonuses, promotions, or compensation adjustments. In those contexts, numbers can provide a sense of structure, consistency, and comparability.

Instead, the research highlights the trade-offs involved. Narrative-only feedback excels at supporting development, learning, and fairness perceptions. Numerical ratings are more useful for formal decision-making. Organizations may need to think strategically about when and where each approach is used.

The Broader Shift in Performance Management

This study fits into a larger trend in human resource management. Over the past decade, many organizations have begun questioning traditional annual performance reviews, especially those heavily focused on numerical scores. Critics argue that rigid rating systems can discourage honest conversations, oversimplify complex work, and increase anxiety without improving performance.

As a result, some companies have moved toward continuous feedback models, coaching conversations, and written evaluations that emphasize growth over ranking. The Cornell-led research provides empirical support for these shifts, showing that employees respond more positively when feedback feels explanatory rather than evaluative.

Challenges of Narrative-Based Reviews

While narrative feedback has clear benefits, it also comes with challenges. Writing detailed, thoughtful evaluations requires more time and effort from managers. There is also a risk of inconsistency or bias if managers are not properly trained to write clear, objective feedback.

Additionally, without numerical benchmarks, it can be harder for organizations to compare performance across teams or over time. This makes narrative-only systems less suitable for decisions that require standardized comparisons.

These challenges highlight the importance of manager training, clear evaluation criteria, and thoughtful system design when implementing narrative-based reviews.

What This Means for Employees

For employees, the research reinforces the idea that how feedback is delivered matters just as much as what it says. Narrative feedback encourages a mindset focused on learning and improvement rather than judgment and comparison. It can make performance conversations feel more collaborative and less intimidating.

Employees who understand the reasoning behind feedback are also more likely to act on it, which ultimately benefits both individuals and organizations.

Final Takeaway

The Cornell Universityโ€“led study makes a strong case for reexamining the role of numbers in performance evaluations. While numerical ratings have their place, narrative-based performance reviews are consistently seen as fairer, clearer, and more constructive by employees. For organizations aiming to improve engagement and development, the findings suggest that words may matter more than scores.

Research paper:
https://journals.aom.org/doi/10.5465/amd.2023.0308

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