Certified Dietary Manager (CDM) 2026 – 400 Free Practice Questions to Pass the Exam

A performance review serves as a formal, structured meeting between an employee and their supervisor to discuss the employee's performance. The primary objective of such a review is to evaluate the employee's work over a specified period, provide feedback on their strengths and areas for improvement, and discuss career development opportunities. This dialogue not only helps the employee understand how their contributions align with organizational expectations but also fosters a relationship built on communication and continuous improvement.

By focusing on individual performance, these reviews can encourage goal setting for the following period, allowing employees to align their personal objectives with team and organizational goals. This makes it an essential component in the development of an effective workforce, where individuals are motivated to enhance their skills and performance.

In contrast, the other options address different aspects of organizational management that do not directly relate to the individualized nature of performance reviews. Setting company-wide goals pertains more to strategic planning rather than individual evaluation. Assessing overall team performance and dynamics involves a collective review, which is broader than the personal focus of a performance review. Reviewing financial reports and budgets is centered around fiscal management and accountability, which is unrelated to employee performance assessments.