Performance reviews are an excellent opportunity to retain top talent. Here are 8 steps for creating an effective performance review process for your team. Be willing to experiment—It’s not a good idea to implement an annual performance review process and then not touch it for 15 or 20 years. It must be updated, modified, and tweaked from time to time. There are a number of different methods you can use for your performance reviews. These include peer reviews and upward assessments (which allow employees to review their managers).