One day, you get your annual performance evaluation back from your manager, and it's nothing at all like you expected. In fact, it's downright wrong. Your defenses are up, and your enthusiasm is down. What do you do?

Initially, you need to make sure that there really is a disagreement. It is often hard for people to receive negative feedback, especially when it flies in the face of what they believe about themselves. Is there part of the review that is actually accurate? Is it just something you didn't want to hear, but that you believe?

Step two, as Stephen Covey says, is to "begin with the end in mind." Decide the outcome you want from your response. Do you want to be perceived better? Do you want to establish a better relationship with your manager? Do you want help addressing any of the concerns in the review? The more carefully you consider your intended outcome, the easier it is to not jump to defend yourself, ultimately making the situation worse.

What not to do: A case study

A star sales performer, Roger, who was responsible for a large portion of his division's revenue, was shocked to receive his annual performance review with a "meets expectations" rating from his boss, Andre. This was a great disappointment, because Roger's bonus was based on an "exceeds expectations" rating.

Throughout the year, Roger had not received any feedback on his performance, and he believed he was doing a stellar job. In his review packet, his financial performance was excellent, but there was a string of negative comments on Roger's ability to manage and inspire others. Roger, the manager of a sales team, was sure that one individual out of his six direct reports was the reason for the negative comments. Upon receiving his written review (in advance of an upcoming meeting with his boss), he marched into his direct report's office and screamed, "What are you doing to me!? I'm breaking my back for you, and this is how you repay me, by going above me to Andre to tell him I'm a bad manager?"

What's wrong with this picture? 1) Roger isn't stopping to reflect, he's just jumping into action when he's feeling defensive. 2) Roger is proving the negative perceptions are correct, therefore sabotaging his success. 3) Roger didn't ask for feedback along the way during the course of the year. We may think this is our bosses' job, but often we can help ourselves by asking for feedback when appropriate.

Try to see it from the reviewer's perspective—if he has done his job correctly, he will have given you concrete examples that support the review. Even if you only agree with part of the review, you will show that person that you are open to receiving feedback. You will also establish some common ground with the reviewer that will help with the next step. Ask questions about the components of the review that you don't understand or believe, and try to find out your opportunities to make positive change.

Your next step is to gather evidence that reinforces your difference of opinion with the reviewer. If the difference of opinion is authentic, and you have backed it up with compelling facts and examples, then the reviewer may come around to your way of thinking.

To assure your success, be certain you have a keen understanding of your company's performance review policy. Some companies require that you sign final reviews and will usually stipulate that your signature does not mean you agree with everything that was written. Some companies create a space or process for employee "rebuttals." Whatever the policy, make sure you understand it, so you can make it work to your optimal benefit.

Finally, stay ahead of the game. Track your accomplishments each year, and keep records of "above and beyond" performance that isn't covered in your job description. Keep your own file of positive feedback from others, and make sure you remember to write down the challenges you've overcome to get the job done. Being prepared with concrete examples of your positive contribution won't just help your review—it will help you to stay focused and confident that you're doing a great job.

Here are five tips to make the process as pain-free as possible:

1. Own the truth of the review.
2. Use this understanding to create common ground with the reviewer.
3. Demonstrate your view of the differences backed up by concrete examples.
4. Know your organization's policy about performance reviews.
5. Don't let a more minor disagreement become a larger issue that colors your colleagues' perceptions of you.

Board rules

Are you a chairman, president or CEO who reports to a board? Then the review rules are somewhat different and can be tricky. The performance of the overall organization is usually documented clearly, so these disagreements often come down to understanding and agreeing on the factors that have led to the organization's underperformance. You need to tread very lightly, lest you be accused of not being accountable for the organization's performance.

For example, a CEO called onto the carpet for declining numbers in North America could blame it on the head of North American operations (who, of course, works for the CEO). In this case, the board's retort would be, Why did you let that occur? What are you doing about it? How much more rope are you going to give that person?

In general, if you receive a bad review from a board and it is a surprise, then you have not been doing your homework. Own what is true (or could be perceived as such). Create common ground. (In this example, a select few board members could be responsible for negative feedback, so it would be important to know that and appeal to those individuals.) Then gather data that supports your point.

KARLIN SLOAN, MA., is founder and president of Karlin Sloan & Co. (www.karlinsloan.com), based in New York City and Chicago, which provides executive coaching, team building and leadership development. KEVIN CUTHBERT is a human resources professional and colleague of Sloan's.

The leadership pages

Karlin Sloan has written a new book, Smarter, Faster, Better: Strategies for Effective, Enduring, and Fulfilled Leadership (Jossey-Bass, 2006). The book explores the paradoxes of leadership. For example, Sloan suggests that to be smarter, leaders must let go of being the expert and start asking more questions. To be faster, they must take the time to reflect and focus, creating a sustainable work style. And to be better, they must stop focusing on just their own competitive advantage—how to be better with, rather than better than. It's enlightening reading for executives in any field. The book is available from Amazon (amazon.com) and major booksellers.
—Nancy Branka