A good performance review includes a close observation, timely checks by the superiors and discussions about the plan of action, or actively participating in the employees’ work throughout the time period. Many a times, managers or superiors also need to keep a check or some control over the work of the subordinates. But excessive interference or control of the work of the subordinates can reverse the effect of the control.
Micromanagement is a management style where a manager closely observes or controls the work of their employees, generally used as a pejorative term. In contrast to giving general instructions on smaller tasks while supervising larger concerns, the micromanager monitors and assesses every step. (Definition – wikipedia)

Micromanagement is the authoritarian style of management which often includes not giving them the power to take even the smallest decision related to their work, exercising excessive control over their work and even the smallest step taken by them.

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Many a times micromanagement is for used for collecting details that can be used for the during the performance feedback, increased performance pressure and to keep the employees under control. But sometimes it is wrongly used by the managers to show their power, eliminate or harass the employees. It can be used to create stress for the employees. Micromanagement adversely affects the performance of the employees. It demotivates the employees and dampens the creativity, experimentation and innovation.

Performance reviews should be based on the complete details, facts and events taking place throughout the year which needs continuous monitoring and checks through various means. Such need for details can lead to micromanagement by the superiors. Apart from limiting the employee’s growth and learning, micromanagement also hinders healthy superior subordinate relationships and eventually the manager’s career development. Therefore, a better idea would be periodic discussions and feedback based on the overall performance of the employees and the results achieved.

Micromanagement, often referred as “mismanagement” should be avoided in the Performance appraisal process.