• Adobe is computer software company headquartered in San Jose,
California. • Previously focused on the creation of multimedia and creativity software products • Adobe has around 13,500 employees globally • Broad range of customers from Multinational Brands to Individual Customers The Crossroad
• Adobe decided to transform from an 18-24 month Product Cycle
company to a Cloud Based Software Company.
• New Product Offerings- 3 Cloud Based Services:
• Creative Cloud • Adobe Document Cloud • Adobe Marketing Cloud Work Culture • During 18-24 Month Product Cycle: • Employees were used to a routine against long development cycles • Employees were not agile • Despite strong retention, high performers would leave after annual bonus to join flourishing start ups
• Required employee culture post transformation:
• Created internal pressure on employees since they had to move out of their routine and into a fast- moving product development company Adobe’s Cultural Change • Decided that Annual Performance Reviews were time consuming, slow and negative • Adobe put an end to the Annual Performance Reviews • Introduced the “Check-in”- 2 way on going dialogue between manager and employees • This resulted in: • Dramatic efficiency gains • More effective Performance Management • Higher employee engagement and retention The story of checks-in • In 2012, Adobe’s then Senior Vice President of People Resources, Donna Morris, was feeling frustrated with annual performance reviews. • Process was – complex, bureaucratic, and paperwork-heavy that it ate up thousands of hours of managers’ time. • Created barriers to teamwork and innovation, left many employees feeling undervalued and uninspired. • She planned to to abolish the performance review format and determined to catalyze change, creating something better for Adobe employees and the company as a whole. • Donna and her team solicited feedback from all across the company introducing Check-in, an informal, ongoing dialogue between managers and their direct reports that has employees feeling more engaged and empowered. Adobe’s open-source Check-in toolkit (align to the three phases of Check-in – Expectations, Feedback, and Development)
Expectations Feedback Development
Managers set clear Managers and employees give each Employees drive their own growth expectations around other ongoing, constructive by creating actionable career deliverables, contributions, feedback. Employees see how development goals around and behavior to help they're progressing against the learning and experience. employees achieve their business and personal goals. expectations, and managers find • Development discussion guide out if they should be doing anything for employees • Expectations discussion guide for employees differently to better support their • Development discussion guide employees. for managers • Expectations discussion guide for managers • Feedback discussion guide for • Individual development plan employees • Expectations worksheet • Feedback discussion guide for managers Implementation of Changes • The shift from an Annual Performance Review to a Check-In process took over in just 9 months. • Faced significant challenges to meet the global requirements because of: • Work Councils in countries like Germany and France • Legal regulations that have specific processes as in China • Disbanded the earlier team who executed the Annual Performance Reviews and roles like Business Partner, ERC & Talent Development became more critical. • People Resources focussed more on building manager capability ensuring they are equipped to set expectations and have ongoing performance discussions. Implementation of Changes • While overall distribution of salary increase remained the same, the managers tended to show more differentiation at the high and low ends of performance. • Enough training sessions and one-to-one People Resources Discussion were given so that the process could be executed smoothly. • Focused on building a comfortable way of providing feedback. • Adobe also implemented Adobe Connect, a web conferencing solution for training sessions and posted multiple tools and videos to the intranet. Challenges of the new system • Navigating the global requirements. • Intense Change Management. -Changing roles and responsibilities -Training managers and building their capabilities • Addressing concerns of employees. Outcome of the change • Frequent performance feedback conversations. • Non-regrettable turnover and involuntary attrition rates increased by 2 to 3%. • Stronger employer brand. • Smooth transition from core software offerings to a cloud-based model. • Motivated employees working together effectively. Conclusion Some key learnings from Adobe- • Executive sponsorship is critical. • Manager capabilities and development will make or break your success. • Communicate early and often. • Build a shares services model.