CASE STUDY

ORGANIZATIONAL BEHAVIOR
GROUP MEMBERS
Ali Asghar 20023
Farhan Hussain 18848
Husnain Raza 19942
Maria Wahaj 13040
IT’S TIME TO RADICALLY
RETHINK THE ANNUAL
PERFORMANCE REVIEW
• Are you satisfied with the current Annual Performance Review at your
Organization?

• What is the main problem that you have identified with this review?

• If your organization did away with the Annual Performance Review

altogether, what would you like to see in its place?

• What would it look like to inspire, motivate and value contributions

more effectively?
 ADOBE: BUILDING MOMENTUM BY
ABANDONING ANNUAL PERFORMANCE
REVIEWS FOR “CHECK-INS”
MEET THE CHANGE MANAGERS

SHANTANU NARAYEN – PRESIDENT AND CEO

DONNA MORRIS – EXECUTIVE VICE PRESIDENT,

CUSTOMER AND EMPLOYEE EXPERIENCE

ANN LEWNES – EXECUTIVE VICE PRESIDENT

 March 2012

Adobe Systems Set to Scrap Annual Appraisals, to Rely on Regular Feedback to

Reward Staff
 PRODUCT VERSUS ORGANIZATIONAL
CULTURE
PRODUCT
• Boxed software: Sold
commercially. Updated once
every year or every other year.
• Creative Cloud: Subscription
based. Constant improvement
We are not a twelve month company anymore. – Donna Morris
ORGANIZATIONAL CULTURE
• Annual Performance Review:
Cyclical. Aligned with cyclical
revenues generated.
• Ongoing Performance
Evaluation. Aligned with agility
of new product and technology.
 LIMITATIONS OF ANNUAL PERFORMANCE
REVIEW
• STACK RANKING:
Bell shaped review
• Performance Review Frequency:
a. Was not real time – “Recency” effect
b. Unpredictable
Result: High voluntary attrition rates in February and March.
• The dreaded “Meets Expectations” label
 CHECK-INS
“At a company that has talent as its currency,
essentially the check in approach is the way
for that talent to continuously optimize
itself.” - Morris
 CONCEPT
“PIT STOPS”
• PIT STOPS: Informal conversation between manager and employees
• CONSTANT AND CONSTRUCTIVE FEEDBACK
• REAL TIME: Honest and candid because employee was really in the moment.
• CONSTANT COMMUNICATION
• IDENTIFIED TO EXTREMELY IMPORTANT FOR AN ORGANIZATION
UNDERGOING SIGNIFICANT TRANSFORMATION
 FRAMEWORK

EXPECTATIONS
• Employees asked to prepare a document at the start of the year listing the
expectations. Update and revise document throughout the year.
• Managers to review team objectives and select a few key priorities. Time limit
set for achievement/delivery of goals.
• Reminders sent to managers to review periodically.
 FRAMEWORK
FEEDBACK – TWO WAY
PERFORMANCE, ASPIRATIONS, POTENTIAL AND DEVELOPMENT

• Managers
• Provides insights on the “Big Picture”
• Don’t do all the talking. Listen and ask questions for clarity
• Communicate what was working effectively and what needed improvement
• Advice: Actionable, relevant and not overwhelming
• Employees
• Give feedback to manager on level of support they were providing and what needs
improvement
• Aspirations for future
• “Don’t be a victim.” If manager isn’t driving discussions or providing feedback, ask for it.
 FRAMEWORK
GROWTH AND DEVELOPMENT

• Ownership

• Identify what can be done to grow in current role and what needs improvement.

If you check in as you go along, the way you get to see your progress and
that builds the momentum to go just one step further and one step further
until that goal is achieved. – Member, IT Organization, Adobe
 CHANGE MANAGEMENT
1. BLOG: It’s Time to Radically Rethink the Annual Performance Review.
2. FRAMEWORK DRAFT AND IMPLEMENTATION
3. PEOPLE RESOURCES
4. SESSIONS
5. WEBSITE
6. EMPLOYEE RESOURCE CENTER
 MATURING TO ADULTHOOD
• Maturation in terms of product development
• Adolescence in terms of HR perspective
• Brand Identity Survey: Well respected and loved but lacked visibility.
• Find its voice!
• Assertiveness
• Louder and prouder brand!