Adobe Abandons Annual Performance Reviews

Adobe used a ranking-based performance management system for many years. In 2012, the Senior Vice President of People Resources announced that Adobe would be transitioning away from annual performance reviews. By Fall of 2012, they had began implementing a new system, known as the Check-in approach. In this system, feedback was provided as soon as it was needed (rather than waiting) and contained steps for improving (not just punishing). It was believed that this system saved over 80,000 hours that wouldve been spent on annual performance reviews, and it was also associated with lower turnover among employees. This approach had three tenets:

Expectations: Set, track, and review clear expectations/goals (what and how) and clarify roles, responsibilities, and success criteria frequently throughout the year. Employees were expected to begin each year with a document outlining the objectives of their team or business unit, and managers and employees were expected to update their objectives as needed throughout the year (rather than only once per year).

Feedback: Give and receive ongoing feedback and coaching on a frequent and timely

basis to recognize and address and/or improve performance against expectations. Managers were encouraged to be constructive when giving feedback, and to give feedback through Check-ins whenever needed, rather than waiting until the end of the year to provide feedback.

Growth: Provide opportunities to develop and increase skills, knowledge, and experience

in employees current role in alignment with business needs and individual aspirations. Rather than focusing on employees past performance during an annual performance review, the Check-in system encouraged managers to focus on how employees will perform going forward. It is intended to give the employee ownership over their growth.

This system placed more responsibility on managers than did their old ranking system. Managers now had to be more attentive and observant of employees, and provide constructive feedback on short notice. They also needed to consider employees growth aspirations. All of the information on the Check-in system was provided online for employees and managers to access. This system faces a number of challenges though. Managers may not desire such increased responsibility. It may be difficult to justify promoting or firing an employee at a later point in time if feedback was delivered in a check-in that isnt documented. Pay decisions in this system arent guided by scores on an annual performance review, theyre controlled more by managers assessments of employees performance.

What can Adobe do in each step of performance management to ensure that the new Check-in system is implement fairly and effectively?

Which of the four steps of the Performance Management Process changed in the new system? (circle one or more)	Step 1: Define Performance	Step 2: Monitor & Evaluate Performance	Step 3: Review Performance	Step 4: Provide Consequences
How can Adobe best implement Step 1 (Define Performance)of the Performance Management Process in the new Check-in system?	(Write answer here)
How can Adobe best implement Step 2 (Monitor & Evaluate Performance) of the Performance Management Process in the new Check-in system?	(Write answer here)
How can Adobe best implement Step 3 (Review Performance)of the Performance Management Process in the new Check-in system?	(Write answer here)
How can Adobe best implement Step 4 (Provide Consequences) of the Performance Management Process in the new Check-in system?	(Write answer here)