Finally after decades of use the performance review as we know it is being phased out. The world is finally catching up with W. Edwards Deming who called for the elimination of performance appraisals decades ago! In regard to reviews Deming wrote ….
It leaves people bitter, crushed, bruised, battered, desolate, despondent, dejected, feeling inferior some even depressed, unfit for work for weeks after receipt of rating, unable to comprehend why they are inferior. It is unfair, as it ascribes to the people in a group differences that may be caused totally by the system that they work in.
According to Deming the system that people work in and the interaction with people may account for 90 or 95 percent of performance.
I was elated to read General Electric, Accenture, Microsoft and Adobe were all phasing out traditional performance reviews. Performance reviews have been one of the longest running joke an irritant in organizations for years. In many instances they are no longer performance reviews but rather performance contests.
Take stack rankings one of the most idiotic and anti-Deming type performance reviews. Contestants I mean employees are rated on a bell curve system. This means if Steve Jobs, Bill Gates and Mark Zuckerberg made up the entrepreneurial department only one could be rated high and one has to be rated low. This system along with being nonsensical is also unethical in my opinion.
While I’m delighted by the demise of performance reviews I’m sadden that it has taken so long. Kudos to those organizations trying to eliminate one of the biggest areas of waste that remains. That can only be the work of true LEAN SOLDIERS!