Adobe is blazing a trail. Rosemary Arriada-Keiper, Head of Rewards at Adobe reviews several of the compensation details of their new program.
1) Has Adobe completely done away with performance appraisals (evaluating past performance)?
Rosemary: Yes, we no longer have performance appraisals. While we still believe we need to evaluate performance, we believe this should be done on an on-going basis through regular feedback provided during “check-ins”. These are on-going discussions between employees and managers about goals, status against them, what is working, what is not, whether goals need to be modified or reprioritized given the environment, etc. ...These “check-ins” are not written. ...We encourage at a minimum that "check-ins" happen quarterly but we typically see monthly in practice.
2) Has Adobe completely stopped giving performance ratings?
Rosemary: Correct, we no longer provide a rating. ... because of “check-ins” both managers and employees should have a very good sense of performance by the time managers need to make compensation recommendations.
4) You mention there are rewards for key talent. How are key/high performers selected...?
Rosemary: We have a separate process for that whereby discussions about key talent happen with leadership in the respective organizations. We do identify who they are and they are “tagged” in the system as Key Talent (yes/no) but no rating per se.
Key talent receives stock although occasionally they get cash. Both managers and individual contributors are eligible. The total pool is no more than 2% of the employee population.
5) What has been the response from both managers and employees about this change in program?
Rosemary: Very positive. There’s lots of relief around not having to write annual performance reviews and label employees a certain way. That said, the conversations managers have with their employee has had to shift from “these are the guidelines given to me by HR [to} push[ing} managers to own their decisions and be able to articulate them (and defend if challenged).
Related tools & posts by Deb:
- Stay in touch with Best of the Best news, taken from Deb's NINE multi-gold award winning curation streamsfrom @Deb Nystrom, REVELN delivered once a month via email, available for free here, via REVELN Tools.