The Evolving Role of HR Leaders in Performance Management to Meet Modern Workplace Needs
The Annual Review Is Dying. What Replaces It Matters Enormously. The annual performance review — the cornerstone of performance management for decades — is in unmistakable decline. Adobe eliminated annual reviews in 2012. Accenture dropped them in 2015. General Electric, the company that popularized forced ranking distributions, abandoned the practice. Deloitte surveyed its own leaders and found that 58% believed their performance management approach drove neither employee engagement nor high performance. Goldman Sachs and Microsoft made high-profile changes. The direction of travel is clear. But dismantling the annual review is easy. Building something better requires genuine redesign — and that redesign increasingly falls to HR leaders who must shift from administrators of evaluation processes to architects of continuous performance systems. Understanding how this role is evolving, what the research supports, and what the pitfalls are matters for every HR professional navigating this...