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Issue No. 3
January 17, 2025
Why I Hated Performance Reviews and How We Can Fix Them
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Ah, performance reviews — the corporate version of a root canal. You sit there, smiling awkwardly, as someone tells you how 'opportunities for growth' really means 'you messed up last quarter.' It's like a weird talent show where your boss is the only judge, and the prize is... more work. But don't worry, this isn't another rant about why they're the worst. Nope, this is about fixing the disaster. Because believe it or not, performance reviews don't have to feel like torture. Stick with me, and let's figure out how to turn this dreaded ritual into something actually useful — and dare I say, maybe even fun.

The Broken System

It's not just me. Performance reviews are widely despised by employees and managers alike. At one point, General Electric — yes, the inventors of the modern performance review — decided to scrap their annual system altogether because it was killing morale.

GE wasn't alone. Adobe made headlines when they replaced their annual reviews with something they called the "Check-In" system. Instead of formal reviews, managers and employees had regular, informal conversations about progress and goals. The result? Employees felt heard, turnover dropped by 30%, and managers saved an incredible 80,000 hours a year.

But why did it take so long for companies to figure this out?

Why Performance Reviews Hurt More Than Help

Pay raise

For years, companies clung to outdated methods. Reviews happened once a year, often at the worst possible time — when everyone was scrambling to meet end-of-year deadlines. Managers rushed to write evaluations based on hazy memories and gut feelings, which meant feedback was often generic or outright unhelpful.

At one company, I sat through a review where I was told, "You're doing great, but you need to work faster." What did that mean? Why was I working too "slow"? Were there issues beyond my control that prevented me from working "faster"? None of this was explored so the feedback was of no help. Meanwhile, my manager was as uncomfortable as I was. I could tell they didn't enjoy giving feedback any more than I enjoyed receiving it.

This wasn't feedback; it was theater.

That wasn't the worst experience, though. At different jobs over the years, I discovered something even more disheartening: my review scores weren't really based on my performance at all! Pay raises were tied to review grades, but the grades were constrained by the budget. I was literally told, "The best you can get is a 3 out of 5 because that's the raise we can afford. I'm sorry, you deserve more but my hands are tied." Imagine being told that no matter how hard you work, the system is rigged. That's when I realized: performance reviews weren't about helping me grow. They were about numbers on a spreadsheet.

Modern review

Turning the System Around

It doesn't have to be this way. Companies like Microsoft have shown us that performance reviews can actually work if we're willing to change the script. Microsoft threw out its traditional review system and replaced it with regular development conversations. The key difference? The focus shifted from critiquing the past to planning for the future.

General Electric made a similar shift. They developed a performance management app called PD@GE that allows employees to receive real-time feedback from peers and managers. By prioritizing frequent, meaningful conversations, GE improved collaboration and reduced the stress of formal evaluations.

Even Deloitte overhauled their system, introducing project-based reviews where feedback happens immediately after a project ends. This simple change eliminated months of review preparation and helped employees grow in real time.

What You Can Do

If you're stuck in a system that feels broken, here's my advice:

  • Start small. If your company won't overhaul reviews overnight, try having informal check-ins with your team.
  • Be specific. Don't say "work faster." Say, "Your work is thorough, which I value, but improving your speed while maintaining quality would help us meet our deadlines more effectively — let's discuss how I can support you in that."
  • Separate pay from performance conversations. Transparency around raises builds trust, and it keeps feedback focused on growth.

It's not just about happier employees — it's about better results. Gallup found that companies using regular feedback systems are 21% more profitable. And honestly, who doesn't want to be 21% better?

Final Thoughts

Performance reviews don't have to be painful. They can be meaningful, productive, and even enjoyable — if we're willing to let go of the old ways.

Let's stop ticking boxes and start having real conversations. Because when we fix performance reviews, we don't just fix feedback — we fix trust, motivation, and growth.

Together, we can do better.