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Employee performance is essential in determining organization’s productivity level. Given the important role that organizational workers play in driving the various activities towards achieving the stipulated business goals, organizations are keen to monitor as well as evaluate the level of contributions that their employee makes in the firm (Micheli & Manzoni, 2010). In the drive to optimize their performance and employee engagement, many organizations often use annual performance reviews which involve formal discussion on the workers' ongoing development as well as performance. The process entails planning the actions to be taken in the next period while reviewing the activities and achievement in the last period (Armstrong & Taylor, 2014).
However, in the recent past, the popularity of this performance management approach has declined as many business firms are ditching this method in preference to other strategies that are rather informal in nature. Many companies are abandoning annual reviews because they are complicated and expensive in terms of time and resource utilization yet with no significant improvement in performance. It is against this background that the present paper reviews the case study on Accenture and why it is ditching annual performance review to adopt regular feedback. The paper critically explores whether abandoning performance reviews was beneficial or costly to the organization in terms of operational expenses as well as employee performance. In the end, the paper provides some recommendations for other alternative approaches that Accenture could use to monitor and evaluate their workers' performance effectively.
Noting from the case study, it is quite evident that it is a prudent move for Accenture to abandon the formal performance reviews totally.
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