There is a movement among leading companies in the United States to radically review the personnel evaluation system. The stance of “results supremacy” is changing to an evaluation system that emphasizes communication, but will that affect Japanese companies as well? We asked experts who are familiar with both Japanese and overseas HR systems.
There is a growing movement to review the conventional personnel evaluation system and performance-based system, centered on leading US companies such as Adobe Systems, GE (General Electric), Microsoft, and GAP. There are many Performance management software available in the current market to analyze and improve your employee’s performance during their job which you must try.
For example, Adobe Systems introduced a new personnel evaluation system called “check-in” in 2012. In annual interviews, the system for evaluating based on results is abolished, and by increasing opportunities for interviews with superiors and subordinates and providing continuous feedback, employees are improved in skills and motivation. .. As a result, the company’s turnover rate has been reduced to a record low.
What is happening to the personnel evaluation system of US companies? How should Japanese companies perceive this? Professor Norio Kambayashi of the Graduate School of Business Administration, Kobe University, who is conducting a comparative study of personnel systems in Japan and overseas, says: “Many US companies have introduced personnel evaluation systems called ‘rating’ and ‘stack ranking’, etc., which are individually conducted in semi-annual to annual interviews with superiors based on established evaluation criteria. Employees are evaluated and classified into top 20%, middle 70%, bottom 10%, etc. The top employees are eligible for salary increases, and the bottom is a system that encourages review of employment contracts and career changes.
Recently, it has been pointed out that this mechanism does not lead to skill development and motivation improvement of employees, although it takes time and effort. In addition, against the backdrop of changes in the competitive environment due to globalization and the diversification of in-house human resources, a personnel system that develops employees from a medium- to long-term perspective is also required in the United States. Therefore, we are reviewing the performance-based system centered on conventional evaluation and compensation, and are seeking a framework for a personnel evaluation system that emphasizes communication between employees. “
However, although such cases have been talked about, Professor Uebayashi said that it is necessary to pay attention to superficial views such as “leading companies have stopped rating evaluation” and “US performance-based system is at a standstill”. Emphasize. “Originally, in the United States, the external labor market (inter-company / non-company labor market) is highly developed, and through the market, employers can have better human resources and employees can have more talented workplaces. The culture of seeking is well established. Rating evaluations and layoffs (temporary dismissals), which tend to have a negative image for Japanese people, are not so bad in the United States, and are for corporate growth and revitalization of human resources. We have achieved some results. Many US companies, like Google, dare to leave rating evaluations while adopting a new personnel system.
One of the reasons why Adobe Systems abolished rating evaluation is that the number of local human resources has increased along with the global expansion of the business, and the conventional unified evaluation system can no longer handle it. It means that some companies are looking for a personnel system to replace ratings in order to respond to changes in their own environment.”