Source | https://timesofindia.indiatimes.com : By Rupali Mukherjee
Mumbai: GlaxoSmithKline(GSK) will scrap the traditional appraisal system of its employees in favour of a new performance management mechanism, which includes regular dialogue and feedback. Called ‘My Plan’, the mechanism will roll out from January for over 1 lakh employees globally, including 8,500 employed across both its entities in India — GSK Pharmaceuticals and GSK Consumer Healthcare.
With this, GSK will join a growing number of consultancy and IT companies like KPMG, Microsoft, Accenture and Deloitte that have abandoned the Bell Curve — a rating system that compares employees’ performance relative to others. GSK will shift from the existing PDP (performance development plan) to My Plan, which will include a record of objectives and development.
GlaxoSmithKline Pharmaceuticals VP (South Asia) and MD, A Vaidheesh, told TOI, “GSK believes that performance management is key to delivering our priorities of innovation, performance and trust (IPT). The new system allows us to have performance conversations more frequently, focused on clear outcomes. Also, regular coaching and development conversations are key aspects of this change with the aim to improve future performance of individuals. This system will play a key role in the delivery of our goal and our IPT priorities.”
HR experts feel over the years the traditional performance appraisal mechanism has outlived its utility, and a more robust system is needed. Headhunting firm Executive Access’ MD Ronesh Puri said, “Appraisals cannot be a yearly review system, there needs to be a continuous process of feedback to employees. Also, the entire appraisal process has become tedious and time-consuming, often spilling over to June-July, after being kicked off in March.”
The new mechanism will not include the company’s sales organisation. Last year, in one of the firsts in the pharma industry, GSK rolled out a new healthcare marketing code globally, under which target-linked incentives for its sales force were withdrawn.