This approach ensures transparency and consistency and aligns with Microsoft’s commitment to reward outstanding performance
Microsoft has introduced a discreet employee performance-rating system known as ‘impact descriptors,’ designed exclusively for managers’ use and not disclosed to employees. These ratings play a pivotal role in determining employees’ compensation and bonuses, referred to as ‘rewards’ within Microsoft. The company emphasises that these descriptors differ from conventional performance ratings or labels associated with individual employees. Not revealed to employees, these ratings promote a growth-oriented mindset.
The impact descriptors include four categories: ‘Lower than Expected Impact (LITE),’ ‘Slightly Lower Impact than Expected (SLITE),’ ‘Successful Impact,’ and ‘Exceptional Impact.’ Each category is defined in detail to guide managers in their assessments via a guidelines document.
Source: HR Katha