How Adobe Revolutionized Its Performance Management System (And How You Can Do It Too)

It’s March 2012. Donna Morris, then senior VP of Global People and Places at Adobe, had just arrived in India to spend time in the Adobe offices. She has agreed to an interview with the Economic Times, a leading Indian financial publication.

The reporter asks Morris what she would do to disrupt HR. Jet-lagged from the long flight, she answers, “We plan to abolish the annual performance review format.” While this was an ongoing thought, she hadn’t shared the idea yet with Adobe’s management.

However, this interview made headlines and set Adobe’s transformation journey in motion, from doing a single annual review to doing frequent feedback and coaching sessions. These sessions focus on the growth and development of all Adobe employees.

Let’s explore how the world’s leading software companies redefined performance reviews.

How does Adobe run performance reviews?

Adobe restructured its performance review system in 2012 and abolished the traditional performance review system. The previous system was designed to conduct only one review.

Instead, they introduced a more frequent and less formal performance management system called “Check-ins” that encouraged the regular exchange of feedback between the managers and employees.

The check-in system draws inspiration from the concept of pit stops in race car competitions. Pit stops help the race team to refuel and service the vehicle so that the car is in peak racing condition. Similarly, the Check-in system allowed employees to address their issues promptly.

The check-in approach revolves around a three-tier framework:

• Goals and expectations
• Feedback
• Development

Goals and expectations

Goals and expectations represent the first step in Adobe’s Check-in process, where managers and employees agree upon key results, objectives, and behaviors for the fiscal year:

1. Managers and employees set, track, and review clear expectations and goals (what and how)
2. They frequently clarify roles, responsibilities, and success criteria and metrics throughout the year—deliverables, behaviors, and contributions
3. This systematic plan reviews keep the managers and the employees on the same page

Feedback

1. Managers and employees give and receive timely feedback and training to identify strengths and weaknesses and improve performance against expectations
2. Frequent feedback helps employees and managers work on areas of improvement

Development

1. When employees know how they are performing, they can plan actionable goals to enhance their learning, career, and experience
2. Employees drive development-focused check-ins
3. Employees explore opportunities to develop and upgrade their skills and knowledge in alignment with the organization’s aspirations and individual goals
4. The development of all the employees encourages a high-performance work culture and builds future leaders

Adobe’s check-in framework under the magnifying glass

Adobe has defined detailed guidelines for executing each element in the framework for managers and employees in a Check-in Toolkit.

Let’s have a closer look at how they implement this framework.

Setting expectations

Managers lead the expectation-setting process, starting with a check-in at the beginning of Q1 to define objectives for the year. Every employee should clearly understand their expectations and how they would evaluate their success against the expectations.

Employees draft aligned goals and track progress with their managers. A one-page expectations document serves as a foundation for ongoing discussions and updates.

Stemming from this framework, Adobe evaluates performance according to the following criteria:

1. How well did employees meet the expectations?

2. What was the business impact?

3. How well did the employee collaborate with others to meet the expectations?

Employee guidelines

Adobe shares the following guidelines with employees to support them when creating the critical one-page expectations document:

• They should take time to do this well; clear expectations are essential to an effective relationship with managers
• They use the expectations worksheet to start mapping out their goals
• They should be well prepared to review a draft of their SMART goals in the meeting
• Expectations must be tangible and measurable, not just aspirational
• Ask questions and seek business context regularly
• Request informal feedback periodically

Adobe’s Check-in Toolkit clarifies the SMART goals framework to ensure all individuals are on the same page:

The expectations worksheet is central to Adobe’s performance management. Employees must complete it thoughtfully and follow through with their managers by:

• Finalizing and sharing their expectations
• Reflecting on progress before check-ins
• Seeking business context and feedback regularly

Manager guidelines

Managers play a key role in ensuring expectations are clear and actionable. They need to:

• Clarify their own expectations before discussions
• Set tangible, measurable goals with employees
• Review and refresh expectations throughout the year
• Maintain regular check-ins and communicate business updates
• Use expectations to track employee progress

Below, you can see what the template of Adobe’s expectation worksheet typically looks like:

Source: Adobe's Check-in Toolkit

Feedback

Managers and employees share responsibility for the feedback process. Managers provide feedback on performance, skills, goals, and development, while employees offer feedback on leadership and support.

Adobe’s Check-in Toolkit guides productive, frequent feedback conversations.

Managers ask:

• What does this employee do well that makes them effective?
• What is one change or improvement that could increase their effectiveness?
• What support do they need to stay on track?

Employees should engage in two-way feedback (giving managers feedback on their leadership skills), ensuring it is timely, specific, and balanced. They should avoid giving feedback when angry, ask clarifying questions, and embrace constructive criticism.

Adobe’s feedback framework

During the feedback session, Adobe shares a framework for employees and managers to get the most out of these sessions. The framework has four focus areas:

1. Specifics

Employees should ask:

• What do I do well, and why is it impactful?
• Are there any performance concerns I should address?

Managers provide clear observations and follow-through plans, e.g.:

• If you could improve X, it would enhance your effectiveness.
• I appreciate your contributions to (project/team) through X.

2. Ask

Both managers and employees should pause, reflect, and ask open-ended questions, such as:

• For employees: What should I stop, start, or continue to do?
• For managers:* If you could do it again, what would you do differently?

3. Impact

Feedback needs to highlight its expected effect on personal growth and business outcomes. Example: “By improving X, you can expect Y level of impact.”

4. Do

The most critical step is agreeing on action items. Anchor questions include:

• How can the manager support the employee’s progress?
• What will the employee do differently?

Following this session, both managers and employees must follow through with action. Adobe recommends the following “follow-through” protocols for managers at this step:

• Ensure the employee implements agreed-upon changes
• Provide frequent informal feedback
• Recognize and appreciate team contributions
• Encourage ongoing, open feedback

Growth and development

Adobe prioritizes employee growth, recognizing its workforce as its greatest asset. The performance management system emphasizes development, with dedicated meetings for career growth discussions. Expectation-setting and continuous feedback pave the way for this final step.

Employees take the lead in development by:

1. Identifying growth opportunities within their current roles
2. Demonstrating success and skill upgrades to open future career conversations

Managers play a key role in understanding employees’ skill sets and long-term goals to create relevant opportunities.

Before a development conversation, employees should:

1. Complete expectations and feedback check-ins
2. Reflect on their interests and aspirations
3. Schedule a series of meetings with their manager
4. Come prepared with clear ideas

The follow-through protocol for the employees is as follows:

• Complete the Individual Development Plan (IDP)
• Schedule follow-ups to track progress
• Review development plans every 3–6 months
• Explore online resources and internal opportunities

Managers need to:

1. Ensure expectations and feedback check-ins happen first
2. Encourage rather than direct development
3. Provide business context and active support
4. Listen 70% of the time, offering clarity without assuming all the answers

As a follow-through, managers need to:

• Ensure employees complete their IDP
• Guide employees to internal resources and opportunities
• Set follow-up check-ins to review progress every 3–6 months

Compensation decisions

Rewards and compensation are a key component of Adobe’s check-in framework, reinforcing the connection between performance, expectations, and compensation. Held between December and January, a rewards-focused check-in aligns with Adobe’s annual equity grant cycle.

Performance against goals and overall potential within the organization are the key factors informing compensation decisions. Executive leadership determines the overall rewards budget. Managers have the flexibility to adjust salary increases based on individual contributions while senior leaders review and refine these recommendations.

High performers receive additional recognition through annual stock grants.

Promotion and performance improvement decisions

Employees are eligible for promotions throughout the year, not just during the rewards-focused check-in in December/January.

Employees struggling to meet expectations will follow a performance management plan, with heavy use of documentation and short-term goal setting.

It is worth noting that, with the continuous feedback built into Adobe’s Check-in framework, managers can promptly identify and address performance issues rather than being confined to a single annual review cycle.

This proactive approach ensures that recognition and corrective actions happen in real time, fostering a culture of growth and accountability.

Reasons behind Adobe’s overhaul of their old performance review system

Before Check-in, Adobe’s annual review was quite traditional.

They would run annual performance reviews with a stacked ranking system, where managers assigned one of the following performance ratings to their employees:

• High performer
• Strong performer
• Solid performer
• Low performer

The stacked ranking system means there were limitations to how many people could receive the” high performer” rating. The employee’s level, rating, and ranking would define salary raises and equity grants.

Adobe was one of the first companies to abolish the annual reviews and switch to a tech-based frequent performance review process.

Employees engaged immediately when Adobe communicated the update on the company’s intranet. There were hundreds of posted replies from the company’s workforce, showing enthusiasm and support for the change.

Here are the reasons why Adobe completely revamped its performance management system.

1. Excessive administrative burden

The annual review process was a major time drain. Morris estimated the process side alone (outside of the actual end-of-year feedback session with the employee) was consuming approximately 80,000 manager working hours across the company. Despite attempts to streamline the process, the sheer administrative effort required from managers outweighed its benefits.

2. Negative impact on employee engagement

Employee feedback repeatedly identified the annual review as one of the most frustrating internal processes. The review often led to unexpected negative surprises, as some managers hesitated to provide constructive feedback throughout the year. This lack of ongoing dialogue resulted in disengagement, missed opportunities for improvement, declining morale, and even higher turnover.

3. The failures of stack ranking

Adobe’s reliance on stack ranking—a system that limited high-performance ratings to a small percentage of employees—created unhealthy competition. Rather than fostering collaboration, employees prioritized individual rankings, often at the expense of teamwork. This approach directly conflicted with Adobe’s commitment to a team-based work environment.

4. Outdated review frequency

An annual review cycle failed to support a dynamic, fast-moving company. Reviews primarily assessed past performance rather than providing real-time feedback for continuous improvement.

The infrequent nature of these conversations led to increased attrition, particularly in the months following performance evaluations, as employees were left dissatisfied and uncertain about their future growth.

5. Counterproductive performance labels

Performance ratings like “solid performer” / ”meets expectations” carried unintended consequences.

Employees used to fixate on their rankings rather than on constructive feedback, often equating the “meets expectations” label to failure.

This rigid categorization ignored the nuances of employee contributions, where individuals might excel in some areas while needing development in others.

6. A misalignment with business realities

Adobe’s shift from perpetual software licensing to a cloud-based subscription model required a more agile workforce.

A once-a-year review cycle no longer aligned with the company’s need for continuous iteration, innovation, and responsiveness. The business had evolved, and its people practices needed to evolve with it.

The key to Adobe’s performance review success

Adobe’s transformation from traditional performance reviews to a continuous check-in model has proven to be a game-changer in driving employee engagement, retention, and business success.

The key to its effectiveness lies in the seamless integration of expectations, goal-setting, feedback, development, and compensation, creating a system that is dynamic, transparent, and aligned with Adobe’s fast-paced, innovation-driven culture.

Empowering managers with ownership and accountability

One of the most significant shifts in Adobe’s performance management approach was placing full ownership in the hands of managers.

Previously, managers could avoid difficult conversations about raises or performance ratings, blaming HR and the rigidity of the stacked ranking system. With the new system, managers received decision-making power and the necessary resources to make fair, informed compensation decisions, including market compensation data and role-specific benchmarks.

This shift reinforced a pay-for-performance philosophy, where managers could differentiate rewards more effectively based on individual contributions and potential.

As a result, they need to engage in real, meaningful discussions with their teams about their performance, impact, and career trajectory, creating a more transparent and accountable system.

Reducing cognitive load for managers

By moving away from an annual review process, Adobe also addressed a fundamental challenge for managers: cognitive overload (and resulting recency bias).

Previously, managers struggled to recall an entire year’s worth of employee contributions, leading to biased or incomplete evaluations. The check-in approach, with frequent, ongoing conversations, allowed for real-time feedback and adjustments, ensuring that recognition and course correction happened when it mattered most.

This continuous dialogue also made it easier for employees to align their work with evolving business priorities rather than waiting for an end-of-year discussion to understand how they were performing. Timely, actionable feedback became a driving force for individual and team success.

A more agile and growth-oriented workforce

The check-in model ensures employees are always clear on expectations and have continuous opportunities for skill development and career growth.

By emphasizing ongoing development conversations, employees can be proactive about their own growth. Managers facilitate stretch assignments, role rotations, and learning opportunities, reinforcing a culture of innovation and continuous learning.

This growth-oriented approach ensures that Adobe has a workforce ready to take on new challenges as the company evolves.

Strengthening employee motivation and engagement

Unlike the old performance review process—often seen as a dreaded, bureaucratic exercise—check-ins foster a positive, forward-looking dialogue.

Employees no longer faced unexpected surprises at the end of a year. Instead, they receive regular feedback and clear guidance on improving and growing all year round.

This shift leads to increased employee engagement by eliminating the anxiety and uncertainty associated with outdated ranking systems. Employees are empowered to take ownership of their performance and development, knowing they have direct input into their career progression.

HR as enablers, not administrators of the process

The role of Adobe’s People Resources (HR) team also transformed under the check-in model. Instead of being administrators of an outdated review system, HR professionals became strategic enablers, equipping managers and employees with the tools needed for meaningful conversations. Key initiatives included:

• Training programs to enhance feedback and development planning skills.
• Enablement resources, such as toolkits and process guides, to help navigate each step of the Check-in framework.
• Templates for goal-setting and feedback, ensuring managers and employees had structured yet flexible support.

By shifting their focus from enforcing policies to building capabilities, HR helped embed a culture of continuous feedback and development across the organization.

A future-proof performance management model

Adobe’s check-in system has redefined performance management by ensuring it is continuous, transparent, and growth-oriented. By integrating expectations, goals, feedback, development, and rewards into a seamless, ongoing process, Adobe has created a workplace where employees feel valued, managers take ownership, and the organization remains agile and innovative.

This model aligns with the evolving nature of work and ensures that Adobe’s workforce is equipped to meet future challenges head-on—retaining top talent, fostering innovation, and driving business success.

How can you run a performance review process like Adobe?

Deel Engage lets you run a performance review process like Adobe. Here is a step-by-step breakdown of the process.

Define expectations and goals

The first step in managing performance at Adobe is clarifying expectations and setting employee goals aligned with business objectives.

You can define role expectations using our career progression frameworks. For each department, team, and role, you can define levels and expectations. You can customize your expectations with competency models or specific deliverables or goals.

To accelerate this process, use AI to create a detailed career framework. Define levels, competencies, and roles, and generate comprehensive frameworks in minutes instead of months.

Additionally, you can use the goal-setting feature to define and assign goals to your entire organization. These will be the benchmarks against which you will share feedback and discuss paths for growth during 1:1 check-ins.

Check-in with your employees frequently using 1:1 software

You can easily replicate Adobe’s frequent check-in ritual using the Deel Engage Slack plug-in for hosting 1:1s.

Deel allows managers and employees to set up a 1:1 cadence with their managers.

Here’s a snapshot of a reminder 1:1 participants will get, including talking points and an option to review your last meetings:

️Managers can also use post-meeting surveys to sustain the feedback loop, offering actionable insights and tracking progress.

Additionally, managers and their teams can use it to monitor meeting history, identify trends, and highlight key areas for improvement throughout the year.

To replicate Adobe’s framework in conducting the check-in process, you can name your check-ins according to the agenda, i.e., Expectation setting, Feedback, or Growth and development.

For example, in the feedback check-in agenda, you can incorporate questions such as:

• What is one thing that I do effectively?
• How does this impact the larger business context?

Grow your people with ease using development plans

Following the expectation-setting check-in, Adobe focuses on feedback and the “Individual Development Plan.”

With Deel’s career management module, employees can create development plans or, if needed, performance improvement plans.

HR teams can create templates that managers and their teams can use, enabling them, just like Adobe’s People Resources team.

Train your leaders on how to manage performance

Adobe invests in its managers’ training to further ensure overall employee well-being.

Adobe leaders must establish challenging yet attainable performance expectations, provide clear and timely feedback, and coach others on their performance and growth. Adobe ensures they have the skillset to successfully perform these tasks.

These are skills that you can nurture with Deel’s LMS module:

1. Create learning courses focused on each step of the check-in framework: how to set expectations, how to give feedback, how to assess performance, and how to coach people.
2. You can automate course assignments so all new managers will automatically receive these after a promotion.
3. You can use a blended learning approach, combining self-paced learning, social learning, and microcourses to enhance knowledge retention and learner engagement
4. To boost engagement, mix in multimedia content and quizzes

Don’t stop at leadership training. Extend learning to everyone

Enable your whole organization with learning resources. You can replicate Adobe’s Check-in toolkit with a learning journey. Structure it in multiple steps detailing each component of the check-in framework. Incorporate practical advice for each step, as Adobe does.

These learning journeys will always be available on a worker’s profile, so they can always go back and reference them when needing to prepare for a new step of the check-in process.

Enable high-performance teams with Deel Engage

Deel is not an isolated solution used for just feedback once in a while. We support your workforce in reaching the highest potential, from new hire onboarding to continuous learning and career growth.