Management Practice Insights


Management Practice Insights

Year: 2023, Volume: 1, Issue: 1, Pages: 16-19

Original Article

From Dry Promotions to Burnouts: Time to rethink performance rewards system

Received Date:26 November 2022, Accepted Date:29 March 2023, Published Date:09 May 2023


Problem of Practice: Ever since 'The Great Resignation' 1 after Covid-19, when record numbers of employees left their job, the need for companies to keep employees engaged and motivated has intensified. Most HR executives are now looking at ways they can maximize employee engagement. Research by Dutta and team 2 suggests that traditional tools, such as promotions, can trigger unintended, sometimes negative consequences, when used on a standalone basis. The answer lies in a balanced mix of performance management levers which can be set up by carefully borrowing from the best practices


1 Kate Morgan, “The Great Resignation: How Employers Drove Workers to Quit,” BBC News, July 2, 2021,

2 Debolina Dutta, Kunal Kamal Kumar, and Sushanta Kumar Mishra, “Unintended Consequences of Promotions: Importance of Annual Incentives for Performance Management Systems,” Human Resource Management 60, no. 5 (2021): 787801,

3 Dutta, Kumar, and Mishra.

4 Brandon Gaille, “19 Employee Motivation Statistics and Trends,” BrandonGaille.Com (blog), May 20, 2017,

5 Marcus Buckingham and Ashley Goodall, “Reinventing Performance Management,” April 2015,

6 Deloitte, “Its Official: Forced Ranking Is Dead - WSJ,” Wall Street Journal, June 10, 2014, sec. CIO Journal,

7 TOI Tech, “10 IT Giants Who Changed Their Appraisal System,” The Economic Times, April 21, 2016, sec. Corporate & Industry,

8 Adobe, “Check-In,” May 9, 2022,

9 Fortune, “Fortune Best Workplaces in TechnologyTM 2022,” Great Place To Work®, September 7, 2022,

10 Ritu Tripathi et al., “Appraising the Revamped Performance Management System in Indian IT Multinational Enterprises: The Employees Perspective,” Human Resource Management 60, no. 5 (2021): 82538,


© 2023 Published by SPJIMR. This is an open-access article under the CC BY license (


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