Jack Dorsey: No More Annual Reviews at Block

Jack Dorsey: No More Annual Reviews at Block

Hey, it’s Matt,

Welcome back to the Culture Crumbs newsletter where I try to share two minutes of HR, culture, and employee engagement insights I’ve learned in dealing with our customers at WorkStory (most of the time).

Today, we're taking a different path and focusing on a major shift in performance management strategy that's stirring up the corporate world. Ready to get the lowdown on this game-changing approach?

Let’s dive in…

Exciting news in the corporate world! Jack Dorsey, CEO of Block (formerly Square), recently announced a groundbreaking shift in performance management that's turning heads.

Why This Matters to You 

Dorsey's move away from traditional annual reviews is more than a policy change; it's a beacon for agility, continuous learning, and real-time feedback in managing talent. This reflects a modern understanding of work dynamics and employee engagement, essential for every forward-thinking organization.

Key Takeaways from Block's Strategy:

1. Embracing Continuous Excellence

   • Block is ditching annual reviews for a culture of ongoing excellence.

   • Continuous feedback aligns better with today’s fast-paced work, allowing for immediate adjustments and a more agile workforce.

2. Real-Time Feedback: A New Standard

   • Block’s shift to continuous, real-time feedback addresses the timeliness issue of annual reviews.

   • This approach keeps employees engaged and motivated with immediate recognition and feedback.

3. Transparent Performance Ratings

   • Visible performance ratings at Block ensure clarity and accountability.

   • This model can empower your workforce with a clear understanding of expectations and performance outcomes - as well as avoiding surprises in performance conversations.

4. Rethinking Performance Improvement Plans (PIPs)

   • Block is ending traditional PIPs in favor of direct, constructive feedback.

   • Proactive improvement and early intervention can now be part of your regular feedback loop without any loss of documentation.

If you’d like to read through a longer analysis of the announcement and how your organization can apply the same thinking, check out our recently published blog post here.

Apply These Takeaways to Your Organization 

Just like Block, you can revolutionize your team’s performance management. Whether it’s with us or with another platform, look for options that offer:

• Continuous feedback tools

• Real-time performance tracking

• Personalized development plans

These features enable the principles of continuous improvement and excellence, helping you to create a dynamic, responsive, and evolving workplace.

Have a great weekend!

Matt Meadows
CEO & Co-Founder of WorkStory