Imagine a natural garden. Do you picture the same green over and over again in neat, manicured rows? Probably not. Some trees have remarkable dangling roots, while others have dense canopies that tower over you. Some reach for the sky, while others gracefully sprawl horizontally. A few reveal fresh leaves at intervals, while others burst with a lush bounty of leaves and flowers. Some thickets thrive in the warmth of sunlight, while others flourish in the cool embrace of shade. Each plant grows differently and requires a unique blend of care.
Similarly, growth takes shape in different forms. People need support and nurturing tailored to their individuality to thrive professionally and beyond.
We previously wrote about leadership’s starring role in inclusive policymaking, democratizing privileges, empowering professional growth, and building a vibrant workplace. It is clear that positive leadership is critical to the success and sustainability of any organization. However, it is equally important to mindfully build accessible pathways to leadership roles through fair opportunities for all employees.
We typically associate employee growth with promotions. Let us look at what a corporate promotion cycle usually looks like: the employee and their manager meet once a year for the employee review and the manager evaluation. Based on the manager’s understanding of the employee’s work, they nominate them for promotion, consider increments, and offer other benefits.
But this process is riddled with subjectivity, biases, and favoritism that we often summarize with the term “office politics.” As a result of these biases, we find that there is a lack of inclusivity and equity in promotions. A study by HRtech firm HiBob shows that women were promoted less frequently (22% of women compared to 35% of men) in 2022 and received fewer benefits (15% of women compared to 23% of men).
How do we remove this subjectivity and bias from the review process? How do we ensure that employee growth is evaluated in a holistic manner? That increments and promotion decisions are just? At Good Business Lab (GBL), we believe it is imperative to ask ourselves these questions and constantly iterate on our processes to improve them.
Philosophy
In the ever-evolving landscape of modern workplaces, the pursuit of equitable growth opportunities has evolved into a delicate balance between values, structure, and adaptability. At its core lies a profound realization: there is no one-size-fits-all approach to reviews, increments, and promotions. The path to equitable growth meanders through a multifaceted terrain shaped by organizational size and bureaucracy, cultural context, workforce dynamics, industry intricacies, and core principles. At GBL, we’ve anchored our approach on who we are and what matters most to us, guided by a philosophy rooted in collaboration, transparency, meritocracy, and psychological safety.
Standardized Growth paths
Uniformity is the cornerstone of our growth paths, safeguarding objectivity and fairness in performance and promotion discussions. These standardized Growth Paths (competency matrix) across GBL outline core competencies required for success at each level. This approach offers a well-lit path to the next-level role—meticulously customized to cater to vertical-specific skill requirements.
These growth path levels, intertwined with transparent salary bands, ensure parity and equity across the firm.
A holistic view of performance
Our approach to performance evaluation goes beyond just the manager’s assessment. It includes various critical parameters, such as self-assessment, objective key results (OKRs), business as usual (BAUs), competency matrix, 360-degree feedback from peers, direct reports, and external collaborators. This comprehensive approach sheds light on every team member’s contributions and potential for growth.
The uniqueness is in the broad structure at the organization level and the intricate vertical-specific nuances for making growth opportunities accessible. Having a centralized recommendation process identifies and rectifies inequities and biases, thus fostering parity in decisions.
Harmonizing structure and flexibility
In the quest for fairness, we’ve crafted a cohesive framework that artfully balances structure and flexibility. This framework, while robust enough to ensure fairness, is holistic enough to recognize that employees are more than just a collection of scores. Within this framework, we empower ambitious high-performers with fast-paced advancement opportunities, all while embracing the inclusive spirit that cherishes individual growth.
The process is designed to be more adaptable and interactive; it is woven into monthly check-ins, collaborative ratings, and continuous employee feedback. Rooted in a coaching philosophy, our managers delve deep to understand each team member’s unique skills, contributions, and aspirations. They seamlessly align these with organizational needs, ensuring that individual career paths, skill sets, and interests find their rightful place within our organization. Whether one aspires to excel in an Individual Contributor (IC) role, seeks to diversify competencies across verticals, or finds comfort in contributing at any level, we welcome every trajectory.
The ‘Always on’ approach
At GBL, performance conversations are not seasonal; they are development discussions that never fade into the background. We maintain two formal half-yearly cycles, interspersed with frequent touchpoints, to avoid any surprises in the review conversations. The two cycles also help eliminate recency bias and foster fairness in annual increments based on joining dates.
Alignment, tools, and training
At the heart of our success lies alignment—from leadership down to teams and managers. Timely updates and alignment sessions help new team members integrate seamlessly into our process.
To navigate this process adeptly, we equip the team and managers with information, resources, and tools. Regular training sessions for employees and managers serve as a catalyst, enabling them to conduct impactful review conversations. Polls conducted during and after the review cycles provide valuable insights, guiding us in continual iterations and enhancements to the strategy.
Unlocking the potential of Performance improvement plans (PIPs)
PIPs, often misinterpreted as an exit strategy, prove to be powerful tools when wielded effectively. The design of this tool, supported by a well-designed structure, empowers employees to set their sights on measurable and trackable targets. This transforms the performance improvement plan into a performance success plan.
Aspirations for the future
We remain steadfast in our commitment to creating a process that is enriched by consistent feedback, robust enough to uphold our values, yet flexible enough to cater to the diverse aspirations of our employees.
Technology Integration
At GBL, technology is not a mere tool; it’s the backbone of our operations and lies at the heart of our work. We harness technology and its power to streamline processes and economize time and effort while enhancing transparency and reliability through consolidated reports and data, both internally to boost our inclusivity efforts and externally through our offerings, that make the benefits of our research easily accessible to all. None of this would be possible without our most valuable asset: our people.
At GBL, equitable growth is not a destination—it’s a journey.
This article is co-written by Sapna Srivastava and Sanj Saxena with contributions from several employees at Good Business Lab.
If you would like to share any thoughts or have any questions, reach out to us at info@goodbusinesslab.org.