Performance Review Cycle

Here at VTEX, the Tech Org is currently running the Performance Review Cycle for 2022/H2. We run it twice a year.

The whole team gets involved in the process, which demands a reasonable amount of time from everyone.

What is Performance?

So what is performance at VTEX? In my own words:

Overall performance is a result of how consistently delivered results exceed expectations while also respecting VTEX foundations.

In a nutshell:

• We recognize results delivered during the cycle, not the efforts to achieve them;
• Every professional’s performance is compared to the expectations for their level;
• All that must be aligned with VTEX Foundations, our culture.

The People Team at VTEX offers a comprehensive handbook to guide the process. An important artifact from it is the Conditions of Satisfaction principles.

How is the Review Cycle Structured?

The whole process consists of three main phases:

1. Performance review: During this phase, everyone dedicates time to write their own self-review, their manager’s review (upward review), and some peer reviews when asked for it. After that, it is the time when managers write the manager review for each direct report;
2. Calibration: With the output from phase 1, it is time for calibration. This is the moment when managers’ reviews are discussed on leadership committees to promote balance among managers’ reviews and thereby remove bias;
3. Performance feedback and development plan: In this last phase, managers prepare structured feedback about the cycle. Based on the input and career motivations, managers and individuals design together an individual development plan (IDP) for the next cycle. For those below expectations, managers may develop a performance improvement plan (PIP) for the next cycle.

This is a concise description of a complex and well-structured process that takes more than a month to finish. In my understanding, the whole performance review cycle at VTEX is aligned with practices from the tech industry. I see many similarities with how big tech runs their performance evaluations.