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Performance management and talent development create alignment and accountability for the execution of business strategies. Performance ratings have traditionally been a way to ensure the consistency of HR processes, such as compensation and promotion decisions. However ratings, and particularly a forced distribution curve, produce a series of negative side effects, including a feared conversation at year-end that leaves people disengaged and requires tedious documentation for managers. A new trend is to focus on dialogue about the work as a substitute for ratings. The approach is anchored in
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