Your Blueprint for a Successful Pay-for-Performance Cycle

# 1 |   Preparation checklist: before the review cycle

• Confirm review cycle timing (period end dates, effective dates) 

• Ensure all employee goals are finalized and documented before reviews begin 

• Update review dates and templates 

• Map correct templates and rating scales to the compensation process 

• Review proration logic for employees who joined, left or changed roles mid-year 

Note: missing these steps can result in confusion to end users, delays and rework for HR and payroll teams. 

# 2 |      Execution checklist: during the review cycle

• Ensure employees complete self-evaluations on time 

• Verify managers’ requests for additional feedback for evaluations 

• Communicate the process to the managers so that ratings are not discussed with employees ahead of calibrations  

• Run checks to confirm all evaluation steps are completed 

• Mass advance processes if needed to meet calibration deadlines 

# 3 |    Calibration: timing + results

• Complete calibration sessions between HR and people managers
• Finalize and update overall ratings 
• Communicate timelines and readiness of ratings discussions with employees 

# 4 |    Compensation decisions + communication

• Communicate how performance reviews impact merit increases 
• If compensation is non-discretionary, ensure fields cannot be edited in the process 
• Prepare managers to communicate pay decisions clearly 

Note: Lack of transparency or poor communication can lead to confusion and disengagement. 

A well-designed pay-for-performance program is a catalyst for organizational excellence, helping your team align their individual achievements with broader company goals. By following the steps and guidelines outlined above, your team can foster fairness throughout the review cycle. 

In need of tools that unify your review and compensation process into a seamless experience? In addition to our technology suite, we offer comprehensive consulting services, including program design, change management and ongoing support. We partner with you to optimize your processes based on your specific needs + deliver measurable results so you can get the most out of your Workday investment. If you’re curious to learn more, use the form here to get in touch with our Workday experts →