Read the following passage and answer the questions :
The Chairman astonished HR leaders by announcing the company’s discontinuation of annual reviews, substituting them with immediate feedback, goal-oriented coaching and weekly incentives. This transformation, once considered heretical, has gained widespread acceptance: around one-third of U.S. companies, including Adobe, Deloitte, GE, Microsoft and PwC, have transitioned from inflexible annual evaluations to regular, informal assessments. Conventional performance evaluations, previously effective for determining compensation and recognizing talent, have evolved into expensive, bureaucratic processes that are unpopular among both employees and managers. Critics contend that they prioritize historical conduct over prospective development, hinder collaboration and do not fulfill commercial requirements. Originating from the military’s merit rating system, performance appraisals have transitioned between accountability and development, influenced by variables including inflation, compulsory ranking at GE, executive compensation reforms and the competitive pursuit of talent. Currently, low inflation, streamlined organizational structures, agile work methodologies and the necessity for ongoing innovation have made annual reviews redundant. Organizations are currently emphasizing agility, collaboration, and personnel development, concentrating on continuous dialogue and immediate objective. Despite ongoing challenges-such as bias, salary discrepancies and inadequate supervisor training-organizations that implement continuous feedback mechanisms experience enhanced satisfaction, superior coaching and greater alignment with corporate objectives. The transition signifies a necessity: performance management must adapt to cultivate future talent.