Unacademy’s Unconventional HR Pivot: Navigating Performance Challenges with Transparency and Timeliness
Introduction:
In a bold move, leading edtech giant Unacademy has decided to overhaul its approach to handling non-performing employees. CEO and co-founder Gaurav Munjal recently communicated internally that the company is abandoning the conventional Performance Improvement Plans (PIPs) in favor of providing a direct exit for employees who fail to meet performance expectations. This strategic shift reflects Unacademy’s commitment to fostering a dynamic and efficient work environment.
The Decision to Ditch PIPs:
Gaurav Munjal’s message on the internal communication channel emphasized the ineffectiveness of PIPs, stating that they often do not lead to positive outcomes and merely prolong the decision-making process. Munjal expressed a clear stance on the matter, stating, “We are putting a ban on PIP. We will not have PIP in the organization moving forth.” This decision challenges the traditional industry practice of offering struggling employees a structured improvement plan.
Direct Exit as the New Norm:
Unacademy’s new approach places a strong emphasis on timely feedback and swift decision-making. Munjal advocated for giving constructive feedback to employees not meeting expectations, and if performance issues persist, the company encourages parting ways amicably. This departure from the conventional PIP model aims to streamline processes and maintain an agile work environment where performance concerns are addressed promptly.
Response from Unacademy:
In response to queries regarding this shift in HR strategy, Unacademy clarified its position in a statement to Inc42. The company affirmed that if an employee is not performing well, they have the option to serve their notice period and exit the company. This straightforward approach aligns with Unacademy’s commitment to maintaining a high-performance culture.
New Chief People Officer:
This strategic shift comes on the heels of Unacademy appointing Sandhydeep Purri as its new Chief People Officer. The company’s decision to revamp its approach to employee performance coincides with Purri’s entry into a key leadership role. It suggests a deliberate effort to align HR practices with the evolving needs of the organization.
Conclusion:
Unacademy’s decision to do away with PIPs and adopt a direct exit strategy for non-performing employees marks a progressive step in reshaping traditional HR practices. The move reflects the company’s commitment to agility, efficiency, and maintaining a high-performance culture. As the edtech industry continues to evolve, Unacademy’s innovative approach to human resource management may set new standards for the sector.