There will also be more emphasis on teamwork and collaboration. Microsoft will be more specific about what is deemed a special performance and will not only focus on the work an employee does, but will also evaluate how the employee uses ideas from others and what they contribute to others' success, she said.
Furthermore, there will also be more focus on employee growth and development. Through a process called "Connects" there will be more timely feedback to help employees learn, grow and drive results, she wrote.
The changes were devised after obtaining feedback from thousands of employees over the past few years, and following a review of numerous external programs and practices, she wrote. The transition to the new system started on Tuesday, she said.
Microsoft is currently undergoing a vast restructuring that is aimed to help the company innovate faster and operate in a more coherent manner. The restructuring should focus the company on a single strategy, said departing CEO Steve Ballmer when he announced the his plan in July.
Loek is Amsterdam Correspondent and covers online privacy, intellectual property, open-source and online payment issues for the IDG News Service. Follow him on Twitter at @loekessers or email tips and comments to email@example.com