How the Solution Becomes the Problem: The Performance Solution That Backfired at Microsoft

Abstract

With increase in competition and the threat of other companies taking a share of the market in which Microsoft has dominated for decades, Microsoft applied a performance review solution in order to boost performance, improve innovation, and to enhance success. However, its solution eventually became a liability. This case provides students and professionals an opportunity to explore the brief strategic approach, which is a lesser known problem resolution process. This process is brief and based on the idea that the problem lies in the solution and it is, therefore, the solution that needs to be analyzed rather than the problem itself.