Core Insights - The company reported strong volume and revenue growth driven by the Britvic acquisition, with successful integration and synergy realization [2] - Despite a challenging consumer environment, solid underlying volume and revenue growth was achieved in Western Europe, along with sequential improvement in Asia [2] - The company has taken decisive actions to adjust its cost base to protect earnings growth and ensure continued investments in the business [2] - Full-year earnings guidance has been maintained [2] Group Headlines - The Britvic acquisition and consolidation of Gorkha Brewery contributed significantly to the group's performance [3]

Core Insights - Nearly half of organizations believe that optimizing performance management could boost productivity by at least 10% [2] - A significant number of organizations are integrating AI and skills into their performance management processes to enhance effectiveness [4][5] Performance Management Optimization - 39% of organizations report that their performance management processes effectively meet employee expectations for clear goals, regular feedback, and fair ratings [2] - Only 20% of organizations find managers effective in providing coaching and feedback, highlighting a gap in managerial capabilities [3] AI Integration - 37% of organizations are currently using AI in performance management, with goal setting (44%) and development plans (40%) being the most common applications [4] - A similar percentage of organizations are considering the adoption of AI to improve performance management processes [4] Skills Integration - 54% of organizations have incorporated skills into their performance management, primarily for learning and development (78%) and goal setting (40%) [5] - Only 18% of organizations utilize skills for pay decisions, indicating a potential area for growth [5] Performance Ratings - Approximately 45% of organizations use a five-point rating scale, with over half either having changed or considering changes to their rating scales [6] - Organizations are seeking simplification and fairness in performance ratings to enhance differentiation [6] Pay for Performance - High-performing employees receive merit increases that are more than twice as large compared to average performers at one-third of organizations [8] - The primary reasons for implementing pay for performance include rewarding high performers (68%) and motivating employees (53%) [8] Research Methodology - The findings are based on the 2025 Performance Management and Pay for Performance Virtual Focus Groups, which included 280 registrants for performance management and 208 for pay for performance [10]

Core Insights - Meta is increasing the number of employees rated as "Below Expectations" in mid-year performance reviews, aiming for 15-20% of employees in this category for larger teams, up from 12-15% last year [2][6] - The mid-year performance review process is seen as an opportunity for potential exit decisions, with no company-wide terminations planned, unlike earlier this year [4][6] - This change follows a recent layoff of nearly 4,000 employees, about 5% of its workforce, indicating a trend towards more performance-based cuts [6][9] Performance Review Changes - Managers are instructed to classify up to 20% of employees as underperformers, a significant increase from previous years [2][7] - The review process will begin on June 16, with discussions between managers and employees occurring from July to August [5] - The criteria for performance-based cuts include a "Below Expectations" rating or recent formal disciplinary actions [4] Historical Context - The current changes echo a similar adjustment made at the end of 2022, where the share of employees classified as underperformers was roughly doubled [7][8] - Meta's tightening of performance review criteria reflects its strategy to reshape the workforce after years of overhiring [9] Industry Trends - Meta's approach aligns with broader trends in the tech industry, where companies are focusing on performance management and efficiency, as seen with recent layoffs at Microsoft and Google [10]