According to CNN Money, managers were required to rank employees from best to worst, affecting everything from promotions to bonuses.
It affected morale as well.
Even if everyone on a team performed well, managers were still required to name under-performers.
Some say that lead to internal politicking.
These changes come as the company undergoes a huge reorganization and searches for a new CEO.
Steve Ballmer announced back in August that he’d be leaving the company within 12 months.
To read the complete story from CNN Money, click here.