Problem
You are the new HR Director at ABC Company. On your first day work, several middle managers stopped by your office to welcome you to the company. During their visit they mentioned they hoped you would eliminate the annual review process. They disliked the amount of paperwork the current system required. They also mentioned the reviews never changed the employee's behavior anyway.
Later in the week a few line employees stopped by to welcome you. They too complained about the review process, saying it was a waste of time and they did not every get a raise from the process.
At the end of the week your boss, the Vice President asked you how the week was. You mentioned the complaints about the review process. Your boss said, yes this was to be your top priority. You are told to "Fix the Problem".
Describe in detail what you would do. Note, focus on performance review best practices and solutions. Do not talk about getting more information from managers and employees, as this is an assumed step.