My father was near retirement as a manager and he refused to participate in that system. He chose to retire before it became active.
I have a friend who was one of the top engineers at IBM. Shortly after the ranking system was implemented, he got his pink slip. What happened was he got a promotion as a reward for his accomplishments and hard work, and unbeknownst to him this promotion lowered his ranking enough to put him in "the window".
Needless to say, his colleagues were shocked. His managers could do nothing to reverse the process despite the fact that he was a vital asset to the company. After he left, the shock wave impacted morale and left a corrosive environment that affected production and that drove out many valuable employees. My friend and many others refused to return to IBM. Word spread to colleges and many students refused to speak to recruiters from IBM.
GE tried the same system and eventually abandoned it.