If that's the new system, it is the perfect illustration of how inept Intel is at managing people - and the executive staff composed of both clueless and coward.
First, it is reminiscent of the system that Microsoft bagged because it caused many negative behaviors.
"Quarterly" means it will be "continuous" at Intel. Look for things like weekly reports have to be in review format -- or you actually just incrementally update the current quarter's review document. This is because managers are lazy. On the other hand, it sucks to be them, as the paperwork has just quadrupled and 8/12 months will now be occupied by the review process. Or, the managers will pencil whip the first 3, and only the 4th one will really count.
Projects are typically more than a quarter long; 2 years would be closer to the natural cycle. Yet you're going to evaluate every 13 weeks. If you're thinking "milestones," seriously, shove those up your ass
On track/not on track? Or, in other words, a binary classification, 1/0. Just what is a manager supposed to do with that? If the manager was, uh, actually managing people, shouldn't everyone be a 1? If you give someone a 0, just how are they supposed to feel? Is that "off track" in the sense of a tire hit a rumble strip (not a big deal) or in the sense of the train jumped the tracks and the oil tankers are on fire?
Now every quarter a tiny amount of stock is going to be dribbled out. Yeah, that's motivating. "Here Mr. Engineer, accept this tiny bit of stock as appreciation for your efforts over the past quarter. If you're a good boy, next quarter we'll give you another tiny bit of stock! Now run along and apply Snell's equation, or whatever it is you do."
Finally, it will create an atmosphere of constant surveillance. Mistakes will be buried ("Oh no, I showed my humanity by screwing up, I'll be a 0 this quarter!").
Where is the Chairman of the Board (COB)? AB, you're smarter than this.
The head of HR -- RT -- should also be putting a stop to it and propose a more modern system -- or resign (you'll be ok RT, you already have enough money -- besides, you especially should know it's time to get the freak out of there).