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Appraising Performance at Precision

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Submitted By reem1kish
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According to Martocchio (2011) “Effective performance appraisals drive effective merit pay programs. Merit pay systems require specific performance appraisal approaches. Administering successful merit pay programs depends as much on supervisors’ appraisal approaches as it does on the professionals’ skills in designing and implementing such plans” (pg. 60). Types of Performance Appraisal Plans includes: Trait systems; Comparison systems; Behavioral systems; Goal-oriented systems.
Response to number 1: The problems with Precisions’ performance process that might cause challenges for Jackson to implement a merit pay program are three in total. First, employees do not have written job descriptions that clearly state their performance expectations. This will cause a challenge in implementing a merit pay program because job descriptions are a product of job analyses which provides the supervisors a the tool to create objective performance measures. Second, rating all employees about the same can cause employees to level charges of illegal pay discrimination against the employer based on the Equal Pay Act of 1963. Third, employees and supervisors communicate very little about performance. This will cause a challenge in implementing a merit pay program because employees must clearly understand what they need to do to receive merit increases and what the rewards for their performance will be. Open communication helps an employee develop reasonable expectations and encourages him or her to trust the system and those who operate it. Response to number 2: Precision would be recommended to complete following steps to make the performance appraisal process align it with a merit pay program:
1. Link Performance Appraisals to Business Goals – the standards by which employee performance is judged should be linked to a company’s competitive strategy or strategies.
2. Analyze Jobs

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