In preparation for this discussion, read the assigned chapters, including the case study "Appraising Performance at Precision" in Chapter 3. Then, answer the following questions
What are some problems with Precision's performance appraisal process, and how might these problems cause challenges for Jackson's implementation of a merit pay program? What changes do you recommend Precision make to the performance appraisal process in order to align it with a merit pay program?
In response to your peers, further the discussion by comparing and contrasting your initial responses to those of your classmates. Support your response with citations from the reading or other scholarly sources.
What are some problems with Precision's performance appraisal process, and how might these problems cause challenges for Jackson's implementation of a merit pay program?
What changes do you recommend Precision make to the performance appraisal process in order to align it with a merit pay program?
There are a few problems with the Precision's performance appraisal process. For the last 10 years, all employees have received the same percentage increase in base pay (Martocchio. 2015). This shows that the company is struggling to know the difference between good and great performance. Showing that even in the past appraisals all employees have been rated fairly the same. As Jackson tries to create a performance appraisal process there may be multiple complaints from employees because there was never a complaint before. Although this may be a problem it is something that will help improve the company and have the top-performing employees get rewarded.
Past appraisals suggest that the supervisors rated all the employees about the same
(Martocchio, 2015). Because of this flaw, there must be a revaluation with the supervisors and proper training to help determine what is going wrong with these evaluations. This training must revise ethical understanding, making sure supervisors are being fair and rational. As well as proper communications, showing supervisors how to express and provide feedback to employees who need improvement. In a perfect world, it would make sense if all employees were rated average because they would all be perfect workers, but because we are human there is bound to be some misunderstanding or mistakes that need to be fixed during these evaluations.
Resources:
Martocchio, J. J. (2016). Strategic Compensation: A Human Resource Management Approach. Pearson