1. job analysis 
2. develop standards and measurement methods
3. informal PA- coaching and discipling
4. prepare for and conduct the formal PA

• american natonal standards (ANSI) 
• valid and reliable 
• acceptable and feasible 
• specific 
• it's based on the mission and objectives

• formal reviews 1-2 yr, over an entire review period
• commonly used for developmental decisions 
• clear standards and coachng, it can minimize disagreements over performance
• managers commonly keep a file folder on employees
• these are important employee actions which can help or hurt performance

1. set individual objective and plans 
2. give feedback and evaluate performance
3. reward according to performance 

• includes the three step process
• referred to as work planning and review, goals management, goals and controis, and management by results 
• best method of developing employees
• not too commonly used as the sole assessment method
• more difficult and time consuming 

• supervisors 
• peers
• subordinates 
• self
• customers 
• 360-degree evaluation

These give evaluations can give good insight into the managerial practices 

Problems with this: there is a potential for bias

1. severity/strictness (below average)
2. central tendency (medium)
3. lenicency (above average)

1. base pay (wage vs. salary)
2. add-ons
3. incentive pay
4. benefits 

this is theory that employees are motivated when the ratio of their perceieved outcomes t inputs is at least roughly egal to that of others referent individuals 

-employee is either underrewarded, overrewarded, or equitably rewarded 

• makes it easy to evaluate individual employees
• offers the ability to match rewards to employee desires 
• promotes the link between performance and results 
• may motivate less productive employees to work harder 

• many jobs have no direct output
• may motivate undesireable employee behaviors
• record-keeping burden is high 
• may not fit organizational culture

• when there are distinct, measurable outcomes for individual efforts
• when individual jobs require autonomy 

• promotes better teamwork
• broadens individual outlook
• requires less supervision 
• is easier to develop than individual incentive programs

• social loafers 
• individuals output may be discounted 
• outstanding performers may slacken efforts
• group fighting 

• when we need people to cooperate
• when individual contributions are difficult to identify 
• when group members possess either similar or complementary skills 

this can cause quality problems, amount of work time of completion, and can get paid for hour work for working less 

• profit sharing programs
• gainsharing plans 
• employee stock ownership plan (ESOP)

• poor management 
• complicated programs
• employees can't affect the desired outcomes 
• employees don't know how they are doing

• do they really work? 
• incentive to entittlemetnt- an easy step
• "do only what gets paid for" syndrome

Specific

Measurable

Attainable

Relevant

Time-based 

• BLS (bureau of labor strategic, benefits avergae roughly 31% of total employee compensation cost 
• every $100 that goes into employee paychecks, another $45.40 is spent on benefits 
• staggering to most people

• tax advantages 
• statutoru requirements
• influence of organized labor
• buying in bulk

• amounts 
• mix
• flexibility 

1. A- Hospital Insurance (HI)
2. B- non-hospital related (outpatient) medical services insurance (MSI)
3. C- medicare advantage plans, combo of A and B
4. D- presciption drug benefit

1. occupations
2. experience rating
3. level of benefits payable

• indiv. quit voluntarily 
• fail to look for work
• terminated "for cause" (did something wrong)
• refuse suitable work
• participated in a strike against the company 
• becomes self employed 

• have worked a least 1,250 hrs over the previous 12 months
• work for a covered employee
• worked for a total of 12 months

• paid time off (PTO)
• group health insurance 
• retirement benefits 
• employee insurance coverage 

• vacation or annual leave (federal law doesn't require this) 
• sick leave (most popualr, designated "sick days")
• holiday pay
• paid personal leave (to visit their child, funeral leave, "mental health") 

• health maintenance organization (hm0)
• primary care physican (pcp)
• preferred provider organizations 
• health/medical saing accounts (hsa/msa)
• high-deductible health plan (hdhp)

• defined benefit plan
• defined contribution plan 
• 401(k) and 403(b) plans - accounts are available to nearly all employees of corporations as well as most self employeed persons