Subject category:
Human Resource Management / Organisational Behaviour
Published by:
Harvard Business Publishing
Version: 20 November 1991
Length: 6 pages
Data source: Field research
Abstract
Merck & Co, Inc, a major pharmaceutical company, is in the process of reviewing and evaluating its personnel policies and practices. Employee interviews revealed that rewards for excellent performance were not adequate: outstanding performers received salary increases that were, in many cases, only marginally better than those given to average performers. In many cases, outstanding performance was not even clearly identified. The objective is to have students wrestle with a common malady of performance appraisal systems: the tendency of managers to assign uniform ratings to employees regardless of performance. Alternative appraisal systems should be suggested and discussed.
Location:
Industry:
Size:
USD6 billion sales, 35,000 employees
Other setting(s):
1986-1989
About
Abstract
Merck & Co, Inc, a major pharmaceutical company, is in the process of reviewing and evaluating its personnel policies and practices. Employee interviews revealed that rewards for excellent performance were not adequate: outstanding performers received salary increases that were, in many cases, only marginally better than those given to average performers. In many cases, outstanding performance was not even clearly identified. The objective is to have students wrestle with a common malady of performance appraisal systems: the tendency of managers to assign uniform ratings to employees regardless of performance. Alternative appraisal systems should be suggested and discussed.
Settings
Location:
Industry:
Size:
USD6 billion sales, 35,000 employees
Other setting(s):
1986-1989