Allocation of financial reward based on performance : After the manager

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4. Ranking employee against other employees of the same organization : In

this step, employees from different teams are put in the same pool and ranked against each other according to the impact each one of them made during the year. Usually, high - level managers attend this ranking meeting along with direct managers and make their decisions on the ranking process. In this meet- ing, an employee could have been very successful according to a manager ’ s expectations but ranked with lower performance than an employee of another team who worked on a critical and highly visible project. An employee who solves a customer issue may impact the company ’ s financial performance more effectively than an employee who patents a new invention and, as such, be ranked higher. This part of the process is normally the most stressful for managers, and requires a lot of negotiations and compromise. A final ranking for all employees of the organization is the final outcome of these meetings.

5. Review results communication to the employee : This is the last step of the

reviewevaluation process in which the employee is communicated to by his manager the result of hisher performance last year and the next steps for him her to advance to the next level. This part of the process is the most stressful for employees and managers. A manager has to explain to his employees what they have done right, what they need to improve on, and convince them this is in their best interest. Managers also have to explain very clearly to their employees what they need to do to improve. Employees have to prepare for all possible results. Table 9.1 Example of Employee Rating for the First Four Levels at SEMITech Level 1 Level 2 Level 3 Levels 1, 2 Items Plus . . . Level 4 Level 3 Plus Product Impact Scope of Innovation Accomplishes technical tasks specific to sub - project. Accomplishes technical tasks specific to sub - project. Clearly documents and communicates about the project. Strong technical influence and contribution to important aspects of the project. Organizational Impact Influence Clearly communicates work and ideas to team members and supervisor. Clearly communicates work and ideas to team members and supervisor. Contacts are primarily with immediate supervisor and others on the team. Sought by project peer to supply specific information on current project responsibility. Uses relationships and analysis of data to gain support for proposals. Decisions frequently affect the performance and success of the project. Influences tactical business issues that impact the entire team. Interacts with senior internal and external personnel to get updated information, answers, or advice to shorten own learning curve. Strategies are influenced by hisher recommendations. Continued 196 CASE STUDIES Level 1 Level 2 Level 3 Levels 1, 2 Items Plus . . . Level 4 Level 3 Plus Technical Expertise Demonstrates basic engineering skills. Work is of good quality. Works on tasks of low to medium complexity, based on specifications developed by others. Working technical knowledge in one technical area. Work employs company - wide BKMs. Shows consistent growth improvement in areas of contribution. Works on tasks of low to medium complexity, based on specifications developed by others. Regarded as an expert in area of contribution. Work has high quality consistent with the complexity and risk of assignment. Work either extends or employs company - wide BKMs. Shows consistent growth improvement in area of expertise and its application. Needs minimal assistance on medium to complex tasks. Regarded as an expert in several technical areas. Understands risks and manages them effectively. Exhibits initiative independence in finding ways to ramp up in new technical areas. Comfortable with medium to high complexity projects. Teamwork and Leadership Viewed by peers as a positive team player; demonstrates a professional attitude. Gives credit where credit is due. Viewed by peers as a positive team player; demonstrates a professional attitude. Displays a willingness to volunteer for projects outside job scope. Gives credit where credit is due. Viewed by peers as an excellent role model for communication, teamwork, and leadership skills. Shifts between leader and follower as needed. Sets clear expectations and requirements for team. Networks effectively to share methods and information to uncoversolve issues. Openly shares and accepts ideas. Viewed by manager as more of a peer than a subordinate. Builds credibility and consensus both within team and external to team. Identifies problems and solves them. Business Understanding Understands high level of how his work impacts the whole project. Understands how hisher work and that of hisher immediate work group fits business goals. Independently adapts hisher work and that of hisher immediate work group based on a solid understanding of business goals. Identifies, quantifies, and flags problems at a team level. Proactively generates possible solutions to problems including cost benefit analyses; drives solutions across the project.