Reference no: EM133044090

You will be conducting an annual performance appraisal. It is a process that involves performance-based guidelines. The performance appraisal process sets out to achieve agreement between you (the appraiser) and each member of your team (the appraisee) on the objectives to be achieved over the next financial period as well as development plans for improving performance and competence. 

The organisation's proposed reward distribution for performance merits are: 25% employees get the maximum bonus, 50% get the minimum bonus and 25% get nothing.

In your section, there are twenty (20) employees. Five (5) out of the twenty (20) employees have been appraised to have above average performance. You will be proposing the maximum increment of 15% for these employees. 

Jim Tan, one of the five (5) members, is a valued team member has certain limitations. He has reached the top of his salary scale. 

(a) Explain the 6-stage process of communication to effectively manage the message about the purpose of performance-based pay structure. 

(b) During the reward distribution in a performance appraisal exercise, analyse the impact of fairness and justice when used to determine job performance. Relate your answer to distributive justice and procedural justice on appraisal formats and appraisers (raters) skill in rating performance. 

(c) Examine the statement: "Provision of incentive schemes, rather than increase in base pay, is a better motivating tool to all employees". Illustrate your evaluation in the context of the total compensation strategy and use AMO theory to support your justification. Relate your answer to one selected job. 

NOTE: Kindly do NOT provide answers in point forms
Cite any reference used for your answers
REFERENCE: Gerhart, B., & Newman, J. M. (2020). Compensation (13th ed.). McGraw-Hill