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As the production supervisor for Sweeny Electronics, Nakeisha Joseph was generally well regarded by most of her subordinates. Nakeisha was an easygoing individual who tried to help her employees in any way she could If a worker needed a small loan until payday, she would dig into her pocket with no questions asked. Should an employee need some time off to attend to a personal problem, Nakeisha would not dock the individual's pay; rather, she would take up the slack herself until the worker returned.

Everything had been going smoothly, at least untill last performance appraisal period. One of Nakeisha's workers, Bill Overstreet, had been experiencing a large number of personal problems for the past year. Bill's wife had been sick much of the time, and her medical expenses were high. Bill's son had a speech impediment, and the doctors had recommended a special clinic. Bill, who had already borrowed the limit the bank would loan, had become upset and despondent over his circumstances.

When it was time for Bill's annual performance appraisal, Nakeisha decided she was going to do as much as possible to help him. Although Bill could not be considered more than an average worker, Nakeisha rated him outstanding in virtually every category. Because the firm's compensation system was heavily tied to performance appraisals, Bill would be eligible for a merit increase of 10 percent in addition to a regular cost of living raise.

Nakeisha explained to Bill why she was giving him such high ratings, and Bill acknowledged that his performance had really been no better than average. Bill was very grateful and expressed this to Nakeisha. As Bill left the office, he was excitedly looking forwad to telling his work buddies about what a wonderful boss he had. Seeing Bill smile as he left gave Nakeisha a warm feeling

1. From Sweeny Electronics' standpoint, what difficulties might Nakeisha's performance appraisal practices create?

2. What can Nakeisha do now to diminish the negative impact of her evaluation of Bill?

3. Might a forced distribution performance appraisal system overcome the probem that Nakeisha has created? Discuss.

Operation Management, Management Studies

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