![]() The process of distinguishing and appreciating high performers makes it easier for organizations to draw out and follow through the necessary steps to retain them. Ranking employees helps boost employee morale. Boost Employee MoraleĪlthough ranking people can lead to negative feelings and loss of productivity in employees some may consider it an opportunity to better themselves. Is there any Positive Side to Stack Ranking?īefore we dig into why stack ranking isn’t the best solution to evaluate performance lest see some pros of it. However, stack ranking limits autonomy in the workplace and is accompanied by several other negative aspects. The goal is to build an environment where all or most employees are high performers. ![]() The need to rack and stack employees arises when companies are looking for efficient and effective ways to have performance appraisals. ![]() This gives the employers means to differentiate and award the top-tier employees and weed out the employees with subpar performance. Welch also popularized the 15/75/10 curve for the top, middle, and bottom employees. This practice is a way of differentiating between the top-performing employees and the low-performing ones. Pioneered in the 1980s by Jack Welch the CEO of General Electric, stack ranking is a type of talent management in which employees are rated on a curve and then classified as either exemplary, meeting expectations, need to be on a performance improvement plan, or straight away fired.
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