| 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | Appendix A | Appendix B | benefits An important form of indirect compensation.
compensation package The total array of money (wages, salary, commission, incentives, benefits, perquisites, and awards) provided by the organization to an employee.
continuous improvement Perspective suggesting that performance should constantly be enhanced.
flexible reward system Allows employees to choose the combination of benefits that best suits their needs.
goal A desirable objective.
goal acceptance The extent to which a person accepts a goal as his or her own.
goal commitment The extent to which a person is personally interested in reaching a goal.
goal difficulty The extent to which a goal is challenging and requires effort.
goal specificity The clarity and precision of a goal.
incentive systems Plans in which employees can earn additional compensation in return for certain types of performance.
job analysis The process of systematically gathering information about specific jobs to use in developing a performance measurement system, to write job or position descriptions, and to develop equitable pay systems.
learning organization An organization that works to facilitate the lifelong learning and personal development of all of its employees while continually transforming itself to respond to changing demands and needs.
management by objectives (MBO) A collaborative goal-setting process through which organizational goals cascade down throughout the organization.
performance measurement (performance appraisal) The process by which someone (1) evaluates an employee's work behaviors by measurement and comparison with previously established standards, (2) documents the results, and (3) communicates the results to the employee.
performance plan An understanding between an employee and a manager concerning what and how a job is to be done such that both parties know what is expected and how success is defined and measured.
perquisites Special privileges awarded to selected members of an organization, usually top managers.
reward system The system that consists of all organizational components, including people, processes, rules and procedures, and decision-making activities, involved in allocating compensation and benefits to employees in exchange for their contributions to the organization.
self-efficacy The extent to which we believe we can accomplish our goals even if we failed to do so in the past.
surface value The objective meaning or worth a reward has to an employee.
symbolic value The subjective and personal meaning or worth a reward has to an employee.
360-degree feedback Performance management system in which people receive performance feedback from those on all sides of them in the organization: their boss, their colleagues and peers, and their own subordinates.
total quality management (TQM) A form of management that focuses on the customer, an environment of trust and openness, working in teams, breaking down internal organizational barriers, team leadership and coaching, shared power, and continuous improvement. Use of this approach often involves fundamental changes in the organization's culture.