Performance Appraisal Systems/Compensation System for Budgeting Purposes

Merck & Co. (A) Group Case Assignment – HRM6632

Working with your assigned group, prepare and submit your analysis of the Merck & Co. (A) case. While your analysis should be submitted in essay format (similar to a research paper), focus on answering the following two questions:

1. Should the performance appraisal system be revised? Why or why not?

2. What changes would you recommend? Provide a clear rationale for your recommendations and carefully consider their consequences.

Guidelines for preparing case studies are contained in the “Learning Resources” file under “Helpful Resources.” For this case analysis, you will also find it helpful to read pp. 183-189 in the text regarding the design of merit pay systems and the Canvas file describing the Hay System of Job Evaluation. While this exercise focuses on performance appraisal, it is important to recognize that the performance appraisal system must ultimately link up with the compensation system for budgeting purposes.