Allocating your merit increases the SMART way.
Although other formulas for determining merit increases can be developed and implemented successfully, the formula described in this article has been used successfully on a relatively large group of employees. Proper utilization of this method requires effective job evaluation and performance appraisal programs, both of which must have the capability of being summarized quantitatively. Human resource managers generally believe that employee performance is a function of an employee's ability and motivation and that money acts as a motivator. If you share this belief, then you must assure the employees you serve that they will be rewarded impartially and without predilection. The Systematic Merit Allocation Reward Technique is one method through which you can provide this needed assurance.
D004650:Employee Performance Appraisal / Q000191:economics / Q000379:methods*; D010559:Personnel Management / Q000379:methods*; D010564:Personnel, Hospital / Q000191:economics*; D012456:Salaries and Fringe Benefits