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Achieving Meritocracy in the Workplace (Ensuring Meritocracy in the…
Achieving Meritocracy in the Workplace
Paradox of Meritocracy
In study, men received larger bonuses than women in merit pay systems
Merit system may cause people to be less vigilant about their individual actions
Men/whites get higher bonuses for equal performance evaluations
Ensuring Meritocracy in the Workplace
Should increase accountability and transparency
Committee created to assess fairness of pay decisions
Making managers justify awards decisions
Committee given authority to modify pay decisions
Changes all but eliminated bias in pay/raises
Implementing Organizational Accountability and Transparency
Assess general degree of meritocracy at company by collecting/assessing data, uncover any demographic patterns
Organizational accountability: set of procedures that make certain individuals responsible for ensuring fair distribution of awards among employees
Process accountability and outcome accountability
Organizational transparency: set of procedures that make relevant pay data available to certain individuals
Process transparency and outcome transparency
Three Key Dimensions
Goal is to counterbalance the complacency managers may feel when they believe they are working in a meritocracy
Step 1: Process and Criteria
How will performance-based pay be distributed among employees?
Assign responsibility for process, routines, and criteria to be used
Determine transparency of processes and criteria
Step 2: Outcomes
What rewards are being given to employees?
Assign responsibility for collecting/analyzing appropriate data
Decide which pay decisions and results will be visible
Step 3: Audiences
Who is responsible for and who knows about the pay processes, criteria, and outcomes?
Determine who is accountable for pay processes and outcomes
Determine level of transparency about processes and criteria