The Effects of Ranking People
Developed by James R. Martin
Deming Management Theory Main Page
According to Deming, evaluations with annual reviews, merit ratings and ranking people destroys intrinsic motivation and teamwork. The illustration below is part of my summary of The New Economics For Industry, Government & Education.*

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* Deming, W. E. 1993. The New Economics for Industry For Industry, Government & Education. Cambridge: Massachusetts Institute of Technology Center for Advanced Engineering Study. Chapter 6. (Summary).