Book excerpt: Abstract: To help managers and subordinates work together to improve performance, a combination of on-the-job coaching (or training), appraisals, counseling sesssions, interviews, and performance improvement plans (PIP) are described. PIP is worked out both for a manager and for overall administration. Each step in the PIP is a logical process which removes the manager's uneasiness regarding appraisals, and relieves the subordinate's apprehensiveness about questioning. Strong, positive actions can be manifested and performance can be improved. One of the facets in performance appraisal and improvement is called significant job segments (SJS) which are 7 or 8 major factors that must be evaluated during appraisal. Standards of performance describe for management how well a job was done. The entire appraisal process can provide professional and personal growth for subordinates and managers. (kbc).