Final answer:
The answer to the student's question is 'c. Performance analysis'. This process includes performance appraisals to assess and communicate about an employee's job performance and to identify areas for improvement. It is an integral part of performance management and may utilize methods like 360-degree feedback.
Step-by-step explanation:
The response to the question 'Helps understand the reason behind undesirable performance' is c. Performance analysis. Performance analysis is a critical component of performance management, which involves assessing an employee's job performance to determine areas that require improvement. This process typically includes performance appraisals, which are usually documented several times a year and include a formal meeting between an employee and their supervisor. During the performance appraisal, specific concerns about the employee's performance are communicated, good performance is positively reinforced, and it may lead to discussions about performance rewards or consequences.
Performance appraisals are also utilized to motivate employees by identifying opportunities for training and assessing the efficacy of such programs. Moreover, a 360-degree feedback appraisal system can be implemented where supervisors, customers, direct reports, peers, and the employees themselves contribute to the performance review. While the goal of these appraisals is to foster organizational effectiveness and employee motivation, studies have shown that often these systems fail to achieve their objectives due to incorrect use or mismatches with the organization's culture. An ongoing area of research in industrial psychology is examining the effectiveness of performance appraisal systems and the training for their implementation.