Final answer:
Performance standards must be focused on desired job results while considering employee abilities, creating a balance that motivates and accurately assesses employee performance.
Step-by-step explanation:
In order to be effective, performance standards must be designed to be primarily concerned with the desired results wanted on each job, but with employee abilities considered. This means that the most appropriate option for designing performance standards is C: Concerned with the desired results wanted on each job, but with employee abilities considered. Performance appraisals should balance the needs of the organization with the abilities and potential for development of its employees.
Effective performance standards and appraisals are essential in evaluating employees and are key to an organization's success. They should be achievable, relevant to both the employee's role and organizational goals, and time-bound. Organizations should also create appraisals that include opportunities for training and development.
Performance standards that are impossible to achieve do not function as motivators, and those not aligned with job requirements or individual abilities could lead to dissatisfaction and ineffective performance measurement. An ideal performance appraisal system will help motivate employees, improve performance, and drive organizational success.