Developing performance criteria for merit pay: One school's process

A process used by one school of nursing to develop a tool with objective criteria for performance appraisal of faculty for annual merit pay is described. The process included three stages: definitions of domain boundaries, tool development, and consolidation and acceptance. The last stage required several refinements, especially measuring the performance of teaching. The entire process was carried out by task forces with faculty participation. This slow process ensured faculty acceptance and administrative feasibility of a comprehensive tool.