Individual performance is determined by an employee's capacity and willingness to perform as well as the opportunities and context provided. It is important for managers to be well-trained in performance management as it is an ongoing process rather than a single event. An effective performance management system includes clear job descriptions, goal setting, ongoing feedback, rewards, and career development. Key steps in conducting appraisals are preparation, conducting a meeting to identify performance gaps and their causes, planning improvements, and follow up. Dismissal may be warranted for issues like poor performance, insubordination, or chronic absenteeism, but not for legitimate complaints or exercising legal rights.