I think the article referenced below is very good. It describes all of the important steps to effective performance management. The first company I managed in believed strongly in a consistent process whose real aime is to CORRECT the performance problem, not to hurt employees. It has worked well for me over the last 25 years.
Firing an employee–looking someone straight in the eye and telling them they no longer have a source of income–is one of the toughest things you’ll ever have to do as a business owner. It’s often as hard on the person giving the bad news as it is on the person receiving it. And yet it still needs to be done, especially if you have someone who’s “poisoning the well” and bringing the entire business down with them.Assuming this person is an “at will” employee–someone who doesn’t have an employment contract that guarantees employment for a specified time period–here are ten tips to help you remove the bad apple cancer from your business with a “zero to low” risk of being sued for wrongful termination.
Read the 10 Steps to Firing Someone