ABSTRACT

Prologue: Performance Management in the IRS In 2000 and 2001, the Internal Revenue Service (IRS) implemented a performance management system for its executives, managers, and frontline employees. The performance management initiatives were part of a broader effort by the IRS to improve customer service to the American taxpayers. As part of the IRS’s Restructuring and Reform Act of 1998, which sought to strategically link the agency’s goals of increased productivity with “top-quality” service to taxpayers, the new performance evaluation system would be geared toward performance-based outcomes (also see Chapter 5 for coverage of pay-for-performance systems).