Working Environment

Performance Management

Based on a successful pilot program at corporate headquarters a year prior, in 2007, our U.S. Operations began introducing a progressive new Performance Management Process across all areas of the company.

The OfficeMax Performance Management Process emphasizes dialogue, collaboration and shared responsibility between associates and their managers.

The Process is based on an annual cycle that includes goal-setting, mid-year and annual performance reviews. Depending upon their role, associates submit goals to their managers to define their performance expectations for the year. Self-appraisals are also provided to managers as part of the review process. The manager and associate meet and discuss performance during the year and opportunities to develop going forward. Managers document and submit the mid-year and annual performance reviews.

Among the key indicators factored into performance reviews, and by extension, compensation, is a rating for how well associates embody the OfficeMax Core Values. In 2007 the Core Values were built into the performance management process for all associates, providing a consistent basis for defining how we do our work.

Associates can easily reference the Performance Management Process manual for specific behavioral examples to illustrate behaviors at each level of performance for each Core Value.

Performance Review Metrics

Associates in all areas of our U.S. Operations received performance reviews under the new process in 2007, including the following:
• Corporate headquarters
• Retail management
• Distribution centers
• Telesales
• Contract sales

For 2007, performance review data is available for corporate headquarters staff and retail managers. Based on refinements made to our collection methods, data for the remaining areas listed above will be included in our next Corporate Social Responsibility report.