Answer to Question 1
Espoused theories are ones we profess to believe. Theories in action are theories that actually guide our behavior.
Answer to Question 2
1. The procedure clarifies what is expected of the employee.
2. It provides a system of recognition and prevents employees from being ignored or lost.
3. It allows the supervisor the opportunity to praise good work.
4. The rating helps the employee pinpoint weak areas so that improvements can be made.
5. It forces periodic communication between the supervisor and the employee.
6. It provides the employee with a work record that can be used for making decisions about pro-motions and bonuses.