Managers usually monitor their employees and make assessments about their job performance. Monitoring can be merely observing employee behaviors, or it can be advisory, in which the monitor corrects poor performance. Today’s best managers know that employee monitoring of other employees can successfully influence employee job performance, but only when done correctly. When employees are paid in a traditional, individual performance-based way, then employee observation-style monitoring of other employees can result in improved productivity levels. When employees are paid in a group-based manner, then advisory-style monitoring can also result in improved performance.
Source: Welbourne, T. N., & Ferrante, C. J. 2008, April. To monitor or not to monitor. Group & Organization Management, 33, 139-162.