Chuck, I appreciate your comment, too--particularly your points about setting goals/ expectations up front and viewing performance management as a year-round activity.

I think too many organizations still consider performance management as a once-a-year task instead of an ongoing process. An ongoing process creates natural opportunities for the manager to talk with employees about performance shortcomings in a timely manner.

"Robert," by the way, did experience adverse professional consequences from his delay in confronting "Juan." What's neat is that Robert owned his error and has learned from it. I think he will end up being a great manager who never makes this same mistake again. He wanted to share this story so that perhaps other managers could avoid stumbling in the same way.