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Questions and Answers
What type of performance appraisal method compares an employee's performance directly with that of their peers?
What is the primary drawback of the ranking method?
What is the purpose of the essay appraisal method?
What is the forced distribution method?
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What is the critical incident method used for?
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What is the field review method?
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What do narrative methods focus on?
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What is the purpose of a ranking method?
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What is a potential issue with a results-based approach to measuring performance?
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What is a characteristic of a contaminated criterion?
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Why is it important to use relevant criteria when measuring performance?
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What is a potential consequence of only measuring results in a job?
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What is an example of a subjective measure of performance?
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What is a potential issue with using appearance as a criterion for measuring a telemarketing sales representative's performance?
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Why is it important to identify the most important aspects of an employee's job?
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What is an example of an objective measure of performance?
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What is a limitation of the graphic rating scale and checklist methods?
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What is the primary advantage of the graphic rating scale?
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What is a common issue with the checklist method?
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Who is typically responsible for tabulating the weights assigned to the statements in a checklist?
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What is the main purpose of a performance appraisal method?
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What is a category of performance appraisal methods?
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Why can the checklist method be limiting in terms of providing feedback to employees?
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What is a benefit of using a weighted checklist?
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What is the Field Review method of performance appraisal?
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What is a limitation of the Field Review method?
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What is the primary goal of Behavioral/Objectives methods?
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What is Management by Objectives (MBO)?
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What is the main advantage of MBO?
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What is a key assumption underlying MBO?
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What is another name for MBO?
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Who is primarily evaluated using MBO?
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What is the main problem with giving a student a course grade based only on their performance in the last week of class?
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What is central tendency error in performance appraisal?
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What is the difference between the leniency error and the strictness error?
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What is an example of rater bias?
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How can the halo effect be prevented in performance appraisal?
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What is the purpose of having higher-level managers examine ratings?
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Why is it important to establish standards for rating employees?
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What is the contrast error in performance appraisal?
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Study Notes
Performance Appraisal
- Performance appraisal is a systematic evaluation of an employee's job performance, aiming to improve performance, provide feedback, and make informed decisions.
Criteria for Performance Appraisal
- Results-based information considers what an employee has accomplished.
- Relevant criteria should be used, focusing on the most important aspects of an employee's job.
- Criteria can be contaminated if some important job duties are left out or irrelevant criteria are included.
Methods for Appraising Performance
- Category Rating Methods:
- Graphic Rating Scale: allows the rater to mark an employee's performance on a continuum.
- Checklist: composed of a list of statements or words, with varying weights assigned to each.
- Comparative Methods:
- Ranking: lists employees from highest to lowest in performance.
- Forced Distribution: ratings are distributed along a bell-shaped curve.
- Narrative Methods:
- Critical Incident: records both favorable and unfavorable actions in an employee's performance.
- Essay: a written description of an employee's performance during the rating period.
- Field Review: an outside reviewer becomes an active partner in the rating process.
- Behavioral/Objectives Methods:
- Behavioral Rating Approaches: assesses an employee's behaviors instead of other characteristics.
- Management by Objectives (MBO): specifies performance goals that an individual hopes to attain within a set time frame.
Errors in Performance Appraisal
- Central Tendency Error: rating all employees within a narrow range (usually the middle or average).
- Leniency Error: rating all employees at the high end of the scale.
- Strictness Error: rating all employees at the low end of the scale.
- Rater Bias: when a rater's values or prejudices distort the rating.
- Halo Effect: rating an employee high or low on all items because of one characteristic.
- Contrast Error: rating should be done using established standards.
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Description
Identifying and evaluating job performance metrics, including verbal persuasion and results-based approaches, with examples from sales representative roles.