Performance Appraisal Methods and Techniques
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Questions and Answers

What is the primary purpose of the paired comparison method?

  • To evaluate a subordinate's past performance
  • To make ranking more precise (correct)
  • To focus on individual traits only
  • To document critical incidents
  • How does the critical incident method assist in evaluating performance?

  • It focuses on numerical scores for each trait
  • It keeps a log of specific examples of behavior (correct)
  • It uses random selection of subjects for comparison
  • It compares subordinates using a numerical rank order
  • In the paired comparison method, how do you determine the highest ranked employee?

  • By evaluating overall job satisfaction from peers
  • By assessing recent performance appraisals
  • By tallying the number of positive comparisons each employee receives (correct)
  • By counting the total performance reviews
  • What type of incidents are logged in the critical incident method?

    <p>Positive and negative work-related behavior incidents</p> Signup and view all the answers

    When do supervisors and subordinates typically meet to discuss performance in the critical incident method?

    <p>Every 6 months</p> Signup and view all the answers

    What is the primary purpose of performance appraisal?

    <p>To evaluate employee performance and provide feedback</p> Signup and view all the answers

    Which method involves comparing an employee's performance directly with that of another?

    <p>Paired comparison method</p> Signup and view all the answers

    What is a common pitfall associated with the central tendency error in performance evaluations?

    <p>A tendency to rate most employees as average</p> Signup and view all the answers

    The halo effect in performance appraisal refers to:

    <p>Allowing one positive trait to influence overall ratings</p> Signup and view all the answers

    Which performance appraisal method combines behavioral descriptions with ratings?

    <p>Behaviorally anchored rating scale (BARS)</p> Signup and view all the answers

    What does a graphic rating scale primarily assess?

    <p>Employee traits and performance levels</p> Signup and view all the answers

    Which of the following is NOT typically included in a graphic rating scale?

    <p>Personal employee reviews</p> Signup and view all the answers

    How does the appraisal form for a pizza chef assess performance?

    <p>By assessing job-specific duties</p> Signup and view all the answers

    What is the primary purpose of setting objectives at the beginning of the year in an appraisal form?

    <p>To assess results and set new goals</p> Signup and view all the answers

    In an appraisal form, which trait is expected to be developed by employees?

    <p>Identifying and analyzing problems</p> Signup and view all the answers

    What does the alternation ranking method involve?

    <p>Selecting employees based on highest and lowest characteristics</p> Signup and view all the answers

    Which of the following is a component that might be evaluated in the competencies section of an appraisal form?

    <p>Ability to maintain effective work relationships</p> Signup and view all the answers

    Which statement best describes performance ratings on graphic scales?

    <p>They should encompass a variety of traits with corresponding levels.</p> Signup and view all the answers

    What is the primary purpose of developing performance dimensions?

    <p>To provide clear behavioral anchors for performance evaluation</p> Signup and view all the answers

    What is a key element of the Management by Objectives (MBO) process?

    <p>Setting organizational and departmental goals</p> Signup and view all the answers

    What is a potential problem associated with the MBO process?

    <p>Conflict with subordinates over objectives</p> Signup and view all the answers

    How do computerized performance appraisal systems support management?

    <p>They allow for merging notes with performance ratings.</p> Signup and view all the answers

    Which of the following best describes a Behaviorally Anchored Rating Scale (BARS)?

    <p>A scale that includes critical incidents as behavioral anchors</p> Signup and view all the answers

    What role does feedback play in the MBO process?

    <p>It provides periodic performance evaluations to assess progress.</p> Signup and view all the answers

    Why is developing a final instrument important in the performance appraisal process?

    <p>To ensure consistency and clarity in evaluations</p> Signup and view all the answers

    What does scaling the incidents refer to in the context of performance appraisal?

    <p>Establishing a hierarchy of performance levels</p> Signup and view all the answers

    What is the primary function of Electronic Performance Monitoring (EPM) systems?

    <p>To monitor employee performance through computer technology</p> Signup and view all the answers

    What is one of the potential problems with performance appraisals?

    <p>Unclear performance standards</p> Signup and view all the answers

    Which guideline can help avoid performance appraisal problems?

    <p>Maintaining a diary of employee performance</p> Signup and view all the answers

    What criterion is NOT mentioned as important when choosing an appraisal tool?

    <p>Cost-effectiveness of the tool</p> Signup and view all the answers

    What term describes a performance appraisal problem where one positive performance aspect influences the overall rating?

    <p>Halo effect</p> Signup and view all the answers

    Which aspect is essential for ensuring employee acceptance of the appraisal tool?

    <p>Employee involvement in tool selection</p> Signup and view all the answers

    What is the effect of leniency in performance appraisals?

    <p>Employees are given overly favorable ratings</p> Signup and view all the answers

    What is a benefit of using an online performance appraisal tool?

    <p>Increased managerial access to employee performance data</p> Signup and view all the answers

    What is the primary difference between performance management and performance appraisal?

    <p>Performance appraisal focuses on evaluating past performance, while performance management involves continuous improvement.</p> Signup and view all the answers

    Which component is essential for effective performance appraisal standards?

    <p>The standards should align with the organization’s strategic aims.</p> Signup and view all the answers

    What is a potential issue to avoid when appraising performance?

    <p>Giving ambiguous or unclear feedback.</p> Signup and view all the answers

    Which of the following is a key element of performance management?

    <p>Aligning employee performance with organizational goals.</p> Signup and view all the answers

    What is the outcome of an effective appraisal interview?

    <p>Clear goals and expectations are set for future performance.</p> Signup and view all the answers

    What is a disadvantage of using multiple raters in performance appraisals?

    <p>Conflicting feedback may confuse the employee being appraised.</p> Signup and view all the answers

    How can performance management support an organization’s strategic aims?

    <p>By continuously aligning individual and team outputs with organizational objectives.</p> Signup and view all the answers

    Which of the following best describes the appraisal process?

    <p>A systematic approach to evaluating performance against defined criteria.</p> Signup and view all the answers

    Study Notes

    Human Resource Management - Chapter 9

    • This chapter focuses on performance management and appraisal.
    • It's part of the Training and Development section of the textbook.

    Performance Management

    • Performance management is a continuous process.
    • It involves identifying, measuring, and developing individual and team performance.
    • It aligns performance with organizational goals.
    • It's a continuous process for improvement.
    • It links individual/team goals to strategic goals.
    • It involves constant reevaluation and modification of work processes.

    Basic Building Blocks of Performance Management

    • Direction sharing: Communicating company goals, vision, mission, strategy; translating them into department/team/individual goals.
    • Goal alignment: Linking employee goals to departmental and company goals.
    • Ongoing performance monitoring: Using computer systems to track progress toward goals, sending progress reports/exceptions.
    • Ongoing feedback: Both face-to-face and computer-based feedback.
    • Coaching and development support: Integral part of feedback process.
    • Rewards, recognition, and compensation: Providing consequences for goal-directed performance to keep it on track.

    Why Performance Management?

    • Helps with Total Quality Management.
    • Helps with resolving appraisal issues.
    • Enables strategic goal alignment.

    Introduction to Appraising Performance

    • Basis for pay/promotion decisions.
    • Integral role in performance management.
    • Corrects deficiencies and reinforces good performance.
    • Useful in career planning.

    Defining Employee Goals & Work Standards

    • Guidelines for effective goal setting.
    • Set SMART goals: Specific, Measurable, Attainable, Relevant, Timely.
    • Assign specific goals.
    • Assign measurable goals.
    • Assign challenging/doable goals.
    • Encourage participation.

    Unrealistic Appraisals

    • Why managers do soft appraisals: Fear to hire/train new people, unpleasant reaction from the employee, appraisal process not conducive to honesty.
    • Hazards of soft appraisals: Employees may not get a chance to improve, risk of lawsuits from inaccurate appraisals.

    Performance Appraisal Roles

    • Supervisor's Role: Conducting appraisals, knowledge of basic appraisal techniques, conducting appraisals fairly to avoid problems.
    • HR Department's Role: Policy-making/advisory role; advice/assistance regarding appraisal tools; training supervisors on appraisal skills; monitoring appraisal system effectiveness/compliance with EEO laws.

    Effectively Appraising Performance

    • Steps in appraising performance: Define job/performance criteria, appraising performance, providing feedback session.

    Designing the Appraisal Tool

    • What to Measure: Work output(quality/quantity), personal competencies, goal achievement.
    • How to Measure: Generic dimensions, actual job duties, behavioral competencies.

    Performance Appraisal Methods

    • Graphic rating scale, Alternation ranking, Paired comparison, Forced distribution, Critical incident.
    • Narrative forms, Behaviorally anchored rating scales (BARS), Management by objectives (MBO), Computerized and Web-based performance appraisals, Merged methods.

    Graphic Rating Scale

    • Figure 9-2 shows an example of a graphic rating scale.
    • It lists traits and performance values ranging from "unsatisfactory" to "outstanding" or "below expectations" to "role model" for each trait. Examples listed are Communication, Organizational Knowledge, Personal Effectiveness, Teamwork, and Achieving Business results.

    Management by Objectives (MBO)

    • Comprehensive, organization-wide goal-setting/appraisal program.
    • Requires setting organizational goals, departmental goals, discussion of departmental goals, defining expected results-individual goals, performing periodic performance reviews, and providing performance feedback.
    • Potential problems with MBO: unclear objectives, time-consuming appraisal process, conflict with subordinates.

    Computerized and Web-Based Performance Appraisal Systems

    • Allowing managers to keep notes on subordinates
    • Merging notes with employee ratings
    • Software may generate written texts for appraisals
    • Allow for self-monitoring and self-evaluation.
    • Electronic Performance Monitoring (EPM) use computer network technology for access to employees' computers/phones to monitor rate/accuracy/time spent working online

    Dealing with Performance Appraisal Problems

    • Potential rating scale appraisal problems: Unclear standards, halo effect, central tendency, leniency or strictness, bias.

    Guidelines for Effective Appraisals

    • How to avoid appraisal problems: Know the problems, use the right tool, keep a diary, get agreement on a plan, be fair.

    Choosing the Right Appraisal Tool

    • Selecting an appraisal tool based on accessibility, ease-of-use, employee acceptance, and accuracy

    Selected Best Practices for Administering Fair Performance Appraisals

    • Base review on job analysis, use observable behavior data, clarify performance expectations.
    • Use standardized procedures, sufficient observation opportunities, consider multiple raters, document processes/results, discuss results with employee, prepare the employee, provide input, indicate areas for improvement, effectively train supervisors

    Guidelines for a Legally Defensible Appraisal

    • Conduct job analysis; communicate performance standards clearly and in writing; use properly defined traits for rating scales.
    • Utilize narration/subjective descriptions as a portion of the evaluation; train supervisors on correct procedures; allow substantial appraiser/employee contact;avoid single overall ratings.
    • Include multiple appraisers; refrain from granting single appraiser absolute authority; give employees opportunities for review/comment and for appeals; document appraisals comprehensively.
    • Provide guidance to poor performers.

    Who Should Do the Appraising?

    • Potential Appraisers: Immediate supervisor, peers, subordinates, rating committee, self-rating, 360-degree feedback.

    Appraisal Interview

    • Types of appraisal interviews: Satisfactory—Promotable, Satisfactory—Not Promotable, Unsatisfactory—Correctable, Unsatisfactory—Uncorrectable.

    Employee Development Plan

    • A structured plan for employee development.

    Appraisal Interview Guidelines

    • Talk in terms of objective data, don't get personal, encourage employee to talk, reach an agreement.

    Checklist During Appraisal Interview

    • Checklist for supervisors to ensure clarity and completeness.

    Using Information Technology to Support Performance Management

    • Assign financial and non-financial goals to teams linked to strategic goals.
    • Inform all employees of their goals.
    • Use IT tools for continuous monitoring and performance assessment.
    • Take corrective action promptly.

    Performance Management Reporting

    Key Terms

    • Define important terms related to performance management and appraisal.

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    Related Documents

    Human Resource Management PDF

    Description

    Test your knowledge on various performance appraisal methods, including the paired comparison and critical incident techniques. Explore the purposes of these methods, common pitfalls, and how evaluation is conducted. This quiz is essential for understanding the complexities of employee performance assessments.

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