Chapter 12: Performance Appraisal

Outcome-based methods

Performance appraisal methods that use measurable or countable data on the results of work performance.

Structured assessment methods

Professionally constructed and published organizational job analysis systems.

Relative comparisons methods

Performance appraisal methods that compare an employee's job performance with another employee's job performance.

Behaviorally Anchored Rating Scale (BARS)

A performance evaluation method based on comparing employee's job behaviors with specific performance statements on a scale of good to bad.

Leniency and severity errors

Unfair consistently high or low evaluations of employees and their performance.

Equal Pay Act of 1963

A federal law requiring equal pay for jobs that require equal skill, effort, and responsibility and that are performed under similar working conditions.

Job - oriented evaluation

A job analysis that focuses on organizational features such as productivity, tasks, duties, and responsibilities.

Worker - oriented evaluation

A job analysis that focuses on the characteristics of the worker -- such as knowledge, skills, abilities, experience, and education -- that are necessary to do a job correctly.

Frame of reference error

A performance appraisal unfairly influenced by factors outside the job, such as race, gender, age, and HIV status.

Checklists

A performance evaluation method that relies on having the evaluator place a mark next to appraisal statements that describe the behaviors of the employee being evaluated.

360 - degree feedback

A system in which performance appraisals are done by everyone who has contact with the employee: supervisors, peers, subordinates, people from other companies, and populations such as customers and suppliers.

Recency error

An unfair evaluation of an employee based only on that employee's latest performance, not his or her performance over the entire evaluation period.

Central tendency error

An unfair grouping of performance evaluations at the middle of the scale.

Absolute standards method

Performance appraisal methods based on comparing an employee's behavior with a model described in a performance statement.

Compensable factors

The job elements that, added together, determine the monetary worth of a job.

Comparable worth

The principle of paying equally for the same work regardless of the job title or jobholder.

Job analysis

The process of gathering information about the job-oriented and worker-oriented elements of a job.

Performance appraisal

The process of measuring the output of an employee that contributes to the productivity of an organization.

Job evaluation

The process of using a job analysis and other information to establish the monetary worth of a job.

Contrast and Similarity errors

Unfair evaluations of employees that are based on how their behavior is similar to our different from the behavior of the evaluator.

Halo (devil) errors

Unfair judgements made when knowledge of one trait or behavior biases the evaluation of other traits or behaviors.

Behavioral Observation Scale (BOS)

A performance assessment method that is based on the frequency of job behaviors.

Subordinate appraisal

A performance evaluation done by those in a lower position than the person being evaluated.

Critical incidents

A method of job analysis that defines a job in terms of the specific effective or ineffective job behaviors of an employee.

Direct market pricing

A method of job evaluation based on what similar jobs pay in other companies and on the available labor pool.

Peer evaluation

A performance appraisal done by those at the same level as the person being evaluated.

Graphic rating scale

A performance appraisal method based on assessing how much of a trait or behavior an employee displays on a graduated measure.

Forced choice system

A performance appraisal method that requires the evaluator to choose between several behavioral descriptions, some of which are blind items and some of which are real items.

Ranking

A performance appraisal method that requires the evaluator to list all the employees being appraised in order from best to worst.

Behaviorally Anchored Discipline Scale (BADS)

A performance appraisal system that focuses on employee's misbehaviors, such as absenteeism and theft.

Management by objectives (MBO)

A performance appraisal system that measures the effectiveness of an employee or group in terms of goals set by the supervisor and the employees or group.

Mixed standard scale

A performance appraisal system that randomly lists good, average, and bad behaviors for a job and requires the evaluator to compare the employee being evaluated to each statement.

Paired comparisons

A performance appraisal system that requires the evaluator to compare each employee with every other employee on each characteristic or behavior being evaluated.

Forced distribution

A performance appraisal system that requires the evaluator to place a certain percentage of employees in each evaluation grade on the basis of a normal curve distribution.

Performance appraisal interview

A formal, regular, scheduled meeting of an employee and a supervisor to discuss performance appraisal.