Chapter 10 HRM
46) The following are disadvantages of appraisal tools EXCEPT: A) a graphic rating scale is simple to use. B) BARS is difficult to develop. C) the critical incident method is difficult to use to rate employees relative to one another. D) MBO is time-consuming. E) the alternation ranking method can cause disagreements among employees.
A. A graphic rating scale is simple to use
60) An interview with an employee to make development plans, to maintain satisfactory performance if promotion is not indicated, or to correct unsatisfactory performance, is called a(n): A) appraisal interview. B) exit interview. C) evaluation interview. D) job interview. E) development interview.
A. Appraisal interview
4) The following are reasons for the failure of a performance appraisal EXCEPT: A) clearly defining performance standards. B) arguing and poor communications which arise as problems during feedback sessions. C) not telling employees ahead of time exactly what is expected of them. D) a lenient supervisor. E) having poor measures of performance.
A. Clearly defining performance standards
31) When using MBO, in order to avoid having the process demotivate employees, objectives must be: A) fair and attainable. B) difficult to attain. C) the same for all employees in the same job. D) easy to attain. E) based on the employeeʹs educational level.
A. Fair and attainable
38) Gary is the supervisor of Mindy. He is very impressed with Mindyʹs ability to work in a team so has rated her as ʺoutstandingʺ for this trait. Although she has had more missed delivery deadlines than her peers over the past financial quarter Gary rated her as ʺabove averageʺ for the trait ʺpersonal effectiveness.ʺ Garyʹs actions indicate the following performance appraisal problem: A) halo effect. B) trait effect. C) bias. D) trait bias. E) appraisal bias.
A. Halo Effect
33) Which of the following is NOT an advantage of the behaviourally anchored rating scale method? A) It is relatively consistent and reliable. B) It is generally a more accurate measure of performance. C) It is the simplest form of performance appraisal so little supervisor time is involved in using this performance appraisal tool. D) The critical incidents allow for clearer standards. E) It provides specific behavioural examples for each trait.
A. It is relatively consistent and reliable
5) The job description often is not sufficient to clarify what employees are to do. This lack of clarity is because: A) managers may ask individual employees to take on additional tasks. B) it is written only for benchmark jobs. C) it is the same for groups of employees. D) it is written for specific departments. E) it is written for specific employees
A. Managers may ask individual employees to take on additional tasks
29) The following are problems that are typically encountered when an organization uses the MBO method of performance appraisal EXCEPT: A) measurable objectives. B) unmeasurable objectives. C) unclear objectives. D) tug of war concerning objectives between supervisor and employee. E) time-consuming procedures.
A. Measurable objectives
11) The method for appraising performance which ranks employees by making a chart of all possible pairs of the employees for each trait and indicating which employee is the better of the pair is known as the: A) paired comparison method. B) forced distribution method. C) graphic rating scale. D) alternation ranking method. E) critical incident method.
A. Paired comparison method
19) In a behaviourally anchored rating scale there are critical incident anchors along the: A) performance rating scale. B) graphic rating scale. C) forced distribution scale. D) alternation ranking method scale. E) paired comparison scale.
A. Performance Rating Scale
21) A summary performance appraisal discussion focuses on: A) problem solving. B) controlling. C) planning. D) developing people. E) administering.
A. Problem Solving
42) When an employeeʹs most recent performance can affect the evaluation of his/her overall performance, the ________ error has occurred. A) recency B) halo C) similar-to-me D) central tendency E) appraisal bias
A. Recency
61) The easiest appraisal interview to conduct is ________ performance, ________ employee. A) satisfactory, promotable. B) unsatisfactory, correctable. C) unsatisfactory, uncorrectable. D) satisfactory, unpromotable. E) unsatisfactory, unpromotable.
A. Satisfactory, promotable
30) When it comes to performance appraisals, most firms combine: A) several appraisal techniques. B) computerized techniques and BARS. C) computerized and narrative techniques. D) manual and subjective techniques. E) manual techniques and MBO.
A. Several appraisal techniques
48) The individual ratings that are still the heart of most appraisal systems are the: A) supervisorʹs ratings. B) self-paced ratings. C) customer ratings. D) individual ratings. E) peer ratings.
A. Supervisor's ratings
70) Susan, the HR Director, is developing performance management training sessions for junior managers. She wants to be sure to emphasize the key success factor for effective performance appraisal that most often leads to optimum employee performance. The factor she emphasizes is: A) the quality of the performance appraisal dialogue between the manager and employee. B) linking pay with performance. C) legally compliant policies. D) effective career development discussions. E) none of the above
A. The quality of the performance appraisal dialogue between the manager and employee
36) When an appraisal scale is too open to interpretation, it is characterized as having: A) unclear performance standards. B) translation openness. C) critical incidents. D) lack of appraisal specificity. E) non-quantitative standards.
A. Unclear performance standards
62) When preparing for the appraisal interview, there are three things to do. First, assemble the data; second, prepare the employee; and finally: A) choose the time and place. B) prepare the appraisal examination. C) lay out an action plan. D) do the performance appraisal. E) document all information to be discussed in the interview.
A. choose the time and place
14) Renu has been hired as the first human resources professional at a growing landscape architecture firm, Terrastyle Inc. She is considering changing the current performance appraisal method, the graphic rating scale, to the forced distribution method of performance appraisal. What criticism of using this method do you advise her about? A) It is similar to grading on a curve. B) A considerable proportion of the workforce is classified as less than average. C) Predetermined percentages of employees are placed in performance categories. D) Employees are rated on a comparison basis. E) Traits being appraised are decided by management.
B. A considerable proportion of the workforce is classified as less than average
66) Rules for constructive criticism include the following EXCEPT: A) criticize in private. B) a once-a-year ʺcritical broadsideʺ can be effective. C) provide suggestions about what could be done to change behaviour. D) ensure criticism is free of bias. E) let the employee maintain their sense of dignity and self-worth.
B. A once-a-year "critical broadside" can be effective
47) Guidelines for developing a legally defensible performance appraisal process include the following EXCEPT: A) document evaluations. B) conduct job specialization for each employee. C) use clearly defined individual dimensions of job performance. D) incorporate job characteristics into a rating instrument. E) provide definitive performance standards to rater and ratees.
B. Conduct job specialization for each employee
57) The 360-degree appraisal approach fits closely with the goals of organizations committed to: A) employment equity. B) continuous learning. C) pay equity. D) MBO. E) hierarchical chain of command.
B. Continuous learning
15) The performance appraisal method which involves keeping a record of uncommonly good or undesirable examples of an employeeʹs work -related behaviour and reviewing it with the employee at predetermined times is the: A) paired comparison method. B) critical incident method. C) alternation ranking method. D) forced distribution method. E) behaviourally anchored rating scales.
B. Critical indicent method
2) The critical step in employeesʹ understanding of how their work makes a contribution is: A) the promotion decision. B) defining performance expectations. C) the career planning session. D) the pay decision. E) the appraisal session.
B. Defining performance expectations
64) When a person is accused of poor performance, research indicates that the first reaction that he/she may have is often: A) anger. B) denial. C) changing the subject. D) ignoring the accusation. E) aggression.
B. Denial
13) The performance appraisal method which is similar to grading on a curve, and which places a predetermined percentage of ratees in various performance categories, is the: A) graphic rating scale. B) forced distribution method. C) paired comparison method. D) alternation ranking method. E) critical incident method.
B. Forced distribution method
45) The following are advantages of various appraisal tools EXCEPT: A) alternation ranking is simple to use. B) forced distribution results depend on the adequacy of the original choice of cutoff points. C) MBO is tied to jointly agreed goals. D) a graphic rating scale is simple to use. E) BARS is very accurate.
B. Forced distribution results depend o the adequacy of the original choice of cutoff points
8) Renu has been hired as the first human resources professional at a growing landscape architecture firm, Terrastyle Inc. The firm is currently using a formal appraisal method which lists traits such as ʺteamworkʺ and performance values ranging from ʺneeds improvementʺ to ʺoutstanding.ʺ Terrastyle is using the following appraisal method: A) paired comparison method. B) graphic rating scale. C) forced distribution method. D) behaviourally anchored rating scale. E) critical incident method.
B. Graphic rating scale
40) When supervisors who are engaged in a performance rating have a tendency to rate all employees either high or low, this is a problem that is referred to as: A) halo effect. B) leniency/strictness. C) central tendency. D) appraisal bias. E) bias.
B. Leniency/strictness
27) A method for appraising performance involving setting specific measurable goals with each employee and then periodically reviewing the progress made is called: A) progress review method. B) management by objectives. C) critical goal method. D) behaviourally anchored rating scale method. E) periodic review method.
B. Management by objectives
12) The performance appraisal method that would use a ʺ+ʺ to denote ʺbetter thanʺ and a ʺ-ʺ to denote ʺworse thanʺ when comparing employees in order to get the highest -ranked employee is the: A) alternation ranking method. B) paired comparison method. C) graphic rating scale method. D) critical incident method. E) forced distribution method.
B. Paired comparison method
56) 360-degree feedback was originally used only for training and development purposes, but has rapidly spread to being used in the management of: A) job evaluation. B) performance and pay. C) customer service. D) rating errors. E) employee orientation.
B. Performance and pay
35) The following are problems for managers when using performance appraisal methods EXCEPT: A) halo effect. B) quota appraisals. C) appraisal bias. D) unclear standards. E) central tendency.
B. Quota appraisals
28) MBO almost always refers to a comprehensive organization -wide goal-setting and appraisal program that consists of the following steps EXCEPT: A) providing feedback to employees. B) setting long-term performance targets. C) setting the organizationʹs goals. D) setting the departmentʹs goals. E) discussing the departmentʹs goals.
B. Setting long-term performance targets
67) The following steps are important to ensure that the appraisal interview leads to improved performance EXCEPT: A) set improvement goals and a schedule for attaining them. B) the supervisor should be in firm control of the interview. C) ensure employees donʹt feel threatened during the interview. D) give employees the opportunity to present their ideas and feelings. E) the supervisor should be helpful and constructive.
B. The supervisor should be in firm control of the interview
9) A common method for appraising performance which involves evaluating employees by ranking them from best to worst on some trait is called the: A) paired comparison method. B) graphic rating scale. C) alternation ranking method. D) behaviourally anchored rating scale. E) forced distribution method.
C. Alternation ranking method
41) When supervisors allow individual differences such as age, race, and sex to affect the appraisal ratings that employees receive, this problem is referred to as: A) strictness/leniency. B) halo effect. C) appraisal bias. D) central tendency. E) trait effect
C. Appraisal Bias
51) The following are advantages of using rating committees in the performance appraisal process EXCEPT: A) the composite ratings tend to be more fair than those of individual raters. B) variations in ratersʹ ratings usually stem from the fact that raters often observe different facets of an employeeʹs performance. C) appraisal is generally more biased because of personality clashes. D) the composite ratings tend to be more reliable and valid than those of individual raters. E) several raters can help cancel out problems like bias and halo effect on the part of individual raters.
C. Appraisal is generally more biased because of personality clashes
1) Which of the following is true about performance management? A) The process does not involve coaching. B) Research indicates that most companies manage performance well. C) Better performance management represents a largely untapped opportunity to improve company profitability. D) It is indirectly related to achieving strategic objectives. E) The process contains 3 steps.
C. Better performance management represents a largerly untapped opportunity to improve company profitability
23) The following are steps in developing a behaviourally anchored rating scale EXCEPT: A) scaling the incidents. B) developing performance dimensions. C) causing critical incidents to occur. D) generating critical incidents. E) developing the final instrument.
C. Causing critical incidents to occur
58) An employeeʹs 360-degree appraisal usually involves the following appraisers EXCEPT: A) peers. B) any employees reporting to the person being appraised. C) competitors. D) customers. E) supervisors.
C. Competitors
10) An example of the alternation ranking method would include the following steps EXCEPT: A) listing the highest-ranking employee on the first line. B) putting the lowest-ranking employee on the last line. C) defining the compensable factors. D) cross off names not known well enough to rank. E) listing all the employees to be ranked.
C. Defining the compensable factors
17) The following are examples of critical incidents for an assistant plant manager EXCEPT: A) preventing a machine breakdown by discovering a faulty part. B) instituting a new preventative maintenance system for the plant. C) developing a corporate strategy to implement company-wide. D) allowing inventory storage costs to rise 15% in the prior month. E) instituting a new production system which decreased late orders by 10%.
C. Developing a corporate strategy to implement company wide
24) The step used in developing a behaviourally anchored rating scale where persons who know the job being appraised are asked to describe specific illustrations of effective and ineffective performance is: A) scaling the incidents. B) developing the final instrument. C) generating critical incidents. D) reallocating incidents. E) developing performance dimensions.
C. Generating critical incidents
7) A scale that lists a number of traits and a range of performance for each is called a(n): A) alternation ranking method. B) behaviourally anchored rating scale. C) graphic rating scale. D) paired comparison scale. E) forced distribution method.
C. Graphic rating scale
49) A potential problem with peer appraisal occurs when all the peers get together to rate each other highly. This is called: A) preferential evaluation. B) appraisal bias. C) logrolling. D) halo error. E) leniency error.
C. Logrolling
20) Some employers evaluate the progress and development of their supervisory employees via the use of a narrative form of appraisal. One example of the form that is used is called the: A) performance discussion plan. B) essay form. C) performance improvement plan. D) critical incident method. E) assessment method.
C. Performance improvement plan
52) Rating committees are usually composed of the employeeʹs immediate supervisor and: A) that supervisorʹs boss. B) three or four peers. C) three or four other supervisors. D) that supervisorʹs boss and a customer. E) other supervisors and peers.
C. Three or four other supervisors
59) Organizations that have implemented 360 -degree appraisal have the following advice for those considering it EXCEPT: A) plan to evaluate the system for fine tuning. B) be clear about who will have access to reports. C) use standard questionnaires. D) assure all raters that their comments will be kept anonymous. E) provide training for supervisors, raters and ratees.
C. Use standard questionnaires
34) Appraisal systems must be based on performance criteria that are ________ for the position being rated, and ________ in that their application must produce consistent ratings for the same performance. A) valid, measurable B) measurable, valid C) valid, reliable D) reliable, reliable E) reliable, valid
C. Valid, reliable
25) Typically a critical incident is retained if some percentage (usually ________% to ________%) of the second group assigns it to the same cluster. A) 50; 50 B) 40; 90 C) 40; 80 D) 50; 80 E) 0; 100
D. 50; 80
69) A performance appraisal system that does not force managers to give false or misleading measurements and instead facilitates open, job-related discussions between the supervisor and the employee is: A) behaviourally anchored rating scales. B) total quality control. C) management by objectives. D) a performance management system. E) self-managed teams.
D. A performance management system
6) The simplest and most popular technique for appraising employees is the: A) alternation ranking method. B) forced distribution method. C) critical incident method. D) graphic rating scale. E) paired comparison method.
D. Graphic rating scale
55) The 360-degree appraisal approach supports the following activities EXCEPT: A) leadership development. B) recognition. C) succession planning. D) job evaluation. E) coaching.
D. Job Evaluation
50) In a study involving more than 200 industrial managers, the type of performance rating that predicted who would be promoted was the: A) committee appraisal. B) self-appraisal. C) supervisor appraisal. D) peer appraisal. E) customer appraisal.
D. Peer appraisal
65) ʺBest practicesʺ when dealing with defensive employees include: A) never back down. B) using intimidation to convince. C) solve all problems quickly. D) recognize that defensive behaviour is normal. E) explain the personʹs behaviour to them.
D. Recognize that defensive behaviour is normal
43) The following are ways to minimize the impact of appraisal problems such as bias and central tendency EXCEPT: A) be sure to understand the problem in order to prevent it. B) be familiar with the typical rating errors that can undermine rating scale appraisals. C) train supervisors to eliminate rating errors. D) refrain from confusing the employee by including him/her in the rating and evaluation process. E) choose the right appraisal tool.
D. Refrain from confusing the employee by including him/her in the rating and evaluation process
26) The following are advantages of the behaviourally anchored rating scale appraisal method EXCEPT: A) clearer standards. B) specific feedback for supervisors to give employees. C) a more accurate measure. D) specific forced behavioural dimensions. E) consistency.
D. Specific forced behavioural dimensions
63) When conducting the appraisal interview the following should be kept in mind EXCEPT: A) encourage the person to talk. B) develop an action plan. C) be direct and specific. D) talk in generalities. E) donʹt get personal.
D. Talk in generalities
3) To clarify performance expectations, ________ should be developed. A) an HR strategy B) a business plan C) strategic objectives D) measurable standards E) a list of traits
D. measurable standards
22) An appraisal method that aims at combining the benefits of narrative, critical incidents and quantified ratings by anchoring a quantified scale with specific narrative examples of good or poor performance is called the: A) graphic rating scale method. B) paired narrative-quantitative method. C) critical incident method. D) anchored narrative-quantitative method. E) behaviourally anchored rating scale method.
E. Behaviourally anchored rating scale method
39) Kai has a tendency to rate all of his direct reports as average. Kaiʹs actions indicate the following performance appraisal problem: A) equal rating tendency. B) halo effect. C) bias. D) appraisal bias. E) central tendency.
E. Central Tendency
32) Because of good results, more employers are turning to a new approach to appraisal, namely a(n): A) critical incidents narrative. B) point method plan. C) forced distribution system. D) bell-shaped curve. E) computerized performance appraisal system.
E. Computerized performance appraisal system
53) The basic problem with employee self-ratings is: A) employee reluctance to self-rate. B) peers rate themselves lower than they are rated by supervisors or peers. C) lack of anonymity. D) supervisor distrust of employee self-ratings. E) employees rate themselves higher than they are rated by supervisors or peers.
E. Employees rate themselves higher than they are rated by supervisors or peers
16) The following are advantages of the critical incident method EXCEPT: A) ensures that the evaluator thinks about the employeeʹs appraisal all during the year. B) can be used to supplement another appraisal technique. C) provides the evaluator with some specific hard facts for explaining the appraisal. D) provides concrete examples of what an employee can do to eliminate any performance deficiencies. E) ensures that the evaluator will only consider the employeeʹs most recent job performance.
E. Ensures that the evaluator will only consider the employee's most recent job performance
37) A graphic rating scale used with unclear standards may appear to be objective; however, it will probably result in unfair appraisals because the traits and degrees of merit are: A) well defined. B) too strict/lenient. C) specific in nature. D) tightly structured. E) open to interpretation.
E. Open to interpretation
18) The critical incident method of performance appraisal is often used to supplement a: A) narrative form. B) management-by-objectives method. C) forced distribution method. D) paired comparison method. E) ranking method.
E. Ranking Method
44) Improving appraisal accuracy calls not just for training of supervisors, but also for: A) a quantitative job evaluation system. B) MBO. C) an effective employee orientation program. D) performance bonuses. E) reducing outside factors such as union pressure and time constraints.
E. Reducing outside factors such as union pressure and time constraints
68) A written warning to an employee with poor performance should include the following EXCEPT: A) indicate that the employee had an opportunity to correct their behaviour. B) identify standards under which the employee is judged. C) specify any violation of the standards. D) make it clear the employee was aware of the standards. E) specify that 360-degree appraisal will be used in future.
E. Specify that 360-degree appraisal will be used in future
54) More firms today let employees anonymously evaluate their supervisorsʹ performance. This process is known as: A) team appraisal. B) anonymous evaluation. C) supervisor appraisal. D) 360-degree appraisal. E) upward feedback.
E. Upward feedback