OB - Chapter 6 - Perf. MGT & Compensation

Step 4: Provide Consequences, administer rewards/punishments Rewards

- Compensation - Benefits -Personal Growth

Positive Reinforcement Schedules

- Continuous reinforcement (Every instance of a target behavior is reinforced) - Intermittent Reinforcement (Involves reinforcement of some but not all instances)

Common Perceptual Errors

- Halo - Leniency - Central Tendency - Recency Effects -Contrast Effects

Step 2: Perf. Monitoring & Eval

- Monitor Perf. - Identify Problems & Successes - Identify Opportunities to enhance performance

How senior managers can get feedback

- Seek feedback from others by creating an open and honest environment -Separate feedback from performance review process - Create a mechanism to collect feedback anonymously

Role of Exit Interviews

- can provide feedback that uncovers the true reasons employees quit jobs - can uncover serious misconduct

Step 3: Reviewing Perf. and Importance of Feedback & Coaching Two Functions of Feedback

-Instructional -Motivational

Why are goals important?

-People are happier to meet them Provide focus -Enhance productivity - Bolster Self-esteem -Increase commitment

Factors affecting Perceptions of Feedback

-Self-serving Bias -Fundamental Attribution Bias -Accuracy -Credbility of Sources -Fairness of the System -Performance-reward expectancies -Reasonableness of Goals and Standards

Managing the Goal Setting Process

1) Set Goals 2) Promote Goal Commitment 3) Provide Feedback and Support 4) Create Action Plans

Outcomes of the reward system

A) Desired Outcomes -More of what you intended and rewarded B) Nothing - Reward has no effect C) Undesired Side-Effects - Reinforce/motivate wrong behaviors

Angela would like to improve the quality and effectiveness of her department's performance evals. Angela should do all the following EXCEPT: A) Focus on the importance of filling out the performance management form correctly B) Set clear expectations for her employees C) Provide regular feedback to her employees D) Find new opportunities for her employees to succeed and develop E) Angela should be doing ALL of the above

Answer:

A customized process between two or more people with the intent of enhancing learning and motivating change

Coaching

Use contingency approach to defining performance

Do what the situation requires

Types of Rewards:

Extrinsic Rewards - Financial, material , social Intrinsic Rewards - Psychic rewards - Are self-granted

Behavior w/favorable consequences tends to be repeated, while behavior with unfavorable consequences tends to disappear

Law of Effect

-Timeliness -Quality -Quantity -Financial Metrics

Measurements used to measure performance

Monetary incentives linking at least some portion of pay directly to results or accomplishments

Pay for Performance -above & beyond basic wages and salary -merit pay, bonuses, and profit sharing

Step 1 - Define Perf. Two types of goals

Performance Goal Learning Goal

Figure 6.1 - Performance Management Process

Step1: Define Performance Step2: Monitor & Evaulate Perf. Step3: Review Perf. Step4: Provide Consequences

What goes wrong with Performance Mgt?

majority of managers & org do a poor job managing employee performance (Impractical practices, focus on only one part of the process)

Performance Management

set of processes and managerial behaviors that involve defining, monitoring, measuring, evaluating, and providing consequences for performance expectations