Topic 7 Introduction to Performance Management

Performance appraisals can be used to determine which of the following types of compensation? Pay levels Pay increments Contingent rewards All of these

All of these

Which of the following influence the performance appraisal process? All of these Selection and placement Compensation Job analysis Training and development None of these

All of these

What is the formal structural system of measuring, evaluating, and influencing an employee's job-related attributes, behaviors, and outcomes? Training Validity Performance appraisal KSAs (knowledge, skills, and abilities) The ADDIE model Development

Performance appraisal

There are many ways to gather data on an individual. In choosing the performace appraisal method, when should the relevance of each source be considered? Before After Any of the methods work the same During

Before

Which of the following appraisal methods is the most objective? Computer monitoring Peer appraisal Self-appraisal Appraisal by customers

Computer monitoring

Which of the following forms of performance evaluation is the most widely used? Conventional rating Forced distribution method Narrative essay Straight rating

Conventional rating

What is a way to minimize the errors caused by primacy or recency effects? Weighing more heavily the events that have occurred recently Weighing more heavily the events that occurred at the beginning of the rating period. Documenting ongoing critical events Trying to remember what has happened throughout the rating period

Documenting ongoing critical events

What does EAP stand for? Employee assessment policies Employee assessment program Employee assistance program Employee action program

Employee assistance program

EAPs - along with everything else in HR - have evolved over time. What has the focus of EAPs shifted to? Employee well-being Reducing liabilities Employer profits Productivity

Employee well-being

How do performance appraisals help in performance measurement? Performance appraisals: Establish the relative value of an individual's contribution to the company Outline what performance is expected Provide a framework for future employee development Help establish the validity of employment decisions

Establish the relative value of an individual's contribution to the company

Before beginning performance management, all of the following must occur except... Evaluation of the results Establishment of competencies Understanding the organization's strategy Establishment of performance standards

Evaluation of the results

Performance appraisals involve all of the following except: Exactly predicting the employee's future performance Making sure the organization's goals are aligned with required jobs and KSAs Providing feedback Setting work standards

Exactly predicting the employee's future performance

True or False: If performance appraisals and job analysis are used together, the organization can hire anyone, and that person would be able to turn out a satisfactory performance.

False

True or False: Performance appraisals are an informal system for measuring and evaluating employees.

False

True or False: Performance appraisals are often not problematic because supervisors and incumbents often view the process similarly.

False

True or False: Performance management is an important HR function, but is not linked to many other HR functions.

False

True or False: Standards for performance appraisals are set after all the employee appraisals are done.

False

True or False: The first step in alternative ranking is when a superior lists the subordinates in order, from best to worst, usually on the basis of overall performance.

False

True or False: The more objective the performance appraisal (PA) approach, the more vulnerable it is to legal challenges.

False

True or False: Well thought-out plans for performance appraisal will guarantee their consistent application of them in the organization.

False

Which of the following is a developmental purpose of obtaining performance appraisal information? Promotions Layoffs Feedback Salary increases

Feedback

Which method allows two or more incumbents' performances to be ranked together? Forced distribution Alternative ranking Straight ranking Paired comparisons

Forced Distribution

Which of the following statements is true? Halo effect occurs when a supervisor allows one positive characteristic of an employee to overshadow all others Horn effect occurs when a supervisor does not allow one characteristic of an employee to overshadow all others Horn effect occurs when all areas are poor, but the overall appraisal is high Halo effect occurs when a poor rating in one area affects all other areas resulting in a poor overall appraisal

Halo effect occurs when a supervisor allows one positive characteristic of an employee to overshadow all others

How can organizations help improve performance evaluations and help it so that employees don't block ways to improve their performance if they are assessed negativly? Have two appraisal interviews, one for evaluation and one for development Have one good interview that focuses on their evaluation as well as development Wait until the employee states that they want to work on their performance Get working on the development of the lacking performance right away

Have two appraisal interviews, one for evaluation and one for development

How do performance appraisals help the company be legally compliant? Provides a format for dialogue between superior and subordinate Audits management talent to evaluate the current supply of human resources Helps establish the validity of employment decisions. Outlines the expected performance

Helps establish the validity of employment decisions.

Which of the following is how performance appraisals influence training and development? It helps ensure only candidates that will perform well are included in the pool of applicants Helps understand the reason behind undesirable performance Sets the foundation for job analysis Determines pay levels and pay increments

Helps understand the reason behind undesirable performance

Which of the following EAPs could be categorized as "beneficial to the employee"? Improving productivity Resolving management problems Limiting liability Improving quality of life

Improving quality of life

How does performance appraisal (PA) help in the selection process? It helps ensure the company job description is accurate It establishes the validity of rewards It helps determine the applicants' goals It motivates the applicants

It helps ensure the company job description is accurate

What is the foundation of the performance appraisal (PA)? Selection and placement Training and development Compensation Job analysis

Job analysis

Which of the following methods of performance appraisals use qualitative instead of quantitative data? Forced distribution method Paired comparisons Alternative ranking Narrative essay

Narrative essay

An advantage to this type of performance evaluation method is that each incumbent gets compared to every other incumbent, one by one. Which type of performance evaluation method is it? Straight ranking Alternative ranking Forced distribution Paired comparison

Paired comparison

Performance appraisals have a positive impact on all of the following except... Improving productivity of the organization Providing a framework for past employee development Outlining what performance is expected Encouraging supervisors to be aware of what their employees are doing

Providing a framework for past employee development

Which of the following types of employment would be best suited for using appraisal by customers? Restaurants Factory workers Construction Administrative

Restaurants

Which of the following is an evaluation decision made using performance appraisal information? Motivating employees to improve Providing feedback Salary increases or decreases Counseling employees

Salary increases or decreases

What does it mean to account for performance in a self-serving manner? Seeing the causes of good performance as attributed to external factors Seeing the causes of poor performance as one's own lack of motivation Seeing the causes of good performance as attributed to one's own ability Seeing the causes of poor performance as one's own lack of ability

Seeing the causes of good performance as attributed to one's own ability

Which of the following effects occurs when past performance appraisal ratings, whether good or bad, are allowed to unjustly influence current/correct ratings? Recency effect Spillover effect Contrast effect Similarity effect

Spillover effect

Which of the following is the simplest method of performance appraisal? Straight ranking Alternative ranking Narrative essay Paired comparisons

Straight ranking

Which of the following is an advantage to using appraisal by subordinates? Subordinates won't inflate the evaluation of their superiors Subordinates may help the superiors understand what they can do to improve Subordinates may evaluate their superiors solely based on their own needs Subordinates won't evaluate their superiors solely based on personality

Subordinates may help the superiors understand what they can do to improve

Which of the following terms refers to the person doing the appraising when discussing performance appraisal systems? Ratee Superior Subordinate Manager

Superior

What is the implicit assumption the rater makes when they make the "similarity error" in performance evaluations? Past behavior is similar to what they will do in the future Employees who follow rules exactly are the best employees That the rater is a "model" employee All employees are alike

That the rater is a "model" employee

When it comes to performance appraisals, supervisors and incumbents often see the process from different perspectives. Which of the following is usually a factor seen from the perspective of the supervisor? The employee's ability Lack of cooperation from other co-workers The lack of support for the employee Problems with machinery

The employee's ability

Why are conventional rating forms used extensively? Conventional forms are not subject to errors The descriptive words used have the same meanings to different raters They allow comparisons across employees and departments The forms are very objective and the rater has little control over the form

They allow comparisons across employees and departments

Why can appraisals by supervisors be effective? They can alienate the employee if the employee does not perform well They have reward and punishment power They are most familiar with the job of the subordinate Even without training they will give good feedback

They are most familiar with the job of the subordinate

What is a disadvantage of self-appraisals? Creates a hostile dialogue between the subordinate and the superior Not very effective when focusing on goal commitment They are subject to biases and distortions when used for evaluative purposes Subordinates become less involved with the goals of the organization

They are subject to biases and distortions when used for evaluative purposes

Which of the following is an advantage to using an employee's supervisor as the rater for the performance appraisal? The reward and punishment power they have makes the employee feel at ease They are guaranteed to have the skills to give good feedback They are the most familiar with the subordinate's work When they give punishments, the subordinate doesn't get frustrated because it is from someone close to them.

They are the most familiar with the subordinate's work

Which of the following is not a purpose of performance appraisals? To inform incumbents where they stand based on subjective thinking To further develop individuals To inform incumbents where they stand based on an evaluation To guide individuals to perform better

To inform incumbents where they stand based on subjective thinking

An effective performance appraisal system generally serves which purposes? (Select all that apply) To inform incumbents where they stand To recruit well-trained individuals To cause line managers to apply and use the plans from HR To future develop and guide individuals to perform better

To inform incumbents where they stand; To future develop and guide individuals to perform better

All of the following are reasons why completing assessments of the performance appraisal system are important except... To make sure all legal considerations are observed To see how well the development process is being met To increase its effectiveness To make changes to fit modern models, even if they are not needed

To make changes to fit modern models, even if they are not needed

True or False: Performance evaluation serves evaluation and development purposes, but it can also have a direct impact on strategic goals as well.

True

True or False: Ranking approaches used as the performance appraisal method may be used efficiently by the subordinates as well as supervisors for ranking themselves.

True

True or False: Revising current appraisal methods and including more effective strategies help set a better basis upon which to make compensation and training decisions.

True

Which of the following will not help ensure effective performance evaluations? Using subjective criteria Letting subordinates review their appraisals Conducting evaluations on all employees Making sure objective judgments are used

Using subjective criteria

Which of the following comes after the performance appraisal? Setting expected performance standards Using the information from the evaluation for future planning Knowing the job requirements that go along with the organization's strategy Establishing competencies

Using the information from the evaluation for future planning

Which of the following is the definition of what a central tendency bias error is when evaluating the performance of employees? When managers rate employees based on what has happened recently When managers rate the majority of incumbents in the middle of the pack When managers give unfavorable ratings regardless of the performance, to impress others with their strictness When managers rate subordinates higher than they should be rated, in order to avoid conflict

When managers rate the majority of incumbents in the middle of the pack

When does a contrast effect occur in performance appraisals? When one subordinate's performance is unjustly affected by an earlier evaluation of another employee When past performance appraisal ratings are allowed to influence current ratings When the appraisal is based on only recent events When raters assign higher rating to those whom they feel are similar to themselves

When one subordinate's performance is unjustly affected by an earlier evaluation of another employee

Which of the following causes more errors to occur when trying to conduct an accurate performance evaluation? When job duties are stated clearly When there are incentives for accurate evaluations When performance criteria are clearly stated When performance criteria are unclear

When performance criteria are unclear

When would peer appraisals be appropriate to use? When the culture is highly competitive When the organizational reward system is based on performance When there is a low level of trust among subordinates When the culture is highly participatory

When the culture is highly participatory

When do 360-degree evaluations take place? When the rater is a manager When the rater is an outside contractor When the rater is from the HR department When the rater is a colleague

When the rater is a colleague

When is the error of leniency most likely to happen? When there are no sanctions against high ratings When raters are trying to impress supervisors by showing how strict they are When raters have a large span of control and little opportunity to observe When the employee is perceived to be similar to the rater

When there are no sanctions against high ratings