Exam 2: Performance Management

What is behaviorism?

A branch of psychology which holds that individuals' future behavior is determined by their past experiences especially ones that have been reinforced

What is a CRF schedule?

A continuous reinforcement schedule is in effect if every instance of a target behavior is reinforced

Defn coaching

A customized process between 2 or more people with the intent of enhancing learning and motivating change

What does performance management provide? (2)

A framework for aligning people resources against strategic and tactical objectives A system for rewarding varying levels of performance to motivate and retain high performers

Difference between a performance goal and a learning goal

A performance goal targets a specific end result versus a learning goal that promotes enhancing your knowledge or skill

Benefits of performance management for employees: (3)

Allows employees to identify their strengths and recognize areas to improve Work with their manager to identify contributions to the team Establish a plan to develop skills

Benefits of performance management for managers: (4)

Allows managers to build stronger working relationships with employees Shows employees their commitment to helping them meet job standards Encourages employees to improve job skills Identifies and solves job performance issues

What are your desired outcomes from organizational reward systems?

Attract Motivate Retain Develop Engage

What are the Dos in a discussion? (8)

Be direct Listen and take notes Seek clarification Be specific Be realistic Pinpoint sources of disagreement Provide concrete, behavioral examples Provide a reality check when expectations are unrealistic

How do you assess "What" versus "How"?

Behavior competencies (How it gets done) on Y axis Actual results (What gets done) on X axis Left to right, top to bottom Value driven low performers Star performers Poor performers Loose cannons

What is operant behavior?

Behavior that is learned when one "operates on" the environment to produce desired consequences

What does BOS stand for?

Behavioral Observation Scale

What is a BOS?

Behavioral Observation Scale is a variation of a BARS which uses all behaviors necessary for effective performance to rate performance at a task

Defn what BARS is

Behaviorally Anchored Rating Scale that is a method of performance measurement that rates behavior in terms of a scale showing specific statements of behavior that describe different levels of performance

What does BARS stand for?

Behaviorally Anchored Rating Scales

What kind of fit with strategy does a behavioral approach offer? Validity? Reliability? Acceptability?

Can be high fit Usually high validity causes it to minimize contamination and deficiency Usually high reliability Moderate acceptability cause it is difficult to develop but accepted well for use

What are attributes?

Characteristics or traits

What does it mean to evaluate performance?

Compare performance at some point in time to a previously established expectation or goal

Defn interrater reliability

Consistency of results when more than one person measures performance

__ and __ of a job performance measure validity

Contamination; deficiency

When would contrast errors occur? What are they?

Contrast errors when raters compare an individual against another versus an objective; A competent performer working amongst exceptional people may be rated lower

What are the four steps in an OBM technique?

Define a set of key behaviors necessary for job performance Use a measurement system to assess whether the employee exhibits the key behaviors Inform employees of the key behaviors, perhaps in terms of goals for how often to exhibit the behaviors Provide feedback and reinforcement based on employees' behaviors

What does self assessment allow employees to do? (4)

Describe results (successes/disappointments) for the year Rate themselves against competencies or other key assessment traits Summarize their performance Give themseves an overall performance rating for the year

Defn reliability

Describes the consistency of the results that the performance measure will deliver

Extrinsic versus intrinsic rewards

Extrinsic- Financial and nonfinancial Intrinsic- Meaningfulness and achievement

What kind of criteria determines the effectiveness of performance measures? (5)

Fit with strategy Validity Reliability Acceptability Specific feedback

How do you make performance management work well?

Get ongoing, visible support from senior leadership Establish the right number of challenging accountabilities Ensure managers are trained in the system and tools Clearly communicate the total rewards system Ensure managers provide regular and/or informal feedback Set clear expectations for employee performance and development Regularly review progress at multiple levels Use performance management tools to differentiate across levels of performance and send the right message to different people

What are graphic rating scales?

Giving a rating for a certain behavior

What are the three components a MBO system contains?

Goals are specific, difficult, and objective Managers and their employees work together to set the goals The manager gives objective feedback through the rating period to monitor progress toward the goals

Performance management refers to __(5)

Goals, feedback, developmental discussions, performance reviews, rewards of different types (tangible and intangible)

What are method approaches to performance evaluation? (5)

Graphic rating scales Critical incidents BARS BOS Results versus Accountabilties approaches

Characteristics of good accountabilities: (7)

Grounded in, clearly aligned with, the strategic agenda and objectives for each business Stretch but achievable Limited in number (8-10 with one being a focus on self development) Aligned with those of your manager and other team members Developed using tools and templates for enterprise-wide consistency SMART (Specific, Measurable, Attainable, Relevant, Time-Based) Reviewed on a quarterly basis at all levels of the organization

What's a halo error? A horns error?

Halo error is when someone casts bias in a favorable direction versus a horns error which involves negative ratings

When is a continuous reinforcement schedule in effect?

If every instance of a target is reinforced

Defn feedback

Info about individual or collective performance shared with those in a position to improve the situation

What are the 2 functions for those who receive feedback?

Instructional when it clarifies roles or teaches new behaviors and motivational

What is included in total rewards?

It encompasses not only compensation and benefits but also personal and professional growth opportunities and a motivating work environment that includes recognition, job design, and work life balance

What is the developmental purpose of performance management?

It serves as a basis for developing employees' knowledge and skills

What does MBO stand for?

Management Business Objectives

What is MBO?

Management by Objectives; A system in which people at each level of the org set goals in a process that flows from top to bottom so employees at all levels are contributing to the org's overall goals; these goals become the standards for evaluating each employee's performance

How does alternation raking work? Issue with it?

Manager works from list of employees and chooses best and then worst and then second best and then second worst, cont. Issue with validity cause stating best or worst doesn't define what is good or bad about the person's contribution to the organization

What does it mean to monitor performance?

Measure, track, or otherwise verify progress and ultimate outcomes

What are two of the most popular methods for measuring results?

Measurement of productivity and management of objectives

What is a calibration meeting?

Meeting at which managers discuss employee performance ratings and provide evidence supporting their ratings with the goal of eliminating the influence of rating errors

What is the forced-distribution method?

Method of performance management that assigns a certain percentage of employees to each category in a set of categories

What is the critical-incident method?

Method of performance measurement based on managers' records of specific examples of the employee acting in ways that are either effective or ineffective

What is the paired-comparison method?

Method of performance measurement that compares each employee with each other employee to establish rankings

What is the graphic rating scale?

Method of performance measurement that lists traits and provides a rating scale for each trait; the employer uses the scale to indicate the extent to which an employee displays each trait

What is simple ranking?

Method of performance measurement that requires managers to rank employees in their group from the highest performer to the lowest performer

What are mixed standard scales?

Method of performance measurement that uses several statements describing each trait to produce a final score for that trait

What is OBM?

Organizational behavior modification is a plan for managing the behavior of employees through a formal system of feedback and reinforcement

What are the three common sources of feedback?

Others, task, self

Variable ratio versus variable interval

Payment after variable number of pulls versus more randomized

__ serves as the starting point for career discussions and movement

Performance management

___ is critical for individual and organizational success

Performance management

What is a 360 degree performance appraisal?

Performance measurement that combines information from the employee's managers, peers, subordinates, self, and customers

What kind of fit with strategy does a comparative approach offer? Validity? Reliability? Acceptability?

Poor fit unless manager takes time to make link Validity can be high if rating are done carefully Reliability depends on the rater but usually no measure of agreement is used Acceptability is moderate bc it is easy to develop and use but resistant to normative standard

Positive reinforcement versus negative reinforcement

Process of strengthening a behavior by contingently presenting something pleasing Strengthens a desired behavior by contingently withdrawing something displeasing

What is a manager's role in performance evaluation? (9)

Provide feedback frequently Think about the atmosphere for the actual review discussion Potentially ask the individual to do a self-assessment Encourage the individual to actively participate, allow candid convo Provide right balance of positive vs constructive feedback Recognize mistakes but try to make it a learning experience Focus feedback on behaviors, NOT personal characteristics Agree on goals, next steps, follow ups Accurately rate performance

Self assessment benefits? (4)

Provides employees a say in their performance review Helps provide a more realistic perspective on performance May provide the manager info she wasn't aware of Generally leads to more effective performance discussion

What are the procedural issues approaches to performance evaluation? (3)

Ranking Forced distribution Calibration

What are critical incidents?

Ratings based on positive or negative occurences

Defn test-retest reliability

Refers to consistency of results over time

What is the administrative purpose of a performance management system?

Refers to the ways in which orgs use the system to provide info for day to day decisions about salary, benefits, and recognition programs

What is intermittent reinforcement?

Reinforcement of some but not all instances of a target behavior

What are the three types of distribution criteria?

Results- Quantity produced, quality, individual performance Behaviors and actions- Teamwork, cooperation, risk taking Nonperformance factors- Rewards linked to seniority or job title

Why are specific accountabilities important? (5)

Roadmap for success- basis for update discussions to review progress Provides linkage between an employee and the org's objectives Helps prioritize work and thus guide decision making Ensures the team is functioning efficiently, working together, and focused on critical objectives Included in performance management assessments

What is the law of effect?

Says behavior with favorable consequences tends to be repeated while behavior with unfavorable consequences tends to disappear

4 steps to the goal setting process?

Set goals Promote goal commitment Provide support and feedback Create action plans

What are the steps in the performance management cycle? (5)

Setting accountability and defining outcomes, Developmental review (Develop employee goals, behavior, and actions to achieve outcomes; Informal feedback/Training and development), Provide support and ongoing performance discussions Performance review (Formal process) and identify improvements needed, Reward/consequences for performance results (Merit increase, etc.)

What does SMART stand for?

Specific, Measurable, Attainable, Relevant, Time-Based

What do you consider when developing your accountabilities? (5)

Strategic objectives of the org itself Strategic objectives for your business, function, group Strategic objectives and goals est. by your manager, the team, their own Important and critical tactical objectives you have for the year Other key initiatives or actions you need to take to help drive the org's success

Organizations establish performance management systems to meet 3 broad purposes:

Strategic, administrative, and developmental

What is negative reinforcement?

Strengthens a desired behavior by contingently withdrawing something displeasing

What should a developmental review have: (5)

Strengths, relative weaknesses, and development needs Career interests and work-related areas for which the employee is passionate Career goals, short and long term Discussion of potential career planning options Discussion of potential next roles

What two types of feedback do you get in TQM?

Subjective feedback from managers, peers, and customers about the employee's personal qualities Objective feedback based on the work process coming from statistical quality control

Defn validity

The extent to which a measurement tool actually measures what it is intended to measure

What is the most widely used method for rating attributes?

The graphic rating scale

Defn performance management

The means through which managers ensure that employees' activities and outputs are congruent with/contribute to the org's goals A set of processes and managerial behaviors that include defining, monitoring, measuring, evaluating, and providing consequences for performance expectations

What are subordinates?

The people reporting to the manager

What is positive reinforcement?

The process of strengthening a behavior by contingently presenting something pleasing

What is punishment?

The process of weakening behavior through either the contingent presentation of something displeasing or the contingent withdrawal of something positive

Defn process management

The process through which managers ensure that employees' activities and outputs contribute to the organization's goals

What are things to consider when monitoring of performance? (4)

Timeliness, quality, quantity, financial metrics

What is the strategic purpose of effective performance management?

To help the org achieve its business objectives by linking the employees' behavior with the org's goals

What is the principle of TQM?

Total quality management assesses both individual performance and the system within which the individual works; Employees and their customers work together to set standards and measure performance with the overall goal of customer satisfaction

What are the three key factors in organizational rewards?

Types of rewards Distribution criteria Desired outcomes

What is respondent behavior?

Unlearned reflexes or stimulus-response (S-R) connections

What kind of fit with strategy does an attribute approach offer? Validity? Reliability? Acceptability?

Usually low fit with strategy and requires the manager to make the link Usually low validity but can be fine if developed carefully Usually low reliability but can be improved by specific definitions of attributes High acceptability, easy to develop and use

What behaviors are most resistant to extinction?

Variable interval schedules or variable ratios

What kind of fit with strategy does a results approach offer? Validity? Reliability? Acceptability?

Very high fit Usually high validity but can be contaminated and deficient High reliability but the main problem can be tested depending on timing of measure High acceptability usually developed with inputs from those to be evaluated

What kind of fit with strategy does a quality approach offer? Validity? Reliability? Acceptability?

Very high fit to strategy High validity but can be both contaminated and deficient High reliability High acceptability that is usually developed with input from those to be evaluated

What is extinction?

Weakening a behavior by ignoring it or making sure it is reinforced

When are distributional errors made? Types? (3)

When raters tend to use only one part of a rating scale; Leniency is when the reviewer rates everyone near the top, Strictness is when the rater favors lower rankings, Central tendency is when the rater puts everyone near the middle of the scale

BARS builds on the __ approach

critical-incidents

Performance management provides valuable info for use in __, __, and __

developmental discussions, action planning, and training

Negative feedback is a __ while negative reinforcement is meant to __

form of punishment versus strengthen a behavior

Performance management requires __

good leadership skills

Asking a supervisor to rate an employee's performance on a scale of 5 would have __ interrater reliability

low cause the rating will differ depending on who is scoring the employees

Performance management is fundamentally about __(2)

sending the right messages to people helping each org member max his current effectiveness and future potential

Performance management tools are there to help ___ and __

shape behavior; drive performance

Accountabilities should have a __ __ within the organization

strong alignment