Chapter 9. Performance Management
Five managements basics:
Clear statements of what is expected; explicit and measurable goals and deadlines; detailed evaluation of persons work; clear feedback; and rewards distributed fairly
Flaws on forced ranking systems
Don't work well in company cultures that value teamwork and unclear, qualitative data is mostly used
Best practices when conducting effective performance feedback interviews
Encouraging participation and getting training in performance appraisal interviewing
Careful selection of employees
Final aspect of performance facilitation; carefully select new employees
Purposes of performance appraisals
Help diagnose performance problems and provide legal justification for employment decisions
Appraisals can help diagnose organizational problems
Identify training needs and personal characteristics to consider in hiring, and a basis for distinguishing effective/ineffective performers
What is a key element to driving effective performance?
Measurement
Establish successful goals and objectives
Meet to agree on major objectives for a period of time; discuss and agree on plans to achieve; agree on the measurement tools for determining if objectives met
Obstacles in maximum performance
Outdated equipment, delays in supplies, inefficient design of space, ineffective methods
Performance encouragement
Provide a sufficient number of rewards that employees value, timely fashion, and fair manner
appraisals tend to be more lenient, less variable, more biased, and show less agreement with others
Self
360-degree feedback
The ratings from the different sources generally do not agree and the different sources are coomparable
Rank-and-Yank/Forced Ranking
What teachers call grading on a curve, a few people at the top, few at bottom, and rest clumped in the middle
intact teams engaged on routine tasks
Work or service teams
Lack of ___ is the main barrier keeping leaders from focusing adequate time and attention to performance management
accountability
Performance appraisal
administrative exercise they typically do once a year to identify and discuss job-relevant strengths and weaknesses of individuals or work teams
rating methods focus on evaluating the impact of employee behaviors
behavior-oriented
Critical incidents
brief anecdotal reports by supervisors of things employees do that are particularly effective or ineffective in accomplishing parts of their jobs
Provide adequate resources
capital resources, material resources, or human resources
Relevance
clear links between the performance standards for a particular job and organizational objectives and between the critical job elements identified through analysis on an appraisal form
is the main influence on ratings
direct observation
Performance
ensures that individual employees or teams know what is expected of them and they stay focused on effective performance
Halo
error is a result of raters who assign their ratings on the basis of global impressions of those being rated
Appraisals can help to identify developmental needs of employees
establishes objectives for training programs
Forced rankings
fewer and fewer companies are using them
The avoid surprises in the performance review process, assessments should be done more
frequently
Three key elements of performance
goals, measures, and assessment
Job analysis
identifies the characteristics necessary for successful job performance is one way to avoid legal difficulties with performance appraisals
Appraisal serves a twofold purpose
improve work performance by realizing full potential and provide info to employees and managers for use in making work-related decisions
Performance Management
indicates a person's actual direction as well as a person's desired direction
Observation and ___ are processes that occur when people interact during appraisals in organized settings
judgment
Contrast
leaders compares subordinates with one another instead of against performance standards
Full-spectrum
leadership involves ensuring that behaviors used to achieve business results are consistent with company values
Best practice in keeping performance appraisal systems viable
make them more likely to achieve a particular objective
is the simplest type of absolute rating system
narrative essay
Teams that include membership not constrained by time or space and membership is not limited by organizational boundaries
network teams
Supervisors often use information from ___ sources in making their own judgments about performance
outside
teams are assembled for a specific task and are expected to disband once their task is complete
project
Appraisals provide legal and formal justification for decisions
promote outstanding performers; weed out low performers; train, transfer, or discipline others; justify merit increases/decreases; key input for administering rewards and punishment system
Which of the following is true of behaviorally anchored rating scales?
provide a common frame of reference for raters
The type of evidence required to defend performance ratings is linked to the ___ for which the ratings are made
purposes
Goal setting
record of success in improving performance in a variety of settings and cultures
Evaluating each employee in terms of performance standards without reference to others
relative rating systems
The rating format used isn't as important as it is
relevance
Key Requirements of any appraisal system
relevance, sensitivity, and reliability
Performance Facilitation
resources to get a job done right and on time, and the careful selection of employees
Appraisals are used as criteria in test validation
results are correlated with appraisal results to evaluate the hypothesis that test scores predict job performance
Place primary emphasis on what an employee produces; dollar volume of sales, number of units produced, and number of wins
results-oriented rating methods
Appraisals provide feedback to employees
serve as vehicles for personal and career development
Which of the following is accurate about how results are expressed in graphic rating scales?
they are quantitative
Which of the following is a major advantage of behaviorally anchored rating scales?
they define the dimensions to be rated in behavioral terms
Recency
when a rater assigns his or her ratings on the basis of the employee's most recent performance