Performance Appraisal Methods Flashcards
Performance Appraisal Methods
- Comparison
- Narrative
- Behaviorally Anchored Ratings Scales (BARS)
- Checklist
- Management by Objectives (MBO)
- 360-Degree Feedback
- Self-Assessment
Comparison
- Compares employees to each other
- Ranked: evaluator ranks employees from highest to lowest
- Paired comparison: evaluator compares employees to the other employees in the group
- Forced distribution: evaluator uses a bell curve resulting in a few high performers, few low
performers, and mostly average performance
Narrative
- Uses a Likert scale (1-5 point rating)
Behaviorally Anchored Ratings Scales (BARS)
- Evaluator ranks anchored statements
- Must be customized by job and built from the job description
Checklist
- Evaluator checks off which behaviors were observed and to what degree throughout the performance period
- Does not provide meaningful feedback
Management by Objectives (MBO)
- Evaluator uses mutually set goals to rate employees
360-Degree Feedback
- Performance is gathered from suppliers, vendors, subordinates, and superiors
Self-Assessment
- Employees evaluate themselves
- Typically, the first step in a multi-step evaluation process
Common Performance Appraisal Errors
- Central tendency/leniency/strictness
- Contrast effect
- Cultural noise
- First-impression effect
- Halo effect / horn effect
- Inconsistency
- Negative emphasis
- Nonverbal bias
- Primacy error
- Recency error
- Similar-to-me / Different-than-me error
- Stereotyping
Central tendency/leniency/strictness:
- Rating every employee about average
Contrast effect
- Comparing all statements against all other statements
Cultural noise
- Not recognizing when the candidate answers questions based on what the candidate
believes the interviewer wants to hear
First-impression effect
- Forming opinions based on first impression rather than the objective
data collected
Halo effect/horn effect
- Emphasizing either a positive trait (halo) or a negative trait (horn) over all other
traits the employee displays
Inconsistency
- Manipulating data to draw selective rather than representative conclusions
Example: A male employee sexually harasses a female employee at a company event. The harassment is
witnessed by 12 people, three of whom are men. The HR pro only interviews the three male employees.
Negative emphasis
- Placing the most emphasis on a small amount of negative and irrelevant information
Nonverbal bias
- Placing too much emphasis on body language and other nonverbal cues
Primacy error
- Forming an opinion based on a first impression
Recency error
- Treating employees’ most recent behavior as reflective of the entire review period
Similar-to-me/different-than-me error
- Being influenced by shared personal characteristics
Stereotyping
- Using personally held beliefs about groups of people to draw conclusions about a
specific situation
Paired Comparison
- Evaluator compares employees to the other employees in the group
Forced Distribution
- Evaluator uses a bell curve resulting in a few high performers, few low
performers, and mostly average performance
