Deck 18: Appraising and Rewarding Performance

Question 1

Both quantifiable and non-quantifiable objectives set in the management by objectives (MBO)process can be effectively used to evaluate employees.

Answer 1

False

Question 2

Job performance results from the interrelationships among effort,abilities,role perceptions,and results produced.

Answer 2

True

Question 3

Empowering employees to become more active in determining and evaluating their performance measures and standards can raise their boundaries of performance.

Answer 3

True

Question 4

Performance appraisal systems that are directly tied to an organization's reward system provide a powerful incentive for employees to work diligently and creatively toward achieving organizational objectives.

Question 5

360-degree feedback requires the manager to compare the performances of employees and place a certain percentage of employees at various performance levels.

Question 6

The biggest challenge of the production standards approach to performance appraisal is a lack of availability of appropriate standards for different job categories.

Question 7

The behaviorally anchored rating scales are developed solely by the human resources department.

Question 8

When using the behaviorally anchored rating scale (BARS)method of performance appraisal,a standard rating scale is developed for all the jobs in the organization.

Question 9

A promising approach to conducting effective performance appraisals is to improve the skills of managers.

Question 10

The forced distribution method of ranking attempts to eliminate bias by forcing the manager to rank statements that are seemingly indistinguishable or unrelated.

Question 11

Leniency,a common error in performance appraisals,occurs when performance appraisal statistics indicate that most employees are evaluated similarly as doing average work.

Question 12

When it becomes necessary to compare the performance of two or more employees,the forced-choice rating method of performance appraisal can be used.

Question 13

The job description should contain information about supervision received,supervision exercised,and career mobility.

Question 14

When using the paired comparison ranking method,the manager simply ranks the employees ranging from the most valuable to the least valuable.

Question 15

Central tendency,a common error in performance appraisals,occurs when managers allow a single prominent characteristic of an employee to influence their judgment on each separate item in the performance appraisal.

Question 16

The alternation ranking method assumes the performance level in a group of employees is distributed according to a bell-shaped,or "normal," curve.

Question 17

The standards set for a production standards approach to performance appraisal should reflect the output of an individual who outperforms the rest.

Question 18

Job analysis involves not only determining job content but also reporting the results of the analysis.

Question 19

One of the drawbacks of the graphic rating scale is that managers are unlikely to interpret written descriptions in the same manner because of differences in background,experience,and personality.

Question 20

When using a graphic rating scale for performance appraisal,an effective writer can make an average employee look better than the actual performance warrants.

Question 21

Which of the following performance appraisal approaches considers employee acceptance as a powerful motivator?

A) The essay appraisal method
B) The production standards approach
C) The critical-incident appraisal method
D) The management by objectives (MBO) approach
E) The graphic rating scale method

Question 22

Which of the following performance appraisal approaches is most frequently used for employees who are involved in physically producing a product?

A) The essay appraisal method
B) The production standards approach
C) The behaviorally anchored rating scale (BARS) method
D) The management by objectives (MBO) approach
E) The graphic rating scale method

Question 23

Which of the following best describes performance?

A) It refers solely to the personal characteristics that employees use in doing a job.
B) It reflects how well an employee is fulfilling the requirements of the job.
C) It refers to the amount of energy an employee uses in accomplishing a task.
D) It describes and outlines the coordination required by the job.
E) It refers to the condensed explanation of the content of the job.

Question 24

Paid vacations,insurance plans,and paid holidays are usually determined by performance rather than by organizational membership and seniority.

Question 25

Which of the following methods for setting production standards is most likely to be used for noncyclical types of work in which many different tasks are performed and there is no set pattern or cycle?

A) Expert opinion
B) Work sampling
C) Performance of specially selected employees
D) Time study
E) Average production

Question 26

Extrinsic rewards are more tangible than intrinsic rewards.

Question 27

Which of the following performance appraisal approaches involves setting an expected level of output and then comparing each employee's performance to that particular level of output?

A) The essay appraisal method
B) The production standards approach
C) The behaviorally anchored rating scale (BARS) method
D) The management by objectives (MBO) approach
E) The graphic rating scale method

Question 28

More often than not,employees are enthusiastic about the appraisal process because they associate it with an opportunity to recognize their scope for growth.

Question 29

Compensation consists of the extrinsic and intrinsic rewards offered by the organization.

Question 30

Which of the following performance appraisal approaches yields content that can be very subjective and difficult to compare?

A) The essay appraisal method
B) The production standards approach
C) The checklist method
D) The management by objectives (MBO) approach
E) The graphic rating scale method

Question 31

Which of the following is true about abilities?

A) They usually do not fluctuate widely over short periods of time.
B) They are defined by the activities and behavior employees believe are necessary in the performance of the job.
C) They refer to the amount of energy an employee uses in accomplishing a task.
D) They result from the interrelationships among effort, role perceptions, and results produced.
E) They refer to the direction in which employees believe they should channel their efforts on their jobs.

Question 32

Basing an employee's pay raise on his or her performance to reward individuals and reinforce performance is known as seniority pay.

Question 33

Which of the following is true about role perception?

A) It refers to the personal characteristics that employees use in performing a job.
B) It reflects how well an employee is fulfilling the requirements of the job.
C) It refers to the amount of energy an employee uses in accomplishing a task.
D) It is the net effect of an employee's abilities, efforts, and results produced.
E) It refers to the direction in which employees believe they should channel their efforts on their jobs.

Question 34

A flexible reward schedule is an effective way of linking extrinsic rewards to employee performance.

Question 35

Which of the following methods for setting production standards is most likely to be used for jobs involving repetitive tasks?

A) Expert opinion
B) Work sampling
C) Performance of specially selected employees
D) Time study
E) Average production

Question 36

Which of the following is true about abilities?

A) They refer to the personal characteristics that employees use in performing a job.
B) They refer to the individual's features that fluctuate widely over short periods of time.
C) They refer to the amount of energy an employee uses in accomplishing a task.
D) They refer to the activities and behavior employees believe are necessary in the performance of their jobs.
E) They refer to the direction in which employees believe they should channel their efforts on their jobs.

Question 37

Many extrinsic rewards provided by organizations do not lend themselves to being related to performance.

Question 38

Status is an example of an extrinsic reward.

Question 39

Performance appraisal systems generally are not considered to be bona fide when their application results in adverse effects on minorities,women,or older employees.

Question 40

Areas of job performance needing improvement that are most heavily criticized are more likely to be improved than similar areas of job performance that are less heavily criticized.

Question 41

Which of the following is a weakness associated with the graphic rating scale method of performance appraisal?

A) The writing skill of a manager can affect appraisal conducted using this method.
B) It can lead to friction between the manager and employees when the employees think the manager is keeping a "book" on them.
C) Managers are required to jot down incidents regularly which become a burdensome and time-consuming task.
D) It evaluates one employee's performance as a function of the performance of other employees in the job.
E) Managers are unlikely to interpret written descriptions in the same manner because of differences in background, experience, and personality.

Question 42

Which of the following performance appraisal approaches can lead to friction between the manager and employees when the employees think the manager is keeping a "book" on them?

A) The critical-incident appraisal method
B) The production standards approach
C) The checklist method
D) The management by objectives (MBO) approach
E) The graphic rating scale method

Question 43

Which of the following is true about the behaviorally anchored rating scale (BARS)method of performance appraisal?

A) These scales are developed solely by the human resources department.
B) The anchors are developed from the observations and experiences of employees who actually perform the job.
C) These scales take extremely less time and commitment to develop.
D) This method focuses on the performance outcomes of an employee doing a particular job.
E) This method allows managers to develop and use a single standardized rating scale for all jobs.

Question 44

Which of the following performance appraisal approaches requires the manager to describe an employee's performance in written narrative form?

A) The essay appraisal method
B) The production standards approach
C) The checklist method
D) The management by objectives (MBO) approach
E) The graphic rating scale method

Question 45

Which of the following performance appraisal approaches does not focus on performance outcomes?

A) The critical-incident appraisal method
B) The production standards approach
C) The forced distribution method
D) The essay appraisal method
E) The behaviorally anchored rating scale (BARS) method

Question 46

Which of the following performance appraisal approaches uses input from an employee's managers,peers,customers,suppliers,or colleagues?

A) The 360-degree feedback process
B) The essay appraisal method
C) The critical-incident appraisal method
D) The alternation ranking approach
E) The forced-choice rating process

Question 47

Which of the following potential errors in performance appraisals refers to the grouping of ratings at the positive end of the performance scale instead of spreading them throughout the scale?

A) Forced-choice
B) Leniency
C) Central tendency
D) Alternation bias
E) Recency

Question 48

Which of the following performance appraisal approaches requires the manager to compare the performances of employees and place a certain percentage of employees at various performance levels?

A) The alternation ranking method
B) The paired comparison ranking method
C) The forced distribution ranking method
D) The forced-choice rating method
E) The behaviorally anchored rating method

Question 49

Carla is a human resources manager for a software development company.She has been asked to describe and note in her own words her team members' performances,including their quantity and quality of work.Which of the following performance appraisal approaches has Carla been asked to implement?

A) The essay appraisal method
B) The production standards approach
C) The checklist method
D) The management by objectives (MBO) approach
E) The graphic rating scale method

Question 50

Which of the following potential errors in performance appraisals occurs when performance appraisal statistics indicate that most employees are evaluated similarly as doing average or above-average work?

A) Forced-choice
B) Leniency
C) Central tendency
D) Alternation bias
E) Recency

Question 51

Which of the following is a weakness associated with the forced distribution ranking method of performance appraisal?

A) The writing skill of a manager can affect appraisal conducted using this method.
B) It can lead to friction between the manager and employees when the employees think the manager is keeping a "book" on them.
C) Managers are required to jot down incidents regularly, which can become burdensome and time-consuming.
D) It evaluates one employee's performance as a function of the performance of other employees in the job.
E) Managers are unlikely to interpret written descriptions in the same manner because of differences in background, experience, and personality.

Question 52

Harry is a manager at Pine and Acorn Consultancy.During the annual performance appraisals,he compares the performances of his subordinates and places them at various performance levels,similar to a bell-shaped curve.His senior manager has approved a fixed amount for him to distribute as a performance-linked incentive to a certain percentage of his subordinates who have exceeded expectations.Which of the following performance appraisal approaches has Harry used as a prerequisite for this distribution?

A) The critical-incident appraisal method
B) The graphic rating scale method
C) The forced distribution ranking method
D) The checklist method
E) The behaviorally anchored rating scale (BARS) method

Question 53

Which of the following performance appraisal approaches requires the manager to rank a set of statements describing how an employee carries out the duties and responsibilities of the job?

A) The alternation ranking method
B) The paired comparison ranking method
C) The forced-choice rating method
D) The forced distribution method
E) The critical-incident appraisal method

Question 54

Which of the following performance appraisal approaches assumes that one employee's performance evaluation is a function of the performance of other employees in the job?

A) The essay appraisal method
B) The production standards approach
C) The checklist method
D) The management by objectives (MBO) approach
E) The alternation ranking method

Question 55

The _____ method attempts to eliminate bias by forcing the manager to rank statements that are seemingly indistinguishable or unrelated.

A) alternation ranking
B) paired comparison ranking
C) forced-choice rating
D) critical-incident
E) behaviorally anchored rating scale

Question 56

Laura is a senior manager at Pine and Acorn Consultancy.Following the semi-annual appraisals,Pine and Acorn's human resources manager Peter informed Laura that her ratings of her subordinates were grouped at the positive end of the performance scale instead of being spread throughout the scale.Which of the following potential errors in performance appraisals has Laura committed?

A) Forced-choice
B) Leniency
C) Central tendency
D) Alternation bias
E) Recency

Question 57

Which of the following terms refer(s)to the broad categories of duties and responsibilities that make up a job?

A) Job dimension
B) Job content
C) Job design
D) Job specifications
E) Job depth

Question 58

Which of the following performance appraisal approaches requires a scoring key to be kept by the human resource department to minimize managerial bias?

A) The critical-incident appraisal method
B) The production standards approach
C) The checklist method
D) The management by objectives (MBO) approach
E) The graphic rating scale method

Question 59

Holly is a project manager in a software development firm.She has been asked to conduct the annual performance appraisal for her team.She lists the names of her team members on the left side of a sheet of paper.She then compares the first employee with every other employee on the list on the quality of work criterion and places a check mark on the one who produced the best quality of work in each of the paired comparisons.In this way she compares each employee to every other employee in the list.Which of the following performance appraisal method has Holly implemented?

A) The critical-incident comparison method
B) The alternation ranking approach
C) The paired comparison ranking method
D) The management by objectives (MBO) approach
E) The paired graphic rating scale method

Question 60

The forced distribution ranking method assumes the performance level in a group of employees is distributed according to a _____.

A) scatter diagram
B) "S" shaped curve
C) Pareto diagram
D) skewed curve
E) normal curve

Question 61

_____ Act permits the use of a bona fide performance appraisal system.

A) The National Labor Relations
B) The Taft-Hartley
C) The Fair Labor Standards
D) Title VII of the Civil Rights
E) The Norris-LaGuardia

Question 62

List a few important factors that influence success or failure of appraisal interviews.

Question 63

Discuss the disadvantages associated with the forced distribution method of ranking.

Question 64

Outline some appropriate preconditions for merit pay.

Question 65

Laura is a senior manager at Pine and Acorn Consultancy.After the recent rounds of semi-annual appraisals,Pine and Acorn's human resource manager Harry informed Laura that she had given approximately the same rating on every item of the appraisal to a few of her subordinates.Which of the following potential errors in performance appraisals has Laura committed?

A) Forced-choice
B) Leniency
C) Central tendency
D) The halo effect
E) Recency

Question 66

What are the factors that need to be met with for the performance appraisal to work effectively?

Question 67

Laura is a senior manager at Pine and Acorn Consultancy.Following the semi-annual appraisals,Pine and Acorn's human resources manager Harry informed Laura that she had evaluated most of her subordinates similarly as doing average or above-average work.Which of the following potential errors in performance appraisals has Laura committed?

A) Forced-choice
B) Leniency
C) Central tendency
D) Alternation bias
E) Recency

Question 68

Outline some of the suggestions that have been made to make the performance appraisal system more legally acceptable.

Question 69

Laura is a senior manager at Pine and Acorn Consultancy.One of her subordinates,Alex,comes late to work every other day and does just enough work to get by.However,last month he put in the most effort compared to the other employees on a major project and finished it before time and within the allocated budget.Based on this performance,Laura recommended a promotion for him at the annual appraisals.Which of the following potential errors in performance appraisals has Laura committed?

A) Forced-choice
B) Leniency
C) Central tendency
D) Self-serving bias
E) Recency

Question 70

Outline a few frequently used methods for setting production standards.

Question 71

Which of the following potential errors in performance appraisals occurs when managers allow a single prominent characteristic of an employee to influence their judgment on each separate item in the performance appraisal?

A) Halo effect
B) Leniency
C) Central tendency
D) Alternation bias
E) Recency

Question 72

Describe the implementation of the alternation ranking system.

Question 73

Which of the following is an intrinsic reward?

A) Formal recognition
B) Fringe benefits
C) Incentive payments
D) Social relationships
E) Job satisfaction

Question 74

_____ is an extrinsic reward offered by an organization.

A) Job satisfaction
B) Increased authority
C) Increased responsibilities
D) Increased power
E) Compensation

Question 75

Laura is a senior manager at Pine and Acorn Consultancy.At the annual appraisal interview,she had expressed dissatisfaction with the performance of Harry,an employee belonging to a minority community.Though Harry was good at his work,Laura granted Mark,who was a fresher and less qualified than Harry,a promotion that Harry was supposed to get.Harry was disappointed with the appraisals and threatened to sue Pine and Acorn on charges of violating the _____ Act.

A) National Labor Relations
B) Taft-Hartley
C) Fair Labor Standards
D) Title VII of the Civil Rights
E) Fair Employment

Question 76

What are the activities involved in a typical MBO process?

Question 77

Which of the following is a valid suggestion for making performance appraisal systems more legally acceptable?

A) Emphasizing on personal traits rather than work behaviors
B) Discouraging employees from giving feedback during the appraisal interview
C) Ensuring that the results of appraisals are kept confidential from employees
D) Ensuring that the appraisals are written, documented, and retained
E) Ensuring that the personnel decisions are discrepant with the performance appraisals

Question 78

Describe the three steps usually followed for developing a behaviorally anchored rating scale (BARS)?

Question 79

Which of the following is an extrinsic reward?

A) Social relationships
B) Informal recognition
C) Job satisfaction
D) Personal growth
E) Status

Question 80

Outline some best practices in conducting performance appraisals.