Deck 10: Performance Management and Appraisal

Question 1

Which of the following uses of performance appraisals looks within the organization to provide consistency between individual and organization performance?

A) An administrative use
B) A strategic use
C) A developmental use
D) A training use

Answer 1

B

Question 2

In the context of performance information, which of the following is an example of results-based information?

A) Teamwork
B) Initiative
C) Customer satisfaction
D) Sales volume

Answer 2

D

Question 3

In the context of performance information, which of the following is an example of trait-based information?

A) Verbal persuasion
B) Teamwork
C) Timeliness of response
D) Citizenship

Answer 3

B

Question 4

In the context of performance information, which of the following is an example of behavior-based information?

A) Improved quality
B) Sales volume
C) Timeliness of response
D) Cost reduction

Question 5

Which of the following statements is true of objective and subjective measures of performance appraisals?

A) Subjective measures can be observed, and objective measures require judgment on the part of the evaluator.
B) Both subjective and objective measures require judgment on the part of the evaluator and cannot be observed.
C) Objective measures can be observed, and subjective measures require judgment on the part of the evaluator.
D) Both subjective and objective measures can be observed and do not require judgment on the part of the evaluator.

Question 6

_____ is especially useful when supervisors do not have the opportunity to observe each employee's performance.

A) Outsider rating
B) Self-rating
C) Peer rating
D) Employees rating managers

Question 7

Employees working in isolation or possessing unique skills may be particularly suited for _____.

A) outsider ratings
B) self-ratings
C) peer ratings
D) multisource ratings

Question 8

Which of the following is an objective measure of performance?

A) The total number of washing machines sold by an employee
B) A supervisor's rating of an employee's integrity
C) An employee's attitude toward customers
D) An organization's perceptions of an employee's values

Question 9

Which of the following is a subjective measure of performance?

A) The total number of cars sold by an employee
B) A supervisor's rating of an employee's integrity
C) The number of hours worked by an employee
D) The revenue an employee has brought in for the organization

Question 10

Which of the following is most likely to help retain employees who are in high demand and improve their performance?

A) Conducting accelerated appraisals for these employees
B) Emphasizing informal appraisals over systematic appraisals
C) Emphasizing the negative aspects of performance during appraisal discussion
D) Conducting peer evaluations for these employees

Question 11

When conducting performance appraisals, Steve, an Operations Manager at Pucoy Inc., provides his team members with feedback about their work and discusses areas of improvement for their future growth in the company. In this scenario, Steve demonstrates a(n) _____ use of performance appraisal.

A) administrative
B) strategic
C) developmental
D) associative

Question 12

Which of the following is true of performance appraisal?

A) Performance management is a part of performance appraisal.
B) Performance appraisal is the process of determining how well employees do their jobs relative to a standard and communicating that information to them.
C) Performance appraisal provides a link between employee performance and power distance.
D) Performance appraisal refers to the entire series of activities designed to ensure that the organization gets the performance it needs from its employees.

Question 13

_____ are the most widely used means of rating employees.

A) Employee ratings of managers
B) Self-ratings
C) Peer ratings
D) Supervisory ratings of subordinates

Question 14

Which of the following is a criticism of a pay-for-performance approach?

A) It prevents teamwork in the workplace.
B) It offers equal rewards for all employees.
C) It fails to establish a clear set of goals for employees.
D) It discourages individual employee contribution.

Question 15

A panel of division managers evaluating a supervisor's potential for advancement in the organization is an example of _____.

A) outsider ratings
B) self-ratings
C) peer ratings
D) multisource ratings

Question 16

Which of the following is true of organizations that practice a performance-driven approach?

A) Employee rewards vary significantly from person to person and are not based on individual performance.
B) Performance appraisal activities are not valued by managers and employees and are often viewed as a bureaucratic exercise.
C) Employee rewards are standardized irrespective of job duties.
D) Performance evaluations link results to employee compensation and development.

Question 17

Which of the following is most likely to make managers more responsive toward employees?

A) Supervisory ratings of subordinates
B) Self-rating
C) Peer rating
D) Employee ratings of managers

Question 18

_____ is a series of activities designed to align and improve individual performance to drive organizational results.

A) Performance management
B) Organizational performance
C) Organizational behavior
D) Performance modelling

Question 19

Which of the following statements is true of organizations that practice the entitlement approach?

A) Employee rewards are determined only on the basis of employee performance.
B) Employee rewards vary little from person to person and have little to do with differences in individual performance.
C) Employee rewards are determined on the basis of results and contributions made by employees.
D) Employee rewards vary significantly from person to person because of managers' biases.

Question 20

Which of the following is true of performance standards?

A) Performance standards must be based only on qualitative criteria.
B) Performance standards should be established while the work is being performed.
C) Performance standards must be based only on quantitative criteria.
D) Performance standards should be established before the work is performed.

Question 21

The use of _____ can cause rater error because it might not accurately reflect the relative importance of certain job characteristics.

A) graphic rating scales
B) critical incident methods
C) comparative methods
D) essay methods

Question 22

In the _____ method, the manager keeps a written record of both favorable and unfavorable actions performed by an employee during the entire rating period.

A) forced distribution
B) ranking
C) essay
D) critical incident

Question 23

_____ is a technique for distributing ratings that are generated with any of the other appraisal methods and comparing the ratings of people in a work group.

A) Behavioral rating scales
B) Forced distribution
C) Peer distribution
D) Critical incident

Question 24

Which of the following is typically the last stage in implementing a guided self-appraisal system using management by objectives (MBO)?

A) Frequent performance discussions
B) Development of performance standards
C) Setting of objectives
D) Job review and agreement

Question 25

Which of the following is included in the narrative method of performance appraisals?

A) The graphic rating scale
B) The critical incident method
C) The ranking method
D) The forced distribution method

Question 26

Raul, an HR Manager at Rexi LLC, is responsible for implementing a guided self-appraisal system using management by objectives (MBO) in his organization. He starts by establishing objectives that are realistically attainable. Which of the following is most likely to be Raul's next step?

A) Frequent performance discussions
B) Development of performance standards
C) Determining a satisfactory level of performance
D) Job review and agreement

Question 27

In the context of graphic rating scales, which of the following belongs to the descriptive category?

A) Decision making
B) Employee development
C) Quantity of work
D) Communication effectiveness

Question 28

In the context of graphic rating scales, which of the following is a behavioral dimension?

A) Attendance
B) Dependability
C) Quantity of work
D) Communication effectiveness

Question 29

Zara, an HR Manager at Fluxin LLC, is responsible for implementing a guided self-appraisal system using management by objectives (MBO) in her organization. She starts by developing specific standards for employee performance. Which of the following is most likely to be Zara's next step?

A) Frequent performance discussions
B) Implementation of the performance standards
C) Setting of objectives
D) Job review and agreement

Question 30

_____ require managers to differentiate the performance levels of their employees using techniques such as ranking and forced distribution.

A) Graphic rating scales
B) Category scaling methods
C) Comparative methods
D) Narrative methods

Question 31

In the context of peer ratings, employees are most likely to distinguish between good and poor performers when:

A) they fear reprisals from their peers.
B) their peers are not working in the same place.
C) their peers belong to the same ethnicity.
D) they establish performance standards based on their own performance.

Question 32

Josh is an HR Manager at RoxCom LLC. He is responsible for conducting performance appraisals for all entry-level employees in his organization. He implements a guided self-appraisal system using management by objectives (MBO). As part of the process, he reviews the job description and the key activities that constitute each employee's job. Which of the following is most likely to be Josh's next step?

A) Frequent performance discussions
B) Development of performance standards
C) Setting of objectives
D) Implementation of performance standards

Question 33

Which of the following is typically the first stage in implementing a guided self-appraisal system using management by objectives (MBO)?

A) Frequent performance discussions
B) Development of performance standards
C) Setting of objectives
D) Job review and agreement

Question 34

_____ occurs when an evaluator's values or prejudices distort the rating.

A) The leniency error
B) Rater bias
C) The halo effect
D) A sampling error

Question 35

The _____ method lists the individuals being rated from highest to lowest based on their performance levels and relative contributions.

A) ranking
B) critical incident
C) essay
D) forced distribution

Question 36

_____ recognizes that for many jobs, employee performance is multidimensional and crosses departmental, organizational, and even national boundaries.

A) Outsider rating
B) Self-rating
C) Peer rating
D) 360-degree rating

Question 37

Which of the following is a comparative method of performance appraisals?

A) The graphic rating scale
B) The critical incident method
C) The essay method
D) The forced distribution method

Question 38

The _____ method requires a manager to prepare a written statement describing each employee's performance during the rating period.

A) forced distribution
B) ranking
C) essay
D) critical incident

Question 39

The _____ allows the rater to mark an employee's performance on a continuum indicating low to high levels of a particular characteristic.

A) graphic rating scale
B) category scaling method
C) comparative method
D) behavioral rating scale

Question 40

Which of the following is a disadvantage of using comparative methods for performance appraisal?

A) The performance of employees working in the same jobs cannot be measured using comparative methods.
B) These methods fail to help managers identify good and poor performers within their teams.
C) These methods reduce the level of cooperation and citizenship within the organization.
D) Compensation is spread equally among employees rather than being based on performance.

Question 41

In the context of performance information, employee attitude is classified as trait-based information.

Question 42

An effective performance management system should:

A) be used only as an administrative tool.
B) be effective in documenting employee performance.
C) provide equal rewards to all employees.
D) avoid categorizing employees as high, average, and low performers.

Question 43

The _____ occurs when a low rating on one characteristic leads to an overall low rating.

A) halo effect
B) horns effect
C) contrast error
D) similar-to-me error

Question 44

The number of cars sold by a car salesman is classified as a subjective measure of performance.

Question 45

The _____ is the tendency to rate people relative to others rather than against performance standards.

A) halo effect
B) horns effect
C) contrast error
D) strictness error

Question 46

Performance appraisal has a broad organizational focus.

Question 47

If a rater has seen only a small specimen of an employee's work, the appraisal may be subject to _____.

A) the halo effect
B) the horns effect
C) rater bias
D) a sampling error

Question 48

The appraisal discussion is an emotional experience for managers because:

A) managers must frequently communicate both praise and constructive criticism to employees.
B) managers must emphasize only the positive aspects of employees' performance.
C) managers must overlook the positive aspects of employees' performance and emphasize their negative aspects.
D) managers must avoid communicating the results of appraisals to employees.

Question 49

The _____ occurs when a rater gives greater weight to information received first when appraising an individual's performance.

A) leniency error
B) recency effect
C) primacy effect
D) central tendency error

Question 50

Performance standards should be established before work is performed because they define the level of satisfactory job performance.

Question 51

A supervisor's rating of an employee's attitude is classified as an objective measure of performance.

Question 52

The _____ occurs when a manager uses only the lower end of the scale to rate employees.

A) leniency error
B) recency effect
C) primacy effect
D) strictness error

Question 53

The _____ occurs when a rater gives all employees a score within a narrow range in the middle of the scale.

A) similar-to-me error
B) recency effect
C) primacy effect
D) central tendency error

Question 54

In a performance-driven organizational culture, employee rewards vary little from person to person and have little to do with differences in individual performance.

Question 55

In organizational cultures based on an entitlement approach, performance evaluations link results to employee compensation and development.

Question 56

Feedback and recognition are important aspects of a performance-driven culture as they give employees information and encouragement for their accomplishments.

Question 57

The ability of a waiter at a restaurant to persuade his or her customer to order an expensive item from the menu is an example of behavior-based information.

Question 58

The _____ occurs when ratings of all employees fall at the high end of the scale.

A) leniency error
B) recency effect
C) primacy effect
D) central tendency error

Question 59

The _____ occurs when a rater scores an employee high on all job criteria because of performance in one area of the assigned work responsibilities.

A) halo effect
B) horns effect
C) contrast error
D) similar-to-me error

Question 60

The performance management process starts by identifying the strategic goals an organization needs to accomplish to remain competitive and profitable.

Question 61

The major purpose of 360-degree feedback is to increase uniformity by soliciting like-minded views.

Question 62

A major concern for managers in an appraisal discussion is how to emphasize the positive aspects of an employee's performance while still discussing ways to make needed improvements.

Question 63

The recency effect occurs when a rater gives greater weight to information received first when appraising an individual's performance.

Question 64

The forced distribution method lists the employees being rated from highest to lowest based on their performance levels and relative contributions.

Question 65

A strategic use of performance appraisal looks within the organization to provide consistency between individual and organization performance.

Question 66

In the critical incident method, a manager keeps a written record of both favorable and unfavorable actions performed by an employee during the entire rating period.

Question 67

The developmental function of performance appraisals can identify areas in which the employee might wish to grow.

Question 68

Companies must use multisource feedback only as an administrative tool.

Question 69

When creating a behaviorally anchored rating scale (BARS) system, identifying important job dimensions, which are the most important performance factors in a job description, is done first.

Question 70

Peer and team ratings are especially useful only when supervisors can observe each employee's performance.

Question 71

The leniency error occurs when ratings of all employees fall at the high end of the scale.

Question 72

In the ranking method, the ratings of employees' performance are distributed along a bell-shaped curve.

Question 73

Development of performance standards is typically the first stage of a guided self-appraisal system using management by objectives (MBO).

Question 74

An informal appraisal is used when a system is in place to report managerial observations and assessment of employee performance.

Question 75

A disadvantage of the outsider rating approach is that outsiders may not know the important demands within the work group or organization.

Question 76

Clarity, conflicts, confidence, and conviction are the four elements of feedback that can inspire employees to improve their performance.

Question 77

The contrast error occurs when a rater scores an employee high on all job criteria because of performance in one area.

Question 78

The graphic rating scale allows the rater to mark an employee's performance on a continuum indicating low to high levels of a particular characteristic.

Question 79

The halo effect is the tendency to rate people relative to others rather than against performance standards.

Question 80

One concern of multisource rating is that peers who rate poor-performing coworkers tend to inflate the ratings so that the peers themselves can get higher overall evaluation results in return.