Deck 8: Performance and Talent Management

Question 1

At M&M Enterprises, subordinates rate supervisor performances anonymously. Which of the following refers to the process used at M&M?

A) downward feedback
B) upward feedback
C) paired evaluation
D) peer evaluation

Answer 1

B
Explanation: B) Many employers let subordinates anonymously rate their supervisor's performance, a process some call upward feedback. The process helps top managers diagnose management styles, identify potential "people" problems, and take corrective action with individual managers as required.

Question 2

Which of the following is one of the primary complaints regarding the use of the forced distribution method for performance appraisals?

A) harm to employee morale
B) high cost of administration
C) standardization of group sizes
D) time consuming to administer

Answer 2

A
Explanation: A) The biggest complaints regarding the forced distribution method are that it damages morale, and it creates interdepartmental inequities. The tool is not difficult to implement, time consuming, or costly. Group sizes are determined by the firm.

Question 3

When subordinates provide feedback for supervisors, the comments should be anonymous because identifiable responses tend to result in a higher incidence of ________.

A) critical responses
B) negative attitudes
C) inflated ratings
D) contradictory statements

Answer 3

C
Explanation: C) Many employers have subordinates rate their managers. Anonymity affects such upward feedback. Managers who get feedback from subordinates who identify themselves view the upward feedback process more positively than do managers who get anonymous feedback. However, subordinates prefer giving anonymous responses, and those who must identify themselves tend to give inflated ratings.

Question 4

At Dixon Consulting, employees are allowed to rate themselves for performance appraisals. Which of the following is the most likely result?

A) Interrater reliability is higher.
B) Appraisals are subject to halo effects.
C) Ratings are higher than when supervisors give ratings.
D) Ratings are about the same as when determined by peers.

Question 5

Suppose you have five employees to rate. You make a chart of all possible pairs of employees for each trait being evaluated. Then, you indicate the better employee of the pair for each pair. Finally, you add up the number of positives for each employee. In this case, you have used the ________ method of performance appraisal.

A) graphic ranking scale
B) alternation ranking
C) paired comparison
D) forced distribution

Question 6

Which of the following terms refers to a performance appraisal based on surveys from peers, supervisors, subordinates, and customers?

A) committee rating
B) team appraisal
C) upward feedback
D) 360-degree feedback

Question 7

Which performance appraisal tool is being used by a supervisor who places predetermined percentages of ratees into various performance categories?

A) graphic ranking scale
B) alternation ranking
C) forced distribution
D) paired comparison

Question 8

Wilson Consulting is a management consulting firm with seventy employees. As associate vice president of marketing, Suzanne Boyle is responsible for conducting performance appraisals of the twelve employees under her direct supervision. Suzanne plans to use a graphic rating scale to evaluate the performance of her subordinates. Which of the following, if true, best supports the argument that a graphic rating scale is the most appropriate performance appraisal tool for Suzanne to use?

A) Employees in Suzanne's department who are categorized in the bottom 10% of the firm's employees will be immediately dismissed.
B) Suzanne wants to ensure that the firm is protected from employee discrimination lawsuits, so she has conducted a job analysis of each position.
C) Suzanne wants a quantitative rating of each employee based on competencies important to the firm, such as problem-solving skills.
D) Employees in Suzanne's department participated in developing their own performance standards when they were first hired by the firm.

Question 9

All of the following are ways to improve 360-degree appraisals EXCEPT by ________.

A) basing the 360-degree items on behavioral competencies
B) training the people giving and receiving feedback
C) using a Web-based system to reduce costs
D) encouraging informal ratings

Question 10

All of the following are reasons for appraising an employee's performance EXCEPT ________.

A) assisting with career planning
B) making decisions about promotions
C) creating an organizational strategy map
D) determining appropriate salary and bonuses

Question 11

John, the supervisor of the manufacturing department, is in the process of evaluating his staff's performance. He has determined that 15% of the group will be identified as high performers, 20% as above-average performers, 30% as average performers, 20% as below-average performers, and 15% as poor performers. John is using a ________ method.

A) graphic rating scale
B) constant sum ranking scale
C) forced distribution
D) alternation ranking

Question 12

SMART goals are best described as ________.

A) specific, measurable, attainable, relevant, and timely
B) strategic, moderate, achievable, relevant, and timely
C) specific, measurable, achievable, relevant, and tested
D) straightforward, meaningful, accessible, real, and tested

Question 13

Which performance appraisal technique lists traits and a range of performance for each?

A) alternation ranking
B) graphic rating scale
C) paired comparison
D) constant sum rating scale

Question 14

In most organizations, which of the following is primarily responsible for appraising an employee's performance?

A) employee's direct supervisor
B) human resources manager
C) EEO representative
D) employee's peers

Question 15

Which of the following is LEAST likely to be used by firms as an alternative source of performance appraisal information?

A) peers
B) rating committees
C) the employee
D) outside experts

Question 16

Which of the following is NOT one of the recommended guidelines for setting effective employee goals?

A) assigning specific goals
B) assigning measurable goals
C) administering consequences for poor performance
D) encouraging employees to participate in setting goals

Question 17

Upward feedback primarily helps top-level managers to ________.

A) implement organizational strategies
B) compare appraisal techniques
C) diagnose management styles
D) document critical incidents

Question 18

Which performance appraisal method involves distinguishing between the worst and best employees based on a trait or traits?

A) alternation ranking
B) graphic rating scale
C) forced distribution
D) constant sum rating scale

Question 19

Peer appraisals have been shown to result in a ________.

A) reduction of social loafing
B) reduction of group cohesion
C) decrease in satisfaction with the group
D) tendency to inaccurately predict promotions

Question 20

The process of evaluating an employee's current and/or past performance relative to his or her performance standards is called ________.

A) recruitment
B) employee selection
C) performance appraisal
D) organizational development

Question 21

As a supervisor, which of the following is the best way for you to correct a performance appraisal problem that is primarily linked to unclear standards?

A) allowing employees to rate themselves first
B) using descriptive phrases to illustrate traits
C) avoiding the use of extremely low ratings
D) using graphic rating scales to rank employees

Question 22

Which of the following is NOT a characteristic of the critical incident method for performance appraisal?

A) providing examples of excellent work performance
B) comparing and ranking employees within a group
C) connecting specific incidents with performance goals
D) compiling examples of ineffective work performance

Question 23

Wilson Consulting is a management consulting firm with seventy employees. As associate vice president of marketing, Suzanne Boyle is responsible for conducting performance appraisals of the twelve employees under her direct supervision. Suzanne plans to use the behaviorally anchored rating scale (BARS) to evaluate the performance of her subordinates. Which of the following, if true, supports the argument that BARS is the most appropriate performance appraisal tool for Suzanne to use?

A) Wilson Consulting provides training to all supervisors regarding legally defensible performance appraisals.
B) Suzanne provides her subordinates with upward feedback as a way to illustrate the ratings she assigns to each employee.
C) Wilson Consulting recently installed an electronic performance monitoring system to help supervisors conduct appraisals.
D) Suzanne wants to provide her subordinates with specific examples of their good and poor job performance during the appraisal interview.

Question 24

It is most important that supervisors who choose management by objectives as a performance appraisal tool use ________.

A) BARS-based techniques
B) graphic rating scales
C) SMART goals
D) EPM systems

Question 25

What is the first step in the MBO method of performance appraisal?

A) setting the organization's goals
B) setting departmental goals
C) conducting employee reviews
D) defining expected results

Question 26

When a supervisor must criticize a subordinate in an appraisal interview, it is best to ________.

A) hold the meeting with co-workers who can document the situation
B) provide specific examples of critical incidents
C) acknowledge the supervisor's personal biases
D) limit negative feedback to once every year

Question 27

Nick supervises a team of data entry specialists. Lately, productivity has been down, and Nick believes his subordinates are not working as efficiently as possible. Which of the following tools would provide Nick with daily information about each employee's rate, accuracy, and time spent entering data?

A) computerized performance appraisal system
B) electronic performance monitoring system
C) Web-based management oversight device
D) digital dashboard device

Question 28

Which appraisal method combines the benefits of narratives, critical incidents, and quantified scales by assigning scale points with specific examples of good or poor performance?

A) behaviorally anchored rating scale
B) graphic rating scale
C) alternation ranking
D) forced distribution

Question 29

What is the most likely problem with an appraisal that is too open to interpretation?

A) biased
B) leniency
C) halo effect
D) unclear standards

Question 30

When conducting an appraisal interview, supervisors should do all of the following EXCEPT ________.

A) create an action plan
B) discuss objective work data
C) give specific examples of poor performance
D) compare the person's performance to that of other employees

Question 31

Which of the following best describes the purpose of an appraisal interview?

A) making plans to correct employee weaknesses
B) discussing and scheduling training programs
C) providing upward feedback to supervisors
D) training supervisors in the rating process

Question 32

Which of the following terms refers to setting specific measurable goals with each employee and then periodically reviewing the progress made?

A) behaviorally anchored rating scale
B) management by objectives
C) narrative form technique
D) forced distribution

Question 33

Which of the following enables supervisors to oversee the amount of computerized data an employee is processing each day?

A) online management assessment center
B) digitized high-performance work center
C) electronic performance monitoring system
D) computerized performance appraisal system

Question 34

Which of the following is a benefit of using computerized or Web-based performance appraisal systems ?

A) providing training for new employees
B) helping managers to determine sales activities
C) allowing employees to perform self-evaluations
D) enabling managers to monitor employees' computers

Question 35

Which performance appraisal tool involves a supervisor maintaining a log of positive and negative examples of a subordinate's work-related behavior?

A) alternation ranking
B) constant sums rating
C) narrative forms
D) critical incident

Question 36

Jason is generally considered unfriendly at work, although he performs the tasks of his job very well. His supervisor rates him low on the trait "gets along well with others" and also rates him low on standards not related to socialization at work. Jason's performance appraisal may be unfair due to ________.

A) impression management
B) stereotyping
C) halo effect
D) strictness

Question 37

Which of the following is a performance appraisal problem that occurs when a supervisor's rating of a subordinate on one trait biases the rating of that person on other traits?

A) halo effect
B) stereotyping
C) recency effect
D) central tendency

Question 38

Which of the following best describes a behaviorally anchored rating scale?

A) chart of paired subordinates ranked in order of performance
B) combination of narrative critical incidents and quantified performance scales
C) predetermined percentages of subordinates in various performance categories
D) list of subordinates from highest to lowest based on specific performance traits

Question 39

Wilson Consulting is a management consulting firm with seventy employees. As associate vice president of marketing, Suzanne Boyle is responsible for conducting performance appraisals of the twelve employees under her direct supervision. Suzanne plans to use the critical incident method to evaluate the performance of her subordinates. Which of the following, if true, undermines the argument that the critical incident method is the most appropriate performance appraisal tool for Suzanne to use?

A) Other departments at Wilson Consulting have seen employee performance improve as a result of providing ongoing evaluations.
B) Due to economic difficulties, the firm will be laying off the two lowest-performing employees in Suzanne's department.
C) Employee performance standards are closely aligned with Wilson Consulting's long-term strategic plans.
D) Suzanne will be conducting performance appraisals in conjunction with the HR manager to ensure EEO compliance.

Question 40

Which of the following is LEAST likely to protect employers against bias claims stemming from the use of the forced distribution method?

A) appointing a committee to review low rankings
B) basing scores on industry standards
C) training raters to be objective
D) using multiple raters

Question 41

In order to be the most effective, the performance management process should occur ________.

A) occasionally
B) continuously
C) periodically
D) annually

Question 42

Which of the following would most likely result in a legally questionable appraisal process?

A) assigning specific trait names when using graphic rating scales
B) using job performance dimensions that are too clearly defined
C) conducting a job analysis to establish performance standards
D) basing appraisals on subjective supervisory observations

Question 43

Which personality trait is associated with performance appraisal ratings that are too strict?

A) agreeableness
B) extroversion
C) conscientiousness
D) openness

Question 44

The best way of reducing the problem of central tendency in performance appraisals is to ________.

A) rank employees
B) establish SMART goals
C) use graphic rating scales
D) limit the number of appraisals

Question 45

Which performance appraisal problem is associated with supervisors giving all of their subordinates consistently high ratings?

A) leniency
B) strictness
C) central tendency
D) halo effect

Question 46

The ________ problem occurs when supervisors tend to rate all their subordinates consistently low.

A) central tendency
B) leniency
C) strictness
D) bias

Question 47

Stephanie manages the accounting department at an advertising agency. She needs to conduct performance appraisals for the eight employees in her department. Stephanie wants a performance appraisal tool that is highly accurate, ranks employees, and uses critical incidents to help explain ratings to appraisees. Which performance appraisal tool is best suited for Stephanie?

A) forced distribution method
B) alternation ranking method
C) behaviorally anchored rating scale
D) graphic rating scale

Question 48

Which of the following is the primary advantage of using graphic rating scales as performance appraisal tools?

A) offers extremely high rate of accuracy
B) provides quantitative rating for each employee
C) links with mutually agreed upon performance objectives
D) explains how employees can improve their overall performance

Question 49

Which component of performance management refers to communicating a firm's higher-level goals throughout the organization and then translating them into departmental and individual goals?

A) coaching
B) role clarification
C) goal alignment
D) direction sharing

Question 50

Laurie received a performance appraisal from her immediate supervisor and three other supervisors at MJX Enterprises. Which of the following performance appraisal methods is most likely used by MJX Enterprises?

A) rating committee
B) peer appraisal
C) 360-degree feedback
D) self-rating

Question 51

The best method for reducing the problems of leniency or strictness in performance appraisals is to ________.

A) reconsider the timing of the appraisal
B) require multiple appraisals
C) keep critical incident logs
D) rank employees

Question 52

Oshman manufactures small kitchen appliances, such as blenders, toasters, and mixers. The firm has nearly 80,000 employees in 22 countries. Employees receive annual performance appraisals from their supervisors that combine critical incidents with a graphic rating scale. However, the firm's CEO advocates shifting from performance appraisals to performance management in an attempt to make Oshman more competitive and performance driven. All of the following questions are relevant to Oshman's decision to replace its traditional appraisal methods with the performance management approach EXCEPT ________.

A) What procedures are already in place to effectively identify and measure critical incidents?
B) What methods would be most effective to keep employees' goal-driven performance on track?
C) How would the firm's mission and vision translate into departmental, team, and individual goals?
D) What technology is available to help managers gain immediate access to employee performance data?

Question 53

Oshman manufactures small kitchen appliances, such as blenders, toasters, and mixers. The firm has nearly 80,000 employees in 22 countries. Employees receive annual performance appraisals from their supervisors that combine critical incidents with a graphic rating scale. However, the firm's CEO advocates shifting from performance appraisals to performance management in an attempt to make Oshman more competitive and performance driven. Which of the following, if true, supports the argument to replace Oshman's traditional appraisal methods with the performance management approach?

A) Oshman has experienced problems associated with central tendency and bias, and the firm wants to ensure that appraisals are legally sound.
B) Oshman executives want to align the firm's strategic plan with individual employee goals and development needs.
C) Oshman uses management by objectives as a primary appraisal method and requires supervisors to develop SMART goals.
D) Oshman executives believe that upward feedback helps managers improve their own management style and interpersonal skills.

Question 54

Setting work standards, assessing an employee's performance against those standards, and providing employee feedback are the three steps of the ________.

A) orientation process
B) development analysis
C) ratio analysis method
D) performance appraisal cycle

Question 55

The continuous process of identifying, measuring, and developing the performance of individuals and teams and aligning their performance with the organization's goals is known as ________.

A) employee performance monitoring
B) performance management
C) performance appraisal
D) performance analysis

Question 56

According to the text, Tesco PLC organizes employees by their personal and professional goals for motivation and communication purposes. Tesco PLC most likely uses ________.

A) succession planning
B) survey feedback
C) segmentation
D) orientation

Question 57

A supervisor who frequently rates all employees as average on performance appraisals most likely has a problem known as ________.

A) stereotyping
B) central tendency
C) halo effect
D) leniency

Question 58

Which of the following has most likely occurred when a supervisor conducting a performance appraisal is influenced by a subordinate's age, sex, or race?

A) bias
B) strictness
C) central tendency
D) halo affect

Question 59

Which of the following is LEAST likely to occur during performance appraisal?

A) setting work standards
B) providing employee feedback
C) initiating job enlargement procedures
D) comparing employee performance to standards

Question 60

Firms that use performance management are more likely to keep employee performance on track through the use of ________.

A) rewards
B) punishments
C) job enlargements
D) job postings

Question 61

What is the primary purpose of an appraisal interview?

A) reinforce satisfactory performance
B) discuss compensation requirements
C) explain corporate policies and procedures
D) determine an effective discipline procedure

Question 62

What is a benefit of using rating committees for performance appraisals?

A) improve managerial performance
B) rank employees on a scale
C) minimize rater bias
D) align assessments

Question 63

Shell China managers meet regularly with the firm's emerging leaders to help them set goals and obtain appropriate development opportunities. Shell China is most likely engaged in ________.

A) organizational development
B) active management
C) goal alignment
D) diversification

Question 64

Active listening is characterized by all of the following EXCEPT ________.

A) listening for total meaning
B) agreeing with the speaker
C) watching for nonverbal cues
D) reflecting feelings

Question 65

According to the text, Accenture employees who are identified as high-performing and mission-critical will most likely ________.

A) transfer overseas
B) attend orientation sessions
C) earn stock options and awards
D) receive development opportunities

Question 66

Managers at Watson Pharmaceuticals e-mail subordinates weekly progress and exception reports. The reports are based on the employee's progress toward meeting performance goals. Watson Pharmaceuticals most likely uses ________.

A) goal alignment
B) direction sharing
C) ongoing performance monitoring
D) coaching and developmental support

Question 67

Paired comparison is a rating approach that involves keeping a record of uncommonly good or undesirable examples of an employee's work-related behavior and reviewing it with the employee at predetermined times.

Question 68

Managers at ADK Marketing will start using information technology to automate performance management. What should managers do first?

A) provide work teams with developmental training goals
B) assign financial and nonfinancial goals to each team's activities
C) implement reward systems to motivate low-performing teams
D) gather a list of skills and competencies for each team member

Question 69

Dwayne, an IT specialist, is viewed by his supervisor and co-workers as unfriendly; however, his work quality is excellent. On his performance appraisal, Dwayne received unsatisfactory ratings for all traits. Which of the following appraisal problems most likely occurred?

A) leniency
B) halo effect
C) central tendency
D) unclear standards

Question 70

According to the text, Ball Corporation improved production by ________.

A) assigning work teams daily performance goals
B) giving applicants valid selection tests
C) encouraging employee referrals
D) using online training programs

Question 71

Studies suggest that managers who receive upward feedback from identified subordinates view the upward appraisal process more negatively than do managers who receive anonymous upward feedback.

Question 72

Which term refers to the continuous process of identifying, measuring, and developing the performance of individuals and teams and aligning their performance with the organization's goals?

A) organizational development
B) performance management
C) strategic management
D) performance appraisal

Question 73

A legally defensible performance appraisal is most likely based on ________.

A) employee rankings
B) supervisory opinion
C) feedback
D) job analysis

Question 74

The forced distribution method is known as the "rank and yank" method.

Question 75

360-degree feedback is usually used for developmental purposes rather than pay purposes.

Question 76

A firm involved in actively managing employees would most likely ________.

A) focus attention on mission-critical employees
B) conduct annual performance appraisals
C) allocate rewards to all employees
D) provide training as-needed.

Question 77

Crowd-sourcing recognition and appraisal software tools enable employers to gather comments from ________ for employee performance appraisals.

A) supervisors
B) co-workers
C) suppliers
D) customers

Question 78

Which of the following should a manager do to prepare for an appraisal interview?

A) give the employee a day's notice to compile questions and comments
B) compare the employee's performance to industry standards
C) locate a private area for conducting the interview
D) set aside at least two hours for the interview

Question 79

Which of the following is similar to a professor grading on a curve?

A) forced distribution method
B) paired comparison method
C) BARS method
D) critical incident method

Question 80

In order to ensure that performance goals are challenging and relevant, Matthew, a marketing manager, should independently set goals for his subordinates because participatively set goals usually produce lower job performance.