People And Work in Canada Industrial And Organizational Psychology 1st Edition - Test Bank

People And Work in Canada Industrial And Organizational Psychology 1st Edition – Test Bank

 

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Chapter 5: Performance Management

 

In this chapter, we present the foundation for the measurement of job-related performance, and we discuss measures of job performance that may be used as criteria in evaluating employees.

 

Learning Outcomes

After reading this chapter you should be able to

• Describe the importance of developing and using scientifically sound measures of job performance in evaluating employees
• Understand the relationship between individual performance measures, criteria, and performance dimensions related to a job
• Appreciate the importance of measuring job performance
• Discuss the strengths and weaknesses of different types of performance rating systems
• Define the characteristics that a performance appraisal system should have in place to satisfy human rights and legal concerns

 

Chapter Summary

One useful approach to understanding job performance is to recognize that job performance is a multidimensional construct composed of task, contextual, and counterproductive behaviours. Understanding the factors that underlie job performance is necessary to its measurement. The usefulness of any personnel selection system is determined by how well it predicts job performance as measured by job-related criteria. Any criteria chosen as a measure of job performance must be valid, reliable, practical, and capable of withstanding legal challenge. Once job-related performance dimensions or competencies have been identified, the type of criterion measure that most validly represents each performance dimension or competency should be selected. Multiple data can always be combined into a composite measure where the different components are weighted according to their importance.

            Current research suggests that training criteria are acceptable performance measures for estimating maximum performance. However, to obtain a better understanding of possible changes in validities over time, repeated measures of performance should be taken over time. Data from the various criterion measures should be collected in an un-collapsed form and formed into composites when necessary.

            The weighting of composites should reflect the priority assigned by the organization to the different goal-related behaviours. All procedures used in establishing the performance dimensions or competencies, their measures, and data collection and analysis, should be documented.

            There are many ways to measure performance, and these fall into two main groups: objective and subjective measures. Objective measures are constrained by other employee and organizational constraints, but some types may serve as indicators of counterproductive behaviour. Subjective measures, mostly performance appraisals carried out by employee supervisors, are the predominant method of evaluation. There are many different types of performance appraisal/rating systems. All rating systems are subject to rating errors; however, these errors can be reduced through appropriate training of the raters. BARS and BOS methods appear to produce better rater and ratee satisfaction. The perceived fairness of an appraisal system is the key to its acceptance as well as its legal defensibility.

            Performance appraisal systems, if properly developed, will provide data that are as reliable as systems based on objective measures. Recently, 360-degree feedback systems that acquire performance information from an employee’s peers, subordinates, supervisors, and clients have become very popular. Peers are more likely to attend to contextual performance than to task performance. Supervisors are more likely to focus on task behaviour.

            Although performance appraisals may be problematic, most organizations will continue to use them to assess employee job behaviours. More consideration is being given to performance measurement that is not based on performance ratings but on direct observation of the employee in actual or simulated work environments. Performance appraisals must be used to integrate and align individual and organizational objectives.

 

Discussion Topics & Learning Activities

1. Have you ever gone through a performance appraisal in a job? Think about your experience: How was the appraisal performed? If you were given a chance to do your own appraisal, what type of system would you want to use? What type of performance data do you think should be compiled? Who should provide such information?

 

2. Typically, “job performance” is made up of a lot of different behaviours in our jobs. How can managers best measure and manage employee performance? Check out the web for examples of measuring and managing job performance.

 

Chapter 5—Performance Management

MULTIPLE CHOICE

 

1. Athena tends to assign an applicant the same rating across different job dimensions, regardless of actual performance. She may be accused of making what type of error?

a.	halo
b.	leniency
c.	severity
d.	central tendency

ANS: A                   PTS:   1                    BLM: Higher Order            REF:   167

 

2. Raters who tend to assign an applicant an average rating across different job dimensions, regardless of actual performance, may be suspected of making what type of error?

a.	halo
b.	leniency
c.	severity
d.	central tendency

ANS: D                   PTS:   1                    BLM: Remember                REF:   167

 

3. Which of the following is a strength of Behaviourally Anchored Rating Scales (BARS)?

a.	BARS integrate job analytic information directly into the performance appraisal measure.
b.	BARS incorporate a frequency rating scale for each behaviour to identify the specific rate of incidence.
c.	Raters are able to create their own anchors to ensure flexibility in ratings.
d.	BARS are simple and inexpensive to develop.

ANS: A                   PTS:   1                    BLM: Higher Order            REF:   163–165

 

 

4. According to your text, what can we conclude about behavioural observation scales (BOS)?

a.	They do not involve any analysis of critical incidents.
b.	They take more time and money to develop than do BARS.
c.	They use a standardized rating scale created by detailed explanations of what behaviours are required for each rating level.
d.	The development of BOS requires the participation of the supervisors and workers.

ANS: D                   PTS:   1                    BLM: Remember                REF:   164

 

5. A performance appraisal technique in which employees are assessed on their performance in a “fake” setting (which tries to duplicate a real situation) is known as which of the following?

a.	job knowledge test
b.	360-degree feedback test
c.	simulation
d.	multi-source assessment

ANS: C                    PTS:   1                    BLM: Remember                REF:   175

 

6. Shelley is in charge of hiring employees for new positions in the health care field. A team of HR specialists will review all applications, conduct interviews, and administer the selection tests. She wants to ensure high rater accuracy in selecting new employees, and she ensures that all of them have the same understanding of the rating system’s instructions, and the same interpretation of the performance dimensions. She is using what type of process?

a.	frame of reference training
b.	performance domain definition
c.	rater accountability
d.	360 degree ratings

ANS: A                   PTS:   1                    BLM: Higher Order            REF:   169

 

 

7. According to the text, what do we know about peer ratings?

a.	Peer feedback is one of the best predictors of job performance.
b.	Most organizations involve coworkers in the assessment process.
c.	Peer evaluations are unrelated to work-group tensions and group performance.
d.	Peer ratings tend to exclude information about contextual performance.

ANS: A                   PTS:   1                    BLM: Remember                REF:   170

 

8. Brad is implementing a new 360-degree performance feedback rating system. In which situation would this feedback be most ideal?

a.	Brad’s organization is a very hierarchical “command and control” environment.
b.	Brad is concerned about the disadvantages of using peer ratings.
c.	Brad wants to provide employees with feedback for development and training purposes.
d.	Brad is looking for an alternative to supervisor ratings.

ANS: C                    PTS:   1                    BLM: Higher Order            REF:   172-173

 

9. Arlene is using a balanced scorecard method for her business. Through what perspectives does this method assess performance?

a.	supervisor, peer, client, self
b.	customer, financial, internal business processes, and learning and growth
c.	internal; external client & customer organizational, and societal
d.	job (task), fiscal, and interpersonal performance

ANS: B                    PTS:   1                    BLM: Higher Order            REF:   173

 

10. In addition to supervisor ratings, Jack wants to include measures such as absenteeism, number of customer complaints, and rate of sales growth. What are these measures known as?

a.	individual rating-system measures of job performance
b.	subjective measures of job performance
c.	360-degree measures of performance
d.	objective measures of job performance

ANS: D                   PTS:   1                    BLM: Higher Order            REF:   158

11. Which of the following best defines voluntary behaviours that violate significant organizational norms, jeopardizing the well-being of the organization and the employees?

a.	organizational citizenship behaviours
b.	counterproductive behaviours
c.	contextual performance
d.	typical performance

ANS: B                    PTS:   1                    BLM: Remember                REF:   151

 

12. When does typical performance usually occur with employees?

a.	when they are aware that they are being evaluated
b.	when they are involved in a short-term, evaluative training session
c.	when they experience high motivation at their jobs
d.	when they are assessed over an extended period of time

ANS: D                   PTS:   1                    BLM: Higher Order            REF:   156

 

13. Alyssa knows that her performance evaluation is coming up shortly, and her performance is being monitored, so she is motivated to work hard and perform to her best. Which of the following best describes this performance?

a.	her maximal performance
b.	her contextual performance
c.	her typical performance
d.	her task performance

ANS: A                   PTS:   1                    BLM: Higher Order            REF:   156

 

 

14. Sam is trying to assess the sales performance of sales people. He inadvertently assesses the extent to which the sales people have good organizational citizenship behaviours (attend meetings, attend staff functions, etc.). What is the measurement of aspects not related to job performance known as?

a.	criterion deficiency
b.	criterion relevance
c.	criterion contamination
d.	criterion reliability

ANS: C                    PTS:   1                    BLM: Higher Order            REF:   152–153

 

15. Stephanie has developed a performance measure of administrative assistants in a large manufacturing organization. The measure includes the assistants’ performance in their key job tasks (i.e., typing, filing, and scheduling). Unfortunately, she didn’t include any measurement of their performance in dealing with clients, which is a major part of their job. What is this oversight in her performance measure called?

a.	criterion deficiency
b.	criterion relevance
c.	criterion contamination
d.	criterion reliability

ANS: A                   PTS:   1                    BLM: Higher Order            REF:   152–153

 

16. Which of the following defines the degree to which a criterion measure is available, plausible, and acceptable to organizational decision makers?

a.	criterion relevance
b.	criterion practicality
c.	criterion contamination
d.	criterion reliability

ANS: B                    PTS:   1                    BLM: Remember                REF:   154

 

 

TRUE/FALSE

 

1. Halo rating errors involve assigning applicants with average ratings across different job dimensions, regardless of their actual performance.

ANS: F                    PTS:   1                    REF:  167

 

2. Behaviourally anchored rating scales use job behaviours derived through a critical incident job analysis to anchor values on a rating scale.

ANS: T                    PTS:   1                    REF:  163

 

3. Peer evaluations are unrelated to work-group performance.

ANS: F                    PTS:   1                    REF:  170

 

4. The balanced scorecard approach is a useful method for clarifying the multiple performance dimensions of a job.

ANS: T                    PTS:   1                    REF:  173

 

5. Simulations involve assessing workers’ performance in performing one or more job tasks in a setting that resembles their real job setting and tasks.

ANS: T                    PTS:   1                    REF:  175

 

6. Leniency errors are made when a rater assigns a lower rating to an employee, after rating the previous employee very highly.

ANS: F                    PTS:   1                    REF:  167

 

7. In reality, many ratings that appear to be “halo” are really a reflection of true high performance in all areas.

ANS: T                    PTS:   1                    REF:  168

 

8. Peer feedback is among the best predictors of job performance.

ANS: T                    PTS:   1                    REF:  170

 

 

9. Self-ratings of performance tend to have the least degree of agreement with ratings from other sources.

ANS: T                    PTS:   1                    REF:  171

 

10. Neither internal nor external customer ratings provide valid information on employee performance.

ANS: F                    PTS:   1                    REF:  171

 

11. Criterion relevancy is the degree to which the scores are free from random measurement errors.

ANS: F                    PTS:   1                    REF:  152–153

 

SHORT ANSWER

1. Discuss the four relative rating systems discussed in this chapter.

REF:  160-161

 

2. Compare and contrast the BARS with the BOS.

REF:    163-166

 

 

3. You are preparing for your annual performance appraisal. You are a bit worried about the process, because you know your supervisor uses an unstructured process, and she is sometimes prone to biases. Recalling what you learned about rater biases, you think about how you can increase your chances of getting a positive performance appraisal. List and define four of these biases and explain how you can use them to your advantage.

REF:    166-168

 

 

4. Roz is the founder of the not-for-profit Shoppers Counselling Group (SCG). SCG is an organization that runs programs and individual counselling sessions for shopaholics (people with severe shopping addictions). She has a staff of 30 counsellors and administrative assistants, and she needs to develop a system to assess the performance of her staff. She comes to you for advice on the different rating systems. Explain to her the difference between relative and absolute rating systems, and the specific types of systems that each entail.

REF:    160-166