Rater Errors
Similar to me:
individuals who are similar to use in race, gender, background, interest, beliefs are likely to receive higher ratings than those who are not
Strategic congruence:
The extent to which a performance management system elicits job performance that is congruent with the organization's strategy, goals and culture.
Strategic:
Link employee behavior and expected results with organization goals.
1.
Millennials want more regular feedback, transparency, clarity and responsibility for work.
Step 1:
Define performance outcomes for company division and department.
Contrast:
ratings are influenced by comparison between individuals instead of an objective standard
Validity:
The extent to which a performance measure assesses all the relevant-and only the relevant-aspects of performance (content validity).
Administrative:
Used in salary administration (pay raises), promotions, retention-termination, layoffs, recognition of employee performance.
2.
They want to know how they are performing.
Step 2:
Develop employee goals, behavior, and actions to achieve outcomes.
Leniency:
raters giving high ratings to all employees regardless of their performance
Reliability:
The consistency of a performance measure. An important type of this is inter-rater reliability-the consistency among the individuals who evaluate the employee’s performance.
Developmental:
Identify employee strengths and weakness for managers to use in providing feedback and coaching, and developments and career planning.
3.
Managers are becoming more responsible for developing and coaching employees.
Step 3:
Provide support and ongoing performance discussions.
Strictness:
Central tendency:
rater giving low rating to all employees regardless of their performance
rater gives middle or average ratings to all employees despite their performance
Acceptability:
Whether the people who use a performance measure accept it.
Communication:
Emphasize what employees are expected to do, how they are performing, and what they need to improve. Indicate important company values and principles.
4.
Business needs to become more agile to successfully deal with economic and competitive forces.
Step 4:
Evaluate performance.
Halo:
Horns:
rater gives employee high ratings on all aspects of performance because of an overall positive impression of the employee
rater gives employee low ratings on all aspects of performance because of an overall negative impression of the employee
Specificity:
The extent to which a performance measure tells employees what is expected of them and how they can meet these expectations.
Organization Maintenance:
Documentation:
Show workforce performance, training, and development and talent acquisition needs.
Record for administrative decisions and information for litigation and investigations.
5.
6.
Companies want better data to make talent management decisions about promotions, pay raises and development opportunities.
Recent surveys conclude that the tradition practices are ineffective.
Step 5:
Step 6:
Identify improvements needed.
Provide consequences for performance results.