What motivates employees to perform on the job is the focus of human relations True False?

Human Resource Management, 15e (Dessler)

Chapter 9 Performance Management and Appraisal

1. Which of the following terms refers to the process of evaluating an employee's current and/or past performance relative to his or her performance standards? A) employee selection B) performance appraisal C) employee orientation D) organizational development Answer: B Explanation: B) Performance appraisal means evaluating an employee's current and/or past performance relative to his or her performance standards. Performance appraisal always involves setting work standards, assessing the employee's actual performance relative to those standards, and providing feedback to the employee.

2. The primary purpose of providing employees with feedback during a performance appraisal is to motivate employees to ________. A) apply for managerial positions B) remove any performance deficiencies C) revise their performance standards D) enroll in work-related training programs Answer: B Explanation: B) The purpose of providing feedback to the employee is to motivate him or her to eliminate performance deficiencies or to continue to perform above par.

3. Which of the following is NOT one of the recommended guidelines for setting effective employee goals? A) creating specific goals B) assigning measurable goals C) administering consequences for failure to meet goals D) encouraging employees to participate in setting goals Answer: C Explanation: C) Effective goals should be specific, measurable, attainable, relevant, and timely. Goals should be challenging but doable, and employee participation should be encouraged. Giving consequences for failing to meet goals is not recommended and unlikely to motivate employees.

4. SMART goals are best described as ________. A) specific, measurable, attainable, relevant, and timely B) straightforward, meaningful, accessible, real, and tested C) strategic, moderate, achievable, relevant, and timely D) supportive, meaningful, attainable, real, and timely Answer: A Explanation: A) The acronym SMART stands for specific, measurable, attainable, relevant, and timely.

5. All of the following are reasons for appraising an employee's performance EXCEPT________. A) correcting any work-related deficiencies B) creating an organizational strategy map C) determining appropriate salary and bonuses D) making decisions about promotions Answer: B

Explanation: B) Most employers still base pay and promotional decisions on the employee's appraisal. Appraisals also let the boss and subordinate develop a plan for correcting any deficiencies, and serve a useful career planning purpose. Creating a strategy map is not a likely purpose for conducting a performance appraisal.

1. In most organizations, who is primarily responsible for appraising an employee's performance? A) employee's direct supervisor B) company appraiser C) human resources manager D) employee's subordinates Answer: A Explanation: A) The supervisor—not HR—usually does the actual appraising, and a supervisor who rates his or her employees too high or too low (or all average) is doing a disservice to them and to the company. Subordinates rate supervisors in some organizations, but the upward feedback is not the primary appraisal of the supervisor.

2. Which of the following is most likely NOT a role played by the HR department in the performance appraisal process? A) conducting appraisals of employees B) monitoring the appraisal system's effectiveness C) providing performance appraisal training to supervisors D) ensuring the appraisal system's compliance with EEO laws Answer: A Explanation: A) Supervisors, rather than HR managers, conduct the actual appraisals. However, the HR department monitors the system's effectiveness and compliance with EEO laws. HR managers also provide supervisors with tools, advice, and training in regards to performance appraisals.

3. What is the first step of any performance appraisal? A) giving feedback B) setting work standards C) making plans to provide training D) assessing the employee's performance Answer: B Explanation: B) Performance appraisal always involves the three-step performance appraisal process: (1) setting work standards, (2) assessing the employee's actual performance relative to those standards, and (3) providing feedback to the employee with the aim of helping him or her to eliminate performance deficiencies or to continue to perform above par.

4. ________ means making sure that the manager and the subordinate agree on the subordinate's job standards and the appraisal method to be used. A) SMART goals B) Organizational development C) Defining the job D) Forced distribution Answer: C Explanation: C) Defining the job means making sure that you and your subordinate agree on his or her duties and job standards and on the appraisal method you will use.

5. Who is in the best position to observe and evaluate an employee's performance for the purposes of a performance appraisal?

C) paired evaluation D) peer evaluation Answer: 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.

1. According to research, what is the typical result of upward feedback? A) Firms are protected against biased appraisals. B) Managers get defensive. C) Managers improve their performance. D) Managers seek to find out who gave them bad ratings. Answer: C Explanation: C) The evidence suggests that upward feedback improves managers' performance. One study focused on 252 managers during five annual administrations of an upward feedback program. Managers who were initially rated poor or moderate "showed significant improvements in [their] upward feedback ratings over the five-year period."

2. Which of the following terms refers to a performance appraisal based on surveys from peers, supervisors, subordinates, and customers? A) 360-degree feedback B) team appraisals C) upward feedback D) rating committee Answer: A Explanation: A) Many firms expand the idea of upward and peer feedback into "360-degree feedback." Here ratings are collected "all around" an employee, from supervisors, subordinates, peers, and internal or external customers.

3. A performance appraisal is based on the assumption that an employee understood what his or her performance standards were prior to the appraisal. Answer: TRUE Explanation: The term "appraisal" assumes that the employees knew what their performance standards were and that they received feedback required to remove performance deficiencies.

4. Supervisors should provide employees with feedback, development, and incentives necessary to help employees eliminate performance deficiencies or to continue to perform well. Answer: TRUE Explanation: Performance appraisal always involves setting work standards, assessing the employee's actual performance relative to those standards, and providing feedback to the employee with the aim of motivating him or her to eliminate performance deficiencies or to continue to perform above par.

5. The third step of the performance appraisal process is to assess the employee's actual performance relative to work standards. Answer: FALSE Explanation: The third step of the performance appraisal process is providing feedback to the employee with the aim of helping him or her to eliminate performance deficiencies or to continue to perform above par.

6. 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. Answer: FALSE Explanation: Goals should be challenging but doable, and it is more effective for supervisors and employees to work together at setting goals. Participatively set goals usually produce higher performance.

1. Formal performance appraisals have been eliminated by almost all major firms and replaced by daily assessments by peers in addition to extensive training opportunities. Answer: FALSE Explanation: Conventional appraisals are still the norm, although many progressive employers, such as Toyota, have essentially eliminated formal appraisals. Appraisals at such firms mainly involve having teammates continuously assessing each other, day-to-day. However, not all employers can or necessarily would benefit from such systems, so formal appraisals remain the most common.

2. The HR department monitors the performance appraisal system, but it is typically not involved in rating employees. Answer: TRUE Explanation: The human resources department serves a policy-making and advisory role but does not usually rate the performance of employees. It is the role of the supervisor to conduct a performance appraisal. The human resource team should also be responsible for training supervisors to improve their appraisal skills, for monitoring the appraisal system's effectiveness, and for ensuring that it complies with EEO laws.

3. In order to ensure that performance appraisals are effective, Felicia, a line supervisor, should make sure to schedule a feedback session to address each subordinate's performance, progress, and future development plans. Answer: TRUE Explanation: An effective appraisal requires a feedback session. Here, you and the subordinate discuss his or her performance and progress, and make plans for any development required.

4. Peer appraisals have been shown to have a negative effect on task motivation, cohesion, and job satisfaction, so most organizations no longer use them. Answer: FALSE Explanation: Peer appraisals have been shown to have an immediate positive impact on improving the perception of open communication, task motivation, social loafing, group viability, cohesion, and satisfaction.

5. 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. Answer: FALSE Explanation: Managers who receive feedback from subordinates who identify themselves view the upward appraisal process more positively than do managers who receive anonymous feedback. However, subordinates (not surprisingly) are more comfortable giving anonymous responses; those who have to identify themselves tend to provide inflated ratings.

6. Three hundred and sixty-degree feedback is generally used for development purposes rather than for pay increases. Answer: TRUE Explanation: With 360-degree feedback, ratings are collected "all around" an employee, from

on a particular trait, choosing highest, then lowest, until all are ranked.

1. The most popular method for ranking employees is the ________ method. A) graphic ranking scale B) alternation ranking C) paired comparison D) forced distribution Answer: B Explanation: B) It is usually easier to distinguish between the worst and best employees, and the alternation ranking method is the most popular choice for supervisors. Paired comparison and forced distribution are less popular methods for ranking employees from best to worst on a trait or traits. A graphic rating, not ranking, scale is a popular appraisal tool.

2. Kendra needs to rate five of her subordinates. She makes a chart of all possible pairs of employees for each trait being evaluated. Then, she indicates the better employee of each pair with a positive symbol on the chart. Finally, she totals the number of positive symbols for each employee. Which method of performance appraisal has Kendra most likely used? A) graphic ranking scale B) alternation ranking C) paired comparison D) forced distribution Answer: C Explanation: C) The paired comparison method helps make the ranking method more precise. For every trait (quantity of work, quality of work, and so on), you pair and compare every subordinate with every other subordinate.

3. Which performance appraisal tool is being used when a supervisor places predetermined percentages of appraisees into various performance categories? A) behaviorally anchored rating scale B) graphic ranking scale C) alternation ranking D) forced distribution Answer: D Explanation: D) The forced distribution method is similar to grading on a curve. With this method, you place predetermined percentages of appraisees into various performance categories.

4. John, the supervisor of the manufacturing department at a computer firm, 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. Which performance appraisal tool has John chosen to use? A) behaviorally anchored rating scale B) forced distribution C) alternation ranking D) paired comparison Answer: B Explanation: B) The forced distribution method is similar to grading on a curve. With this method, you place predetermined percentages of appraisees into various performance categories.

5. Which of the following measurement methods is similar to grading on a curve? A) forced distribution B) graphic rating scale

C) constant sums rating D) behaviorally anchored rating scale Answer: A Explanation: A) The forced distribution method is similar to grading on a curve. With this method, you place predetermined percentages of appraisees into various performance categories.

1. Which of the following is one of the primary complaints regarding the use of the forced distribution method for performance appraisals? A) difficult to implement B) harm to employee morale C) high costs of administration D) time consuming to administer Answer: B Explanation: B) The biggest complaints regarding the forced distribution method are that it damages morale. The tool is not difficult to implement, time consuming, or costly.

2. Which performance appraisal tools require a supervisor to maintain a log of positive and negative examples of a subordinate's work-related behavior? A) alternation ranking B) paired comparison C) critical incident D) graphic rating Answer: C Explanation: C) With the critical incident method, the supervisor keeps a log of positive and negative examples (critical incidents) of a subordinate's work-related behavior. Every six months or so, supervisor and subordinate meet to discuss the latter's performance, using the incidents as examples.

3. Which of the following is a downside of the critical incident method of compiling incidents? A) doesn't provide examples of excellent work performance B) doesn't produce relative ratings for pay raise purposes C) doesn't make the supervisor think about the subordinate's appraisal all year D) doesn't compile examples of ineffective work performance Answer: B Explanation: B) Compiling incidents provides a number of useful examples but doesn't produce relative ratings for pay raise purposes.

4. Which appraisal method combines the benefits of narrative critical incidents and quantified scales by assigning scale points with specific examples of good or poor performance? A) behaviorally anchored rating scale B) constant sums rating scale C) alternation ranking D) forced distribution Answer: A Explanation: A) Behaviorally anchored rating scale (BARS) is an appraisal method that aims at combining the benefits of narrative critical incidents and quantified ratings by anchoring a quantified scale with specific narrative examples of good and poor performance.

5. 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) diary of positive and negative examples of a subordinate's work performance

A) merging examples with performance ratings B) helping managers maintain computerized notes C) combining different performance appraisal tools D) enabling managers to monitor employees' computers Answer: D Explanation: D) Employers increasingly use computerized or Web-based performance appraisal systems. These enable managers to keep computerized notes on subordinates during the year, merge notes with ratings, and generate written text to support each part of the appraisal. Most appraisal software combines several appraisal methods.

1. Which of the following enables supervisors to oversee the amount of computerized data an employee is processing each day? A) computerized performance appraisal system B) online management assessment center C) digitized high-performance work center D) electronic performance monitoring system Answer: D Explanation: D) Electronic performance monitoring (EPM) systems use computer network technology to allow managers access to their employees' computers and telephones. They thus allow managers to monitor the employees' rate, accuracy, and time spent working online.

2. 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) digital dashboard device B) electronic performance monitoring system C) Web-based management oversight device D) electronic performance support system Answer: B Explanation: B) Electronic performance monitoring (EPM) systems use computer network technology to allow managers access to their employees' computers and telephones. They thus allow managers to monitor the employees' rate, accuracy, and time spent working online.

3. Which term refers to ranking of employees from best to worst on a trait or traits, choosing highest than lowest until all are ranked? A) performance management B) paired comparison C) alternation ranking D) direction sharing Answer: C Explanation: C) The alternation ranking method is ranking employees from best to worst on a trait or traits.

4. The forced distribution method is the simplest and most popular technique for appraising performance. Answer: FALSE Explanation: The graphic rating scale is the simplest and most popular method for appraising performance. The forced distribution method is used by many firms, but it is not the most popular performance appraisal tool.

5. In the paired comparison method, the manager places predetermined percentages of ratees

into performance categories. Answer: FALSE Explanation: In the paired comparison method, for every trait (quantity of work, quality of work, and so on), you compare every employee with every other employee.

1. Supervisors at Sun Microsystems use the forced distribution method to evaluate performance, so they must ensure that the proportions in each category are symmetrical. Answer: FALSE Explanation: Proportions in each category do not need to be symmetrical with the forced distribution method of performance evaluation.

2. The basic problem with using a ranking method for performance appraisals is not identifying the extreme good and bad performers but differentiating meaningfully between the others. Answer: TRUE Explanation: Distinguishing between top and bottom performers is usually not a problem when using a ranking method. The difficulty regards distinguishing meaningfully between the employees that fall in the middle.

3. Top employees often outperform the average or poor employees by as much as 100%. Answer: TRUE Explanation: Some firms that use the forced distribution method have policies of dismissing employees who rank at the bottom. Such policies reflect the fact that top employees often outperform average or poor ones by as much as 100%.

4. 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. Answer: FALSE Explanation: Paired comparison involves ranking employees by making a chart of all possible pairs of the employees for each trait and indicating which is the better employee of the pair.

5. The advantages of using BARS as a performance appraisal tool are the method's accuracy, clear standards, and consistency. Answer: TRUE Explanation: The advantages of the BARS-based evaluations include the consistency of ratings, clear standards, and its high rate of accuracy.

6. Management by objectives requires a manager to set specific measurable, organizationally relevant goals with each employee and then periodically discuss the employee's progress toward these goals. Answer: TRUE Explanation: MBO requires the manager to set specific measurable, organizationally relevant goals with each employee and then periodically discuss the latter's progress toward these goals.

7. Sam supervises a team of data entry clerks at Geico. The firm's electronic performance monitoring system enables Sam to electronically monitor the amount of computerized data an employee processes each day. Answer: TRUE Explanation: Electronic performance monitoring (EPM) systems use computer network technology to allow managers access to their employees' computers and telephones. They thus allow managers to monitor the employees' rate, accuracy, and time spent working online.

descriptive phrases that define or illustrate each trait. Specificity results in more consistent and more easily explained appraisals.

1. 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) recency effect B) halo effect C) central tendency D) stereotyping Answer: B Explanation: B) Experts define halo effect as "the influence of a rater's general impression on ratings of specific ratee qualities." For example, supervisors often rate unfriendly employees lower on all traits, rather than just on "gets along well with others."

2. Jason is a conscientious employee, but he is viewed by most of his co-workers as unfriendly. Jason's supervisor rates him low on the traits "gets along well with others" and "quality of work." Which of the following problems has most likely affected Jason's performance appraisal? A) central tendency B) leniency C) halo effect D) recency effect Answer: C Explanation: C) Experts define halo effect as "the influence of a rater's general impression on ratings of specific ratee qualities." Central tendency refers to rating all employees average. Recency effect means focusing on the most recent behavior of an employee rather than his or her performance over a year.

3. A supervisor who frequently rates all employees as average on performance appraisals most likely has a problem known as ________. A) halo effect B) stereotyping C) central tendency D) leniency Answer: C Explanation: C) Central tendency refers to the tendency of supervisors to rate all employees the same way, such as rating them all average.

4. The best way to reduce the problem of central tendency in performance appraisals is to________. A) rank employees B) use graphic rating scales C) limit the number of appraisals D) appraise personal characteristics Answer: A Explanation: A) Ranking employees instead of using graphic rating scales can reduce the problem of central tendency. Ranking means you can't rate all employees as average.

5. Which performance appraisal problem is associated with supervisors giving all of their subordinates consistently high ratings? A) central tendency B) leniency C) strictness D) halo effect

Answer: B Explanation: B) Some supervisors tend to rate all their subordinates consistently high or low. Leniency refers to giving high ratings, while strictness refers to giving low ratings.

1. The ________ problem occurs when supervisors tend to rate all their subordinates consistently low. A) central tendency B) leniency C) strictness D) halo effect Answer: C Explanation: C) Some supervisors tend to rate all their subordinates consistently high or low. Leniency refers to giving high ratings, while strictness refers to giving low ratings. Central tendency refers to giving average scores.

2. Which of the follow is the best method for reducing the problems of leniency or strictness in performance appraisals? A) keep critical incident logs B) require multiple appraisals C) impose a performance distribution D) reconsider the timing of the appraisal Answer: C Explanation: C) Enforcing a performance distribution is one way of correcting leniency/strictness problems. Another option is to rank employees.

3. Which of the following has most likely occurred when a supervisor conducting a performance appraisal is influenced by a subordinate's individual differences such as age, sex, and race? A) bias B) halo affect C) central tendency D) unclear standards Answer: A Explanation: A) Bias refers to the tendency to allow individual differences such as age, race, and sex to affect the appraisal ratings that employees receive. Halo effect, unclear standards, and central tendency are other problems associated with performance appraisals.

4. Which of the following is LEAST likely to cause a supervisor's performance appraisal of a subordinate to be biased? A) purpose of the appraisal B) location and time of the appraisal C) personal characteristics of the subordinate D) relationship between supervisor and subordinate Answer: B Explanation: B) Appraisal bias has been shown to be caused by the appraisal's purpose but not the location or time of the appraisal. The personality of the supervisor, personal characteristics of the subordinate, and relationship between the two parties all tend to lead to bias.

5. All of the following guidelines will most likely improve the effectiveness of a performance appraisal EXCEPT ________. A) maintaining a diary of employees' performance during the year B) using a graphic rating scale to ensure fair and consistent ratings

Performance appraisals are more legally sound if based on clearly specified job performance dimensions.

1. Unclear standards on a performance appraisal tool will most likely lead to unfair appraisals because performance traits are too open for interpretation. Answer: TRUE Explanation: A performance appraisal tool with unclear standards will probably result in unfair appraisals, because the traits and degrees of merit are ambiguous and too open to a rater's interpretation.

2. Central tendency is a problem that occurs when a supervisor's rating of a subordinate on one trait biases the rating of that person on other traits. Answer: FALSE Explanation: Central tendency means rating all employees average. The halo effect refers to the problem that occurs when a supervisor's rating of a subordinate on one trait biases the rating of that person on other traits.

3. In order to ensure that a performance appraisal is legally defensible, a supervisor should use only one performance appraisal tool. Answer: FALSE Explanation: Using a single overall rating of performance is usually not acceptable to the courts. It is suggested that more than one appraisal tool be used.

4. Which of the following best describes the purpose of an appraisal interview? A) training supervisors in the rating process B) identifying potential interpersonal problems C) making plans to correct employee weaknesses D) discussing and scheduling training programs Answer: C Explanation: C) The appraisal typically culminates in an appraisal interview. Here, the supervisor and the subordinate review the appraisal and make plans to remedy deficiencies and reinforce strengths.

5. You are conducting an appraisal interview with an employee whose performance is satisfactory but for whom promotion is not possible. Which incentive listed below would be the LEAST effective option for maintaining satisfactory performance in this situation? A) time off B) small bonus C) recognition D) professional development Answer: D Explanation: D) For employees whose performance is satisfactory but for whom promotion is not possible, the objective is to maintain satisfactory performance. The best option is usually to find incentives that are important to the person and sufficient to maintain performance, such as extra time off, a small bonus, and recognition.

6. When conducting an appraisal interview, supervisors should do all of the following EXCEPT________. A) ask open-ended questions B) give specific examples of poor performance C) write up an action plan with goals and dates D) compare the person's performance to that of other employees Answer: D

Explanation: D) When a supervisor conducts an appraisal interview, it is advisable to speak in terms of objective work data with specific examples of poor performance. A supervisor should also ask the employee open-ended questions to encourage conversation and write up an action plan. It is inappropriate to compare a person's performance with another person.

1. When a supervisor must criticize a subordinate in an appraisal interview, it is most important for the supervisor to ________. A) limit negative feedback to once every year B) provide specific examples of critical incidents C) acknowledge the supervisor's personal biases in the situation D) hold the meeting with other people who can document the situation Answer: B Explanation: B) When you must criticize, it should be done privately and should include examples of critical incidents and specific suggestions of what to do and why. Avoid once-a-year "critical broadsides" by giving feedback periodically, so that the formal review contains no surprises. Criticism should be objective and free of personal bias.

2. When an employee's performance is so poor that a written warning is required, the warning should ________. A) identify the standards by which the employee is judged B) provide examples of employees who met the standards C) provide examples of times when the employee met the standards D) be written by a labor law attorney in accordance with federal guidelines Answer: A Explanation: A) Written warnings should identify the employee's standards, make it clear that the employee was aware of the standard, specify any deficiencies relative to the standard, and show the employee had an opportunity to correct his or her performance.

3. During an exit interview, a supervisor and a subordinate review the appraisal and make plans to correct deficiencies and reinforce strengths. Answer: FALSE Explanation: Appraisal interviews involve a supervisor and a subordinate reviewing the appraisal and making plans to correct deficiencies and reinforce strengths. Exit interviews are conducted when an employee leaves a company.

4. The goal for a supervisor conducting a satisfactory-not promotable appraisal interview is to maintain satisfactory performance by finding incentives that are important to the person. Answer: TRUE Explanation: Satisfactory–not promotable appraisal interviews are for employees whose performance is satisfactory but for whom promotion is not possible. The objective here is to maintain satisfactory performance. The best option is usually to find incentives that are important to the person and sufficient to maintain performance, such as extra time off or a small bonus.

5. Tyler, an accounting manager at Firestone, is preparing for an appraisal interview with an employee whose performance is unsatisfactory but correctable. Tyler's primary objective during the interview should be to encourage the employee with positive reinforcements like job enlargement and compliments. Answer: FALSE Explanation: When the person's performance is unsatisfactory but correctable, the interview objective is to lay out an action plan for correcting the unsatisfactory performance. Employees who have satisfactory performance but who are not promotable should be encouraged with incentives.

than performance management.

1. A supervisor working for a firm that uses performance management should most likely expect to ________. A) conduct annual performance appraisals B) compare team goals to industry standards C) re-evaluate how employees accomplish tasks D) use paper forms to handle performance appraisals Answer: C Explanation: C) Performance management means continuously re-evaluating and (if need be) modifying how the employee and team get their work done. Depending on the issue, this may mean additional training, changing work procedures, or instituting new incentive plans, for in- stance. Performance management also involves continuous rather than annual performance appraisals, which are managed through computerized systems.

2. Which of the following is NOT one of performance management's six basic elements? A) habit creation B) goal alignment C) ongoing feedback D) direction sharing Answer: A Explanation: A) Habit creation is not one of the basic elements of performance management.

3. Performance appraisals are a link between corporate strategy, departmental goals, employee goals and employee performance in the overall performance management process. Answer: TRUE Explanation: Performance management is the continuous process of identifying, measuring, and developing the performance of individuals and teams and aligning their performance with the organization's goals.

4. As a manager, how can you set effective performance appraisal standards for your employees? Explain your answer in a brief essay. Answer: Managers can set effective goals by following certain guidelines.

• Set SMART goals. These are specific, measurable, attainable, relevant, and timely.
• Assign specific goals. Employees who have specific goals usually perform better than those who do not.
• Assign measurable goals. Always try to express the goal in terms of numbers, and include target dates or deadlines.
• Assign challenging but doable goals. Make them challenging, but not so difficult that they appear impossible or unrealistic.
• Encourage participation. Participatively set goals usually produce higher performance.

1. What is a behaviorally anchored rating scale (BARS)? How would a manager develop a BARS? Answer: A behaviorally anchored rating scale is a rating scale that is anchored with specific behavioral examples of good or poor performance. Because of the anchors, which are based on the dimensions of performance illustrated by critical incidents, a BARS combines the benefits of narratives, critical incident, and quantified scales. There are five steps required for developing a BARS. Each step is explained below.

• Step 1: Write critical incidents. In this step, people who know the job are asked to describe specific illustrations of effective and ineffective performance.
• Step 2: Develop performance dimensions. The people who know the job are then asked to cluster the incidents into a smaller set of performance dimensions and to define each dimension with a name.
• Step 3: Reallocate incidents. Another group of people, who also know the job, should reallocate the original critical incidents. They will receive the cluster definitions and the list of critical incidents. They will then reassign each incident into the cluster they think it fits best. If the assignments made by the first group and second group match well, then that critical incident is retained.
• Step 4: Scale the incidents. The second group then rates the behavior described by the incident as to how effectively or ineffectively it represents performance on the dimension.
• Step 5: Develop a final instrument. Six or seven of the incidents are the dimension's behavioral anchors.

1. What are the guidelines that supervisors should follow to hold effective appraisals and minimize problems like bias and halo effects? How can rating committees improve the fairness of the appraisal process? Answer: The first technique is to learn and understand the potential problem and possible solutions. Simply understanding the potential for the problem can help to avoid it. Second, using the right appraisal tool for each situation is important. Third, supervisors can keep a diary of critical incidents to file and use for later reference for subordinate's appraisals. This technique helps to ensure that both negative and positive incidents are recorded. Fourth, make sure that the primary goal of the appraisal is to improve unsatisfactory performance or reinforce exemplary performance. Finally, the appraisal should be fair. Many employers use rating committees. These committees usually contain the employee's immediate supervisor and two or three other supervisors. Using multiple raters makes sense. Although there may be discrepancies among ratings by individual supervisors, the composite ratings tend to be more reliable, fair, and valid. Using several raters can also help cancel out problems like bias and halo effects.

2. In a brief essay, discuss how a supervisor can develop and conduct a performance appraisal that is legally defensible.

Answer: Supervisors should conduct a job analysis to establish criteria and standards for successful performance and incorporate these criteria and standards into a rating system. It is important to communicate performance standards to employees and supervisors in writing and avoid abstract trait names when using graphic rating scales. Steps to ensure the appraisal are legally defensible are these: Base the performance appraisal criteria on a job analysis. At the start of the period, communicate performance standards to employee in writing. Using a single overall rating of performance is not acceptable to the courts. Include an employee appeals process. One appraiser should never have absolute authority to determine a person's actions. Document all information bearing on a personnel decision in writing. Also train supervisors. If formal rater training is not possible, at least prove rates with written instruction on how to use the rating scale.

What motivates employees to perform on the job is the focus of human relations?

What motivates an employee in workplace?

What is motivation in human relation?

What does human relations focus on?