Chapter 07 – Performance Management and Appraisal
Chapter 7 Performance Management and Appraisal
True/False Questions
[QUESTION]
1. Performance refers to the traits, personal characteristics, or competencies of the employee.
2. Appraisal cannot be person-oriented.
3. The greater the specificity in the content of the appraisal, assuming the content is
compatible with the strategic goals of the organization, the more effective the appraisal
system.
4. The ProMES method of performance appraisal is effective when management wants to
build a sense of ownership and empowerment for their employees.
5. Graphic rating scales such as BARS and MBO help identify whether or not the ratee’s
performance matches the anchor.
6. Representativeness refers to the tendency to insufficiently alter a judgment away from
some starting point when new information is received.
Chapter 07 – Performance Management and Appraisal
[QUESTION]
7. The bias displayed by managers when conducting performance appraisals is unintentional
and cannot be corrected through training.
8. Ratings of frequency are better than ratings of intensity.
9. The more precise the definition and measurement of performance, the more difficult it
becomes for a manager to effectively and fairly appraise performance.
10. Appraisal data cannot be used to determine the effectiveness of human resource programs.
11. Graphic rating scales are the most widely used type of rating format.
12. Providing training for managers is a means to reduce bias in performance appraisals.
13. Paired comparisons, straight ranking, and forced distribution are appraisal systems that
require raters to make comparisons among ratees according to some measure of effectiveness
or simply overall effectiveness.
Chapter 07 – Performance Management and Appraisal
[QUESTION]
14. Because of the perception of fairness that results from the use of forced distribution in
performance appraisals, this method has been well received not only by employees being
rated, but also by managers conducting the appraisal.
15. BARS are graphic scales with specific behavioral descriptions defining various points
along the scale for each dimension.
16. When using the behavioral observation scales (BOS), a manager will consider at what
frequency a behavior occurs.
17. MBO is most effective when goals are set by the manager at a level that the employees
believe is not attainable because that will motivate the employee to work harder.
18. A “qualified” rater includes an internal or external customer who is the recipient of the
performers’ products or services.
19. The use of 360-degree appraisal systems is a high-performance work practice.
Chapter 07 – Performance Management and Appraisal
[QUESTION]
20. Benchmarking is the process of gauging the internal practices and activities within a firm
to an external reference or standard.
21. Performance appraisals should be focused on the past and managers should not waste time
in discussion of the employee’s career aspirations.
22. The forced choice methodology has effectively reduced intentional bias, and is a method
that has broad acceptance from managers/raters.
23. When conducting a 360 degree appraisal it is important to exclude feedback received from
internal and external customers.
24. Employees and managers are concerned with the lack of effectiveness of performance
appraisals. There is no time to conduct performance management training for managers, or
develop a BARS. One method that could be considered is to include multiple raters to derive
the rating of performance.
25. When planning a feedback session as part of the performance appraisal process, it is
important to allow the ratee to share their thoughts and to address career aspirations.
Chapter 07 – Performance Management and Appraisal
Multiple Choice Questions
[QUESTION]
26. To ensure a legally defensible performance appraisal system, all of the following
procedures are recommended EXCEPT:
A) Setting specific performance standards for employees.
B) Having a performance review process for each employee.
C) Making the performance appraisal process different for all employees within a job family.
D) Including a formal appeal process.
E) Using more than one independent evaluator of performance.
27. The rating method for _____ is to have the rater record specific observations of the ratee’s
performance and then compare those observations to anchors on the rating scale to determine
the most valid rating.
A) Straight ranking
B) BARS
C) paired comparison
D) forced distribution
E) MBO
28. In a department where there are clearly defined and measurable performance standards,
the performance appraisal method that would work well for a manager who is independently
reviewing a department of 15 people to identify who will and will not be eligible for a bonus
would be:
A) Paired comparisons
B) Behaviorally anchored rating scales (BARS)
C) Management by objectives (MBO)
D) Forced choice
E) Behavioral Observation Scales
Chapter 07 – Performance Management and Appraisal
[QUESTION]
29. Leniency refers to:
A) The tendency to rate employees towards the center of the scale regardless of actual
performance.
B) The extent to which raters agree on an evaluation.
C) The degree to which the performance of ratees can be differentiated on each performance
dimension.
D) The tendency to rate employees at the high end of the scale regardless of actual
performance.
E) The tendency to allow a rating on one dimension to influence ratings of other dimensions
for an employee.
30. Which of the following categories of performance outcomes have been identified as being
generally applicable to all jobs?
A) quality, quantity, timeliness, cost-effectiveness, dependability
B) quality, timeliness, cost-effectiveness, need for supervision, integrity
C) timeliness, cost-effectiveness, need for supervision, interpersonal impact, loyalty
D) quality, quantity, timeliness, cost-effectiveness, need for supervision, interpersonal impact
E) quantity, timeliness, cost-effectiveness, motivation, interpersonal impact
31. Behaviorally Anchored Rating Scales (BARS) refer to:
A) Graphic rating scales with specific behavioral descriptions defining various points along
the scale for each performance dimension.
B) Comparisons among ratee’s performance.
C) A record of outcomes produced on a specified job function during a specified time period.
D) Comparisons between specific, quantifiable target goals and the actual results achieved by
an employee.
E) Ratings made in the context of opportunities to perform at a certain level.
Chapter 07 – Performance Management and Appraisal
[QUESTION]
32. Management by Objectives (MBO):
A) Provides brief descriptions of levels of performance.
B) Selects the anchor which is most descriptive of the person being appraised.
C) Requires the rater to indicate how frequently the ratee has performed each of the listed
behaviors.
D) Calls for comparison between specific, quantifiable target goals and the actual results
achieved by an employee.
E) Makes comparisons among ratees according to some measure of effectiveness or simply
overall effectiveness.
33. Performance refers to:
A) Brief descriptions of the traits, personal characteristics, or competencies of the performer.
B) A process that requires raters to rank ratees on the basis of quantifiable goals.
C) Efforts to control rating bias by requiring raters to indicate how frequently the ratee has
performed listed behaviors.
D) Comparison between specific, quantifiable target goals and the actual results achieved by
an employee.
E) Record of outcomes produced on a specified job function or activity during a specified
period of time.
34. Joy and her manager agreed in January that in order to be ready to take on a new group
project in June, Joy should complete a class that would certify her in project planning. Both
Joy and her manager agreed that 6 months was a reasonable time frame for completing this
course, and earning the certification. How Joy is rated at the end of the review period, if she
is not able to attend the training by June will depend on if her manager believes that there
______ that did not allow Joy to complete the objective.
A) was a lack of utility
B) should have been BOS
C) were situational constraints
D) was a central tendency effect
E) were anchoring effects
Chapter 07 – Performance Management and Appraisal
[QUESTION]
35. All of the following are attempts to control intentional rating errors EXCEPT:
A) using forced distribution or other forms of ratee comparison systems
B) using multirater systems.
C) requiring cross-checks or reviews of ratings by other people
D) training raters how to provide negative evaluation.
E) providing frame-of-reference training.
36. Which of the following statements about MBO is FALSE?
A) It compares quantifiable target goals with actual results achieved by an employee.
B) It has been shown to be useful for defining individual or unit performance related to
strategic plans.
C) It is recommended as a method for comparing people or units.
D) It is a popular method of managerial appraisal.
E) It may be effective approach to motivating and improving employee performance.
37. Each of the following is legally desirable regarding performance appraisal procedures
EXCEPT:
A) Providing a formal appeal process.
B) Outlining specific, objective performance standards.
C) Providing written instructions for raters to follow.
D) Training raters on rating errors and EEO laws.
E) Adapting procedures to meet unique requirements of employees of different races.