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1. Managers need to constantly engage in a dialogue with their subordinates.
a.
True
b.
False
2. Most performance appraisals focus on long-term improvement, rather than short-term achievements.
a.
True
b.
False
3. The two most common purposes of performance management programs are administrative and developmental.
a.
True
b.
False
4. The federal government began evaluating employees in 1842.
a.
True
b.
False
5. Developmental purposes for performance appraisal include identifying strengths and weaknesses and improving
communication.
a.
True
b.
False
6. Developmental purposes for performance appraisal include evaluating goal achievement and validating selection
criteria.
a.
True
b.
False
7. Developmental purposes for performance appraisal include evaluating training programs and determining promotion
candidates.
a.
True
b.
False
8. Studies have shown that employees who earn performance-based pay are more satisfied.
a.
True
b.
False
9. Performance management programs can be used for many purposes, including promotions, transfers, layoffs, and pay
decisions.
a.
True
b.
False
10. Performance evaluations are simply a logical extension of the day-to-day performance management process.
a.
True
b.
False
11. Managers may deflate performance ratings to make themselves look good as managers.
a.
True
b.
False
12. Criterion deficiency occurs when performance standards focus on a single criterion and exclude other important but
less quantifiable performance dimensions.
a.
True
b.
False
13. Criterion deficiency occurs when performance standards have not been properly established and communicated to the
employee.
a.
True
b.
False
14.
Criterion contamination occurs when different supervisors have different and inconsistent ratings of an employee’s
performance.
a.
True
b.
False
15. Criterion contamination occurs when factors outside an employee's control influence his or her performance.
a.
True
b.
False
16. According to a Supreme Court ruling, performance appraisals are subject to the same validity criteria as selection
procedures.
a.
True
b.
False
17. The HR department rarely has the primary responsibility for overseeing and coordinating a firm’s performance
management system.
a.
True
b.
False
18. Employees should be given a written copy of their job standards in advance of their performance evaluations.
a.
True
b.
False
19. An appeals process is only necessary for administrative appraisals.
a.
True
b.
False
20. In most instances, one person can easily observe and evaluate an employee's performance.
a.
True
b.
False
21. Criterion deficiency refers to the extent to which the standards of an appraisal relate to the strategic objectives of the
organization in which they are applied.
a.
True
b.
False
22. Self-evaluations are often best used for developmental purposes rather than for administrative decisions.
a.
True
b.
False
23. Self-evaluations should be used primarily for administrative purposes.
a.
True
b.
False
24. Subordinate evaluations are useful for rating on dimensions such as leadership ability, ability to delegate, and
employee supportiveness.
a.
True
b.
False
25. Subordinate evaluations should be used primarily for developmental purposes.
a.
True
b.
False
26. One disadvantage of peer evaluations is the belief that they contain more biases and furnish less valid information than
appraisals by superiors.
a.
True
b.
False
27. Team evaluations are conceptually just a collection of the individual appraisals of a work unit.
a.
True
b.
False
28. Internal customers can provide extremely useful feedback for both developmental and administrative purposes.
a.
True
b.
False
29. Reliability refers to the stability or consistency of a standard.
a.
True
b.
False
30. A distributional rating error occurs when a single rating is skewed toward an entire group of employees.
a.
True
b.
False
31. An error of central tendency is a performance-rating error in which all employees are more or less rated as average.
a.
True
b.
False
32. Requiring raters to use a forced distribution reduces the chance of leniency or strictness errors.
a.
True
b.
False
33. Having appraisals reviewed by a supervisor’s supervisor creates unnecessary redundancy and may actually result in
greater legal liability.
a.
True
b.
False
34. A recency error is an error in which the appraisal is based largely upon the employee's most recent behavior as
opposed to their behavior throughout the entire appraisal period.
a.
True
b.
False
35. Contrast errors are most likely when raters are required to rank employees in order from the best to the poorest.
a.
True
b.
False
36. A similar-to-me error occurs when appraisers inflate the evaluations of people with whom they have something in
common.
a.
True
b.
False
37. A similar-to-me error, like contrast, results in less than accurate performance ratings, but would not be considered
discriminatory.
a.
True
b.
False
38. Feedback training for raters should include communicating effectively, diagnosing causes of performance problems,
and setting goals.
a.
True
b.
False
39. It is unrealistic to presume that one person can fully observe and evaluate an employee’s performance.
a.
True
b.
False
40. Results-oriented approaches have become more popular because they focus on the measurable contributions that
employees make to an organization.
a.
True
b.
False
41. One of the potential drawbacks of a trait-oriented performance appraisal is that traits can be biased and subjective.
a.
True
b.
False
42. Graphic rating scales include sets of statements between which the rater must choose, such as "works hard" vs. "works
quickly."
a.
True
b.
False
43. The mixed-standard scale method evaluates traits according to a single scale.
a.
True
b.
False
44. One of the benefits of the forced-choice method is the relatively small cost of establishing and maintaining its validity.
a.
True
b.
False
45. The forced-choice method of appraisal is less effective as a tool for developing employees.
a.
True
b.
False
46. A major drawback of the essay method is that composing an essay that attempts to cover all of an employee's essential
characteristics is very time-consuming.
a.
True
b.
False
47. The effectiveness of the essay method is affected by the rater's writing skills.
a.
True
b.
False
48. Behavioral methods specifically describe which actions should (or should not) be exhibited on the job.
a.
True
b.
False
49. One major advantage of a behaviorally anchored rating scale is that it is possible to use a scale developed for one job
to appraise individuals in another, unrelated job.
a.
True
b.
False
50. Results evaluations often give employees responsibility for their outcomes and discretion over the way they
accomplish them.
a.
True
b.
False
51. Behavior observation scales have rater check statements that they believe are characteristic of the employee.
a.
True
b.
False
52. Measurable and quantifiable performance objectives are requirements for a successful MBO program.
a.
True
b.
False
53. The Balanced Scorecard approach integrates four categories: financial, customer, process, and learning measures.
a.
True
b.
False
54. The Balanced Scorecard evaluation method translates broad corporate goals into divisional, departmental, team, and
individual goals in a cascading way.
a.
True
b.
False
55. The choice of performance evaluation method to use depends upon the purpose of the evaluation.
a.
True
b.
False
56. Dividing the performance evaluation meeting into two sessions, one for the performance review and the other for the
employee's growth plans, is a good strategy to improve communication between the parties.
a.
True
b.
False
57. The three basic types of formats for providing feedback during a performance evaluation meeting are tell-and-sell,
tell-and-listen, and problem-solving.
a.
True
b.
False
58. The problem-solving format seeks to obtain an employee’s buy-in for a mutually agreed-upon way to overcome
obstacles and improve the person’s actual performance.
a.
True
b.
False
59. A self-evaluation ensures that an employee knows against what criteria he or she is being evaluated, eliminating any
potential surprises.
a.
True
b.
False
60. Because the appraisal interview is for developmental purposes, the interviewer rather than the employee should spend
the majority of the time talking.
a.
True
b.
False
61. Since praise is a powerful motivator, appraisers should alternate positive and negative statements during a
performance appraisal interview.
a.
True
b.
False
62. Expressing appreciation for the work an employee has done well is likely to make the person more defensive about
aspects of the job that are not going so well.
a.
True
b.
False
63. Performance discussions should focus on the employee rather than on his or her behaviors.
a.
True
b.
False
64. If an employee is doing something wrong, waiting for a formal evaluation later in the year to communicate
that information is an example of a balanced approach to effective communication.
a.
True
b.
False
65. A person's performance is a function of ability, environment, and motivation.
a.
True
b.
False
66. A diagnosis of poor employee performance should focus on the three interactive elements of ability, motivation, and
external conditions.
a.
True
b.
False
67. Self-evaluations are often best used for administrative decisions rather than developmental purposes.
a.
True
b.
False
68. The “horn error” is the opposite of the “halo effect.”
a.
True
b.
False
69. The federal government began evaluating employees in 1842, when Congress passed a law mandating yearly
performance review for:
a.
departmental clerks.
b.
military personnel.
c.
postal employees.
d.
all federal employees.
70. A problem with performance appraisal is that it:
a.
tends to be objective and consistent.
b.
identifies weaknesses of employees as well as strengths.
c.
tends to focus on short-term objectives rather than long-term learning.
d.
tends to be a bottom-up process.
71. One study showed that organizations with strong performance management systems are ____ more likely to
outperform their competitors in the areas of revenue growth, productivity, profitability, and market value
a.
10-15 percent
b.
20-30 percent
c.
40-50 percent
d.
80-90 percent
72. The two primary purposes of performance appraisals are:
a.
informative and developmental.
b.
managerial and administrative.
c.
managerial and informative.
d.
administrative and developmental.
73. Administrative purposes of performance appraisal include all of the following EXCEPT:
a.
determining promotion candidates.
b.
evaluating training programs.
c.
documenting personnel decisions.
d.
providing performance feedback.
74. Developmental purposes of performance appraisal include all of the following EXCEPT:
a.
recognizing individual performance.
b.
validating selection procedures.
c.
improving communication.
d.
identifying strengths and weaknesses.
75. Which of the following is NOT a reason for the failure of appraisal programs?
a.
They discourage teamwork by focusing on workers’ individual achievements.
b.
They lay more focus on employee input into the development of the appraisal program.
c.
They are not useful for the majority of employees in the middle in terms of performance.
d.
They often focus on short-term achievements rather than long-term improvement and learning.
76. In _____, the U.S. Supreme Court found that employees had been ranked against a vague standard, open to each
supervisor’s own interpretation.
a.
California Board of Regents v. Bakke
b.
Griggs v. Duke Power Co.
c.
Albemarle Paper Co. v. Moody
d.
Brito v. Zia
77. If a manager rates an employee higher than he or she deserves in order to look good as a manager in the eyes of his or
her own superiors, this is an example of:
a.
criterion deficiency.
b.
organizational politics.
c.
criterion contamination.
d.
administrative appraisal purpose.
78. Which of the following is NOT an advantage of the trait method of appraisals?
a.
Inexpensive to develop
b.
Uses meaningful dimensions
c.
Low potential for rating errors
d.
Easy to use
79. The strategic relevance of performance appraisals refers to the extent to which:
a.
standards relate to the overall objectives of the organization.
b.
standards capture the entire range of an employee's responsibilities.
c.
individuals tend to maintain a certain level of performance over time.
d.
factors outside the employee's control can influence performance.
