48) Identify and explain the three primary standards that may be used in designing performance
appraisal standards.
49) A popular appraisal method that involves input from multiple levels within the firm and
external sources is best known as ________.
A) 360-degree feedback evaluation
B) rating scale
C) critical incident
D) paired comparison
50) Kyra works as a marketing assistant and will be receiving a performance appraisal soon.
Kyra will receive ratings from her supervisors, team members, subordinates, and customers.
Kyra will also be asked to review her own performance. Which performance appraisal method is
most likely used at Kyra’s firm?
A) rating scales method
B) work standards method
C) critical incident method
D) 360-degree feedback evaluation method
51) Dixon Manufacturing is a large firm that produces automotive parts for sports cars.
Employees at Dixon receive annual performance appraisals from their supervisors. However, top
executives at Dixon have decided that performance appraisals should be conducted more
frequently and that a new method of appraisal should be implemented. Which of the following, if
TRUE, best supports the argument that the 360-degree feedback evaluation method is the most
appropriate performance appraisal tool for Dixon to use?
A) Numerous Dixon employees have complained that the current appraisal method is biased and
have threatened to sue the firm.
B) Executives at Dixon want a performance appraisal method that focuses on an employee’s
potential for success at the firm.
C) Employees at Dixon participated in developing their own performance standards when they
were first hired by the firm.
D) Due to the firm’s large staff, executives want an appraisal method that is both quick and cost
effective.
52) What is the biggest risk associated with the 360-degree feedback evaluation method?
A) poor individual development
B) minimal effectiveness
C) questionable legality
D) lack of confidentiality
53) A supervisor wants to give a pay raise to a certain employee and, in order to justify this
action, the supervisor gives the employee a high performance evaluation. Which of the following
best describes this problem?
A) halo error
B) stereotyping
C) recent behavior bias
D) evaluation manipulation
54) In the current business climate, firms may want to consider evaluating performance more
often because ________.
A) the law requires that companies conduct performance appraisals often
B) changes in the business climate occur rapidly
C) companies wish to avoid negligent retention
D) companies use performance appraisal as a labor cost savings tool
55) Managing employee performance should be a ________ process if it is to be the most
effective.
A) formal
B) continuous
C) structured
D) bi-annual
56) Which performance appraisal method is most frequently criticized?
A) rating scales
B) results–based
C) 360-feedback
D) work standards method
57) Managers at A-1 Enterprises use the rating scales method to evaluate employee performance.
Ratings are based on factors such as attitude, loyalty, and personality. What is the most likely
problem with this type of performance appraisal system?
A) leniency
B) lack of objectivity
C) strictness
D) central tendency
58) The ________ of appraisal compares each employee’s performance to a predetermined
standard or expected level of output.
A) critical incident method
B) work standards method
C) forced distribution method
D) behaviorally anchored rating scale method
59) The ________ of appraisal requires managers to keep written records of highly favorable and
unfavorable work actions.
A) rating scales method
B) work standards method
C) forced distribution method
D) critical incident method
60) Dixon Manufacturing is a large firm that produces automotive parts for sports cars.
Employees at Dixon receive annual performance appraisals from their supervisors. However, top
executives at Dixon have decided that performance appraisals should be conducted more
frequently and that a new method of appraisal should be implemented. Which of the following, if
TRUE, best supports the argument that the BARS method is the most appropriate performance
appraisal tool for Dixon to use?
A) Dixon recently invested in an applicant tracking system to help HR manage recruiting and
selection tasks.
B) Dixon supervisors want to provide subordinates with upward feedback to illustrate employee
ratings.
C) Dixon has provided HR with a small budget for implementing a new performance appraisal
system.
D) Dixon supervisors want specific examples of good and poor behavior in order to facilitate
rating discussions.
61) Dixon Manufacturing is a large firm that produces automotive parts for sports cars.
Employees at Dixon receive annual performance appraisals from their supervisors. However, top
executives at Dixon have decided that performance appraisals should be conducted more
frequently and that a new method of appraisal should be implemented. Which of the following, if
TRUE, best supports the argument that the forced distribution method is the most appropriate
performance appraisal tool for Dixon to use?
A) Organizational fit is a problem among newly hired Dixon employees.
B) Many managers at Dixon are hesitant to fire poor performing employees.
C) Dixon organizes most departments into project-based teams of employees.
D) Multiple appraisals are needed at Dixon to minimize employee discrimination.
62) Dixon Manufacturing is a large firm that produces automotive parts for sports cars.
Employees at Dixon receive annual performance appraisals from their supervisors. However, top
executives at Dixon have decided that performance appraisals should be conducted more
frequently and that a new method of appraisal should be implemented. Which of the following, if
TRUE, best supports the argument that the forced distribution method is the most appropriate
performance appraisal tool for Dixon to use?
A) Employees at Dixon are provided training opportunities based on performance appraisal
results.
B) Dixon executives want the firm to become a high performing work system within five years.
C) Dixon will be reducing its workforce and eliminating the lowest performing employees.
D) Supervisors at Dixon work with HR to hire, fire, and train all employees.
63) Which statement about traits is most accurate?
A) Traits do influence behavior, but these do not fully account for behavior.
B) Traits are readily translated into job performance.
C) Traits influence motivation, but not job performance.
D) Traits determine a person’s personality profile.
64) Departmental managers at Global Industries are required to maintain written records of
highly favorable and unfavorable employee actions. Which performance appraisal method is
most likely used by Global Industries?
A) ranking
B) rating scales
C) critical incidents
D) paired comparison
65) Which appraisal method is most likely to cover the entire evaluation period and not focus on
the last few weeks or months?
A) essay
B) rating scale
C) critical incident
D) paired comparison
66) When Erin, a manager, provides performance appraisals to her subordinates, she writes a
brief narrative describing an employee’s performance relative to a predetermined standard.
Which type of appraisal method is Erin most likely using?
A) work standards method
B) essay method
C) BARS method
D) ranking method
67) Marco, who works on an assembly line at GM, received his annual performance appraisal,
which compared his job performance to an expected level of output. Which method is most
likely used by GM?
A) BARS
B) ranking
C) critical incident
D) work standards
68) A worker in which of the following jobs would most likely be evaluated with the work
standards performance appraisal method?
A) sales assistant
B) assembly line worker
C) mechanical engineer
D) personal finance specialist
69) What is the primary advantage of using the work standards method?
A) anonymity
B) objectivity
C) flexibility
D) acceptability
70) When it is time for Margaret to provide performance appraisals, she organizes her
subordinates in a list from best employee to worst employee. Which method does Margaret most
likely use?
A) critical incident
B) 360-degree
C) comparison
D) work standards
71) In which performance appraisal method is the performance of each employee compared with
every other employee in the group?
A) forced distribution
B) rating scales
C) paired comparison
D) weighted checklists
72) Paired comparison is a performance appraisal method that typically uses ________.
A) one criterion
B) critical incidents
C) job analysis factors
D) aspects such as attitude and appearance
73) In which performance appraisal method are individuals assigned to a limited number of
categories similar to a normal frequency distribution?
A) essay
B) rating scales
C) weighted checklist
D) forced distribution
74) The purpose of the ________ of performance appraisal is to keep managers from being
excessively lenient and having a disproportionate number of employees in the superior category.
A) BARS method
B) rating scale method
C) results-based method
D) forced distribution method
75) How many levels are typical of most forced distribution systems?
A) 2
B) 3
C) 4
D) 5
76) What performance appraisal system has been described as fostering cutthroat competition,
paranoia, and general ill will among employees?
A) 360-feedback
B) rating scales
C) forced distribution
D) BARS
77) Which performance appraisal system is known as the rank–and–yank system?
A) forced distribution
B) rating scales
C) forced choice
D) BARS
78) Which two methods are combined in the BARS method?
A) essay and forced distribution
B) critical incident and rating scales
C) work standards and critical incident
D) forced distribution and 360-feedback
79) In which performance appraisal method, are various performance levels shown along a scale
that incorporates only positive performance behaviors?
A) forced distribution
B) rating scales
C) forced choice
D) BOS
80) A primary deficiency of BARS is that the behaviors used are based on ________.
A) short–term results
B) coworker opinions
C) personality traits
D) employee activities
81) Which performance appraisal is highly defensible in court because it is based on actual
observable job behaviors?
A) forced distribution
B) rating scales
C) forced choice
D) BARS
82) Ellen and her manager jointly agree on goals for Ellen’s next appraisal period. Which
performance appraisal method is most likely used by Ellen’s employer?
A) management by objectives
B) critical incidents
C) work standards
D) BARS
83) Which category of performance appraisal system is closely related to the management by
objectives (MBO) system?
A) forced distribution
B) BOS
C) results–based
D) BARS
84) It is essential that line managers play a key role in performance appraisal from beginning to
end.
85) The primary disadvantage of using peers to appraise performance is that they do not work
closely enough with evaluated employees to provide useful feedback.
86) Organizations that structure employees into self–directed teams are using peers to appraise
performance less frequently because of time constraints.
87) If employees understand their objectives and the criteria used for evaluation, they can
effectively appraise their own performance.
88) Organizations use customer appraisal because it demonstrates a commitment to the customer
and holds employees accountable.
89) The 360-degree feedback evaluation method involves evaluation input from multiple levels
within the firm as well as external sources.
90) Results from 360-degree programs are used by firms for succession planning, training,
professional development, and performance management.
91) The rating scale method focuses on skills needed across organizational boundaries.
92) Having multiple raters makes the 360-degree feedback evaluation method more legally
defensible and more costly.
93) The most significant risk associated with 360-degree feedback is confidentiality.
94) A typical job might have 8-10 dimensions under BARS, each with a separate rating scale.
95) Managing performance is extraneous to a manager’s daily job duties.
96) Experts recommend performing evaluations on hiring anniversaries rather than on a calendar
basis in order to make essential comparisons between employees.
97) The critical incident method is an appraisal approach that rates employees according to
defined factors.
98) Each comparative system performance appraisal practice leads to a natural distribution of
performance ratings rather than a predetermined distribution.
99) The rating scale method requires keeping written records of highly favorable and highly
unfavorable employee work actions.
100) The work standards method compares each employee’s performance to a predetermined
standard.
101) The critical incident method is a variation of the ranking method in which the performance
of each employee is compared with every other employee in the group.
102) Some companies use the forced distribution system because of its popularity among most
managers and HR professionals.
103) Opponents of forced distribution contend that the system fosters paranoia among employees
and destroys company loyalty.