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1. At TrueBlue, supervisors, peers, and subordinates all provide input into an employee’s performance appraisal. TrueBlue
uses a 360-degree evaluation.
a.
True
b.
False
ANSWER:
True
2. Most performance appraisals focus on long-term improvement, rather than short-term achievements.
a.
True
b.
False
ANSWER:
False
3. The two most common purposes of performance management programs are administrative and developmental.
a.
True
b.
False
ANSWER:
True
4. The marketing department at TrueBlue is immense. The Senior Marketing Manager is responsible for completing
performance reviews on all members of the department. Since she does not have the opportunity to work with them all
personally, she bases her reviews on the sales figures for their products on the assumption that sales reflect the success of
the marketing efforts. It is likely that these performance reviews do not comply with the law.
a.
True
b.
False
ANSWER:
True
5. Developmental purposes for performance appraisal include identifying strengths and weaknesses and improving
communication.
a.
True
b.
False
ANSWER:
True
6. Developmental purposes for performance appraisal include evaluating goal achievement and validating selection
criteria.
a.
True
b.
False
ANSWER:
False
7. Developmental purposes for performance appraisal include evaluating training programs and determining promotion
candidates.
a.
True
b.
False
ANSWER:
False
8. Studies have shown that employees who earn performance-based pay are more satisfied.
a.
True
b.
False
ANSWER:
True
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9. Performance management programs can be used for many purposes, including promotions, transfers, layoffs, and pay
decisions.
a.
True
b.
False
ANSWER:
True
10. Performance evaluations are simply a logical extension of the day-to-day performance management process.
a.
True
b.
False
ANSWER:
True
11. Managers may deflate performance ratings to make themselves look good as managers.
a.
True
b.
False
ANSWER:
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
ANSWER:
True
13. In their evaluation of the current employee review program in place at TrueBlue, HR managers found that the
information gathered tends to be comprehensive as it comes from many perspectives. At the same time, though,
combining all the responses is complex, and opinions are often conflicting. Based on this information, it is likely that
TrueBlue uses 360-degree reviews.
a.
True
b.
False
ANSWER:
True
14. Criterion contamination occurs when different supervisors have different and inconsistent ratings of an employee’s
performance.
a.
True
b.
False
ANSWER:
False
15. Criterion contamination occurs when factors outside an employee’s control influence his or her performance.
a.
True
b.
False
ANSWER:
True
16. According to a Supreme Court ruling, performance appraisals are subject to the same validity criteria as selection
procedures.
a.
True
b.
False
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ANSWER:
True
17. Melanie has the primary responsibility for overseeing and coordinating the performance management system at
TrueBlue. It is most likely that she works in the firm’s finance department.
a.
True
b.
False
ANSWER:
False
18. Everet recently transferred to a new position, and he wants to know what is expected of him in order to get a good
rating on his performance evaluation. He can get this information from a written copy of the job standards.
a.
True
b.
False
ANSWER:
True
19. An appeals process is only necessary for administrative appraisals.
a.
True
b.
False
ANSWER:
False
20. In most instances, one person can easily observe and evaluate an employee’s performance.
a.
True
b.
False
ANSWER:
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
ANSWER:
False
22. Self-evaluations are often best used for developmental purposes rather than for administrative decisions.
a.
True
b.
False
ANSWER:
True
23. Employees in the quality assurance department test the product and report their findings back to development. The
developers, in turn, rely on the feedback they receive from QA to improve products. In this scenario, development would
be considered an external customer of QA and good candidates for conducting external customer evaluations of QA staff
members.
a.
True
b.
False
ANSWER:
False
24. TrueBlue wants to gather accurate information about middle managers on dimensions such as leadership ability,
ability to delegate, and employee supportiveness. Subordinate evaluations would be good for this purpose.
a.
True
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b.
False
ANSWER:
True
25. Subordinate evaluations should be used primarily for developmental purposes.
a.
True
b.
False
ANSWER:
True
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
ANSWER:
False
27. Team evaluations are conceptually just a collection of the individual appraisals of a work unit.
a.
True
b.
False
ANSWER:
False
28. Internal customers can provide extremely useful feedback for both developmental and administrative purposes.
a.
True
b.
False
ANSWER:
True
29. TrueBlue uses an evaluation form for sales reps which lists several specific behaviors, such as “follows up on
customer leads” and “identifies potential contacts.” Raters indicate how frequently the employee engages in each behavior
on a scale of 1 to 5, representing the extremes of Never and Always. This is an example of a BOS.
a.
True
b.
False
ANSWER:
True
30. Marco’s department met or exceeded all of its productivity goals this year. When completing performance evaluations,
Marco gave all members of his staff above average or excellent ratings, without considering individual effort. This is an
example of a distributional rating error.
a.
True
b.
False
ANSWER:
True
31. Marco is generally satisfied with the performance of his staff as a whole. Overall, deadlines and goals were met but
not exceeded. Some individuals may have contributed more or less to the success of the department. But when completing
their performance evaluations, he rates all of them as about average. This is an error of central tendency.
a.
True
b.
False
ANSWER:
True
32. When reviewing the performance appraisals for the marketing department, the HR manager found what appeared to be
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leniency errors, as most employees received similar ratings that were above average. Going forward, raters are going to be
required to use a forced distribution, as this will reduce the chance of leniency or strictness errors.
a.
True
b.
False
ANSWER:
True
33. Having appraisals reviewed by a supervisor’s supervisor creates unnecessary redundancy and may actually result in
greater legal liability.
a.
True
b.
False
ANSWER:
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
ANSWER:
True
35. Supervisors at TrueBlue are required to rank the employees on their staff in order from the strongest to weakest as part
of the performance evaluation process. This ranking may lead to contrast errors.
a.
True
b.
False
ANSWER:
True
36. Jane graduated from the same high school as her supervisor, Anne, although many years later. Anne has a favorable
impression of Jane because of this shared alma mater, and, perhaps unwittingly, gives her the benefit of the doubt in most
situations, leading to a more favorable performance evaluation. This illustrates a similar-to–me error.
a.
True
b.
False
ANSWER:
True
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
ANSWER:
False
38. Feedback training for raters should include communicating effectively, diagnosing causes of performance problems,
and setting goals.
a.
True
b.
False
ANSWER:
True
39. Roberta feels that Sal has shown clear improvement over the past three months. When completing Sal’s annual
performance review, Roberta rates Sal based upon the improvement, rather than considering the entire twelve months of
work. Roberta has committed a recency error.
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a.
True
b.
False
ANSWER:
True
40. When evaluating their employees, managers at TrueBlue focus on measurable contributions that the employees make
to the company, rather than just focusing on employee characteristics. TrueBlue is taking a results-oriented approach to
performance review.
a.
True
b.
False
ANSWER:
True
41. One of the potential drawbacks of a trait-oriented performance appraisal is that traits can be biased and subjective.
a.
True
b.
False
ANSWER:
True
42. As part of the performance review process at TrueBlue, raters use a rating scale from which they must choose from
statements such as “works hard” vs. “works quickly.” This is an example of a graphic rating scale.
a.
True
b.
False
ANSWER:
False
43. The mixed-standard scale method evaluates traits according to a single scale.
a.
True
b.
False
ANSWER:
False
44. One of the benefits of the forced-choice method is that it is immediately clear which choice is more favorable, thereby
eliminating bias.
a.
True
b.
False
ANSWER:
False
45. As part of the performance evaluation at TrueBlue, the supervisor is given a form that describes the standards for ten
traits. The supervisor indicates on the form whether the employee’s performance is worse than, equal to, or better than the
standard for each trait. This is a mixed-standard scale.
a.
True
b.
False
ANSWER:
True
46. A major drawback of the essay method is that it can be subjective.
a.
True
b.
False
ANSWER:
True
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47. Senior management at TrueBlue feels that the current performance appraisal method is too vague and rather
subjective. They might want to consider incorporating either a behavioral checklist or critical incident method in order to
increase specificity.
a.
True
b.
False
ANSWER:
True
48. Behavioral methods specifically describe which actions should (or should not) be exhibited on the job.
a.
True
b.
False
ANSWER:
True
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
ANSWER:
False
50. Results evaluations often give employees responsibility for their outcomes and discretion over the way they
accomplish them.
a.
True
b.
False
ANSWER:
True
51. Behavior observation scales have rater check statements that they believe are characteristic of the employee.
a.
True
b.
False
ANSWER:
False
52. Measurable and quantifiable performance objectives are requirements for a successful MBO program.
a.
True
b.
False
ANSWER:
True
53. The Balanced Scorecard approach integrates four categories: financial, customer, process, and learning measures.
a.
True
b.
False
ANSWER:
True
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
ANSWER:
True
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55. The choice of performance evaluation method to use depends upon the purpose of the evaluation.
a.
True
b.
False
ANSWER:
True
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
ANSWER:
True
57. In a feedback session with one of her employees, Portia starts by communicating to the employee the strong and weak
points of the employee’s job performance. After Portia finishes going through all the items, the employee then shares any
reactions, and the employee’s feelings are discussed. Portia uses the tell-and-listen format for her feedback sessions.
a.
True
b.
False
ANSWER:
True
58. In a feedback session with one of her employees, Portia wants to reach an agreement with the employee on the best
way to overcome obstacles in order to improve the employee’s actual performance. Portia would be best served by using
the problem-solving format.
a.
True
b.
False
ANSWER:
True
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
ANSWER:
True
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
ANSWER:
False
61. Since praise is a powerful motivator, appraisers should alternate positive and negative statements during a
performance appraisal interview.
a.
True
b.
False
ANSWER:
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
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b.
False
ANSWER:
False
63. Performance discussions should focus on the employee rather than on his or her behaviors.
a.
True
b.
False
ANSWER:
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
ANSWER:
False
65. A person’s performance is a function of ability, environment, and motivation.
a.
True
b.
False
ANSWER:
True
66. A diagnosis of poor employee performance should focus on the three interactive elements of ability, motivation, and
external conditions.
a.
True
b.
False
ANSWER:
True
67. Jakob met all of his goals. His sales figures are at or above the objective, and he increased his customer base by the
desired amount. However, Renae exceeded her goals by a significant amount. When completing their performance
appraisals, their supervisor gave Jakob below-average ratings because his numbers were so much lower than Renae’s. The
supervisor has made a recency error.
a.
True
b.
False
ANSWER:
False
68. While Steve consistently meets or exceeds his goals, he arrives late to work on an almost daily basis. This annoys his
supervisor, who is punctual to a fault, and translated into a below-average performance rating. This illustrates the “horn
error.”
a.
True
b.
False
ANSWER:
True
69. TrueBlue uses an MBO program for its performance reviews. Ranelle, the manager, and Louis, the subordinate, are
working through that process. Ranelle has listed her goals and metrics for Louis, and Louis has proposed his own goals
and metrics. What is the next step in the process?
a.
Review organization performance
b.
Reach mutual agreement on goals and metrics
c.
Delete inappropriate goals and metrics
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d.
Complete an interim review
ANSWER:
b
70. A common problem with performance management systems is that they
a.
tend to be objective and consistent.
b.
identify weaknesses of employees as well as strengths.
c.
limit feedback to formal reviews.
d.
tend to be a bottom-up process.
ANSWER:
c
71. TrueBlue uses an MBO program for its performance reviews. Ranelle, the manager, and Louis, the subordinate, are
working through that process. Now that a review of the organization performance has been completed, what is the next
step?
a.
The next step is to delete any inappropriate goals or metrics.
b.
The next step is for Ranelle and Louis to each list goals and metrics for Louis.
c.
The next step is to set the organization’s common goals and objectives.
d.
The final step has been completed; the process is done and there is no next step.
ANSWER:
c
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.
ANSWER:
d
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.
ANSWER:
d
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.
ANSWER:
b
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.
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d.
They often focus on short-term achievements rather than long-term improvement and learning.
ANSWER:
b
76. TrueBlue uses an MBO program for its performance reviews. Ranelle, the manager, and Louis, the subordinate, are
working through that process. They have reached the point where they are ready to perform an interim review. Which of
the following should they do at this stage?
a.
Ranelle should list goals and metrics for Louis.
b.
Louis should propose his goals and metrics.
c.
Inappropriate goals and metrics should be deleted.
d.
They should each establish goals and metrics for the department.
ANSWER:
c
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.
ANSWER:
b
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
ANSWER:
c
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.
ANSWER:
a
80. Freedom from criterion deficiency 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.
ANSWER:
b
81. If the performance evaluations that salespeople receive are based solely on sales revenue to the exclusion of other
important factors, the performance management system suffers from
a.
criterion contamination.
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b.
lack of reliability.
c.
criterion deficiency.
d.
organizational politics.
ANSWER:
c
82. If a performance standard is found to be stable or consistent, it is said to be
a.
free from contamination.
b.
relevant.
c.
reliable.
d.
valid.
ANSWER:
c
83. The reliability of the standards used to rate employee performance at TrueBlue has been called into question.
TrueBlue claims that the standards are reliable. One way TrueBlue can substantiate this claim is by
a.
correlating the ratings made by two or more different raters.
b.
correlating the ratings of an employee at two different points in time.
c.
linking performance standards to organizational goals.
d.
using quantifiable performance standards.
ANSWER:
a
84. The Supreme Court ruled that
a.
vague performance standards can be acceptable when clearly written.
b.
organizations should have carefully defined and measurable performance standards.
c.
while performance standards should be somewhat specific, there should be room for individual interpretation.
d.
descriptions of traits such as attitude and cooperation are acceptable performance standards.
ANSWER:
b
85. In light of recent court rulings, HR managers suggest that performance evaluations should meet all of the following
legal guidelines EXCEPT
a.
performance ratings must be job-related.
b.
employees must be provided with clear, written job standards in advance of their evaluations.
c.
performance evaluation should rarely be tied to compensation decisions.
d.
supervisors should be trained to use the evaluation form correctly.
ANSWER:
c
86. In most instances, who is in the best position to perform the function of evaluating an employee’s performance?
a.
The HR personnel
b.
The employee’s supervisor
c.
The employee
d.
Co-workers
ANSWER:
b
87. Performance-related behaviors such as leadership ability, ability to delegate, and employee supportiveness may best
be appraised by