Question 1

If a performance standard is found to be stable or consistent over time, it is said to be which of the following?
A) free from contamination
B) relevant
C) reliable
D) valid

Accepted Answer

When a performance standard is consistent or stable over time, it is considered reliable, meaning it consistently measures the desired outcome without random error or variance. The other options are not as appropriate in describing stable performance standards. A) Free from contamination refers to ensuring that factors unrelated to the performance being measured do not interfere with the results. B) Relevant standards are appropriate for measuring the desired outcome. D) Valid standards measure the desired outcome accurately and appropriately. While stability is important for ensuring that the standard is valid, a valid standard may not necessarily always be stable over time.

Question 2

What are performance appraisals most often used for?
A) making compensation decisions
B) creating a team environment
C) to track down ineffective employees
D) to create distance between managers and employees

Accepted Answer

Performance appraisals are most often used for making compensation decisions, including determining pay raises, bonuses, and promotions based on an employee's performance.

Question 3

Why is performance appraisal important?
A) because it is key to the validation of selection procedures, which are the foundation of all HR practices
B) because all organizations need to weed out lower-performing individuals at a rate of about 10 percent of employees per annum
C) because employees need to know that they are being evaluated in order to perform at an appropriate level
D) because the success of the entire HR program depends on knowing how the performance of employees compares with the goals established for them

Accepted Answer

Performance appraisal is important because it provides information on how employee performance compares to the goals set for them, which is essential to the success of the HR program. This information can be used to identify areas where employees need additional training or support, as well as to recognize and reward high-performing employees. Without performance appraisal, it can be difficult to evaluate the effectiveness of HR practices and make informed decisions about workforce planning and development.

Question 4

How is reliability in performance appraisal measured?
A) by correlating ratings made by different raters
B) by determining validity of performance standards
C) by linking performance standards to organizational goals
D) by quantifying performance standards

Accepted Answer

Reliability in performance appraisal is measured by correlating ratings made by different raters. This helps to ensure that the ratings are consistent and not influenced by personal biases or inconsistencies in the performance measurement system.

Question 5

Jay is a polite, helpful, conscientious employee who often helps his fellow auto sales representatives make sales and is popular with customers due to his customer service orientation. Based on his performance appraisal, which is focused on sales, Jay is being fired because he has not sold enough cars this month. Which of the following problems is at the root of his poor performance appraisal?
A) criterion contamination
B) lack of reliability
C) criterion deficiency
D) lack of relevance

Accepted Answer

The problem at the root of Jay's poor performance appraisal is criterion deficiency. This means that the performance appraisal did not measure all of the important aspects of Jay's job, such as his helpfulness to colleagues and his customer service skills, and focused solely on sales numbers.

Question 6

In most instances, who is in the best position to perform the function of appraising an employee's performance?
A) someone from the HR department
B) a co-worker
C) the employee
D) the employee's supervisor

Accepted Answer

The employee's supervisor is in the best position to appraise their performance as they are responsible for overseeing the employee's work, setting goals, providing feedback and coaching, and evaluating their progress. They have the most comprehensive understanding of the employee's job responsibilities and performance expectations, and are best equipped to provide a fair and accurate assessment of their performance. Co-workers may have limited visibility into the employee's performance and HR professionals may not necessarily have the same level of direct oversight, making the supervisor the most appropriate choice. The employee may provide self-appraisal feedback, but this should be considered in conjunction with input from their supervisor.

Question 7

Which of the following has been shown to be True in court?
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.

Accepted Answer

The statement "Organizations should have carefully defined and measurable performance standards" has been shown to be true in court. This means that performance standards should be clear and specific, with objective measures to evaluate employee performance. Vague or subjective standards can lead to legal challenges and disputes.

Question 8

A waitress's performance is appraised on the basis of the quality of the food she delivers to the table. What is this an example of?
A) criterion deficiency
B) criterion contamination
C) problems with the criteria
D) criterion reliability

Accepted Answer

This is an example of criterion contamination, as the appraisal is based on a factor (the quality of the food) that is not solely within the control of the waitress. Other factors such as the kitchen staff, ingredients, and cooking equipment can also affect the quality of the food delivered to the table.

Question 9

Which of the following are the two primary purposes of performance appraisals?
A) informative and developmental purposes
B) managerial and administrative purposes
C) managerial and informative purposes
D) administrative and developmental purposes

Accepted Answer

The two primary purposes of performance appraisals are administrative (for evaluating and documenting employee performance for personnel decisions such as promotions, transfers, and rewards) and developmental (for identifying areas of strengths and weaknesses and providing feedback for improving future performance). Option A is incorrect because informative is not a primary purpose. Option B is incorrect because managerial is not a primary purpose. Option C is incorrect because informative is not a primary purpose.

Question 10

Which of the following is a typical reason that performance appraisal programs fail?
A) Managers rely on their knowledge of the job instead of proper appraisal procedures.
B) There is too much employee input into the development of the appraisal program.
C) The program is usually based on a job analysis rather than a competency analysis.
D) Managers often lack adequate appraisal skills.

Accepted Answer

Managers often lack the skills necessary to conduct effective performance appraisals, leading to inaccurate and inconsistent evaluations. Additionally, without proper training and support, managers may rely on their personal biases and opinions instead of following proper appraisal procedures. Therefore, D is the most typical reason that performance appraisal programs fail.

Question 11

In developing a new performance appraisal system, Organization C made an appraisal plan, decided who would be doing the appraising, how it would be done, and even included appraisal training. Which one of the following is an important step that Organization C missed?
A) clearly communicating in advance the company's plans for employees who do not meet standards.
B) gaining support from top management, which should occur near the beginning of the process
C) informing employees how the process would go to alleviate anxiety
D) examining the performance standards through job analysis

Accepted Answer

Examining the performance standards through job analysis is an important step in developing a new performance appraisal system as it ensures that the appraisal criteria are job-relevant and aligned with the organization's goals and objectives. The other steps mentioned (appraisal plan, appraiser selection, training, communicating consequences, gaining support, and informing employees) are also important, but job analysis is a foundational step that needs to be completed before proceeding with other steps.

Question 12

The strategic relevance of performance appraisals refers to which of the following?
A) the extent to which standards relate to the overall objectives of the organization
B) the extent to which standards capture the entire range of an employee's responsibilities
C) the extent to which individuals tend to maintain a certain level of performance over time
D) the extent to which factors outside the employee's control can influence performance

Accepted Answer

The strategic relevance of performance appraisals refers to how well the performance standards set for employees align with the objectives of the organization. This ensures that performance appraisals are not just focused on individual tasks and responsibilities but are also geared towards achieving the overall objectives of the organization.

Question 13

Which of the following represents why employees are concerned with the fairness of the performance appraisal system?
A) The process is central to many HRM decisions.
B) They usually disagree with their ratings.
C) Their input is what makes it fair.
D) A formal grievance process is required by law.

Accepted Answer

The performance appraisal system is a crucial component of many human resource management (HRM) decisions, such as promotions, bonuses, and training opportunities. Therefore, employees are concerned with its fairness to ensure they are treated equitably and have equal opportunities for advancement.

Question 14

Which of the following is NOT a developmental purpose of performance appraisal?
A) recognizing individual performance
B) validating selection procedures
C) improving communication
D) identifying an individual's strengths and weaknesses

Accepted Answer

Validating selection procedures is not a developmental purpose of performance appraisal. It is a criterion-related purpose, which is used to assess the effectiveness of a selection system in predicting job performance. The other choices are all developmental purposes of performance appraisal.

Question 15

Which of the following is exemplified by a manager rating an employee higher than he or she deserves in order to look good as a manager in the eyes of the manager's own superiors?
A) criterion deficiency
B) organizational politics
C) criterion contamination
D) administrative appraisal purpose

Accepted Answer

This is an example of organizational politics, where the manager prioritizes their own self-interest and reputation over accurately evaluating their employee's performance.

Question 16

Suppose the performance evaluations that delivery drivers receive are partially influenced by the fact that some drivers operate in areas where there are major traffic problems while others operate in areas with few traffic problems. Which of the following would these performance evaluations suffer from?
A) criterion contamination
B) lack of relevance
C) lack of reliability
D) rater bias

Accepted Answer

Criterion contamination is a situation in which the performance evaluation measures things that are not related to the job performance. In this scenario, the performance evaluations are impacted by external factors (traffic problems in specific areas) that are not related to the drivers' job performance. As a result, the evaluations are contaminated and do not accurately reflect the drivers' abilities or performance.

Question 17

Which of the following appraisal sources is most useful when the manager and the employee jointly establish future performance goals for each employee?
A) team appraisal
B) peer appraisal
C) subordinate appraisal
D) self-appraisal

Accepted Answer

Self-appraisal is the most useful when the manager and the employee jointly establish future performance goals for each employee as it allows the employee to reflect on their own strengths and weaknesses, and to set goals for improvement in cooperation with the manager.

Question 18

Self-appraisals are best for which of the following?
A) administrative purposes
B) developmental purposes
C) promotional purposes
D) regulatory purposes

Accepted Answer

Self-appraisals are best for developmental purposes as they allow individuals to reflect on their own strengths and weaknesses and identify areas for improvement. This can help them set goals for personal and professional growth. Self-appraisals are not typically used for administrative, promotional, or regulatory purposes.

Question 19

Suppose the performance appraisals that salespeople receive are based solely on sales revenue to the exclusion of other important factors. Which of the following would these performance evaluations suffer from?
A) criterion contamination
B) lack of reliability
C) criterion deficiency
D) lack of criterion relevance

Accepted Answer

The performance evaluations would suffer from criterion deficiency, which means that important aspects of job performance are not being considered in the evaluation. In this case, factors such as customer satisfaction, quality of customer interactions, and teamwork are not being evaluated, which are all important for sales success.

Question 20

How does the strategic relevance of performance appraisal impact HR managers?
A) It allows them to more clearly justify training expenses.
B) It makes their job easier in that everyone is clear on objectives.
C) It puts the onus on them to establish the strategic relevance of all their HR activities.
D) It makes performance criteria much more useful, not just to HR managers but to the entire organization.

Accepted Answer

The answer of How does the strategic relevance of performance...

Quiz 8: Appraising and Improving Performance

If a performance standard is found to be stable or consistent over time, it is said to be which of the following?

What are performance appraisals most often used for?

Why is performance appraisal important?

How is reliability in performance appraisal measured?

In most instances, who is in the best position to perform the function of appraising an employee's performance?

Which of the following has been shown to be True in court?

A waitress's performance is appraised on the basis of the quality of the food she delivers to the table. What is this an example of?

Which of the following are the two primary purposes of performance appraisals?

Which of the following is a typical reason that performance appraisal programs fail?

In developing a new performance appraisal system, Organization C made an appraisal plan, decided who would be doing the appraising, how it would be done, and even included appraisal training. Which one of the following is an important step that Organization C missed?

The strategic relevance of performance appraisals refers to which of the following?

Which of the following represents why employees are concerned with the fairness of the performance appraisal system?

Which of the following is NOT a developmental purpose of performance appraisal?

Which of the following is exemplified by a manager rating an employee higher than he or she deserves in order to look good as a manager in the eyes of the manager's own superiors?

Which of the following appraisal sources is most useful when the manager and the employee jointly establish future performance goals for each employee?

Self-appraisals are best for which of the following?

Suppose the performance appraisals that salespeople receive are based solely on sales revenue to the exclusion of other important factors. Which of the following would these performance evaluations suffer from?

How does the strategic relevance of performance appraisal impact HR managers?