Human Resource Management- Chapter 8- Performance Management and Appraisal

Employee Engagement

Level of commitment workers make to their employer, seen in their willingness to stay at the firm and go beyond the call of duty.

Performance Management

Goal-oriented process directed toward ensuring that organizational processes are in place to maximize the productivity of employees, teams, and ultimately, the organization.

Performance Appraisal

Formal system of review and evaluation of individual or team task performance.

Competencies

Broad range of knowledge, skills, traits, and behaviors that may be technical in nature, relate to interpersonal skills or are business-oriented.

360-degree feedback evaluation method

popular performance appraisal method that involves evaluation input from multiple levels within the firm as well as external sources

Rating Scales method

performance appraisal method that rates employees according to defined factors

Critical incident method

performance appraisal method that requires keeping written records of highly favorable and unfavorable employee work actions

Essay method

performance appraisal method where rater writes brief narrative describing employee's performance

Work Standards method

performance appraisal method that compares each employee's performance to a predetermined standard or expected level of output

Ranking method

performance appraisal method where rater ranks all employees from a group in order of overall performance

Forced Distribution method

Performance appraisal method which the rater is required to assign individual in a work group to a limited number of categories, similar to a normal frequency distribution.

Behaviorally Anchored Rating Scale Method

performance appraisal method that combines elements of the traditional rating scale and critical incident methods; various performance levels are shown along a scale with each described in terms of an employee's specific job behavior

Results-based system

performance appraisal method in which the manager and subordinate jointly agree on objectives for the next appraisal period; in the past a form of "management by objectives

Halo Error

evaluation error that occurs when a manager generalizes one positive performance feature or incident to all aspects of employee performance, resulting in a higher rating

Horn Error

evaluation error that occurs when a manager generalizes one negative performance feature or incident to all aspects of employee performance, resulting in a lower rating

Leniency

Giving an underserved high performance appraisal rating to an employee.

Strictness

Being unduly critical of an employees work performance.

Central Tendency error

evaluation appraisal error that occurs when employees are incorrectly rated near the average or middle of a scale.