ch.7

Question 1

What is Workplace Performance?

Answer 1

Observable behavior that contributes to the accomplishment of an
organization’s goal

Question 2

What is Performance management?

Answer 2

Process of ensuring that employees’ activities and outputs contribute to the organisation’s goals.

Question 3

What are the 3 purposes of performance management?

Answer 3

strategic, administrative, developmental

Question 4

Describe the strategic purpose of performance management

Answer 4

Helps organization achieve strategic objectives
* Links employees’ behaviour with the
organization’s goals

Question 5

Describe the administrative purpose of performance management

Answer 5

Provides information for day-to-day decisions
e.g. salary and recognition
* Supports hiring decisions
ex: when to give someone a pay raise or promotion.

Question 6

Describe the developmental purpose of performance management

Answer 6

Basis for developing employees
* Builds awareness of strengths and areas for
improvement
recognizes achievement

Question 7

What is the criteria for effective performance management

Answer 7

1. Strategic Congruence - elicits job performance that is
   consistent with the company’s strategy, goals and culture
2. Validity - assesses all of the relevant – and only the
   relevant – aspects of job performance
3. Reliability - is free from random error
4. Acceptability - The extent to which a performance
   measure is deemed to be satisfactory or adequate to
   those who use it.
5. Specificity - gives detailed guidance to employees about
   what is expected of them and how they can meet these
   expectations

Question 8

what are the six steps in the performance management process

Answer 8

strep 1: define performance outcomes for company, division, and department
Step 2: develop employee goals, behaviour, and actions to achieve outcomes
Step 3: Provide support and ongoing performance discussions
Step 4: Evaluate performance
Step 5: Identify improvements needed
Step 6: Provide consequences for performance results.

Question 9

Explain step 1 and step 2 of the six steps

Answer 9

identifying what the company is trying to accomplish( its goals or objectives) and developing employee goals and actions to achieve these outcomes. The goals, behaviours, and activities should be measurable and become part of the employee’s job description.

Question 10

Explain step 3 the performance management process

Answer 10

providing employees with training, necessary resources and tools, and ongoing feedback between the employee and manager that focuses on accomplishments as well as issues and challenges that influence performance.

Question 11

Explain step 4 the performance management process

Answer 11

evaluating performance that is, when the manager and employee discuss and compare targeted goals and supporting behaviour with actual results.

Question 12

Explain step 5 the performance management process

Answer 12

involves both the employee and manager identifying what the employee can do to capitalise on performance strengths and address gaps.

Question 13

Explain step 6 the performance management process

Answer 13

provides consequences for achieving( or failing to achieve) performance outcomes, for example, pay increases, bonuses, or action plans.

Question 14

What is the criteria for effective performance management

Answer 14

1. Strategic Congruence
2. Validity
3. Reliability
4. Acceptability
5. Specificity

Question 15

Explain strategic congruence

Answer 15

Strategic Congruence - elicits job performance that is
consistent with the company’s strategy, goals and culture
ex: if a company implements and emphasises good teamwork, then its performance management system should reflect and promote good teamwork

ex: a ranking system was used to evaluate job performance. It was detrimental, it inhibited innovation. Eventually, Microsoft abandoned the ranking system

Question 16

Explain validity

Answer 16

assesses all of the relevant – and only the
relevant – aspects of job performance

• criteria deficiency
• criteria contamination

Question 17

Explain criteria deficiency

Answer 17

• performance standards fail to capture the whole range of the employee’s job. Some aspects of employees responsibilities or tasks were not being assessed.
• Ex: a clerk in retailer is evaluated on sales revenue and not on customer service

Question 18

Explain criteria contamination

Answer 18

• when a criteria used is influenced by other factors that are not part of the performance. Factors that are outside of employee’s control
• Ex: person working on retail. The stores may have less or more traffic. Or there are more or less competitors in this area. This affect the revenue of goods sold.

Question 19

Explain reliability

Answer 19

should be free from random error and should be consistent across radars and time

Question 20

Explain acceptability

Answer 20

The extent to which a performance measure is deemed to be satisfactory or adequate to those who use it.
Ex: ranking employee performance has been criticized bc it is too rigid and too time consuming. People do not accept it. It does not work

Question 21

Explain specificity

Answer 21

gives detailed guidance to employees about
what is expected of them and how they can meet these
expectations

Question 22

What are the 4 approaches to measuring performance

Answer 22

1. Comparative
2. Attributive
3. Behavioural
4. Results

Question 23

Explain the comparative approach to measuring performance

Answer 23

The Comparative Approach requires the rater to compare an
individual’s performance to that of others.
Different methods include:
* Ranking including simple ranking or alternation ranking
* Forced distribution method
* Paired comparison method

Question 24

Explain forced distribution

Answer 24

Raters (managers) must assign a certain % of employees into
categories
Example:
High performers – 20%
* performance rewards, developmental opportunities
Middle performers – 70%
* feedback to become high performer
Low performers – 10%
* feedback, specific improvement goals; termination

Question 25

What are the advantages and disadvantages of forced distribution

Answer 25

Potential Benefits * Avoids problem of inflated ratings * Fosters performance-oriented culture * Identifies high-potential employees * Increase in organizational performance - poor performers improve or are let go * Potential Disadvantages * % may not represent actual distribution of performance * May over-reward some and punish others * Could result in competitive, fearful culture

Question 26

Explain the attributive approach to measuring performance

Answer 26

Attributive Approach - extent to which person possesses attributes that contribute to job / organizational success Most widely used method is the graphic (points) rating scale managers consider one employee at a time, independent of others. managers consider one employee at a time, independent of others.

Question 27

Limitation so f attributes/ traits

Answer 27

Measurement of attributes may not be clearly linked to the organization’s strategy. * Subjective – may mean different things to different people. Dependability may mean come to work on time, but to others it may mean working late when you are asked to.

Question 28

Explain the behavioural approach to measuring performance

Answer 28

Behavioural Approach – attempts to define the behaviours an employee must exhibit to be effective in the job Examples include: * Critical Incidents * Behaviourally-Anchored Rating Scales (BARS) Behavioural Observation Scale (BOS)

Question 29

Explain critical incidents from the behavioural approach

Answer 29

managers recording specific examples of employee behaviour that are either effective or ineffective. Key tasks of the job.

Question 30

Explain Behavioural-Anchored Rating Scales(BARS) from behavioural approach

Answer 30

multiple behaviours that may be needed in order to complete key tasks or demonstrate a certain attribute. Method of performance measurement that rates behaviour in terms of a scale showing specific statements of behaviour that describe different levels of performance.

Question 31

Behavioural Observation Scale (BOS)

Answer 31

Problem: Must be present in every case to observe the behaviour. You as the manager should maintain a log(diary) of critical incidents that you have seen

Question 32

Explain the results approach

Answer 32

Results Approach - focus on what is accomplished / produced. Measurable, “objective” results of one’s work. The purpose is to reduce subjectivity * Management by objectives (MBO) – goals/targets become performance standard * E.g., * Output - $ sales, units sold * Quality – # of complaints, errors, commendations Limitation: Results may be affected by factors outside of employees control

Question 33

What should actually be measured in Performance approach?

Answer 33

Behaviour & Results 1. Behaviour * Because it is what the person does * Provides basis for feedback 2. Results * Because they represent the outcomes 3. Context * To diagnose if results were actually due to behaviour

Question 34

Multisource- 360 degree feedback

Answer 34

includes the employee’s self-assessment. Help generate self-awareness and insight about one’s performance.

Question 35

What are the guidelines for providing performance feedback?

Answer 35

1. Should occur frequently – not once/year 2. Choose neutral and private venue 3. Encourage subordinate response to evaluation * Hear their side of story 4. Praise good performance; discuss poor performance 5. Focus feedback on behaviors (results), not on the person 6. Take a problem-solving approach; agree on specific goals & followup

Question 36

Factors to consider when conducting a performance analysis ( to diagnose the causes of poor performance)

Answer 36

: 1. Input 2. Employee Characteristics 3. Feedback 4. Performance Standard/Goals 5. Consequences

Question 37

What is employee discipline

Answer 37

Discipline involves training/feedback that enforces organizational rules Preventive Discipline * Action taken prior to an infraction to encourage employee to follow the rules – e.g, communicate expectations * Goal is to facilitate self-discipline Corrective Discipline * Action that follows a rule infraction and seeks to discourage further infractions - & deter others

Question 38

Explain progressive discipline

Answer 38

Type of corrective discipline ⁃ Small penalty with 1st violation; stronger penalties if violation occurs again * Goal is to provide opportunity for corrective action Examples: * Verbal warning / reprimand * Written reprimand (goes on file) * Stronger penalties – e.g., suspension * … Up to and including termination ⁃ But, serious misconduct may be grounds for immediate termination

Question 39

What are the 4 considerations regarding discipline

Answer 39

- government legislation - collective bargaining agreement - due process- procedural justice/ fairness - hot-stove rule

Question 40

Give an example of government legislation

Answer 40

* E.g., can’t discipline a worker who is asserting rights protected by law - be part of union - employee has the right to refuse unsafe work

Question 41

collective bargaining agreement within the considerations regarding discipline

Answer 41

Whatever has been agreed to in that agreement, needs to be followed.

Question 42

Due process – procedural justice/fairness

Answer 42

How is discipline done? * E.g., allow for employee to respond to charges

Question 43

Hot-stove rule

Answer 43

* Warning/predictable, immediate, consistent, impersonal discipline has to be fair and consistent - when you touch a hot stove, you will be burnt. (metaphor) - you get burned every time you touch a stove.

Question 44

Explain conditions of employee dismissal

Answer 44

Employer may terminate nonunion employee at any time if “just cause” exists * In unionized environments - collective agreement may contain provisions regarding ground and process for termination In absence of just cause, there must be “reasonable notice” or compensation in lieu of notice

Question 45

What is just cause?

Answer 45

Dismissal that is warranted by employee behavior * Behaviour that may undermine the operation or reputation of the organization * i.e., employer has legally defensible reason to terminate without notice or pay in lieu of notice ⁃ Burden is on employer to demonstrate just cause ⁃ Economic factors do not constitute just cause

Question 46

What are the 4 types of Just Cause

Answer 46

1. Serious misconduct * Theft, assault, harassment, intoxication, etc. 2. Willful disobedience of reasonable order * Insubordination 3. Conflict of Interest * When employee has multiple interests that may  bias * Activities that compromise or compete with employer’s business interests 4. Poor performance (incompetent work) * Employer must demonstrate that goal was performance improvement

Question 47

Requirements regarding dismissal for poor performance ( what you need to do when you see poor performance) Need to go through these steps to be able to get to termination

Answer 47

1. Reasonable& objective performance standards 2. Document employee's failure to meet performance standard 3. Evidence of warnings 4. Show that employee was given time, training 5. Document continued failure to meet standard

Question 48

What is wrongful dismissal

Answer 48

- Without just cause, OR ⁃ Without reasonable notice, OR ⁃ Without compensation in lieu of notice

Question 49

What is reasonable notice?

Answer 49

Period of time employee is entitled to before having employment / pay terminated – when there is no just cause ⁃ Purpose – to provide time for employee to find employment ⁃ Can be time or pay in lieu of notice ⁃ Statutory minimum (from ESA) * 1 week per year of service

Question 50

When should reasonable notice give more time?

Answer 50

- worker is older, has more seniority - higher level job - unfavourable labour market

Question 51

Pay in liu of notice and severance pay are the same T or F

Answer 51

false

Question 52

What is severance pay

Answer 52

Compensation given for loss of seniority and job-related benefits, when employer ends employment of long-term employee * Different than pay in lieu of notice – which focuses on time to find new employment Who qualifies for severance pay? * In Ontario – according to ESA * Employed with employer for 5+ years * Employer has payroll of > 2.5 million

Question 53

Severance pay not required if

Answer 53

* Employee refuses offer of “reasonable alternative employment” * Employment ends because of misconduct * Employment ends but employee retires on full pension * SEA for other unique exceptions

Question 54

How to calculate severance pay

Answer 54

Severance = pay for regular week of work X # of years employment ⁃ ESA max = 26 weeks of pay

Question 55

Explain Wallace Effect -set precedent

Answer 55

⁃ Wallace v. United Grain Growers (1997) * Wallace recruited from competitor and promised job security until retirement * Performed well for years – considered top salesperson * Then… was abruptly terminated w/o explanation * Employee alleged it was “for cause” * Later informed:due to “inability to perform duties satisfactorily.” ⁃ Wallace v. United Grain Growers (1997) * Supreme court added 9 months to the notice award of 15 months because because employer acted in “bad faith” in terminating Wallace

Question 56

To be awarded “Wallace” damages, employee must show that

Answer 56

vindictive, malicious * And employee suffered damages or emotional upset as a result

Question 57

What is constructive dismissal

Answer 57

Is a form of “wrongful dismissal” that is not dismissal, per se ⁃ Employer makes a significant change to a fundamental term of employment without employee’s actual or implied consent, for examples * Pay cuts * Reduced hours of work * Demotion – reduced authority/status of position * Forced relocation

Question 58

What should an employee do when victim of constructive dismissal

Answer 58

⁃ Employee should resign soon after change (under 3 months) * AKA “Disguised dismissal”; “quitting with cause” * As if employee is forced to quit * By not resigning, the employee indicates his/her acceptance of the new employment conditions ⁃ If agreed to, it’s not constructive dismissal * Must be unilateral to be CD

Question 59

Explain David Matthews v. Ocean Nutrition Canada Ltd. case

Answer 59

⁃ David Matthews, hired in 1997, was a food scientist and chemist ⁃ Eventually became a VP and signed incentive plan that guaranteed certain % if Ocean Nutrition was to be sold one day ⁃ Same year signed plan, company hired new COO, Daniel Emond ⁃ Emond did not like Matthews and did everything in his power to drive Matthews out of the company including demoting him and cutting his work ⁃ Eventually, Matthews had no choice but to resign ⁃ Matthews sued Ocean Nutrition for constructive dismissal ⁃ And for the lost income from the sale of the company ⁃ Initially awarded damages amounting to more than $1 million but Court of Appeal overturned the damages ⁃ Matthews took case to Supreme Court and in October 2020, Supreme Court “set aside the Appeal Court ruling and restored” the initial ruling including damages.

Question 60

Considerations when firing employees Where, when how and what else

Answer 60

Where? * Neutral location – HR department; conference room When? * Avoid Fridays * Because employment, health service unavailable on weekends How? * Compassion – how would I like to be treated? * Be clear, honest, and tactful * Prepare, rehearse, discuss with Get to the point early in meeting What else? * Have necessary information ready * Including severance pay, benefits * How you will handle inquiries from future employees * Escort / Security? * Arrange transportation home * Notify other staff