HR 8 Flashcards
(17 cards)
What is performance management?
It’s a process where managers ensure employee goals match company goals. It includes setting goals, appraising performance, and giving feedback.
What is a performance appraisal?
A formal process to evaluate how well an employee is doing their job.
What is performance feedback?
Sharing the results of performance appraisals with employees to help them improve.
What are the 3 purposes of performance appraisals?
Strategic – Align employee work with company goals
Administrative – Used for promotions, raises, or layoffs
Developmental – Helps employees grow or fix problems
What is the 360-degree appraisal?
Feedback from many sources (manager, peers, subordinates, customers) to get a full view of employee performance.
Name 2 common performance appraisal methods.
Forced distribution – Employees placed in ranking groups (top, middle, bottom)
Graphic rating scale – Rating employees on traits like communication or quality
What are trait methods and comparative methods?
Trait methods: Rate personal qualities; easy but not linked to goals
Comparative methods: Compare employees; useful for raises but not for feedback
What is a contrast error?
When employees are compared to each other instead of a performance standard.
What is a leniency error?
Giving everyone high ratings, no matter their actual performance.
What is a strictness error?
Giving everyone low ratings, regardless of performance.
What is a central tendency error?
Giving everyone average ratings, even if they don’t deserve it.
What is the halo effect in appraisals?
Rating someone high in all areas because they’re good in one area.
What is the horns effect in appraisals?
Rating someone low in all areas because they’re weak in one area.
How can managers reduce rating errors?
Rater error training – Learn to spot and avoid common mistakes
Calibration meetings – Managers discuss and compare ratings together
What makes performance feedback effective?
Frequent, honest, goal-focused conversations with praise and problem-solving — not just once a year.
What is ‘reinventing’ performance management (e.g. Deloitte)?
Moving away from yearly reviews to regular, real-time conversations with less focus on formal ratings.
What are 3 types of errors that give ratings ( High , average , low ) ?
=> Leniency error : High ratings
=> Central tendency error : Average ratings
=> Stricness error : low ratings
