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Human Resource Management 11th

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Human Resource Management, 11e (Noe)
Chapter 8 Performance Management

1) Visible support of the performance management process by the CEO and senior management
ensures that the system is consistently used across the company.

2) The initial steps of the performance management cycle involve an employee and a manager
identifying what the employee can do to capitalize on performance strengths.

3) A performance management system should link employee activities with an organization's


goals.

4) Validity is the consistency of a performance measure.

5) The extent to which a performance measure is deemed to be satisfactory or adequate by those


who use it is known as its reliability.

6) Desiree and Jack were sharing their thoughts on the upcoming performance reviews. Desiree
shares that she feels the system is fair. She has accepted the performance management system.

7) Scott has ranked his employees from the highest performer to the lowest performer
demonstrating his understanding of alternation ranking.

8) Since Jose has started using the comparative approach, he has increased his leniency with some
employees and become stricter with others. He is using the comparative approach correctly.

9) Quality-based performance methods are quite easy to develop and are generalizable across a
variety of jobs, strategies, and organizations.

10) Attribute-based performance methods have strong congruence between the techniques and the
company's strategy.

11) A behaviorally anchored rating scale is designed to specifically define performance


dimensions by developing behavioral anchors associated with different levels of performance.

12) An advantage of behaviorally anchored rating scales is an increased interrater reliability.

13) Thinking strategically, motivating others, and fostering teamwork are all competencies.

14) Result-based approaches to performance measurement assume that subjectivity can be


eliminated from the measurement process.

15) Productivity measurement and evaluation system (ProMES) is designed to specifically define
performance dimensions by developing behavioral anchors associated with different levels of
performance.

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16) One of the advantages of the results approach to performance measurement is that it
disassociates an individual's results from the organization's strategies and goals.

17) The assumption of Pareto analysis is that the majority of problems are the result of a small
number of causes.

18) The quality approach relies primarily on a combination of the attribute and results approaches
to performance measurement.

19) When evaluating employees, the most frequently used source is the manager of the unit.

20) Sanjeev looks forward to completing his self-rating. He always gives himself a high rating
showing that the company will be lost without him. He does not know that the self-rating is used
for administrative purposes only.

21) The major advantage of the 360-degree appraisal technique is that it provides a means for
minimizing bias in an otherwise subjective evaluation technique.

22) Older employees tend to have more confidence in the fairness of social performance
management than younger employees do.

23) Marian is worried that her unit will be the lowest performing unit again this year and she might
lose her job. She looks at each person's evaluation and gives them an increase by an entire
percentage point raising the overall total of her unit. Marian is engaged in appraisal politics.

24) Once the expected performance has been defined and employees' performances have been
measured, it is necessary to feed that performance information back to the employees so that they
can correct any deficiencies.

25) Output is a factor to be considered in analyzing poor performance.

26) ________ is the means through which managers ensure that employees' activities and outputs
are congruent with the organization's goals.
A) Performance standardization
B) Performance budgeting
C) Performance management
D) Performance indicator
E) Performance dampener

27) The process through which an organization gets information on how closely an employee's
actual performance meets his or her performance plan is known as
A) performance appraisal.
B) job analysis.
C) performance feedback.
D) ability analysis.
E) achievement discrepancy.

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28) Tami meets with each employee to go over their performance review. She knows that
________ is important if she wants the employees to improve.
A) performance appraisal
B) achievement discrepancy
C) job rotation
D) ability analysis
E) performance feedback

29) Olivia is writing her goals for her team for the next year. She looks back over the goals from
the last year and the company's goals for this year to craft the goals. This first step of performance
management is
A) developing employee goals, behavior, and actions to achieve outcomes.
B) identifying performance outcomes for company divisions and departments.
C) providing consequences for performance results.
D) identifying the improvements needed.
E) providing support and ongoing performance discussions.

30) Rick is the vice president of the human resources team. He designs a new performance
management process. He completes the first step and moves on to the next step of developing
employee goals and actions to achieve the outcomes. Which of the following is he likely to do next
to create an effective performance management process?
A) He will define performance outcomes for divisions and departments.
B) He will evaluate performance.
C) He will identify improvements needed.
D) He will provide support and ongoing performance discussions.
E) He will provide consequences for performance results.

31) Which of the following is an example of using performance management to fulfill an


administrative purpose?
A) Define the results, behaviors, and, to some extent, employee characteristics that are necessary.
B) Develop employees who are effective at their jobs.
C) Use performance appraisal to make decisions such as pay raises, promotions,
retention-termination, layoffs, and recognition of individual performance.
D) Identify employees' strengths and weaknesses and link employees to appropriate training and
development activities.
E) Confront employees with their performance weaknesses.

32) As the CEO of Blue Corp., Terrell makes it a point to meet new hires at all levels of his
organization. He explains the goals of the company and emphasizes the importance of an
individual employee's role in the larger picture. This initiative of Terrell focuses on the ________
of performance management.
A) strategic purpose
B) administrative purpose
C) developmental purpose
D) statistical purpose
E) validity purpose

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33) ________ is the extent to which the performance management system elicits job performance
that is consistent with an organization's strategy, goals, and culture.
A) Specificity
B) Reliability
C) Validity
D) Strategic congruence
E) Acceptability

34) Globo Analytics Inc., a data analysis company, has modified its performance management
system. Apart from training employees on their specific tasks, the trainers and managers help the
employees become more aware of the overall goals of the company and how their individual
performances influence the broader goals of the company. As a result of this, employees'
performances have become more consistent with the organization's strategies, goals, and culture.
This initiative of Globo focuses on the ________ criterion of performance management.
A) consistency
B) strategic congruence
C) social
D) acceptability
E) risk avoidance

35) Prometheus Corp. is a large-scale manufacturer of consumer electronic gadgets. As part of its
performance management system, Prometheus measures the amount each employee contributes to
the profits of the company, and the employees are either held accountable or rewarded based on
their contributions. With regard to performance measurement, under which of the following would
contribution to profits be categorized?
A) Key risk indicators (KRIs)
B) Critical success factors (CSFs)
C) Non-performing assets (NPAs)
D) Key performance indicators (KPIs)
E) Behavioral Observation Scales (BOSs)

36) Which performance management evaluation criterion reflects the extent to which a
performance measure assesses all the relevant—and only the relevant—aspects of performance?
A) Reliability
B) Strategic congruence
C) Acceptability
D) Specificity
E) Validity

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37) Whittaker Publishing Corp. is a publishing company that wants to hire more technical experts
to handle the software requirements in the publishing process. However, the test given to the
programmers assesses not only their technical knowledge but also their communication skills,
language abilities, and understanding of client services. The test conducted by Whittaker
Publishing Corp. is
A) high on reliability.
B) low on strategic congruence.
C) high on specificity.
D) high on acceptability.
E) low on validity.

38) A performance measure is said to be contaminated when


A) it does not measure all aspects of performance.
B) it evaluates irrelevant aspects of performance.
C) it is a subjective supervisory measure of job performance.
D) it is not reliable over time.
E) the overlap between actual job performance and the measure of job performance is maximized.

39) A software company assesses its developers more on their client support skills than their
development skills. Which of the following would best describe the software company's
performance management process?
A) Deficient
B) Contaminated
C) Unreliable
D) Inconsistent
E) Unspecified

40) Elle Inc. is a firm that holds frequent reviews and feedback sessions for its employees. It
demands that the same person review the employees of a team to ensure that the performance
evaluation is consistent; tests-retests are conducted periodically to make sure the evaluation is
consistent. These two steps taken by Elle Inc. focus on the ________ of performance management.
A) reliability
B) strategic congruence
C) specificity
D) acceptability
E) validity

41) Barrett and Lynn both rated the employees on the sales team. If their ratings are consistent then
they have ________ reliability.
A) internal consistency
B) interrater
C) inter-method
D) test-retest
E) parallel-forms

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42) A measure that results in drastically different ratings over time lacks ________ reliability.
A) internal consistency
B) interrater
C) parallel-forms
D) test-retest
E) inter-method

43) Which of the following statements best defines the acceptability of a performance measure?
A) It is the extent to which the performance management system elicits job performance that is
consistent with the organization's strategy, goals, and culture.
B) It is the extent to which a performance measure gives detailed guidance to employees about
what is expected of them and in what ways they are unsuitable for the job.
C) It is the extent to which a performance measure assesses all the relevant—and only the
relevant—aspects of job performance.
D) It is the extent to which a performance measure is free from random error.
E) It is the extent to which a performance measure is deemed to be satisfactory or adequate by
those who use it.

44) The extent to which a performance measure gives guidance to employees about what is
expected of them is called
A) reliability.
B) validity.
C) specificity.
D) acceptability.
E) strategic congruence.

45) Which of the following approaches to measuring performance uses some overall assessment of
an individual's performance or worth and seeks to develop a ranking of the individuals within a
work group?
A) The results approach
B) The attribute approach
C) The comparative approach
D) The consequential approach
E) The behavioral approach

46) Darla is planning to rank her employees again this year. She has put Aaliyah at the top of the
list and then proceeds to cross her off. Which comparative approach is she using?
A) Simple ranking
B) Alternation ranking
C) Reverse ranking
D) Elimination by aspect
E) Forced distribution

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47) Every year managers are given targets for categorizing their employees' performance at the
end of the year. The managers are allowed 5 percent at the top, 80 percent in the middle and then
15 percent at the bottom. This company is using
A) forced distribution.
B) the high/low ranking system.
C) paired comparison.
D) alternation ranking.
E) simple ranking.

48) The ________ method requires managers to compare every employee with every other
employee in a work group, giving an employee a score of 1 every time he or she is considered the
higher performer.
A) partner measurement
B) probability distribution
C) forced distribution
D) paired comparison
E) alternation ranking

49) Jian is a manager at Zobos Corp. He needs to perform an evaluation of his subordinates. He
does this by pairing each of his subordinates with every other subordinate in the same group, then
selects the higher performer between the two. At the end of the process, he calculates the number
of times a subordinate has been the higher performer in a match-up. Which type of performance
management system does Jian employ to perform the evaluation?
A) Probability distribution
B) Simple ranking
C) Forced distribution
D) Paired comparison
E) Scanlon plans

50) Roundel Inc. is a company that sells automobile tires. The company is projecting an increase in
sales in the next 12 months and is looking to fill the senior positions through internal recruiting to
meet this demand. The company is evaluating the individual performances and seeking to develop
some ranking of the individuals within a work group to identify the best performer. Which of the
following approaches is the company using?
A) The results approach
B) The attribute approach
C) The comparative approach
D) The behavioral approach
E) The quality approach

51) The ________ approach to performance management focuses on the extent to which
individuals have certain characteristics or traits believed desirable for the company's success.
A) results
B) quality
C) behavioral
D) comparative
E) attribute
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52) Which of the following attribute approaches to performance management is most commonly
used?
A) Behaviorally anchored rating scales
B) Mixed standard scales
C) Behavior observation scales
D) Graphic rating scales
E) Simple ranking scales

53) Teknikal Inc. decides to implement a new performance management system. It consists of a
list of five traits used to evaluate all the employees. The manager considers one employee at a time
and, on a continuum with different points, circles the number that signifies how much of a
particular trait the individual has. Which type of performance management system is Teknikal Inc.
using?
A) Probability distribution
B) Simple ranking
C) Forced distribution
D) Paired comparison
E) Graphic rating scale

54) In the graphic rating scale, the rater


A) defines performance dimensions by developing behavioral anchors associated with different
levels of performance.
B) defines the relevant performance dimensions and then develops statements representing good,
average, and poor performances along each dimension.
C) considers one employee at a time, circling the number that signifies how much of that trait the
individual has.
D) identifies and describes competencies that are common for an entire occupation, organization,
or job family or for a specific job.
E) compares every employee with every other employee in the work group, giving an employee a
score of 1 every time he or she is considered the higher performer.

55) In which performance technique are managers given three statements of performance per
dimension and asked to indicate whether an employee's performance is above (+), at (0), or below
(−) the statements?
A) Behaviorally anchored rating scale
B) Forced distribution scale
C) Behavior observation scale
D) Graphic rating scale
E) Mixed-standard scale

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56) Which of the following is true regarding the attribute approach to performance management?
A) There is usually a high congruence between the techniques used in this approach and the
company's strategy.
B) The methods usually have clearer performance standards due to which different raters provide
similar ratings and rankings.
C) It is easy to develop and is generalizable across organizations and strategies.
D) It provides specific guidance and feedback to employees.
E) The ratings from this approach are easily accepted by employees during feedback.

57) Bridget has an employee who is struggling with meeting quotas and attendance. You offer her
advice by telling her to not use the ________ as it will not provide guidance on improving
employee behavior.
A) quality approach
B) comparative approach
C) behavioral approach
D) attribute approach
E) results approach

58) Which performance management technique initially involves the identification of a large
number of critical incidents, followed by the classification of these incidents into performance
dimensions, and finally ranking these incidents into levels of performance?
A) Behaviorally anchored rating scale
B) Graphic rating scale
C) Comparative rating scale
D) Organizational behavior modification
E) A competency model

59) Zoe would like to terminate an employee. She claims that the employee is always on her cell
phone and not focusing on her work. You recommend she use a ________ to track the frequency of
the behavior, so she can share that information with the employee.
A) simple ranking method
B) behavioral observation scale
C) graphic rating scale
D) organizational behavior modification method
E) forced distribution scale

60) Which of the following is true regarding behavioral approaches to performance measurement?
A) They link the company's strategy to the specific behavior necessary to implement that strategy.
B) They adopt a very subjective approach to evaluating human behavior at the workplace.
C) They result in techniques that have a low degree of validity and acceptability.
D) They assume that there are multiple best ways to do the job.
E) Despite substantial investments in training, the techniques are not strong enough to be reliable.

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61) The ________ approach assumes that subjectivity can be eliminated from the measurement
process and that outcomes are the closest indicators of one's contribution to organizational
effectiveness.
A) behavior
B) results
C) attribute
D) quality
E) comparative

62) Which of the following is a means of measuring and feeding back productivity information to
personnel with the main goal of motivating employees to higher levels of productivity?
A) Projective tests
B) Productivity Measurement and Evaluation System
C) Assessment centers
D) Critical incidents
E) Multicriteria decision analysis

63) Which of the following is the first step in the Productivity Measurement and Evaluation
System (ProMES)?
A) The staff defines indicators of the products to measure how well the products are being
generated.
B) The management develops a feedback system that provides employees and work groups with
information about their specific level of performance.
C) People in the organization identify the set of activities or objectives the organization expects to
accomplish.
D) The employee and manager identify what the employee can do to capitalize on performance
strengths.
E) The staff establishes the contingencies between the amount of the indicators and the level of
evaluation associated with that amount.

64) Which of the following is true about the results approach to performance management?
A) The results approach relies primarily on a combination of the attribute and results approaches to
performance measurement.
B) The results approach virtually eliminates problems of leniency, central tendency, and strictness.
C) The techniques of the results approach usually have very little congruence with the company's
strategy.
D) The results approach is usually highly unacceptable to both managers and employees.
E) The results approach minimizes subjectivity, relying on objective, quantifiable indicators of
performance.

65) A performance management system designed with a strong quality orientation can be expected
to
A) emphasize an assessment of system factors, but not person factors, in the measurement system.
B) emphasize managers and employees working separately to solve performance problems.
C) involve only the external customers in setting standards and measuring performances.
D) use multiple sources to evaluate person and system factors.
E) emphasize an assessment of person factors, but not system factors, in the measurement system.
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66) ________ consists of practices participated in by employees from all levels of the company
that focus on continuous improvement of business processes.
A) Quality circle
B) Muda
C) Kaizen
D) Root cause analysis
E) Business process reengineering

67) Which of the following statistical process quality control techniques help identify the
redundancies in procedures that increase manufacturing or service time?
A) Cause-and-effect diagrams
B) Control charts
C) Pareto charts
D) Process-flow analyses
E) Histograms

68) A ________ is a quality control technique that lists the causes of a problem in decreasing order
of importance.
A) cause-and-effect diagram
B) control chart
C) Pareto chart
D) process-flow analysis
E) histogram

69) La'Keisha wants to understand data that HR has given her. She plots the points and evaluates
the variance between the outcomes and the expected value. She most likely creates a
A) control chart.
B) histogram.
C) cause-and-effect diagram.
D) process-flow analysis.
E) Pareto chart.

70) Which of the following observations is true about scattergrams?


A) They help in identifying the most important cause of a problem.
B) They are useful for understanding the amount of variance between an outcome and the expected
value or average outcome.
C) They help employees determine whether the relationship between two variables or events is
positive, negative, or zero.
D) They assume that the majority of problems are the result of a small number of causes.
E) They are useful for identifying redundancy in processes that increases manufacturing or service
time.

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71) Which of the following is true about the quality approach to performance measurement?
A) The quality approach techniques usually have very little strategic congruence.
B) The quality approach has very low acceptability.
C) The quality approach does not advocate the evaluation of personal traits.
D) The quality approach adopts a systems-oriented focus.
E) The quality approach relies primarily on a combination of the comparative and results
approaches to performance measurement.

72) Both the comparative and the attribute approaches to performance measurement are
A) high on strategic congruence.
B) very low on specificity.
C) low on acceptability.
D) high on reliability.
E) very high on validity.

73) Which of the following approaches to performance measurement minimizes contamination


and deficiency?
A) The comparative approach
B) The attribute approach
C) The behavioral approach
D) The results approach
E) The quality approach

74) When gathering information on performance, HR relies on ________ more frequently than
any other group, because they will have the most accurate information.
A) peers
B) managers
C) subordinates
D) employees themselves
E) customers

75) Which of the following is true of peers as the source of performance information?
A) Peers have expert knowledge of job requirements and often have the most opportunity to
observe an employee in day-to-day activities.
B) Peer evaluations give employees power over their managers, thus putting managers in a
difficult situation.
C) Peers are comfortable providing evaluations for both administrative and developmental
purposes.
D) Peers have the ability to discard the fact that they may be friends with the ratee in order to
provide an unbiased rating.
E) Peers give feedback that is strongly related to performance and to employee perceptions of the
accuracy of the appraisal.

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76) Appraisals that involve collecting subordinates' evaluations of a manager's behavior or skills
are known as
A) 360-degree feedback.
B) screening interviews.
C) peer review.
D) social performance.
E) upward feedback.

77) As a new strategy this year, HighLo Company is having its managers evaluated by the
members of their teams. This decision was made to give employees an opportunity to
anonymously share information about how they are being managed. HighLo most likely has not
considered that this type of performance evaluation has which disadvantage?
A) Subordinates tend to focus only on aspects of their manager's performance that are measured,
neglecting those that are not.
B) Subordinates do not have adequate opportunity to observe a manager's interactions and
behavior.
C) Friendship has the potential to bias ratings.
D) Subordinates have power over their managers, thus putting the managers in a difficult situation.
E) Subordinates find the situation of being both rater and ratee uncomfortable when the
evaluations are made for administrative decisions.

78) The ________ technique consists of having multiple raters above, equal to, and below the
manager providing input into a manager's evaluation.
A) gamification
B) background check
C) 360-degree appraisal
D) upward feedback
E) performance appraisal

79) At BayPoint Strategies, employees can work on several projects over the course of a year,
reporting to different managers and interacting with a variety of team members. Which of the
following approaches would be most effective and efficient in assessing employee performance at
this consulting firm?
A) Upward feedback
B) Social performance management
C) Productivity Measurement and Evaluation System
D) 360-degree appraisal
E) Paired comparison method

80) A competent employee receives lower-than-deserved ratings because of a few outstanding


colleagues who set very high performance standards. This is an example of a ________ rater error.
A) contrast
B) distributional
C) halo
D) similar to me
E) horns

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81) Harriet wants all of her team members to receive a raise, so she gives them all a high rating.
Which of the following errors is she falling prey to?
A) Halo
B) Contrast
C) Central tendency
D) Leniency
E) Similar to me

82) A ________ rater error is one in which a rater gives middle or average ratings to all employees
despite their performance.
A) horns
B) leniency
C) central tendency
D) strictness
E) contrast

83) ________ rating error occurs when a rater gives an employee high ratings on all aspects of
performance because of the rater's overall positive impression of the employee.
A) Contrast
B) Halo
C) Leniency
D) Similar to me
E) Central tendency

84) Benito, a psychology student, has had an overall negative impression of his psychology
professor. As a consequence, during the end-of-term appraisal, he rates his professor low on all
performance criteria. Which of the following rater errors has Benito committed?
A) Horns
B) Leniency
C) Central tendency
D) Contrast
E) Strictness

85) A situation in which evaluators purposefully distort a rating to achieve personal or company
goals is referred to as
A) Bayesian inference.
B) group dynamics.
C) 360-degree feedback.
D) appraisal politics.
E) the similar to me error.

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86) ________ attempts to emphasize the multidimensional nature of performance and thoroughly
familiarize the raters with the actual content of various performance dimensions.
A) Social performance measurement
B) Sensitivity training
C) Multidimensional training
D) Rater accuracy training
E) Process-flow analysis

87) ________, attended by managers, provide a way to help ensure that performance is evaluated
consistently across managers and to reduce the influence of rating errors and politics on appraisals.
A) Calibration meetings
B) Frame-of-reference trainings
C) Multidimensional trainings
D) Rater accuracy trainings
E) Succession planning meetings

88) Which of the following is an example of frame-of-reference training?


A) Evan focuses primarily on making managers aware of rating errors and how to reduce them
effectively.
B) Christine makes managers aware of how errors influence ratings.
C) Demita emphasizes using the same idea of high, medium, and low performances when making
evaluations.
D) Hassan stresses having consistent standards of evaluation.
E) Lorena focuses on eliminating politics through discussion among managers.

89) CobWeb Inc., a software firm, assesses managers based on how well they understand their
subordinates, as well as the factors involved in their poor performance. Which of the following
examples is the most appropriate evaluation of the input factors involved in analyzing poor
performance?
A) Lin considers if her subordinate has the technical skills required for the task.
B) Rocio checks if his subordinate is emotionally able to perform at the expected level.
C) Aliya looks into whether her subordinate has been given information about his performance.
D) Will analyzes if performance consequences are given in a timely manner.
E) DeShaun checks if the job flow and procedures are logical.

90) In what legal suit would the plaintiff allege that the performance measurement system varied
according to individuals?
A) Harassment suit
B) Statutory tort
C) Unjust dismissal suit
D) Discrimination suit
E) Custody action

91) Discuss the strategic purposes of performance management.

92) What does the comparative approach do in terms of measuring performance? Discuss how
ranking can impact the employee and ultimately his or her performance.
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93) Using examples, explain the advantages and disadvantages of using behavioral anchors in the
behaviorally anchored rating scale (BARS).

94) What are competencies? Explain a competency model.

95) Explain how the expected results of a performance management system designed with a strong
quality orientation can impact employee performance.

96) Discuss the differences between the attribute and behavioral approaches to performance
measurement related to the criteria of (a) strategic congruence, (b) validity, and (c) reliability.

97) Managers are the most frequently used source of performance information. Explain this
statement.

98) Describe upward feedback and give at least two examples.

99) Discuss the various rater errors in performance management.

100) Discuss the ways a manager can improve the performance feedback process.

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