Chapter 4

Defining Performance
and
Choosing a Measurement Approach

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 Overview

 Defining Performance
 Determinants of Performance
 Performance Dimensions
 Approaches to Measuring Performance

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 Defining Performance(1 of 3)

Performance is:
 Behaviors and actions
• What employees do

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 Defining Performance(2 of 3)

Performance is:
 Results and Products
• The outcome of employee behaviors

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Defining Performance(3 of 3)

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Behaviors Labeled as Performance
Are…
Evaluative
 Negative
 Neutral
 Positive
Multidimensional
 Many different kinds of behaviors
 Advance or hinder organizational goals

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 Behaviors Are NOT Always…

• Observable
• Measurable

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Results or Products May Be Used…

 To infer behavior
 As proxy for behavioral measure

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Determinants of Performance(1 of 2)

 Performance =
 Abilities and other traits
 X
 Knowledge and skills
 X
 Context

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Determinants of Performance(2 of 2)

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4-10
 Abilities and Other Traits

 Cognitive Abilities
 Personality
 Stable Motivational Dispositions
 Physical Characteristics and Abilities

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 Knowledge and Skills

 Job-Related Knowledge
 Skills, Attitudes and Malleable Motivational States

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 Declarative Knowledge

 Information about
• Facts
• Labels
• Principles
• Goals
 Understanding of task requirements

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 Procedural Knowledge

 Knowing
• What to do
• How to do it
 Skills
• Cognitive
• Physical
• Perceptual
• Motor
• Interpersonal

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 Motivation

 Choices
• Expenditure of effort (”state” motivation)
• Level of effort (“state” motivation)
• Persistence of effort (stable trait)

 Deliberate practice leads to excellence

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 Abilities and Other Traits, and
Knowledge and Skills

 Knowledge and skills are more malleable than

abilities and other traits.
 Individual differences that are less malleable are
called “traits”
 Individual differences that are more malleable are
called “states”

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 Deliberate Practice
1. Approach performance with goal of getting
better and better
2. Focus on performance
• What is happening?
• Why?
3. Seek feedback from expert sources
4. Build mental models of job, situation, and
organization
5. Repeat first four steps on an ongoing basis

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 Context

 HR policies and procedures

 Managerial and peer leadership

 Organizational and national culture

 Time and timing of performance

 Resources given to employees

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Implications for Addressing Performance
Problems

 Managers need information to accurately identify

source(s) of performance problems
 Performance management systems must…
• Measure performance
AND
• Provide information on source(s) of problems

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 Performance Dimensions:
Types of Multidimensional Behaviors

 Task performance
 Contextual performance
• Pro social behaviors
• Organizational citizenship
 Counterproductive performance
 Adaptive Performance

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 Task Performance

Activities that
 Transform raw materials
 Help with the transformation process
• Replenishing
• Distributing
• Supporting

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 Contextual Performance

Behaviors that
 Contribute to the organization’s effectiveness
AND
 Provide a good environment in which task
performance can occur

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 Differences Between
Task and Contextual Performance
Task Performance Contextual Performance

• Varies across • Fairly similar

jobs across jobs
• Likely to be • Not likely to
role be role
prescribed prescribed
• Influenced by • Influenced by
• Abilities • Personality
• Skills

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 Why Include Task and Contextual
Performance Dimensions in PM System?

1. Global competition
2. Customer service
3. Teamwork
4. Employee perceptions of PM
5. Supervisor views
6. Cultural differences

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 Voice Behavior

 Behavior that emphasizes expression of

constructive challenge with the goal to improve
rather than merely criticize
 Challenges the status quo in a positive way
 Makes innovative suggestions for change
 Recommends modifications to standard
procedures

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 Counterproductive Performance

 Behaviors and results that are voluntary

 and violate organizational norms
 Threaten well-being of the organization, its
members, or both

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 Examples of counterproductive
performance

 Exaggerating hours worked

 Gossiping about coworkers and one’s supervisor
 Cyber loafing
 Intentionally working slowly and carelessly
 Staying out of sight to avoid work

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 Adaptive Performance
 Related to an individual’s adaptability to
changes
 Be it in the organization and it’s goals,
 in the requirements of the job,
 or the overall work context
 Becoming increasingly important due to rapid
changes

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 Examples of adaptive performance

 Handling emergencies
 Solving problems creatively
 Dealing with uncertain and unpredictable work
situations
 Demonstrating interpersonal adaptability
 Demonstrating cultural adaptability

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 Competency Architecture(1 of 3)

 Four types of competencies

 Core competencies
 Job Family Competencies
 Technical or Professional Competencies
 Leadership Competencies

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 Competency Architecture(2 of 3)

 Benefit of implementing a competency

architecture
 Alignment
 Fairness
 Continuity

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 Competency Architecture(3 of 3)

 A competency-based job profile can help

 The organization by giving employees a clear
learning path
 Leaders and HR professionals by providing solid
foundation for an organization’s development
programs
 Job seekers by giving them a high-level
overview of the prospective job.

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Approaches to Measuring Performance

Behavior Approach
 Emphasizes how employees do the job

Results Approach
 Emphasizes what employees produce

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 Behavior Approach

Appropriate if…
 Link between behaviors and results is not obvious
 Outcomes occur in the distant future
 Poor results are due to causes beyond the
performer’s control
Not appropriate if…
 Above conditions are not present

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 Company Spotlight(2 of 3)

 Dollar General uses a behavioral approach to

measure performance
 Identified behaviors that serve as indicators of
underlying competencies
 Behaviors are reviewed and utilized to encourage
certain outcomes and provide
 feedback and rewards to staff members

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 Results Approach

Advantages:
• Less time
• Lower cost
• Data appear objective
Most appropriate when:
• Workers skilled in necessary behaviors
• Behaviors and results obviously related
• Consistent improvement in results over time
• Many ways to do the job right

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 Company Spotlight (3 of 3)

 Basecamp divides its employees workload into six-

week work cycles containing 1-2 “big batch
projects” and 4-8 “small batch projects”
 Uses a results-approach to performance planning
 Company focuses exclusively on getting the project
done within 6 weeks and does not measure
efficiency or compare actual to estimated costs
 Team decides how to get the project done

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 Quick Review

 Defining Performance
 Determinants of Performance
 Performance Dimensions
 Approaches to Measuring Performance

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