Chapter 8: Performance management

Question 1

simple test for checking the PM system is asking employees about

Answer 1

• The organization’s strategy.
• The organizational goals.
• The KPIs of the organization.
• How the individual employee is expected to contribute to the strategy, goals and KPIs?

Question 2

key components of hard approach

Answer 2

PRP, direct supervision and monitoring

Question 3

360-degree feedback

Answer 3

evaluating performance of individuals from multiple perspectives or sources

Question 4

Baron and Kreps - the important and relevant aspects of different performance evaluation systems 7

Answer 4

1. Who or what is to be evaluated?
2. Who performs the evaluation?
3. What is the time frame?
4. Should we be using objective or subjective evaluations?
5. Do we apply relative or absolute performance indicators?
6. Should we use a forced distribution?
7. Hoow many performance indicators should be used?

Question 5

Bach 3 reasons for growing popularity of PM in the 80s

Answer 5

1. Globalization -> increased competition
2. Dissatisfaction with the administrative nature of the classic PAs
3. HR professionals saw in PM instrument for showing the added value of HRM

Question 6

Goal-setting theory

Answer 6

theory of motivation to explain human action in specific work situations

Question 7

goals motivate employee by

Answer 7

• Directing 1’s attention.
• Regulating 1’s effort.
• Increasing 1’s persistence.
• Encouraging the development of goal-attainment strategies or action plans

Question 8

Locke most important findings of the goal-setting theory - 7

Answer 8

1. the more difficult the goal, the greater the achievement
2. the more specific the goal, the more precisely performance is regulated
3. goals that are both difficult and specific lead to the highest performance
4. Commitment is most critical when goals are specific and difficult
5. High commitment is atteined when the employee is convinced the goal is important and attainable
6. Goal-setting is most effective where there is feedback showing progress
7. Goals stimulate planning

Question 9

Kinicki: SMART goals

Answer 9

specific

measurable

attainable

results-oriented

time-bound

Question 10

Locke relevant leadership techniques - 8

Answer 10

• Providing and communicating an inspiring vision for the company or organization.
• Acting as role model for the employees.
• Expecting outstanding performance.
• Promoting employees who embrace the vision and dismissing those who reject it.
• Delegating responsibility for key tasks: goal-setting itself can be delegated for capable,
  responsible employees.
• Expressing (genuine)confidence in employee capabilities.
• Enhancing capabilities through training.
• Asking for commitment in public.

Question 11

tendencies in PM

Answer 11

• A global tendency toward PM through culture management.
• Aligning corporate goals with individual employee goals.
• Using PM for talent management and LD.
• Using PM as a mechanism for distinguishing good performers from bad performers.
• Linking PM and 360-degree feedback systems.
• Integrating PM and IT systems.
• Emphasizing self-appraisal and appraisals by peers.
• PM as a tool for general employee development purposes