Sample/practice exam 2018, questions and answers PDF

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Scott A. Snell, George W. Bohlander - Managing Human Resources test bank...

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CHAPTER 8—PERFORMANCE MANAGEMENT AND THE EMPLOYEE APPRAISAL PROCESS TRUE/FALSE 1. Managers need to constantly engage in a dialogue with their subordinates. ANS: F

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REF: p. 344

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2. Most performance appraisals focus on long-term improvement, rather than short-term achievements. ANS: F

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REF: p. 348

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3. In general, performance appraisal can be classified as either administrative or developmental. ANS: T

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REF: p. 347

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4. The federal government began evaluating employees in 1842. ANS: T

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REF: p. 346

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5. Developmental purposes for performance appraisal include identifying strengths and weaknesses and improving communication. ANS: T

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REF: p. 347

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6. Developmental purposes for performance appraisal include evaluating goal achievement and validating selection criteria. ANS: F

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REF: p. 348

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7. Developmental purposes for performance appraisal include evaluating training programs and determining promotion candidates. ANS: F

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REF: p. 348

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8. Experts advise companies to discontinue to appraise their employees during an economic downturn if they cannot afford to give them raises. ANS: F

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REF: p. 346

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9. Developmental approaches to performance appraisal recognize that a manager’s purpose is to improve job behaviors, not just evaluate past performance. ANS: T

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REF: p. 348

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10. Studies have shown employees who earn performance-based pay are more satisfied. ANS: T

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REF: p. 347

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11. Performance appraisal programs can be used for many purposes, including layoff decisions, retention and termination of employees.

ANS: T

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REF: p. 347

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12. The annual or semi-annual performance appraisal should be an extension of day-to-day supervision. ANS: T

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REF: p. 344

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13. Organizational politics can introduce bias into even the most fairly administered performance appraisals. ANS: T

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REF: p. 382

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14. Managers may deflate performance ratings to make themselves look good as managers. ANS: F

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REF: p. 349

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15. Employee performance avoidance rarely starts on day one of the new job. ANS: F

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REF: p. 349

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16. Criterion deficiency occurs when performance standards focus on a single criterion to the exclusion of other important but less quantifiable performance dimensions. ANS: T

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REF: p. 352

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17. Criterion deficiency occurs when performance standards have not been properly established and communicated to the employee. ANS: F

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REF: p. 352

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18. Criterion contamination occurs when correlations between two raters of an employee are inconsistent. ANS: F

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REF: p. 352

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19. Criterion contamination occurs when factors outside an employee's control influence his or her performance. ANS: T

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REF: p. 352

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20. According to a Supreme Court ruling, performance appraisals are subject to the same validity criteria as selection procedures. ANS: T

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REF: p. 353

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21. The HR department rarely has the primary responsibility for overseeing and coordinating a firm’s appraisal program. ANS: F

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REF: p. 351

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22. Employees should be given a written copy of their job standards in advance of appraisals. ANS: T

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REF: p. 354

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23. An appeals process is only necessary for administrative appraisals.

ANS: F

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REF: p. 354

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24. In most instances, one person can easily observe and evaluate an employee's performance. ANS: F

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REF: p. 355

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25. Criterion deficiency refers to the extent to which the standards of an appraisal relate to the strategic objectives of the organization in which they are applied. ANS: F

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REF: p. 351

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26. Self-appraisal works well when supervisors and subordinates jointly establish future performance goals or employee development plans. ANS: T

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REF: p. 356

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27. Self-appraisals should be used primarily for administrative purposes. ANS: F

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REF: p. 356

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28. Subordinate appraisals are useful for ratings on dimensions such as leadership, coordination of team efforts, and interest in subordinates. ANS: T

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REF: p. 356

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29. Subordinate appraisals should be used primarily for developmental purposes. ANS: T

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REF: p. 356

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30. One disadvantage of peer appraisals is the belief that they contain more biases and furnish less valid information than appraisals by superiors. ANS: F

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REF: p. 357

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31. One reason that managers may not want co-workers (peers) to rate each other is that they do not want to give up control of the appraisal process. ANS: T

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REF: p. 357

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32. With peer appraisals, confidentiality in handling the review form is not a problem. ANS: F

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REF: p. 357

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33. Team appraisals are conceptually just a collection of the individual appraisals of a work unit. ANS: F

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REF: p. 357

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34. A team appraisal approach is well suited for a company advocating a total-quality management philosophy. ANS: T

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REF: p. 358

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35. Internal customers can provide valuable performance information for both developmental and administrative purposes. ANS: T

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REF: p. 358

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36. 360-degree systems are purely developmental. ANS: F

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REF: p. 358

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37. Reliability refers to the stability or consistency of a standard. ANS: T

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REF: p. 352

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38. Distributional errors in performance appraisal include central tendency, contrast, and strictness. ANS: F

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REF: p. 361

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39. An error of central tendency is a performance-rating error in which all employees are more or less rated as average. ANS: T

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REF: p. 361

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40. Requiring raters to use a forced distribution reduces the chance of leniency or strictness errors. ANS: T

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REF: p. 361

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41. Having appraisal’s reviewed by a supervisor’s supervisor creates unnecessary redundancy and may actually result in greater legal liability. ANS: F

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REF: p. 355

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42. A recency error is an error in which the appraisal is based largely upon the employee's most recent behavior as opposed to their behavior throughout the entire appraisal period. ANS: T

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REF: p. 362

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43. Contrast errors are most likely when raters are required to rank employees in order from the best to the poorest. ANS: F

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REF: p. 362

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44. Similar-to-me error occurs when appraisers inflate the evaluations of people with whom they have something in common. ANS: T

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REF: p. 362

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45. Similar-to-me error, like contrast, results in less than accurate performance ratings, but would not be considered discriminatory. ANS: F

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REF: p. 362

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46. Feedback training for raters should include communicating effectively, diagnosing causes of performance problems, and setting goals.

ANS: T

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REF: p. 363

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47. It is unrealistic to presume that one person can fully observe and evaluate an employee’s performance. ANS: T

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REF: p. 355

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48. Results-oriented approaches have become more popular because it focuses on the measurable contributions that employees make to the organization. ANS: F

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REF: p. 364

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49. One of the potential drawbacks of a trait-oriented performance appraisal is that traits can be biased and subjective. ANS: T

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REF: p. 364

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50. Graphic rating scales include sets of statements between which the rater must choose, such as "works hard" vs. "works quickly." ANS: F

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REF: p. 366

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51. Mixed standard rating scales rate on the degree to which an employee possesses a trait or characteristic. ANS: F

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REF: p. 364

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52. One of the benefits of the forced-choice method is the relatively small cost of establishing and maintaining its validity. ANS: F

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REF: p. 365

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53. The forced-choice method of appraisal is less effective as a tool for developing employees. ANS: T

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REF: p. 365

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54. A major drawback of the essay method is that composing an essay that attempts to cover all of an employee's essential characteristics is very time-consuming. ANS: T

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REF: p. 366

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55. The effectiveness of the essay method is affected by the rater's writing skills. ANS: T

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REF: p. 367

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56. Behavioral methods describe actions and outcomes that should be exhibited on the job. ANS: F

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REF: p. 367

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57. One major advantage of a behaviorally anchored rating scale is that it is possible to use a scale developed for one job to appraise individuals in another, unrelated job. ANS: F

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REF: p. 368

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58. Results appraisals give employees more responsibility for outcomes and discretion over how to accomplish them. ANS: T

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REF: p. 370

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59. Behavior observation scales have the rater check statements they believe are characteristic of the employee. ANS: F

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REF: p. 368

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60. Measurable and quantifiable performance objectives are requirements for a successful MBO program. ANS: T

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REF: p. 372

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61. The balanced scorecard approach integrates four categories: financial, customer, processes, and outcomes. ANS: F

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REF: p. 372

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62. The balanced scorecard approach translates broad goals into increasingly specific goals, so that individuals can see how their performance relates to the overall performance of the firm. ANS: T

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REF: p. 372

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63. The best appraisal method to use depends upon the purpose of the appraisal. ANS: T

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REF: p. 382

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64. Dividing the appraisal interview into two sessions, one for the performance review and the other for the employee's growth plans, is a good strategy to improve communication between the parties. ANS: T

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REF: p. 375

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65. Three types of appraisal interviews are tell-and-sell, tell-and-listen, and problem-solving. ANS: T

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REF: p. 375

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66. The problem-solving interview method requires the appraiser to possess the ability to persuade an employee to change in a prescribed manner. ANS: F

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REF: p. 375

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67. Self assessment is useful to ensure the employee knows against what criteria he or she is evaluated, eliminating surprises. ANS: T

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REF: p. 376

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68. Because the appraisal interview is for developmental purposes, the interviewer rather than the employee should spend the majority of the time talking. ANS: F

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REF: p. 377

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69. Since praise is a powerful motivator, appraisers should alternate positive and negative statements during a performance appraisal interview.

ANS: F

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REF: p. 377

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70. Expressing appreciation for work the employee has done well is strongly related to employee satisfaction with the appraisal feedback. ANS: F

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REF: p. 377

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71. Appraisal discussions should focus on the employee rather than on his or her behaviors. ANS: F

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REF: p. 345

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72. Feedback is most useful when it is immediate and general in nature. ANS: F

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REF: pp. 345-346

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73. Performance is a function of ability, environment and motivation. ANS: F

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REF: p. 379

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74. A diagnosis of poor employee performance should focus on the three interactive elements of skill, motivation, and external conditions. ANS: T

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REF: p. 380

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75. Self-appraisals are often best used for administrative decisions rather than developmental purposes. ANS: F

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REF: p. 357

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76. The “horn error” is the opposite of the “halo effect.” ANS: T

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REF: p. 361

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77. Research has consistently shown that managers often attribute poor performance to characteristics of the individuals. ANS: T

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REF: p. 381

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MULTIPLE CHOICE 1. A ____ one in which all employees of a company are reviewed at the same time of year rather than on the anniversary dates they were hired. a. Justinian review system b. focal performance appraisal c. annuity appraisal system d. non-bifurcated appraisal system ANS: B

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2. The federal government begin evaluating employees in 1842, when Congress passed a law mandating yearly performance review for: a. departmental clerks b. military personnel

c. postal employees d. all federal employees ANS: A

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3. A problem with performance appraisal includes: a. it tends to be objective and consistent b. it identifies weaknesses of employees as well as strengths c. it tends to focus on short-term objectives rather than long-term learning d. it tends to be a bottom-up process ANS: C

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REF: p. 348

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4. One study showed that organizations with strong performance management systems are ____ more likely to outperform their competitors in the areas of revenue growth, productivity, profitability, and market value a. 10-15 percent. b. 20-30 percent c. 40-50 percent d. 80-90 percent ANS: C

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5. The two primary purposes of performance appraisals are: a. informative and developmental. b. managerial and administrative. c. managerial and informative. d. administrative and developmental. ANS: D

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6. Administrative purposes of performance appraisal include all of the following except: a. determining promotion candidates b. evaluating training programs c. documenting personnel decisions d. providing performance feedback ANS: D

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REF: p. 347

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7. In _____, for example, the Supreme Court ruled that performance appraisals were subject to the same validity criteria as selection procedures. a. Albemarle Paper Co. v. Moody b. California Board of Regents v. Bakke c. Brito v. Zia d. Griggs v. Duke Power Co. ANS: C

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8. Developmental purposes of performance appraisal include all of the following except: a. recognizing individual performance b. validating selection procedures c. improving communication d. identifying strengths and weaknesses ANS: B

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9. All of the following are reasons why performance appraisal programs fail except: a. Managers lack information on an employee's actual performance. b. There is too much employee input into the development of the appraisal program. c. Performance standards are unclear. d. Managers lack adequate appraisal skills. ANS: B

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10. In _____ the U.S. Supreme Court found that employees had been ranked against a vague standard, open to each supervisor’s own interpretation. a. California Board of Regents v. Bakke b. Griggs v. Duke Power Co. c. Albemarle Paper Co. v. Moody d. Brito v. Zia ANS: C

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11. Goal setting has been shown to improve employee performance, typically ranging from _____. a. 10 to 25 percent b. 30 to 50 percent c. 60 to 75 percent d. 90 to 100 percent ANS: A

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12. If a manager rates an employee higher than he or she deserves in order to look good as a manager in the eyes of his or her own superiors, this is an example of: a. criterion deficiency b. organizational politics c. criterion cont...