The document discusses performance appraisals and gathering performance information. It describes the key components of an effective appraisal form, including basic employee information, objectives, competencies, achievements, and development plans. It recommends an annual or semi-annual appraisal period with formal meetings to discuss performance. The document also analyzes different sources of performance ratings, such as supervisors, peers, subordinates and customers, noting their advantages and disadvantages. Finally, it discusses strategies to prevent rating distortions like inflation or deflation through rater training programs focused on identifying, observing and evaluating employee performance.

1. Herman Aguinis, University of Colorado at
GATHERING PERFORMANCE
INFORMATION
Prof. Preeti Bhaskar
Symbiosis Centre for Management Studies, NOIDA
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2. Herman Aguinis, University of Colorado at
Learning includes-:
• 6.1 Understand the need to include each of several basic components in the
appraisal form.
• 6.2 Design effective appraisal forms.
• 6.3 Compute an overall employee performance score based on information
found on the appraisal form.
• 6.4 Select an appropriate time period to document performance as part of a
performance review.
• 6.5 Determine the number of formal meetings needed between the
subordinate and supervisor to discuss performance issues.
• 6.6 Understand advantages and disadvantages of using supervisors, peers,
subordinates, self, and customers as sources of performance information.
• 6.7 Know how to deal with potential disagreements involved with different
sources evaluating the performance of the same employee.
• 6.8 Understand the psychological mechanisms leading to the inflation and
deflation of performance ratings.
• 6.9 Understand that the implementation of training programs can address
intentional and unintentional rating distortion.

3. Herman Aguinis, University of Colorado at

4. Herman Aguinis, University of Colorado at
Major Components of Appraisal Forms
• Basic Employee Information
• Accountabilities, Objectives, and Standards
• Competencies and Indicators
• Major Achievements and Contributions
• Stakeholder Input
• Employee Comments
• Signatures
• Developmental Achievements
• Developmental Needs ,Plans &Goals
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5. Herman Aguinis, University of Colorado at
Desirable Features for All Appraisal Forms
Simplicity Relevancy Descriptiveness
Adaptability Comprehensiveness Definitional Clarity
Communication Time Orientation
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6. Herman Aguinis, University of Colorado at
Appraisal period
Number of Meetings
• Annual
• Semi-annual
• Quarterly
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6 Types of Formal Meetings
(can be combined)
System Inauguration
(Identification of roles and responsibilities b/w subordinate and manager)
Self-Appraisal
Classical Performance Review
Merit/Salary Review
Development Plan
Objective Setting
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8. Herman Aguinis, University of Colorado at
Who Should Provide Performance
Information?
Employees should be involved in selecting
• Which sources of evaluation?
• Which performance dimensions have highest
weightage ?
When employees are actively involved
• Higher acceptance of results
• Perception that system is fair
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9. Herman Aguinis, University of Colorado at
Who Should Provide Performance
Information?
Direct knowledge of employee performance
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Supervisors Peers Subordinates Self Customers

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Supervisors
• Advantages
– Best position to evaluate performance vs.
strategic goals
– Make decisions about rewards
• Disadvantages
– Supervisor may not be able to directly
observe performance
– Evaluations may be biased
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11. Herman Aguinis, University of Colorado at
Peers
• Advantages
– Assess teamwork
• Disadvantages
– Possible friendship bias
– May be less discriminating
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12. Herman Aguinis, University of Colorado at
Subordinates
• Advantages
– Accurate when used for developmental
purposes
– Good position to assess some
competencies
• Disadvantages
– Inflated when used for administrative
purposes
– May fear retaliation (confidentiality is key)
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13. Herman Aguinis, University of Colorado at
Self
• Advantages
– Increased acceptance of decisions
– Decreased defensiveness during appraisal
interview
– Good position to track activities during
review period
• Disadvantages
– May be more lenient and biased
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14. Herman Aguinis, University of Colorado at
Customers (external and internal)
• Advantages
– Employees become more focused on
meeting customer expectations
• Disadvantages
– Time
– Money
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15. Herman Aguinis, University of Colorado at
Types of Rating Errors
• Intentional errors
– Rating inflation
– Rating deflation
• Unintentional errors
– Due to complexity of task
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16. Herman Aguinis, University of Colorado at
Rating behavior are influenced by -:
• Motivation to provide accurate ratings.
• Motivation to distort ratings.
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• What will the supervisor gain if ratings are accurate?
• What he will loose ?
• Will his own performance be rated higher and will he receive any
reward if this happen?
• Will the relationship with his or her subordinates suffer ?

17. Herman Aguinis, University of Colorado at
Motivations for Rating Inflation
• Maximize merit raise/rewards
• Encourage employees
• Avoid creating written record
• Avoid confrontation with employees
• Promote undesired employees out of unit
• Make manager look good to his/her
supervisor
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18. Herman Aguinis, University of Colorado at
Motivations for Rating Deflation
• Shock employees
• Teach a lesson
• Send a message to employee
• Build a written record of poor
performance
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Prevent Rating Distortion through
Rater Training Programs

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Rater Training Programs should cover:
• Information how the system works
• Motivation-What’s in it for me?
• Identifying, observing, recording and
evaluating performance
• How to interact with employees when
they receive performance information
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Information - how the system works
• Reasons for implementing the
performance management system
• Information on the appraisal form and
system mechanics
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22. Herman Aguinis, University of Colorado at
Identifying, observing, recording, and
evaluating performance
• How to identify and rank job activities
• How to observe, record, measure
performance
• How to minimize rating errors
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23. Herman Aguinis, University of Colorado at
How to interact with employees
when they receive performance information
• How to conduct an appraisal interview
• How to train, counsel, and coach
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24. Herman Aguinis, University of Colorado at
Strategies used to obtain Overall
Rating
Judgmental
strategy
Mechanical
strategy
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25. Herman Aguinis, University of Colorado at
Strategies used to obtain Overall
Rating
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• Judgmental strategy
o Consider every aspect of performance
o Arrive at defensible summary
• Mechanical strategy
o Consider scores assigned to each section
o Add weighted scores to obtain overall score

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