Question 1

Miranda, the HR director, is conducting a workshop for managers on performance management systems. She teaches them how to conduct appraisals and how to schedule them at established intervals. She mentions the new emphasis is due to legal implications for which of these reasons?

Accepted Answer

A)  EEO requires organizations to make reasonable accommodations. 
B)  ADA required organizations to have bias-free HRM practices. 
C)  EEO requires organizations to have bias-free HRM practices. 
D)  FMLA required valid data for performance documentation. 
E)  EEO prohibits discrimination in hiring practices.

Question 2

Tom was assigned to an Asian country as manager of operations for a U.S. manufacturing firm. He routinely asks his subordinates for their ideas and jokes around with them. His subordinate evaluations were very bad from this group, even though in the U.S. he was usually regarded as a "perfect" boss. Explain the difference.

Accepted Answer

A)  In this country, hierarchical values make it a disgrace to ask subordinates for ideas. 
B)  A hostile cultural environment exists. 
C)  The home office is so remote that it cannot be fully informed about overseas operations. 
D)  The economic base of the parent country differs drastically from the host company. 
E)  Tom is not a native of the parent-country.

Question 3

Which of the following is NOT an important ingredient to create an effective performance management system?

Accepted Answer

A)  Use trait-based measures 
B)  Combine absolute and relative standards 
C)  Provide ongoing feedback 
D)  Have multiple raters 
E)  Train appraisers

Question 4

One of the best known forced ranking systems is that of General Electric. What is the name of the program used by General Electric?

Accepted Answer

A)  The 30-30-40 plan 
B)  The 30-50-20 plan 
C)  The 20-70-10 plan 
D)  The 20-50-30 plan 
E)  The 70-20-10 plan

Question 5

Demario, a college bookstore manager, is involved in the appraisal process for his 30 student workers. He is reading shift reports from the supervisors, looking at his own notes from walking through the store and speaking with employees, and studying the loss/return/breakage analysis. What step of the appraisal process is he performing?

Accepted Answer

A)  These actions are not part of the appraisal process 
B)  Reviewing reports 
C)  Setting measurable goals 
D)  Establishing performance standards 
E)  Measuring actual performance

Question 6

Don, a team leader in a college business course, wanted to fail Diane, a team member that he said did "nothing." Dr. Smartee, the professor, refused to fail her, stating that the other team members had all given her satisfactory evaluations on their project review form. Why didn't the professor back Don's decision?

Accepted Answer

A)  Selective rating is inappropriate. 
B)  Relative standards are better than absolute standards. 
C)  Multiple raters give a more reliable assessment than a single rater. 
D)  Trait measures are preferable to behaviorally-based measures. 
E)  Ongoing feedback prevents surprises.

Question 7

EEO laws require performance appraisal systems be objective, job related, reliable, and valid, as they are used for promotion or termination.

Accepted Answer

A) True 
 B)False

Question 8

The performance method that selects one job trait, and then compares each employee in a group with the others is the group order ranking method.

Accepted Answer

A) True 
 B)False

Question 9

MATCHING KEY TERMS AND DEFINITIONS
-The third step in the appraisal process.

Accepted Answer

A) Absolute standards 
B) Relative standards 
C) Individual ranking 
D) 360-degree appraisals 
E) Peer evaluation
F)Performance measurement
G)Halo error
H)Graphic rating scale
I)Leniency error
J)Documentation
K)Paired comparison
L)Similarity error
M)Attribution theory
N)Management by objectives (MBO)
O)Forced-choice appraisal

Question 10

MATCHING KEY TERMS AND DEFINITIONS
-A record of performance appraisal process outcomes.

Accepted Answer

A) Absolute standards 
B) Relative standards 
C) Individual ranking 
D) 360-degree appraisals 
E) Peer evaluation
F)Performance measurement
G)Halo error
H)Graphic rating scale
I)Leniency error
J)Documentation
K)Paired comparison
L)Similarity error
M)Attribution theory
N)Management by objectives (MBO)
O)Forced-choice appraisal

Question 11

B.W. meets Mark, his longtime friend, after a hard day at work. He complains that he spent the whole day with performance appraisals for his subordinates. He did 8 today, 8 yesterday, and has scheduled that many more for tomorrow and the next day. A number of the sessions ended with shouting or tears. There was some minor name calling. When Mark asks B.W. what was wrong with the performance appraisal system, B.W. just looks at him and says, "What could be wrong with it? It's the one I got from corporate 7 years ago?" Mark, an HR professional, could make which of these suggestions to his friend?

Accepted Answer

A)  Attend an interpersonal skill seminar. 
B)  Take control of the discussion. There should be no room for emotions. 
C)  Get your supervisor to perform performance appraisals for your employees. 
D)  Tailor the process to your needs and employees goals. 
E)  Let your HR department do the performance appraisals.

Question 12

Ramone, an account manager for a large IT provider, has set his quota for next year 20% higher and decided to improve customer satisfaction quality by 10%. What MBO step was Ramone performing?

Accepted Answer

A)  Goal setting 
B)  Monitoring 
C)  Performance evaluation 
D)  Formal review 
E)  Self-control

Question 13

Which of the following is a benefit of using multiple raters?

Accepted Answer

A)  It is less expensive for the company. 
B)  It forces managers to rank employees. 
C)  It requires the use of behavior-based measures. 
D)  It increases the probability of attaining more accurate performance appraisals. 
E)  It makes the job of the appraiser easier.

Question 14

A major advantage to absolute standards is that they tend to be biased by positive leniency; that is, evaluators lean toward packing their subjects into the high part of the rankings.

Accepted Answer

A) True 
 B)False

Question 15

Gloria is the HR manager of a medium-sized company. She is redesigning the performance evaluation system of her company. She wants to use an appraisal method that generates critical incidents and develops behavioral dimensions of performance. Which appraisal method should she use?

Accepted Answer

A)  Forced-choice appraisal 
B)  Graphic rating scale appraisal 
C)  Checklist appraisal 
D)  Behaviorally anchored rating scales 
E)  Paired comparison

Question 16

MATCHING KEY TERMS AND DEFINITIONS
-A performance assessment in which coworkers provide input into the employee's performance.

Accepted Answer

A) Absolute standards 
B) Relative standards 
C) Individual ranking 
D) 360-degree appraisals 
E) Peer evaluation
F)Performance measurement
G)Halo error
H)Graphic rating scale
I)Leniency error
J)Documentation
K)Paired comparison
L)Similarity error
M)Attribution theory
N)Management by objectives (MBO)
O)Forced-choice appraisal

Question 17

There are two main constituencies in the performance management system: employees and supervisors.

Accepted Answer

A) True 
 B)False

Question 18

About 50% of all U.S. organizations use some form of performance evaluations.

Accepted Answer

A) True 
 B)False

Question 19

The appraisal process begins with establishment of performance standards in accordance with the organization's strategic goals.

Accepted Answer

A) True 
 B)False

Question 20

Central tendency is a factor that distorts performance appraisals.

Accepted Answer

A) True 
 B)False

Exam 10: Performance Management

Miranda, the HR director, is conducting a workshop for managers on performance management systems. She teaches them how to conduct appraisals and how to schedule them at established intervals. She mentions the new emphasis is due to legal implications for which of these reasons?

Which of the following is NOT an important ingredient to create an effective performance management system?

One of the best known forced ranking systems is that of General Electric. What is the name of the program used by General Electric?

EEO laws require performance appraisal systems be objective, job related, reliable, and valid, as they are used for promotion or termination.

The performance method that selects one job trait, and then compares each employee in a group with the others is the group order ranking method.

MATCHING KEY TERMS AND DEFINITIONS -The third step in the appraisal process.

MATCHING KEY TERMS AND DEFINITIONS -A record of performance appraisal process outcomes.

Ramone, an account manager for a large IT provider, has set his quota for next year 20% higher and decided to improve customer satisfaction quality by 10%. What MBO step was Ramone performing?

Which of the following is a benefit of using multiple raters?

A major advantage to absolute standards is that they tend to be biased by positive leniency; that is, evaluators lean toward packing their subjects into the high part of the rankings.

Gloria is the HR manager of a medium-sized company. She is redesigning the performance evaluation system of her company. She wants to use an appraisal method that generates critical incidents and develops behavioral dimensions of performance. Which appraisal method should she use?

MATCHING KEY TERMS AND DEFINITIONS -A performance assessment in which coworkers provide input into the employee's performance.

There are two main constituencies in the performance management system: employees and supervisors.

About 50% of all U.S. organizations use some form of performance evaluations.

The appraisal process begins with establishment of performance standards in accordance with the organization's strategic goals.

Central tendency is a factor that distorts performance appraisals.