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1. Herman Aguinis, University of Colorado at Denver
Gathering Performance Information:Gathering Performance Information:
OverviewOverview
• Appraisal Forms
• Characteristics of Appraisal Forms
• Determining Overall Rating
• Appraisal Period and Number of Meetings
• Who Should Provide Performance Information?
• A Model of Rater Motivation
• Preventing Rating Distortion through Rater Training
Programs

2. Herman Aguinis, University of Colorado at Denver
Major Components of Appraisal FormsMajor Components of Appraisal Forms (1)(1)
• Basic Employee Information
• Accountabilities, Objectives, and Standards
• Competencies and Indicators
• Major Achievements and Contributions
• Stakeholder Input
• Employee Comments
• Signatures

3. Herman Aguinis, University of Colorado at Denver
(could(could
be included in a separate form)be included in a separate form)
• Developmental Achievements
• Developmental
– Needs
– Plans
– Goals

4. Herman Aguinis, University of Colorado at Denver
Desirable Features for All Appraisal FormsDesirable Features for All Appraisal Forms
• Simplicity
• Relevancy
• Descriptiveness
• Adaptability
• Comprehensiveness
• Definitional Clarity
• Communication
• Time Orientation

5. Herman Aguinis, University of Colorado at Denver
Determining Overall RatingDetermining Overall Rating
• Judgmental strategy
• Mechanical strategy

6. Herman Aguinis, University of Colorado at Denver
Appraisal periodAppraisal period
Number of Meetings
• Annual
• Semi-annual
• Quarterly

7. Herman Aguinis, University of Colorado at Denver
When Review Is CompletedWhen Review Is Completed
• Anniversary date
– Supervisor doesn’t have to fill out forms at same time
– Can’t tie rewards to fiscal year
• Fiscal year
– Rewards tied to fiscal year
– Goals tied to corporate goals
– May be burden to supervisor, depending on
implementation

8. Herman Aguinis, University of Colorado at Denver
6 Types of Formal6 Types of Formal MeetingsMeetings
(can be combined)(can be combined)
• System Inauguration
• Self-Appraisal
• Classical Performance Review
• Merit/Salary Review
• Development Plan
• Objective Setting

9. Herman Aguinis, University of Colorado at Denver
Who Should Provide PerformanceWho Should Provide Performance
Information?Information?
Employees should be involved in selecting
• Which sources evaluate
• Which performance dimensions
When employees are actively involved
• Higher acceptance of results
• Perception that system is fair

10. Herman Aguinis, University of Colorado at Denver
Who Should Provide Performance Information?Who Should Provide Performance Information?
Direct knowledge of employee performance
• Supervisors
• Peers
• Subordinates
• Self
• Customers

11. Herman Aguinis, University of Colorado at Denver
SupervisorsSupervisors
• 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

12. Herman Aguinis, University of Colorado at Denver
PeersPeers
• Advantages
– Assess teamwork
• Disadvantages
– Possible friendship bias
– May be less discriminating

13. Herman Aguinis, University of Colorado at Denver
SubordinatesSubordinates
• 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)

14. Herman Aguinis, University of Colorado at Denver
SelfSelf
• 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

15. Herman Aguinis, University of Colorado at Denver
Customers (external and internal)Customers (external and internal)
• Advantages
– Employees become more focused on meeting
customer expectations
• Disadvantages
– Time
– Money

16. Herman Aguinis, University of Colorado at Denver
Disagreement Across SourcesDisagreement Across Sources
• Expect disagreement
• Ensure employee receives feedback by
source
• Assign differential weights to scores by
source, depending on importance

17. Herman Aguinis, University of Colorado at Denver
Types of Rating ErrorsTypes of Rating Errors
• Intentional errors
– Rating inflation
– Rating deflation
• Unintentional errors
– Due to complexity of task

18. Herman Aguinis, University of Colorado at Denver
Expected Positive and
Negative Consequences of
Rating Accuracy
Probability of Experiencing
Positive & Negative
Consequences
Expected Positive and
Negative Consequences of
Rating Distortion
Probability of Experiencing
Positive & Negative
Consequences
Motivation to Provide
Accurate Ratings
Motivation to Distort Ratings
Rating Behavior
A Model ofA Model of RaterRater MotivationMotivation

19. Herman Aguinis, University of Colorado at Denver
Motivations for Rating InflationMotivations 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

20. Herman Aguinis, University of Colorado at Denver
Motivations for Rating DeflationMotivations for Rating Deflation
• Shock employees
• Teach a lesson
• Send a message to employee
• Build a written record of poor performance

21. Herman Aguinis, University of Colorado at Denver
Prevent Rating Distortion throughPrevent Rating Distortion through
Rater Training ProgramsRater Training Programs

22. Herman Aguinis, University of Colorado at Denver
Rater Training Programs should cover:Rater Training Programs should cover:
• Information
• Motivation
• Identifying, observing, recording and
evaluating performance
• How to interact with employees when they
receive performance information

23. Herman Aguinis, University of Colorado at Denver
Information - how the system worksInformation - how the system works
• Reasons for implementing the performance
management system
• Information on the appraisal form and system
mechanics

24. Herman Aguinis, University of Colorado at Denver
Motivation – What’s in it for me?Motivation – What’s in it for me?
• Benefits of providing accurate ratings
• Tools for providing accurate ratings

25. Herman Aguinis, University of Colorado at Denver
Identifying, observing, recording, and evaluatingIdentifying, observing, recording, and evaluating
performanceperformance
• How to identify and rank job activities
• How to observe, record, measure
performance
• How to minimize rating errors

26. Herman Aguinis, University of Colorado at Denver
How to interact with employeesHow to interact with employees
when they receive performance informationwhen they receive performance information
• How to conduct an appraisal interview
• How to train, counsel, and coach