7-1. One of the performance dimensions used in a certain organization is “communication”— specifically, “listens and observes attentively, allowing an exchange of information” and “speaks and writes clearly and concisely, with an appropriate awareness of the intended audience.” Would you say that this organization appraises performance based on personality traits, job behavior, or outcome achieved? On which of these three aspects of performance do you think workers should be appraised?

7-2. It seems preferable to use objective performance data (such as productivity figures), when available, rather than subjective supervisory ratings to assess employees. Why might objective data be less effective performance measures than subjective ratings?

7-3. How important are rating formats to the quality of performance ratings? What is the most important influence on rating quality?

7-4. What is comparability? How can it be maximized in performance appraisal?

7-5. “Occasionally an employee comes along who needs to be reminded who the boss is, and the appraisal is an appropriate place for such a reminder.” Would the manager quoted here be likely to use a rational or a political approach to appraisal? Contrast the rational and political approaches. To what extent is it possible to separate the two?

7-6. Do you think performance appraisal should be done? Is it worth the cost?

7-7. What criteria do you think should be used to measure team performance? What sources should be used for the appraisal? Should individual performance still be measured? Why or why not?

7-8. You’re the owner of a 25-employee company that has just had a fantastic year. Everyone pulled together and worked hard to achieve the boost in company profits. Unfortunately, you need to sink most of those profits into paying your suppliers. All you can afford to give your workers is a 3-percent pay raise across the board. At appraisal time, how would you communicate praise for a job well done coupled with your very limited ability to reward such outstanding performance? Now assume that you can afford to hand out some handsome bonuses or raises. What would be the best way to evaluate employees when everyone has done exceptional work?

7-9. Would you design a performance appraisal system based on behaviors, outcomes, or both? Why would you design it in this way?

7-10. Your company is considering using relative ratings for its performance appraisal system. Are there potential problems with a relative system? What type of rating system, relative or absolute, would you recommend and why?