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Performance development
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Refers to the assessment of performance with the goal of providing feedback to facilitate improved performance.
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Performance management
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Is the process that incorporates appraisal and feedback to make performance-based administrative decisions and help employees improve.
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Four major uses of performance appraisal information
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Enhance quality of organizational decisions
Enhance quality of individual decisions by employees
Can affect employees’ views of and attachment to the organization
Provide a rational, legally defensible basis for personnel decisions
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Using the results of performance appraisals
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Personnel training
Wage and salary administration
Placement
Promotions
Discharge
Personnel Research
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Negligence
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Breach of duty to conduct appraisals with due care
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Defamation
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Disclosure of untrue unfavorable performance information that damages the reputation of the employee
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Misrepresentation
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Disclosure of untrue favorable performance information that presents a risk of harm to prospective employees or third parties
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Theory of person perception
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Inputs: are characteristics of the perceiver, characteristics of the person being perceived, and contextual factors.
Processes: includes a broad range of variables pertaining to the way the perceiver uses information to make a judgment.
Outputs: are consequences of the processing to the perceiver and the target.
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Schemas
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A cognitive approach to processing information that results in making sense of events and action that in turn influence how decisions are made on the basis of that information.
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Objective production data
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As an index of how well an employee is performing on the job is limited in its frequency and value.
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Personnel data
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The two most common indices of performance are absenteeism and accidents.
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Rating errors
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Valid halo
Leniency error
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Positive v. negative leniency (severity error)
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An evaluation that is lower than the “true” level of ability is called Negative leniency.
Easy raters give evaluations that are higher than the “true” level are called Positive leniency.
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Central tendency error
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Refers to the rater’s unwillingness to assign extreme - high or low – ratings. Everyone is “average”, and only the middle part of the scale is used.
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Employee-comparison methods
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Rank-order method
Paired-comparison method
Forced-distribution method
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