Human Resource Policies and Practices
Human Resource Policies and Practices
Human Resource Policies and Practices
LEARNING OBJECTIVES
CHAPTER OVERVIEW
An organization’s human resource policies and practices represent important forces for shaping employee
behavior and attitudes. In this chapter, we specifically discussed the influence of selection practices, training and
development programs, performance evaluation systems, and the existence of a union.
Selection Practices
An organization’s selection practices will determine who gets hired. If properly designed, they will identify
competent candidates and accurately match them to the job and the organization. The use of the proper selection
devices will increase the probability that the right person will be chosen to fill a slot.
While employee selection is far from a science, some organizations fail to design their selection systems so as to
maximize the likelihood that the right person-job fit will be achieved. When errors are made, the chosen
candidate’s performance may be less than satisfactory. Training may be necessary to improve the candidate’s
skills. At the worst, the candidate will prove unacceptable and a replacement will need to be found. Similarly,
where the selection process results in the hiring of less qualified candidates or individuals who do not fit into the
organization, those chosen are likely to feel anxious, tense, and uncomfortable. This, in turn, is likely to increase
dissatisfaction with the job.
A second benefit from training is that it increases an employee’s self-efficacy. As you will remember from Chapter
6, self-efficacy is a person’s expectation that he/she can successfully execute the behaviors required to produce
an outcome. For employees, those behaviors are work tasks and the outcome is effective job performance.
Employees with high self-efficacy have strong expectations about their abilities to perform successfully in new
situations. They are confident and expect to be successful. Training, then, is a means to positively affect self-
efficacy because employees may be more willing to undertake job tasks and exert a high level of effort. In
expectancy terms (see chapter 6), individuals are more likely to perceive their effort as leading to performance.
We also discuss career development in this chapter. Note the significant decline in formal programs intended to
guide an employee’s career within a single organization, but employees still value career planning and
development. Organizations can increase employee commitment, loyalty, and satisfaction by encouraging and
guiding employees in developing a self-managed career plan, and by clearly communicating the organization’s
goals and future strategies, giving employees growth experiences, offering financial assistance to help employees
keep their knowledge and skills current, and providing paid time off from work for off-the-job training.
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Performance Evaluation
A major goal of performance evaluation is to assess accurately an individual’s performance contribution as a
basis for making reward allocation decisions. If the performance evaluation process emphasizes the wrong criteria
or inaccurately appraises actual job performance, employees will be over- or under-rewarded. As demonstrated in
Chapter 5, in our discussion of equity theory, this can lead to negative consequences such as reduced effort,
increases in absenteeism, or search for alternative job opportunities. In addition, the content of the performance
evaluation has been found to influence employee performance and satisfaction. Specifically, performance and
satisfaction are increased when the evaluation is based on behavioral results-oriented criteria, when career
issues as well as performance issues are discussed, and when the employee has an opportunity to participate in
the evaluation.
Union-Management Interface
The existence of a union in an organization adds another variable in our search to explain and predict employee
behavior. The union has been found to be an important contributor to employees’ perceptions, attitudes, and
behavior.
The power of the union surfaces in the collective bargaining agreement that it negotiates with management. Much
of what an employee can and cannot do on the job is formally stipulated in this agreement. In addition, the
informal norms that union cohesiveness fosters can encourage or discourage high productivity, organizational
commitment, and morale.
WEB EXERCISES
At the end of each chapter of this instructor’s manual, you will find suggested exercises and ideas for researching
the WWW on OB topics. The exercises “Exploring OB Topics on the Web” are set up so that you can simply
photocopy the pages, distribute them to your class, and make assignments accordingly. You may want to assign
the exercises as an out-of-class activity, or as lab activities with your class. Within the lecture notes the graphic
will note that there is a WWW activity to support this material.
The chapter opens introducing the French appliance maker Moulinex. The company needed to reduce capacity
and close up several of its unprofitable factories, however, it was unable to due to the restrictions of the French
government who was under pressure from the country’s strong labor unions. Because Moulinex was unable to get
costs in line, it eventually declared bankruptcy. Nearly two-thirds of the employees lost their jobs permanently.
The message of this chapter is that HR practices not only differ across cultures, but influence the organization’s
effectiveness.
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CHAPTER NOTES
Introduction Notes:
Selection Practices
Instructor Note: At this point in the lecture you may want to introduce the ETHICAL DILEMMA: Is It Unethical to
“Shape” Your Resume? found in the text and at the end of these chapter notes. A suggestion for a class exercise
follows the introduction of the material.
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3. Written tests
• Typical written tests are tests of intelligence, aptitude, ability, interest, and
integrity.
• Long popular as selection devices, they are in decline because such tests
have frequently been characterized as discriminating, and they were not
validated.
• Tests in intellectual ability, spatial and mechanical ability, perceptual
accuracy, and motor ability have shown to be moderately valid predictors
for many semiskilled and unskilled operative jobs.
a. Intelligence tests are particularly good predictors for jobs that require
cognitive complexity.
b. Japanese automakers in the United States rely heavily on written tests
focusing on skills such as reading, mathematics, mechanical dexterity,
and ability to work with others.
• As ethical problems have increased in organizations, integrity tests have
gained popularity.
a. Paper-and-pencil tests that measure dependability, carefulness,
responsibility, and honesty
b. The evidence is impressive that these tests are good
predictors.
4. Performance simulation tests
• Performance simulation tests have increased in popularity during the past
two decades. Based on job analysis data, they more easily meet the
requirement of job relatedness.
• The two best-known performance simulation tests are work sampling and
assessment centers.
a. The former is suited to routine jobs.
b. The latter is relevant for the selection of managerial personnel.
• Work sampling tests
a. Hands-on simulations of part or all of the job that must be performed by
applicants
b. Work samples are based on job analysis data.
c. Each work sample element is matched with a corresponding job
performance element.
• Work samples yield valid data superior to written aptitude and personality
tests.
• Assessment centers use a more elaborate set of performance simulation
tests, specifically designed to evaluate a candidate’s managerial potential.
a. Line executives, supervisors, and/or trained psychologists evaluate
candidates as they go through one to several days of exercises that
simulate real problems.
b. Assessment centers have consistently demonstrated results that
predict later job performance in managerial positions.
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Instructor Note: At this point in the lecture you may want to introduce the MYTH OR SCIENCE – “It’s First
Impressions That Count!” found in the text and below. A suggestion for a class exercise follows.
When we meet someone for the first time, we notice a number of things about that person and then use these
impressions to fit the person into ready-made categories. This early categorization, formed quickly and on the
basis of minimal information, tends to hold greater weight than impressions and information received later—as is
evidenced by research on employment interviews. The primacy effect is potent—the first information presented
affects later judgments more than information presented later.
Research on applicant appearance confirms the power of first impressions. The evidence indicates that the way
applicants walk, talk, dress, and look can have a great impact on the interviewer’s evaluation of applicant
qualifications. Facial attractiveness seems to be particularly influential. Confirmative research finds that
interviewers’ post-interview evaluations of applicants conform, to a substantial degree, to their pre-interview
impressions, assuming that the interview elicits no highly negative information.
Class Exercise:
1. Direct students to http://www.collegegrad.com/.
2. Have students research job interviewing, interview attire, and negotiating.
3. Ask students to describe what they discovered about these elements.
4. What role do they think first impressions play in the interviewing process?
A. Types of Training
1. There are four general skill categories for training—basic literacy, technical,
interpersonal, and problem solving. In addition, we briefly discuss ethics
training.
2. Basic literacy skills
• Ninety million American adults have limited literacy skills, and about 40
million can read little or not at all! Most workplace demands require a
tenth- or eleventh-grade reading level.
• About 20 percent of Americans between the ages of 21 and 25 cannot
read at an eighth-grade level.
• Organizations find they must provide basic reading and math skills for their
employees.
a. Math skills are needed for understanding numerical control equipment.
b. Better reading and writing skills are needed to interpret process
sheets and work in teams.
3. Technical skills
• Most training is directed at upgrading and improving an employee’s
technical skills.
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B. Training Methods
1. Training methods are most readily classified as formal or informal and on-the-
job or off-the-job.
2. Historically, training meant formal training. It is planned in advance and has a
structured format.
3. Organizations are increasingly relying on informal training.
• Unstructured, unplanned, and easily adapted to situations and individuals
• Most informal training is nothing other than employees helping each other
out. They share information and solve work-related problems with one
another.
4. On-the-job training includes job rotation, apprenticeships, understudy
assignments, and formal mentoring programs.
• The primary drawback of these methods is that they often disrupt the
workplace.
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D. Career Development
1. Few human resource issues have changed as much as the role of the
organization in its employees’ careers.
• It has gone from paternalism to supporting individuals as they take
personal responsibility for their future.
• Careers have gone from a series of upward moves to people adapting
quickly, learning continuously, and changing their work identities over time.
2. For much of this century, companies recruited with the intent that workers
would spend their entire career inside that single organization.
• They created promotion paths dotted with ever-increasing responsibility.
• Employers would provide the training and opportunities; employees would
respond by demonstrating loyalty and hard work.
• This arrangement has undergone serious decay.
3. Today, career planning is something increasingly being done by individual
employees.
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D. Career Development (cont). Notes:
Performance Evaluation
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C. What Do We Evaluate?
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1. The obvious answer is the immediate boss, however, others may actually be
able to do the job better.
2. Immediate superior
• The majority of all performance evaluations at the lower and middle levels
are conducted by the employee’s immediate boss.
• Drawbacks:
a. Many bosses feel unqualified to evaluate the unique contributions of
each employee.
b. Others resent being asked to “play God” with their employees’ careers.
c. Additionally, self-managed teams, telecommuting, and other
organizing devices that distance bosses from their employees may
diminish the reliability of the evaluation.
3. Peers
• Peer evaluations are one of the most reliable sources of appraisal data.
Why?
a. Peers are close to the action.
b. Peers as raters result in a number of independent judgments.
• On the downside: peer evaluations can suffer from coworkers’
unwillingness to evaluate one another and from biases based on friendship
or animosity.
4. Self-evaluation
• This is consistent with values such as self-management and empowerment
and self-evaluations get high marks from employees.
• They suffer from over-inflated assessment and self-serving bias and are
often low in agreement with superiors’ ratings.
5. Immediate subordinates
• Immediate subordinates’ evaluations can provide accurate and detailed
information about a manager’s behavior.
• The obvious problem is fear of reprisal from bosses given unfavorable
evaluations. Respondent anonymity is crucial if these evaluations are to be
accurate.
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1. Written essays
• The simplest method of evaluation is to write a narrative describing an
employee’s strengths, weaknesses, past performance, potential, and
suggestions for improvement.
• No complex forms or extensive training is required, but the results often
reflect the ability of the writer.
2. Critical incidents
• Focuses on those behaviors that are key in making the difference between
executing a job effectively and executing it ineffectively.
• The appraiser writes down anecdotes that describe what the employee did
that was especially effective or ineffective. A list of critical incidents
provides a rich set of examples to discuss with the employee.
3. Graphic ratings scales
• A set of performance factors, such as quantity and quality of work, depth of
knowledge, cooperation, loyalty, attendance, honesty, and initiative, is
listed.
• The evaluator then goes down the list and rates each on incremental
scales. The scales typically specify five points.
• Popular because they are less time-consuming to develop and administer
and allow for quantitative analysis and comparison.
• The major drawback is that they do not provide the depth of information
that essays or critical incidents do.
5. Forced comparisons
• This method evaluates one individual’s performance against the
performance of one or more. It is a relative rather than an absolute
measuring device.
• The three most popular are group order ranking, individual ranking, and
paired comparisons.
a. The group order ranking requires the evaluator to place employees into
a particular classification, such as top one-fifth or second one-fifth.
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Instructor Note: At this point in the lecture you may want to introduce the OB IN THE NEWS: Forced Rankings
Gain in Popularity box found in the text and below. A suggestion for a class exercise follows.
It has become one of the fastest-growing trends in performance evaluation. Companies like Ford, GE,
Microsoft, Sun Microsystems, and Conoco are among the 20 percent of US companies that now rank their
employees from best to worst and then use those rankings to determine pay and make other human resource
decisions.
Many top executives became frustrated by managers who rated all their employees as “above average.”
In addition, executives wanted to create a system that would increase the organization’s competitiveness—one
that would reward the very best performers and encourage poor performers to leave. They are turning to forced
rankings or what has been called “rank and yank” by its critics.
For instance, all 18,000 of Ford Motor’s managers undergo this process. These managers are divided into
groups of 30 to 50, then rated. For each group, 10 percent have to get an A, 80 percent a B, and 10 percent a C.
Anyone receiving a C is restricted from a pay raise and two consecutive years of a C rating results in either a
demotion or termination.
The most well-known “rank and yank” program is GE’s “20-70-10 plan.” The company forces the heads of
each of its divisions to review all managers and professional employees, and to identify their top 20 percent,
middle 70 percent, and bottom 10 percent. GE then does everything possible to keep and reward its top
performers and fires all bottom group performers. The company’s former CEO stated, “A company that bets its
future on its people must remove the lower 10 percent, and keep removing it every year—always raising the bar
of performance and increasing the quality of its leadership.”
Proponents see these forced rankings and elimination of weak performers as a way to continually
improve an organization’s workforce and to reward those who are most deserving. Critics, on the other hand,
argue that these programs are harsh, arbitrary, and create a “zero-sum game” that discourages cooperation.
Critics also say that these programs run counter to the belief, held by many, that almost any worker is
salvageable.
Source: Based on R. Abelson, “Companies Turn to Grades, and Employees Go to Court,” New York Times, March 19, 2001, p. A1; D. Jones,
“More Firms Cut Workers Ranked at Bottom to Make Way for Talent,” USA Today, May 30, 2001, p. 1B; and J. Greenwald, “Rank and Fire,”
Time, June 18, 2001, pp. 38–40.
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Class Exercise:
1. Lead a class discussion (or have the student’s break into small groups ) as to the positive and negative
aspects of this type of performance evaluation process.
2. Ask students to consider the issue in terms of what has been studied thus far in the text/class. For example:
3. How would a forced ranking (and it’s consequences) affect their motivation, trust, attitude, job satisfaction,
etc.
4. Is the best way to evaluate? Why or why not? What are alternatives?
5. Does this type of evaluation reflect a certain culture or value system for the organization? Is it a system they
would want to work under?
6. Could or should this type of system work in the classroom? Are they, or have they been, in classes that
graded solely on a “curve?” Was that “fair?” Why or why not?
7. Note: Refer them to the web exercise at the end of the chapter where they can read comments others have
written in regards to this approach.
1. Evaluators can make leniency, halo, and similarity errors, or use the process
for political purposes.
2. Emphasize behaviors rather than traits
• Traits such as loyalty, initiative, courage, reliability, and self-expression are
intuitively appealing as desirable characteristics in employees, but are
individuals who are evaluated as high on those traits higher performers
than those who rate low?
• There is no evidence to support that certain traits will be adequate
synonyms for performance in a large cross section of jobs.
• Another weakness is the judgment itself. Traits suffer from weak inter-rater
agreement. For example, “loyalty” may have different meanings to
different raters.
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Instructor Note: At this point in the lecture you may want to introduce the POINT- COUNTER POINT: It’s Time
to Abolish Performance Evaluations found in the text and at the end of these chapter notes. A suggestion for a
class exercise follows.
AND/OR
Instructor Note: At this point in the lecture you may want to introduce the TEAM EXERCISE: Evaluating
Performance and Providing Feedback found in the text and at the end of these chapter notes. A suggestion for a
class exercise follows.
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A. Selection Notes:
B. Performance Evaluation
1. Many cultures are not particularly concerned with performance appraisal or, if
they are, they do not look at it the same way as do managers in the United
States or Canada.
2. Four key cultural dimensions:
• Individualism/collectivism
a. Individualistic cultures emphasize formal performance evaluation
systems and advocate written evaluations performed at regular
intervals.
b. Collectivist cultures are characterized by more informal systems—
downplaying formal feedback and disconnecting reward allocations
from performance ratings.
• Relationship to the environment
a. US and Canadian organizations hold people responsible for their
actions.
b. In Middle Eastern countries, performance evaluations are not likely to
be widely used since managers in these countries tend to see people
as subjugated to their environment.
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B. Performance Evaluation (cont.) Notes:
• Time orientation
a. Some countries have a short-term time orientation, making
performance evaluations frequent.
b. In Japan, however, where people hold a long-term time frame,
performance appraisals may occur only every five or ten years.
• Focus of responsibility
a. North American managers emphasize the individual in performance
evaluations.
b. Their counterparts in Israel are much more likely to emphasize group
contributions and performance.
1. Currently 46 percent of the U.S. workforce is female and more fathers want to
actively participate in the care and raising of their children.
2. Heavy workloads and travel demands make it increasing hard for all employees
with or without children or other family responsibilities.
3. Today’s workplace is being modified to accommodate the varied needs of a
diverse workforce. This includes flexibility at work to better balance home and
work lives.
4. Time pressures are not the biggest concern, however. Employees are thinking
about work issues at home and thinking about home issues at work.
Employers should focus more on helping employees to clearly segment their
lives.
B. Diversity Training
Instructor Note: At this point in the lecture you may want to introduce the CASE INCIDENT: Is This Any Way to
Run a Business? box found in the text and at the end of these chapter notes. A suggestion for a class exercise
follows.
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2. What are assessment centers? Why do you think they might be more effective for selecting managers than
traditional written tests?
Answer – Assessment centers are a more elaborate set of performance simulation tests, specifically
designed to evaluate a candidate’s managerial potential. Line executives, supervisors, and/or trained
psychologists evaluate candidates as they go through one to several days of exercises that simulate real
problems that they would confront on the job. Based on a list of descriptive dimensions that the actual job
incumbent has to meet, activities might include interviews, in-basket problem-solving exercises, leaderless
group discussions, and business decision games. For instance, a candidate might be required to play the role
of a manager who must decide how to respond to ten memos in his/her in-basket within a two-hour period.
Assessment centers have consistently demonstrated results that predict later job performance in managerial
positions.
7. What are the advantages and disadvantages of the following performance evaluation methods: (a) written
essays, (b) graphic rating scales, and (c) behaviorally anchored rating scales?
Answer –
• Written essays
The simplest method of evaluation is to write a narrative describing an employee’s strengths, weaknesses,
past performance, potential, and suggestions for improvement. No complex forms or extensive training is
required, but the results often reflect the ability of the writer.
• Graphic ratings scales
These are one of the oldest and most popular methods of evaluation. A set of performance factors, such as
quantity and quality of work, depth of knowledge, cooperation, loyalty, attendance, honesty, and initiative, is
listed. The evaluator then goes down the list and rates each on incremental scales. The scales typically
specify five points. These scales are popular because they are less time-consuming to develop and
administer and allow for quantitative analysis and comparison, but they do not provide the depth of
information that essays or critical incidents do.
• Behaviorally anchored rating scales
BARS combine major elements from the critical incident and graphic rating scale approaches. The appraiser
rates the employees based on items along a continuum, but the points are examples of actual behavior.
BARS specify definite, observable, and measurable job behavior. Examples of job-related behavior and
performance dimensions are found by asking participants to give specific illustrations of effective and
ineffective behavior regarding each performance dimension. The results of this process are behavioral
descriptions, such as anticipates, plans, executes, solves immediate problems, carries out orders, and
handles emergency situations.
8. How can management effectively evaluate individuals when they work as part of a team?
Answer – Performance evaluation concepts have been almost exclusively developed with only individual
employees in mind. Four suggestions for designing a system that supports and improves the performance of
teams are:
• Tie the team’s results to the organization’s goals.
• Begin with the team’s customers and the work process the team follows to satisfy customers’
needs.
• Measure both team and individual performance.
• Train the team to create its own measures.
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1. How could the phrase “the best predictor of future behavior is past behavior” guide you in managing human
resources?
Answer – Since the best predictor of future behavior is past behavior, the best interview questions tend to be
those that focus on previous experiences that are relevant to the current job. Examples might include: “What
have you done in previous jobs that demonstrates your creativity?” or “On your last job, what was it that you
most wanted to accomplish but didn’t? Why didn’t you?”
2. Describe a training program you might design to help employees develop their interpersonal skills. How would
that program differ from one you designed to improve employee ethical behavior?
Answer – You may need to help lead students through this answer as the text does not address training
design issues. Students’ responses should address the following facts and categories of interpersonal skills:
Almost all employees belong to a work unit. To some degree, their work performance depends on their ability
to effectively interact. These skills include how to be a better listener, how to communicate ideas more clearly,
and how to be a more effective team player. Their responses should also consider the fact that individuals
process, internalize, and remember new and difficult material differently, and therefore strategies should be
individualized to the learning style of the specific employee.
3. What relationship, if any, is there between job analysis and performance evaluation?
Answer – Job analysis provides the defensible basis for performance evaluation based on task outcomes or
behavior. Job analysis ensures that the performance evaluation evaluates job relevant performance.
4. What problems, if any, can you see developing as a result of using 360-degree evaluations?
Answer – 360-degree evaluations are the latest approach to performance evaluation. It provides for
performance feedback from the full circle of daily contacts that an employee might have. See Exhibit 17-4.
The administration could be cumbersome as more people know about the individual’s evaluation. Because
they contributed, individuals might be reluctant to make tough decisions that will anger peers or subordinates
for fear of reprisals later in their evaluations, etc.
5. GE prides itself on continually raising the performance bar by annually letting go employees who perform in
the lowest 10 percent. In contrast, Cleveland-based Lincoln Electric Co. prides itself on its no-layoff policy.
Lincoln Electric has provided its employees with guaranteed-employment since 1958. How can two
successful companies have such different approaches to employment security? How can they both work?
What implications can you derive from the success of these different practices?
Answer – Students will have a variety of responses to this question. Typically the responses would include a
reference to organizational goals and value systems or culture in terms of making this type of system work.
Also, selection practices will also be a consideration. Not everyone will want to work in a “rate and rank”
system, yet others will find it extremely challenging and motivating. The implications of each system include
how each organization spends its resources in terms of training, retaining, market conditions, etc.
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COUNTER POINT
No knowledgeable observer can fail to acknowledge that performance evaluation has its flaws. That is no
reason to abolish the practice.
If you eliminate performance evaluations, with what do you replace it? We still need some measure of an
employee’s contribution. We need to hold people accountable for previous commitments they have made to their
work group and organization; and employees would still need some form of feedback on how they can improve if
they come up short on meeting those commitments.
Many of the negatives associated with performance evaluations can be corrected by following what we
have learned that can make appraisals more valid and reliable, and by focusing on development rather than
evaluation.
Much of the criticism unleashed against performance evaluations is due to the way the process is
handled. For instance, having employees participate in setting their work goals and having them engage in self-
evaluation makes the process more democratic and less threatening. By using comparative rankings,
management can minimize the effect of inflationary ratings, and the use of multiple evaluators lessens the
likelihood of political influence and increases the validity of the results.
In addition, performance appraisals should be used for more than merely evaluation. That is, they should
do more than just try to identify what’s wrong. They should also be used for development purposes—helping
employees learn how they can improve. When the appraisal process focuses more on development than
evaluation, much of the criticism aimed at the process will subside. In a developmental role, managers no longer
have to play God. Rather, they become a supportive coach helping employees to improve their performance.
The arguments against performance evaluation are misdirected. The concept is solid. What needs to be
abolished is the mismanagement of the process. By emphasizing development rather than evaluation, and by
making sure that best practices are followed, the performance evaluation can be a valuable tool for improving
both employee and organizational performance.
Much of this argument is based on T. Coens and M. Jenkins, Abolishing Performance Appraisals (San Francisco: Berrett–Koehler, 2000).
Class Exercise:
Break students into groups. Assign half the class the “POINT” and the other half the “COUNTER POINT.” Ask
them to respond to the issues raised in their assigned reading. Also ask them to propose a viable
alternative. Additionally, ask them what the company would lose or gain by their viewpoint.
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Purpose: To experience the assessment of performance and observe the providing of performance feedback
Time: Approximately 30–45 minutes
Instructions
1. Choose a class leader. He/she may be either a volunteer or chosen by your instructor.
2. The class leader will preside over the class discussion and perform the role of manager in the evaluation
review.
3. The instructor leaves the room.
4. As a class, you will evaluate your instructor.
• The class leader will facilitate class discussion for up to 15 minutes.
• Remember this is only a class exercise. Be prepared to accept criticism. You may learn some
helpful things.
• The leader’s evaluation is actually a composite of many students’ input.
5. Students will use the following seven performance dimensions:
• Instructor knowledge
• Testing procedures
• Student-teacher relations
• Organizational skills
• Communication skills
• Subject relevance
• Utility of assignments
6. Student discussion of your performance should focus on these seven dimensions. The leader may want to
take notes for personal use but should not be required to give them to you.
7. When the 15-minute class discussion is complete, the leader will invite the instructor back into the room.
8. The performance review will begin as soon as the instructor walks through the door, with the class leader
becoming the manager and with the instructor playing himself/herself.
9. The class leader/manager should conduct the feedback session according to the process described in the
text.
10. When processing the learning, think about the following:
• How behavioral and specific the feedback was
• What you learned through it
11. When you discuss how well your class leader did in providing performance feedback, be careful to be fair and
low key. This exercise can build trust for later exercises or alienate the students, especially the leader.
Class Exercise:
1. This is a high risk exercise—for you. If it is done well, you can build rapport and trust and learn something
valuable to your own teaching effectiveness. Be careful to neither be defensive nor take their comments too
much to heart.
2. Remember you are probably dealing with an evaluation “team” made up largely of inexperienced young
adults. Help them to understand that evaluation goes both ways. Ask them to use these same evaluation
criteria on presentations that they have made recently. What criteria should be used for their work and how
should feedback be provided?
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When does “putting a positive spin” on your accomplishments step over the line, to become
misrepresentation or lying? Does a resume have to be 100 percent truthful? Consider the following three
situations.
Sean left a job for which his title was “credit clerk.” When looking for a new job, he describes his previous
title as “credit analyst.” He thinks it sounds more impressive. Is this retitling of a former job wrong?
About eight years ago, Emily took nine months off between jobs to travel overseas. Afraid that people
might consider her unstable or lacking in career motivation, she put down on her resume that she was engaged in
“independent consulting activities” during the period. Was she wrong?
Michael is 50 years old with an impressive career record. He spent five years in college 30 years ago, but
he never got a degree. He is being considered for a $175,000-a-year vice presidency at another firm. He knows
that he has the ability and track record to do the job, but he would not get the interview if he admits to not having a
college degree. He knows that the probability that anyone would check his college records, at this point in his
career, is very low. Should he put on his resume that he completed his degree?
Class Exercise:
Ask students to bring in their resumes. Also bring in a variety of resumes (many samples can be found on web
sites focused on resume writing).
Group the students by similar job titles found on resumes. (All the titles do not need to be the same—one job is
enough. They can simply be grouped by professional, entry level, typical college jobs, etc.)
Ask the students to “creatively” rewrite the information provided for a job title. Ask them to rewrite it “accurately
creative,” “conservatively creative,” and “outrageously creative.”
When they have finished (and hopefully there have been a few laughs here) have them read the three versions.
What is the difference between them? Where do you draw the line between accurately creative and
outrageously creative? Did any of the versions get to outright lying?
Is it possible to write a better resume without lying? Would lying really improve this person’s chances for a job?
Why or Why not?
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SAS Institute Inc. is probably the least-well-known major software company in the world. The company
makes statistical analysis software (hence the acronym SAS). It is growing very rapidly. From 1,900 employees
five years ago, it now has 5,400. SAS is not your typical software company, it is not your typical anything
company!
At its headquarters, just outside Raleigh, North Carolina, there is a 36,000-square-foot gym for
employees. There is a large, hardwood aerobic floor; two full length basketball courts; pool tables; a private, sky-
lighted yoga room; and workout areas. Outside, there are soccer and softball fields. Massages are available
several times a week, and classes are offered in golf, African dance, tennis, and tai chi. The company also
operates the largest on-site day-care facility in North Carolina. To encourage families to eat lunch together, the
SAS cafeteria supplies baby seats and high chairs. To encourage families to eat dinner together, the company
has a seven-hour workday, five days a week. Unlike many work-obsessive software firms, most SAS employees
leave the office by 5 P.M. Management likes to call its workplace culture “relaxed.”
The list of employee amenities at SAS goes on and on. Unlimited soda, coffee, tea, and juice. One week
paid vacation between Christmas and New Year’s Day. An on-site health clinic staffed with six nurse practitioners
and two physicians. Zero cost to employees for health insurance. Dirty workout clothes laundered overnight at no
charge. Casual dress every day. Elder-care advice and referrals. Unlimited sick days, and use of sick days to care
for sick family members.
Is this anyway to run a business? Management thinks so. SAS’s strategy is to make it impossible for
people not to do their work. Even though the company provides no stock options and salaries no better than
competitive, the company has built an unbelievably loyal workforce. Whereas competitors typically have turnover
rates above 30 percent, SAS’s rate has never been higher than five percent. Management claims that it saves
$67 million a year just in employee replacement–related costs such as recruitment, interviews, moving costs for
new hires, and lost work time. That gives it an extra $12,500 per year per employee to spend on benefits.
Just in case anyone wonders if the company makes any money, we will add the following: SAS is owned
by just two people—Jim Goodnight and John Sall. Forbes magazine recently listed Goodnight, with $3 billion, as
number 43 on its list of the 400 richest people in America. Sall, with $1.5 billion, was number 110.
Questions:
1. One critic calls SAS “a big brother approach to managing people.” Is the company too paternalistic? Can a
company be too paternalistic?
Answer – This question reflects a value judgment by students. What will be important is having students
explain their basis of their answer. Most will say how great it would be to have such benefits. Can a company
“handcuff” employees to it by offering them too much, so when they should leave, they don’t?
4. Are progressive HR practices like those at SAS a cause or result of high profits? Discuss.
Answer – This is a chicken and the egg question. In one sense, they are not, because there is little research
support for the linkage between job satisfaction and employee productivity and effectiveness. Yet, if SAS is
telling the truth, there are clearly significant savings if turnover is managed.
5. Microsoft is an unbelievably successful software company, but no one would ever call their culture relaxed. It
is “frantic.” Employees regularly put in 12- to 14-hour days, six and seven days a week. How does Microsoft
keep people? Do you think SAS and Microsoft attract different types of employees? Explain.
Answer – Ask students to refer to earlier text material on organizational culture and how companies use their
selection practices to find employees who fit in. What type of people would succeed at each company?
Students might also note that, at Microsoft, janitors and secretaries can become millionaires. This is not
mentioned in the material about SAS.
Source: Based on C. Fishman, “Sanity Inc.,” Fast Company, January 1999, pp. 85–96.]
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www.goto.com www.google.com
www.excite.com www.lycos.com
www.hotbot.com www.looksmart.com
1. Do you have a job in mind once you graduate from college, or maybe a dream job that you hope
to land someday? Write a job description for the job. Include as much detail as possible,
including qualifications, nature and scope, etc. If you are not sure what to include do a web
search on job descriptions, there are many free sites that will give you the needed categories.
Once you have written the job description for your dream job, try to find a site that has that job
listed and compare what you wrote to the on-line version of the job description. One place that
is a reservoir of job descriptions is the state of Idaho’s HR site. Go to:
http://www.dhr.state.id.us/Classifications.asp to compare your description with the one they
have. Were there any differences in the two descriptions? What will you need to do to prepare
for that job? Be prepared to discuss your findings in class.
2. Are you looking for a job now or plan to once you graduate? Is there help for you as you begin
your quest? Try http://www.jobweb.com/home.cfm for information on starting salaries, salary
information, job market research and more. Try to find a career fair that you might be interested
in. Then go to the pages that offer advice on attending career fairs. Print and bring this
information to class for discussion.
3. Rank and Yank. This is not are “official term” you will see in the textbooks, but it is how
employees often refer to Forced Rankings as a method of evaluation. Below are three web
sites (a web search will yield more) that discuss this topic. Write a short two page paper on
your reaction to the term “rank and yank” after reading on or more of the articles found on these
web pages.
http://www.resourcesconnection.com/aboutus/newsroom/article24.htm
http://www.laweekly.com/ink/02/08/on-powers.php
http://www.darwinmag.com/connect/opinion/column.html?ArticleID=105
4. Termination. Not a friendly term, but employees are fired everyday. What would you do if you
were the person who is to deliver the bad news to the employee? There are better ways than
others to let an employee go, and they involve “due process.” Learn more about how to conduct
yourself in this situation at: http://www.hrzone.com/topics/firing.html . Write a short reaction
paper on what you learned. Include not only what you learned if you were the person delivering
the bad news, but what you think you would do if you were the one being terminated.
5. Writing a job analysis is one of those duties that managers typically only do rarely in their
careers, but it is important when a new job is created or when making decisions about what
training should take place for new employees. Go to: http://www.hrzone.com/topics/joba.html
and read about how to conduct a job analysis. Select a job and then write a job analysis for it
based on the recommendations of the article. Try to select a “public” job or one that everyone in
the class would be familiar with. For example: bank teller, flight attendant, customer service
representative, travel agent, even—college professor! Bring your analysis to class for feedback.
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