| A | B |
|---|
| Performance management | Series of activities designed to ensure that the organization gets the performance it needs from its employees. |
| Performance appraisal | Process of determining how well employees do their job relative to a standard and communicating that information to the employee. |
| Job duties | Important elements in a given job. |
| Performance standards | Define the expected levels of performance. |
| Graphic rating scale | Scale that allows the rater to mark an employee's performance on a continuum. |
| Ranking | Performance appraisal method in which all employees are listed from highest to lowest in performance. |
| Forced distribution | Performance appraisal method in which ratings of employees' performance are distributed along a bell-shaped curve. |
| Management by objectives (MBO) | Performance appraisal method that specifies the performance goals that an individual and manager mutually identify. |
| Recency effect | Occurs when a rater gives greater weight to recent events when appraising an individual's performance. |
| Primacy effect | Occurs when a rater gives greater weight to information received first when appraising an individual's performance. |
| Central tendency error | Occurs when a rater gives all employees a score within a narrow range in the middle of the scale. |
| Leniency error | Occurs when ratings of all employees fall at the high end of the scale. |
| Strictness error | Occurs when ratings of all employees fall at the low end of the scale. |
| Rater bias | Occurs when a rater's values or prejudices distort the rating. |
| Halo effect | Occurs when a rater scores an employee high on all job criteria because of performance in one area. |
| Contrast error | Tendency to rate people relative to others rather than against performance standards. |
