MCQs – 306HR – PERFORMANCE MANAGEMENT Q.1. Which of the following terms refers to the process of evaluating an employee"s current and/or past performance relative to his or her performance standards? a) Recruitment b) Employee selection c) Performance appraisal d) Employee orientation Ans: c 0.2. The primary purpose of providing employees with feedback during a performance appraisal is to motivate employees to _ a) apply for managerial positions b) remove any performance deficiencies c) revise their performance standards d) enroll in work-related training programs Ans: b Q.3. In most organizations, which of the following is primarily responsible for appraising an employee"s performance? a) employee"s direct supervisor b) company appraiser c) human resources manager d) EEO representative Ans: a 0.4. Supervisors should provide employees with feedback, development, and incentives necessary to help employees eliminate performance deficiencies or to continue to perform well. a) True b) False Ans: a Q.S. Which of the following is NOT one of the recommended guidelines for setting effective employee goals? a) assigning specific goals b) assigning measurable goals c) assigning challenging but doable goals d) administering consequences for failure to meet goals Ans: d 0.6. a) b) c) d) Ans: aSMART goals are best described as _ specific, measurable, attainable, relevant, and timely straight forward, meaningful, accessible, real, and tested strategic, moderate, achievable, relevant, and timely specific, measurable, achievable, relevant, and testedQ.7. a) b) c) d) Ans: cAll of the following are reasons for appraising an employee"s performance EXCEPT _ assisting with career planning correcting any work-related deficiencies creating an organizational strategy map determining appropriate salary and bonusesMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE Q.8. Which of the following is most likely NOT a role played by the HR department in the performance appraisal process? a) conducting appraisals of employees b) monitoring the effectiveness of the appraisal system c) providing performance appraisal training to supervisors d) ensuring the appraisal system"s compliance with EEO laws Ans: a Q.9. What is the first step in the appraisal process? a) giving feedback b) defining the job c) administering the appraisal tool d) making plans to provide training Ans: .b 0.10. All of the following are usually measured by a graphic rating scale EXCEPT_, a) generic dimensions of performance b) performance of "actual duties c) performance of co-workers d) achievement of Objectives Ans: c 0.11. When designing an actual appraisal method, the two basic considerations are a) who should measure and when to measure b) when to measure and what to measure c) what to measure and who should measure d) what to measure and how to measure Ans: d 0.12. Which of the following is the easiest and most popular technique for appraising employee performance? a) alternation ranking b) graphic rating scale c) Likert d) MBO Ans: b 0.13. Which performance appraisal technique lists traits and a range of performance values for each trait? a) behaviourally anchored rating scale b) graphic rating scale c) forced distribution d) critical incident Ans: bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE Q.14. Which of the following, if true, best supports the argument that a graphic rating scale is the most appropriate performance appraisal tool for Suzanne to use? a) The firm wants Suzanne to evaluate her subordinates on an ongoing basis and to keep a log of critical incidents. b) Employees in Suzanne"s department who are categorized in the bottom 10% of the firm"s employees will be immediately dismissed. a) Suzanne wants to ensure that the firm is protected from employee discrimination lawsuits, so she has conducted a job analysis of each position. b) Suzanne wants a quantitative rating of each employee based on competencies important to the firm, such as problem-solving skills. Ans: d Q.15. Which performance appraisal tool requires supervisors to categorize employees from best to worst on various traits? a) digital dashboard c) critical incident method b) graphic rating scale d) alternation ranking method Ans: d 0.16. The most popular method for ranking employees is the ___________method. a) graphic ranking scale b) constant sum ranking scale c) alternation ranking d) paired comparison Ans: c 0.17. Which performance appraisal tool is being used when a supervisor places predetermined percentages of ratees into various performance categories? a) behaviorally anchored rating scale b) graphic ranking scale c) alternation ranking d) forced distribution Ans: d . 0.18. Kendra needs to rate five of her subordinates. She makes a chart of all possible pairs of employees for each trait being evaluated. Then, she indicates the better employee of each pair with a positive symbol on the chart. Finally, she totals the number of positive symbols for each employee. Which method of performance appraisal has Kendra most likely used? a) comparison ranking scale b) graphic ranking scale c) alternation ranking d) paired comparison Ans: d 0.19. John, the supervisor of the manufacturing dep~rtment at a computer firm, is in the process of evaluating his staff"s performance. He has determined that 15% of the group will be identified as high performers, 20% as above average performers, 30% as average performers, 20% as below average performers, and 15% as poor performers. Which performance appraisal tool has John chosen to use? a) behaviorally anchored rating scale b) management by objectives c) forced distribution d) alternation ranking Ans: c MCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.20. Which of the following measurement methods is similar to grading on a curve? a) critical incident method b) forced distribution c) graphic rating scale d) constant sums rating Ans: b 0.21. Which of the following is one of the primary complaints regarding the use of the forced distribution method for performance appraisals? a) difficult to implement b) harm to employee morale c) high costs of administration d) standardization of group sizes Ans: b 0.22. Which performance appraisal tools requires a supervisor to maintain a log of positive and negative examples of a subordinate"s work-related behavior? a) alternation ranking b) paired comparison c) forced distribution d) critical incident Ans: d 0.23. The first step in developing a behaviourally anchored rating scale is to _________ a) develop performance dimensions b) generate critical incidents c) compare subordinates d) reallocate incidents Ans: b 0.24. Which of the following is NOT a characteristic of the critical incident method for performance appraisal? a) providing examples of excellent work performance b) comparing and ranking employees within a group c) connecting specific incidents with performance goals d) reflecting performance throughout the appraisal period Ans: b 0.25. Wilson Consulting is a management consulting firm with seventy employees. As associate vice president of marketing, Suzanne Boyle is responsible for conducting performance appraisals of the twelve employees under her direct supervision. Suzanne plans to use the critical incident method to evaluate the performance of her subordinates. Which of the following, if true, undermines the argument that the critical incident method is the most appropriate performance appraisal tool for Suzanne to use? a) Employee performance standards are closely aligned with Wilson Consulting"s long-term strategic plans. b) Other departments at Wilson Consulting have seen employee performance improve as a result of providing ongoing evaluations. c) Suzanne will be conducting performance appraisals in conjunction with the HR manager to ensure EEO compliance. d) Due to economic difficulties, the firm will be laying off the two lowest performing employees in Suzanne"s department. Ans: dMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.26. Graphic rating scales are subject to all of the following problems EXCEPT __ . a) unclear standards b) halo effects c) complexity d) leniency Ans: c 0.27. .Which appraisal method combines the benefits of narrative critical incidents and quantified scales by assigning scale points with specific examples of good or poor performance? a) behaviorally anchored rating scale b) constant sums rating scale c) graphic rating scale d) alternation ranking Ans: a 0.28. Which of the following best describes a behaviorally anchored rating scale? a) chart of paired subordinates ranked in order of performance b) combination of narrative critical incidents and quantified performance scales c) diary of positive and negative examples of a subordinate"s work performance d) predetermined percentages of subordinates in various performance categories Ans: b 0.29. Stacey is using a behaviorally anchored rating scale as a performance appraisal tool. She has already asked employees and supervisors to describe critical incidents of effective and ineffective job performance. What should Stacey do next? a) create a final appraisal instrument b) develop performance dimensions c) rank employees from high to low d) reallocate the incidents Ans: b 0.30. Wilson Consulting is a management consulting firm with seventy employees. As associate vice president of marketing, Suzanne Boyle is responsible for conducting performance appraisals of the twelve employees under her direct supervision. Suzanne plans to use the behaviorally anchored rating scale (BARS) to evaluate the performance of her subordinates. Which of the following, if true, supports the argument that BARS is the most appropriate performance appraisal tool for Suzanne to use? a} Suzanne wants to provide her subordinates with specific examples of their good and poor job performance during the appraisal interview. b) Suzanne encourages her subordinates to review and make comments about their appraisal during a formal appeals process. c) Wilson Consulting recently installed an electronic performance monitoring system to help supervisors conduct appraisals. d) Wilson Consulting provides training to all supervisors regarding legally defensible performance appraisals. Ans: aMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE Q.31. What is the primary disadvantage of developing a behaviorally anchored rating scale? a) costly c) time consuming b) unreliable d) lack of feedback for subordinates Ans: c 0.32. Which of the following terms refers to setting specific measurable goals with each employee and then periodically reviewing the progress made? a) behaviorally anchored rating scale b) management by objective c) narrative form technique d) forced distribution Ans: b 0.33. It is most important that supervisors who choose management by objectives as a performance appraisal tool use __________ a) SMART goals b) EPM systems c) computerized notes d) graphic rating scales Ans: a 0.34. All of the following are benefits of using computerized or Web-based performance appraisal systems EXCEPT _________ a) merging examples with performance ratinqs b) helping managers maintain computerized notes c) allowing employees to perform self-evaluations d) enabling managers to monitor employees" computers Ans: d Q.35. Which of the following enables supervisors to oversee the amount of computerized data an employee is processing each day? a) computerized performance appraisal system b) online management assessment center c) digitized high-performance work center d) electronic performance monitoring system Ans: d 0.36. Which of the following is a performance appraisal problem that occurs when a supervisor"s rating of a subordinate on one trait biases the rating of that person on other traits? a) recency effect b) halo effect c) central tendency d) discrimnation Ans: bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.37. Nick supervises a team of data entry specialists. Lately, productivity has been down, and Nick believes his subordinates are not working as efficiently as possible. Which of the following tools would provide Nick with daily information about each employee"s rate, accuracy, and time spent entering data? a) digital dashboard device b) electronic performance monitoring system c) Web-based management oversight device d) computerized performance appraisal system Ans: b 0.38. Formal performance appraisals have been eliminated by almost all major firms and replaced by daily assessments by peers in addition to extensive training opportunities. a) True b) False Ans: b 0.39. Which of the following terms refers to an appraisal that is too open to interpretation? a) unclear standards b) halo effects c) strictness d) biased Ans: a 0.40. Which of the following is the best way for a supervisor to correct a performance appraisal problem caused by unclear standards? a) focusing on performance instead of personality traits b) using graphic rating scales to rank employees c) avoiding the use of extremely low ratings d) using descriptive phrases to illustrate traits Ans: d 0.41. Stephanie manages the accounting department at an advertising agency. She needs to conduct performance appraisals for the eight employees in her department. Stephanie wants a performance appraisal tool that is highly accurate, ranks employees, and uses critical incidents to help explain ratings to appraise. Which performance appraisal tool is best suited for Stephanie? a) graphic rating scale b) alternation ranking method c) forced distribution method d) behaviorally anchored rating scale Ans: d 0.42. Jason is a conscientious employee, but he is viewed by most of his co-workers as unfriendly. Jason"s supervisor rates him low on the traits "gets along well with others" and "quality of work." Which of the following problems has most likely affected Jason"s performance appraisal? a) central tendency b) leniency c) stereotyping d) halo effect Ans: dMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.43. A supervisor who frequently rates all employees as average on performance appraisals most likely has a problem known as__________ a) halo effect b) stereotyping c) central tendency d) strictness Ans: c Q.44. The best way to reduce the problem of central tendency in performance appraisals is to ___ a) rank employees b) establish SMART goals c) use graphic rating scales d) limit the number of appraisals Ans: a Q.45. Which performance appraisal problem is associated with supervisors giving all of their subordinates consistently high ratings? a) central tendency b) leniency c) strictness d) recency effect Ans: b Q.46. The _____________ problem occurs when supervisors tend to rate all their subordinates consistently low. a) central tendency b) leniency c) strictness d) unclear standards Ans: c Q.47. The best method for reducing the problems of leniency or strictness in performance appraisals is to _________ a) keep critical incident logs b) adhere to EEO guidelines c) require multiple appraisals d) impose a performance distribution Ans: d Q.48. Which of the following has most likely occurred when a supervisor conducting a performance appraisal is influenced by a subordinate"s individual differences such as age, sex, and race? a) bias b) unclear standards c) central tendency d) broad banding Ans: a Q.49. Which of the following is LEAST likely to cause a supervisor"s performance appraisal of a subordinate to be biased? a) purpose of the appraisal b) personality of the supervisor c) location and time of the appraisal d) personal characteristics of the subordinate Ans: c MCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.50. All of the following guidelines will most likely improve the effectiveness of a performance appraisal EXCEPT__________ a) maintaining a diary of employees" performance during the year b) establishing a tool for employees to appeal performance appraisals c) using a graphic rating scale to ensure fair and consistent ratings d) knowing the advantages and disadvantages of different appraisal tools Ans: c 0.51. Which of the following is the primary advantage of using graphic rating scales as performance appraisal tools? a) eliminates central tendency errors b) offers extremely high rate of accuracy c) provides quantitative rating for each employee d) links with mutually agreed upon performance objectives Ans: c 0.52. All of the following are considered best practices for administering fair performance appraisals EXCEPT _ a) explaining how subordinates can improve their performance b) clarifying in advance what the performance expectations are c) basing the appraisal on observable job behaviors d) using subjective performance data for appraisals Ans: d 0.53. Which of the following would most likely result in a legally questionable appraisal process? a) conducting a job analysis to establish performance standards b) basing appraisals on subjective supervisory observations c) administering and scoring appraisals in a standardized fashion d) using job performance dimensions that are too clearly defined Ans: b 0.54. Who is in the best position to observe and evaluate an employee"s performance for the purposes of a performance appraisal? a) peers b) customers c) top management d) immediate supervisor Ans: d 0.55. Employee performance appraisals are conducted by all of the following EXCEPT a) peers c) supervisors b) competitors d) subordinates Ans: bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.56. Which of the following terms refers to several peers agreeing to rate each other highly? a) social loafing b) group think c) logrolling d) alliance forging Ans: c 0.57. Peer appraisals have been shown to result in a (n) _ a) reduction of social loafing b) reduction of group cohesion c) decrease in task motivation d) decrease in group satisfaction Ans: a 0.58. You are conducting an appraisal interview with an employee whose performance is satisfactory but for whom promotion is not possible. Which incentive listed below would most likely be the LEAST effective option for maintaining satisfactory performance in this situation? a) time off b) small bonus c) compliments d) professional development Ans: d 0.59. In most firms, a rating committee used for performance appraisals consists of ____ members. a) 1-2 b) 3-4 c) 5-6 d) 9-1 0 Ans: b 0.60. What usually occurs when employees rate themselves for performance appraisals? a) Ratings are reliable but invalid. b) Ratings are subject to halo effects. c) Logrolling leads to unrealistic ratings. d) Ratings are higher than when provided by supervisors. Ans: d 0.61. Which of the following terms refers to the process of allowing subordinates to rate their supervisor"s performance anonymously? a) supplemental evaluation b) downward feedback c) upward feedback d) peer evaluation Ans: c 0.62. Upward feedback primarily helps top-level managers to a) protect the firm against biased appraisals b) implement organizational strategies c) compare appraisal techniques d) diagnose management styles Ans: dMCQ’s – 306HR - PERFORMANCE MANAGEMENT_DIMR - PUNE 0.63. Which of the following terms refers to a performance appraisal based on surveys from peers, supervisors, subordinates, and customers? a) 360-degree feedback b) team appraisals c) upward feedback d) rating committee Ans: a 0.64. Which of the following best describes the purpose of an appraisal interview? a) training supervisors in the rating process b) identifying potential interpersonal problems c) providing constructive feedback to supervisors d) making plans to correct employee weaknesses Ans: d 0.65. When conducting an appraisal interview, supervisors should do all of the following EXCEPT _ a) ask open-ended questions b) talk in terms of objective work data c) give specific examples of poor performance d) compare the person"s performance to that of other employees Ans: d 0.66. A performance appraisal is based on the assumption that an employee understood what his or her performance standards were prior to the appraisal. a) True b) False c) According to situation Ans: a 0.67. When a supervisor must criticize a subordinate in an appraisal interview, it is most important for the supervisor to _ a) limit negative feedback to once every year b) provide specific examples of critical incidents c) acknowledge the supervisor"s personal biases in the situation d) hold the meeting with other people who can document the situation Ans: b 0.68. When an employee"s performance is so poor that a written warning is required, the warning should _ a) identify the standards by which the employee is judged b) provide examples of employees who met the standards c) be mailed to the employee and to an EEOC representative d) provide examples of times when the employee met the standards Ans: aMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.69. Based on corporate surveys, which of the following is a true statement? a) Very few employers require any type of performance appraisal. b) Very few employers conduct performance appraisals on an annual basis. c) Most employers require a review and feedback session during the appraisal process. d) Most employers use behaviorally anchored rating scales for performance appraisals. Ans: c 0.70. The continuous process of identifying, measuring, and developing the performance of individuals and teams and aligning their performance with the organization"s goals is known as _ a) employee performance monitoring b) strategic management c) performance analysis d) performance management Ans: d 0.71. Which component of performance management refers to communicating a firm"s higher-level goals throughout the organization and then translating them into departmental and individual goals? a) role clarification b) goal alignment c) performance monitoring d) direction sharing Ans: d 0.72. In order to ensure that performance goals are challenging and relevant, Matthew, a marketing manager, should independently set goals for. his subordinates because participatively set goals usually produce lower job performance .. a) True b) False Ans: b 0.73. Oshman manufactures small kitchen appliances, such as blenders, toasters, and mixers. The firm has nearly 80,000 employees in 22 countries. Employees receive annual performance appraisals from their supervisors that combine critical incidents with a graphic rating scale. However, the firm"s CEO advocates shifting from performance appraisals to performance rnanaqement in an attempt to make Oshman more competitive and performance driven. Which of the following, if true, supports the argument to replace Oshman"s traditional appraisal methods with the performance management approach? a) Oshman"s competitors in the small appliance industry monitor the performance of their employees through electronic performance monitoring systems. b) Oshman executives want to align the firm"s strategic plan with individual employee goals and development needs. c) Oshman executives believe that upward feedback helps managers improve their own management style and interpersonal skills. d) Oshman has experienced problems associated with central tendency and bias, and the firm wants to ensure that appraisals are legally sound. Ans: bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.74. Oshman manufactures small kitchen appliances, such as blenders, toasters, and mixers. The firm has nearly 80,000 employees in 22 countries. Employees receive annual performance appraisals from their supervisors that combine critical incidents with a graphic rating scale. However, the firm"s CEO advocates shifting from performance appraisals to performance management in an attempt to make Oshman more competitive and performance driven. All of the following questions are relevant to Oshman"s decision to replace its traditional appraisal methods with the performance management approach EXCEPT _ a) What technology is available to help managers gain immediate access to employee performance data? b) How would work procedures need to be modified to provide more frequent feedback to employees? c) How would the firm"s mission and vision translate into departmental, team, and individual goals? d) What procedures are already in place to effectively identify and measure critical incidents? Ans: d 0.75. Job descriptions serve as the primary tool for developing performance standards because they already include specific job goals. a) True b) False Ans: b 0.76. Rewards offered to labors involved in production, are categorized as; a) Salary b) Fringe benefits c) Wage d) Commission Ans:c 0.77. The goal of pre-retirement educational programs is to; a) Improve job satisfaction b) Increase employee commitment c) Minimize medical claims from retirees d) Ease the transition from working life to retirement Ans:d 0.78. Alternative work arrangements include all of the following EXCEPT; a) Part-time work b) Flexible hours c) On-site child care d) Job sharing Ans:c 0.79. Organizations put maximum effort in measuring performance of organizational people because; a) It makes procedures cost effective b) It helps in detecting the problems c) It leads to product innovation d) It assists in implementing new technology Ans:bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.80. Willingness, capacity & opportunity to perform are said to be; a) Performance outcomes b) Determinants of performance c) Performance appraisals d) Types of performance standards Ans:b 0.81. One of the major barriers to career advancement experiencing by working ladies is; a) Difficulty in balancing work and family life b) Top management is usually male oriented c) Lack of educational opportunities d) Common perception that woman cannot be better boss Ans:a 0.82. Mr. Ahmed is a cashier and he feels dissatisfied at work. What best justifies this situation? a) His job may not be structured to suit his preferences b) It involves physical toughness c) It requires mental toughness d) It involves too much customer interaction Ans:a 0.83. The _______ problem occurs when supervisors tend to rate all their subordinates consistently high. a) Central tendency b) Leniency c) Strictness d) Halo effect Ans:b 0.84. What is another term for 360-degree feedback? a) Feedback loop c) Upward feedback b) Multi-source assessment d) Circle feedback Ans:b 0.85. The relationship between critical incident method & BARS (behaviorally anchored rating scale) is; a) No relationship exists b) Different methods to evaluate performance c) Both are similar PA methods d) Comparison method is used for PA, while BARS is related to training evaluation Ans:cMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.86. Standards are established to; a) Achieve desired outcomes b) Meet legal compliance c) Achieve competitive advantage d) Promote goodwill in MARKET Ans: a 0.87. The point method to evaluate job i~ an extension of; , a) Ranking method b) Factor comparison method c) Classification method d) Point factor method Ans:b 0.88. Job evaluation is based on the; a) Physical skills required by the job b) Relative job worth for an organization c) Complexity of the job to perform d) Conceptual skill required by the job Ans:b 0.89. Who is in the best position to observe and evaluate an employee"s performance for the purposes of a performance appraisal? a) Peers, b) Customers c) Top management d) Immediate supervisor Ans:d 0.90. Groups are called if jobs are similar. a) Classes b) Grades c) Scales d) Roles Ans:a Q.91. Train the raters prior to conduct the performance appraisal is an important responsibility of; a) Top management c) Line managers b) HR department d) Production department Ans:b Q.92. Currently Organizations are providing benefits to their employees; a) To attract new blood in the organization b) To create stronger customer relationship c) To enhance the MARKET share d) All of the above Ans:aMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE Q.93. Following are all examples of direct compensation EXCEPT; a) Pension b) Salary c) Bonus d) Income Ans:a Q.94. One of the main flaws of Classification method to evaluate the jobs is; a) It is an expensive method b) Only beneficial for small organizations c) Maximum probability of biasness d) Not useful when jobs are different Ans:d 0.95. Which of the following measurement methods rates employee performance? relative to other employees? a) Graphic rating scale b) Comparative method c) Essay method d) Critical incident method Ans:b 0.96. The aim of performance management is to: a) Ensure employee has the tools needed to perform the job. b) Consolidate goal setting. c) Evaluate employee"s performance against standards. d) Ensure employee"s performance is supporting the company"s strategic aims, Ans:d 0.97. The increasing use of performance management reflects: a) Traditional performance appraisals are often counter-productive. b) The popularity of TOM concepts. c) Every employee"s efforts must focus on helping the company achieve its _____ strategic goals. d) All of the above. Ans:d 0.98. Reasons for appraising a subordinate"s performance includes a) Appraisals play an integral role in performance management. b) Appraisals playa part in the employer"s salary raise decisions. a) The supervisor and the employee together develop a plan for correcting the employee"s deficiencies. b) All of the above. Ans:dMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.99. Steps that supervisors should follow in the performance appraisal process include all the following except: a) Prepare detailed forms and procedures to be used. b) Provide feedback. c) Define the job. d) Appraise performance. Ans: a 0.100. The simplest and most popular technique for appraising performance is the ______ method. a) Critical incident c) Forced distribution b) Alternation ranking d) Graphic rating scale Ans:d 0.101. The __ performance appraisal method ranks the highest employees and lowest employees in alternate order. a) Paired comparison b) Forced distribution c) Behaviorally anchored rating scale d) Alternation ranking Ans:d 0.102. The S in the acronym for SMART goals stands for __ . a) specific b) straightforward c) strategic d) source Ans: a 0.103. Supervisors using the forced distribution appraisal method can protect against bias claims by: a) Training raters to be objective. b) Using multiple raters. c) Appointing a review committee. d) All of the above. Ans:d 0.104. A __ appraisal method combines the benefits of narratives, critical incidents, and quantified scales with specific behavioral examples of good or poor performance. a) Graphic rating scale b) BARS c) MBO d) Narrative Ans:bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.105. A problem(s) with management by objectives is (are) that it can: a) Be time consuming. b) Result in immeasurable objectives. c) 1 and 2 d) None of the above. Ans:c 0.106. Rating an employee high on several traits because he or she does one thing well is called the: a) Central tendency. b) Unclear standards. c) Halo effect. d) Bias problem. Ans:c 0.107. The problem with self-ratings is that: a) Supervisors rate employees too highly. b) Supervisors accentuate differences and rigidify positions. c) Employees rate themselves higher than do supervisors. d) All of the above. Ans:c 0.108. Supervisors can ensure that employees are satisfied with their performance appraisals by ensuring that employees: a) Do not feel threatened during the interview. b) Have the opportunity to present their ideas and feelings. c) Have a helpful and constructive supervisor conduct the interview. d) All of the above. Ans:d 0.109. The process of evaluating an employee"s current and/or past performance relative to his or her performance standards is called __ . a) recruitment b) employee selection c) performance appraisal d) organizational development Ans:c 0.110. When goal setting, performance appraisal, and development are consolidated into a single, common system designed to ensure that employee performance supports a company"s strategy, it is called __ . a) strategic organizational development b) performance management c) performance appraisal d) human resource management Ans:bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.111. Performance management combines performance appraisal with __ to ensure that employee performance is supportive of corporate goals. a) goal setting b) training c) incentive systems d) all of the above Ans:d 0.112. Managers following a performance management approach to appraisals will usually meet with employees on a __ basis. a) weekly b) monthly c) bi-annual d) yearly Ans:a 0.113. Managers following a traditional performance appraisal system wi" typically meet with employees on a __ basis. a) daily b) weekly c) monthly d) yearly Ans:d 0.114. The component of an effective performance management process that communicates the organization"s higher-level goals throughout the organization and then translates these goals into departmental goals is called __ . a) role clarification b) goal alignment c) developmental goal setting d) direction sharing Ans:d 0.115. The component of an effective performance management process that explains each employee"s role in terms of his or her day-to-day work is called __ . a) role clarification b) goal alignment c) developmental goal setting d) direction sharing Ans:a 0.116. Which of the following is not one of the guidelines for effective goal setting? a) assign specific goals b) assign measurable goals c) assign challenging but doable goals d) assign consequences for performance Ans: d 0.117. The M in the acronym for SMART goals stands for __ . a) moderate b) measurable c) meaningful d) merit Ans:bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.118. The A in the acronym for SMART goals stands for __ . a) actionable b) appropriate c) attainable d) attitude Ans:a 0.119. Participative set goals result in higher performance than assigned goals when a) participative set goals are more difficult b) assigned goals are more difficult c) the rewards are also higher d) participative set goals are used consistently Ans:a 0.120. When using goal setting in performance management, the goals should be a) difficult c) doable b) challenging d) all of the above Ans:d 0.121. Who is the primary person responsible for doing the actual appraising of an employee"s performance? a) the employee"s direct supervisor b) the company appraiser c) the human resource manager d) the EEO contact person Ans:a Q.122. Which of the following is not a role played by the HR department regarding performance appraisals? a) Training of supervisors b) Monitoring the appraisal system c) Appraising of employees d) Ensuring compliance with EEO laws Ans:c Q.123. When designing an actual appraisal method, the two basic considerations are a) who should measure and when to measure b) when to measure and what to measure c) what to measure and who should measure d) what to measure and how to measure Ans:d 0.124. The most popular technique for appraising performance is the ______________method. a) alternation ranking b) graphic rating scale c) MBO d) constant sum rating scale Ans:bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.125. Which performance appraisal technique lists traits and a range of performance? a) alternation ranking b) graphic rating scale c) Likert d) constant sum rating scale Ans:b 0.126. What do performance appraisals measure? a) generic dimensions of performance b) performance of actual duties c) employee competency d) all of the above Ans:d 0.127. If a performance appraisal focuses on an employee"s ability to "identify and analyze problems" or to "maintain harmonious and effective working relationships," then the performance appraisal is focused on measuring __ " a) generic dimensions of performance b) performance of actual duties c) employee competency d) all of the above Ans: c Q.128. If a performance appraisal focuses on an employee"s quality and quantity of wok, then the performance appraisal is focused on measuring __ " a) generic dimensions of performance b) performance of actual duties c) employee competency d) all of the above Ans:a 0.129. The __ method of performance appraisal involves listing all the subordinates to be rated, crossing out the names of any not known well enough to rank, indicating the employee who is the highest on each characteristic being measured and who is the lowest, and then alternating between the next highest and lowest until all employees have been ranked, a) alternation ranking b) graphic rating scale c) Likert d) constant sum rating scale Ans:a 0.130. Alternation ranking refers to an appraisal method, which __ . . a) is based on progress made toward the accomplishment of measurable goals b) combines the benefits of narratives, critical incidents, and quantified scales by assigning scale points with specific examples of good or poor performance c) requires that the supervisor keep a log of positive and negative examples of a subordinate"s work-related behavior d) involves listing all the subordinates to be rated, crossing out the names of any not known well enough to rank, indicating the employee who is the highest on each characteristic being MCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE measured and who is the lowest, and then alternating between the next highest and lowest until all employees . have been ranked Ans:d Q.131. Suppose you have five employees to rate. You make a chart of all possible pairs of employees for each trait being evaluated. Then, you indicate the better employee of the pair for each pair. Finally, you add up the number of positives for each employee. In this case, you have used the __ method of performance appraisal. a) §raphic ranking scale b) constant sum ranking scale c) alternation ranking d) paired comparison Ans:d 0.132. The most popular method for ranking employees is the __ method. a) graphic ranking scale b) constant sum ranking scale c) alternation ranking d) paired comparison Ans:c 0.133. Forced distribution refers to an appraisal method, which __ a) is based on progress made toward the accomplishment of measurable goals b) combines the benefits of narratives, critical incidents, and quantified scales by assigning scale points with specific examples of good or poor performance c) requires that the supervisor keep a log of positive and negative examples of a subordinate"s work-related behavior d) requires a supervisor to evaluate performance by assigning predetermined percentages of those being rated into performance categories Ans:d 0.134. When a supervisor evaluates performance by assigning predetermined percentages of rates into performance categories, he or she has used the __ method of performance appraisal. a) graphic ranking scale b) constant sum ranking scale c) paired comparison d) forced distribution Ans:d 0.135. John, the supervisor of the manufacturing department, is in the process of evaluating his staff"s performance. He has determined that 15% of the group will be identified as high performers, 20% as above average performers, 30% as average performers, 20% as below average performers, and 15% as poor performers. John is using a __ method. a) graphic rating scale b) constant sum ranking scale c) forced distribution d) alternation ranking Ans:cMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.136. Which of the following measurement methods rates employee performance relative to other employees? a) graphic rating scale b) forced distribution c) likert scale d) constant sums rating Ans:b 0.137. With the __ method, the supervisor keeps a log of positive and negative examples of a subordinate"s work-related behavior. a) alternation ranking b) forced distribution c) narrative forms d) critical incident Ans:d 0.138. The critical incident technique refers to an appraisal method, which a) is based on progress made toward the accomplishment of measurable goals b) combines the benefits of narratives, critical incidents, and quantified scales by assigning scale points with specific examples of good or poor performance c) requires that the supervisor keep a log of positive and negative examples of a subordinate"s work-related behavior d) requires a supervisor to evaluate performance by assigning predetermined percentages of those being rated into performance categories Ans: c 0.139. All of the following are advantages of using the critical incident method for appraising performance except that __ " a) it provides examples of good performance b) it does not include a numerical rating c) it provides examples of poor performance d) it reflects performance from throughout the appraisal period Ans: b 0.140. Which appraisal method combines the benefits of narratives, critical incidents, and quantified scales by assigning scale points with specific examples of good or poor performance? a) behaviorally anchored rating scale b) graphic rating scale c) constant sums rating scale d) none of the above Ans: a 0.141. Behaviorally anchored rating scale (BARS) refers to an appraisal method, which a) is based on progress made toward the accomplishment of measurable goals b) combines the benefits of narratives, critical incidents, and quantified scales by assigning scale points with specific examples of good or poor performance c) requires that the supervisor keep a log of positive and negative examples of a subordinate"s work-related behavior d) requires a supervisor to evaluate performance by assigning predetermined percentages of those being rated into performance categories Ans:b MCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.142. The first step in developing a behaviorally anchored rating scale is to __ " a) develop performance dimensions b) generate critical incidents c) reallocate incidents d) scale incidents Ans:b Q.143. Which step in developing a behaviorally anchored rating scale involves clustering critical incidents into a smaller set of performance dimensions? a) first b) second c) third d) fifth Ans:b 0.144. Which step in developing a behaviorally anchored rating scale involves clustering definitions and critical incidents, reassigning each incident to the cluster where rt fits best and then determining the level of agreement among the group as to the allocation of incidents? a) first b) second c) third d) fourth Ans:c 0.145. The entire following are advantages of behaviorally anchored rating scales (BARS) except that they __ . a) are more accurate b) provide clearer standards c) are time consuming d) are reliable Ans:c 0.146. Management by objectives (MBO) refers to an appraisal method, which a) is based on progress made toward the accomplishment of measurable goals a) combines the benefits of narratives, critical incidents, and quantified scales by assigning scale points with specific examples of good or poor performance b) requires that the supervisor keep a log of positive and negative examples of a subordinate"s work-related behavior c) requires a supervisor to evaluate performance by assigning predetermined percentages of those being rated into performance categories Ans:a 0.147. Which of the following is a problem with using MBO? a) a tendency to set unclear objectives b) it is time consuming c) tug of war between subordinate and manager regarding goals d) all of the above Ans:dMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.148. The forced distribution method is similar to grading on a curve meaning that predetermined percentages of those being rated are placed into performance categories. a) True b) False Ans:b 0.149. Graphic rating scales are subject to all of the following problems except __ . a) unclear standards b) halo effects c) complexity d) central tendency Ans:c 0.150. When different supervisors define levels of performance (good, fair, poor) differently, unfair appraisals could result due to a problem with __ . a) unclear standards b) halo effects c) complexity d) central tendency Ans:a 0.151. __ is defined as the influence of a rater"s general impression on ratings of specific ratee qualities. a) Impression management b) Halo effect c) Central tendency d) Stereotyping Ans: b 0.152. Jason is generally considered unfriendly at work. His supervisor rates him low on the trait "gets along well with others" but also rates him lower on other traits unrelated to socialization at work. Jason"s performance appraisal may be unfair dueto __ a) impression management b) bias c) stereotyping d) halo effects Ans:d 0.153. Some supervisors, when filling in rating scales, tend to avoid the highs and lows on the scale and rate most people in the middle. This __ means that all employees may be rated average. a) halo effect b) stereotyping c) central tendency d) strictness Ans:c 0.154. The best way of reducing the problem of central tendency in performance appraisals is to __ . a) rank employees b) be aware of the problem c) train supervisors to avoid it d) impose a distribution for performance Ans:a MCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.155. The __ problem occurs when supervisors tend to rate all their subordinates consistently high. a) central tendency b) leniency c) strictness d) halo effect Ans:b 0.156. The __ problem occurs when supervisors tend to rate all their subordinates consistently low. a) central tendency b) leniency c) strictness d) bias Ans:c Q.157. Which big five-personality trait is associated with performance appraisal ratings that are too strict? a) agreeableness b) extraversion c) conscientiousness d) openness Ans:c 0.158. Goals should be challenging, but not so difficult that they appear impossible or unrealistic. a) True b) False Ans:a 0.159. Which big five personality trait is associated with performance appraisal ratings that are too lenient? a) agreeableness b) extraversion c) conscientiousness d) openness Ans:a 0.160. The best way of reducing the problems of leniency or strictness in performance appraisals is to __ . a) rank employees b) be aware of the problem c) train supervisors to avoid it d) impose a distribution for performance Ans:dMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE Q.161. When an employee"s personal characteristics such as age, race, and gender influence a supervisor"s evaluation of his or her performance, the problem of has occurred. a) bias b) stereotyping c) halo affect d) strictness Ans:a 0.162. Which of the following could result in a legally questionable appraisal process? a) conduct a job analysis to establish criteria and standards for successful performance b) base appraisals on subjective supervisory observations c) administer and score appraisals in a standardized fashion d) use clearly defined job performance dimensions Ans:b 0.163. Who is in the best position to observe and evaluate an employee"s performance for the purposes of a performance appraisal? a) peers b) customers c) rating committees d) immediate supervisor Ans:d 0.164. Performance appraisals may be conducted by __ " a) the immediate supervisor b) peers c) rating committees d) all of the above Ans:d 0.165. Rating committees, made up of an employee"s immediate supervisor along with other supervisors, usually have __ members, a) 2-3 b) 4-5 c) 6-7 d) 8-9 Ans:b 0.166. While peer appraisals have many benefits, one problem is __ , when several peers collaborate to rate each other highly, a) social loafing b) group think c) logrolling d) alliance forging Ans:c 0.167. Peer appraisals have been shown to result in a(n) __ " a) reduction of social loafing in the team b) reduction of group cohesion c) decrease in satisfaction with the group d) lower task motivation Ans:aMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.168. What usually occurs when employees rate themselves in a performance appraisal? a) appraisals are subject to halo effects b) logrolling could occur c) ratings are higher than when rated by supervisors or peers d) ratings are about the same as when determined by peers Ans:c 0.169. Firms that use __ let subordinates anonymously rate their.supervisor"s performance, a) downward feedback b) upward feedback c) MBO d) narratives Ans:b Q.170. What process allows top management to diagnose the management styles of supervisors, identify potential "people" problems, and take corrective action with individual supervisors as necessary? a) strategic performance appraisal b) organizational development c) upward feedback d) MBO Ans: c Q.171. When subordinates provide feedback for supervisors, the comments should be . anonymous because identifiable responses tend to result in __ " a) more critical ratings b) increased comfort with the process on the part of the subordinate c) more negative attitudes from managers receiving the feedback d) more inflated ratings Ans:d Q.172. What is another term for 360-degree feedback? a) feedback loop b) multi-source assessment c) upward feedback d) circle feedback Ans: b " Q.173. Which of the following responses is not typical during a negative appraisal interview? a) denial b) anger c) relief d) aggression Ans: cMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE Q.174. You are conducting an appraisal interview with an employee who is satisfactory, but not promotable, Which incentive listed below would likely be the least effective for maintaining satisfactory performance in this situation? a) time off b) small bonus c) compliments d) additional professional development Ans:d Q.175. Which is the easiest type of appraisal interview to conduct? a) satisfactory-not promotable b) satisfactory-promotable c) unsatisfactory-correctable d) unsatisfactory-uncorrectable Ans:b 0.176. The alternation ranking method is the simplest and most popular technique for appraising performance. a) True b) False Ans: b 0.177. When conducting an appraisal interview, supervisors should do all of the following except a) talk in terms of objective work data b) compare the person"s performance to a standard c) give specific examples of poor performance d) compare the person"s performance to that of other employeesAns:d 0.178. When a supervisor must criticize a subordinate in an appraisal interview, it is bestto __ a) hold the meeting with other people who can diffuse the negative situation b) provide examples of critical incidents c) acknowledge the supervisor"s personal biases in the situation d) provide feedback once per year Ans:b 0.179. Top employees often outperform the average employees by as much as 100%. (T; moderate; p. 320) a) True b) False Ans: a Q.180. The alternation ranking method combines the benefits of narratives, critical incidents, and quantified scales by anchoring a rating scale with specific behavioral examples of good or poor performance. a) True b) False Ans:bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.181. Subordinates may feel dissatisfied with their appraisal interview when they a) feel threatened during the interview b) have an opportunity to express their ideas c) have an opportunity to influence the course of the interview d) have a constructive interviewer conduct the interview Ans:a 0.182. When actual job duties are appraised, the idea is to focus on the extent to which the employee exhibits the competencies that the employer values.) a) True b) False Ans:b 0.183. When an employee"s performance is so poor that a written warning is required, the warning should __ . a) identify the standards by which the employee is judged b) provide examples of employees who met the standards c) provide examples of times when the employee did meet the standards d) be sent to the employee in question, to the manager"s superior, and to the EEO office Ans:a 0.184. Performance Management is: a) The activity where a line manager sets objectives for his/her staff b) To develop punitive steps to address poor performance c) To ensure all stakeholder requirements will be met d) To comply with the requirements of HR Ans:c 0.185. Planning of Performance requires: a) Translating the job description into objectives and measures b) Assessing your culture c) Setting aligned KPA"s and Objectives d) Defining a development plan for employees Ans: c & d 0.186. Maintaining performance includes: a) Checking up staff to ensure they perform optimally b) Provide coaching and training where gaps exist c) Formal feedback d) Disciplining poor performance Ans: b & d 0.187. The-HR department conducts performance appraisals, develops the appraisal tools, and monitors the appraisal system. a) True b) False Ans:bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.188. Key Value Drivers are: a) The assets of the company b) The requirements and expectations of all key stakeholders c) Formally reported in the annual report d) The basis of strategy and operational focus areas Ans: b & d 0.189. Benefits of a good PM system can include: a) An effective HR Department b) Reduced labour costs c) Improved communication d) Focused development Ans: c & d 0.190. Mentoring can be seen as: a) A trusting relationship and focus on the holistic development and growth of a person b) Questions about life, work and beliefs c) A very formal relationship d) Job observation Ans:a 0.191. Performance-based rewards should: a) Be based on what the company has budgeted for b) Should be highly confidential c) Be based on stretch targets d) Be known to staff Ans: c & d 0.192. A Manager at the first level of management is known as a a) Top Executive b) Middle manager c) Assembly- line worker d) Supervisor Ans: d Q.193. Generally, supervisors focus on: a) Day-to-day problems and goals to be achieved in one year or less. b) Trying to get the entire organization to meet its goals. c) Long-range goals extending over several years. d) Themselves only and are not concerned with organizational goals. Ans:a Q.194. For a supervisor, conceptual skills would include: a) Recognizing how the work of various employees affects the performance of the department as a whole. b) The specialized knowledge and expertise used to carry out particular techniques or procedures. c) The ability to communicate with, motivate, and understand people. d) The ability to analyze information and reach good decisions. Ans:aMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE Q.195. When supervisors and managers challenge people to question their assumptions about the work and consider better ways of doing it, they rely on which set of managerial skills? a) Encouraging innovative thinking b) External monitoring c) Empowering d) Developing Ans:a Q.196. Organizing draws heavily on the supervisor"s: a) Conceptual skills. b) Good human relations skills. c) Technical skills. d) Decision-making skills. Ans: a 0.197. Monitoring performance and making needed corrections is the management function of: a) Leading. c) Staffing. b) Planning. d) Controlling. Ans:d 0.198. Performance appraisals assume that the employee understood what his or her performance standards were. a) True b) False Ans:a 0.199. Higher-level managers usually spend most of their time on these two management functions: a) Leading and controlling. c) Leading and organizing. b) Planning and organizing. d) Organizing and controlling. Ans:b 0.200. Supervisors" responsibilities toward employees EXCLUDE a) Giving employees clear instructions. b) Looking for problems and trying to correct them before employees" performances deteriorate further. c) Speaking up for employees" interests to top management. d) Being inaccessible to subordinates. Ans:d 0.201. The evidence suggests that participative set goals consistently result in higher performance than assigned goals. a) True b) False Ans:bMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE 0.202. A new supervisor"s most reliable source of getting to know his/her new employees is probably the. a) Boss. b) Performance appraisals of the new employees. c) Personnel department. d) Employees themselves. Ans:d 0.203. All of the following are suggestions for making the transition smooth for a new supervisor EXCEPT: a) Setting limits on the supervisor"s behavior. b) Being a rescuer. c) Figuring out how to measure success. d) Communicating with everyone. Ans:b 0.204. Which theory concerns the use of objectives to manage performance? a) Probability theory b) Goal theory c) Results theory d) Outcomes theory Ans:b 0.205.


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Supervisors should provide employees with feedback, development, and incentives necessary to help employees eliminate performance deficiencies or to continue to perform well. a) True b) False Ans: aMCQ’s – 306HR - PERFORMANCE MANAGEMENTDIMR - PUNE