PERFORMANCE APPRAISAL AND POTENTIAL EVALUATION

Note: This solution is provided or Reeren!e "nd Stud# purpose onl#$

PART A (Descriptive Type) = 27
PART B (Case Study) = 6
PART C (Multiple Choice) = !
PART % A
Question 1: "360 degree appraisal method has its own short-comings". Discuss.
Also point out the merits of this method.
Question 2: nlist the modern methods of performance appraisal. !hich of these
do "ou prefer the most and wh"# $i%e reasons.
Question 3: Discuss& in 'rief& the role of coaching and counseling in impro%ing
performance of emplo"ees.
Question (: )ow can the relationship 'etween *performance* and *pa"* 'e
instrumental in impro%ing performance in an organi+ation#
Question ,: Distinguish 'etween *-erformance Appraisal* and "-otential
%aluation". Also discuss& in 'rief& the methods of -otential e%aluation.
Question 6: !hat precautions should 'e ta.en while designing performance
appraisal s"stem so that it ma" ser%e the desired purpose# Discuss in detail.
Question /: "0o performance appraisal method will ser%e the desired purpose until
and unless it is followed '" post-re%iew discussion" Discuss.
Question 1: !rite short notes on2 3a4 merging issues in performance
management2 3'4 5ompetenc" 6apping2 3c4 7ole 5larit".
Question 8: !hat is 69:# !h" ha%e appraisals '" result performance appraisal
s"stems not 'ecome popular in the ;ndian ;ndustries# Discuss important aspects
onl"#
Question 10: !hat essential aspects would "ou .eep in mind while introducing a
new performance appraisal s"stem in an organisation which has no appraisal
s"stem so far#
Question 11: "A successful appraisal discussion 'etween the rater and ratee
should result in an agreement regarding the future action plan for impro%ement".
Discuss with "our reasons#
Question 12: !rite short notes on 3a4 360 degree appraisal2 3'4 7ater*s concerns2
3c4 -otential appraisal
Question 13: ;t is often said that a ma<orit" of emplo"ees are unhapp" with the
e=isting -erformance Appraisal 3-A4 s"stem due to %arious apprehensions >
concerns. Discus the %arious apprehensions > concerns of ratees and their li.el"
responses#
Question 1(: !h" is Appraisal discussion considered to 'e the most important
component of a -A s"stem# !hat should 'e the elements of a good Appraisal
discussion#
Question 1,: ;n the ;ndian en%ironment should a -A s"stem 'e open or closed#
Discuss the merits and demerits of 'oth# !hich one would "ou recommend for
"our organisation and wh"#
Question 16: !hat is "Appraisal Discussion"# !hat useful purpose& if an"& does it
ser%e in ma.ing a -A ?"stem more effecti%e# !hat guidelines would "ou suggest
in conducting an appraisal discussion#
Question 1/: !hat is the importance of -otential %aluation for 5areer
De%elopment# ?hould a person 'e promoted merel" 'ecause he has done well in
his present <o'# $i%e "our reasons#
Question 11: "Accurac" of rating" is often the concern of most of the emplo"ees.
)ow can we impro%e the accurac" of ratings in an organisation#
Question 18: !hat is "-otential %aluation"# )ow is "-otential" different from
"-erformance"# !hat methods would "ou suggest for e%aluating potential#
Discuss.
Question 20: !hat aspects would "ou .eep in mind in designing an effecti%e
-erformance Appraisal and -otential %aluation ?"stem in "our organisation#
Question 21: !hat is performance appraisal# Discuss its o'<ecti%es and uses#
Question 22: Descri'e the characteristics of an effecti%e appraisal s"stem#
Question 23: ;t is often heard that ma<orit" of emplo"ees are not happ" with the
e=isting -A ?"stem due to %arious apprehensions> concerns. Discuss the
apprehensions and concerns of the raters and their responses#
Question 2,: ;s it necessar" to ha%e a -A ?"stem in an organisation emplo"ing
o%er (00 personnel# ;f so& wh"# )ow can the -A ?"stem 'e made more o'<ecti%e#
Question 26: Discuss the role of the performance appraisal s"stem in stimulating
and guiding emplo"ee de%elopment#
Question 2/: -erformance appraisal is a step towards 6anagement '" :'<ecti%es".
Discuss with the help of an e=ample#
PART % &
CASE STUD' ( )
PERFORMANCE APPRAISAL AT *AL'ANI ELECTRONICS CORPORATION
"alya#i $lectro#ics Corporatio# %td&' rece#tly diversi(ied its activities a#d started
produci#) co*puters& +t e*ployed perso##el at the lo,er level a#d *iddle level& +t has
received several applicatio#s (or the post o( Co**ercial Ma#a)er-Co*puter Divisio#&
+t could #ot decide upo# the suita.ility o( the ca#didates to the positio#' .ut did (i#d
that Mr& Pra/ash is *ore 0uali(ied (or the positio# tha# other ca#didates& The
Corporatio# has created a #e, post .elo, the cadre o( 1e#eral Ma#a)er i&e& 2oi#t
1e#eral Ma#a)er a#d as/ed Mr& Pra/ash to 3oi# the Corporatio# as 2oi#t 1e#eral
Ma#a)er& Mr& Pra/ash a)reed to it vie,i#) that he ,ill .e co#sidered (or 1e#eral
Ma#a)er4s positio# .ased o# his per(or*a#ce& Mr& A#a#d' the Deputy 1e#eral
Ma#a)er o( the Corporatio# a#d o#e o( the ca#didates o( 1e#eral Ma#a)er4s positio#
,as a##oyed ,ith the *a#a)e*e#t4s practice& But' he ,a#ted to sho, his
per(or*a#ce record to the *a#a)e*e#t at the #e5t appraisal *eeti#)& The
*a#a)e*e#t o( the Corporatio# as/ed Mr& Sastry' 1e#eral Ma#a)er o( Televisio#s
Divisio# to .e the 1e#eral Ma#a)er i#-char)e o( Co*puter Divisio# (or so*e ti*e'
u#til a #e, 1e#eral Ma#a)er is appoi#ted& Mr& Sastry ,a#ted to s,itch over to
Co*puter Divisio# i# vie, o( the prospects' presti)e a#d reco)#itio# o( the positio#
a*o#) the top *a#a)e*e#t o( the Corporatio#& 6e vie,ed this assi)#*e#t as a
cha#ce to prove his per(or*a#ce&
The Corporatio# has the syste* o( appraisal o( the superior4s per(or*a#ce .y the
su.ordi#ates& The per(or*a#ce o( the Deputy 1e#eral Ma#a)er' 2oi#t 1e#eral
Ma#a)er a#d 1e#eral Ma#a)er has to .e appraised .y the sa*e )roup o( the
su.ordi#ates& Mr& A#a#d a#d Mr& Sastry /#o, very ,ell a.out the syste* a#d its
operatio#' ,hereas Mr& Pra/ash is a stra#)er to the syste* as ,ell as its *odus
opera#di& Mr& Sastry a#d Mr& A#a#d ,ere co*peti#) ,ith each other i# co#vi#ci#)
their su.ordi#ates a.out their per(or*a#ce a#d used all sorts o( tech#i0ues (or
pleasi#) the* li/e pro*isi#) the* a ,a)e hi/e' tra#s(ers to the 3o. o( their i#terest'
pro*otio#' etc& 6o,ever' these t,o o((icers (u#ctio#ed i# colla.oratio# ,ith a vie, to
pull do,# Mr& Pra/ash& They ope#ly told their su.ordi#ates that a stra#)er should #ot
occupy the 7chair4& They created several )roups a*o#) e*ployees li/e pro-A#a#d4s
)roup' pro-Sastry )roup' A#ti-Pra/ash a#d Sastry )roup' A#ti-A#a#d a#d Pra/ash
)roup&
Mr& Pra/ash has .ee# ,atchi#) the proceedi#)s cal*ly a#d /eepi#) the top
*a#a)e*e#t i# touch ,ith all these develop*e#ts& 6o,ever' Mr& Pra/ash has .ee#
0uite ,or/-co#scious a#d top *a#a)e*e#t (ou#d his per(or*a#ce u#der such a
political at*osphere to .e satis(actory& Pra/ash4s pleasi#) *a##ers a#d ,ay o(
*ai#tai#i#) hu*a# relatio#s ,ith di((ere#t levels o( e*ployees did' ho,ever' preve#t
the e*er)e#ce o( a# a#ti-Pra/ash ,ave i# the co*pa#y& But i# vie, o( the political
at*osphere ,ithi# the co*pa#y' there is #o stro#) pro-Pra/ash4s )roup either&
Ma#a)e*e#t ad*i#istered the per(or*a#ce appraisal tech#i0ue a#d the su.ordi#ates
appraised the per(or*a#ce o( all these *a#a)ers& +# the e#d' surprisi#)ly' the ,or/ers
assi)#ed the (ollo,i#) overall scores& Pra/ash8 96! poi#ts: Sastry8 ;2! poi#ts: a#d
A#a#d8 26! poi#ts&
+uestion ): ,o- do #ou ev"lu"te the -or.er/s "ppr"is"l in this !"se0
+uestion 1: Do #ou su22est "n# te!hni3ues to "vert politi!s !reepin2 into the
pro!ess o peror4"n!e "ppr"is"l 5# su5ordin"tes0 Or do #ou su22est the
4e"sure o dispensin2 -ith su!h "ppr"is"l s#ste4s0
Case Study - 2
PERFORMANCE APPRAISAL AT MITCO LTD.
@he performance appraisal of super%isors and e=ecuti%es 3total 82 super%isors and
36 e=ecuti%es4 at 6itco Atd.& a large hea%" engineering unit& is conducted annuall"
'" superior officers. @he parameters ta.en into consideration and gi%en eBual
weightage are:
a. -erformance at wor.
'. ?ense of responsi'ilit"
c. ?uperior*s dependa'ilit" on su'ordinates
d. 5ommunit" acti%ities
e. ;nitiati%e
f. 7egularit" and punctualit"
g. -otentialit" to de%elop
h. A'ilit" to ta.e senior positions
@he assessment reports prepared '" seniors are discussed with concerned
emplo"ee onl" in case there are shortcoming and deficiencies in the indi%idual
with the o'<ecti%e of counselling him. @he assessment report is referred to in
deciding promotions& salar" ad<ustments& determining training e=posures and also
transfers.
@his "ear 320004 twel%e super%isors and fi%e e=ecuti%es were not gi%en an"
increment as the o%erall total score was 'elow standard mainl" 'ecause of low
rating in respect of *communit" acti%it"* and *potentialit" to de%elop* aspects. @he"
represented the case to the 6anaging Director suggesting that the entire
performance appraisal e=ercise was fault". @he" wanted that all emplo"ees at all
le%els 'e gi%en time 'ound salar" increments and promotions. @his would gi%e all
emplo"ees a fair deal without su'<ecti%e 'ias. @he" definitel" were against the
three parameters of assessment& i.e.& *communit" acti%it"*& *potentialit" to
de%elop* and *a'ilit" to ta.e senior positions*.
Question 1: As a Pesona! Mana"e do you see any #eit in t$ei
e%esentation& Dis'uss (ie)!y.
Question 2: Do you t$in* t$at t+o di))eent %e)o#an'e a%%aisa! syste#
need to (e )o!!o+ed one )o su%e,isos and anot$e )o e-e'uti,es& I)
yes. su""est #a/o '$an"es )o (ot$ 0(e ,ey (ie)1. I) not. +$y&
CASE ST2D3 - 4
C5AN6IN6 O7ER TO NE8 PERFORMANCE APPRAISAL S3STEM
A pu'lic sector enterprise proposed to reorgani+e its structure and acti%ities along
'usiness lines. ;ts main functions were the procurement& storage and suppl" of
certain essential commodities. @he ma<orit" of the emplo"ees were originall" ci%il
ser%ants& who e%entuall" opted for the ser%ice of the underta.ing when it was
registered as a compan" and offered them attracti%e terms. @he newl" -formed
compan" was naturall" interested in retaining their ser%ices. ;ts new 6anaging
Director was particularl" an=ious to switch o%er to the open s"stem of
performance appraisal and do awa" with the annual confidential reports. )e
'elie%ed in the open s"stem of communication in a 'usiness enterprise and for
<udging each indi%idual on the 'asis of his performance rather than on his length
of ser%ice or sta" on a particular <o'.
)e was speciall" aiming at 'ringing a'out two ma<or changes %i+. 3a4 appraisal of
performance& mainl" through an appraisal inter%iew with the immediate super%isor
in relation to a num'er of pre-determined targets of performance& and 3'4 mainl"
on the 'asis of such appraisal to ensure that the more efficient persons got out-of-
turn promotion& regardless of seniorit" or were rewarded '" the grant of ad%ance
increments.
?uch promotions on the 'asis of performance assessed through open discussion
were not pro%ing popular though the idea had initiall" found fa%our with man".
@his spar.ed a lot of discontent as man" of the emplo"ees felt that the new
s"stem was causing in<ustice to a num'er of senior officers and the" were not
used to such an open s"stem. ;t was felt that management was rather hast" in
introducing the new s"stem. Cinding that representations and allegations of
nepotism were not producing the desired results& there was a mo%e to form a
separate association of senior officers to safeguard their interests. @heir %iews
were not ta.en into consideration and most of the emplo"ees did not understand
the implications full".
Questions 1: 8$at +ee t$e #ain 'auses o) t$e esistan'e to t$e ne+
syste# o) %e)o#an'e a%%aisa! in t$is ente%ise&
Question 2: 8$at in you ,ie+ +as t$e #ista*e. i) any. #ade (y t$e
Mana"in" Die'to in intodu'in" t$e ne+ syste#&
Question 4: S$ou!d t$e #ana"e#ent !isten to t$e su""estions #ade (y
t$e o))i'es to #odi)y t$e syste#&
CASE ST2D3 - 9
S5I7ANI E:PORTS
5hief 'u"er 6s. 7adha ?halu<a& called the management trainee& 6s. 6ridhula
9ansal into her office. "6ridhula& "ou ha%e 'een with us onl" for si= months 'ut in
that time "ou ha%e progressed %er" well. ; am delighted with "our wor. and ;
appreciate the efforts "ou ha%e put into it". 6ridhula was pleased. !hen she had
come to ?hi%ani =ports& fresh out of the 6anagement 5ollege& she had lot of
inhi'itions a'out <oining an e=port house. @he <o' was different from what she had
e=pected& with long hours of wor.ing and little glamour. 9ut now she has 'een
there for si= months and was getting ad<usted to routine life. )er immediate 'oss
7adha had said that she was doing well.
@hree months later& howe%er& 6ridhula was in for a surprise. !hen an opening for
the post of D". 5hief 9u"er occurred in ?hi%ani =ports someone else was hired.
0o one e%en mentioned the opening to 6ridhula. ?he was ne%er e%en considered.
Dpset and anno"ed 6ridhula went to %isit her friend 7amesh $upta& a senior
'u"er in men*s di%ision. 7amesh was someone in whom 6ridhula could confide.
"6" 'oss 7adha ?halu<a said& ; was doing well and ; ha%e greater future here". ;
<ust could not understand wh" the management did not e%en consider me for
promotion. "!ell& for one thing" 7amesh said "Eou are not read" "et". "@hat is not
true" 6ridhula responded. "; ha%e wor.ed hard for the last nine months and learnt
e%er"thing there is to .now a'out fa'rics& in%entor" control& fashion forecasting
and 'u"ing. !hat else is there to learn"# "; thought "ou .new the polic" of this
compan"& 6ridhula"& 7amesh 'egan hesitantl"& "?hi%ani =ports wants to 'e a
fashion leader. 9u"er should .now how to get the 'est items for the cheapest
price. ;t also ta.es creati%it" and in-depth .nowledge of the mar.et -such as
finding new fashion items that will 'e a 'ig hit. Eou ha%e to 'e ahead of the
customers. Anticipate their needs and e%en generate their needs. Eou are
competent& 6irdhula& 'ut "ou ha%e not come up with an" new ideas so far".
6irdhula was disappointed. ?he wal.ed de<ectedl" out of 7amesh*s office. @he
ne=t da" 6irdhula phoned in sic.. :%er the ne=t few months& her performance
graduall" declined and she made se%eral purchasing and accounting errors.
5oncerned that 6irdhula was failing to meet minimum performance standards&
7adha as.ed her what was wrong# ":h& nothing" 6irdhula answered. ";t is <ust
that ; don*t feel li.e wor.ing so hard if ; am not going to get rewarded".
Question 1: 5o+ +ou!d you e,a!uate t$e Pe)o#an'e A%%aisa! Syste#
at S$i,ani E-%ots&
Question 2: 8$at #ista*es. i) any. did Ms. Rad$a and S$i,ani E-%ots
#a*e +it$ es%e't to 5u#an Resou'e Mana"e#ent&
Question 4: 8$at 'an Rad$a do no+ to estoe Mid$u!a;s #oti,ation and
"et $e (a'* on ta'*&
CASE ST2D3 < =
A52>A LAMPS
Ahu<a Aamps has 'een a %er" successful pri%ate concern for the last 10 "ears&
since its inception in 181,. @heir products& lamps and shades ha%e 'een the en%"
of the elite in the countr". !ith near monopol" their 'usiness had grown from a
small wor.shop in Delhi to si= ma<or 'ranches in metropolitan cities of 6um'ai&
5alcutta& 5hennai& 9angalore& Auc.now and 0ew Delhi. 0ew Delhi itself had four
ma<or outlets at 5onnaught -lace& 9ara.ham'a 7oad& Aa<pat 0agar and A<mal
Fhan 7oad.
)owe%er& in the last three "ears& it was noticed that the sales and the profits were
marginall" declining e%er" "ear despite the growing mar.ets for lamps and
shades. @hough a few competitors had also come up in mar.et& the" were no
immediate threat to Ahu<a Aamps. )owe%er& some customer complaints which
came to the )ead :ffice in Delhi from %arious outlets in the countr" were
derogator".
Gi<a" Di=it the 5hief $eneral 6anager at Delhi& who was responsi'le for all the
four outlets at Delhi& had aspirations to ma.e Delhi as a model operation. )e felt
%er" concerned and wanted to ta.e immediate action to impro%e customer ser%ice
and outlets sales performance. 9esides instructing the outlets managers for a
detailed feed'ac.& he wanted to o'tain first hand information himself. )e sent
some of the head office emplo"ees to the four Delhi outlets to pose as customers
and "spotters" and pro%ide him with report on what the" o'ser%ed and
e=perienced.
@he reports did not ma.e Gi<a" happ". @he ma<or complaint was regarding the
sales people 'eha%iour. @he" did not seem to ma.e an" efforts to con%ince the
customers and their actions were <ust mechanical answers in one or two words.
?e%eral of the spotters saw sales people lea%e their ser%ice counters to carr" on
e=tended con%ersations with each others and with some of the people who
appeared to 'e their personal friends. ;n addition& some sales people were se%eral
times heard using crude and %ulgar language in front of customers and displa" a
noticea'le disdain for organisational procedures and guidelines.
Gi<a" called a conference of his outlets managers and shared his concerns with
them. !hile all the four of them reluctantl" agreed with Gi<a"& the" also
mentioned that their sales men ma" 'e a little rough around the edges 'ut the"
.new their <o's 'ecause the" ha%e mostl" come up from the lowest rung and ha%e
'een with the Ahu<a Aamps for o%er 10 "ears.
)owe%er& Gi<a" was not full" con%inced. )e said "that there ma"'e some merit in
what "ou sa"& 'ut we are not going to .eep our mar.et reputation and top
position unless we turn around the 'eha%iour of our people. Delhi outlets are also
not going to 'e a model of customer ser%ice and sales performance unless we
smooth out those rough edges. )ow "ou do it is upto "ou. Hust do itI ;*ll chec.
'ac. with "ou in three months".
)e also followed this up in a memo along with other specific ad%erse comments of
the customers and spotters.
@he Delhi outlet managers were worried a'out the ultimatum. @heir sales people
and other outlet staff weren*t perfect& 'ut the" .new their lamps and shades
'usiness and ma<orit" of them had 'een with the compan" for more than 10
"ears. !hat could the" do# Gi<a" Di=it also 'riefed the top management a'out the
e=isting situation.
Question 1: As 7i/ay Di-it. ana!yse t$e situation and %ut u% t$e %o%osed
a'tions you +is$ to ta*e.
Question 2: As one o) t$e De!$i out!et #ana"es. +$at a'tions do you
%o%ose to ta*e&
Question 4: As t$e Mana"in" Die'to o) t$e A$u/a La#%s. +$at ste%s
+ou!d you 'onside in es%e't o) e%!a'e#ent. tainin" and #oti,ation
o) sta))&
CASE ST2D3 < ?
:3@ LIMITED
JEK Aimited was a large paper manufacturing compan" in ?outh ;ndia. the ma<or
departments of the factor" were:
a4 5hemical -rocessing
'4 -ulp Department
c4 -aper 6achine Department 3-6D4
d4 Cinishing Department
e4 $rading& !inding and -ac.ing Department
f4 Qualit" 5ontrol Department
-6D was the heart of the factor" where processed pulp was fed into the paper
machines. At first& a wet wea. paper was formed which was su'seBuentl" dried
and rolled. @went" eight wor.ers wor.ed in the -6D in four groups -each group
attending one machine. @he nature of the wor. on each machine was such that all
the se%en wor.ers had to wor. in cooperation. 9ecause no indi%idual tas. could 'e
specified& the group was made responsi'le for the wor. turned out '" them. All
the twent" eight wor.ers in the -6D had 'een with the compan" for o%er ten
"ears. @he compan" did not ha%e an" incenti%e wage s"stem for an" class of its
emplo"ees. @he" were all gi%en straight salaries with normal annual increments.
@he annual increments were sanctioned each "ear in a routine wa". ;t was the
polic" of the compan" that the increments should not 'e stopped unless the
concerned department head recommended such an action.
6r. 7og was placed incharge of the -6D a "ear ago. @hough 6r. 7og was a new
comer& he pro%ed himself to 'e a %er" competent person. @he management noted
that he was %er" aggressi%e and enthusiastic and .new his <o' well. At the end of
the "ear& when increments were due to 'e sanctioned& he recommended to the
management that increments due to ele%en men in his department should 'e
stopped& in his opinion the" were la+" and inefficient. @he ele%en men concerned
'elonged to all the four groups operating in the department. @he management&
though pu++led a'out the action recommended '" 6r. 7og& acted upon it and
stopped the increments due to the ele%en men concerned. @he management was
aware that such an action was the first of its .ind in the histor" of the compan"
and could lead to strained relations 'etween the management and the emplo"ees.
?oon after the action was ta.en& the ele%en emplo"ees concerned made a
representation to the management reBuesting them to let them .now what was
wrong with their wor. as to warrant stopping of their increments. @here was also
some unhappiness noticed among other wor.ers in the compan". @he
management was naturall" concerned and tried to further ascertain the detailed
reasons from 6r. 7og. !hen 6r. 7og could not pin point the reasons& the
management suspected that 6r. 7og*s recommendations were 'ased on his
"impressions" rather than the facts.
Question 1: E,a!uate t$e situation %e,ai!in" at t$is %oint o) ti#e in :3@
Ltd.&
Question 2: 8as t$e a'tion o) t$e #ana"e#ent %o%e&
Question 4: As Mana"e#ent 0C$ie) E-e'uti,e1 +$at ad,ise. i) any. +ou!d
you "i,e to M. Ro"&
Question 9: 5o+ +ou!d you 0as C$ie) E-e'uti,e1 $and!e t$e
e%esentation&

PART % C
O56e!tive Set % )
<& =hich o( the (ollo,i#) is #ot the ai* o( per(or*a#ce appraisal>
(a) To *a/e co*pe#satio# pla#s *ore scie#ti(ic a#d ratio#al&
(.) To select the .est ca#didates
(c) To ide#ti(y the #eeds o( trai#i#)
(d) To ide#ti(y pote#tialities (or other ,or/
2& =hich o( the (ollo,i#) is #ot a traditio#al a#d hi)hly scie#ti(ic *ethod o(
per(or*a#ce appraisal>
(a) Critical +#cide#t Method
(.) Poi#t Method
(c) Behaviourally A#chored Rati#) Scales (BARS)
(d) Ma#-to-Ma# co*pariso#
?& =hich o( the (ollo,i#) is #ot o#e o( the *oder# *ethods o( per(or*a#ce appraisal>
(a) ?6!
!
Tech#i0ues
(.) 6u*a# resource accou#ti#)
(c) 1radi#) Method
(d) BARS
;& +# the paired co*pariso# tech#i0ue o( per(or*a#ce appraisal' ,hich o( the (ollo,i#)
(or*ulae is applied>
(a) @o& o( co*pariso# = @-(@-<)
---------------
<?<
(.) @o& o( co*pariso# = @ -(@-<)
---------------
<
(c) @o& o( co*pariso# = @-(@-<)
--------------
2
(d) @o& o( co*pariso# = @ (@-<)
----------------
2
9& =hich o( the (ollo,i#) state*e#ts re)ardi#) MBA is #ot true>
(a) There is #o special provisio# i# MBA (or appraisi#) o( pro)ress .y .oth the
appraiser a#d the appraised&
(.) MBA has a special provisio# (or *utual )oal setti#)
(c) MBA has e*er)ed as a reactio# to the traditio#al *a#a)e*e#t practices
(d) MBA is .ased o# .ehavioural value o( (u#da*e#tal trust i# the )ood#ess o(
hu*a# .ei#)s&
6& ?6! De)ree Tech#i0ue does #ot evaluate the *a#a)er4s 0uality o( i#teractio#
,ith8
(a) Custo*ers
(.) Peers
(c) Su.ordi#ates
(d) Bosses
7& ?6! De)ree Tech#i0ue does #ot play a#y i*porta#t role i#8
(a) B#(oldi#) stre#)ths a#d ,ea/#esses i# the *a#a)i#) style o( assessee
(.) Boosti#) the *orale o( assessee
(c) Reveali#) truths a.out or)a#iCatio#al culture a#d a*.ie#ce
(d) Dorci#) i#(le5i.le *a#a)ers to i#itiate sel(-cha#)e
& =hich o( the (ollo,i#) state*e#t a.out ?6! de)ree tech#i0ue is #ot true>
(a) Assessees usually de#y the truth o( #e)ative (eed.ac/
(.) %i#/i#) (i#di#)s to re,ards *ay .e u#(air
(c) Ca# .e used to hu*iliate assessee(s)
(d) Ca# .e used i# ,riti#) 3o. descriptio#s
E& =hich o( the (ollo,i#) is #ot o#e o( the steps i# the process o( co#structi#) BARS>
(a) Collecti#) critical i#cide#ts
(.) Dorci#) choice descriptio#s
(c) Reclassi(icatio# o( i#cide#ts
(d) +de#ti(yi#) per(or*a#ce di*e#sio#s
<!& =hich o( the (ollo,i#) is #ot a *oder# *ethod o( per(or*a#ce appraisal>
(a) 6u*a# Resource Accou#ti#)
(.) 1raphic Rati#) Scale Method
(c) MBA
(d) Sel(-evaluatio#
<<& =hich o( the (ollo,i#) is #ot o#e o( the li*itatio#s a#d co#strai#ts o( per(or*a#ce
appraisal>
(a) Psycholo)ical Bloc/s
(.) $co#o*ic Bloc/s
(c) Tech#ical Pit Dalls
(d) Daulty Assu*ptio#s
<2& =hich o( the (ollo,i#) is #ot o#e o( the distortio#s i#volved i# per(or*a#ce
evaluatio#>
(a) 6alo e((ect
(.) Special te#de#cy
(c) Rater4s li/i#) a#d disli/i#)
(d) Co#sta#t errors
<?& =hich o( the (ollo,i#) is #ot a *ethod o( pote#tial evaluatio#>
(a) Revie, Appraisal
(.) Philips @F 6olla#d Model
(c) Descriptive $valuatio#
(d) Psycho*etric Tests
<;& =hich o( the (ollo,i#) is #ot i#cluded i# the 252 *atri5 used i# Philips4 6i-%o Model
o( pote#tial
evaluatio#>
(a) Developers
(.) Pro.le* Childre#
(c) Stars
(d) Pla##ed Separatio#
<9 =hich o( the (ollo,i#) (our 0ualities is )e#erally #ot i#cluded ,hile prepari#) 9-
poi#t scale (or
pote#tial evaluatio# i# Philips @F 6olla#d Model>
(a) Trai#i#) e((ective#ess
(.) Aperatio#al e((ective#ess
(c) +#terperso#al e((ective#ess
(d) Achieve*e#t *otivatio#
<6& =hich o( the (ollo,i#) is #ot co#sidered as o#e o( the .est practices o( pote#tial
evaluatio#>
(a) Re,ardi#) (or )ood per(or*a#ce i# the past
(.) Co**u#icati#) pote#tial appraisal to all e*ployees re)ularly
(c) +#corporati#) the appraisal a#d re,ard o( pote#tial i# the assess*e#t
syste*
(d) $#suri#) to disti#)uish re,ard (or pote#tial (ro* re,ard (or past
per(or*a#ce&
<7& As per Mihir' " Basu4s Survey' the appraisal syste* (or *a#a)erial perso##el i#
the Tata +ro# G Steel Co*pa#y (T+SCA) ,as i#troduced i# 8
(a) <E;?
(.) <E9?
(c) <E6?
(d) <E7?
<& =hich o( the (ollo,i#) (actors does #ot i#(lue#ce the *easure*e#t o( ,or/
per(or*a#ce>
(a) Situatio#al characteristics
(.) +#dividual Characteristics
(c) +*a)e o( the co*pa#y
(d) Per(or*a#ce Ma#a)e*e#t Procedures
<E& =hich o( the (ollo,i#) state*e#ts is (alse>
(a) 2o. a#alysis is the .asic (or per(or*a#ce sta#dards
(.) Su.3ective *easures i# per(or*a#ce appraisal are *ost desira.le
(c)Bsi#) *ultiple raters i*proves per(or*a#ce
(d) Rati#) scales are particularly su.3ect to .ias
2!& =hich o( the (ollo,i#) state*e#ts is correct>
(a) ?6! de)ree appraisal co*pare ratees to o#e a#other
(.) Assess*e#t Ce#ters4 assess*e#t is desira.le ,he# raters rate practically
all e*ployees a.ove avera)e
(c) Rati#) i# BARS is i# .ehavioural ter*s
(d) @arrative essay is the order o( ra#/i#) (ro* .est to ,orst
2<& =hich o( the (ollo,i#) is #ot the *a3or issue i# per(or*a#ce appraisal>
(a) Per(or*a#ce Criteria
(.) Re,ard criteria
(c) Purpose G appraisal syste*
(d) Measure*e#t tech#i0ue
22& The .asis (or per(or*a#ce sta#dard is8
(a) 2o. a#alysis
(.) $*ployees
(c) 6R Pla#s
(d) Co*pe#satio# Pla#
2?& Per(or*a#ce appraisals serve as .uildi#) .loc/s o(8
(a) Ma#po,er Pla##i#)
(.) 2o. a#alysis
(c) Career Pla##i#)
(d) Selectio#
2;& =hich o( the (ollo,i#) is a (uture-orie#ted appraisal tech#i0ue>
(a) MBA
(.) BARS
(c) Rati#) Scales
(d) Dield Revie, Method
29& =hich o( the (ollo,i#) tech#i0ue is least suscepti.le to perso#al .ias>
(a) BARS
(.) Dorced Choice
(c) Rati#) Scales
(d) Chec/ %ists
26& A disadva#ta)e o( rati#) scale is 8
(a) Deed.ac/
(.) Hua#ti(icatio# o( scores
(c) Ti*e i#volved
(d) Cost&
27& =hich o( the (ollo,i#) is #ot the typical Rater error>
(a) Stereo Typi#)
(.) Sa*e as *e
(c) 6or# e((ect
(d) Desire to .e accepted
2& =hich step o( the (ollo,i#) should #ot .e i#volved i# the revie, o( per(or*a#ce
appraisal>
(a) +**ediate Superior-su.ordi#ate Revie,&
(.) Decidi#) co*pe#satio#
(c) Mo#itori#)' Auditi#) a#d Appeals
(d) Revie, .y 6i)her %evels o( Ma#a)e*e#t
2E& =hich' accordi#) to @&D&R& Maier' o( the (ollo,i#) is #ot i#cluded i# the seve#
acco*plish*e#ts o( )ood cou#seli#)>
(a) Availa.ility o( e5pert /#o,led)e
(.) Co#(or*ity o( solutio# ,ith value syste*
(c) +de#ti(yi#) threats
(d) Develop*e#t o( respo#si.ility
?!& =hich o( the (ollo,i#) is #ot o#e o( the /ey ele*e#ts o( per(or*a#ce appraisal
,hich ca# .e achieved throu)h a# e((ective appraisal discussio#>
(a) $5cha#)e o( vie,s
(.) A)ree*e#t
(c) Deed.ac/
(d) Dise#cha#t*e#t
?<& =hich o( the (ollo,i#) is #ot o#e o( the *ai# su.-processes o( cou#seli#)>
(a) Co**u#icatio#
(.) Auto#o*y
(c) 6elpi#)
(d) +#(lue#ci#)
?2& =hich o( the (ollo,i#) is #ot i#volved i# 7Co**u#icatio#4>
(a) %iste#i#)
(.) Respo#di#)
(c) $*pathy
(d) Deed.ac/
??& =hich o( the (ollo,i#) is #ot i#cluded i# 7i#(lue#ci#)4>
(a) Auto#o*y
(.) Positive Re-e#(orce*e#t
(c) Mutuality
(d) +de#ti(icatio#
?;& =hich o( the (ollo,i#) is #ot i#volved i# 7helpi#)4>
(a) Positive Re-e#(orce*e#t
(.) Mutuality
(c) $*pathy
(d) Develop*e#t
?9& =hich o( the (ollo,i#) is #ot o#e o( the /ey aspects o( co#ducti#) Appraisal
Discussio#>
(a) Su**atio#
(.) Atte#di#)
(c) Pro)ressio#
(d) Accepta#ce
?6& =hich o( the (ollo,i#) is #ot o#e o( the three disti#ct aspects ,hich ca# .e
ide#ti(ied i# 7Actio# Pla##i#)4>
(a) Positive Re0uire*e#t
(.) Ma#a)e*e#t Support
(c) Decisio# Ma/i#)
(d) Searchi#)
?7& =hich o( the (ollo,i#) is #ot o#e o( the steps esse#tial (or develop*e#t a#d
i#troductio# o(
per(or*a#ce appraised syste*>
(a) Deterri#) a# overall approach to per(or*a#ce appraised syste*
(.) Setti#) up pro3ect tea*
(c) Appropriate co*pe#sati#) the Pro3ect Tea*
(d) Pilot testi#)
?& =hich o( the (ollo,i#) is #ot the purpose o( sel(-appraisal>
(a) Arie#ti#) the e*ployee re)ardi#) the i#tricacies o( per(or*a#ce appraisal
syste*
(.) Providi#) a (or*al opportu#ity (or the e*ployee to recapitulate&
(c) +de#ti(yi#) his o,# develop*e#t #eeds
(d) +#itiati#) a# or)a#iCatio#-,ide process o( revie, a#d re(lectio# a#d
supportive cli*ate
?E& =hich is #ot the adva#ta)e o( ?6! de)ree appraisal>
(a) Re0uires e5te#sive trai#i#)
(.) +s *ore o.3ective .ei#) *ulti-rater .ased
(c) +#creases accou#ta.ility o( e*ployees to custo*ers
(d) +#creases credi.ility o( per(or*a#ce appraisal
;!& =hich o( the (ollo,i#) is #ot the #e, per(or*a#ce *easure that 1odre3 G Boyce
has ide#ti(ied>
(a) @et,or/i#) Capital Retur#s
(.) Retur# o# +#vest*e#t
(c) Folu*e o( Busi#ess 1ro,th
(d) @et co#tri.utio# o( the Divisio#
O56e!tive Set 1
1. @he most common t"pe of -A ?"stem followed in pu'lic sector is:
a. 6anagement group appraisal
'. ?uperior - su'ordinate appraisal
c. ?taff - group appraisal
d. 5ommittee appraisal
2. !hich of the following is not a t"pical rater error:
a. A%erage 'eha%iour
'. Cirst impression
c. 5entral tendenc"
d. )alo effect
3. ?pillo%er effect in 7ater rror means
a. 7atee ma" 'e rated strictl" or lenientl"
'. ;nfluenced '" most recent 'eha%iour
c. 7ating on one percei%ed positi%e Bualit"
d. -ast performance influencing present appraisal
(. ")alo" ffect is caused '"
a. ?tatus of the ratee
'. 7atee*s appointment
c. :'ser%ance of single positi%e Bualit" in the ratee
d. ?tatus of the rater
,. Appraisal discussion should 'e done:
a. Quarterl"
'. )alf "earl"
c. nd of the reporting period
d. An" time at the discretion of the rater
6. 360 Degree Appraisal means appraisal '":
a. ;mmediate superior of appraisee
'. A group of senior managers
c. ;mmediate superior and su'ordinates
d. ;mmediate superiors& su'ordinates and selected colleagues of the
appraisee
/. -otential appraisal can 'est 'e <udged '":
a. -erformance appraisal
'. ;n 'as.et e=ercises
c. 6a.ing a person "Dnder ?tud""
d. 6a.ing a person officiate in higher appointment
1. 5ommon uses of information generated %ia -A include all the following
e=cept:
a. Administrati%e decisions
'. @raining and de%elopment needs
c. ;nput to <o' content e%aluation
d. Galidation of selection de%ices
8. @he responsi'ilities of )76 Department in -A ?"stem includes:
a. Galuation of emplo"ees
'. 7e%iew of appraisals with emplo"ees
c. 6aintenance of a reporting s"stem to ensure timel" appraisals
d. 0one of the a'o%e
10.@he responsi'ilities of managers in utili+ation of a -A ?"stem include:
a. ?election of methods
'. 7e%iew of appraisals with emplo"ees
c. 6aintenance of a reporting s"stem to ensure timel" appraisals
d. 0one of the a'o%e
11.As a ratee m" most important concern 3regarding -A4 is:
a. 0on-performance
'. 9iases
c. Galidit" of appraisal format
d. Does the rater .now me adeBuatel"
12.6a<orit" of the raters tend to inflate performance report due to :
a. Feeping su'ordinates happ"
'. -ersonal <o' securit"
c. @o impro%e organisational effecti%eness
d. @o retain good people in the organisation
13.-erformance re%iew is done to :
a. 7eward wor. done
'. Cocus on areas reBuiring impro%ement
c. $i%ing appropriate feed 'ac. to indi%idual
d. All of the a'o%e
1(.5ounselling is :
a. )elping the emplo"ee to grow and de%elop
'. $i%ing him feed'ac.
c. 7eading his performance report
d. =plaining legal implications
1,.Fe" result areas are usuall" ter>med as :
a. :'<ecti%es
'. 6ission
c. $oals
d. F7As
16.@he process of identif"ing and de%eloping people to replace the current
incum'ents in .e" position is called:
a. -otential appraisal
'. -erformance appraisal
c. 5areer planning
d. ?uccession planning
1/.All reasona'l" health" adults ha%e a considera'le reser%oir of "-otential
energ"" is one of the 'asic principles of:
a. 6oti%ation
'. -erformance appraisal
c. -otential e%aluation
d. Ho' e%aluation
11. A -A ?"stem can 'e used for the following& e=cept:
a. )uman 7esource -lanning
'. @one up performance
c. ;dentif" indi%iduals with high potential
d. Discipline emplo"ees
18. 9" ma.ing effecti%e use of the -A ?"stem an organisation ma" 3tic. mar. -
wrong one4 see. to :
a. ;mpro%e producti%it"
'. 5reate a positi%e wor. en%ironment
c. ;mpro%e <o' anal"sis
d. ?timulate& recognise and reward achie%ements
20. -erformance appraisal s"stem in an" organisation depends su'stantiall" on
fi%e factors& which one of the following is not a factor:
a. 5oncept
'. 5riteria
c. 5onte=t
d. 5ommunit"
21. An appraiser is the one:
a. !hose performance is 'eing appraised
'. !ho does the appraisal
c. !ho is one of the managers in the organisation
d. 0one of the a'o%e
22. An appraisee should .now the following aspects of performance appraisal
e=cept:
a. !hat
'. !h"
c. 9" whom
d. !hether
23. ;n a traditional form of -A& a confidential report is a report on :
a. @he su'ordinate
'. A colleague
c. A superior
d. 0one of the a'o%e
2(. @he confidential report s"stem is usuall" a descripti%e one and permits a lot
of:
a. :'<ecti%it"
'. ?u'<ecti%it"
c. Aatitude
d. Cle=i'ilit"
2,. A negati%e confidential report is reBuired to 'e communicated to the ratee
and if the ratee disagrees:
a. @he report needs to 'e rewritten
'. @he report needs to 'e modified
c. A noting to this effect is made on the appraisal format
d. 0one of the a'o%e
26. ;n trait appraisal& the pro'lem with the trait is that the" often relates:
a. 6ore to people
'. 6ore to <o's
c. 6ore to people than to <o'
d. 0one of the a'o%e
2/.!hich one of the following is not an appraisal techniBue:
a. 69:
'. 5onfidential report
c. @rait appraisal
d. Hudging method
21."7ating ?cales" is an appraisal techniBue where performance is measured
through:
a. Assigning num'ers 30 to ( or 1 to 8 etc.4
'. Assigning alpha'ets 3A to D or 4
c. !ords which are descripti%e ad<ecti%es 3:utstanding& %er" good& good& fair
and poor4
d. All the a'o%e
28."7an.ing @echniBue" is a form of:
a. 5omparati%e measurement
'. ?u'<ecti%e assessment
c. :'<ecti%e e%aluation
d. 0one of the a'o%e
30."-aired 5omparison" techniBue reBuires the rater to appraise:
a. $roup of two emplo"ees together
'. $roup of four emplo"ees together
c. !hich of the two emplo"ees is superior
d. !hich two emplo"ees are not suita'le
31.;n "-aired 5omparison" techniBues& the num'er of comparisons to 'e made for
( persons will 'e:
a. (
'. 6
c. 1
d. 10
32.;n -A "9A7?" stands for:
a. A form of soap or steel
'. 9eha%iourall" anchored rating scale
c. 9eha%iour and re%iew s"stem
d. 0one of the a'o%e
33.A rater could 'e an"one of the following e=cept:
a. An appraisee
'. A superior
c. A su'ordinate
d. A mem'er of the )7D Department
3(.?ometimes clients or users are as.ed to rate the emplo"ees with whom the"
interact most in which of the following t"pes of organisations:
a. -roduct oriented organisation
'. ?er%ice oriented organisation
c. )ea%" industries
d. 5onsumer item organi+ations
3,. !hich of the following is not a rater*s concern:
a. Desire to 'e accepted
'. 5oncern for self protection
c. Cear of pla"ing $od
d. ?tereo t"ping
36.")orn ffect" is opposite of:
a. Cirst impressions
'. 5entral tendenc"
c. Aatest 'eha%iour
d. 0one of the a'o%e
3/.")alo ffect" means 'asing the entire appraisal on the 'asis of:
a. :ne percei%ed positi%e Bualit"
'. :ne percei%ed negati%e Bualit"
c. Cirst impression
d. :ld associations
31."?pillo%er ffect" is caused due to:
a. -ast performance
'. -resent performance
c. Appointment held
d. ?tatus of the appraisee
38.";n Appraisal '" :'<ecti%es" F7As are decided '":
a. Appraiser
'. Appraisee
c. 9" 'oth appraiser and appraisee
d. ;n ad%ance through <oint effort of appraiser and appraisee
(0."5onscious efforts to minimi+e personal 'iases" is a step in:
a. -reparation of appraisal format
'. ducating appraisee
c. ;mpro%ing the accurac" of ratings '" raters
d. 7e%iew mechanism
(1.A s"stem of representation '" a ratee against his report is called:
a. $rie%ance handling
'. An appeal s"stem
c. An inter%iew
d. 7e%iew
(2.-erformance refers to one*s:
a. 9eha%iour and s.ills
'. A'ilities in meeting the reBuirement on the <o' which one currentl" holds
c. Achie%ements
d. All the a'o%e
(3.-otential refers to the:
a. A'ilities present 'ut not currentl" utili+ed
'. A'ilit" to discharge higher responsi'ilities in future role
c. 9oth 3a4 and 3'4 a'o%e
d. 0one of the a'o%e
((. @he focus of an appraisal discussion 3inter%iew4 should 'e on:
a. )ow to impro%e the performance of the ratee
'. )ow to moti%ate ratee
c. )ow to de%elop ratee
d. )ow the rater and ratee ma"& together endea%our to impro%e performance
(,. -erformance appraisal is an important component of:
a. 6anagement information and control s"stem
'. @raining and de%elopment
c. 7ecruitment and selection s"stem
d. !age fi=ation
(6. @raditionall" the first re%iew of an annual performance appraisal report is done
'":
a. )7 Department
'. @he 5:
c. ;mmediate superior of the rater
d. A committee appointed '" the 5:
(/. !hich one of the following is not a critical phase of conducting an appraisal
discussion inter%iew:
a. 7apport 'uilding
'. =plorator"
c. Action planning
d. Ad%ising
(1. @he approaches in appraisal discussion:
a. ?hould 'e directi%e
'. ?hould 'e non-directi%e
c. 6a" 'e directi%e or non-directi%e
d. 5om'ination of 'oth directi%e and non-directi%e
(8."@ell and listen" method is another name of:
a. Directi%e approach
'. 0on-directi%e approach
c. 5om'ination of 'oth 3a4 and 3'4 a'o%e
d. 0one of the a'o%e
,0. @he word @A-" is used for:
a. -erformance and -otential %aluation
'. -erformance Appraisal and -otential %aluation
c. -otential and -erformance %aluation
d. -ast and -resent ntitlements