Lecture Performance management: Session 16 - Osman Bin Saif

In this chapter, the following content will be discussed: How strategic case analysis is used to simulate real-world experiences; how analyzing strategic management cases can help develop the ability to differentiate, speculate, and integrate when evaluating complex business problems; the steps involved in conducting a strategic management case analysis;. | HRM-755 PERFORMANCE MANAGEMENT OSMAN BIN SAIF LECTURE: SIXTEEN 1 Summary of Previous Lecture Who should provide performance information? Supervisors Peers Subordinates Self Customers Disagreement across sources: is this a problem? 2 Agenda of Today’s Lecture Rater Motivation Model Motivation for Inflated Ratings Motivation for deflated Ratings Preventing Conscious Distortion of Ratings Preventing Rater Distortion through Rater Training Programs 3 Rater Motivation Model Regardless of who rates performance, the rater is likely to be affected by biases that distort the resulting ratings. 4 Rater Motivation Model (Contd.) Performance ratings may be intentionally or unintentionally distorted or inaccurate. When this happens, incorrect decisions may be made, employees are likely to feel they are treated unfairly, and the organization is more prone to litigation. 5 Rater Motivation Model (Contd.) In other words when performance ratings are distorted, the performance management system not . | HRM-755 PERFORMANCE MANAGEMENT OSMAN BIN SAIF LECTURE: SIXTEEN 1 Summary of Previous Lecture Who should provide performance information? Supervisors Peers Subordinates Self Customers Disagreement across sources: is this a problem? 2 Agenda of Today’s Lecture Rater Motivation Model Motivation for Inflated Ratings Motivation for deflated Ratings Preventing Conscious Distortion of Ratings Preventing Rater Distortion through Rater Training Programs 3 Rater Motivation Model Regardless of who rates performance, the rater is likely to be affected by biases that distort the resulting ratings. 4 Rater Motivation Model (Contd.) Performance ratings may be intentionally or unintentionally distorted or inaccurate. When this happens, incorrect decisions may be made, employees are likely to feel they are treated unfairly, and the organization is more prone to litigation. 5 Rater Motivation Model (Contd.) In other words when performance ratings are distorted, the performance management system not only fails to result in desired outcomes but also may lead to very negative consequences for the organization. 6 Rater Motivation Model (Contd.) To prevent these negative outcomes, we need to understand why raters are likely to provide distorted ratings. A useful model to help us understand the rater’s motivation to provide accurate performance information is as following. 7 8 Rater Motivation Model (Contd.) The model shows that rating behaviors are influenced by; The motivation to provide accurate ratings The motivation to distort ratings. 9 Rater Motivation Model (Contd.) The motivation to provide accurate ratings is determined by whether the rater expects positive and negative consequences of accurate ratings and by whether the probability of receiving these rewards and punishments will be high if accurate ratings are provided. 10 Rater Motivation Model (Contd.) Similarly the motivation to distort ratings is determined by whether the rater expects any positive and negative .

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