Construct Validity Evidence for Multisource Performance Ratings: Is Interrater Reliability Enough?

2016 ◽  
Vol 9 (2) ◽  
pp. 329-333 ◽  
Author(s):  
Jisoo Ock

As organizations become decentralized and work becomes team based, organizations are adopting performance management practices that integrate employees’ performance information from multiple perspectives (e.g., 360-degree performance ratings). Both arguments for and against the use of performance ratings presented in the focal article focused on rater agreement (or lack thereof) as evidence supporting the position that multisource ratings are a useful (or not a useful) approach to performance appraisal. In the argument for the use of multisource ratings, Adler, Campion, and Grubb (Adler et al., 2016) point out that multisource ratings are advantageous because they lead to increased interrater reliability in the ratings. Although Adler and colleagues were not explicit about why this would be true, proponents of multisource ratings often cite the measurement theory assumption that increasing the number of raters will yield more valid and reliable scores to the extent that there is any correlation in the ratings (Shrout & Fleiss, 1979). In the argument against the use of multisource performance ratings, Colquitt, Murphy, and Ollander-Krane argued that because multisource ratings pool together ratings from raters who are systematically different in terms of their roles and perspectives about the target employee's performance, the increased number of raters is not expected to resolve the low level of interrater agreement that is typically observed in performance ratings (Viswesvaran, Ones, & Schmidt, 1996).

2016 ◽  
Vol 28 (3) ◽  
pp. 25-48 ◽  
Author(s):  
Henri C. Dekker ◽  
Rong Ding ◽  
Tom Groot

ABSTRACT In this study, we examine how firms' collaborative objectives influence their use of performance management practices in interfirm relationships. We conceptualize collaborative performance management to include three interrelated practices: measurement of interfirm performance, information sharing, and interaction between boundary spanners of partner firms. Prior research has related firms' interfirm control choices to transaction risk as proxied by “given” transaction characteristics. We hypothesize that transaction characteristics are determined by the strategic importance of the collaboration (manifested by the importance of firms' collaborative objectives) and, in turn, influence the use of firms' performance management practices. Analysis of survey data supports our hypotheses that strategic importance of the collaboration is associated with transaction characteristics (i.e., with asset specificity, transaction scope, task interdependencies, and environmental variability), which, in turn, mediate the influence of collaborative objectives on the use of performance management practices. We also find that performance measurement, information sharing, and boundary spanner interaction are used as complementary practices in the management of interfirm relationships.


2020 ◽  
Vol 33 (6/7) ◽  
pp. 613-627
Author(s):  
Ana I. Melo ◽  
Luís F. Mota

PurposeThis paper aims to analyse the state of performance management in the Portuguese public sector as part of the efforts towards public administration reform.Design/methodology/approachTheoretically, the authors took Bouckaert and Halligan's (2008, pp. 35–39) approach into consideration to analyse the adoption of performance management practices. This approach was supplemented by an adaptation of Pollitt and Bouckaert's (2011, p. 33) framework to analyse the context for administrative reforms. The used data analysis techniques include documentary analysis (namely legislation and evaluation reports of reform efforts), secondary data analysis and a survey conducted with 296 Portuguese top public managers.FindingsThe findings show that Portuguese public sector organisations adopted several tools to measure performance over the years, but failed to incorporate performance information into their management practices or to properly use it for either internal or external purposes. Concerning the ideal types proposed by Bouckaert and Halligan (2008, p. 36), Portugal is considered to fit the “performance administration” ideal type, even though it is moving closer to the “managements of performance” ideal type.Originality/valueThis is one of the first comprehensive studies on the state of performance management in Portugal framed within the broader context of public sector reforms. The findings will be of interest both to scholars who study public administration reforms and performance management and to Portuguese policy makers and public managers who are interested in understanding and improving the way performance information is measured, incorporated and used in that sector.


2016 ◽  
Vol 9 (2) ◽  
pp. 219-252 ◽  
Author(s):  
Seymour Adler ◽  
Michael Campion ◽  
Alan Colquitt ◽  
Amy Grubb ◽  
Kevin Murphy ◽  
...  

Despite years of research and practice, dissatisfaction with performance appraisal is at an all-time high. Organizations are contemplating changes to their performance management systems, the most controversial of which is whether to eliminate performance ratings. The pros and cons of retaining performance ratings were the subject of a lively, standing-room-only debate at the 2015 Society for Industrial and Organizational Psychology conference in Philadelphia (Adler, 2015). Given the high interest in this topic, this article recaps the points made by the panelists who participated in the debate. The arguments for eliminating ratings include these: (a) the disappointing interventions, (b) the disagreement when multiple raters evaluate the same performance, (c) the failure to develop adequate criteria for evaluating ratings, (d) the weak relationship between the performance of ratees and the ratings they receive, (e) the conflicting purposes of performance ratings in organizations, (f) the inconsistent effects of performance feedback on subsequent performance, and (g) the weak relationship between performance rating research and practice in organizations. The arguments for retaining ratings include (a) the recognition that changing the rating process is likely to have minimal effect on the performance management process as a whole, (b) performance is always evaluated in some manner, (c) “too hard” is no excuse for industrial–organizational (I-O) psychology, (d) ratings and differentiated evaluations have many merits for improving organizations, (e) artificial tradeoffs are driving organizations to inappropriately abandon ratings, (f) the alternatives to ratings may be worse, and (g) the better questions are these: How could performance ratings be improved, and are we conducting the entire performance management process properly? The article closes with questions organizational members have found useful for driving effective performance management reform.


2020 ◽  
Vol 4 (1) ◽  
pp. 26-41
Author(s):  
Andreas Petasis ◽  
Stylianos Christodoulou ◽  
Alexia Louca

Performance appraisals are important for effective evaluation and management of personnel. This research investigates the Electricity Authority of Cyprus’ employees’ perceptions of performance appraisal. Data were collected from 161 employees of the Organization, using an online semi-structured questionnaire, and analyzed using SPSS; the qualitative data were analyzed manually. The results of the study highlighted respondents’ perceptions with regard to the Organization’s performance management practices, which have a created a culture of mistrust towards the performance management system in use. The Organization’s present performance appraisal system seems to posit more shortcomings than strengths and it doesn’t seem to be integrated or linked with the organizational goals and missions of the Authority’s. The research has delivered some information on what needs to be changed in order to improve the current system. The findings have serious managerial implications for redesigning the performance appraisal system so as to be more effective, more credible and more transparent. These implications include actions towards introducing new methods, training the appraisers, increasing motivation and provision of resources for effective performance appraisal.


Author(s):  
Shalini Dixit Et.al

Performance management practices include various approaches to significantly assess the organizational performance and productivity. It includes critical analysis and evaluation of employees skills and knowledge to increase output at workplace which establishes culture of proper evaluation of individual performance i.e. directly linked with attainment of individual as well as organizational goal. With the changing dimensions of business operations performance of employees is ensured through involvement of strategic approaches which enables them to understand the required standards of performance and evaluation criteria to assess productivity with merits and demerits of learning and improving better alternatives which ultimately enhances the overall performance of organization. This study helps in critical assessment of various performance management practices and its effect on employee productivity in textile firms of Bhilwara city. The performance management practices comprised of employee appraisal system, training and development, reward system and feedback which all are considered as independent variables and dependent variable is defined as employee productivity. The research paper incorporates primary data collected through a structured questionnaire from a sample size of 100 respondents who worked at various managerial levels in textile firms. A descriptive research design is used for the analysis of data with the help of mean, standard deviation and regression analysis to accomplish the research objective of assessing the effect of independent variables performance appraisal, training & development, reward system and feedback on employee productivity. Various hypothesis are framed to test the results and draw inferences for the population. The study focuses on implementation of various approaches that can enhance employee productivity and develop a workforce through proper training and evaluation with the help of review and feedback mechanism and ensure growth of individuals as well as organization and fulfilment of organizational goals. The result is analysed through regression which helps in adoption of sustainable HR practices forced to rethink on decisions pertaining to employee productivity


Author(s):  
Hilla Peretz ◽  
Lena Knappert

This chapter reviews the literature on the intersection of culture and human resource management. More specifically, the chapter discusses why and how culture accounts for variance in human resource management practices and their outcomes between organizations operating in diverse cultural contexts. To that end, the chapter first provides a summary of how culture is defined and measured and reviews seven established frameworks of culture. Next, the chapter reviews related studies conducted by members of the Cranfield Network on International Human Resource Management and other established scholars in the literature of cultural variance in human resource management practices (i.e., recruitment and selection, performance management and performance appraisal, training and development, compensation and benefits, flexible work arrangement, diversity management, and high-performance work systems) and their outcomes. The chapter concludes with practical implications for multinational corporations and domestic organizations and provides an overview of future research avenues in the field.


2015 ◽  
Vol 8 (1) ◽  
pp. 108-111 ◽  
Author(s):  
Robert L. Cardy

Dissatisfaction with performance management (PM) has had a long history. Managers and employees alike have frustrations with the system, and numerous calls for the elimination of performance appraisal have been made over the years (e.g., Scholtes, 1999). The dissatisfaction and calls for elimination have created pressure for change in the practice of PM, and I applaud the focus on feedback and coaching that Pulakos, Mueller Hanson, Arad, and Moye (2015) have proposed. Providing feedback and being actively involved in the PM process would seem to be a key part of the job of managers, yet many managers are uncomfortable addressing this central task. Focusing efforts in our field on improving the skills of managers and helping managers become effective coaches can play a key role in improving PM. The need for improvement in the informal process, however, does not mean that the formal process is not needed. Pulakos et al. have suggested streamlining the formal PM system as much as possible, with particular emphasis on the possibility of eliminating performance ratings. It is argued here that the formal PM system still serves important purposes. It is also argued that a balance between the informal and formal aspects of the PM system needs to be maintained. These two issues are addressed below.


2020 ◽  
Vol 18 (3) ◽  
pp. 224-232
Author(s):  
Athmeeya Hunuganahalli Paramesh ◽  
Vishal Samartha ◽  
Rajesha Thekkekutt Mathukutti ◽  
Iqbal Thonse Hawaldar

Performance appraisal is the bedrock of talent management and has received much attention from scholars and researchers alike in their pursuit to develop accurate, objective, and robust Performance Management Systems (PMS). Through survey questionnaire the present study examines the prevalence of idiosyncratic rater biases on the performance appraisal systems and evaluates the measure of its impact. The correlations between the personality traits and the similarities of the raters’ workplace characteristics with the raters’ performance ratings are also determined. The study has provided empirical evidence of the manifestation of idiosyncratic rater bias in the company under study. The idiosyncratic rater tendencies showed a significant impact on performance ratings. It was seen that about one-third of the variations in the ratings were resultant of the idiosyncratic factors, such as similarities in the personality traits and workplace identities. It is also found that there exists a positive correlation between the similarities in the identities, as well as the personality traits of the raters and the ratees, and the way the rating awarded by the rater.


Author(s):  
Poul A. Nielsen ◽  
Caroline H. Grøn

Performance management systems in public organizations have grown in importance since the advent of new public management, but they often have a hard time delivering on their promises. This chapter discusses how managers can use performance management tools without demotivating their employees. The chapter points to six guidelines which should be kept in mind when using such tools. Managers should be given procedural autonomy; performance information should be used to increase learning; links between performance and rewards should be considered carefully; performance information and management practices should be used to support professional development and to avoid negative motivational effects and gaming; performance information should be used as a basis for dialogue; and, finally, performance management should increase employee autonomy and avoid documentation overload.


2017 ◽  
Vol 30 (5) ◽  
pp. 414-428 ◽  
Author(s):  
Harri Laihonen ◽  
Sari Mäntylä

Purpose The literature acknowledges the importance of interpretative processes, discussion, and organizational learning in public performance management, but a knowledge gap remains concerning the mechanism of performance dialogue. To fill this gap, the purpose of this paper is to study the principles of performance dialogue and collaborative performance management in public administration. Design/methodology/approach The study utilizes a longitudinal research setting and analyzes the evolution of performance management practices in one city organization in Finland. Findings The study suggests that performance dialogue needs to be integrated with management practices and explains how this can be done. Three guiding principles of performance dialogue and collaborative performance management are derived. These underline the role of “referees of the information game”, a supportive and encouraging environment and a focus on the use of performance information. Practical implications Performance information is too often provided as a back-office function, and dialogue with information users is either completely lacking or somehow disturbed. The performance dialogue provides a platform for collaborative sense making and helps managers to better understand the complex phenomena and processes they are responsible for. Originality/value The literature dealing specifically with the change from centralized and vertical performance management practices toward decentralized and horizontal practices is still scarce. This paper provides a new perspective on management control and organizational learning in public administration based on performance dialogue.


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