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Performance Management Flashcards

7 cards from real SPHR practice questions. Tap to flip, then mark Knew It or Still Learning โ€” missed cards come back until you master them.

Read the first 7 Performance Management flashcards as text
  1. Which performance management approach requires managers to evaluate employees by placing them into predetermined categories such as top performers, average performers, and low performers?

    Answer: Forced distribution (stack ranking)

    Forced distribution requires managers to rank employees into fixed percentage groups, mirroring a bell curve distribution.

  2. In a Management by Objectives (MBO) system, goals are most effective when they are set:

    Answer: Collaboratively between manager and employee

    MBO works best when goals are set collaboratively, increasing employee buy-in and alignment with organizational objectives.

  3. Which type of performance appraisal error occurs when a rater allows one outstanding trait to positively influence ratings across all other dimensions?

    Answer: Halo effect

    The halo effect occurs when one positive characteristic causes a rater to rate an employee favorably on all other dimensions.

  4. Behaviorally Anchored Rating Scales (BARS) are most valued because they:

    Answer: Tie performance ratings to specific observable behaviors

    BARS anchor each rating level to concrete behavioral examples, improving consistency and reducing rater subjectivity.

  5. When using a 360-degree feedback system, which group of raters is MOST important for assessing a senior HR leader's strategic influence?

    Answer: Peers, direct reports, and senior leadership

    360-degree feedback gains its value from multiple perspectives, including peers, subordinates, and superiors, providing a well-rounded view of performance.

  6. A performance improvement plan (PIP) is BEST described as:

    Answer: A structured plan to help an underperforming employee meet job expectations

    A PIP is a documented plan outlining specific performance deficiencies and the steps needed to achieve satisfactory performance.

  7. Which metric BEST measures the effectiveness of a performance management system in differentiating high and low performers?

    Answer: Distribution of performance ratings across rating categories

    Examining the distribution of ratings reveals whether the system meaningfully differentiates performance levels or suffers from rating compression.