Chapter 4: Employee Selection - Cost-effective and targets individuals already familiar

with the brand.

Employee Recruitment - attracting people with the right DISADVANTAGES
qualification to apply for the job - Limited reach—only seen by people who visit the
● External Recruitment - Recruiting employees from business.
outside the organization.
● Internal Recruitment - Recruiting employees already c. RECRUITERS
employed by the organization. Virtual Job Fairs - a job fair held in campus i which students can
tour. company online
Internal Promotions → Campus Recruiters - orgs. Send recruiters to college campuses
a. Competitive - internal applicants compete with each
for interviews and job inquiries — virtual job fairs are on the rise
other
b. Noncompetitive - “career progression”- usually result in → Outside recruiters
a change of titleas well as increase in salary — when Types of outside recruiters:
someone is promoted without having to compete, like ➔ Private employment agencies –Profit- based recruitment
getting picked because they’ve already shown they’re services.
ready ➔ Executive search firms – Specialized in hiring high-level
professionals.
- tend to be higher-paying such as engineers and computer
Steps in Selecting Employee programmers
- always charge their fees to orgs. rather than to applicants
1. Job analysis - fees charged by executive search firms tend to be about
2. Selection of testing methods 30% of the applicant’s first-year salary
3. Test validation ➔ Public employment agencies – Nonprofit, state/local
4. Recruitment government- operated.
5. Screening
6. Testing d. EMPLOYMENT AGENCIES AND SEARCH FIRMS
7. Selecting
8. Hiring/Rejecting ➔ Employment Agencies - An organization that
specializes in finding jobs for applicants and finding
applicants for organizations looking for employees.
➔ Executive Search Firms - better known as
a. MEDIA ADVERTISEMENTS “headhunters,” Specialize in high- paying, non-entry-
level jobs
→ Newspaper Ads - Running ads in periodicals such as local
➔ Public Employment Agencies - An employment service
newspapers or professional journals operated by a state or local government, designed to
→ Electronic Media - Using electronic media such as TV and match applicants with job openings/ designed primarily
radio ads is an effective recruitment tool. to help the unemployed find work, but they often offer
services such as career advice and résumé preparation.
ADVANTAGES:
- Screen time/Exposure to e-media e. EMPLOYEE REFERRALS
- Targeted Recruitment ➔ A method of recruitment in which a current employee
refers a friend or family member for a job.
b. POINT-OF-PURCHASE METHOD ➔ The typical time period that a new employee must stay
- A recruitment method in which help-wanted signs are with the company before the referring employee is
placed so that they can be viewed by people who visit the eligible for a bonus is three months
organization.
f. DIRECT MAIL
ADVANTAGES

TACLOB, VANESSA N. | PSYCH 3-A

 - A method of recruitment in which an organization sends ➔ Cost per applicant - considers the cost of the recruitment
out mass mailings of information about job openings to source relative to the number of applicants generated.
potential applicants ➔ Cost per qualified applicant - the amount of money
spent on a recruitment campaign divided by the number
g. INTERNET (major source of recruitment) of qualified people that subsequently apply for jobs as a
➔ Employer-based websites - These websites allow result of the recruitment campaign
organizations to list job openings, provide company
information, and allow applicants to upload résumés,
complete screening questions, and take employment META ANALYSIS INSIGHTS
tests. (company-specific websites where job seekers can
directly view and apply for positions at that company) - First theory suggests, employees recruited through inside
➔ Job Boards - private company whose website lists job sources may have a better understanding of the job and
openings for hundreds or thousands of organizations and the company
résumés for millions of applicants. (websites where many - Another theory suggests that different recruitment
companies post job openings) sources appeal to different types of applicants.
➔ Social Media - provides a variety of benefits to both he - Third, theory posits that employees are more likely to
job seeker and the hiring organization refer to individuals who are similar to themselves.
For Job Seekers - social media provides a platform to market their
background, experience, and skills
For the Hiring Org. - social media allows the opportunity to target
REALISTIC JOB PREVIEWS
potential applicants, reduces recruiting costs - A method of recruitment in which job applicants are told
➔ Job Marketplace - websites in which former or current both the positive and the negative aspects of a job.
employees can post review what is like to work for a - an honest look at what a job is really like, including both
particular employer the good and challenging parts, so they know what to
expect before they start
h. JOB FAIRS Expectation-lowering procedure - form of RJP that lowers an
- A recruitment method in which several employers are applicant’s expectations about the various aspects of the job
available at one location - focused on reducing a candidate’s expectations before
starting the job, so they are less likely to be disappointed
i. SPECIAL RECRUIT POPULATIONS by challenges or less ideal aspects of the work
INCREASING APPLICANT DIVERSITY - organizations make
special efforts to recruit women and underrepresented groups.
EFFECTIVE EMPLOYEE TECHNIQUES
- groups of people companies really want to hire, like
veterans or new graduates 1. THEY ARE VALID - based on a job analysis (content
validity), predicts work related behavior (criterion
j. NONTRADITIONAL SOURCES validity), and measures the construct it purports to
- When traditional recruitment methods are unsuccessful, measure (construct validity)
many organizations look for potential applicants from 2. THEY REDUCE THE CHANCE OF LEGAL
nontraditional sources CHALLENGE - if their content appears to be job related
- unusual places to find workers, like social media or (face validity), the questions don’t invade an applicant’s
community centers, instead of the usual job website privacy, and adverse impact is minimized
k. RECRUITING PASSIVE APPLICANTS 3. THEY ARE COST EFFECTIVE - Ideal selection tests
- recruiters to build relationships with professional are also cost-effective in terms of the costs to purchase or
associations for each of the fields in which they recruit create, to administer, and to score.

[Link] EFFECTIVENESS OF
RECRUITMENT STRATEGIES
EMPLOYMENT INTERVIEW
➔ Number of applicants - This method evaluates the
- an interviewer asks questions of an applicant and then
effectiveness of a recruitment source based on the
makes an employment decision based on the answers to
number of applicants it generates
TACLOB, VANESSA N. | PSYCH 3-A
 the questions as well as the way in which the questions ❖ WRITTEN INTERVIEWS - involve the applicant
were answered answering a series of written questions and then sending
the answers back through regular mail or through email.

b. ADVANTAGES OF STRUCTURED
INTERVIEWS

a. TYPES OF INTERVIEW

I. STRUCTURE - The structure of an interview is

determined by the source of the questions
❖ STRUCTURED INTERVIEW - the source of the
questions is a job analysis (job-related questions) all
applicants are asked the same questions there is a
standardized scoring key to evaluate each answer
❖ UNSTRUCTURED INTERVIEW - interviewers are free
to ask anything they want , are not required to have
consistency in what they ask of each applicant and may Incremental Validity - inidcates that structured interviews can add
assign numbers of points at their own discretion predictive power
Highly Structured - all criteria are met c. PROBLEMS WITH UNSTRUCTURED
Moderately Structured - two criteria are met INTERVIEWS
Slightly Structured - one criterion is met - POOR INTUITIVE ABILITY - Reliance on "gut
Unstructured - none of the criteria are met feelings" is ineffective: People are not good at using
intuition to predict behavior — no individual differences
II. STYLE - The style of an interview is determined by the in prediction ability
number of interviewees and number of interviewers. - LACK OF JOB RELATEDNESS - HR professionals
❖ One-on-one interviews involve one interviewer may have preferences for certain answers, but preference
interviewing one applicant does not equal predictive validity.
❖ Serial interviews involve a series of single interviews - PRIMARY EFFECTS (first impressions) - about 50% of
❖ Return interviews are similar to serial interviews with the interviewers determine within five minutes whether they
difference being a passing of time between the first and think an applicant will be a good fit for the position
subsequent interview - CONTRAST EFFECTS - An applicant’s evaluation is
❖ Panel interviews have multiple interviewers asking influenced by the performance of the previous applicant
questions and evaluating answers of the same applicant Uniqueness effect - This study found that applicants that provided
at the same time unique answers to traditional interview questions received higher
❖ Group interviews have multiple applicants answering evaluations and were more likely to receive a job offer
questions during the same interview - NEGATIVE INFORMATION BIAS - interviewers lack
❖ One could put together several combinations such as a knowledge of job requirements — Result: Applicants
serial-panel-group interview. may avoid honesty for fear of rejection.
- INTERVIEW-INTERVIEWEE SIMILARITY -
III. MEDIUM - Differ in the extent to which they are done Interviewees tend to receive higher scores if they are
in person similar to the interviewer in terms of personality, attitude,
❖ FACE TO FACE INTERVIEW - both the interviewer gender, or race
and the applicant are in the same room. - INTERVIEWEE APPEARANCE - More physically
❖ TELEPHONE INTERVIEWS - are often used to screen attractive applicants generally receive higher interview
applicants but do not allow the use of visual cues (not scores
always a bad thing Weight bias - is also evident People diagnosed with obesity are
❖ VIDEO CONFERENCING - conducted virtually through less
software such as Zoom, Teams, and GoToMeeting.
TACLOB, VANESSA N. | PSYCH 3-A
likely to be hired, receive lower interview scores, and get lower correlates with higher interview ratings and increases the
salary offers chances of being invited for a second interview.
- NONVERBAL CUES - Appropriate nonverbal ➢ During the Interview
communication (smiling, eye contact) correlates with Nonverbal Cues: A firm handshake, eye contact, smiling, and
higher interview scores. head nodding.
Verbal Behavior: First impressions are crucial.
Video Conference Interviews: Speak clearly, minimize hand
d. CREATING A STRUCTURAL INTERVIEW movements, look directly at the camera, and ensure good lighting
1. Determining the KSAOs to tap in the interview - and a professional background.
Gather detailed information about the job (tasks, ➢ After the interview - Follow-Up: Send a brief thank- you
conditions, competencies). email right after the interview.
- Identify the necessary knowledge, skills, abilities, and
other characteristics (KSAOs). B. WRITING COVER LETTERS
- Determine which KSAOs can be effectively measured
through interviews. - Cover letters - A letter that accompanies a résumé or job
2. Creating Interview Questions application
- Clarifiers – Fill in gaps from the applicant’s resume or - A well-written cover letter can be an asset but will not be
cover letter (e.g., employment gaps, awards). negative.
- Disqualifiers – Questions that must be answered a certain - Keep it to one page
way to qualify (e.g., “Are you available to work i. SALUTATION
weekends?”). - If possible, address the letter to a specific person (e.g., "Dear
- Skill-Level Determiners – Assess the applicant’s [Name]"). If you can't get the name, a safe option is "Dear Human
expertise in a particular skill (e.g., asking Spanish fluency Resource Director."
questions if the applicant claims proficiency).
- Future-Focused (Situational) Questions – Ask what an ii. PARAGRAPHS
applicant would do in a hypothetical work scenario. A. Opening paragraph should be one or two sentences long
- Past-Focused (Patterned Behavior Description - Mention that your résumé is enclosed.
Interviews, PBDIs) – Ask about past experiences that - State the job you’re applying for.
demonstrate job-related skills. - Mention how you found out about the job (e.g., website
- Organizational-Fit Questions – Determine if an applicant or referral).
aligns with the company culture and leadership style. B. Second paragraph
3. Creating a Scoring key for Interview Answer - Explain your qualifications for the job (highlight 3 key
➔ Right/Wrong Scoring - objectively correct or incorrect reasons).
answers - Do not simply repeat your résumé.
➔ Typical Answer Approach - Collect possible answers and - Four or five sentences
have subject-matter experts (SMEs) rate them. C. Third paragraph
➔ Key Issues Approach - SMEs list key points that should - Express why you are interested in the company
be included in an ideal answer. D. Closing Paragraph
- State how the employer can reach you
JOB SEARCH SKILLS
iii. SIGNATURE
A. SUCCESSFULLY SURVIVING THE INTERVIEW - Use phrases like “cordially” or “sincerely.”
PROCESS - Avoid using "Yours truly" or informal endings like
➢ Scheduling the interview - Reducing interview anxiety is “Love” or “Hugs and snuggles.
important, as there's a negative correlation between
anxiety and performance — Being on time is crucial. C. WRITING A RESUME
Applicants who arrive late have drastically lower chances ➢ Résumés are summaries of an applicant’s professional
of being hired. and educational background
➢ Before the interview - Understanding the company’s
products, services, and mission is key. It significantly
TACLOB, VANESSA N. | PSYCH 3-A
 ➢ Studies show résumés might not predict job performance
and can sometimes reduce the validity of employment
interviews.
➢ Résumés are often treated as advertisements to make an
applicant appear better than they are, leading to possible
inaccuracies (25% of résumés contain incorrect info).

I. CHARACTERISTICS OF EFFECTIVE RESUMES

➢ résumé must be attractive and easy to read.
➢ résumé cannot contain typing, spelling, grammatical, or
factual mistakes
➢ résumé should make the applicant look as qualified as
possible—without lying.
II. IMPRESSION FORMATION AND WRITING
RÉSUMÉS
➢ FIRST IMPRESSIONS
Start with a brief summary of your strengths, utilizing priming
(setting the stage), primacy (first impressions are crucial), and
short-term memory limits (no more than seven items).
➢ EDUCATION OR EXPERIENCE
List the most relevant section first (either education or experience),
depending on your strengths.
➢ IMPRESSION MANAGEMENT RULES
[Link]
[Link]
[Link]

Averaging versus adding model: A model proposed by Anderson

that postulates that our impressions are based more on the average
value of each impression than on the sum of the values for each
impression.

TACLOB, VANESSA N. | PSYCH 3-A

Chapter 5: Employee Selection: References and - This is an important point because every one of us probably
Testing knows people we don’t get along with, even though, all
things considered, we are basically good people.
- Thus, reference checkers should always obtain specific
Predicting Performance Using References and Letters of
behavioral examples and try to get consensus from several
Recommendation
references.
Difference among:
Reference check - The process of confirming the accuracy of résumé
IV. Predicting Future Performance
and job application information.
(a common belief is that the best predictor of future performance is
Reference - The Expression of opinion, either orally or through a
past performance. References and letters of recommendation are ways
written checklist, regarding applicant’s ability,previous
to try to predict future performance by looking at past performance.)
performance,work habits, character,or potential
➔ Validity coefficient - The correlation between scores on a
A letter of recommendation - is a letter expressing an opinion
selection method (e.g., interview, cognitive ability test) and
regarding an applicant’s ability, previous performance, work habits,
a measure of job performance (e.g., supervisor rating,
character, or potential for future success..
absenteeism).
➔ Corrected validity - A term usually found with meta-
Reasons for Using References and Recommendations
analysis, referring to a correlation coefficient that has been
I. Confirming Details on a Résumé
corrected for predictor and criterion reliability and for range
Résumé fraud - lying on their résumés about what experience or
restriction. Corrected validity is sometimes called “true
education they actually have.
validity.”
(one reason to check references or ask for letters of recommendation
is simply to confirm the truthfulness of information provided by the
1. Leniency - refers to the fact that most letters of
applicant.)
recommendation are very positive, with fewer than 1%
II. Checking for Discipline Problems
rating applicants as below average or poor.
(A second reason to check references or obtain letters of
- This might seem surprising because we know not everyone
recommendation is to determine whether the applicant has a history of
performs well at work. However, since applicants get to
such discipline problems as poor attendance, sexual harassment, and
choose their own references, they naturally pick people who
violence.)
will say good things about them.
Negligent hiring - A situation in which an employee with a previous
Fear of legal ramifications - it refers to the concern that giving a bad
criminal record commits a crime as part of their employment.
reference could lead to a lawsuit, where the person providing the
- If an organization hires an applicant without checking their
reference might be accused of saying something false and harmful.
references and background and they later commit a crime
- People giving references can be sued for defamation of
while in the employ of the organization, the organization
character if they say something false and harmful about
may be found liable for negligent hiring if the employee has
someone (slander for spoken statements, libel for written
a criminal background that would have been detected had a
ones). Because of this fear, many organizations avoid giving
background check been conducted.
any references at all to protect themselves legally.
Negligent reference - An organization’s failure to meet its legal duty
III. Discovering New Information About the Applicant
to supply relevant information to a prospective employer about a
Employers use a variety of methods to understand the personality and
former employee’s potential for legal trouble.
skills of job applicants; references and letters of recommendation
2. Knowledge of the Applicant.
certainly can be two of these methods.
- A second problem with letters of recommendation is that the
1. Former employers and professors can provide information
person writing the letter often does not know the applicant
about an applicant’s work habits, character, personality, and
well, has not observed all aspects of an applicant’s behavior,
skills.
or both.
2. Care must be taken, however, when using these methods
because the opinion provided by any particular reference
3. Reliability
may be inaccurate or purposefully untrue.
- The extent to which a score from a test or from an evaluation
ex. a reference might describe a former employee as “difficult to work
is consistent and free from error.
with,” implying that everyone has trouble working with the applicant.
- The third problem with references and letters of
It may be, however, that only the person providing the reference had
recommendation involves the lack of agreement between
trouble working with the applicant.
two people who provide references for the same person.

4. Extraneous Factors.
TACLOB, VANESSA N. | PSYCH 3-A
 - The fourth problem with letters of recommendation concerns ➔ For instance, some organizations may require a managerial
extraneous factors that affect their writing and evaluation. applicant to have an MBA.
➔ Ng and Feldman (2009) found that better-educated
Leniency: Most letters of recommendation are very positive
employees tend to:
because applicants choose their own references. Naturally, they pick
◆ Have higher job performance.
people who like them and will say good things. This is why fewer
◆ Be more likely to engage in organizational
than 1% of letters are negative, even though we know that not
citizenship behaviors.
everyone performs well at work.
◆ Be less likely to be absent.
Knowledge of the Applicant: The person writing the letter may not
◆ Be less likely to engage in substance abuse at
know the applicant well or hasn’t seen them in different situations.
work compared to less-educated employees.
As a result, their recommendation might not fully capture the
➔ A meta-analysis found education predicts performance for
applicant’s true skills or behavior. They could be giving a positive
police officers:
review based on limited interaction.
◆ Police academy performance: r = .26, ρ = .38.
Reliability: Different people can have different opinions about the
◆ Job performance: r = .17, ρ = .28.
same person. So, two people might give conflicting references,
◆ Education adds value to cognitive ability tests for
which makes it hard to trust which evaluation is more accurate or
predicting performance.
true. This happens because people see and judge others differently.
➔ Meta-analyses indicate that a student's GPA can predict:
Extraneous Factors: Things like the writer’s mood, writing style,
◆ Job performance (Roth et al., 1996).
or even how much time they have to write the letter can affect the
◆ Training performance (Dye & Reck, 1989).
quality of the recommendation. These outside factors might have
◆ Promotions (Cohen, 1984).
nothing to do with the applicant’s actual abilities, but they still
◆ Salary (Roth & Clarke, 1998).
influence the recommendation.
◆ Graduate school performance (Kuncel et al.,
2001).
V. Ethical Issues ➔ GPA is most predictive of job performance in the first few
Because providing references and letters of recommendation is a rather years after graduation, but using GPA may lead to adverse
subjective process (subjective sya kay base man sya sa on personal impact.
opinions and feelings), several ethical problems can arise involving ➔ Homeschooling has increased, complicating the use of
their use. education and GPA in employee selection:
Three ethical guidelines that reference providers should follow. ◆ In 2020, more than 4 million children were
1. explicitly state your relationship with the person you are homeschooled in the U.S., up from 1.1 million in
recommending - (e.g., are you their boss, friend, or family 2003.
member?). This helps the employer understand if your
recommendation might be biased. For example, if a mom
Predicting Performance Using Applicant Knowledge
writes a letter for her daughter without saying they’re Applicant Knowledge - Used primarily in the public sector, especially
related, the employer might trust the letter more than they for promotions. Job knowledge tests are designed to measure how
should. much a person knows about a job.
2. be honest in providing details - When writing a reference, Job knowledge tests - A test that measures the amount of job-related
you need to be truthful and share important information that
knowledge an applicant possesses.
the employer would want to know. ● Job knowledge tests are primarily used in the public
A good rule of thumb is to ask yourself, "If I were the
sector and are common for promotions.
employer, what would I need to know about this person?" ● They assess how much an applicant knows about a specific
You have to decide what’s relevant to the job, and it can
job. Examples:
sometimes be tough to balance being fair to the person with ○ Bartender applicants may be asked how to make
telling the truth.
certain drinks.
3. let the applicant see your reference before sending it - ○ HR applicants might be asked about conducting a
Show the person your letter before sending it, so they can job analysis.
decide if they want to use it. This is fair to the applicant and ● These tests are similar to college exams and are usually in
helps protect you from legal trouble. However, it can lead to multiple-choice format for ease of scoring but can also be
awkward conversations if the letter isn’t completely positive. essay-based or oral.
● Examples of job knowledge tests include:
Predicting Performance Using Applicant Training and Education ○ Tests on computer programming, electronics, and
➔ Many jobs require a minimum level of education or mechanical principles.
training for applicants to be considered.
TACLOB, VANESSA N. | PSYCH 3-A
 ○ Standardized job knowledge tests are used by commonly used in hiring to assess intelligence and problem-
state licensing boards (e.g., for lawyers, solving skills.
psychologists).
● A meta-analysis by Dye, Reck, and McDaniel (1993)
found:
○ Job knowledge tests are good predictors of
training performance (r = .27, ρ = .47) and on-
the-job performance (r = .22, ρ = .45).
○ High face validity (they seem directly related to
the job), making them well-received by
applicants.
● Adverse impact can result from job knowledge tests, and ➔ Siena Reasoning Test (SRT) - a test that measures thinking
they are only appropriate for jobs where applicants are ability without needing much prior knowledge. It uses made-
expected to have job knowledge before being hired or up and simple words to reduce unfair score differences
promoted. between different groups and still predicts things like school
or work performance.
Predicting Performance Using Applicant Ability ➔ Situational Judgment Test - gives people different work-
Ability - A basic capacity for performing a wide range of different related situations and asks how they would handle them. It
tasks, acquiring knowledge, or developing skills measures things like leadership, teamwork, and problem-
- Ability tests are used primarily for occupations in which solving skills.
applicants are not expected to know how to perform the job EXAMPLES: Wonderlic Personnel Test Example:
at the time of hire. You have 12 minutes to answer questions like:
Predicting Performance Using: "What is the next number in this sequence? 2, 4, 6, ___"
Applicant Ability - Used primarily for occupations in which Options:
applicants are not expected to know how to perform the job at the time 1. 7
of hire. Instead, new employees will be taught the necessary job skills 2. 8
and knowledge 3. 10
I. Cognitive Ability 4. 12
Cognitive Ability - Abilities involving the knowledge and use of Siena Reasoning Test (SRT) Example:
information such as math and grammar "Blip is to zorp as wug is to ___?"
- is related to employee performance across job type, job Options:
complexity, and country because it helps people learn 1. Nub
quickly, solve problems effectively, adapt to changes, and 2. Glib
handle both simple and complex tasks efficiently 3. Snup
Cognitive ability tests - tests designed to measure the level of 4. Flib
intelligence or the amount of knowledge possessed by an applicant. (No real prior knowledge needed, just logic).
- commonly used because they are excellent predictors of Situational Judgment Test Example:
employee performance and training performance "A coworker is consistently late to meetings. What would you
Cognitive ability is thought to predict work performance in two do?"
ways: Options:
1. by allowing employees to quickly learn job-related 1. Talk to them privately.
knowledge - Cognitive ability helps employees understand 2. Report them to your boss.
and learn new information or skills faster, which is useful for 3. Ignore the behavior.
performing well in their job. 4. Offer to remind them about meetings.
2. by processing information - Cognitive ability also enables
employees to handle and process complex information II. Perceptual Ability
efficiently, which helps them solve problems, make Perceptual ability - Measure of facility with such processes as spatial
decisions, and perform well in different situations resulting relations and form perception.
in better decision-making. - consists of vision (near, far, night, peripheral), color
discrimination, depth perception, glare sensitivity, speech
➔ Wonderlic Personnel Test - The cognitive ability test that (clarity, recognition), and hearing (sensitivity,auditory
is most commonly used in industry. attention, sound localization)
- is a 12-minute cognitive ability test with 50 questions,
TACLOB, VANESSA N. | PSYCH 3-A
 meeting job requirements. These standards are
illegal under the 1991 Civil Rights Act but still
sometimes used — A method where an
individual's performance is compared to others in
the same group but may not meet job
requirements.
ii. Absolute standards are based on the minimum
level needed to perform the job (e.g., dragging 170
pounds). The challenge lies in determining the
III. Psychomotor Ability
correct minimum for various job tasks, like how
Psychomotor ability - Measure of facility with such processes as
fast someone should run or how much weight to
finger dexterity and motor coordination
lift — A method that sets a fixed score based on
- includes finger dexterity, manual dexterity, control
the minimum requirements to perform a job. It
precision, multilimb coordination, response control, reaction
ensures that candidates meet the essential physical
time, arm-hand steadiness, wrist- finger speed, and speed-of-
demands, but finding the right threshold can be
limb movement
tricky.

IV. Physical ABility

Predicting Performance Using Applicant Skill
Physical ability - Tests that measure an applicant’s level of physical
I. Work Samples
ability required for a job.
- the applicant performs actual job-related tasks
- are often used for jobs that require physical strength and
the three key reasons work samples are excellent selection tools:
stamina, such as police officer, firefighter, and lifeguard
- Content Validity: Work samples are directly related to job
because these roles require precise hand-eye coordination,
tasks, ensuring they are closely aligned with the actual
fine motor skills, and quick physical responses.
work.
Physical ability is measured in one of two ways:
- Criterion Validity: These samples predict actual job
1. job simulations - Applicants perform actual job-related
performance, making them strong indicators of future work
physical tasks, such as firefighters climbing ladders or police
success.
officers firing guns. These tests are highly relevant to the job
- Face Validity: Applicants easily see the connection
but may be costly or pose safety risks.
between the sample and the job, leading to fewer legal
2. physical agility tests - Measure general physical abilities
challenges.
needed for the job (e.g., strength or endurance). These tests
are easier to administer but may not always reflect specific
II. Assessment Centers
job tasks as accurately as simulations do.
Assessment center A method of selecting employees in which
Physical requirements of police officers are divided into two
applicants participate in several job-related activities, at least one of
categories:
which must be a simulation, and are rated by several trained evaluators
- Athletic requirements: Easy to simulate, involving actions
Its major advantages are that assessment methods are all job-related
like running, crawling, and pulling.
and multiple trained assessors help to guard against many (but not all)
- Defensive Requirements: Harder to safely and accurately
types of selection bias
simulate, involving actions like restraining holds, kicking,
Unproctored internet- based testing An assessment method that can
and fending off attackers.
be taken virtually at any time and place and on the device of the
applicant’s choosing— test takers have the freedom to select the time,
Because physical ability tests often have adverse impact against
place, and device in which to take the assessment
women they have been criticized on three major points:
III. Development and Components
a. Job Relatedness -
a. The in-basket technique is designed to simulate the types
Critics of physical agility testing cite two reasons for questioning the
of daily information that appear on a manager’s or
necessity of physical agility: current out-of-shape police officers
employee’s desk.
and technological alternatives
b. Simulations - An exercise designed to place an applicant in
b. Passing Scores
a situation that is similar to the one that will be encountered
Physical ability tests face challenges in setting passing scores, with two
on the job — can include such diverse activities as role-plays
types of standards:
and work samples, place an applicant in a situation that is as
i. Relative standards compare applicants to others
similar as possible to one that will be encountered on the job
in the same group (e.g., gender), eliminating
adverse impact, but may result in candidates not
TACLOB, VANESSA N. | PSYCH 3-A
 c. Work samples - A method of selecting employees in which 2. Hold-out sample A group of employees who are not used in
an applicant is asked to perform samples of actual job- creating the initial weights for a biodata instrument but
related tasks. instead are used to double-check the accuracy of the initial
d. Leaderless group discussion - A selection technique, weights.
usually found in assessment centers, in which applicants
meet in small groups and are given a problem to solve or an b. Criticisms of Biodata
issue to discuss - The first holds that the validity of biodata may not be
e. Business simulation games - An exercise, usually found in stable—that is, its ability to predict employee behavior
assessment centers, that is designed to simulate the business decreases with time.
and marketing activities that take place in an organization - The second criticism is that some biodata items may not
f. Gamification - The application of game-like elements to meet the legal requirements stated in the federal Uniform
traditional assessments Guidelines, which establish fair hiring methods. Of greater
concern is that certain biodata items might result in adverse
IV. Evaluation of Assessment Centers impact.
- Research indicates that assessment centers have been To make biodata instruments less disagreeable to critics, Gandy
successful in predicting a wide range of employee behavior and Dye (1989) developed four standards to consider for each
potential item:
Predicting Performance Using Prior Experience 1. The item must deal with events under a person’s control
I. Experience Ratings (e.g., a person woul have no control over birth order but
- The basis for experience ratings is the idea that past would have control over the number of speeding tickets they
experiences will predict future experience received).
- meta-analytic results indicate that prior experience is a weak 2. The item must be job-related.
predictor of future work performance, training performance, 3. The answer to the item must be verifiable (e.g., a question
and turnover about how many jobs an applicant has had is verifiable, but
- experience by itself is not enough. Having 10 years of low- a question about the applicant’s favorite type of book is not).
quality unrelated experience is not the same as 10 years of 4. The item must not invade an applicant’s privacy (asking why
high-quality related experience an applicant quit a job is permissible; asking about an
applicant’s sex life is not)
II. Biodata
Biodata - A method of selection involving application blanks that Predicting Performance Using Personality, Interest, and
contain questions that research has shown will predict job performance Character
a. Development of a Biodata Instrument I. Personality Inventories
information about employees is obtained in one of two ways: - A psychological assessment designed to measure various
1. File approach - The gathering of biodata from employee aspects of an applicant’s personality.
files rather than by questionnaire — we obtain information a. Tests of Normal Personality - measure the traits exhibited by
from personnel files on employees’ previous employment, normal individuals in everyday life.
education, interests, and demographics - Determination of the number and type of personality
2. Questionnaire approach - The method of obtaining biodata dimensions measured by an inventory can usually be (1)
from questionnaires rather than from employee files — based on a theory, (2) statistically based, or (3) empirically
major drawback in this approach is that information cannot based.
be obtained from employees who have quit or have been ➔ theory-based
fired 1. Myers-Briggs Type Indicator (MBTI): This test has
four scales that correspond to the personality theory
➔ Criterion groups - Division of employees into groups developed by Carl Jung. These dimensions measure aspects
based on high and low scores on a particular criterion such as introversion-extraversion and thinking-feeling.
➔ Vertical percentage - method For scoring biodata in which 2. Edwards Personal Preference Schedule (EPPS): This
the percentage of unsuccessful employees responding in a test, which includes 15 dimensions, is based on the theory
particular way is subtracted from the percentage of of Henry Murray, who proposed various human needs or
successful employees responding in the same way motivational constructs.
psychologists advise that employees should be split into two samples ➔ statistically based
when a biodata instrument is created: - test is determined through a statistical process called factor
1. Derivation sample A group of employees who were used in analysis.
creating the initial weights for a biodata instrument.
TACLOB, VANESSA N. | PSYCH 3-A
 - 6PF (Personality Factor) test, was created by Raymond f. Shrinkage The amount of goods lost by an organization as
Cattell and, as its name implies, contains 16 dimensions. a result of theft, breakage, or other loss
➔ Empirically based IV. Conditional Reasoning Tests
- is determined by grouping answers given by people known - Test designed to reduce faking by asking test-takers to select
to possess a certain characteristic. the reason that be
1. Minnesota Multiphasic Personality Inventory-2 (MMPI-2)
by Starke R. Hathaway and J. Charnley McKinley - The V. Credit History
most widely used objective test of psychopathology. - 25% of employers conduct credit checks for at least some
2. Big Five,” or the five-factor model, these dimensions are jobs.
■ openness to experience (bright, inquisitive); - These credit checks are conducted for two reasons:
■ conscientiousness (reliable, dependable); (1) Employers believe that people who owe money might be more
■ extraversion (outgoing, friendly); likely to steal or accept bribes
■ agreeableness (works well with others, a team player); and (2) employees with good credit are more responsible and conscientious
■ emotional stability (not anxious, tense). and thus will be better employees.
Fair Credit Reporting Act (FCRA) A federal law that provides
b. Tests of Psychopathology people with certain rights regarding the collection and use of credit
➔ determine whether individuals have serious psychological history reports
problems such as depression, bipolar disorder, and VI. Criminal History
schizophrenia - 93% of organizations check an applicant’s criminal history
➔ Projective tests: Subjective assessments where individuals for at least some jobs. If an organization is going to consider
perform unstructured tasks, such as drawing, and a an applicant’s criminal history, it first needs to determine the
psychologist analyzes their responses. extent to which a prior criminal conviction is related to the
➔ Rorschach Inkblot Test: A projective personality test using job being applied for.
inkblots to assess personality traits. - If an applicant’s prior criminal history is not related to the
job in question, the employer cannot consider it as part of the
➔ Thematic Apperception Test (TAT): A projective
hiring process. If it is, the employer must determine an
personality test where individuals are shown pictures and
exclusionary period, the amount of time that must pass
asked to tell stories, designed to measure various needs.
since conviction or release from prison before the conviction
is no longer considered.
II. Interest Inventories
Exclusionary period - The amount of time that must pass since
- Designed to tap vocational interests
conviction or release from prison before the conviction is no longer
a. Interest inventory A psychological test designed to identify
considered as being relevant to the hiring decision
vocational areas in which an individual might be interested.
VII. Graphology
b. Strong Interest Inventory (SII) A popular interest
- An interesting method to select employees is handwriting
inventory used to help people choose careers.
analysis
c. Vocational counseling The process of helping an individual
Graphology Also called handwriting analysis, a method of measuring
choose and prepare for the most suitable career.
personality by looking at the way in which a person writes
- To analyze a person’s handwriting, a graphologist looks at
III. Integrity Tests the size, slant, width, regularity, and pressure of a writing
a. Integrity test Also called an honesty test; a psychological
sample. From these writing characteristics, information
test designed to predict an applicant’s tendency to steal about temperament and mental, social, work, and moral
b. Polygraph An electronic test intended to determine honesty
traits is obtained.
by measuring an individual’s physiological changes after
being asked questions.
Predicting Performance Limitations Due to Medical and
c. Voice stress analyzer An electronic test to determine
Psychological Problems
honesty by measuring an individual’s voice changes after
I. Drug Testing
being asked questions.
Drug testing Tests that indicate whether an applicant has recently used
d. Overt integrity tests A type of honesty test that asks
a drug. — To detect the use of illicit substances that may impair job
questions about applicants’ attitudes toward theft and their
performance and safet, helps ensure a safe and productive work
previous theft history.
environment by identifying potential risks associated with drug abuse
e. Personality-based integrity tests A type of honesty test that
- 20.8% of people in the United States admitted to using illicit
measures personality traits thought to be related to antisocial
drugs in the past year and HR professionals believe not only
behavior
TACLOB, VANESSA N. | PSYCH 3-A
 that illegal drug use is dangerous but also that many ➔ Be personable and specific: Address letters individually,
employees are under the influence of drugs at work. express appreciation, and explain who was hired and their
Drug-Free Workplace Act of 1988 A federal law that requires federal qualifications to improve applicant attitudes (Aamodt &
contractors with a contract of at least $100,000 to maintain a drug-free Peggans, 1988).
workplace. ➔ Include details about who was hired: Mentioning the
II. Psychological Exams individual hired increases satisfaction with the selection
- usually consist of an interview by a clinical psychologist, an process (Aamodt & Peggans, 1988; Gilliland et al., 2001).
examination of the applicant’s life history, and the ➔ Avoid listing a contact person: Including a contact reduces
administration of one or more of the psychological tests — the likelihood that the applicant will reapply or use the
It helps employers identify if the applicant poses any company's products (Waung & Brice, 2000).
psychological danger to themselves or others, ensuring
mental fitness for safety-sensitive roles, ensure that an
employee can handle the physical demands of a job without
risk of injury or endangering others, especially in jobs that
require significant physical exertion.
-
III. Medical Exams
- Many employers require that a medical exam be taken after
a conditional offer of hire has been made — to evaluate if
the applicant is physically capable of performing the job
safely.

IV. Legal Issues

Rejecting Applicants
- Once a decision has been made regarding which applicants will be
hired, those who will not be hired must be notified. Rejected applicants
should be treated well because they are potential customers and
potential applicants for other positions that might become available in
the organization
Rejection letter A letter from an organization to an applicant
informing the applicant that they will not receive a job
rejection letters differ to the extent that they contain the following
types of responses:
■ A personally addressed and signed letter
■ The company’s appreciation to the applicant for applying for a
position with the company
■ A compliment about the applicant’s qualifications
■ A comment about the high qualifications possessed by the other
applicants
■ Information about the individual who was actually hired Chapter 7: Evaluating Employee Performance
■ A wish of good luck in future endeavors
■ A promise to keep the applicant’s résumé on file Determine the Reason for Evaluating Employee Performance
the best way to write a rejection letter, the following guidelines are ● the first step in the performance appraisal process is to
probably a good place to start: determine the reasons your organization wants to evaluate
➔ Send rejection letters/emails: Most organizations don't employee performance.
notify applicants, but not doing so leads to negative feelings Various Performance Appraisal Techniques
toward the organization (Waung & Brice, 2000). ➔ forced-choice rating scale - A method of performance
➔ Delay sending the rejection: Applicants react more appraisal in which a supervisor is given several behaviors
positively if there is a delay. Immediate rejections may make and is forced to choose which of them is most typical of the
applicants feel quickly discarded, but a delay of about two employee
weeks results in a perception of fairness (Waung & Brice,
2000; Cortini et al., 2019).
TACLOB, VANESSA N. | PSYCH 3-A
 ➔ 360-degree feedback - excellent source for improving
employee performance but is not appropriate for Identify Environmental and Cultural Limitation
determining salary increases.
➔ Performance appraisal review - A meeting between a ● the second step in the performance appraisal process is to
supervisor and a subordinate for the purpose of discussing identify the environmental and cultural factors that could
performance appraisal results. affect the system

a. Providing Employee Training and Feedback

- Overworked supervisors may not be able to conduct a time-
- the most important use of performance evaluation is to
consuming system, and the lack of merit pay may render a
improve employee performance by providing feedback
numerically complex system frustrating and ineffective.
about what employees are doing right and wrong.
- In cohesive environments, peer ratings may reduce
- The performance appraisal review is an excellent time to
cohesiveness.
meet with employees to discuss their strengths and
weaknesses— it is the time to determine how weaknesses
can be corrected.
Determine Who Will Evaluate Performance

b. Determining Salary Increases

Buzzwords for using multiple sources to appraise performance:
- Salary differences are based on tenure and job performance.
- Numerical performance appraisals are preferable for
1. 360-degree feedback - A performance appraisal system in
determining salary increases.
which feedback is obtained from multiple sources such as
- Research warns of potential issues like workplace
supervisors, subordinates, and peers.
competition and perceived unfairness.
- is primarily used as a source of training and employee
development and is seldom used in the appraisal process to
c. Making Promotion Decisions
determine salary increases or to make promotion and
- Another reason for evaluating performance is to determine
termination decisions
which employees will be promoted.
2. Multiple-source feedback performance appraisal strategy
- Even though promoting employees based on performance or
in which an employee receives feedback from sources (e.g.,
tenure seems fair, it may not always be smart.
clients, subordinates, peers) other than just their supervisor
- Promoting the best or most senior employee often results in
the so-called Peter Principle—the promotion of employees
a. Supervisors
until they reach their highest level of incompetence.
- The most common source of performance appraisal is the
- If many employees perform poorly in a specific area,
supervisor rating, with 74% of organizations relying solely
company-wide training may be needed, while low scores for
on the direct supervisor for evaluations.
a few employees suggest individual-level training. Overall,
- Supervisors may not observe every behavior but assess
performance appraisals offer valuable insights into an
performance by reviewing results, such as daily sales totals
organization’s strengths and weaknesses.
or a finished term paper.
- Supervisors infer employee behavior based on outcomes
d. Making Termination Decisions
rather than direct observation.
- Providing feedback, counseling, and training does not
always increase performance or reduce discipline problems.
- When performance management techniques fail, termination
may be the best course of action.
e. Conducting Organizational Research
- A reason for evaluating employees is for organizational
research, such as validating employment tests by correlating
them with job performance.
- Accurate performance measures are also needed to assess the
effectiveness of training programs.
- While not the most important reason for performance
evaluations, organizational research remains crucial,
especially when union contracts prevent using evaluations in
personnel decisions.

TACLOB, VANESSA N. | PSYCH 3-A

 Allowing an employee to evaluate their own behavior and performance
is a technique used by an increasing number of organizations

- Self-appraisals tend to be lenient and have weak correlations

with actual performance and management ratings.
- Cultural differences exist: U.S. workers show leniency,
while Japanese, Korean, and Taiwanese workers show
modesty in self-ratings.
b. Peers - Self-evaluations are more accurate when not used for
- Peers often see actual behavior, making them a valuable administrative purposes and when employees understand the
source of performance ratings, especially when they work appraisal system.
closely with the employee.
- Peer ratings are reliable when peers are similar to and well-
acquainted with the employee, and they correlate highly with Select the Best Appraisal Methods to Accomplish Your Goals
supervisor ratings in predicting future success.
- Research shows high performers rate peers more strictly than ● the next step in the performance appraisal process is to
low performers, likely due to self-comparison, but select the performance criteria and appraisal methods that
employees react worse to negative feedback from peers than will best accomplish your goals for the system
from experts.
Criteria are ways of defining employee success.
c. Subordinates
- Prior to developing the actual performance appraisal
Subordinate feedback (also called upward feedback) is an instrument, two important decisions must be made: the focus
important component of 360-degree feedback, as subordinates can of the performance appraisal dimensions and whether to use
provide a very different view about a supervisor’s behavior rankings or ratings.

- Subordinate ratings are challenging due to fear of retaliation 1. Focus of the Appraisal Dimensions
but can be encouraged through openness, anonymity, and
developmental use.
- Subordinate feedback leads to more performance
improvement than peer or supervisor feedback, though the
effect is small.
- Multisource feedback works best when employees see
changes as necessary and feasible, especially with a
facilitator's guidance.

d. Customers

Organizations also seek customer feedback in the form of secret

shoppers— current customers who have been enlisted by a company
to periodically evaluate the service they receive a. Trait-Focused Performance Dimensions

- Organizations value customer feedback, which is often A trait-focused system concentrates on such employee attributes as
provided informally through complaints or compliments, dependability, honesty, and courtesy.
and formally via evaluation cards or online surveys.
- Trait-focused performance appraisals provide poor
- Examples of formal customer feedback include receipt
feedback, limiting employee development and growth.
surveys offering rewards, post-call surveys, and email
- Employees may become defensive when receiving low trait
requests for evaluations.
ratings, as traits are personal and advice is often too vague
- Organizations also use mobile app survey tools to gather
for behavioral change.
customer feedback, taking advantage of smartphone
- Trait-based scales are subjective and can be legally
prevalence.
challenged due to the lack of specific examples for ratings.

e. Self-Appraisal
b. Competency-Focused Performance Dimensions
TACLOB, VANESSA N. | PSYCH 3-A
competency-focused dimensions concentrate on the employee’s ability).
knowledge, skills, and abilities
2. Should Dimensions Be Weighted?
- Competency-focused appraisals focus on specific skills like - Weighting performance dimensions makes sense as some
writing, oral presentation, and driving.
aspects of a job are more important than others, like patient
- This approach makes it easier to identify problems, provide care for nurses.
feedback, and suggest corrective actions.
- Weighted dimensions can help reduce biases and better
- For example, poor writing skills can be addressed by reflect job priorities, but many organizations still choose
recommending a writing course.
equal weighting for simplicity and fairness.
- Equal weighting is easier to compute and explain, avoiding
c. Task-Focused Performance Dimensions potential issues with fairness in performance appraisals.

Task-focused dimensions are organized by the similarity of tasks that

3. Use of Employee Comparisons, Objective Measures, or
are performed.
Ratings
- The next decision after selecting dimensions is how to
- Task-focused appraisals include dimensions like following
evaluate performance: by ranking employees, using
radio procedures or court testimony, involving skills like
objective measures, or through supervisor ratings.
public speaking and law knowledge.
- Ranking involves comparing employees to each other, while
- Supervisors can easily evaluate performance by visualizing
objective measures assess specific metrics like attendance or
related tasks.
sales.
- It’s harder to pinpoint specific issues behind low scores, like
- Supervisors can also rate how well an employee has
whether poor testimony is due to lack of knowledge or
performed on each dimension.
speaking skills.

a. Employee Comparisons
d. Goal-Focused Performance Dimensions

To reduce leniency, employees can be compared with one another

The fourth type of performance dimension is to organize the appraisal
instead of being rated individually on a scale.
based on goals to be accomplished by the employee.

➔ Rank order - A method of performance appraisal in which

- Goal-focused appraisals, like preventing crimes or
employees are ranked from best to worst — are easily used
minimizing citizen complaints, help employees understand
when there are only a few employees to rank, but they
why behaviors are expected.
become difficult to use with larger numbers.
- Linking behaviors (e.g., wearing a seatbelt) to survival goals
➔ Paired comparison A form of ranking in which a group of
clarifies their importance more than under general policies.
employees to be ranked are compared one pair at a time
- Goal-focused appraisals are easier to identify and legally
➔ Forced distribution method A performance appraisal
defend than trait-focused ones.
method in which a predetermined percentage of employees
are placed into a number of performance categories

b. Objective Measures
e. Contextual Performance
A second way to evaluate performance is to use what are commonly
Contextual performance The effort employees make to get along called objective, or hard, criteria. Common types of objective measures
with their peers, improve the organization, and “go the extra mile include quantity of work, quality of work, attendance, and safety

➔ Quantity of Work - A type of objective criterion used to

- Contextual performance measures an employee's effort to
measure job performance by counting the number of relevant
get along with peers, improve the organization, and
job behaviors that occur
perform extra tasks not in their job description.
➔ Quality of Work - A type of objective criterion used to
- Many organizations value both technical and contextual
measure job performance by comparing a job behavior with
performance, seeking employees who excel in both areas.
a standard.
- Contextual performance is important for organizational
➔ Error - Deviation from a standard of quality; also a type of
success, and tests predicting it (e.g., integrity tests) differ response to communication overload that involves
from those predicting task performance (e.g., cognitive
TACLOB, VANESSA N. | PSYCH 3-A
 processing all information but processing some of it
incorrectly
➔ Attendance. A common method for objectively measuring
one aspect of an employee’s performance is by looking at
attendance
➔ Safety. Another method used to evaluate the success of an
employee is safety. Obviously, employees who follow safety
rules and who have no occupational accidents do not cost an
organization as much money as those who break rules,
equipment, and possibly their own bodies (where employees
might file for worker’s compensation if they are injured on
the job
➔ Frequency of Desired Behaviors. Behaviors can be rated
c. Rating performance based on the frequency with which they occur — As part of
our performance appraisal system, supervisors are asked to
The most commonly used option in evaluating performance is to have decide whether their employees “always,” “almost always,”
supervisors rate how well the employee performed on each dimension. “often,” “seldom,” or “never” follow the rules.

➔ Graphic rating scale A method of performance appraisal

that involves rating employee performance on an interval or
Trainer Raters
ratio scale

- Proper training for supervisors in performance evaluation is essential,

but many organizations neglect this, despite research showing it
improves rating accuracy, validity, and employee satisfaction.

- Training that involves discussion, practice, and feedback is more

effective than lectures, but the effects are short-lived without ongoing
➔ Behavioral Checklists consist of a list of behaviors, training and may introduce new errors.
expectations, or results for each dimension.
Frame-of-reference training A method of training raters in which the
rater is provided with job-related information, a chance to practice
ratings, examples of ratings made by experts, and the rationale behind
the expert ratings

Observe and Document Performance

➔ Contamination The condition in which a criterion score is
affected by things other than those under the control of the The next step in the performance appraisal process is for supervisors
employee to observe employee behavior and document critical incidents as they
➔ Comparison with Other Employees. Supervisors can rate occur.
performance on a dimension by comparing the employee’s
level of performance with that of other employees. ➔ First, documentation forces a supervisor to focus on
employee behaviors rather than traits and provides
behavioral examples to use when reviewing performance
ratings with employees.
➔ Second, documentation helps supervisors recall behaviors
when they are evaluating performance.
➔ Third, documentation provides examples to use when
reviewing performance ratings with employees. Instead of
telling an employee that they are constantly getting into
arguments with customers, a supervisor can use documented
TACLOB, VANESSA N. | PSYCH 3-A
 critical incidents to show the employee the specific incidents ➔ Leniency error A type of rating error in which a rater
and behaviors that are problematic. consistently gives all employees high ratings, regardless of
➔ Fourth, documentation helps an organization defend against their actual levels of performance
legal actions taken against it by an employee who was ➔ Central tendency error: A type of rating error in which a
terminated or denied a raise or promotion rater consistently rates all employees in the middle of the
scale, regardless of their actual levels of performance.
Critical incidents A method of performance appraisal in which the
➔ Strictness error: A type of rating error in which a rater
supervisor records employee behaviors that were observed on the job
consistently gives all employees low ratings, regardless of
and rates the employee on the basis of that record
their actual levels of performance.

➔ First impressions: We tend to remember our first

➔ Halo error: A type of rating error that occurs when raters
allow either a single attribute or an overall impression of an
impression of someone (primacy effect) more than later
individual to affect the ratings that they make on each
behaviors, and this can impact how supervisors recall
relevant job dimension.
employee performance even if those first behaviors were not
➔ Proximity error: A type of rating error in which a rating
typical
made on one dimension influences the rating made on the
➔ Recent behaviors: Supervisors are also likely to recall the
dimension that immediately follows it on the rating scale
most recent behaviors during the evaluation period (recency
➔ Contrast error: A type of rating error in which the rating of
effect).
the performance level of one employee affects the ratings
➔ Unusual or extreme behaviors: Uncommon behaviors,
given to the next employee being rated.
whether good or bad, tend to stick out in a supervisor's
➔ Assimilation: A type of rating error in which raters base
memory, leading to inappropriately high or low evaluations.
their rating of an employee during one rating period on the
➔ Behavior consistent with the supervisor’s opinion: Once
ratings the rater gave during a previous period.
a supervisor forms an opinion of an employee, they tend to
recall behaviors that confirm that opinion (confirmation
Sampling Problems
bias), making it hard to change their perspective.

➔ Recency effect: The tendency for supervisors to recall and

Employee Performance Record A standardized use of the critical-
place more weight on recent behaviors when they evaluate
incident technique developed at General Motors
performance.
➔ Infrequent observation: The idea that supervisors do not
see most of an employee’s behavior.
Evaluate Performance
Cognitive Processing of Observed Behavior
a. Obtaining and reviewing objective data: Supervisors
should first collect objective data related to the employee’s ➔ Observation of Behavior: Supervisors often recall
behavior (e.g., tickets, arrests, absenteeism, production behaviors consistent with their general impression of an
output), while considering potential external factors like employee, and memory-based ratings, though more prone to
shifts or equipment. distortion, can sometimes be more accurate than immediate
ratings due to comparison with an ideal employee.
b. Reading critical-incident logs: Supervisors should review ➔ Emotional State: Stress experienced by supervisors during
all critical incidents to minimize errors like primacy, evaluations can lead to more rating errors, as evaluations are
recency, confirmation bias, and overemphasis on unusual often done quickly to allow supervisors to return to other
behavior. tasks.
➔ Bias: Supervisors who like or dislike employees may either
c. Completing the rating form: After reviewing objective leniently overrate or overcompensate to appear fair, with
data and logs, supervisors should assign performance emotions interfering with objective performance evaluation.
ratings, being cautious to avoid common rating errors like ➔ Stress - Perceived psychological pressure
distribution, halo, proximity, and contrast biases. ➔ Affect Feelings or emotion.
➔ Racial bias The tendency to give members of a particular
Types of Errors
race lower evaluation ratings than are justified by their actual
performance or to give members of one race lower ratings
➔ Distribution errors Rating errors in which a rater will use
than members of another race.
only a certain part of a rating scale when evaluating
employee performance.
TACLOB, VANESSA N. | PSYCH 3-A
 Employment-at-will statements - Statements in employment
Communicate Appraisal results to Employee applications and company manuals reaffirming an organization’s right
to hire and fire at will.
Prior to the Interview
➔ State law: Some states like California, Montana, and New
➔ Allocating Time: Supervisor and employee need at least one York limit firing to "for cause" situations, such as rule
hour to prepare and one hour for the interview. violations or poor performance.
➔ Scheduling the Interview: Hold the interview in a neutral, ➔ Provisions of federal or state law: Employees cannot be
private space every six months, with informal check-ins fired for reasons protected by law, such as gender, race, or
throughout the year. age.
➔ Preparing for the Interview: Supervisors review ratings ➔ Public policy/interest: Employers cannot fire employees
and reasons, and employees self-rate with examples and for performing legal duties like jury service or for refusing
development ideas. to violate laws or ethics.
➔ Contracts: If an employment contract is signed, employers
During The Interview must adhere to its terms and can only fire for cause.
➔ Implied contracts: Employment-at-will is voided if an
➔ Introduction to the Interview: Start with small talk to ease employer implies long-term job security or limited reasons
anxiety. Explain the purpose of the appraisal, the evaluation for termination.
process, and set an interactive tone with the goal of ➔ Covenants of good faith and fair dealing: Courts require
improving performance. employers to act in good faith and fairly with employees,
➔ Employee's Self-Ratings: Begin with the employee’s self- even within the employment-at-will framework.
evaluation. Engaging employees early in the process
increases their satisfaction with the outcome.
➔ Supervisor's Ratings: Supervisors should focus on
behaviors and performance, not personality traits. Give
positive feedback first, followed by negative feedback, and
end on a positive note (the "feedback sandwich").
➔ Discussing Differences: Address major differences between
the employee’s self-ratings and the supervisor’s evaluation
to reach a mutual understanding.
➔ Acknowledging External Factors: Recognize external
reasons for poor performance to increase employee
satisfaction and foster better feedback reception.

➔ Finding Solutions: Collaboratively identify solutions to

performance issues, considering factors like ability,
motivation, and organizational support.
➔ Separating Conversations: Separate discussions about
appraisal results (raises, etc.) from improvement strategies
to allow the employee time to process the feedback.
➔ Feedforward: Focus on future-oriented feedback
(feedforward), identifying what the employee did well and
how to apply those strengths to future success.
➔ Setting Goals: Conclude by mutually setting concrete,
reasonable goals for future performance and behavior.

Employment-at-Will Doctrine

Employment-at-will doctrine -The opinion of courts in most states

that employers have the right to hire and fire an employee at will and
without any specific cause.

TACLOB, VANESSA N. | PSYCH 3-A

TACLOB, VANESSA N. | PSYCH 3-A