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Comparative Methods
Class 6
Class 6
Easier to distinguish between the worst and the best employees. employees. Do not make clear how great or small the differences between employees are. are. No absolute information - Does not reveal whether the toptoprated worker in one work team is better or worse than an average worker in another work team. team. Forces managers to identify differences among workers where none may truly exist, causing conflicts. conflicts.
Disadvantages
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Paired Comparison
Every subordinate to be rated is paired with and compared to every other subordinate on each trait. trait. Measures the relative performance of employees in a group. group. Appropriate when the supervisor needs to find one outstanding employee in a group for a promotion or special assignment. assignment.
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The Process
Employees are ranked by comparing the first two employees on the list. list.
The supervisor places a check mark next to the name of the employee whose performance is better. better. The process is repeated, comparing the first employees performance with that of the other employees. employees. Then the supervisor compares the second employee on the list with all the others, and so on until each pair of employees has been compared. compared. The employee with the most check marks is considered the most valuable. valuable.
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Ensures that each employee is compared against every other. other. Becomes unwieldy when large numbers of employees are being compared. compared. Makes some employees look good at the expense of others. others.
Disadvantage: Disadvantage:
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Forced Distribution
It
is a technique for distributing ratings. ratings. Requires a comparison among people in the work group under consideration. consideration. The ratings of employees performance are distributed along a bell-shaped bellcurve/normal distribution. distribution. It assumes that the bell shaped curve of performance exists in a given group. group. Managers reward the top 20% richly so 20% they dont leave. leave.
Parul Singh, IIPM, 2008 Class 6
The manager places predetermined percentages of subordinates in performance categories, as when a professor grades on a curve. curve. Sun Microsystems: Managers appraise Microsystems: employees in groups of about 30. There is a 30. top 10%, a middle 70% and a bottom 10%. 10% 70% 10% The bottom 10% can either take a quick exit 10% package or embark on a 90 day performance improvement action plan. plan.
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Disadvantages
A supervisor may resist placing any individual in the lowest (or the highest) group. group. No rational justification may be given to the employee why he/she was placed in one grouping and others were placed in higher groupings. groupings. Does not work well with small groups. groups. The manager may make distinctions among employees that may not exist. exist.
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Figure 119
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Forced Distribution
30 25 20 15 10 5 0 Low Low- Avg High- High avg avg
Parul Singh, IIPM, 2008 Class 6
Class 6
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Class 6