Measuring Performance as Behaviors

Measuring Performance as Behaviors

1. Measuring Competencies

   • Measuring two types of competencies
     • Differentiating competencies are those that allow you to distinguish between average and superior performers
     • Threshold competencies are those that everyone needs to display to do the job to a minimally adequate standard
   • Describing competencies
     • Definition of competency advantage.
     • Description of specific behavioral indicators that can be observed when someone demonstrates a competency
     • Description of specific behaviors that are likely to occur when someone doesn’t demonstrate a competency effectively (what a competency is not)
     • List of suggestions for developing the competency in question

2. Measuring Behaviors Using Comparative Systems

   • Rank order
     • employees are simply ranked from best performer to worst performer
   • Alternation rank order
     • the result is a list of all employees
   • Paired comparisons
     • makes explicit comparisons between all pairs of employees to be evaluated
   • Relative percentile
     • measurement system asks raters to consider all employees at the same time and to estimate the relative performance of each by using a 100-point scale
   • Forced distribution
     • employees are classified according to an approximately normal distribution — a curve that looks like a bell and has approximately the same number of performers to the right and the left of the mean or average score

3. Considering Advantages and Disadvantages of Comparative Systems

   • Advantages of Comparative Systems
     • Easy to explain
     • Decisions are straightforward and easily visible
     • Control biases and errors in rating performance
     • Beneficial for autonomous jobs
     • Attract individuals with high cognitive abilities
   • Disadvantages of Comparative Systems
     • Lack specificity in feedback and assessment
     • Potential for legal challenges due to overall rankings
     • No information on the relative distance between employees
     • Perception that placement in buckets is more important than actual work
     • Criticisms about biased, unjustified, and inaccurate ratings
     • Potential for unfairness and negative employee experiences
   • Anticipating Problems with Forced Distribution
     • Criticisms often directed at performance ratings, not the system itself
     • Concerns about how the system is designed and used
     • Importance of clear measurement criteria and employee participation
     • Consequences associated with ratings can impact fairness and employee value
   • Understanding the Shape of the Performance Distribution and Producing Star Performers
     • Performance Distribution Shape
     • Heavy-Tailed Distribution
     • Producing Star Performers
     • Identify and eliminate situational constraints for star performers
     • Allow star performers to rotate across teams for knowledge transfer
     • Invest sufficient resources in star performers aligned with organizational
     • Pay attention to star retention and their developmental network
     • Prioritize star performers during financial challenges and budget cuts
     • Provide preferential treatment to star performers while ensuring fairness
     • Invest disproportionate resources into stars for positive gain spirals

4. Measuring Behaviors Using Absolute Systems

   • Essays
   • Behavior checklists
     • Anchors for behavior checklists
     • Critical incidents
   • Using a graphic rating scale system