Performance Management MCQ Quiz!
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Questions and Answers
- 1.
Google has incorporated many changes in its performance management system over the years. One of the innovative approaches is:
- A.
Transferable Stock Options
- B.
Continuous Review Policy
- C.
Feedback System
- D.
None of the above
Correct Answer
A. Transferable Stock OptionsExplanation
Google has incorporated transferable stock options as an innovative approach in its performance management system. This means that employees have the opportunity to transfer their stock options to other employees within the company. This approach allows employees to have more flexibility and control over their stock options, promoting a sense of ownership and motivation. It also fosters collaboration and teamwork within the organization, as employees can support and incentivize each other through the transfer of stock options. This innovative approach aligns with Google's culture of valuing its employees and promoting a positive work environment.Rate this question:
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- 2.
John rated Bipasha poorly based on fallout with a client last month while completely disregarding her excellent performance throughout the year. This error is called :
- A.
Primacy effect
- B.
Recency effect
- C.
Halo effect
- D.
Generalisation effect
Correct Answer
B. Recency effectExplanation
The recency effect refers to the tendency for individuals to remember and give more weight to information that is presented most recently. In this scenario, John is rating Bipasha poorly based on the fallout with a client last month, which is a recent event. He is disregarding her excellent performance throughout the year, suggesting that he is heavily influenced by the most recent negative event and not considering the overall performance. This demonstrates the recency effect.Rate this question:
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- 3.
Adobe introduced Check-In for which of the following purpose(s)?
- A.
Do away with annual reviews
- B.
Establish an informal, ongoing dialogue between managers and immediate subordinates
- C.
Make employees feel more engaged and empowered
- D.
All of the above
Correct Answer
D. All of the aboveExplanation
Adobe introduced Check-In for the purpose of doing away with annual reviews, establishing an informal, ongoing dialogue between managers and immediate subordinates, and making employees feel more engaged and empowered. Check-In allows for more frequent and meaningful conversations between managers and employees, replacing the traditional annual review process. This helps in providing continuous feedback, setting goals, and addressing any concerns or challenges in a timely manner. By promoting regular communication and empowerment, Check-In aims to improve employee engagement and overall performance.Rate this question:
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- 4.
PD@GE has been implemented recently by a company which includes the element(s):
- A.
Consider Insights
- B.
Continue Insights
- C.
Summary Touchpoint
- D.
All of the above
Correct Answer
D. All of the aboveExplanation
The correct answer is "All of the above" because the question asks which elements are included in the implementation of PD@GE by a company. The options provided are "Consider Insights," "Continue Insights," and "Summary Touchpoint." Since the question asks for all the elements that are included, the correct answer is "All of the above," indicating that all three elements are part of the implementation.Rate this question:
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- 5.
540-degree feedback includes certain dimensions. Which of the following is the correct set of dimensions?
- A.
Appraiser, Appraisee, Peers, Subordinates, Customers
- B.
Appraiser, Appraisee, Peers, Subordinates
- C.
Appraiser, Appraisee, Peers, Customers
- D.
Appraiser, Appraisee, Peers
Correct Answer
A. Appraiser, Appraisee, Peers, Subordinates, Customers -
- 6.
The culture of an organization creates an impact on the performance of employees. Which of the following does not exist in the definition of OCTAPACE?
- A.
Confrontation
- B.
Experimentation
- C.
Collaboration
- D.
Autocracy
Correct Answer
D. AutocracyExplanation
The concept of OCTAPACE refers to the eight dimensions of organizational culture: openness, confrontation, trust, authenticity, proactivity, autonomy, collaboration, and experimentation. Autocracy, which refers to a system of government or leadership where one person holds absolute power, does not exist in the definition of OCTAPACE. Autocracy contradicts the values of openness, trust, and collaboration, which are essential components of a positive organizational culture. Therefore, autocracy is not included in the definition of OCTAPACE.Rate this question:
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- 7.
Which method of Performance Appraisal carries the limitation of Forced Rating?
- A.
360 Degree Feedback
- B.
BARS
- C.
Bell Curve
- D.
All of the above
Correct Answer
C. Bell CurveExplanation
The correct answer is Bell Curve. The Bell Curve method of performance appraisal carries the limitation of Forced Rating. This method requires managers to rate employees on a predetermined distribution curve, which often results in a forced distribution of ratings. This can lead to unfair evaluations and demotivation among employees, as it may not accurately reflect their actual performance.Rate this question:
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- 8.
All of the following are defined in SMART goals, except:
- A.
Specific
- B.
Measurable
- C.
Time bound
- D.
Accessible
Correct Answer
D. AccessibleExplanation
SMART goals are goals that are Specific, Measurable, Achievable, Relevant, and Time-bound. The term "Accessible" is not typically included in the SMART framework. The other options - Specific, Measurable, and Time-bound - are all key components of setting effective goals.Rate this question:
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- 9.
The Balanced Scorecard includes all of the following perspectives, except:
- A.
Financial
- B.
Customer
- C.
Internal Business Processes
- D.
Competitor's strategies
Correct Answer
D. Competitor's strategiesExplanation
The Balanced Scorecard is a strategic management tool that helps organizations track and measure their performance from different perspectives. These perspectives include financial, customer, and internal business processes. The Competitor's strategies perspective is not included in the Balanced Scorecard because it focuses on internal factors and does not directly consider the strategies of competitors. The Balanced Scorecard aims to provide a comprehensive view of an organization's performance and guide decision-making based on its own strengths and weaknesses, rather than solely focusing on external factors such as competitors' strategies.Rate this question:
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- 10.
HRD Scorecard is a measurement system that showcases HR's impact on business performance.
- A.
True
- B.
False
Correct Answer
A. TrueExplanation
The HRD Scorecard is a measurement system that evaluates and demonstrates the impact of HR (Human Resources) on the overall performance of a business. It provides a framework to assess HR's effectiveness in contributing to the organization's strategic goals and objectives. By measuring key HR metrics and aligning them with business outcomes, the HRD Scorecard helps to showcase the value and effectiveness of HR practices in driving business success.Rate this question:
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- 11.
Which of the following uses more ratings and quantitative methods?
- A.
Performance Appraisal
- B.
Performance Management
Correct Answer
A. Performance AppraisalExplanation
Performance Appraisal uses more ratings and quantitative methods compared to Performance Management. Performance Appraisal typically involves the use of rating scales, numerical scoring systems, and other quantitative methods to evaluate an individual's performance against specific criteria or standards. It focuses on assessing an individual's past performance and providing feedback based on measurable data. On the other hand, Performance Management is a broader process that includes various activities such as goal setting, ongoing feedback, coaching, and development. While Performance Management may also involve some quantitative measures, it places more emphasis on continuous improvement, development, and aligning individual goals with organizational objectives.Rate this question:
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- 12.
An IT giant has started implementing iCount, an appraisal method that includes regular feedback and rewards for targets achieved throughout the year. Name the company.
- A.
Infosys
- B.
TCS
- C.
Cognizant
- D.
Accenture
Correct Answer
A. InfosysExplanation
Infosys is the correct answer because it is mentioned that an IT giant has started implementing iCount, an appraisal method that includes regular feedback and rewards for targets achieved throughout the year. Infosys is a well-known IT company that has implemented such a method, making it the most suitable option among the given choices.Rate this question:
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- 13.
Performance Appraisal is _____ and Performance Management is ______
- A.
Operational, Strategic
- B.
Strategic, Operational
- C.
Prerequisite, Essential
- D.
Essential, Prerequisite
Correct Answer
A. Operational, StrategicExplanation
Performance Appraisal is operational and Performance Management is strategic. Performance appraisal refers to the process of evaluating an employee's performance based on predetermined criteria, typically on an annual basis. It focuses on assessing individual performance and providing feedback. On the other hand, Performance Management is a broader process that involves setting goals, aligning individual and organizational objectives, continuous monitoring, and development of employees to enhance overall organizational performance. It is a strategic approach that aims to improve performance at all levels and align it with the organization's goals and objectives.Rate this question:
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- 14.
Which of the following appraisal methods involves getting anonymous feedback from superiors, peers, subordinates, and self?
- A.
Management By Objectives (MBO)
- B.
Critical incidents method
- C.
360 degree appraisal
- D.
None of the above
Correct Answer
C. 360 degree appraisalExplanation
360 degree appraisal involves getting feedback from multiple sources, including superiors, peers, subordinates, and self. This method provides a comprehensive assessment of an individual's performance by collecting input from various perspectives. It helps in gaining a well-rounded view of an employee's strengths, weaknesses, and areas for improvement. This feedback can be valuable for personal and professional development, as well as for making informed decisions regarding promotions, training, and performance management.Rate this question:
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- 15.
Which company developed the 360-degree system of appraisal & when?
- A.
Wipro in 1990
- B.
General Electric, US in 1992
- C.
Godrej Soaps in 1991
- D.
None of the above
Correct Answer
B. General Electric, US in 1992Explanation
General Electric, US developed the 360-degree system of appraisal in 1992. This system involves gathering feedback from multiple sources, including supervisors, peers, subordinates, and customers, to provide a comprehensive assessment of an individual's performance. It allows for a more holistic evaluation and helps identify strengths and areas for improvement. This approach has been widely adopted by organizations worldwide to enhance performance management and employee development.Rate this question:
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- 16.
Drawback(s) of bell curve method of performance appraisal is(are) :
- A.
Prone to manipulation by raters/managers
- B.
Doesn't provide performance feedback
- C.
May create unhealthy competition
- D.
All of the above
Correct Answer
D. All of the aboveExplanation
The bell curve method of performance appraisal has several drawbacks. Firstly, it is prone to manipulation by raters or managers, as they may intentionally rate employees higher or lower than their actual performance. Secondly, this method does not provide specific performance feedback to employees, making it difficult for them to understand their strengths and areas for improvement. Lastly, the bell curve method may create unhealthy competition among employees, as they are ranked against each other, leading to a toxic work environment. Therefore, all of the above statements accurately describe the drawbacks of the bell curve method.Rate this question:
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- 17.
Assigning individual ratings to each employee against pre-determined traits or behaviors is the _____ method of appraisal.
- A.
Graphic scale rating
- B.
Ranking
- C.
Paired comparison
- D.
Forced distribution
Correct Answer
A. Graphic scale ratingExplanation
The correct answer is Graphic scale rating. This method involves assigning ratings to employees based on predetermined traits or behaviors using a scale, such as a numerical scale or a Likert scale. This allows for a more detailed evaluation of each employee's performance and provides a clearer picture of their strengths and weaknesses.Rate this question:
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- 18.
_______ involves comparing an employee's performance to specific examples of good or bad behavior that are anchored to numerical ratings.
- A.
BARS
- B.
Critical incidents method
- C.
360 degree appraisal
- D.
Graphic rating scale
Correct Answer
A. BARSExplanation
The correct answer is BARS, which stands for Behaviorally Anchored Rating Scales. BARS involves comparing an employee's performance to specific examples of good or bad behavior that are anchored to numerical ratings. This method provides more specific and objective feedback compared to other methods such as the graphic rating scale, where the evaluation is based on general criteria. The BARS approach allows for a more accurate assessment of an employee's performance by linking it to observable behaviors.Rate this question:
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- 19.
When one negative work factor or thing you dislike affects the rating of an employee, it is known as?
- A.
Halo effect
- B.
Horn effect
- C.
Contrast error
- D.
Sampling error
Correct Answer
B. Horn effectExplanation
The Horn effect refers to the tendency to let one negative factor or characteristic of an employee overshadow their other positive qualities, leading to a lower rating or evaluation. This bias occurs when a person's overall perception of someone is heavily influenced by a single negative trait or experience, causing them to overlook or undervalue other aspects of the person's performance or abilities.Rate this question:
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- 20.
_____ is not a part of the Performance Management Cycle.
- A.
Forecasting
- B.
Monitoring
- C.
Planning
- D.
Rating
Correct Answer
A. ForecastingExplanation
The performance management cycle typically consists of four stages: planning, monitoring, rating, and rewarding. Forecasting, on the other hand, is not typically considered a part of the performance management cycle. Forecasting involves predicting future outcomes and trends, whereas the performance management cycle focuses on setting goals, monitoring progress, evaluating performance, and providing feedback. Therefore, forecasting does not directly fit into the traditional sequence of activities in the performance management cycle.Rate this question:
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Current Version
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Mar 20, 2023Quiz Edited by
ProProfs Editorial Team -
Oct 05, 2018Quiz Created by
Amit Giri
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