Managing the Interpersonal Aspect of Performance Management

Abstract

It is safe to assume that an accurate performance appraisal (PA) is an important prerequisite to an effective performance management (PM) system, because with accurate PA information, management, teams, and employees can engage in the process of identifying and developing a wide range of job-relevant knowledge or skills to improve job performance. However, researchers and practitioners alike must continue to push for PA to be something other an administrative ritual; the ideal goal for PA is for it to contribute to a reliable process that can offer practical help to organizational operations, including PM. As Pulakos, Mueller Hanson, Arad, and Moye (2015) have pointed out, supervisors are concerned about demotivating or disengaging employees by providing PA ratings that are too much lower than the highest rating or ranking that is available, so having ratings that are clustered at the high end of the rating scale is quite common across organizations (Bretz, Milkovich, & Read, 1992).

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