Managerial Discretion in the Use Of Self-Ratings in an Appraisal System: The Antecedents And Consequences

Abstract

Self-evaluations of performance have elicited the interests of researchers over the last four decades. Supporters attest to the importance of employee involvement in the appraisal process while detractors raise issues concerning leniency, validity and purpose. This study examines the circumstances under which superiors have discretion to ask subordinates to self-evaluate their performance in an ongoing appraisal system. Three primary issues are investigated: the conditions under which superiors requested subordinates to self-evaluate, the relationship between opportunity to self-evaluate and the type of post-appraisal interview that was conducted, and the impact of self-ratings on performance appraisal outcomes. Three hundred twenty-six subordinates responded to questions about the performance appraisal process. Results showed leader-subordinate relationships were strong predictors of opportunity to self-rate. Self-ratings were strongly related to type of interview conducted and had an impact on perceived fairness of ratings. While criticism of self-ratings exists, our findings indicate that voluntary self-ratings, focusing on performance development, have a positive impact on the appraisal process.

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