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Most companies use multiple measures to evaluate employee, departmental, or divisional performance. Aggregating multiple measures is subjective and can lead to employee dissatisfaction and game playing. Now there is TOPS (Total Optimal Performance Scores), which uses an objective, mathematical way to aggregate multiple performance measures into a single performance score. To address this issue, this article demonstrates how to implement Total Optimal Performance Scores (TOPS). This mathematical optimization tool uses Excel Solver to determine the most efficient or top-performing division in an organization and, subsequently, scores all remaining divisions relative to the top-performing one. While true optimization finds the best possible outcome, provided all conditions are perfect, TOP...
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In spite of the fact that it is an important component of the performance evaluation process, there has been scant theoretical attention directed at the individual processes underlying the development of the performance standards of individual managers. In this paper we suggest a framework to describe the development of internal performance standards that is theoretically grounded in the notions of pluralistic ignorance, social comparison, and cognitive dissonance. The framework posits that mangers compare their personal values and implicit performance theories to the standards of a misperceived performance standard norm, with discrepant social comparison (pluralistic ignorance) possibly leading to changes in performance standards in response to the norm. The result of this process is a...
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Performance appraisals are a reality in organizations of all sizes and types. The process may take considerable time on the part of supervisors and may require subordinates to gather reams of information and prepare descriptions of their own performance. A survey asked accountants working in government, industry, and public accounting about their perceptions of performance evaluations. Interestingly, employees who received three or fewer performance evaluations annually wanted more. Government employees perceived that their employers attach less importance to performing their jobs within time budgets than in other sectors; all other sectors considered this factor relatively important. While generally over half of the participants in each type of organization indicated that performance e...
