Chapter4

Chapter Overview

• Study of Industrial and Organizational Psychology

• Focus on job performance evaluation and effectiveness of organizational interventions

Chapter 4 Outline

• Criterion Measures: An Introduction

• Conceptual vs. Actual Criteria

• Multiple vs. Composite Criteria

• Models of Job Performance

• Types of Actual Criterion Measures

• Technology and I-O

• Legal Issues

• Global Implications

• Current Workplace Issues

• Current Research Issues

Job Performance Discussion

• Group discussion prompt: What is job performance?

Criterion Measures: An Introduction

• Importance of measuring job performance and work outcomes

  • Evaluates effectiveness of:

    • Selection procedures

    • Training programs

    • Safety practices

• Criterion: Outcome variables capturing performance effectiveness of employees or groups

Conceptual vs. Actual Criteria

• Conceptual Criterion: Abstract essence of a job; not directly measurable

  • Utilizes job analysis to collect KSAOs (Knowledge, Skills, Abilities, and Other characteristics) and job behaviors

• Actual Criterion: The measures actually used to capture the conceptual criterion

  • All measures contain some degree of error

Criterion Problem

• Challenges in measuring job performance:

  • Uncertainty in accurately specifying jobs for conceptual criteria

  • Actual criterion measures contain errors, complicating true evaluation

Choosing Good Actual Criterion Measures

• Aim for overlap between Conceptual Criterion and Actual Criterion

• Criterion Relevance: Overlap degree between the two criteria

Characteristics of Good Criteria

Good criterion measures should possess:

• High reliability

• Ability to detect differences among employees

• Acceptance by employees and supervisors

• Minimal cost and disruption

Types of Actual Criterion Measures

• Objective Measures:

  • Number of units produced

  • Sales amounts

  • Absenteeism rates

• Subjective Measures:

  • Performance ratings by supervisors

  • Peer evaluations

Other Job Behaviors of Concern

Concerned job behaviors include:

• Tardiness

• Absenteeism

• Theft

• Customer complaints/commendations

Discussion on Objective Measures

• Group discussion prompt: Advantages and disadvantages of using objective measures?

Measuring Job Performance at Netflix

• Introduction to measurement methods used at Netflix

• URL for video reference: https://www.youtube.com/watch?v=8_n-9DTkeBQ

Debrief on Netflix Method

• Discuss the benefits and drawbacks of their measurement method

Traditional Example (Subjective Ratings)

• Goal Setting Process:

  • Set multiple measurable goals at beginning of the year

  • Example Goals:

    • Increase Q1 revenue by 10% YOY

    • Build team morale through recognition programs

• End of Year Evaluation:

  • Self-assessment and manager's assessment against team performance

Technology and Industrial-Organizational Psychology

• Growing interest in using "big data" for job performance measurement

  • High-volume datasets collected in real time, using devices and sensors

  • Allows for better assessment of selection and training methods

• Concerns about privacy and data security

  • Not all data labeled as "big" is of high quality

Legal Issues

• Job performance measures used for personnel decisions must comply with legal guidelines

  • Must avoid bias against protected groups

• Secure handling of sensitive performance data following government regulations

Global Implications

• National culture impacts performance management in multinational corporations

• Need for comprehensive performance measurement across various locations

  • More research needed for consistency in multinational evaluations

Current Research Issues

• Individual performance variability over time; team and organizational performance complexities

• Use of big data enhances understanding of performance dynamics at multiple levels