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Effects Of Forced Ranking On Employee Performance and Productivity
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Each year managers conduct employee performance appraisals, sometimes using forced ranking performance management to rank employees from best to worst. Forced ranking is used to help identify high-potential employees, for reductions in force decisions, remove underperforming employees, and deciding the allocation of pay and incentives. Assessing the extent to which use of forced ranking for a performance appraisal is related to a decline in employee productivity, performance, and morale is explored in this book. The research employed an Internet survey, targeted to 5000 respondents from variou...
Each year managers conduct employee performance appraisals, sometimes using forced ranking performance management to rank employees from best to worst. Forced ranking is used to help identify high-potential employees, for reductions in force decisions, remove underperforming employees, and deciding the allocation of pay and incentives. Assessing the extent to which use of forced ranking for a performance appraisal is related to a decline in employee productivity, performance, and morale is explored in this book. The research employed an Internet survey, targeted to 5000 respondents from various businesses and professions. Investigatiion results were compared to the results of prior studies:e.g., Becker, 1995; Novations Group, 2004; Steel, 2003. Results of the current study show no evidence that performance or productivity is negatively correlated with the use of forced ranking, contradicting findings from previous studies. Results reported here, when used with previous studies and literature may help to close the gap of misunderstanding about forced ranking between the empirical data and opinion. OBITR
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