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rating format, or method that needs to be adopted for the appraisal form. There are several types of rating formats, however, the most preferred format for Arrow is the Behavior Observation Scale (BOS), which incorporates very specific job activities and goals. The BOS is also easy to put together, provides specific feedback to rate the employee, and provides a positive forum for evaluation process. Raters need to be aware there is a tendency to make trait-based judgments with this format. The BOS format is simple to use and understand, is strongly associated with tasks performed, and includes parallel stimulus/response, (S-R) tracking measures. The expected result is that the scores on the stimulus scale will be the same as on the response scale, and will produce the behavior desired by the Arrow executive team.
There are several factors Arrow should keep in mind when developing the content of the performance appraisal form that could impose different biases upon the rating process. Some biases already exist in the current PA environment at Arrow such as: leniency tendency; giving high ratings regardless of actual performance; central tendency; giving middle of road ratings; and affect tendency; rating others according to the rater’s feelings towards that employee. There are several other biases to be aware of: severity tendency; halo/horns; stereotyping; primacy/recency effects; and fundamental attribution error.
Properly developing a rater and ratee training program is essential to the PA system as well. The training will provide the raters with the understanding of how to avoid or respond to bias situations, while provide the ratees with information and expectations of what they will experience throughout the process. The raters and ratees should also be trained to understand the observations made and how to keep a diary of daily activities. The program should also incorporate frame of reference training to avoid making inferences or assumptive statements about the behavior of the ratee. When inferences versus behaviors are indicated in the PA, the ratee can become defensive, negating the desired effects of the PA system.
Defining the raters and the ratees and determining if the ratees’ performance assessments will be based on individual or team performance should be determined as part of the development of the rater program. An important determination in defining the raters is deciding who is in the best position to observe the ratee and provide feedback about the ratee’s performance. Arrow should incorporate multiple sources of feedback, such as 360degree feedback, with observation appraisals from a variety of people (at least 3) who interact with the employee on a regular basis. The raters should only rate the performance criteria that are actually observed in their interactions with the ratee. This feedback can come from the ratee’s supervisors, peers, subordinates, clients and self-assessment. For 360degree feedback to be successful the organization must be prepared, therefore management buy-in is key as resources and time are critical to the process.
A useful tool for the rater to use in the interview process [next page]



