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Performance Management
Dr. Herman Aguinis

PE-A1-engb 1/2011 (1033)

This course text is part of the learning content for this Edinburgh Business School course. In addition to this printed course text, you should also have access to the course website in this subject, which will provide you with more learning content, the Profiler software and past examination questions and answers. The content of this course text is updated from time to time, and all changes are reflected in the version of the text that appears on the accompanying website at http://coursewebsites.ebsglobal.net/. Most updates are minor, and examination questions will avoid any new or significantly altered material for two years following publication of the relevant material on the website. You can check the version of the course text via the version release number to be found on the front page of the text, and compare this to the version number of the latest PDF version of the text on the website. If you are studying this course as part of a tutored programme, you should contact your Centre for further information on any changes. Full terms and conditions that apply to students on any of the Edinburgh Business School courses are available on the website www.ebsglobal.net, and should have been notified to you either by Edinburgh Business School or by the centre or regional partner through whom you purchased your course. If this is not the case, please contact Edinburgh Business School at the address below: Edinburgh Business School Heriot-Watt University Edinburgh EH14 4AS United Kingdom Tel + 44 (0) 131 451 3090 Fax + 44 (0) 131 451 3002 Email enquiries@ebs.hw.ac.uk Website www.ebsglobal.net

Performance Management
Dr. Herman Aguinis (http://www.cudenver.edu/~haguinis) Dr. Aguinis is the Mehalchin Term Professor of Management in the Business School at the University of Colorado at Denver, USA. He has been a visiting scholar at universities in the People’s Republic of China (Beijing and



References: 1. DeNisi, A. S., Kluger, A. N. (2000). Feedback effectiveness: can 360-degree appraisals be improved? Academy of Management Executive, 14, 129–139. 2. Fandray, D. (2001, May). Managing performance the Merrill Lynch way. Workforce Online. http://www.workforce.com/archive/feature/22/28/68/223512.php 3. Thomas, S. L., Bretz, R. D. (1994). Research and practice in performance appraisal: Evaluating employee performance in America’s largest companies. SAM Advanced Management Journal, 59(2), 28–34. 4. Peters, T. (1987). The new masters of excellence. Niles, IL: Nightingale Conant Corp. 5. Sumlin, R. Performance management: impacts and trends. DDI white paper. http://www.ddi.com/pdf/OCWP06.pdf (26 March 2004). 6. Gabris, G. T., Ihrke, D. M. (2001). Does performance appraisal contribute to heightened levels of employee burnout? The results of one study. Public Personnel Management, 30, 157–172. 7. FMI Corporation (15 November 2000). Using performance reviews to improve employee retention: Contractor’s business management report, p. 2, Denver, CO: Author. 8. The following discussion is based in large part on Chapter 1 from Milcovich, G. T., Newman, J. M. (2002). Compensation management (7th edn). New York: McGraw-Hill. 9. Lewin, D. (2002, January). Incentive compensation in the US public sector: A study of usage, perceptions, and preferences. Paper presented at the annual meeting of the Industrial Relations Research Association, Atlanta, GA. 10. Esen, E. (2003). Job benefits survey. Alexandria, VA: Society for Human Resource Management. 11. Why Choose Sun? Available on-line at http://au.sun.com/employment/student/whysun.html 12. Company car or allowance? Available on-line at http://www.buyingacar.co.za/company.htm 13. Pierce, C. A., Aguinis, H., Adams, S. K. R. (2000). Effects of a dissolved workplace romance and rater characteristics on responses to a sexual harassment accusation. Academy of Management Journal, 43, 869–880. 14. Adapted from Cleveland, J. N., Murphy, R. E. (1989). Multiple uses of performance appraisal: Prevalence and correlates. Journal of Applied Psychology, 74, 130–135. 1/26 Edinburgh Business School Performance Management Module 1 / Performance Management and Reward Systems in Context 15. London, M., Smither, J. W. (2002). Feedback orientation, feedback culture, and the longitudinal performance management process. Human Resource Management Review, 12, 81–100. 16. Cascio, W. F., Aguinis, H. (2005). Applied psychology in human resources management (6th edn). Upper Saddle River, NJ: Prentice Hall. 17. Fandray, D. (2001, May). The new thinking in performance appraisals. Workforce online. http://www.workforce.com/archive/feature/22/28/68/index.php 18. Erdogan, B. (2002). Antecedents and consequences of justice perceptions in performance appraisals. Human Resource Management Review, 12, 555–578. One way to improve both distributive and procedural justice is to set clear rules to be applied consistently by all supervisors. 19. Cawley, B. D., Keeping, L. M., Levy, P. E. (1998). Participation in the performance appraisal process and employee reactions: a meta-analytic review of field investigations. Journal of Applied Psychology, 83, 615–633. 20. Eddy, E. R., Stone, D. L., Stone-Romero, E. F. (1999). The effects of information management policies on reactions to human resource information systems: an integration of privacy and procedural justice perspectives. Personnel Psychology, 52, 335–358. Performance Management Edinburgh Business School 1/27

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