The Performance And Reward Management System

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Performance ratings is part of the performance and reward management system that used to support organisations’ personnel decisions in performance appraisal, promotion, compensation, and employee development (Yun, Donahus, Dudley, & McFarland, 2005). Accurate performance ratings are fundamental to the success or failure of the performance management process, therefore, raters have been suggested to be fully trained to minimise potential errors in performance ratings (Biron, Farndale, & Paauwe, 2011). Several rater training programs have been developed to enhance the quality of performance ratings, such as rater error training and frame-of-reference training (MacDonald & Sulsky, 2009). Nevertheless, not all rater training programs have been equally successful, many researchers have demonstrated the effectiveness of frame-of-reference training in increasing rating accuracy (Woehr, 1994; Keown-Gerrard & Sulsky, 2001; Roch, Woehr, Mishra, & Kieszczynska, 2012). The following will assess the effectiveness of frame-of-reference training in increasing rating quality through comprehensive examination of its validity, accuracy and reliability.

Explanation for Frame-of-Reference Training

Early approaches to rater training were focused mainly on reducing raters’ common errors, (MacDonald & Sulsky, 2009). However, rater error training has been proven ineffective in actual application. Researchers have found that rater error training may teach raters to use inappropriate response
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