Question

What are reasons that the forced ranking approach to performance appraisal is falling out of favor?

Answer 1

The reasons that the forced ranking approach to performance appraisal is falling out of favor include:

• The system gets rid of talented as well as untalented people.

• It results in reduced employee performance.

• It creates legal risk due to the perception of bias.

What is Appraisal?

This involves the process of judging an individual based on their worth or quality in different types of parameters.

There are different types of appraisal such as forced ranking approach which is based on the position gotten by the individuals. This system is falling out of favor because there are other factors which influences the rank of a person.

This system gets rid of talented as well as untalented people and creates legal risk which is why it was chosen as the most appropriate choice.

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