CAIIB · ABM

B PERFOMANCE MANAGEMENT

Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Advanced Bank Management — CAIIB.

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Q

What is Performance Management in the context of banking HR?

A

Performance Management is a continuous process of identifying, measuring, and developing the performance of individuals and teams, aligning their performance with the strategic goals of the bank.

Q

What is the 'Strictness Bias' or 'Severity Error' in performance appraisal?

A

Rater consistently gives lower ratings than deserved to employees.

Q

What is the primary purpose of a Performance Appraisal System in banks?

A

Performance appraisal aims to evaluate an employee's job performance against pre-set targets, provide feedback, and link performance outcomes to rewards, promotions, and training needs.

Q

What is the BARS (Behaviourally Anchored Rating Scale) method of appraisal?

A

Appraisal method linking rating scales to specific behavioural examples.

Q

What does the acronym KRA stand for in performance management?

A

KRA stands for Key Result Areas, which are the primary responsibilities or focus areas where an employee is expected to deliver results critical to the organisation's success.

Q

What is the Critical Incident Method in performance appraisal?

A

Recording exceptionally good or bad employee behaviours for appraisal.

Q

How does Management by Objectives (MBO) relate to bank performance management?

A

MBO is a goal-setting approach where managers and employees jointly define objectives, set performance standards, and then evaluate the employee against those agreed-upon goals at the end of the review period.

Q

What is the Essay Method of performance appraisal?

A

Appraiser writes a descriptive narrative about employee's performance strengths and weaknesses.

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