Which of these are recognised types of appraisal interview?
Correct answer D. All of the above
Topic / 62 questions
Performance Management and Appraisal MCQs
Performance Management and Appraisal MCQs are human resource management questions on how organisations set goals, measure employee performance and give feedback, covering appraisal methods, 360-degree feedback, interviews and common rating errors. They help HRM and MBA students and UGC NET, lecturer and HR officer candidates revise this area, and each question shows its answer instantly.
- Coaching, Careers and Talent Management 193
- Training and Developing Employees 77
- Managers Role in Strategic HRM 65
- Performance Management and Appraisal 63
- Pay for Performance and Financial Incentives 50
- Labor Relations and Collective Bargaining 35
- Introduction to Human Resource Management 33
- Benefits and Services 24
- Job Analysis 21
- Ethics Justice and Fair Treatment 17
- Managing Global Human Resources 13
- Human Resource Planning and Recruiting 11
- Interviewing candidates 10
- Employee Testing and Selection 9
Which of the following is a responsibility of a company’s HR team?
Correct answer D. All of the above
Which of these steps form part of an employer’s move towards performance management?
Correct answer D. All of the above
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What is the rating error called when a manager gives every employee the same middle rating, such as ‘good’?
Correct answer A. Central tendency
Which type of appraisal interview is used when an employee’s performance is unsatisfactory and cannot be corrected?
Correct answer D. Unsatisfactory-uncorrectable interview
In most organisations, what role does the human resource department play?
Correct answer D. Advisory role
What is one advantage of management by objectives (MBO)?
Correct answer C. It jointly agreed performance objectives
What is the main disadvantage of the critical incident method?
Correct answer A. Difficult to rate
A lower appraisal rating caused by gender discrimination is an example of what?
Correct answer A. Bias
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What is the situation called when subordinates collude to give each other high ratings?
Correct answer B. Logrolling
What is the advantage of the BARS system?
Correct answer D. Providing behavioural anchors
In the basic approach to appraisal, an employee’s current performance is compared with what?
Correct answer C. Set standards
What is one aim of performance appraisal?
Correct answer B. Motivate the employee
What is performance management always?
Correct answer B. Goal oriented
The alternation ranking method is usually classified under which appraisal question?
Correct answer A. “How you are measuring performance”
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What is the disadvantage of the management by objectives (MBO) method?
Correct answer D. Time consuming
What is evaluating an employee’s performance against set standards called?
Correct answer C. Performance appraisal
Which type of appraisal interview typically involves offering an occasional ‘well done’ to maintain performance?
Correct answer A. Satisfactory-not promotable interview
According to management guru W. Edwards Deming, what is an employee’s performance the result of?
Correct answer D. Both A and B
What is the advantage of the graphic rating scale method?
Correct answer A. Simple to use
About Performance Management and Appraisal MCQs
This category covers both the process and the tools of appraisal. Questions test the aims of performance appraisal, the steps of performance management, alternation ranking and its advantages and drawbacks, the critical incident method of recording behaviour, and types of appraisal interviews. Rating problems such as central tendency, where everyone is rated average, and collusion between subordinates also appear, along with 360-degree feedback, the role of the HR department and Edward Deming's view that performance depends largely on the system.
Performance appraisal is a core HRM topic in MBA, BBA and public administration courses and is tested in UGC NET, HR officer recruitment and lecturer tests. Questions often hinge on recognising a method from its description. Practising these MCQs helps you link each method to its purpose, strengths and weaknesses. Examiners also like to ask which rating error a scenario describes, so learn the errors with simple workplace examples.
Key facts to remember
- Performance appraisal evaluates an employee's current or past performance against set standards.
- In 360-degree feedback, ratings are collected from supervisors, peers, subordinates and customers.
- Alternation ranking lists employees from best to worst on a trait by alternately choosing the highest and lowest.
- Central tendency is the rating error of placing all employees in the average category.
- The critical incident method records examples of unusually good or poor employee behaviour.
- An appraisal interview is where supervisor and employee review the appraisal and plan improvement.
Exams that include Performance Management and Appraisal MCQs
Pakistan
- Lecturer tests
- FPSC
- PPSC
- Banking job tests
- NTS
India
- UGC NET
- State PSC exams
- Campus placements
- IBPS (HR Officer)
Bangladesh
- Bank job exams
- Government job tests
- Bangladesh Bank recruitment
How to prepare for Performance Management and Appraisal MCQs
- List each appraisal method with one advantage and one disadvantage, as questions often ask about a method's main drawback.
- Learn the common rating errors, halo effect, leniency, strictness, central tendency and recency, with short definitions.
- Remember who provides ratings in 360-degree feedback, since this is among the most frequently asked questions.
- Distinguish performance management as a continuous process from appraisal as a periodic evaluation.
Frequently asked questions
What is the difference between performance management and performance appraisal?
Performance management is a continuous process of setting goals, coaching, measuring and developing employee performance in line with organisational aims. Performance appraisal is one part of it, a periodic formal evaluation of how well an employee has performed against standards.
How many Performance Management and Appraisal MCQs are on MCQs360?
MCQs360 has 63 Performance Management and Appraisal MCQs, each with an instant answer. You can practise them free without signing up and combine them with other HRM categories for full revision. Begin with the appraisal method questions, which appear most often.
Which exams ask Performance Appraisal MCQs?
These questions appear in management lecturer tests, HR officer posts and banking recruitment in Pakistan. In India they feature in UGC NET Management and HRM, state PSC exams and HR officer tests, and in Bangladesh in bank and government job exams.
What is 360-degree feedback?
360-degree feedback is an appraisal method in which an employee receives ratings from all around them, including supervisors, peers, subordinates and sometimes customers, along with a self-assessment. It gives a broader picture of performance than a single manager's view.
Last reviewed October 2026