Are Traditional Performance Reviews Outdated? An Empirical Analysis on Continuous, Real-Time Feedback in the Workplace

Published Online:https://doi.org/10.1287/isre.2020.0979

References

  • Abel M (2019) Do workers discriminate against female bosses? Discussion Paper Series. IZA Institute of Labor Economics, Bonn, Germany. Google Scholar
  • Addady M (2015,). GE replaces annual performance reviews with an app. Fortune Online (August 13), http://fortune.com/2015/08/13/performance-reviews/.Google Scholar
  • Aggarwal A , Thakur GSM (2013) Techniques of performance appraisal: A review. Internat. J. Engrg. Adv. Tech. 2(3):617–621.Google Scholar
  • Angrist JD , Pischke JS (2008) Mostly Harmless Econometrics: An Empiricist’s Companion (Princeton University Press, Princeton, NJ).CrossrefGoogle Scholar
  • Ariely D (2008) Predictably Irrational (HarperCollins, New York).Google Scholar
  • Ariely D , Bracha A , Meier S (2009) Doing good or doing well? Image motivation and monetary incentives in behaving prosocially. Amer. Econom. Rev. 99(1):544–555.CrossrefGoogle Scholar
  • Axelrod R (1984) The Evolution of Cooperation (HarperCollins, New York).Google Scholar
  • Bannister BD (1986) Performance outcome feedback and attributional feedback. J. Appl. Psych. 71(2):203–210.CrossrefGoogle Scholar
  • Bapna R , Qiu L , Rice S (2017) Repeated interactions vs. social ties: Quantifying the economic value of trust, forgiveness, and reputation using a field experiment. Management Inform. Systems Quart. 41(3):841–866.CrossrefGoogle Scholar
  • Bapna R , Ramaprasad J , Shmueli G , Umyarov A (2016) One-way mirrors in online dating: A randomized field experiment. Management Sci. 62(11):3100–3122.LinkGoogle Scholar
  • Bapna S , Benner M , Qiu L (2019) Nurturing online communities: An empirical investigation. Management Inform. Systems Quart. 43(2):425–452.CrossrefGoogle Scholar
  • Bastos MW , Fletcher C (1995) Exploring the individual’s perception of sources and credibility of feedback in the work environment. Internat. J. Selection Assessment 3(1):29–40.CrossrefGoogle Scholar
  • Bear JB , Cushenbery L , London M , Sherman GD (2017) Performance feedback, power retention, and the gender gap in leadership. Leadership Quart. 28(6):721–740.CrossrefGoogle Scholar
  • Becker TE , Klimoski RJ (1989) A field study of the relationship between the organizational feedback environment and performance. Personnel Psych. 42(2):343–358.CrossrefGoogle Scholar
  • Belschak FD , Den Hartog DN (2009) Consequences of positive and negative feedback: The impact on emotions and extra‐role behaviors. Appl. Psych. 58(2):274–303.CrossrefGoogle Scholar
  • Bement AL (2007) Cyberinfrastructure: The second revolution. Chronicles High. Ed. 53(18):B5.Google Scholar
  • Bernardin H , Thomason S , Ronald Buckley M , Kane JS (2016) Rater rating‐level bias and accuracy in performance appraisals: The impact of rater personality, performance management competence, and rater accountability. Human Resources Management 55(2):321–340.CrossrefGoogle Scholar
  • Blei DM , Ng AY , Jordan MI (2003) Latent Dirichlet allocation. J. Machine Learn. Res. 3(1):993–1022.Google Scholar
  • Brett JF , Atwater LE (2001) 360° feedback: Accuracy, reactions, and perceptions of usefulness. J. Appl. Psych. 86(5):930–942.CrossrefGoogle Scholar
  • Brown GK , Mergoupis T (2010) Treatment interactions with non-experimental data in Stata. Stata J. 11(4):545–555.CrossrefGoogle Scholar
  • Brown M , Heywood JS (2005) Performance appraisal systems: Determinants and change. British J. Indust. Relations 43(4):659–679.CrossrefGoogle Scholar
  • Buckingham M , Goodall A (2019) The feedback fallacy. Harvard Bus. Rev. 97(2):92–101.Google Scholar
  • Burtch G , Ghose A , Wattal S (2013) An empirical examination of the antecedents and consequences of contribution patterns in crowd-funded markets. Inform. Systems Res. 24(3):499–519.LinkGoogle Scholar
  • Cabral L , Ozbay EY , Schotter A (2014) Intrinsic and instrumental reciprocity: An experimental study. Games Econom. Behav. 87:100–121.CrossrefGoogle Scholar
  • Cameron AC , Trivedi PK (2009) Microeconometrics Using Stata (Stata Press, College Station, TX).Google Scholar
  • Cappelli P , Conyon M (2016) What do performance appraisals do? National Bureau of Economic Research. Accessed June 7, 2020, http://www.nber.org/papers/w22400.pdf.Google Scholar
  • Cappelli P , Tavis A (2016) The performance management revolution. Harvard Business Review Online (October 1), https://hbr.org/2016/10/the-performance-management-revolution.Google Scholar
  • Carli LL (1990) Gender, language, and influence. J. Personality Soc. Psych. 59(5):941–951.CrossrefGoogle Scholar
  • Carli LL (2001) Gender and social influence. J. Soc. Issues 57(4):725–741.CrossrefGoogle Scholar
  • Chatterjee S , Hadi AS (2012) Regression Analysis by Example , 5th ed. (John Wiley and Sons, Hoboken, NJ).Google Scholar
  • Chen PY , Hong Y , Liu Y (2018) The value of multidimensional rating systems: Evidence from a natural experiment and randomized experiments. Management Sci. 64(10):4629–4647.LinkGoogle Scholar
  • Coens T , Jenkins M (2002) Abolishing Performance Appraisals (Berrett-Koehler, Oakland, CA).Google Scholar
  • Cooper MD (2006) Exploratory analyses of the effects of managerial support and feedback consequences on behavioral safety maintenance. J. Organ. Behav. Management 26(3):1–41.Google Scholar
  • Correll S , Simard C (2016) Research: Vague feedback is holding women back. Harvard Business Review Online (April 29), https://hbr.org/2016/04/research-vague-feedback-is-holding-women-back.Google Scholar
  • Croson R , Buchan N (1999) Gender and culture: International experimental evidence from trust games. Amer. Econom. Rev. 89(2):386–391.CrossrefGoogle Scholar
  • Croson R , Gneezy U (2009) Gender differences in preferences. J. Econom. Literature 47(2):448–474.CrossrefGoogle Scholar
  • DeNisi A , Murphy K , Chen G (2017) Performance appraisal and performance management: 100 years of progress? J. Appl. Psych. 102(3):421–433.CrossrefGoogle Scholar
  • Eagly AH , Makhijani MG , Klonsky BG (1992) Gender and the evaluation of leaders: A meta-analysis. Psych. Bull. 111(1):3–22.CrossrefGoogle Scholar
  • Ewenstein B , Hancock B , Komm A (2016) Ahead of the curve: The future of performance management. McKinsey Quart. 2:64–73.Google Scholar
  • Fedor DB , Eder RW , Buckley MR (1989) The contributory effects of supervisor intentions on subordinate feedback responses. Organ. Behav. Human Decision Processes 44(3):396–414.CrossrefGoogle Scholar
  • Feloni R (2017) Employees at the world’s largest hedge fund use iPads to rate each other’s performance in real-time: See how it works. Business Insider Online (September 6), http://www.businessinsider.com/bridgewater-ray-dalio-radical-transparency-app-dots-2017-9.Google Scholar
  • Fox J , Cruz C , Lee JY (2015) Perpetuating online sexism offline: Anonymity, interactivity, and the effects of sexist hashtags on social media. Comput. Human Behav. 52:436–442.CrossrefGoogle Scholar
  • Frederiksen A , Kahn LB , Lange F (2020) Supervisors and performance management systems. J. Political Econom. 128(6):2123–2187.CrossrefGoogle Scholar
  • Freifeld L (2017) Tech talk. Training Online (March–April 2017), https://trainingmag.com/trgmag-article/tech-talk-marchapril-2017.Google Scholar
  • Ghose A , Ipeirotis PG , Sundararajan A (2009) The dimensions of reputation in electronic markets. Working Paper No. CeDER-06-02, NYU Center for Digital Economy Research, New York.Google Scholar
  • Goodwin B (2016) Mobile apps could put an end to “hated” staff appraisals. Computer Weekly Online (February 16), http://www.computerweekly.com/news/4500272768/Mobile-apps-could-put-an-end-to-hated-staff-appraisals.Google Scholar
  • Guo Y , Liao J , Liao S , Zhang Y (2014) The mediating role of intrinsic motivation on the relationship between developmental feedback and employee job performance. Soc. Behav. Personality 42(5):731–741.CrossrefGoogle Scholar
  • Hackman JR , Lawler EE (1971) Employee reactions to job characteristics. J. Appl. Psych. 55(3):259–286.CrossrefGoogle Scholar
  • Hao L , Guo H , Easley RF (2017) A mobile platform’s in‐app advertising contract under agency pricing for app sales. Production Oper. Management 26(2):189–202.CrossrefGoogle Scholar
  • Halperin K , Snyder CR , Shenkel RJ , Houston BK (1976) Effects of source status and message favorability on acceptance of personality feedback. J. Appl. Psych. 61(1):85–88.CrossrefGoogle Scholar
  • Harter J , Adkins A (2015) Employees want a lot more from their managers. Gallup Business Journal Online (April 8), http://news.gallup.com/businessjournal/182321/employees-lot-managers.aspx.Google Scholar
  • Harvey AH , Kirk U , Denfield GH , Montague PR (2010) Monetary favors and their influence on neural responses and revealed preference. J. Neuroscience 30(28):9597–9602.CrossrefGoogle Scholar
  • Hashim MJ , Kannan KN , Maximiano S (2017) Information feedback, targeting, and coordination: An experimental study. Inform. Systems Res. 28(2):289–308.LinkGoogle Scholar
  • Hazucha JF , Hezlett SA , Schneider RJ (1993) The impact of 360‐degree feedback on management skills development. Human Resources Management 32(2–3):325–351.CrossrefGoogle Scholar
  • Hernandez R (2015) What millennials want from their performance reviews. Fast Company Online (November 3), https://www.fastcompany.com/3052988/heres-what-millennials-want-from-their-performance-reviews.Google Scholar
  • Hollenbaugh EE , Everett MK (2013) The effects of anonymity on self-disclosure in blogs: An application of the online disinhibition effect. J. Comput. Mediated Comm. 18(3):283–302.CrossrefGoogle Scholar
  • Hong C , Li C (2017) The effect of “anonymous reviewer”: A study of anonymity, affect intensity, and message valence in the cyberspace. J. Language Soc. Psych. 36(5):504–524.CrossrefGoogle Scholar
  • Hsia LH , Huang I , Hwang GJ (2016) Effects of different online peer-feedback approaches on students’ performance skills, motivation and self-efficacy in a dance course. Comput. Ed. 96:55–71.CrossrefGoogle Scholar
  • Huang N , Burtch G , Gu B , Hong Y , Liang C , Wang K , Fu D , Yang B (2019) Motivating user-generated content with performance feedback: Evidence from randomized field experiments. Management Sci. 65(1):327–345.LinkGoogle Scholar
  • Huang Y , Singh PV , Ghose A (2015) A structural model of employee behavioral dynamics in enterprise social media. Management Sci. 61(12):2825–2844.LinkGoogle Scholar
  • Huber J , Payne JW , Puto C (1982) Adding asymmetrically dominated alternatives: Violations of regularity and the similarity hypothesis. J. Consumer Res. 9(1):90–98.CrossrefGoogle Scholar
  • Ilgen D , Davis C (2000) Bearing bad news: Reactions to negative performance feedback. Appl. Psych. 49(3):550–565.CrossrefGoogle Scholar
  • Ilgen DR , Fisher CD , Taylor MS (1979) Consequences of individual feedback on behavior in organizations. J. Appl. Psych. 64(4):349.CrossrefGoogle Scholar
  • Ilgen DR , Mitchell TR , Fredrickson JW (1981) Poor performers: Supervisors’ and subordinates’ responses. Organ. Behav. Human Performance 27(3):386–410.CrossrefGoogle Scholar
  • Ilies R , De Pater IE , Judge T (2007) Differential affective reactions to negative and positive feedback, and the role of self-esteem. J. Management Psych. 22(6):590–609.Google Scholar
  • Jung DI , Sosik JJ (2003) Group potency and collective efficacy: Examining their predictive validity, level of analysis, and effects of performance feedback on future group performance. Group Organ. Management 28(3):366–391.CrossrefGoogle Scholar
  • Jung JH , Schneider C , Valacich J (2010) Enhancing the motivational affordance of information systems: The effects of real-time performance feedback and goal setting in group collaboration environments. Management Sci. 56(4):724–742.LinkGoogle Scholar
  • Kaira A (2015) Staff would rather call in sick than face an appraisal. Human Resources Online (October 27), http://www2.humanresourcesonline.net/1-5-employees-rather-call-sick-face-performance-reviews/.Google Scholar
  • Khurana S , Qiu L , Kumar S (2019) When a doctor knows, it shows: An empirical analysis of doctors’ responses in a Q&A forum of an online healthcare portal. Inform. Systems Res. 30(3):872–891.LinkGoogle Scholar
  • Kurtzberg TR , Naquin CE , Belkin LY (2005) Electronic performance appraisals: The effects of email communication on peer ratings in actual and simulated environments. Organ. Behav. Human Decision Processes 98(2):216–226.CrossrefGoogle Scholar
  • Larson JR Jr (1984) The performance feedback process: A preliminary model. Organ. Behav. Human Performance 33(1):42–76.CrossrefGoogle Scholar
  • Lawrence T (2017) How HR can make continuous feedback a practical reality. Inside HR Online (April 28), https://www.insidehr.com.au/how-hr-can-make-continuous-feedback-a-practical-reality/.Google Scholar
  • Lebowitz S (2016) IBM now uses the ACE app to give and receive real-time feedback. Business Insider. Accessed June 7, 2020, http://www.businessinsider.com/ibm-now-uses-the-ace-app-to-give-and-receive-real-time-feedback-2016-5.Google Scholar
  • Lee GM , Qiu L , Whinston AB (2016) A friend like me: Modeling network formation in a location-based social network. J. Management. Inform. Systems 33(4):1008–1033.CrossrefGoogle Scholar
  • Lefroy J , Roberts N , Molyneux A , Bartlett M , Gay S , McKinley R (2017) Utility of an app-based system to improve feedback following workplace-based assessment. Internat. J. Medical Ed. 8:207–216.CrossrefGoogle Scholar
  • Liu N , Yu R (2017) Identifying design feature factors critical to acceptance and usage behavior of smartphones. Comput. Human Behav. 70:131–142.CrossrefGoogle Scholar
  • London M (1997) Job Feedback: Giving, Seeking, and Using Feedback for Performance Improvement (Lawrence Erlbaum, Mahwah, NJ).Google Scholar
  • Mani D , Nandkumar A (2016) The differential impacts of markets for technology on the value of technological resources: An application of group‐based trajectory models. Strategic Management J. 37(1):192–205.CrossrefGoogle Scholar
  • McCarthy AM , Garavan TN (2001) 360 feedback process: Performance, improvement and employee career development. J. Eur. Indust. Training 25(1):5–32.CrossrefGoogle Scholar
  • Modo Labs Team (2016) Technology in the 21st century workplace: Millennials shape the status quo. Modo Labs. Accessed June 7, 2020, https://www.modolabs.com/blog-post/technology-in-the-21st-century-workplace-millennials-shape-the-status-quo/.Google Scholar
  • Mousa A , Schuller B (2017) Contextual bidirectional long short-term memory recurrent neural network language models: A generative approach to sentiment analysis. Proc. 15th Conf. Eur. Chapter Assoc. Computational Linguistics, vol. 1, Long Papers, 1023–1032.Google Scholar
  • Newman D (2017) The app generation: Driving change in the future of work. HuffPost. Accessed June 7, 2020, https://www.fuze.com/blog/app-generation-driving-change-future-work.Google Scholar
  • Oetting J (2018) 10 employee feedback tools to track your team’s engagement in 2018. HubSpot. Accessed June 7, 2020, https://blog.hubspot.com/agency/employee-feedback-engagement-tools.Google Scholar
  • Ortmann A , Tichy LK (1999) Gender differences in the laboratory: Evidence from prisoner’s dilemma games. J. Econom. Behav. Organ. 39(3):327–339.CrossrefGoogle Scholar
  • Pampino RN Jr , MacDonald JE , Mullin JE , Wilder DA (2004) Weekly feedback vs. daily feedback: An application in retail. J. Organ. Behav. Management 23(2–3):21–43.Google Scholar
  • Petrucci T , Rivera M , Tironi C (2016). DevelapMe (version 2.1) [Software]. Accessed June 7, 2020, http://www.DevelapMe.com.Google Scholar
  • Podsakoff PM , Farh JL (1989) Effects of feedback sign and credibility on goal setting and task performance. Organ. Behav. Human Decision Processes 44(1):45–67.CrossrefGoogle Scholar
  • Porath C (2016) Give your team more-effective positive feedback. Harvard Business Review Online (October 25), https://hbr.org/2016/10/give-your-team-more-effective-positive-feedback.Google Scholar
  • Prendergast C (1999) The provision of incentives in firms. J. Econom. Literature 37(1):7–63.CrossrefGoogle Scholar
  • Qiu L , Kumar S (2017) Understanding voluntary knowledge provision and content contribution through a social-media-based prediction market: A field experiment. Inform. Systems Res. 28(3):529–546.LinkGoogle Scholar
  • Sagrestano LM (1992) Power strategies in interpersonal relationships the effects of expertise and gender. Psych. Women Quart. 16(4):481–495.CrossrefGoogle Scholar
  • Santos C (2017) Real time performance feedback? They have an app for that. Accessed June 7, 2020, https://www.chieflearningofficer.com/2017/02/09/real-time-performance-feedback-app/.Google Scholar
  • Saunier A , Mavis M (1998) Fixing a broken system. HR Focus 75(3):1–3.Google Scholar
  • Schrage M , Kiron D , Hancock B , Breschi R (2019). Performance management’s digital shift. MIT Sloan Management Review. Accessed June 7, 2020, https://sloanreview.mit.edu/projects/performance-managements-digital-shift.Google Scholar
  • Scott DS (2015) Performance feedback and impact on work motivation. Master's thesis, University of Stavanger, Norway.Google Scholar
  • Scullen SE , Mount MK , Goff M (2000) Understanding the latent structure of job performance ratings. J. Appl. Psychol. 85(6):956–970.CrossrefGoogle Scholar
  • Shadish WR , Cook TD , Campbell DT (2002) Experimental and Quasi-Experimental Designs for Generalized Causal Inference (Houghton Mifflin, Boston).Google Scholar
  • Sharon T , John NA (2018) Unpacking (the) secret: Anonymous social media and the impossibility of networked anonymity. New Media Soc. 20(11):4177–4194.CrossrefGoogle Scholar
  • Shore TH , Shore LM , Thornton GC (1992) Construct validity of self-and peer evaluations of performance dimensions in an assessment center. J. Appl. Psych. 77(1):42–54.CrossrefGoogle Scholar
  • Silverman R (2016) GE re-engineers performance reviews, pay practices. Wall Street Journal Online (June 8), https://www.wsj.com/articles/ge-re-engineers-performance-reviews-pay-practices-1465358463.Google Scholar
  • Singh PV , Sahoo N , Mukhopadhyay T (2014) How to attract and retain readers in enterprise blogging. Inform. Systems Res. 25(1):35–52.LinkGoogle Scholar
  • Sloan N , Agarwal D , Garr S , Pastakia K (2017) Performance management: Playing a winning hand. Accessed June 7, 2020, https://www2.deloitte.com/insights/us/en/focus/human-capital-trends/2017/redesigning-performance-management.html.Google Scholar
  • Smith S , Smith R , Albanese J , Forte E , Paturas J , Halstead W , Tomassoni A (2013) Disaster and exercise performance information collection tool: Capturing observations in four minutes or less. J. Bus. Continuity Emergency Planning 6(2):151–163.Google Scholar
  • Smither JW , London M , Vasilopoulos NL , Reilly RR , Millsap RE , Salvemini N (1995) An examination of the effects of an upward feedback program over time. Personnel Psych. 48(1):1–34.CrossrefGoogle Scholar
  • Spinks N , Wells B , Meche M (1999) Appraising the appraisals: Computerized performance appraisal systems. Career Development Internat. 4(2):94–100.CrossrefGoogle Scholar
  • Steelman LA , Rutkowski KA (2004) Moderators of employee reactions to negative feedback. J. Management Psych. 19(1):6–18.Google Scholar
  • Stone M (2015) Amazon employees reportedly slam each other through this internal review tool. Business Insider Online (August 15), http://www.businessinsider.com/amazon-employees-reportedly-slam-each-other-through-this-internal-review-tool-2015-8.Google Scholar
  • Suler J (2004) The online disinhibition effect. Cyberpsychology Behav. 7(3):321–326.CrossrefGoogle Scholar
  • Tversky A , Kahneman D (1991) Loss aversion in riskless choice: A reference-dependent model. Quart. J. Econom. 106(4):1039–1061.CrossrefGoogle Scholar
  • Tversky A , Simonson I (1993) Context-dependent preferences. Management Sci. 39(10):1179–1189.LinkGoogle Scholar
  • Twenge J (2017). iGen (Simon & Schuster, New York).Google Scholar
  • Vara V (2015) The push against performance reviews. New Yorker Online (July 24), https://www.newyorker.com/business/currency/the-push-against-performance-reviews.Google Scholar
  • Waldersee R , Luthans F (1994) The impact of positive and corrective feedback on customer service performance. J. Organ. Behav. 15(1):83–95.CrossrefGoogle Scholar
  • Waldman DA , Bowen DE (1998) The acceptability of 360 degree appraisals: A customer‐supplier relationship perspective. Human Resource Management 37(2):117–129.Google Scholar
  • Yohn D (2019) Employee feedback is good for employee engagement: Action is better. Forbes Online (August 6), https://www.forbes.com/sites/deniselyohn/2019/08/06/employee-feedback-is-good-for-employee-engagement-action-is-better.Google Scholar
  • Yueh HP , Lu MH , Lin W (2016) Employees’ acceptance of mobile technology in a workplace: An empirical study using SEM and fsQCA. J. Bus. Res. 69(6):2318–2324.CrossrefGoogle Scholar
  • Zhang H (2017) How do I recognize thee, let me count the ways. Accessed June 7, 2020, https://www.ibm.com/downloads/cas/EXMEYMZ5.Google Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.