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ACCA Applied Knowledge · Business and Technology · Review and appraisal of individual performance

An appraiser rates a new employee poorly because the employee graduated from a university the appraiser regards as inferior, despite strong results. Which problem is this?

This is bias from stereotyping or prejudice. The appraiser judges the employee on a group characteristic, the university attended, rather than on actual performance and results. It is unrelated to timing of events (recency) or to clustering ratings in the middle of the scale (central tendency).

  1. ARecency effect
  2. BCentral tendency
  3. CBias based on stereotyping or prejudiceCorrect

Explanation

Judging someone on a group characteristic, such as the institution attended, rather than on actual results is stereotyping or prejudice. It is not recency, as no timing is involved, nor central tendency, as the rating is not placed in the middle.

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