Cognitive Bias and Performance Reviews
When asked to review the performance of an employee we are all hit by the fundamental attribution bias. This is a tendency to judge someone based on their personality (the kind of person we think they are) rather than situational analysis (how circumstances compelled their behavior).
Turns out that the strength of the bias is inversely proportional to how well we like the person being evaluated, or so argues Barbara Limanowka, in her capstone research for a Master’s degree in Learning and Organizational Change at Northwestern University. The more we like the person we are evaluating the weaker the bias and vice-versa.
An important insight for cognitive designers tasked with improving the effectiveness of an employee appraisal process.
Here is the abstract from her research report:
“The ability to make quality decisions that influence people to exemplary performance is a critical skill that every leader needs. An important part of influencing others is our ability to be objective. Being objective is especially important when it comes to performance appraisal of subordinate and peer employees. However, is it possible to be completely objective in assessing performance and providing feedback about it? According to the Fundamental Attribution Bias (FAB), people are inclined to judge the behavioral conduct of others on the basis of their personality as opposed to a situational analysis (Folkes, 1988). Our natural tendency therefore is to make a systematic error in our assessments. Our decision making process can be further complicated by other factors such as relationships with those who we assess. As a result, we more likely to make situational attribution for those with whom we have a significant relationship (Burger & Pavelich, 1994). Making situational attributions can affect the quality of our assessments and feedback for our colleagues, particularly those with whom we associate. Since performance evaluations are inputs to resource allocation, promotions, and such, its implications have important organizational impact. In this study, I will be evaluating the relationship between the Fundamental Attribution Bias, relationship quality, and performance appraisal. In other words, this study examines how the quality of the relationships with our colleagues affects our ability to objectively evaluate their performance in an organizational setting.”
You can find an executive summary here and the full study is available upon request.