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Appraising Performance across Borders: An Empirical Examination of the Purposes and Practices of Performance Appraisal in a Multi‐Country Context

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  • Flora F. T. Chiang
  • Thomas A. Birtch

Abstract

This study empirically investigated culture's consequences on the major purposes and practices of performance appraisal using a sample (n = 1749) drawn from the banking industry in seven countries across Europe, Asia, and North America. We found that the effects and predictive capability of assertiveness, uncertainty avoidance, in‐group collectivism, and power distance should not be overstated nor are they straightforward. Organizations must be cognizant of the potential influence that a range of other organizational, institutional, and economic factors may wield on appraisal. These findings hold significant implications for the theoretical underpinnings of appraisal, a management tool largely rooted in US equity, expectancy, and procedural justice values and traditions. They also offer important lessons for practice. Not only is the transferability of appraisal and its operationalization affected by interactions with divergent cultures and contextual settings, but new hybrid appraisal architectures are emerging that necessitate further research.

Suggested Citation

  • Flora F. T. Chiang & Thomas A. Birtch, 2010. "Appraising Performance across Borders: An Empirical Examination of the Purposes and Practices of Performance Appraisal in a Multi‐Country Context," Journal of Management Studies, Wiley Blackwell, vol. 47(7), pages 1365-1393, November.
  • Handle: RePEc:bla:jomstd:v:47:y:2010:i:7:p:1365-1393
    DOI: 10.1111/j.1467-6486.2010.00937.x
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    References listed on IDEAS

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    3. Teemu Malmi & David S. Bedford & Rolf Brühl & Johan Dergård & Sophie Hoozée & Otto Janschek & Jeanette Willert, 2022. "The use of management controls in different cultural regions: an empirical study of Anglo-Saxon, Germanic and Nordic practices," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 33(3), pages 273-334, September.
    4. Szkudlarek, Betina & Osland, Joyce S. & Nardon, Luciara & Zander, Lena, 2020. "Communication and culture in international business – Moving the field forward," Journal of World Business, Elsevier, vol. 55(6).
    5. Tim G. Andrews & Nartnalin Chompusri, 2013. "Understanding Organizational Practice Adoption at the Thai Subsidiary Corporation," Management International Review, Springer, vol. 53(1), pages 61-82, February.
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    7. Selvarajan, T.T. & Singh, Barjinder & Solansky, Stephanie, 2018. "Performance appraisal fairness, leader member exchange and motivation to improve performance: A study of US and Mexican employees," Journal of Business Research, Elsevier, vol. 85(C), pages 142-154.
    8. Hayek, Mario & Thomas, Christopher H. & Novicevic, Milorad M. & Montalvo, Daniel, 2016. "Contextualizing human capital theory in a non-Western setting: Testing the pay-for-performance assumption," Journal of Business Research, Elsevier, vol. 69(2), pages 928-935.
    9. Subash Chandra Pattnaik & Rashmita Sahoo, 2020. "Human Resource Practices as Predictors of Organizational Performance: A Structural Equation Modeling Approach," Global Business Review, International Management Institute, vol. 21(4), pages 1087-1112, August.
    10. Nasir Iqbal & Muhammad Majid Khan & Yasir Tariq Mohmand & Bahaudin G. Mujtaba, 2020. "The Impact of in-Service Training and Motivation on Job Performance of Technical & Vocational Education Teachers: Role of Person-Job Fit," Public Organization Review, Springer, vol. 20(3), pages 529-548, September.
    11. Nadeem, Sadia & Raza, Mishal & Kayani, Neelab & Aziz, Amna & Nayab, Dure, 2018. "Examining cross-cultural compatibility of high performance work practices," International Business Review, Elsevier, vol. 27(3), pages 563-583.
    12. Jankulovic, Aleksandar & Skoric, Vladimir, 2013. "Performance management system implementation in a Southeast European transitional country," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 18(2), pages 173-190.
    13. Bayo-Moriones, Alberto & Galdon-Sanchez, Jose Enrique & Martinez-de-Morentin, Sara, 2016. "Competitive Strategy, Performance Appraisal and Firm Results," IZA Discussion Papers 10041, Institute of Labor Economics (IZA).
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