Distributional Ratings of Performance Levels and Variability

Abstract

The performance distribution assessment (PDA) method was purported to be a breakthrough in performance appraisal methodology; however, little research has been conducted to determine the usefulness of this method. This article describes some of the critical features of the PDA method and presents evidence supporting the validity of the PDA in an organizational setting. The performance and ability data of 397 sewing machine operators were analyzed to determine the validity of multiple performance measures derived from the PDA, the relative accuracy of the PDA compared with an evaluative rating method, and differential criterion-related validities for the multiple PDA performance measures. Results revealed significant correlations between the PDA-derived performance measures and objective measures of job performance, differential correlations between ability and the multiple PDA-derived performance measures, and equivalent levels of rating accuracy for the PDA and the evaluative measure of typical performance. Implications for research and practice are discussed.