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DELVING INTO THE DARK SIDE: THE POLITICS OF
EXECUTIVE APPRAISAL
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While politics is a way of life in most
organizations, a new study reveals that it plays an especially
sinister role in executive performance appraisals.
It is a well-worn axiom that politics
often plays a dominant role in important organizational decisions
and actions. Both mainstream and specialized writers have offered
descriptions of, explanations for, and recommendations concerning
politics in the corporate environment. Yet much of this work tends
to come across as superficial, especially to those who have been
victims of politically motivated decisions. Certainly, little of
this writing captures the wrenching impact that political actions
have on managers' careers.
This article explores the use and abuse of
politics as it affects executives. We focus on a key recurring
event in the executive experience: the performance appraisal,
whether formally or informally rendered. Organizational politics
often has a significant influence over the executive appraisal
process. Thus, our discussion uncovers one of the little-discussed
dark sides of organizational life.
Although virtually every experienced
organization member will acknowledge that organizations are
political arenas, that almost everyone is at one time or another a
political player, and that politics might even be necessary to make
organizations "work," corporate politics is nevertheless regarded
as an underhanded activity. Most organization members believe that
politics somehow should not be involved in corporate
decisions--that the use of politics subverts a game that ought to
be played by fair and forthright rules. At the same time, people
also recognize that virtually everyone seeks some form of
influence; otherwise, they relinquish all control to others. Most
corporate veterans adhere to the venerable boxing adage, "Defend
yourself at all times"--in other words, protect your own
interests.
Such beliefs are woven into the fabric of
most personal and organizational value systems, even though they
are contradictory: Although everyone wants to be treated fairly and
wants others to observe the rules, a surprising number of people
will bend those rules to satisfy a personal, departmental, or
divisional agenda. organization members, for example, may reveal
confidential information about a new project in an effort to gain
favor, yet may demand that others keep the project secret. They may
circumvent corporate policies to expedite the completion of their
own work, yet insist that others go by the book. In short, while
people demand fairness and justice from others, they often choose
to reserve discretion and latitude for themselves.
Although politics is associated with many
events in organizational life, the political nature of these events
is either too elusive or too cleverly concealed to be discerned
easily. The politics involved in executive appraisals, however, is
more easily detected, since it is revealed in conversations
concerning performance. Therefore, although the role of politics in
executive appraisals is not "public," it is nonetheless accessible,
especially if executives are willing to talk about it (and, as it
turns out, executives are surprisingly willing to open up when they
believe they have been hurt by political actions).
Before we continue, however, it's
important to offer a definition. For the purposes of this article,
the term "politics" in the area of executive appraisal refers to
any deliberate attempt on the part of a higher ranking executive to
enhance, control, or protect self- or organizational interests via
the appraisal of subordinate executives. Higher ranking individuals
usually use such actions to seek or maintain some kind of
advantage.
Many organizations either ignore the
existence of politics in the appraisal process or assume that its
impact can be minimized if they refine their appraisal instruments
(contrary to our expectations, many organizations use some type of
appraisal form, even for executives). Our previous research
suggested, however, that an attempt to develop an appraisal
instrument that would lead to greater rating accuracy is a futile
pursuit, mainly because the managers who use these instruments
often actively pursue agendas that are incompatible with highly
accurate ratings. Executives admit that, in appraising others, they
often intentionally avoid meeting the goal of accuracy in favor of
achieving goals that have more to do with exercising discretion and
maintaining departmental effectiveness. That is, they view the
appraisal process as a way of achieving desired results, and this
priority supersedes their concern for accuracy or playing by the
rules.
Ironically, these same executives lament
that the appraisals they receive often do not accurately represent
their abilities and performance. Those we interviewed in previous
studies felt that their own reviews had been fraught with nebulous
or ambiguous language, unclear standards, and inaccurate
perceptions of their performance. Worse, they suspected their
appraisals often were driven by a superior's ulterior, political
motives. And despite their general frustration with the overall low
quality of their reviews, these executives were most disturbed by
the political undercurrents they perceived. This political
dimension to their appraisals made them feel less in control of
their jobs, which they thought were already complicated and
difficult enough.
As a point of departure for our current
examination of politics in executive appraisal, we might simply
note that despite a widespread fascination with the topic and a
general belief in its negative effects, few systematic accounts of
the details of executive appraisal politics are available. The main
purpose of this article, then, is to explore in some depth
executive perceptions of the dynamics of executive appraisal
politics; to draw out some of the personal, professional, and
organizational consequences of this type of politics; and to offer
recommendations for minimizing these consequences.
In beginning our study, we determined that
the closer we could get to firsthand experiences of executive
appraisal politics, the more insightful our analysis would be. For
this reason, we interviewed 82 executives from 8 large
manufacturing and service organizations representing 12 functional
areas. The organizations all had corporate performance appraisal
systems in place at the time of our interviews. The interviewees
averaged more than 23 years of work experience and 15 years of
managerial experience. All were managers of managers and were
classified as executive-level personnel in their organizations'
hierarchies, but all also reported to at least one higher level
executive.
Because of our thorough analysis of these
interviews, we are confident that our observations are not merely
idiosyncratic impressions, but accounts of experiences shared by a
substantial number of executives. We discuss these observations
below, in a fashion intended to capture the richness of the
executives' overt and covert confrontations with politics.
Throughout, we include direct quotes that represent the gist of the
group's shared views. Our five main themes, or summary observations
emerging from our interviews, appear in italics, and are summarized
in Exhibit 1.
1. Politics is prevalent in appraisal, and
the higher one rises in the organization, the more political the
appraisal process becomes. The interviewees unequivocally stated
that politics plays an influential role in many decisions affecting
them, and that role increases in importance as a manager progresses
up the corporate ladder. This perception was especially strong when
executives discussed how performance and contribution to the
organization are evaluated. As one respondent put it:
As you move up the ladder into the
executive ranks, everything becomes more political and subject to
game playing .... Appraisals, bonuses, promotions, and perks are
all affected by somebody's maneuvering. And the higher you climb,
the worse it gets! A lot of stuff other than pure performance
affects your PDR [performance/development review] when you're up
high.
According to the interviewees, the role of
politics in the review process is a frustrating fact of executive
life. Although performance is an important factor in the review
process, it is by no means the sole or even the dominant factor.
They indicated that as an executive rises higher, a greater number
of factors other than actual performance affect his or her ratings
and corresponding rewards.
For example, several executives in the
same organization cited the recent selection of a new director of
quality improvement. A committee reviewed the performance records
of four internal candidates and recommended two to the CEO, who
disregarded the recommendation and selected one of the other
nominees. The CEO explained, according to the interviewees, that
"his" candidate "better fit my sense of the requirements for the
job." The committee believed, however, that the individual was the
weakest of the four and was chosen because he would not stand up to
the CEO on critical issues, which would allow the CEO to parry
resistance to his unpopular plans. One executive commented that the
selection was "as transparent as it gets" and had nothing to do
with the candidate's past performance or his ability to achieve
results: "It was purely political; it was ugly; and it angered a
lot of people."
2. Because of the dynamic, ambiguous
nature of managerial work, appraisals are susceptible to political
manipulation.
Executives characterized the work they
perform as "dynamic," "uncertain," "ambiguous," and "ill-defined,"
involving"fluctuating goals and fluid responsibilities." on the one
hand, this makes the work stimulating and challenging; on the
other, it fosters and facilitates an "executive rating game," the
essence of which is captured in the comment, "Any rating a manager
receives can be justified in some way, even if it's inaccurate."
The executives themselves acknowledged, however, that accuracy is a
difficult and elusive criterion at their level because of the
nature of their jobs. Said one:
We all know we [managers] wear a lot of
different hats, chase a lot of different goals, have a lot of
different projects, and work in an environment that is always in
flux. That makes the business of determining what we've really
contributed very subjective, and that subjectivity opens the door
not only to evaluation apprehension, but also evaluation
manipulation.
Furthermore, they noted that executive
work and success almost invariably depends on the performance of
other people, often in other departments or divisions. But despite
their recognition that assessing their performance is no easy task,
they still suspected that the inherent ambiguity of their jobs
works against them and allows their superiors to use executive
ratings for their own political purposes.
One executive related the events that led
to his resignation from a prior position. Asserting that his former
boss "was successively hammering me on different aspects of the job
to keep me off balance," he explained that his boss originally told
him to "Get production up," which he did--only to receive a review
that said, "You need more focus on quality." The next year quality
was up and production was good--but the review read, "Your customer
relations stink." A year later, quality was up, customer relations
were good, and production was maintained; the boss's response was,
"You can't do it all, can you?" The executive quit.
3. Performance is not necessarily the
bottom line in the executive appraisal process. The executives said
that on occasion, they had received high ratings and bonuses that
they did not feel they deserved. Their suspicions that their
performance did not earn such rewards were occasionally confirmed
by superiors who, in the words of one interviewee, "said they were
taking care of me." More often, however, the executives spoke of
being "torpedoed," "low-balled," or "intentionally downgraded" even
though they felt their performance had been strong:
I'd like to think that if my performance
is good, it will be reflected in my evaluation and the rewards I
receive. It usually doesn't happen that way because of
self-interests, power struggles, coalitions, and competing camps
that develop. It's unbelievable, the things you need to look out
for. No pansies need apply here.
The executives indicated that their
ability to understand the relationship between performance,
ratings, and rewards is further hampered by an apparent failure on
the part of superiors to discuss what they expect in terms of total
performance (e.g., long-range goals and plans, special projects,
management style, "knowing the ropes," vision, etc.). As one
marketing vice president stated, "If we are unclear on what the
chief truly wants, almost any rating will come as some sort of
surprise." This point is important both because factors other than
actual performance clearly have an influence on ratings, and
because executives find the air of mystery that surrounds the
appraisal process frustrating. As a director of quality control put
it, "It is easy to be kept in the dark if you don't know what
counts, so you become apprehensive and suspicious that you are
being used for someone else's ends."
According to the interviewees, three
factors affect the ratings they receive: the boss's agenda, the
reviewed executive's reputation, and the company's political
climate. The boss's agenda, they said, may be influenced by a
variety of issues, including the boss's (1) own performance rating
that year, (2) desire to reward or punish a subordinate executive,
(3) desire to enhance subordinate loyalty, and (4) desire to drive
an executive out of the company. As one manager stated, ". . . the
boss's agenda is a big factor in my own review. A lot of issues
affect his game plan, and I seem to hear about them most at review
time."
An executive's reputation, these managers
said, has to do with whether he or she is perceived as having the
"right stuff" in terms of personality, work history, and
associates. Specifically, the executive should have (1) the ability
to get along with others, (2) no "mortal sins or skeletons in the
closet," (3) a record of good performance, and (4) a good network
within the organization, or the right "pedigree." As an example of
the right pedigree, consider the case of a fast-track Wharton MBA
who was supposedly being groomed for a position at the top of his
organization. He was promoted three times in five years, finally
ending up in a position that was clearly over his head.
Nonetheless, his boss (recognizing that the CEO, also a Wharton
grad, was the "Boy Wonder's benefactor") elected to promote him
once again, granting him a better-than-deserved review. According
to the promoted executive, the boss said he did what he did to
"keep himself off the CEO's [expletive deleted] list."
Executives used terms like "golden child,"
"fair-haired boy," "rising star," and "crown prince" to describe
other executives whose reputations did not necessarily match their
performance records, but who nonetheless seemed destined to
succeed. Conversely, some executives had inexplicably damaged
reputations and were sidetracked or derailed--often without the
benefit of a formal performance review. As one executive concluded,
"Your performance alone is not enough to make you a star unless it
is deemed that you have `it'"--but finding out what "it" is often
becomes a long-term, frustrating, and fruitless pursuit.
Finally, the organization's current
political climate--including the CEO's or division head's
management style, other superiors' power and status, the
organization's financial flexibility, recent company successes or
failures, and, perhaps most notably, the condition of the industry
or national economy--constitutes the third major influence on
ratings.
4. Senior executives have extraordinary
latitude in evaluating subordinate executives'performance.
Executives said that because of the high stakes involved, the
nature of executive work, the prevailing power structure of their
organizations, and current political and economic realities, their
bosses exercise sole control over the ratings process. As one
executive put it:
In the end it still comes down to this: My
boss can give me any rating he wants and there isn't a lot I can do
about it. I can hit my numbers, but he might think I should have
exceeded them. I might have a good year, but maybe the division
didn't. Perhaps he didn't like my style or the way I handled a
certain deal. In the end I'll get what he wants me to have. He
knows it and I know it.
Executives called their evaluations "too
subjective to be effective," and associated three pitfalls with the
appraisal process: first, a failure on the part of superiors to
specify meaningful performance goals and standards (as one
interviewee said, "It seems as though we always clarify what was
important last year, after the fact"); second, a lack of
communication between bosses and executives about the desired style
and means of goal accomplishment ("If there is nothing else to pick
on," one executive said, "he hits on me about my management
style"); and third, the "good-but-not-good-enough syndrome," a
colorful variation on the old saw that "you can always do
better."
The interviewees said this "syndrome" is
on the upswing because of the increasing tendency in business to
emphasize efficiency, productivity, and "continuous quality
improvement" at all levels. To neutralize the belief that they can
always do better, executives said they are motivated to "present an
image" to the boss of working long hours and pushing their own
subordinates hard. Nonetheless, the general belief that people can
always do more gives the boss tremendous control. The senior
executive's latitude in rating performance helps fuel the junior
executive's apprehension, suspicion, and frustration over the
performance review process, and contributes to the dysfunctional
belief that:
5. Executive appraisal is a "political
tool" used to control people and resources. The interviewees
characterized executive appraisal as a legitimate process often
used for illegitimate ends. Because executive raters have a great
deal of autonomy, they are in a position of influence. Ratings have
an impact on pay, promotions, power, and career paths, so they can
be used to enhance the rater and protect his or her
self-interests:
As the stakes go up you expect the
political contests to go up too ....Because everything can be
affected by the evaluation process, it becomes a means of control
for the person doing the evaluating. Sometimes it's crafty, but
sometimes it gets nasty.
As an example, a divisional general
manager described how his former boss would regularly promise
better appraisal ratings and corresponding benefits--if the manager
would more closely follow the boss's agenda and support his pet
projects. The manager pointedly noted, "The review process itself
is not power, but its use to influence, justify, and administer
rewards and punishments is."
Other executives also described situations
in which they believed the executive appraisal process was used in
an unfair, underhanded, or coercive manner because of the rater's
political motives. one general manager, for example, said he had
been struggling in his job for eight months when his boss delivered
an early, informal, off-the-record review. Several days later the
manager received a scathing written evaluation in the mail with a
note attached: "Had the review been for real, this is what it would
have looked like on paper. Get your act together!" The written
review was extremely negative, filled with damning, career-ending
comments such as "incapable of thinking long-term," "poor sense of
the big picture," and "fails to grasp the importance of market
share." At 12 months, no formal review was forthcoming, which made
the manager nervous; at 16 months, the manager received a
satisfactory review, which nonetheless gave him the feeling that
things were not totally above board--after all, what had happened
to the initial negative review? "Tucked away in case it was ever
needed," he was told.
This story, perhaps more than most others,
points up the dark side of organizational politics. The
interviewees described the undercurrent of fear, or, perhaps more
accurately, the Machiavellian sense of apprehension ("It's more
like a low-grade paranoia," said one) they feel about being
manipulated for someone else's benefit or serving as an unwilling
participant in somebody else's subterfuge or power play. They also
said they fear making the inadvertent misstep, saying or doing
something that will be interpreted negatively by their boss--but
raised only at review time.
We often believe executives are somehow
less vulnerable to everyday emotions than other people, because of
their demonstrated ability to cope with difficult jobs and unusual
situations; yet the experiences of these interviewees suggest that
when organizational politics are involved, emotional reactions are
typically strong, although concealed. However, the executives we
interviewed explicitly conveyed the belief that their fears and
apprehensions have implications for their development and
success.
The word "corrupt" may seem melodramatic,
but the manipulative practices described in the previous section
unquestionably undermine the designed purposes of executive review,
sacrificing fairness and benefiting some people at the expense of
others. In addition to producing consequences and costs for
individuals, these practices almost always hurt the organization as
a whole. As one executive said:
The costs associated with appraisal
politics at the executive level can be high. Really high. Anytime
upper management people start to monkey around with honesty and
accuracy, and especially justice, in dealing with the people who
are running the dayto-day show, things start to fall apart.
To explore the implications of executive
appraisal politics, we again enlisted the help of the interviewed
executives, asking them to describe specific consequences. Those
they provided are discussed below and summarized in Exhibit 2. We
follow this discussion with a series of actions organizations can
take to minimize the effects of politics on executive review.
1. Political appraisals undermine
organizational goals and performance. As one executive stated:
People respond to rewards, and the
appraisal process is, at least on paper, the main means of
allocating rewards. Managers who fake the numbers to give good
ratings and raises and bonuses end up subverting the entire reward
system and just about guarantee future performance problems at
every level.
Some executives pointed out that reviews
manipulated for political purposes encourage them to "engage in our
own form of politics, just to keep up." For example, they
reluctantly admitted trying to learn ways of appeasing or even
duping superiors, even if that meant not doing what was best for
the company. The review process can motivate a junior executive to
figure out the superior's underlying agenda, then find ways of
supporting it, or at least appearing to support it. The review can
transmit a powerful meta-message: "Follow my lead or your next
appraisal will reflect that you didn't." The consequences for
organizational performance are obvious: Goals and actions are
sub-optimized, and performance is evaluated according to personal
preferences, rather than organization-level effectiveness--which,
ironically, should be a main criterion in assessing executive-level
performance.
2. Political appraisals compromise the
link between executive performance and outcomes. In the words of
one executive:
When people don't do a good job with the
review process, especially in terms of clarifying standards and
providing feedback, the links to merit increases and bonuses become
very murky ....People develop a second guessing mentality.
Not only did the interviewees feel that
the relationship between their performance and their ratings is
often nebulous; they also thought the relationship between ratings
and rewards is similarly unclear. The "secondguessing mentality"
arises because executives are confused about what superiors deem
important. They regularly use the past as a predictor of the future
which, because of the dynamism of the work environment, is not
necessarily an effective strategy. Thus, the executives said that
when they are rewarded, they are seldom sure of what they are being
rewarded for. Although they have a great deal of bottom-line
accountability, they are often unclear as to "which bottom line is
the real bottom line" and "what means should be used to achieve
which ends."
Moreover, broaching the issue of ambiguity
with one's superior is not easy. Executives said they fear running
into disagreements over differing views of appropriate
goal/action/performance/reward linkages. Most junior executives
avoid clashing with their boss, because the confrontation amounts
to an unequal power contest they cannot possibly win. As a
consequence, ambiguities persist and the junior executive's
performance suffers.
3. Appraisal politics inhibits executive
development. When appraisals are inflated for political reasons,
they give the junior executive a false sense of security, and often
reward undesired behaviors; when ratings are intentionally
deflated, frustration, self-doubt, bitterness, and withdrawal can
result. A CFO summarized the interviewees' concern:
I want to believe that my superiors will
tell me when I'm doing well and when I screw up . . . I can tell
you that we all need honest feedback, even at my level, or perhaps
especially at my level. We all want it, even though we know the
truth can hurt, because without it, it is hard to improve. Besides,
if you don't get it, you either turn into an egocentric or a
paranoiac.
What does it take to improve in an
executive job? It takes a good sense of direction, good resources,
and good feedback--and when any of these is missing, development
becomes difficult. Executive development requires candid, specific
feedback, despite the fact that executive work is by nature
unstructured and ambiguous. If information about a performance
problem is soft-pedaled or ambiguously communicated, development
gets sidetracked; if good feedback is not forthcoming at all,
development is simply derailed.
4. Politics at the executive level begets
politics in the rest of the organization. As one executive
said:
When games are played at the top of the
heap, be forewarned: The rest of the heap soon will follow.
If the top of the organization is
characterized by politically driven promotions, bonuses, and
rewards, similar practices are sure to occur at lower levels. The
net effect is blanket cynicism and suspicion about the appraisal
process itself. The example cited earlier concerning the individual
who was promoted to director of quality improvement despite the
fact that two others had better track records is instructive on
this point. The promotion created ill-will and, according to one
interviewee, "led to an uprising that still hasn't been
settled."
When there is no good model of executive
appraisal at the top, "creative engineering" occurs at the next
levels down. Enterprising junior executives soon find ways to
impose their own preferences on what they take to be a tarnished
system, again encouraging actions that support personal, rather
than organizational, interests. Furthermore, politically influenced
appraisals also encourage coalition formation, since politics
becomes understood as the means by which things get done, and
coalitions breed political power. The political appraisal thus
becomes a triggering event, with politics eventually showing up in
other organizational domains.
5. Political appraisals can expose an
organization to litigation when executives are terminated. one
executive explained:
Firing executives has become commonplace.
But the screw is turning. Fired executives are now suing
organizations big time for "insufficient cause." If an executive
has a documented performance history and is fired, that
documentation often will be used against the company.... If it
doesn't square with the ratings, then the company is exposed and
susceptible to punitive damage judgments.
Interviewees discussed the issue of
executive termination less frequently, but more somberly, than they
discussed any other consequence of executive appraisal politics.
They were seriously concerned with this issue, contending that
political activity in the evaluation process has played a key role
in the national upswing in unlawful termination lawsuits. In
general, executives are more likely to sue an organization today
than in the past for two primary reasons: First, finding an
equivalent job is increasingly difficult in the face of lean
economic times and increasing global competition; and second,
retribution for the shock and humiliation associated with
termination is now more easily redressed through the courts. In any
event, documented cases of intentionally manipulated executive
evaluations increase the likelihood of a judgment going to the
plaintiff. (The average settlement for an unlawful executive
termination lawsuit in 1990 was more than $650,000.)
What can organizations do about executive
appraisal politics? one answer is simply "nothing"--a response that
affirms both that political behavior comes with the territory, and
that any attempt to stamp it out is naive and destined for failure.
Indeed, many interviewees expressed these very beliefs. However, if
the issue is framed not in terms of eliminating politics, but in
terms of managing its occurrence and minimizing its detrimental
effects on individuals and organizations, then a number of workable
suggestions apply. Specifically, the organization's top executives
should be encouraged to:
- Articulate goals and standards as clearly and specifically as
possible. Clear expectations for future performance reduce the
likelihood that ratings will be manipulated.
- Link specific actions and performance results to rewards.
Basing rewards and promotions on factors other than explicit
performance goals subverts the appraisal process and produces
detrimental long-term effects on the organization that are
difficult to overcome.
- Conduct structured, professional reviews, providing specific
examples of executive performance and explanations for executive
ratings. Informality during the review lends an air of
collegiality, but the ambiguities associated with informal reviews
set the stage for politics. The citation of specific results sends
the message that ratings are anchored by observable actions.
- Offer performance feedback on an ongoing basis, rather than
once a year. Infrequent feedback leads to ambiguity and anxiety. As
a result, junior executives engage in the practice of "making
monsters"--assuming the worst and launching their own political
activities to parry expected or invented criticisms.
- Lead by example. The top management team should develop and
communicate a commitment to equitable executive appraisals. It
should stress the importance of openness and forthrightness to
foster credibility and trust in the process.
- Make politics in general, and appraisal politics in particular,
an executive-development topic. Managers of managers need to
consider the implications of executive appraisal politics. They
should be trained to conduct effective appraisals of their
subordinate executives, and to use the review for executive
mentoring.
- Acknowledge that executive appraisal politics exists. Denying
that one's organization is susceptible to such unseemly practices
is a way of sweeping the problem under the rug--which actually
allows political activity to flourish.
The evaluation of executive performance, a
complex process in its own right, is further complicated and
clouded by political activity. The executives we interviewed harbor
frustration, trepidation, and even fear over what they characterize
as the executive rating game. Specifically, they are concerned
about (1) the difficulty they face in understanding the rules of a
confusing but powerful process, (2) the uncomfortable political
climate they increasingly confront as they climb to the upper
echelons, (3) their inability to be masters of their own destinies
because of compromised links between performance and rewards, and
(4) the fact that their own personal and professional development
may be undermined by political considerations. These concerns about
the use of politics in the appraisal process are at best
disquieting and at worst dismaying.
Is the executive review process really as
political as our interviews suggest? We believe it is undeniable
that politics sometimes plays a significant role in the evaluation
of executive performance; we also believe, however, that the
frequently lax and unstructured nature of executive appraisal makes
the entire process seem more political than it actually is. Because
executives often perceive performance standards as nebulous and
receive surprisingly little ongoing feedback about their
performance, they become suspicious of the process itself. The
typical executive culture--consisting of highly motivated, highly
educated, highly paid people striving to be successful in a
competitive-but-ambiguous environment--fosters the belief that the
process is driven by politics.
Consequently, junior executives often
believe that executive-level performance is judged according to
some mysterious, secret criteria known only to those higher in
power. They come to perceive executive appraisal as a game infused
with politics, and they often see themselves as little more than
unwitting pawns in an arcane contest, the rules of which are
cryptic and obscure. If managers question their superiors' motives
and intentions, are unclear about their own accountabilities, and
do not receive good performance feedback, the outcomes of appraisal
become troublesome indeed. If such doubts are widespread in an
organization, decisive action must be taken to reclaim the
appraisal process from the realm of politics.
Organizational politics is a
quintessential tar-baby: once key processes are perceived to be
mired in politics, it is very difficult to end their association
with this dark side of organizational life. Time and effort are
needed to reestablish executives' trust in the system. Although
politics in the appraisal process can affect virtually all levels
in an organization, it is perhaps of greatest concern in the upper
echelons, because of the arguably more important work that
executives do and the potentially more serious organizational
consequences that poor executive performance can entail. When
politics damages the confidence that executives have in a system
they are managing, their performance is compromised. These days
most organizations are actively seeking to enhance executive
development and performance; the executive appraisal could be, and
perhaps should be, one of the main means of achieving this end.
EXECUTIVE APPRAISAL POLITICS:
FIVE MAIN THEMES
- The higher one rises in the organization, the more political
the appraisal process becomes.
- Because of the dynamic, ambiguous nature of managerial work,
appraisals are susceptible to political manipulation.
- Performance is not necessarily the bottom line in the executive
appraisal process; ratings are affected by:
- the boss's agenda;
- the "reputation" factor; and
- the organization's current political climate.
- Senior executives have extraordinary latitude in evaluating
subordinate executives, performance; the pitfalls associated with
this latitude include:
- a failure on the part of superiors to specify meaningful
performance goals and standards;
- a lack of communication between superiors and executives about
the desired style and means of goal accomplishment; and
- the "good-but-not-good-enough syndrome."
- Executive appraisal is a "political tool" used to control
people and resources.
THE CONSEQUENCES OF EXECUTIVE
APPRAISAL POLITICS
Political appraisal can...
- Undermine organizational goals and performance;
- Compromise the link between executive performance and
outcomes;
- Inhibit executive development;
- Beget politics in the rest of the organizational;and
- Expose an organizational to litigation when executives are
terminated.
For a good discussion of corporate
political activity, see "The Use and Abuse of Corporate Politics"
by Don Beeman and Thomas Sharkey in Business Horizons (March-April,
1987). The authors make a strong case for the notion that politics
surrounds most important organizational decisions. In a related
vein, J. Gandz and V. Murray discuss the pervasiveness of
organizational politics in "The Experience of Workplace Politics"
in the Academy of Management Journal (Vol. 26, No. 2,1980).
A variety of views on the causes and
consequences of organizational politics exist. B. T. Mayes and R.
W. Allen provide a broad description of the types of politics that
confront managers in "Toward a Definition of organizational
Politics" in the Academy of Management Review (Vol. 2, No. 2,
1977). G. F. Cavanagh, D. J. Moberg, and M. Velasquez cast
organizational politics as a questionable practice with detrimental
outcomes in "The Ethics of organizational Politics" in Academy of
Management Review (Vol. 6, No. 2, 1981). J. Byrnes, however, makes
the case that political activity leads to positive outcomes in a
host of organizational settings in "Connecting organizational
Politics and Conflict Resolution" in Personnel Administrator (June
1986). A discussion of the dynamics of political activity in the
context of organizational life is provided by Henry Mintzberg in
"The organization as Political Arena" in the Journal of Management
Studies (Vol. 22, No. 9, 1985).
Insights into the relationship between
power and organizational politics are explored in two books by
Jeffrey Pfeffer: Power in organizations (Pittman, 1981) and Power
and Politics in organizations (Pittman, 1991). Pfeffer provides a
series of illustrations in both books that link political activity
to the protection of self-interest and the enhancement of political
power. Previous work by C. O. Longenecker, D. A. Gioia, and H. P.
Sims, Jr. reveals a willingness on the part of managers to
manipulate performance ratings when it results in positive personal
or organizational outcomes or simply allows them more discretion in
their decisions and actions. See "Behind the Mask: The Politics of
Employee Appraisal" in the Academy of Management Executive (Summer
1987). This phenomenon is discussed further by C. O. Longenecker in
"Truth or Consequences: Politics and Performance Appraisal in
Business Horizons (November-December 1989).
The problems and challenges associated
with executive appraisal are explored in two articles by C. o.
Longenecker and D. A. Gioia: "Neglected at the Top--Executives Talk
About Executive Appraisals" in Sloan Management [Review (Spring
1988) and "The Executive Appraisal Paradox" in the Academy of
Management Executive (Spring 1992). These articles demonstrate the
frustrations executives experience over the absence of effective
appraisal, feedback, and review procedures in the upper levels of
organizations.
PHOTO (BLACK & WHITE): Dennis A.
Gioia
PHOTO (BLACK & WHITE): Clinton O.
Longenecker
~~~~~~~~
DENNIS A. GIOIA, CLINTON O.
LONGENECKER
Dennis A. Gioia is professor of
organizational behavior in the Department of Management and
organization, The Smeal College of Business Administration,
Pennsylvania State University. His primary research and writing
centers on the nature and uses of complex cognitive processes by
organization members, and the ways that these processes affect
sensemaking, influence, and organizational change. His most recent
research interests have to do with the less rational and more
intuitive, emotional, and political aspects of organizational life.
His work has been published in leading theory, research, and
practitioner journals in the fields of management and
organizational behavior. Prior to his academic career, he worked in
engineering for Boeing Aerospace at the Kennedy Space Center and
was vehicle recall coordinator for Ford Motor Company in Dearborn,
Mich
Clinton O. Longenecker is associate
professor of management at The University of Toledo. His research
and writing center on management effectiveness, human resource
management, and organizational development. He has been published
in a variety of journals including The Sloan Management Review, The
Executive, The Journal of Vocational Behavior, The Journal of
Business Ethics, and Business Horizons. He is also a management
consultant and trainer, and has worked with more than 50
organizations in the United States and abroad. He holds a Ph.D.
from The Pennsylvania State University.
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