The Critical Incident Appraisal


Critical Incident Appraisal focuses the rater’s attention on those critical or key behaviors that make the difference between doing a job effectively and doing it ineffectively. The appraiser writes down anecdotes describing what the employee did that was especially effective or ineffective. With this approach to appraisal, specific behaviors are cited, not vaguely defined individual traits. A behavior-based appraisal should be more valid than trait-based appraisals because it is clearly more job related. It is one thing to say that an employee is “aggressive,” “imaginative,” or relaxed,” but that does not tell us anything about how well the job is being done. Critical incidents, with their focus on behaviors, judge performance rather than personalities.

The strength of the critical incident method is that it looks at behaviors. Additionally, a list of critical incidents on a given employee provides a rich set of examples from which employees can be shown which of their behaviors are desirable and which ones call for improvement. In drawbacks are basically that: 1) appraisers are required to regularly write these incidents down, and doing this on a daily or weekly basis for all employees is time-consuming and burdensome for supervisors; and 2) critical incidents suffer from the same comparison problem found in essays—mainly, they do not lend themselves easily to quantification. Therefore the comparison and ranking of employees may be difficult.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

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Strategies for Weak Businesses


A firm in an also-ran or declining competitive position has four basic strategic options. If it can come up with the financial resources, it can launch an offensive turnaround strategy keyed either to low-cost or “new” differentiation themes, pouring enough money and talent into the effort to move up a notch or two in the industry rankings and become a respectable market contender within five years or so. It can employ a fortify-and defend strategy, using variations of its present strategy and fighting hard to keep sales, market share, profitability, and competitive position at current levels. It can opt for an immediate abandonment strategy and get out of the business, either by selling out to another firm or by closing down operations if a buyer cannot be found. Or it can employ a harvest strategy, keeping reinvestment to a bare-bones minimum and taking actions to maximize short-term cash flows in preparation for an orderly market exit. The gist of the first three options is self-explanatory. The fourth merits more discussion.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, Line of Sight