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Laura is a senior manager at Pine and Acorn Consultancy.Following the semi-annual appraisals,Pine and Acorn's human resources manager Peter informed Laura that her ratings of her subordinates were grouped at the positive end of the performance scale instead of being spread throughout the scale.Which of the following potential errors in performance appraisals has Laura committed?
Managerial Efficiency
Refers to the effectiveness with which managers utilize resources to achieve an organization's objectives and optimize operations.
Investment Turnover
A ratio that measures the efficiency of a company in generating sales from its investments in assets.
Assets
The resources owned by a business.
Residual Income
The amount of income that an individual or company has after all personal debts and expenses, including a mortgage, have been paid.
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