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The Forced Distribution Curve is often utilized to assist managers in identifying high-performing employees and those who may need improvement.
the curve takes the form of a bell, where most employees fall within the average range, with fewer employees on both the right and left sides of the curve. Evaluation categories are typically divided into three to five groups, such as (Significantly Exceeds Expectations, Partially Exceeds Expectations, Meets Expectations, Does Not Meet Expectations).
For example, if an organization has one hundred employees, the Forced Distribution Curve might require classifying 10% of employees as high performers, 80% as average performers, and 10% as low performers. This means that ten employees exceeded expectations, and another ten did not meet expectations. Jack Welch believes that the Forced Distribution Curve is an effective way to identify high-performing employees, reward them, and improve the performance of those with low performance. However, this approach has been criticized for creating a competitive and harsh work environment, leading some organizations to abandon it.
Importance of Forced Distribution Curve:
Forced Distribution Curves are a performance management tool used to assess and rank employees based on their performance. The importance of using Forced Distribution Curves can be summarized as follows:
Prominent Studies and Statistics on the Use and Application of Forced Distribution Curve:
Conclusion: It is important for organizations to carefully examine the benefits and potential challenges of this method before implementing it in their performance management systems. This is because it can have negative effects on employee morale in the work environment. While some institutions continue to use the Forced Distribution Curve as part of their performance management system to help identify top performers and areas for improvement, it is essential to ensure that decisions related to rewards and promotions are based on data and are not arbitrary or biased.