What is the method called when managers categorize employees' performance into a forced distribution model?

The method referred to when managers categorize employees' performance into a forced distribution model is known as "forced distribution." This approach involves evaluating employees based on a pre-defined distribution curve, typically resembling a bell curve. In this model, employees are ranked and classified into specific performance tiers; for instance, the top performers might be grouped at one end of the spectrum, whereas lower performers are categorized at the opposite end.

The purpose of forced distribution is to differentiate employee performance clearly, ensuring that each segment of the workforce is identified, which facilitates performance reviews, promotion decisions, and can impact compensation adjustments. By implementing a forced distribution, organizations aim to foster a competitive environment that motivates employees to improve their performance.

Understanding this method is essential in HR management contexts, as it reflects how performance evaluations can influence talent management strategies and organizational culture.