What is a "Fair" Performance Review or Appraisal?

Ever wonder what makes employees believe the performance review or appraisal is fair and accept the result?

In 1986, Jerald Greenberg conducted a study with open-ended questions, asking for input on describing factors that contributes to fair, or unfair performance review.

Using factor analysis techniques in statistics, there are 7 factors identified, with 5 grouped under procedural factors and 2 grouped under distributive factors:

Procedural Factors:

1. Soliciting input prior to evaluation and using it
2. Two-way communication during interview
3. Ability to challenge/rebut evalution
4. Rater familiarity with ratee's work
5. Consistent application of standards

Distributive Factors:

6. Receipt of rating based on performance achieved
7. Recommendation for salary/promotion based on rating

Take a closer look to the full paper by Jerald Greenberg: