MANAGEMENT TIPS

 

A Better Way to Think About Rankings

When you’re comparing employees for a promotion or deciding who deserves a bonus, rankings can seem like a convenient shortcut. But someone ranked third out of 12 is in the same relative position as someone ranked sixth out of 24. It’s easy to favor the person closer to first place without considering the size of each team. Here’s how to make fairer comparisons. Compare percentiles, not raw ranks. When evaluating options from groups of different sizes, focus on their relative standing rather than their absolute rank. Using percentiles gives you a more consistent basis for comparison and reduces the risk of favoring an option simply because it appears closer to number one. Make list length explicit. When presenting rankings, include the total number of options and how many each option outranked. Highlighting what falls below a ranked item, rather than only what sits above it, helps people assess its standing more accurately. Frame your own achievements strategically. When presenting your performance or your company’s accomplishments, consider highlighting rankings within smaller, more specific comparison groups. A meaningful, narrowly defined category can make your achievements stand out. Just avoid framing comparisons so narrowly that they lose credibility.  Excerpt from Havard business review on management.