Accounting Progress
Online ISSN : 2435-9947
Print ISSN : 2189-6321
ISSN-L : 2189-6321
The Effects of Managers’ Performance Evaluation Biases on Promotion Decisions
Toru OgasawaraTomohiro SakumaHiroshi Miya
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2016 Volume 2016 Issue 17 Pages 95-106

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Abstract
 Some studies have insisted that leniency and centrality bias have bad effect on the relationship performance evaluation and promotion decision. However, there has been no empirical evidence for this effect because such an archival data with performance evaluation is unavailable. Our analysis toward an archival data in a listed company reveals that leniency bias has little effect on promotion decision while centrality bias drive the relationship between promotion decisions and performance evaluation. This result suggest that centrality bias can reduce the usefulness of performance evaluation for promotion decision.
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© 2016 Japan Accounting Association
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