Are employee ratings more objective than other ways of handling employee evaluation?
Employee reviews can never be completely objective. That said, probably the least objective method of reviewing performance of employees involves the use of employee rating scales and systems.
Rating systems rely on the ability of the manager to classify or categorize employee performance into a limited number of categories as described in the particular rating scale on the evaluation form. The number of categories usually ranges from three categories to seven, but regardless of the number, they are categorizations, and rarely get linked to specific employee behaviors.
Clearly, when a manager indicates that an employee falls into the "excellent" category, or is "below average", the manager is exercising a consierable degree of subjective judgment.