Normalization rating is a measure that balances the variability and differentiation in the assessment and achievement pattern. It is used to ensure that all employees are given an equitable opportunity to learn and assess their progress and achievement by the managers. A normalizing rating can help reduce errors in value-added feedback and make certain comparisons when used properly.
There are several benefits to normalizing employee ratings in performance reviews.
To implement a normalization rating in employee performance, you will need first to calculate the average rating for each employee. This can be done by adding up all ratings and dividing them by the number of ratings.
Next, you will need to subtract the average rating from each rating. This will create a new score that ranges from -1 to 1. Finally, you will want to divide each score by the average rating to get a normalized score between 0 and 1.
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