Which problem with rating scales refers to the tendency to avoid extreme judgments?

The tendency to avoid extreme judgments on rating scales is identified as central tendency. This concept arises when evaluators favor middle-range scores rather than using the full spectrum of available ratings. It often occurs because raters wish to avoid the potential backlash of giving extraordinarily high or low evaluations, possibly reflecting concerns over fairness or accuracy. By consistently utilizing scores that cluster around the midpoint, raters may inadvertently diminish the significance of the performance distinctions that they are trying to assess.

Understanding central tendency is crucial in performance evaluations, as it can mask actual performance variations and lead to an overall inaccurate representation of an individual's capabilities. This can impact decisions related to promotions, training, and other significant organizational actions. Recognizing and addressing this tendency can enhance the effectiveness of evaluation processes and ensure that performance assessments are more reflective of true performance levels.