Research evaluation is praised as the symbol of modern quality management. We claim firstly, that performance evaluations in research have higher costs than normally assumed, because the evaluated persons and institutions systematically change their behavior and develop counter strategies.
Moreover, intrinsic work motivation is crowded out and undesired lock-in effects take place.
Secondly, the benefits of performance evaluations are questionable. Evaluations provide too little information relevant for decision-making. In addition, they lose importance due to new forms of scientific cooperation on the internet. Thirdly, there exist superior alternatives. They consist in careful selection and supportive process coaching -and then leave individuals and research institutions to direct themselves. (108 words)Key words: Evaluation, rankings, hidden costs, multi tasking, intrinsic motivation, control theory, selection.JEL Classification: C44, D02 ,D61, D72, H52, I23, M12 * The authors are also associated with CREMA -Center for Research in Economics, Management and the Arts, Zurich.
1 Performance Evaluations: Expectations and DisappointmentsPerformance evaluations have become a standard procedure in quality and performance management in many organizations. This procedure today is applied in profit-oriented firms, non-profit and governmental institutions. A particularly important area has been research evaluation on which this paper concentrates. Research evaluation is often praised as the symbol of modern quality management which today has diffused through the academic system. There are several academic journals (e.g."Evaluation", "Evaluation Quarterly", "Evaluation Review", "Research Evaluation", "Scientometrics") specifically devoted to the approach. Economics of evaluation has emerged as an academic discipline (e.g. citations, and co-citations as an answer to the growing skepticisms with peer reviews are also subject to major shortcomings, and can therefore not substitute for peer reviews with its own shortcomings (e.g. Üsdiken and Pasadeos 1995;Gmür 2003;Weingart 2005). These are important considerations but they have been extensively treated elsewhere. In this paper we focus on the hidden, and therefore often disregarded costs of performance evaluation.The hidden costs of evaluation consist of two main types, discussed in the first part of the paper: institutions. We argue in the second part of this paper that, firstly, evaluations provide too little information relevant for decision-making. Secondly, evaluations (in particular university rankings)lose importance due to new forms of scientific cooperation on the internet.The third part of the paper is devoted to alternatives to formal, retrospective and external evaluations of performance. They consist in(1) an interactive and supporting coaching of persons and institutions (concurrent process control).(2) a careful selection and socialization of persons charged with performing the activities in question (ex ante input control).This paper does not provi...