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GLOSSARY / Bell Curve

Bell Curve

Read Time: 1 Mins

    A Bell curve is a graph that represents normal distribution that has a shape resembling a bell. The top of the bell curve shows the mean mode and median of the gathered data.

    Bell curves are most commonly utilized in statistics to analyze financial and economic data.

    Involvement of Bell Curve system in performance management:

    • During the performance appraisal process in an organization, the bell curve system is used to categorize employees and divide them into top performers (20%), average performers (70%), and poor performers (10%).  It helps in evaluating employees’ performance efficiently.
    • It is always important to identify top-performers and reward them significantly. This helps the organization to retain the top talent with them. This way both the employee and the organization grow.

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