Statistical inference
Let’s first examine what it means in statistical terms. Say, for example, we are evaluating employees on parameters such as; sales, customer approval ratings, and manager’s ratings. But, sales are calculated in dollars, customer approval ratings on Likert’s scale, and manager’s ratings have a maximum score of 40. If we don’t convert these ratings into standard scores, we will end up comparing apples to oranges. So, to convert these scores into a standard score, we first subtract mean score from it. Then we divide the remainder by standard deviation. The result is a standard score, also called ...
