Performance Evaluation in a Smart Work Environment: Process versus Outcome-Centric Employee Evaluations Based on Psychological Distance

The rapid development of IT technology and social changes has given rise to a new work modality known as Smart Work. This study explores how the psychological distance between evaluators and those evaluated in a Smart Work environment influences assessments, centering around Construal Level Theory. The findings reveal that Smart Work increases the psychological distance for evaluators, thereby elevating their level of construal and leading to outcome-focused thinking. In contrast, traditional work methods keep psychological distance relatively closer, fostering process-oriented thinking. This research highlights the crucial role of psychological distance in shaping evaluation strategies in workplaces and offers valuable insights for organizations aiming to effectively integrate Smart Work practices. This exploration not only contributes to our understanding of Smart Work's organizational and psychological dynamics but also suggests implications for performance management systems in contemporary work environments.