Your performance review template has three sections, in addition to an Overall section. The template uses item averaging to calculate an overall rating. Managers will enter ratings for multiple items in each of the first three sections. What is the expected behavior when Workday calculates the overall rating?

The "item averaging" calculation method in Workday Performance Management computes the overall rating by taking the simple mathematical average of all individual item ratings across all sections of the review. In a simple average, every component is treated as having equal importance. Therefore, each rated item contributes equally to the final calculated overall score, regardless of which section it belongs to. The system sums the ratings for all items and divides by the total number of rated items to determine the overall rating.

B. This describes the "Item Weighting" calculation method, where specific weights are assigned to individual items, not the "Item Averaging" method.
C. This describes a more complex weighting scheme, likely a combination of "Item Weighting" and "Section Weighting," which is not "Item Averaging."
D. This describes the "Section Weighting" calculation method, where weights are applied to entire sections, not individual items.

1. Workday Administrator Guide

Performance Management: In the chapter on "Set Up Performance Reviews

" the section "Performance Review Template: Calculation" details the available calculation methods. It specifies that for Item Averaging

"Workday calculates the overall rating by averaging the ratings of all items on the review. Each item has an equal weight." This directly supports the correct answer.

2. Workday Community Documentation

Article ID: 20751 (Archived but foundational concept): The article "How is the Overall Rating Calculated on a Performance Review?" explains that when using the Item Averaging method

Workday sums the numeric rating for each rated item and divides by the count of rated items

confirming equal treatment of each item.