Perceptual errors are the mistakes in the perceptual process. Stereotype and the halo effect are the common perceptual errors. Stereotypes are the beliefs and perceived attributes about a target based on any characteristic. The term stereotype refers to the tendency to perceive another person (hence social perception) as belonging to a single class or category. In particular, it is employed in analyzing prejudice. Not commonly acknowledged is the fact that stereotyping may attribute favorable or unfavorable traits to the person being perceived. Most often a person is put into a stereotype because the perceiver knows only the overall category to which the person belongs. However, because each individual is unique, the real traits of the person will generally be quite different from those the stereotype would suggest.

Stereotyping greatly influences social perception in today’s organizations. Common stereotyped groups include managers, supervisors, knowledge workers, union members, young people, old people, minorities, women, people with disabilities, white- and blue-collar workers, and all the various functional and staff specialists, for example, accountants, salespeople, computer programmers, and engineers (Luthans, 2010).

The halo effect in social perception is very similar to stereotyping. Whereas in stereotyping the person is perceived according to a single category, under the halo effect the person is perceived on the basis of one trait. Halo is often discussed in performance appraisal when a rater makes an error in judging a person’s total personality and/or performance on the basis of a single positive trait such as intelligence, appearance, dependability, or cooperativeness. Whatever the single trait is, it may override all other traits in forming the perception of the person. For example, a person’s physical appearance or dress may override all other characteristics in making a selection decision or in appraising the person’s performance.

The opposite is sometimes called the “horns effect” where an individual is downgraded because of a single negative characteristic or incident. The correct answer is Choice E.