What is Critical Incident Method?
Critical incident method or critical incident technique is a performance appraisal
tool in which analyses the behavior of employee in certain events in which either
he performed very well and the ones in which he could have done better. Critical
incident technique is used to collect data using a set of procedures. In critical
incident method the observer observes critical human behaviors, skills used,
incidents that occur on the job.
In Critical incident method, the manager of the employee gives all the details of
the incident. This method is quite subjective in nature as compared to other
methods which may be very objective and would require just ratings out of 5/10
etc. It helps to define the competencies and Knowledge, Skills, Abilities and other
attributes (KSAO) required for a task or set of tasks that entails a job. The observer
not only looks at the hard skills used but also the mental abilities that are required
by the job incumbent.
Importance of Critical Incident Technique
Critical Incident Technique is very helpful while making a Job Specification and
Job Description. The respondents, usually the job incumbents are asked to tell a
story about the experiences they had while performing the job, the interviewer
notes down the necessary incidents, skills, mental abilities, knowledge and other
attributes that were used during the job by the job incumbent. Critical incident
technique is very important and helpful technique to create a Job description and
a job specification for a job. Providing a job description and job specification is
essential to attract the right candidates for the job and can help to cut down the
turnaround time for filling up a vacancy in the organization.
Critical Incident technique notes down the important skills, knowledge, mental
abilities and other attributes that are required in the job. Critical Incident Appraisal
is used as a performance appraisal process method for employees.
Critical Incident Method Steps
Critical incident technique has the following steps.
1. We start with determining and reviewing the incidents that have taken place
during the course of the job
2. Fact finding which involves gathering information of the incident from the
members.
3. The third step is to analyze the facts and the data collected by the interviewer
from the participants and determine the issues
4. The fourth step is to determine possible solutions for the issues that have been
identified
5. Finally the last step is to evaluate whether the solution will be able to remove
the cause of the problem that was identified.
Advantages of Critical Incident Technique
A few advantages of critical incident method are:
1. Helps to identify rare events which might be missed by other methods as they
focus only on common events.
2. The technique is cost effective and provides rich information
3. The respondent’s perspective is taken into account
4. The respondents are not forced into any framework
5. Many ways to implement the technique like observation, questionnaires and
interviews
Disadvantages of Critical Incident Technique
1. Many incidents may go unreported or might not be precise as the reporting of
incidents relies on memory of the respondent.
2. Biasness might creep in towards the incidents that happened recently.
3. The incidents narrated may not be representative of everyday situation that
takes place during the job.
Example of Critical Incident Method
A few examples are:
1. Critical Incident Technique is a technique to help find facts about a job.
Example of critical incidents technique is an interview being taken of the
incumbent of the job to know the facts of the job. These facts are collected by
various techniques like questionnaires and survey as well and can be used for
organizational development and market research. The interviewer should try to
extract data related to description and outcome of the critical incident, the feelings,
perceptions and thoughts that the person had at the time of the incident. The
actions that were taken during the incident and what changes should be
undertaken next time this incident takes place.
2. On a particular day one Salesperson stayed 60 minutes beyond his break during
the busiest part of the day. Whereas another salesperson fails to answer store
manager’s call thrice.
The Critical Incident Technique (CIT)
The Critical Incident Technique (CIT) is a qualitative research method used in
talent management to identify behaviours that contribute to success or failure in
a job role. It helps organizations analyze key moments (or "critical incidents") to
improve recruitment, training, performance evaluation, and leadership
development.
This method used in human resources and organizational development to collect
and analyze specific behaviours, actions, or events that significantly impact job
performance, workplace dynamics, or organizational outcomes.
The Critical Incident Technique (CIT) is a valuable tool in human resources and
organizational development for analysing specific events or behaviours that
influence workplace performance. By focusing on incidents that have a significant
impact—positive or negative—CIT helps organizations understand the factors
driving success or contributing to challenges.
Developed in the mid-20th century, CIT remains relevant today as a qualitative
research method for performance evaluation, training design, and decision-
making.
Critical incident method or critical incident technique is a performance appraisal
tool in which analyses the behavior of employee in certain events in which either
he performed very well and the ones in which he could have done better. Critical
incident technique is used to collect data using a set of procedures. In critical
incident method the observer observes critical human behaviors, skills used,
incidents that occur on the job.
In Critical incident method, the manager of the employee gives all the details of
the incident. This method is quite subjective in nature as compared to other
methods which may be very objective and would require just ratings out of 5/10
etc. It helps to define the competencies and Knowledge, Skills, Abilities and other
attributes (KSAO) required for a task or set of tasks that entails a job. The observer
not only looks at the hard skills used but also the mental abilities that are required
by the job incumbent.
History and Development of the Critical Incident Technique (CIT)
Origin & Invention
The Critical Incident Technique (CIT) was developed by John C. Flanagan,
an American psychologist, during World War II. He first introduced it in 1944
as part of a project for the U.S. Army Air Forces to improve pilot selection and
training.
• Flanagan and his team studied behaviours that led to success or failure in
pilot performance.
• Instead of relying on general traits, they focused on specific, observable
incidents where a pilot’s actions made a significant difference.
• The method helped identify key competencies required for effective
performance in combat situations.
Formalization and Early Use
In 1954, Flanagan published a seminal paper, "The Critical Incident Technique,"
in the journal Psychological Bulletin, which provided a structured approach to
collecting and analyzing critical incidents. This led to its adoption beyond
aviation, particularly in education, healthcare, psychology, and business
management.
Development and Expansion
Over time, CIT evolved as researchers and organizations applied it to various
fields:
1. 1950s–1970s: Industrial & Organizational Psychology
o Used in job analysis and performance evaluation in corporate
settings.
o Helped define job roles and competencies based on actual workplace
incidents.
2. 1980s–1990s: Customer Service & Human Resources
o Applied in customer satisfaction research to understand key
service experiences.
o Used in talent management for recruitment, training, and leadership
assessment.
3. 2000s–Present: Digital Age & AI Integration
o CIT is now used in employee experience analysis, focusing on
workplace culture and engagement.
o Advances in AI and analytics have enabled automated collection
and categorization of critical incidents from employee feedback,
customer reviews, and organizational data.
Modern Applications of CIT
• Human Resource Management: Identifying behaviours for leadership
development, performance reviews, and talent acquisition.
• Healthcare: Studying incidents that improve or hinder patient safety.
• Customer Experience: Analyzing interactions that shape brand
perception.
• Education: Understanding teaching behaviours that impact student
learning.
Importance of Critical Incident Technique
Critical Incident Technique is very helpful while making a Job Specification and
Job Description. The respondents, usually the job incumbents are asked to tell a
story about the experiences they had while performing the job, the interviewer
notes down the necessary incidents, skills, mental abilities, knowledge and other
attributes that were used during the job by the job incumbent. Critical incident
technique is very important and helpful technique to create a Job description and
a job specification for a job. Providing a job description and job specification is
essential to attract the right candidates for the job and can help to cut down the
turnaround time for filling up a vacancy in the organization.
Critical Incident technique notes down the important skills, knowledge, mental
abilities and other attributes that are required in the job. Critical Incident Appraisal
is used as a performance appraisal process method for employees.
Critical Incident Method Steps
Critical incident technique has the following steps.
1. We start with determining and reviewing the incidents that have taken place
during the course of the job
2. Fact finding which involves gathering information of the incident from the
members.
3. The third step is to analyze the facts and the data collected by the interviewer
from the participants and determine the issues
4. The fourth step is to determine possible solutions for the issues that have been
identified
5. Finally the last step is to evaluate whether the solution will be able to remove
the cause of the problem that was identified.
How CIT Works in Talent Management
1. Identifying Critical Incidents
o Employees or managers’ report specific instances where an
individual’s behaviour significantly impacted job performance—
positively or negatively.
o Example: A customer service rep de-escalates a highly emotional
customer complaint, turning the situation around (positive incident).
2. Categorizing Behaviours
o The reported incidents are grouped into categories based on
competencies, skills, or values.
o Example: The above situation might be classified under "conflict
resolution" or "emotional intelligence."
3. Deriving Insights for Talent Processes
o Recruitment & Selection: Helps define key competencies needed
for job success.
o Performance Appraisal: Provides real-world examples to assess
employees against key performance indicators.
o Training & Development: Identifies skill gaps and training needs.
o Leadership Development: Highlights behaviours that distinguish
effective leaders from ineffective ones.
Advantages of Critical Incident Technique in general HRM
A few advantages of critical incident method are:
1. Helps to identify rare events which might be missed by other methods as they
focus only on common events.
2. The technique is cost effective and provides rich information
3. The respondent’s perspective is taken into account
4. The respondents are not forced into any framework
5. Many ways to implement the technique like observation, questionnaires and
interviews
Advantages of CIT in Talent Management
✔ Objective & Evidence-Based – Focuses on real examples rather than general
opinions.
✔ Improves Job Descriptions & Competency Frameworks – Helps define key
skills and behaviors required.
✔ Enhances Employee Feedback – Provides specific, behavior-based feedback.
✔ Supports Continuous Improvement – Helps refine HR strategies based on
real workplace experiences.
Disadvantages of Critical Incident Technique
1. Many incidents may go unreported or might not be precise as the reporting of
incidents relies on memory of the respondent.
2. Biasness might creep in towards the incidents that happened recently.
3. The incidents narrated may not be representative of everyday situation that
takes place during the job.
Example of Critical Incident Method
A few examples are:
1. Example of critical incidents technique is an interview being taken
of the incumbent of the job to know the facts of the job. These facts
are collected by various techniques like questionnaires and survey as
well and can be used for organizational development and market
research. The interviewer should try to extract data related to
description and outcome of the critical incident, the feelings,
perceptions and thoughts that the person had at the time of the
incident. The actions that were taken during the incident and what
changes should be undertaken next time this incident takes place.
2. On a particular day one Salesperson stayed 60 minutes beyond his
break during the busiest part of the day. Whereas another salesperson
fails to answer store manager’s call thrice.
Example in Action
An organization uses CIT to assess managers. Employees report incidents where
managers demonstrated outstanding leadership or failed to support their teams.
The HR team then designs leadership training focusing on the most impactful
behaviours.
Conclusion
John C. Flanagan’s CIT remains a widely used technique due to its practical,
evidence-based approach to studying human behaviour in critical situations. Over
the decades, it has evolved from military training to a vital tool in talent
management, business strategy, and organizational development.
