I have a data set of answers to questions on employee performance. 
The answers available are:

Exceeded Expectations
Met Expectations
Did Not Meet Expectations

The answers can be assigned weights of 3,2,1 (Exceeded, Met, Did Not
Meet).

Our client wants to see the results averaged, so, for example, we see
that all employees in all Ohio offices for the year 2001 have an
average performance rating of 1.75 while all employees in all Illinois
offices have an average performance rating of 2.28.

One of my colleagues says that it is not valid to average categorical
data such as this.  His contention is that the only valid form of
representation is to say that 75% of all respondents ranked Ohio
employees as having "Met Expectations" or "Exceeded Expectations."

Can anyone comment on the validity of using averages to report on
categorical data?  Or point me to reference sources which would help
clarify the issue?

Nolan Madson


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