Complete Material Cost #3,000
Order for Complete Material now
Abstract
The study examined performance appraisal and employee productivity. The survey research design was adopted. The population of the study comprises one hundred and ten (110) senior and junior staff of three (3) commercial banks on Aba Road, Port Harcourt. The random sampling method was employed to select eighty eight respondents (88) respondents. The data for this study was collected with the use of structured questionnaire. The chi-square analytical tool of SPSS version 20.00 was used to analyse the data electronically. The study revealed that the dimensions of performance appraisal significant influence and enhances employee productivity in the selected manufacturing firms. Based on the findings of the study, we recommend that organizations should establish and adopt performance appraisal systems that would enable effectively appraisal of the employees and therefore providing opportunities to the management in identifying staff training needs, identify performance targets, improve employees performance and helping employees on time management through planning and setting of deadlines, firm should adopt behavioural performance appraisal system and management by objectives as the appraisal systems were found to be statistically significant in influencing employee’s relationship and improving employee’s productivity and that performance criteria used need to be clarified to employees. The performance criteria need to be explained to the employees so that they are aware of what is expected by the management.
Table of Contents
Title Page i
Cover Page ii
Abstract iii
Declaration iv
Certification v
Dedication vi
Acknowledgements vii
List of Tables x
List of Figures xi
CHAPTER 1 1
INTRODUCTION 1
1.1 Background of the Study 1
1.2 Statement of Problem 3
1.3 Objective of the Study 4
1.4 Research Questions 4
1.5 Research Hypotheses 4
1.6 Significance of the Study 5
1.7 Scope/Limitation of the Study 5
1.8 Definition of Terms 6
CHAPTER 2 7
LITERATURE REVIEW 7
2.1 Conceptual Framework 7
2.1.1 Concept of Employee Performance Appraisal 7
2.1.2 Dimensions of Employee performance appraisal 10
2.1.3 Concept of Organizational effectiveness 11
2.1.4 Measures of Organizational Effectiveness 14
2.1.5 Employee Performance Appraisal and Organizational effectiveness 16
2.2 Theoretical Framework 18
2.2.1 Goal Theory 18
2.2.2 Control Theory 19
2.3 Empirical Review 19
CHAPTER 3 22
RESEARCH METHODOLOGY 22
3.1 Research Design 22
3.2 Population of the Study 23
3.3 Sample Size Determination 23
3.4 Sampling Techniques 24
3.5 Source and Method of Data Collection 25
3.6 Methods of Data Collection 26
3.7 Questionnaire Design 27
3.6 Data Analytical Techniques 27
3.7 Reliability and Validity 28
CHAPTER 4 29
DATA PRESENTATION AND ANALYSIS 29
4.1 Data Collection and Presentation 29
4.2 Data Analysis 30
4.3 Hypotheses Testing 33
4.3 Discussion of Findings 35
CHAPTER 5 37
SUMMARY, CONCLUSION AND RECOMMENDATION 37
5.1 Summary 37
5.2 Conclusions 37
5.3 Recommendations 38
Appendix I 43
APPENDIX II 44
CHAPTER 1
INTRODUCTION
1.1 Background of the Study
In today’s competitive business world, it is understood that organizations can only compete with their rivals by innovating. Organizations can only innovate by managing their human resources well. The human resource system can become more effective by having a valid and accurate appraisal policy used for rating performances of the employees. Unfortunately, the number of organizations using an effective employee performance appraisal policy is limited (Yalcin, 2002).
Employee performance appraisal is a key in human resource management function which is viewed as a subset of performance management. Rao (2005) argues that employee performance appraisal is a method of evaluating the behavior of employees in the workplace, this normally include both the quantitative and qualitative aspects of job performance. It helps to identify and overcome the problems faced by the employees in their workplace (Mackey & Johnson, 2000). Although it has many benefits for the organizations, states that employee performance appraisal have the equal probability of having a bad influence on the organization as well as on employee performance (Nurse, (2005).
According to Kuvaas, (2006); employee performance appraisal or employee appraisal is a method by which the job performance of an employee is evaluated generally in terms of quality, quantity, cost and time typically by the immediate line manager or supervisor. A employee performance appraisal is a part of the process of guiding and managing career development in both private and public sectors. It involves the task of obtaining, analyzing and recording information about the relative worth of an employee to the organization (Maud, 2001).
Accurate appraisals are crucial for the evaluation of recruitment, selection, and training procedures that can lead to improved performance. Appraisals can determine training needs and occasionally, counseling needs. They can also increase employee motivation through the feedback process and may provide an evaluation of working conditions, thus, improving employee productivity, by encouraging the strong areas and modifying the weak ones (Rao, 2004).
Formal employee performance appraisal has become a widespread instrument of human resource management. Surveys reported in the 1970s and 1980s already indicated that between 74 percent and 96 percent of U.S. organizations, and a comparable proportion of British firms had a formal employee performance appraisal in place. Large, complex organizations are especially likely to conduct formal appraisals (Berry, 2003). Not surprisingly, many firms in Thailand are vigorously implementing Performance Management System (PMS) to help them better manage their employee’s performance and inturn, it affects organizational performance. Since it is the key process through which work is accomplished, it is considered the “Achilles heel” of managing human capital (Pulakos, 2009). Hence, it is very important to manage employee performance appraisal effectively.
However, in the review of past studies carried out by Ebue (2003) despite the level of work that has been done, only few studies try to discuss some specific aspects of employee performance appraisal that can affect survival of organizations. From the foregoing therefore, this study seeks to examine the relationship between employee performance appraisal and organizational effectiveness in some selected deposit money banks in Port Harcourt.
1.2 Statement of Problem
This brings us to those problems that are associated with conducting employee performance appraisals. The process usually starts at the middle management level where it is the job of a middle level manager to appraise his subordinates or employees who are under him. In fact every successive hierarchical level, the superiors are asked to evaluate the employees who are working under them. This can give rise to many issues that make employee performance appraisals an unpleasant task. As a result, many managers view the process of appraisal as time consuming and burdensome. To begin with employee performance appraisals can cause friction, resentment and the consequent low morale. Since appraisals are rather subjective in nature, they can also be disputed in case of negative ones.
The employee performance appraisal systems tend to have several problems. Raters‟ evaluations are often subjectively biased by their cognitive and motivational states (DeNisi & Williams, 2008), and supervisors often apply different standards with different employees which results in inconsistent, unreliable, and invalid evaluations (Folger, 2002). In order to create better systems, researchers have traditionally focused on validity and reliability (Bretz 2002) by designing newer “forms” of employee performance appraisals (e.g., behavioral based systems that better define specific essential job functions of employees or 360-degree feedback mechanisms that allow for cross-validation via multiple raters). However, despite these recent advances in evaluation design, critics continue to argue that employee performance appraisal systems are not consistently effective (Atkins & Wood, 2002; DeNisi & Kluger, 2000).Given the above scenario, therefore, the study seeks to examine employee performance appraisal and organizational survival so as to fill the research gap.
1.3 Objective of the Study
The main objective of the study is to examine the relationship between employee performance appraisal and organizational effectiveness employee performance appraisal and organizational effectiveness in some selected deposit money banks in Port Harcourt. The specific objectives are to:
i. Examine the extent to which rating scale associate with organizational effectiveness in some selected deposit money banks in Port Harcourt.
ii. Examine the extent to which ranking associate with organizational effectiveness in some selected deposit money banks in Port Harcourt.
iii. Examine the extent to which critical incident method associate with organizational effectiveness in some selected deposit money banks in Port Harcourt.
1.4 Research Questions
The following research questions will guide this study;
i. Does rating scale associate with organizational effectiveness in some selected deposit money banks in Port Harcourt?
ii. Does ranking associate with organizational effectiveness in some selected deposit money banks in Port Harcourt?
iii. Does critical incident method associate with organizational effectiveness in some selected deposit money banks in Port Harcourt?
1.5 Research Hypotheses
The following research hypotheses are postulated to guide the study.
H0: There is no relationship between employee performance appraisal and organizational effectiveness in some selected deposit money banks in Port Harcourt.
HA: There is a relationship between employee performance appraisal and organizational effectiveness in some selected deposit money banks in Port Harcourt.
1.6 Significance of the Study
This study is significant in the following ways;
Firstly, this study will be significant to shareholders of these organizations as the survival of the organization is paramount. It will also assist managers manager’s these firms even as it is in their continued survival. It will be relevant to employees in the organization. This study will add to existing knowledge in management sciences.
1.7 Scope/Limitation of the Study
The scope of this study is delimited into the followings:
Content Scope: The specific areas of organizational effectiveness the study investigated include; customer satisfaction, return on investment and return on equity. Whereas, the areas of employee performance appraisal include rating method, ranking method and critical incidence method.
Geographical scope: This study covers an examination of strategic contributions of employee performance appraisal on organizational effectiveness of deposit money banks in Rivers State which include First Bank and Unity Bank Garrison Aba Road, Port Harcourt, Rivers State.
Unit of Analysis: the unit of analysis for this study is the employee of the selected deposit money banks at the time of the study. Hence, it is a micro level study. In carrying out an investigation of this nature the researcher must of necessity be faced with some constraints.
The time constraints, the time frame provided for this study was short.
Financial constraints. Usually, a study of this nature involved some level of expenditure therefore; finance was also a limiting factor.
Poor response from the respondent and inability to access the entire population of the study. In the next segment significance of the study will be discussed.
1.8 Definition of Terms
ADAPTABILITY: Adaptability is the degree to which an organization has the ability to alter behavior, structures; and systems in order to survive in the wake of the environmental change.
EMPLOYEE PERFORMANCE APPRAISAL: Employee performance appraisals are the assessment of individual’s performance in a systematic way.
PROFITABILITY: Profitability means ability to make profit from all the business activities of an organization, company, firm, or an enterprise. It shows how efficiently the management can make profit by using all the resources available in the market.
STAFF DEVELOPMENT: Staff development represents an intentional effort by supervisors and administrative leaders of student affairs to improve staff members’ effectiveness, leading to improved organization effectiveness.
Complete Material Cost #3,000