Employees’ Performance Appraisal as a Tool for Organizational Growth
Chapter One
Aims / Objectives of the Study
The study’s general objective is to examine the relationship between performance appraisal and organization growth. Specifically, it is set out to:
- Ascertain if Nigeria Bag Manufacturing Company (BAGCO) attaches any significant importance to performance appraisal review.
- Find out if any difference exists between BAGCO’s performance appraisal system and what literature reveals about the appraisal system of Nigerian business Organizations.
- Assess the effectiveness of the organization’s performance appraisal review in Nigeria.
- Examine the manager’s knowledge of performance review techniques that could have a significant impact on employees’ performance for greater organizational effectiveness.
- Assess the relationship between performance appraisal and organization growth.
CHAPTER TWO
REVIEW OF LITERATURE
INTRODUCTION
Our focus in this chapter is to critically examine relevant literature that would assist in explaining the research problem and furthermore recognize the efforts of scholars who had previously contributed immensely to similar research. The chapter intends to deepen the understanding of the study and close the perceived gaps.
CONCEPTUAL FRAMEWORK
CONCEPT OF PERFORMANCE APPRAISAL SYSTEM
Performance appraisal, according to Grote (2002), is a formal management system that provides for the evaluation of the quality of an individual’s performance in an organization. Aswathappa (2002) views performance appraisal as the assessment of individual’s performance in a methodical way, the performance being measured against such factors as job knowledge, quality and quantity of outputs, initiatives, leadership abilities, supervision, loyalty, co-operation, judgement, veracity, health etc. The assessment ought not to be restrained to past performance alone but also include the potentials of the employee for future performance. Performance appraisal serves as a way to ascertain whether an employee has put his or her best performance on a given job. It is the logical evaluation of the individual with respect to his or her performance on the job and his or her potential for development. Performance appraisal has been described as formal, structured system of measuring and evaluating an employee’s job related behaviours and outcomes to ascertain how and why the employee is presently performing on the job and how the employee can perform more successfully in the future so that the employee, organization and society mutually benefit (Randall, 1981). Generally, performance appraisal serves four objectives: development use, administrative use or decision, organizational maintenance and documentation. One ingredient of performance management which involves diverse measurement all through the organization is performance appraisal. It is the most important if the organization is to take advantage of their human resources and gain human capital advantage. Performance management as a holistic process brings together many of the elements which are essential for the successful practice of people management including in learning and development (CIPD, 2008). Alo (1999) views performance appraisal as a process that involves purposeful stock taking of the success, which an individual or organization has achieved in discharging assigned responsibilities or meeting set goals over a range of time. Thus it is a purposeful act which is usually prepared by the employee’s immediate supervisor. The procedure usually entails the supervisor to fill out a standardized evaluation form that assess the employee on different dimensions and then discuss the outcome of the measurement with the employee. Other terms used for performance appraisal include performance rating, employee assessment, employee performance review, personnel appraisal, performance evaluation, employee evaluation and merit rating.Ezeani (2005) considers performance appraisal as the process of evaluating individual employee in order to determine the extent to which he is performing a job effectively and shows promise for the future while Onah (2012) states that performance review and appraisal enables employee to gain information on their performance as well as the expectations of the organization on their job performance. Performance appraisal is not only systematic but also intermittent and dispassionate rating of an employee excellence in matter relating to his current job and his potential for a better job. It assesses how well employees are performing their jobs in relation to established standard and the feedback of that evaluation to employee. Performance appraisal would not attain its aspiration of improving performance if the assessed worker did not get rejoinder on the outcome of the assessment. Hence, performance appraisal is deficient and the intent defeated if the worker appraised is not informed of what his strengths and weakness are to enable him improve in future. The attributes of performance appraisal include: It is not a single activity but rather a process that involves series of steps or acts(a process); It is a methodical assessment of an employee’s strength and weakness in the context of the given job (Systematic Assessment);
CHAPTER THREE
RESEARCH METHODOLOGY
INTRODUCTION
In this chapter, we described the research procedure for this study. A research methodology is a research process adopted or employed to systematically and scientifically present the results of a study to the research audience viz. a vis, the study beneficiaries.
RESEARCH DESIGN
Research designs are perceived to be an overall strategy adopted by the researcher whereby different components of the study are integrated in a logical manner to effectively address a research problem. In this study, the researcher employed the survey research design. This is due to the nature of the study whereby the opinion and views of people are sampled. According to Singleton & Straits, (2009), Survey research can use quantitative research strategies (e.g., using questionnaires with numerically rated items), qualitative research strategies (e.g., using open-ended questions), or both strategies (i.e., mixed methods). As it is often used to describe and explore human behaviour, surveys are therefore frequently used in social and psychological research.
POPULATION OF THE STUDY
According to Udoyen (2019), a study population is a group of elements or individuals as the case may be, who share similar characteristics. These similar features can include location, gender, age, sex or specific interest. The emphasis on study population is that it constitute of individuals or elements that are homogeneous in description.
This study was carried out to examine employees’ performance appraisal as a tool for organization growth , using Nigeria bag manufacturing company( BAGGO) Lagos State as a case study. Staff of BAGGO Lagos form the population of the study.
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
INTRODUCTION
This chapter presents the analysis of data derived through the questionnaire and key informant interview administered on the respondents in the study area. The analysis and interpretation were derived from the findings of the study. The data analysis depicts the simple frequency and percentage of the respondents as well as interpretation of the information gathered. A total of two hundred and fifty (250) questionnaires were administered to respondents of which only two hundred and fifty (250) were returned and validated. For this study a total of 250 was validated for the analysis.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
SUMMARY
In this study, our focus was to examine the employees’ performance appraisal as a tool for organization growth using BAGGO manufacturing company Lagos as a case study. The study specifically was aimed at highlighting if Nigeria Bag Manufacturing Company (BAGCO) attaches any significant importance on performance appraisal review.also, Find out if any difference exists between BAGCO’s performance appraisal system and what literature reveals about appraisal system of Nigeria business Organizations. The study further, Assess the effectiveness of organization performance appraisal review in Nigeria. More so, the study Examine the manager’s knowledge of performance review techniques that could have significant impact on employees’ performance for greater organizational effectiveness. Furthermore , Assess the relationship between performance appraisal and organization growth. A total of 250 responses were validated from the enrolled participants where all respondent are drawn from staff of Nigeria bag manufacturing company.
CONCLUSION
Based on the finding of this study, the following conclusions were made:
- Nigeria Bag Manufacturing Company (BAGCO) attaches any significant importance on performance appraisal review.
- Difference does exists between BAGCO’s performance appraisal system and what literature reveals about appraisal system of Nigeria business Organizations.
- There are effectiveness of organization performance appraisal review in Nigeria.
- The manager’s knowledge of performance review techniques that could have significant impact on employees’ performance for greater organizational effectiveness.
- There is relationship between performance appraisal and organization growth.
RECOMMENDATION
Based on the responses obtained, the researcher proffers the following recommendations:
- That human resource managers and other stakeholders in organizations should periodically evaluate the performance of employees in order to promote efficiency and effectiveness.
- The 360-degree feedback evaluation method, management by objective method, critical incident method, Behaviorally Anchored Rating Scale method and other evaluation mechanisms that contribute to overall improvement of individual and organizational performance should be adopted.
- The performance appraisal system should be designed in a manner that reorganizes and reflects mutual trust, clear objectives, standardization, training, job relatedness, feedback and participation, strengths andweaknesses of employee as well as individual differences.
REFERENCE
- Armstrong, M and Baron, A. (2004). Managing performance: Performance management: Action and impact. London: Charteredv Institute of Personnel and Development.
- Alo, O. (1999) Human resources management in Nigeria. Lagos:Business and Institution Support Association
- Armstrong, M and Baron, A. (2005). Managing performance: Performance management in action. London: Chartered institute of personnel and Development.
- Armstrong, M. (2009). Armstrong’s handbook of performance management: An evidence-based guide to delivering high performance. London: Kogan page
- Armstrong, M. and Baron, A. (1998). Performance management the new realities. London: institute of personnel and development
- Arvey, R.D. and Murphy, K.R. (1998). Performance evaluation in work setting. Annual Review of psychology, 49, 141 – 168.
- Askinu, J. (2004). Performance management and organizational intelligence: Adapting the balanced scorecard in Larvik municipality. International Public Management Journal, 7 (3), 415-438.
- Aswathappa, K. (1990). Factory organization and management(4th edition). Bombay: Himalaya.
- Aswatharpa, K. (2002). Human resource and personnel, a text andcases (3rd edition). New Delhi: Tata Magraw-Hill PublishingCompany Limited.
