Chapter1 Introduction
1.1 Background, Objectives and Significance of the Study
Other aspects of inpidual employees are considered as well, such asorganizational citizenship behavior, accomplishments, potential for future improvement,strengths and weaknesses, etc.[1]. Performance appraisal (PA) may be defined as astructural formal interaction between a subordinates and supervisor, that usually takesthe form of a periodic interview (annual or semi-annual), in which the workperformance of the subordinate is examined and discussed, with a view to identifyingweaknesses and strengths as well as opportunities for improvement and skillsdevelopment[3][4].In many organizations-but not all –appraisal results are used, either directly orindirectly, to help determine reward outcomes. That is, the appraisal results are used toidentify the better performing employees who should get the majority of available meritpay increases, bonuses, and promotion.By the same token, appraisal results are used to identify the poorer performers whomay require some form of counseling, or in extreme cases, demotion, dismissal, ordecreases in pay. Organization needs to be aware of laws in their country that mightrestrict their capacity to dismiss employees or decrease pay. The main purpose of thisstudy was to evaluate the staff performance appraisal system and how it influencesemployees’ performance in the AMA.
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1.2 Significance of the Study
The results of the study would help management of the Organization to be abreastwith what happens regarding annual staff performance appraisal. This is becausemanagement may not have the opportunity of collating the views of all employees toknow how they feel about performance appraisal but this study would collate thoseviews into a composite document.Secondly, the results of the study would add up to the existing literature on staffperformance appraisal of Organizations. There is no doubt that other researchers haveundertaken similar researches in other parts of the country and this is a complement. Inview of this, prospective researchers into staff performance appraisal would have access to more locally produced literature for their works. Besides, areas suggested for furtherresearch would serve as basis for selecting a topic for further research.Also, staff performance appraisers would find the results of this study usefulbecause they would serve as mirror for them to use to evaluate their own performance.It is always important to have an independent assessor to appraise your work to pointout the strengths and the weaknesses by which remedies can be made.
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Chapter 2 Theoretical Framework
2.1 Introduction
Traditionally, human resource management and personnel administration wasconducted according to the functional approach to management, which was and still ispracticed on the basis of sound scientific research. A system or efficiency approach toperformance management required that the inpidual employees, groups anddepartments within an organization be considered as interrelated, and that all involvedin the different processes should be empowered to behave proactively in ensuringquality on a continuous basis.Performance appraisal as a key role player in managing employees' performanceaffects an employees' status in an organization in terms of retention, termination,promotion, demotion, transfer, salary increase, or admission into a training program thataffects any of the preceding factors, regardless of whether the rationale behind thesedecisions is made known to the employees (Latham & Wexley, 1981)[48]. Performanceappraisals provide the meaning of measuring the employees’ effectiveness and identifyareas where the employees need training in order to perform to the requirements of thejob description. An adequate appraisal system can be a profoundly useful instrument tomaintain high levels of motivation through feedback.This chapter will introduce the definitions, relevant theories, objectives of theresearch target, appraisal methods and instruments, sources and processes regarding theperformance management function and performance appraisal system.
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2.2 Definition of Performance Appraisal and Performance Management
Performance appraisal is the ongoing process of evaluating and managing both thebehavior and outcomes in the workplace. Organizations use various terms to describethis process. “Performance review”, “annual appraisal”, “performance evaluation”,“employee evaluation” and “merit evaluation” are some of the terms used (Grobler etal 2002: 260)[49]. It is a periodic review (which can be monthly or quarterly but happensannually in most cases) to assess the standard and efficiency of the work accomplishedby an employee.Performance appraisal is one of the important components of the HR function. Theinformation obtained through performance appraisal is providing foundations forrecruiting and selecting, training and development of existing staff, and also formotivating employees by properly rewarding the performance in order to maintain goodquality of work. Without a reliable performance appraisal system, the HR system fallsapart, and resulting in the total waste of the valuable human assets an organization has.“Performance management” is a broader term than “performance appraisal”. It is amanagement instrument for creating a work environment or settings in which people areenabled to perform to the best of their abilities. It is a strategic issue of creating longer-term goals. Performance management involves clarifying the duties of the job, definingwork standards, and documenting, evaluating and discussing performance with eachemployee.Performance management has become popular as total quality managementprograms emphasized using all the management tools, including performance appraisal(Grobler et al 2002: 260). It is a whole work system that begins when a job is defined asneeded and ends when an employee leaves the organization. It involves strategic use ofperformance measures and standards, aims to establish performance targets and goals,to prioritize and allocate resources, to inform managers about needed adjustments orchanges in policy or program direction to meet goals, to frame reports on the success inmeeting performance goals, and to improve the effectiveness and efficiency of theorganization.
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Chapter 3 Research Methodology and Organizational Profile ......24
3.1 Research Design .........24
3.2 Population of the Study .......25
3.3 Sampling Procedures ...........25
3.4 Instrument for Data Collection .....26
3.5 Pre-testing of Instrument .....26
3.6 Data Collection Procedures ..........27
3.7 Data Analysis Procedures.............27
3.8 Organizational Profile of AMA.............27
3.9 Chapter Summary .......30
Chapter 4 Presentation of Results and Findings ...........31
4.1 Introduction .......31
4.2 Demographic Information of Respondents.....31
4.3 Responses on the Processes and Procedures of Performance Appraisal Systems atAMA..........35
4.4 Employees’ Views on Staff Performance Appraisal at AMA............38
4.5 Challenges Associated with Effective Staff Performance Appraisal at AMA .....41
4.6 Measures that could be Used in Ensuring Effective Staff Performance Appraisal..........43
4.7 Chapter Summary .......45
Chapter 5 Summary, Recommendations and Conclusions ............46
5.1 Summary of Findings ..........46
5.2 Recommendations ......47
5.3 Limitations.........48
5.4 Suggestions for Future Research ...........49
Chapter 5 Summary, Recommendations andConclusions
5.1 Summary of Findings
This chapter presents the summary of findings and recommendations. The studyevaluated the processes and procedures used in conducting staff performance appraisalat the Accra Metropolitan Assembly. Four objectives were used to guide the evaluationand it is based on these that a summary of findings are presented.The major findings of the study are presented below:Staff performance appraisal was mainly conducted once a year, however in somecircumstances; it was conducted when a staff was attending a promotion interview(table 4.5). On the issue of who was responsible for conducting Performance Appraisal,it was found that, mostly it was done by one’s immediate supervisor. There is alwaysan appraisal form to be filled. Variously, it was found that some appraisers completedthe filling of the forms before interviewing subordinates for their views; othersinterviewed subordinates before the forms are filled to complete the process. In otherscenarios no interviews are conducted to seek the views of appraises.The view of staff towards the appraisal process was generally satisfactory becausethey believed that it is use to determine performance gaps; distinguish good performersfrom bad ones. Besides, it is use to determine training needs of staff. In sum, staff feltthe Performance Appraisal process is a worthwhile system (table 4.10).Some of the challenges that emerged were that the purpose for appraising staff isnot made clear and how it should be done and that staff views are not taken into accountafter the appraisal process is completed (Table 4.11). Besides, the PerformanceAppraisal system is characterized by some degree of favoritism which defeats thepurpose of appraising the performance of staff. It was found that when gaps areidentified and amendments are made, the appraisal process would be more effective(table 4.12). Among the measures are that standards of employee performance should bemade known, the performance appraisal system should be able to distinguish effectivefrom ineffective performers, the appraisal instrument (form) should be easy for both appraisers and appraisees to understand, performance goals should be set for employeesamong others.
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Conclusions
Improving any performance appraisal system is a complex proposition thatrequires developing sound appraisal procedures and motivated as well as skilled raters.Appraisal training is important to the success of an appraisal system. There is nosubstitute for training, which can minimize the occurrence of rating errors and improvereliability and validity (French, 1990). The study revealed that, most of the respondentslacked the needed know-ledge about performance appraisal. Information or datagathered confirmed that the system as it exists does not measure up to the requiredstandards. Though the appraisers at the Assembly stated clearly that the Assemblystaff know their job description, their overall performance is still far below expectationthe staff performance appraisal system adopted and used in the AMA is not doneregularly and annually as it is supposed to be the case in every appraisal system. Theresearch also revealed that there is neither target setting nor a clear-cut job descriptionfor senior management staff of the Assembly. The mode of assessment was also foundto be a one-way process which does not provide feedback for timely managementdecisions. Evidence from the research also indicates that there is a weak correlationbetween the performance appraisal and productivity as exists in the AMA. Factorsresponsible for that include lack of; appreciation of the impact of appraisal on staffperformance, training for appraisers themselves, regular and systematic trainingprograms for staff and confidence in the entire Appraisal System. The evidence fromthis research confirms that the absence of an effective performance Appraisal System inthe AMA negatively affects performance and productivity at the Assembly. The systemtherefore confirms the assertion that an effective appraisal system would enhanceproductivity. The low level of staff performance at the AMA therefore calls for anurgent need to design a new and more objective format to be adopted and used at theAssembly instead of relying on the current one which does fall short of modern dayappraisal demands. Evidence from the research indicates that there is a weak correlationbetween the staff performance Appraisal and productivity at the AMA. Some of thefactors responsible were identified as lack of; appreciation of the impact of appraisal onstaff performance, adequate knowledge and skills in appraisal by the appraisersthemselves, regular and systematic training programs for staff and confidence in theappraisal system.
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References (abbreviated)