The Effect of Employees’ Perception of Performance Appraisal on Their Work Outcomes

ABRAHAM ZEWDIE BEKELE, ASSEGID DEMISSIE SHIGUTU, ASSEFA TSEGAY TENSAY

Abstract: The aim of the study is to assess the perception of performance appraisal practice of ANRS office of the auditor general and its effect on employees’ work outcomes, in the form of work performance, affective commitment and turn over intention as well. To undertake these general objective six specific objectives with their underling hypothesis were designed and assessed by quantitative& qualitative research design. To set background information on the proposed hypothesis the theoretical, conceptual and empirical related literatures were reviewed and most of the literatures finding implies that perception of employees on performance appraisal system had a significant influence on their work out comes.

In conducting this study, the required data is obtained through structured questionnaires and interview. The structured questionnaire was adopted from four prior related studies. To check the reliability and validity of the adopted instruments the Cranach’s coefficient alpha test and the construct and content validity test was carried out. To determine the sample from the total population of 202 employees, first, the target population was stratified in to seven stratums (based on business processes) and then to select respondents from each stratum simple random sampling technique was applied; having this, the researcher uses formula based-sample size determination. Basically, a total of 134 questionnaires were distributed to the sampled employee, among these 119 were returned, of which, 9 responses are uncompleted. Thus, 110 returned questionnaires (i.e. representing 82% of response rate) are analyzed using statistical package for social science (SPSS version 16). In the analysis descriptive statistics, correlation analysis and simple regression analysis was performed.

The descriptive finding of the study shows that in ANRS office of auditor general employees had low level of perception towards the existing performance appraisal practice. Employees of ANRS offices of the auditor general have high level of work performance, low level of affective organizational commitment and moderate level of turn over intention.

The correlation analysis result also indicates employees’ perception of performance appraisal practice had positive and significant relationship with work performance and affective organizational commitment; negative and significant relationship with employees’ turnover intention. Whereas the finding of simple regression analysis indicates employees’ perception of performance appraisal practice had positively and significantly influence work performance and affective organizational commitment whereas, negatively and significantly influence employees’ turnover intention. Therefore, it is recommended that, the organization should have to implement performance appraisal practice in the best possible way; there is the need to develop a good feedback system, appropriate and adequately filing, discussing appraisal results, design ways to communicate appraisal results, review appraisal on due attention, participatory appraisal rating system and have to design procedure to make aware of every employee about the appeal process. In doing so, human resource department should play a vital role in the overall process of performance appraisal.  Finally, it is forwarded that further research has to be done in more completed and comprehensive way.

Title: The Effect of Employees’ Perception of Performance Appraisal on Their Work Outcomes

Author: ABRAHAM ZEWDIE BEKELE, ASSEGID DEMISSIE SHIGUTU, ASSEFA TSEGAY TENSAY

International Journal of Management and Commerce Innovations

ISSN 2348-7585 (Online)

Research Publish Journals

Vol. 2, Issue 1, April 2014 - September 2014

Citation
Share : Facebook Twitter Linked In

Citation
The Effect of Employees’ Perception of Performance Appraisal on Their Work Outcomes by ABRAHAM ZEWDIE BEKELE, ASSEGID DEMISSIE SHIGUTU, ASSEFA TSEGAY TENSAY