Proposal on the Impact of Performance Appraisal on Employees Productivities

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THE EFFECTS OF PERFORMANCE APPRAISAL SYSTEM ON CIVIL SERVANTS JOB PERFOMANCE AND MOTIVATION IN KENYA: A CASE STUDY OF MINISTRY OF STATE FOR PUBLIC SERVICE G. O. Lillian, P. Mathooko, N. Sitati Jomo Kenyatta University of Agriculture and Technology Abstract. Performance Appraisal System (PAS) which can be defined as the process of determining and communicating to an employee how he or she is performing on the job. The system (PAS) began to be practiced in the world mainly in the 1940s and through this system, merit rating was used for the first time around the Second World War as a method of justifying an employee’s wages. The process was based on material outcomes where higher output was rewarded with higher pay. Since then, PAS has spread to many parts of the world where is being practiced like in Singapore. In Kenya, PAS within the Civil Service was introduced around 2006 and has over the years become a popular staff management system driven via the popular government performance contracting initiative. The system is being embraced in the Kenyan public service for tracking employees’ performance in service delivery. PAS has signaled possibility for improved performance in civil service productivity and employee motivation. Despite the impressive performance and staff motivation signals elicited by PAS in civil service, no detailed description of the situation has been done. This study then sought to assess the effect of PAS in job performance and employee motivation in the Ministry of State for Public Service. The project sampled staff randomly from also randomly selected departments who were interviewed using pre-tested questionnaires and through focused group discussions. Data was analyzed using appropriate statistical applications in SPSS. The researcher concluded that employees at the MSPS are usually involved in the setting of performance targets. They are also substantially appraised against the targets set at the beginning of the appraisal period. The study revealed that employees were given feedback to enable them improve their performance. This shows that PA has a positive impact on the employee’s performance which leads to motivation. The Ministry was for example number seven in the recent performance rankings released by the President and Prime minister.Based on the findings of this study, the following recommendations among others are made for consideration by the MSPS so as to enhance the employee’s work performance. PA is a good management tool but is should be subjected to continuous reviews in line with the changing trends. This is because HRM is dynamic and for PA to be Relevant, it has to keep up the pace. All stakeholders should be consulted during the PA process. This should include use of 360- degree feedback.

INTRODUCTION 1.1 Study Background

Performance Appraisal (PA) has been defined as “the process of determining and communicating to an employee how he or she is performing on the job and ideally establishing a plan of improvement”, Byars and Rue (2000). Dessler (2005) defines Kabarak University First International Conference DATES: 12/10/2011 – 14/10/2011 Page 1

performance appraisal as “evaluating an employee’s current and past performance relative to his/her performance standards”. Therefore, if PA is successfully carried out in an organization, the employees would be able to know how well they are performing and what is expected of them in future in terms of effort and task direction through an established plan for performance improvement. The Draft Performance Appraisal System Policy for the Public Service in Kenya (2008) views PA as the process of assessing and recording staff performance for the purpose of making management decisions on the staff. Performance management is a joint process that involves both the supervisor and the employees to identify common goals which correlate to the higher goals of the institution (Rogers, 1995). In her study on Performance Improvement in the...
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