This article explores the relationship between Arabic culture and employees' perceptions of performance appraisal in a Saudi Arabian company named SACO. Using an interpretive and qualitative methodological framework, the article suggests that Western models of performance appraisal rooted in rationality and objectivity conflict with aspects of Saudi Arabian culture. Specifically, the personal relations implicated in the social practice of Wasta. However, the article also shows how SACO employees are beginning to reject Saudi Arabian cultural norms and adopt alternative values which are linked to notions of organisational justice and individual egalitarianism. These values are compatible with Western models of performance appraisal.