The Dilemma of Performance Appraisal

Abstract

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Managers’ Perceptions of the Performance Appraisal System in the Local Municipality of Gauteng Province in South Africa

“…Previous study has indicated that compatibility between the boss and the subordinates based on the same objectives can have a significant impact on performance appraisal. Through joint objective setting appraisees develop a feeling of ownership, which has a more powerful effect upon subsequent performance than just a general discussion about goals (Prowse & Prowse, 2009). Objectives setting allows employees to know up-front the standards by which their performance will be evaluated.…”

Modelling the Relationship between Performance Appraisal and Organizational Productivity in Nigerian Public Sector

“…According to [27], there are a great number of design features that potentially can influence the effectiveness of a performance management system, and many of these have been empirically studied to clarify their impact. Studies from [1,9,15,17,26] have shown that the major and prevalent problem confronting personnel appraisal is always the mistake that the rater often commits. Some of the mistakes are halo effects (this occurs when a manager appraises the performance of an employee based on a certain characteristic), error of contrast (this occurs when the rating of an employee is dependent on the performance of another person doing similar work), central tendency error (this occurs when a rater award all employees average or above average rating), leniency or strictness error (leniency occurs when the rater rate all employee high while strictness occurs when all employees are rated low), recency effect error (this occurs when rater allows recent occurrence to influence his judgement of an individual performance) and the proximity error (this occurs when a rater uses one technique to measure different traits in individual performance).…”

“…Quite a number of challenges have been identified as confronting the effective and efficient practice of the performance appraisal system which includes the effect of reward and its turnout in commitment and loyalty of employees which triggers productivity within the organization. From past researches [13][14][15][16] and findings, it has been observed that matching both rewards as a result of employee's performance in an organization will commit employees more to the performance appraisal process [2] and showing them that the completion of the performance targets and objectives will affect them directly [17]. Organizations fail in motivating their employees especially those that have performed excellently well over a period of time leading to a negative attitude or response from employees [9].…”

“…There are a number of potential benefits of organizational performance management conducting formal performance appraisals (PAs). There has been a general consensus in the belief that PAs lead to positive implications of organizations [17]. Furthermore, PAs can benefit an organization's effectiveness [16].…”

“…Job satisfaction and labour productivity go hand in hand with each other and cannot be substituted for the other. Numerous studies like [17][18][19][20]24,25] affirmed that high level of labour productivity will be achieved if a worker or employee feels satisfied with his job and doesn't have any feeling of being exploited by his employees. Managers can only satisfy employees on a job if they give employees what they deserve for their performance [23] without making an attempt to exploit employees and pay them lower than expected.…”