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Attitudes of Employees Towards Performance Appraisal System of Maldives Transport and Contracting Company

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Introduction

After the selection process, the next formal assessment of the individual employee is the performance appraisal. Most organizations recognize that there is a need to monitor the effectiveness of their employees and to promote avenues for their improvement. Enormous amounts of time, energy, and money have gone into the development of performance appraisal systems, but their successful implementation rests with the supervisors and managers who carry out the appraisal.

Ultimately all human resource matters are matters of subjective judgment and the available research evidence suggests that assessors give more accurate ratings when they are not shown to employees and the final outcome does not involve promotion decisions.

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Assessors are often fearful of the negative impact of their appraisal on the individual’s pay, promotion, and on the job security, as well as its potential to damage or even destroy a previously excellent working relationship. In the past, most of the attention has focused on the development of the appropriate measuring devices and rating scales.

However recent trends indicate a shift in emphasis from the procedures to the process and the dynamics of the supervisor-subordinate relationship.

Employee development must be an ongoing process if an organization is to retain its capacity to respond to the challenges of the future. It is an investment that pays off in the survival and growth of the organization.

Employee development can only be effective if it is based on needs identified during the performance appraisal.

The potentially relevant research for performance appraisal is very broad, including topics such as performance-related pay, assessment of the accuracy of analysis, job analysis and competencies, organizational communication strategies, and much more besides. This research will concentrate on reviewing employee attitudes in performance appraisal.

Research Question or Research Hypothesis

  • Q1-Do the employees need such an appraisal system to measure their performance?
  • Q2- Is it an important tool for measuring and improving the productivity of the employees and that of the organization?
  • Q3- Does it provide a true picture of the employee work and performance?
  • Q4- Will the appraisal capture all the factors that affect performance?
  • Q5- Do the employees feel that issues raised during the appraisal be addressed by the company?
  • Q6- Is there objectivity and sensitivity in the way the questions are raised and worded?

Research Objectives

  1. To identify the necessity of having a performance appraisal system and the attitudes of employees and the management about the administration of performance appraisal of workers.
  2. To identify whether workers are satisfied with the way in which the appraisal process is been carried out.
  3. To determine if the appraisee’s feedback is taken into the performance appraisal.
  4. To compare appraisal between the lower level and senior level.

New Objectives

  • To identify how employees perceive the appraisal system.
  • To determine and compare factors that affect the performance appraisal system
  • To identify the factors encouraged by senior management with regard to the appraisal system and the expected results by the employees from the top management.
  • To identify the existing flaws in the appraisal system.

Research Methodology: Primary Research

Sampling

Devising a sampling plan involves looking into the target population, the sampling frame, the sample size, and the sampling procedure (Proctor,1997).

A total of 100 respondents will be targeted by the company for this research. This sample size has been determined by taking into consideration the size of the company.

Figure 1.0picConvenience sampling technique is one of the techniques of non-probability sampling. It is proposed that Convenience sampling to be carried out in the company. Because convenience sampling is regarded as the least expensive and or least time consuming of all sampling techniques (Malhotra2004).

Data Collection

The questionnaire would be circulated for data collection among the significant portion of the workforce of the company. Since such type of research needs general attitudes and opinions of employee the questionnaire would be a mixture of both open and closed-ended structures.

I would prefer to use the delivery and collection approach. I decided on this because it is the most suitable approach considering the constraints of time and money. If I prefer a postal questionnaire, time would be needed and cost and response rate would be slow.

Measurement and Scaling Procedures

It is proposed that a Likert scale questions would be used as a rating scale. It requires the respondents to indicate a degree of agreement or disagreement with each of a series of statements about the stimulus objects. According to Malhotra (2004), a Likert scale has several advantages.

It is easy to construct and administer- Respondents readily understands how to use the scale

Analysis

The data analysis of this research will be tabulated with SPSS, a computer-generated software.

Secondary research will be carried out before undertaking primary research for the purposes of conducting

Literature Review on the topic of research to provide the theoretical foundations and highlight some of the key factors influencing employees. The findings can support the development of the questionnaire and ensure time is not wasted in conducting research on a topic that has already been well studied with clear conclusive findings.

Some of the secondary sources that will be used are books and internet sources. The information collected from these sources will be evaluated based on certain criteria such as accuracy, reliability, timeliness, and relevance.

Connecting the Literature Review

Overview of Performance Appraisal

The treatment of individual performance in organizations has begun as a simple method of income justification. Today it can be viewed as an overall measure of organizational effectiveness (Stone, 2002). It can be used to improve current performance, provide feedback, increase motivation, identify training needs, identify potential, let individuals know what is expected of them, focus on career development, award salary increases, and solve job problems (Torrington, Hall & Taylor,2002). Performance appraisal is generally conducted annually. (Mullins 2002). However, the frequency of appraisal should be related to the nature of the organization, the purpose, and the objectives of the scheme.

The Benefits to an Organization of Having Good Performanceappraisal System

Performance appraisal has a dynamic link to employee recruitment, selection training and development, career planning, compensation and benefits, safety and health and employee relations. It can be a vital tool for strategy execution by signaling what is really important, providing ways to measure what is important, fixing accountability for behavior and results, and helping to improve performance. In total Performance, an appraisal is a measure of organizational effectiveness. It is through the effort of individual employees that organization objectives are met. If an employee’s performance is improved, the organization, in turn, will lift its performance. Appraisal of employee performance is thus a critical and ongoing human resource management activity.

Performance appraisal helps management to discriminate between high and low flow performing people. A manager must be able to objectively discriminate between those who are contributing to the achievement of the organization’s objective and those who are not. Employees, who achieve, want to be recognized and rewarded for their efforts. To motivate performance, outstanding performers must be identified and rewarded accordingly.

Discrimination on the basis of performance is an organizational necessity.

It is part of the managerial role that cannot be avoided. If an organization is to survive and grow and retain and motivate its top performers, effective performance appraisal is a must. Performance appraisal helps to ensure that employees are rewarded properly.

Another benefit to the organization is that of employee development.

Performance improvement comes about by building on strengths and overcoming weaknesses. It’s the manager’s job to remove blocks to employee performance and to help the employee to grow and develop. Performance appraisal must be a positive and dynamic process to achieve this.

Employee communication is an essential part of the performance appraisal process, and it is a benefit to the organization.

Finding Suggest

An appraisal is only conducted by Human ResourceManagement Specialist. The finding shows that the manager should conduct a performance appraisal. The person is responsible for ensuring that the appraisal is conducted satisfactorily is the person responsible for the employee performance. Some may conclude that the employee is responsible for the employee’s own performance. This is true but the self-conduct of an objective appraisal is clearly not valid. Generally, the people who should conduct performance appraisal are managers. However, information for the appraisal can and should come from several sources, only one of whom is the manager of the employee whose performance is being appraised. Those sources can include the manager, the employee, customer, or client of the employee, other employees, objective organizational data that cannot be traced to any particular stakeholder. The human resource specialist has an important role in advising on the process and monitoring it to see that it is conducted validity. Human resource managers thus have a critical role in educating their organization’s management and staff on the significance and use of performance appraisal in performance improvement and the achievement of corporate objectives.

  1. How This Research Topic Is Related to Study Area?

The research draws upon issues related to Organizational Behavior, Motivation, and Job Satisfaction.

  1. How Does This Research Project Will add to Existing Knowledge?

Existing literature and research reports that I have read concentrates more on to use of rating in the appraisal, ethical dilemmas facing performance evaluators and employees, comparing performance appraisal with total quality management, the relationship between motivation and job satisfaction of the employee to the performance appraisal and relationship between productivity and performance appraisal.

Since an appraisal is done by a human, it can create serious motivational, ethical, and legal problems in the workplace. Appraisers sometimes tend to judge the work performance of others including subordinates, naturally, informally, and arbitrarily. Here lie the roots for changing attitudes of employees. In my research, it will concentrate on the current working environment and the effect of a determination of the issues by employees.

Conclusions of variable “Age” and Q 9, “Appraisal should be conducted in an organization frequently”

  • Age group 26-35 has the highest positive agreement in the opinion towards conducting appraisal in the organization frequently.
  • Age group >55 has the least positive agreement in the opinion towards conducting appraisal in the organization frequently.
  • 81% of people have a positive attitude towards conducting appraisal in the organization frequently- Age group 16-25 has the highest disapproval in the opinion towards conducting appraisal in the organization frequently.
  • Age group 26-35 and 36-55 has the least disapproval in the opinion towards conducting appraisal in the organization frequently.
  • 17% of people have disapproval in conducting appraisal in the organization frequently.
  • Age group 16-25 and 26-35 has neither agreed nor disagreed in conducting appraisal in the organization frequently.

2% of the people neither agree nor disagree in conducting appraisal in the organization frequently.

Overall conclusion- From the findings based on the age group, it is evident that more than50% favor towards conducting appraisal in the organization frequently.

Conclusions of variable “Age”, Gender and Q 9, “Appraisal should be conducted in an organization frequently”

  • There is a very high degree of a positive correlation between the variables of gender and age group. (rs = 0.999, where rs= spearmen coefficient)
  • From the finding, based on gender it is evident that more than 50%favour towards conducting appraisal in the organization frequently.
  • Therefore, from the above conclusions, it is clear that the gender and age group of employees in an org.has an influence on the variable “Appraisal should be conducted in an organization frequently.) (Achieved obj. 1 and hypothesis)3. Gender Vs Q 25 “My performance ratings will be better if my manager was male/female”.
  • Male has the highest approval on the opinion that their performance rating will be better if their manager was male or female.
  • Female has the lowest approval on the opinion that their performance rating will be better if their manager was male or female.
  • 39% of people have the approval of the opinion that their performance rating will be better if their manager was male or female.
  • female has the highest disapproval on the opinion that their performance rating will be better if their manager was male or female.
  • male has the lowest disapproval on the opinion that their performance rating will be better if their manager was male or female.
  • 37% of people have disapproval of the opinion that their performance rating will be better if their manager was male or female.
  • 13% of the people who neither agree nor disagree on the opinion that their performance rating will be better if their manager was male or female is female
  • 11% of the people who neither agree nor disagree on the opinion that their performance rating will be better if their manager was male or female is male

Since there is a very high degree of a positive correlation between the abovementioned two variables, it is assumed that the attitude of the employees in this organization sees performance appraisal system of this organization depends to the variable “I’m satisfied with the appraisal system in my organization” and salary level.

It cannot be deduced that there is a trend of ascending or descending opinions between the above-mentioned variables.

Total people who at least disagree with the variable Q29, manager likelihood is 30%, 56% at least agree to the variable that “Manager likelihood” will affect their performance. 2% disagrees with both variables and 31%agrees to both variables. From the analysis, it is clear that the majority of employees of the organization view that their appraisal depends on the likelihood of their manager. Thus, there exists a flaw in the appraisal system of the company.

  • This analysis shows that 69% of the people who are more than 5yrs is the highest scales of the people who agree that there is a very high link between the experience and the job skills of the appraiser.
  • This analysis shows that 67% of the people who are 6-12 months are the second-highest scales of the people who agree that there is a very high link between the experience and the job skills of the appraiser.
  • 42 % (Highest), represents the total number of people within the duration of 2-3 years, who disagrees with the variable “job skills” and” duration”.
  • This analysis shows that 75% of the people who are 2-3 years are the highest scales of the people who agree that there is a very high link between the experience and the “Bottom-up appraisal should be included” of the appraiser.
  • 25 % (Highest), represents the total number of people within the duration of 2-3 years and 6-12 months, who disagrees with the variable “Bottom-up appraisal should be included” and ” duration”.
  • There is a very high degree of a positive correlation between the variables “Bottom-up appraisal should be included” and “Job skills.
  • Even though there is a positive correlation, it could not be assumed that variable “job skills and Bottom-up appraisal have a positive or negative impact on the appraisal system.

Source:

  1. Malhotra Naresh K (2004), Marketing Research: An Applied Orientation an Overview of the Performance Appraisal System Benefits of Appraisal Principles and Ethics
  2. Mullins Laurie J (2002), Management and Organizational Behavior

Cite this Attitudes of Employees Towards Performance Appraisal System of Maldives Transport and Contracting Company

Attitudes of Employees Towards Performance Appraisal System of Maldives Transport and Contracting Company. (2019, Mar 25). Retrieved from https://graduateway.com/6-0-connecting-the-literature-review/

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