There is no doubt that performance appraisals not only form major steps in career development of many an employee but also an essential tool in motivating employees. Andrew (2005) argues that effective appraisals play a vital role in building a committed and motivated workforce. On the other hand, poorly planned and administered appraisals lead to diminished levels of employee performance.
Background to the study
The increased desires to deliver good results have forced many leaders and management officials to commit themselves into becoming profitable resources to their organizations (Appelbaum, Michel, and Gilliland, 2011). Many a leader aim at delivering high performance outcomes to their organizations, and achieving such an objective cannot be realized without help from other employees. However, it is highly unlikely that employees within an organization can deliver uniform results due to a plethora of surrounding factors that influence employee performance. As such, these leaders are forced to implement diverse ways of motivating and getting employees to commit themselves to delivering good results (Appelbaum, Michel, and Gilliland, 2011; David and Stephen, 2006). Performance appraisal is one of the ways that managers implement to increase employees productivity. This study will contribute in adding information concerning the effects of performance appraisals on the performance of employees.
Statement of the problem
Researchers have conducted several studies concerning performance appraisals and its benefits to the organization. Many literatures on performance appraisals have concentrated in identifying problems associated with appraisal systems but few have researched the effects of both poor and effective performance appraisals on employee performance (Davis, 2011). Conducting a research study on the topic under study is emphatically crucial because the effects of performance appraisals form a subject of debate in current discussions. Besides, many organizations have implemented performance appraisal programs and hence, findings from this research will provide practical implications to such organizations in addition to extending the existing knowledge on performance appraisals.
Purpose and rationale
This paper aims to identify the negative and positive effects of performance appraisals on employee performance. For this reason, the researcher will undertake a control experiment that will seek to bring out the effects of poor performance appraisals. The specific objectives for this study would be:
Develop and confirm the component structure of performance appraisals based on the type of performance appraisal on employee performance
Provide valid evidence to show that performance appraisals affect more than just employee performance
Provide additional knowledge to the existing knowledge on performance appraisal
Establish the effects of positive or negative appraisals on employee performance
Research question and hypothesis
A research of the nature being proposed in this study needs well-formulated research questions to guide the researcher to stick within specific limits of the topic under research. The research questions are also critical in helping the researcher to narrow down the topic under research. Based on the research aims and objectives, this study is based on the major research question of identifying the effects of performance appraisal on the performance of employees. However, the research question will be broken down into the following sub questions;
What are the effects of performance appraisals to an organization
Do performance appraisals affect the performance of employees? If so, do negative or positive performance appraisals deliver similar results?
However, in order to develop answers to the above research question, a specific hypothesis is required. Based on the research, the following hypothesis has been selected for this study.
The study will test the null hypothesis that performance appraisals improve the performance of employees.
The research experiment will involve subjecting the participants to a typing test contest. However, a control experiment will be set up whereby, irrespective of participants’ success in the test, the overall remarks will be poor performance. The consequences will be that such participants would have to redo the test.
Definition of terms
Performance Appraisal – refers to the process of influencing the intrinsic and extrinsic commitment and motivation of employees (Prowse, and Prowse, 2009). It is aimed at increasing the understanding and perception of employees when performing certain tasks.
Employee Performance- the rate of outcome expected from tasks assigned to employees (Prowse, and Prowse, 2009). It affects the productivity of the entire organization and every manager hope to increase the employee performance in order to achieve the objectives and goals of the organization (Prowse, and Prowse, 2009).
Summary of the chapter
This study limits itself to evaluating the effects of performance appraisal on employee performance. This chapter presents an introduction into the importance of performance appraisals to organizations. The study gives a detailed background of the topic under research by citing reasons why leaders and managers of several organizations decide to pursue performance appraisals as ways of improving the performance of their employees. The statement of the problem presents the practical implications of this study. In order to limit itself to specific research variables, this study has identified research aims and objectives, research questions, and research hypothesis, all of which are streamlined within the scope of this study. Finally yet important, the chapter concludes by giving definition of key terms as used in the study.
Andrew, M. (2005). The Role of Positive Psychology in Enhancing Satisfaction, Motivation, and Productivity in the Workplace. Journal of Organizational Behavior, Vol. 24(1/2): 113-133
Appelbaum, S., Michel R., and Gilliland, T. (2011). "Globalization of performance
appraisals: theory and applications", Management Decision, 49 (4):
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David, W. and Stephen, F. (2006). Morale and Workplace Performance. Workplace Occupations, Vol. 33(3): 335-361
Davis, P.J (2011),"Seven biggest problems with performance appraisals: and seven
development approaches to rectify them", Development and Learning in
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