Impact Of Performance Appraisal On Productivity
(A Case Study Of Nigeria Breweries Plc 9th Mile Corner Enugu)
The concept of performance appraisal, a pivotal aspect of human resource management, significantly influences productivity within organizations. By systematically evaluating employees’ job performance against predetermined criteria, performance appraisal serves as a crucial mechanism for recognizing and rewarding high-performing individuals while identifying areas for improvement. Through constructive feedback and goal-setting, it fosters employee development, motivation, and engagement, consequently enhancing overall productivity. Moreover, transparent and fair appraisal processes promote a culture of accountability and meritocracy within the workforce, driving individuals to strive for excellence. However, the effectiveness of performance appraisal systems relies heavily on various factors, including the clarity of performance expectations, the frequency of evaluations, and the quality of feedback provided. Hence, organizations must continuously refine and adapt their appraisal practices to align with evolving business objectives and employee needs, thereby maximizing their impact on productivity in today’s dynamic work environment.
This study, the impact of performance appraised on productivity is geared towards examining the impact of performance appraisal on the productivity of employees in organization, with particular reference to NBL. In the course of this study, data were sourced from primary and secondary sources. It was discovered that participation of employees in appraisal exercise and the use of performance appraisal result, for things like promotion, reward and so on.
Title page
Approval
Dedication
Acknowledgement
Abstract
Table of Content
CHAPTER ONE
INTRODUCTION
1.0 Background of the study
1.1 Statement of the problem
1.2 Statement of the hypothesis
1.3 Purpose of the study
1.4 Significance of the study
1.5 Scope of the study
1.6 Limitation of study
1.7 Definition of terms
CHAPTER TWO
2.0 INTRODUCTION
2.1 The Concept of Performance Evaluation
2.2 Objective of Performance Evaluation
2.3 Benefits of performance evaluation
2.4 Pitfalls of performance evaluation
2.5 Techniques for revaluating employees
2.6 Performance mbo (management by objective)
2.7 Fundamentals For Successful Appraisal Programme
2.8 Performance appraisal rersus productivity
2.9 Historical background of case study (nbl)
Reference
CHAPTER THREE
RESEARCH METHODOLOGY
3.0 Introduction
3.1 Population and sample of the study
3.2 Sample size and technique
3.3 Source of data collection
3.4 Statistical tools used for data analysis
3.5 Editing and tabulation of data
CHAPTER FOUR:
DATA PRESENTATION AND ANALYSIS
4.0 Introduction
4.1 Data presentation and analysis
4.2 Test of hypothesis
CHAPTER FIVE:
SUMMARY CONCLUSION AND RECOMMENDATION
5.0 Introduction
5.1 Summary
5.2 Conclusion
5.3 Recommendation
Bibliography
Appendixes
INTRODUCTION
1.0 BACKGROUD OF THE STUDY
The principal purpose of acquiring human resources in any organization is to aid in the actualization of the organizational objectives.
However, productivity targets vary from reality or actual performance because of ranges of variables: Environment: Human: Technology, Organizational and so on. The task of management is o turn these variables which have constituted themselves as obstacles to productivity in opportunities for productivity. This is however a Herculean task, as it involves not just provision for remedies but the identification and definition of the reason for deviation.
Hence herald a tedious task of personnel managers in any organization.
Certain fundamental questions need to be asked.
– How do we acknowledge deviation?
– What should we focus on as fundamental in our assessment?
– When should we appraisal and how frequently should it be done?
– Is there any correlation between performance appraisal and productivity
– How do we appraise employees performance for maximum productivity?
These and many more questions keep on begging for attention and or solution, most personnel foundation are contingent upon performance appraisal. Performance appraisal helps to evaluate training needs, determine the equitability of compensation package, serve as basic of executing the maintenance and separating functions etc. yet the veritable positives of performance appraisal in personnel management function is being riddled or abused. The NBL and other organization in Nigeria have persistently shoe with rigor and vigor to effectively and efficiently utilized performance appraisal as an instrument or a basic ingredient for productivity.
In the cause of this research work san indebt analysis into performance appraisal productivity and other needed issues will extensively discussed.
1.1 STATEMENT OF PROBLEM
IN Nigeria most of the performance appraisal exercise/program are not well designed and focused. Management of organization tends to view it as a punitive measure. This makes it lose its objective sand focus, performance appraisal no longer seek to actualize its objective of correcting deviations, hence increasing productivity and jettison all hindrances that tends to hinder productivity. But it is being used as a tool for subordination oppression, victimization and exploitation.
Despite the veritable return at performance appraisal to much organization, the societal value system has subdued it objectivity and its attendant’s outcomes.
This makes most of our performance more subjective than objective.
However in the course of this research work, the lluanswered question will be answered: for eg
1. Is performance appraisal corrective or punitive measure
2. Should performance appraisal be subjected to the undue influence of our cultural, benefits and value systems?
3. Which of the option in (I) superintends towards increasing employees productivity.
1.2 PURPOSE OF THE STUDY
This research work is carried out to:
a. Investigate the performance appraisal technique adopted by NBL Enugu.
b. Correct performance appraisal and productivity in NBL
c. Examine the usefulness of performance appraisal programme
d. Investigate and analyze the various environmental variables affecting performance appraisal program.
e. To identity the pitfall associated with performance appraisal exercise and provide solutions to them
1.3 SIGNIFICANCE OF THE STUDY
This research work shall be of great benefit to the management of NBL as it will via its recommendation; proffer solutions which when applied will improve the role performance appraisal plays in, increasing productivity.
It is also beneficial to other firms in various industries as it will avails the opportunity to adequate understand, appreciated and utilize performance appraisal for the turnaround the organization for the better
This work is a fundamental requirement for the award of higher national diploma of business administration and management studies in the department of BAM, IMT.
It will also be of benefits to researcher who will want to carry out research work on similar or related topic.
1.4 SCOPE OF THE STUDY
This study title, the impact of performance appraisal on productivity shall concentrate on Nigeria Breweries (NBL)
1.5 LIMITATION OF THE STUDY
In the course of carrying out this project work the researcher encounter certain problems which tired to hinder the researcher from effectively achieving these objectives. Prominent among these problems are:
a. financial problem: The researcher was constraint by financial as it limited him from engaging on much journey for the collection of data
b. Time constraints: The researcher had very limited get busy schedule. This rind of wok ordinarily requires an ext4nsive study of the issue and cases.
c. Attitude of respondents: Some of the respondents where not ready to let go vital information as they felt they were letting go official secret. However all these constraints where not allowed to hinder the researcher for putting to gather this articulate piece.
1.6 DEFINITION OF TERMS
Human recourses: These are human beings used in the production process. They could still be called employees or provide of labour.
Compensation: This is the reward or payment gain to the provider of labour. A labourer disserves his wages. Compensation could also be retired to as remuneration.
Separation: This is a process whereby an employee is returned to the wider society from where he was taken from, probably as a result of old age, non-performance or misconduct
Job evaluation: This is the systematic method of appraising the work of each job in relation to other jobs in the organization.
Equity: This means fairness and justice.
Effectiveness: This simply means doing the right thing.
Efficiency: This means doing the right thing well
Evaluation: This involves easement ie comparing stated standard with desired performance.
Impact Of Performance Appraisal On Productivity:
Performance appraisal can have a significant impact on productivity within an organization. When implemented effectively, performance appraisal systems can improve employee performance, motivation, and overall productivity. Here are some ways in which performance appraisal can influence productivity:
Feedback and Goal Setting: Performance appraisals provide employees with feedback on their performance, highlighting their strengths and areas that need improvement. This feedback helps employees understand their role better and set clear goals for improvement, which can lead to increased productivity as employees work towards achieving those goals.
Motivation: Knowing that their performance is being evaluated and that there are rewards and consequences tied to it can motivate employees to perform at their best. This motivation can translate into higher productivity as employees strive to meet or exceed expectations.
Skill Development: Performance appraisals often identify areas where employees need further training or development. When employees receive the necessary training and support to improve their skills, they become more competent in their roles, which can result in increased productivity.
Recognition and Rewards: Many performance appraisal systems include rewards or recognition for outstanding performance. This can be in the form of salary increases, bonuses, promotions, or simply public acknowledgment of a job well done. Such incentives can inspire employees to work harder and smarter, thereby boosting productivity.
Alignment with Organizational Goals: Performance appraisals can help ensure that individual and team goals are aligned with the organization’s broader objectives. When employees understand how their work contributes to the overall success of the company, they are more likely to be engaged and productive.
Accountability: Performance appraisals establish a level of accountability for employees. When they know that their performance is being evaluated regularly, they are more likely to take their responsibilities seriously and strive for consistent performance, which can lead to higher productivity.
Feedback Loop: Regular performance appraisals create a feedback loop where employees and managers can have open and constructive discussions about performance issues. This ongoing communication can help identify and address obstacles to productivity and find solutions to challenges.
Identifying and Addressing Issues: Performance appraisals can reveal systemic issues within the organization that may be hindering productivity. Managers can use the feedback and data gathered during appraisals to identify and address these issues, ultimately improving overall productivity.
However, it’s important to note that the impact of performance appraisal on productivity can vary depending on how the system is designed and implemented. When done poorly or infrequently, performance appraisals can have negative consequences, such as demotivation, resentment, and decreased productivity. Therefore, organizations should invest in creating a fair, transparent, and consistent performance appraisal process to maximize its positive impact on productivity. Additionally, it’s crucial to recognize that performance appraisal should be just one component of a broader approach to managing and improving employee performance.