Question: 1- Introduction Performance appraisal is a discussion and review of employees performance of giventasks and responsibilities globally. It is centred on results gotten by the
1- Introduction
Performance appraisal is a discussion and review of employees performance of giventasks and responsibilities globally. It is centred on results gotten by the employee in his/her job, not on the personality characteristics of the employee. Performance appraisal is an essential instrument for human resource management. It is a means for performance evaluation and also achieving performance enhancement among employees of an organization. As a management activity which increases the chances of achieving organizational goals, performance appraisal makes it compulsory for employees of an organization to know what is expected of them, and the indicators in which the overall productivity will be measured in order to make certain of staff progress, goal accomplishment, and organizational growth. Performance appraisal is a regular or systematic evaluation of the performance of an employee on his current job and also in relation to future jobs that he/she may be required to take up (Hartzell, 2006). It evaluates and measures the results of the performance of employees indicating their deficiencies and potentialities so that they can improve overtime. A decent appraisal system is very important to the supervision of employees in an organization. The success of the organization depends mainly on a decent appraisal system. When theres good appraisal system, those employees who contribute more will be effectively rewarded and they are likely to be promoted into positions of greater responsibilities (Stonner, Freeman & Gilbert, 2005). Therefore, for any appraisal system towork effectively, the employees must understand it, feel it as fair, and must be work oriented enough to care about the results (Habibu, 1992). One approach that would help foster this understanding is for the employees to contribute in the system designed and be trained to some extent in performance appraisal. The fundamental objective of performance appraisal is an organization is to increase the employees productivity. Therefore, performance evaluation provides adequate feedback on how employees are performing, by divulging them to knowledge and the result of their work; avenues for participating in the setting of tasks and goals; clear and attainable goals of the organization (Mullins, 1999). By undertaking these activities, it will lead to the improvement of employees performances, and thus higher productivity in the organization. Nigerian brewery plc is the largest brewing firm in the country. The company has a growing export business which covers global sales and marketing of their brands and dates back to 1986. NB plc offers sales, marketing and logistics support to make the brand shelf-ready in international markets, which includes world class outlets such as TESCO and ASDA stores. NB plc brands are available in over thirteen countries across the world. Nigerian breweries plc also partake in performance appraisal exercises. The degree to which performance appraisal activities have resulted to productivity of the company is the main focus of this research study.
2- Methods of Performance Appraisal
There are various approaches of performance appraisal that have been established by researchers. However, the study will further discuss few of the approaches. Ranking Methods: According to Wayne (1992) under performance appraisal method, top managers rank their subordinates in order of their value, starting from the best to the worst. The comparative position of each worker is expressed in terms of his numerical rank. Based on this appraisal, individuals are ranked from highest to lowest. It is presumed that the difference between the first and second employee is equal to difference between 21st and 22nd employee. In ranking method, the manager compares one person to another rather than work standards Management by Objectives Method: MBO is a method recognised by management guru Peter Drucker, to define a method of performance appraisal that is based on the setting of clear and measurable objectives, and the use of those objectives to appraise and review performance. MBO is considered as the best and fairest way to plan for and develop effectively performing employees when done correctly (Drucker, 1954). The principle behind Management by Objectives (MBO) is to make certain that everyone in the organization contributes in goals setting, must have a clear understanding of the aims and objectives of the organization, and must have the awareness of their own roles and responsibilities in achieving the organisations aims and objectives. To complete MBO method, managers and employees must act to implement and achieve their desired plans, which will help achieve those of the organization. MBA Strategy: Three basic parts All the employees within an organization are assigned to a distinct set of objectives that they try to reach during the usual operating period. These objectives are mutually set and agreed upon by managers and their employees (subordinates). Performance reviews are conducted occasionally in order to determine how employees are close to attaining their objectives. Rewards are given to employees on the basis of how close they come to meeting their goals. According to McNamara (2000) in MBO, employees and management work together to set goals with the determination of helping employees to achieve continuous development through a continuing process of goal setting, feedback and correction. As a result of their contribution, subordinates are more likely to be motivated in accomplishing the goals and to respond to criticism that arises from subsequent objective capacities of performance.
Employee Productivity
In the organizational setting, employee productivity is defined as the degree to which an employee of an organization contributes to achieving the goals of the organization (Greenberg, 1996). Mathias and John (2013) defined employee productivity as a measure of the quality and quantity of work done, considering the cost of the resources used. McNamara (2003) additionally states that results are always the final and specific outputs desired from the worker. Results are regularly stated as products or services for an internal or external customer. They may be in form of impact on a community, financial accomplishments, and so whose results are conveyed in terms of quality, quantity, time or cost. Employee productivity includes quality of output, quantity of output, presence at work and cooperativeness, timeliness of output (Bernardin, 2007). Employee productivity is simply understood as the related accomplishments expected of an employee and how well those accomplishments are executed
Hypotheses One H1
: There are effective compensation on employee productivity in Nigeria brewery plc. H0There are no effective compensation on employee productivity in Nigeria brewery plc.
According to above calculations it is observed that amount of correlation coefficient between employee productivity is equal to 53.6 per cent and considering that a significant level is less than 5%. Then we can say that there is a positive relationship between employee productivity and Nigeria brewery plc. This implies that one per cent increase in effective Nigeria brewery plc will lead to 53.6% increase in level of employee productivity.
Regression coefficient of R = .965 or 96.5% indicate that relationship exist between independent variables and dependent variable. The coefficient of determination R2 = 0.716 which show that 71.6% of variation in level of Nigeria brewery explained by effective employee productivity. The development adjusted R-square in the table shows that the dependent variable, (level developing economy) is affected by 58.6% by independent variable (effective employee productivity). It shows that effective employee productivity is responsible for Nigeria brewery plc.
The coefficient of determination for effective employee productivity is positive (1.056) and is highly significant (0.001) in ensuring level of performance. The p-value of 0.000 is less than the t-statistic value of 12.426 and the standard error value of 0.085. This implies that a unit increase in effective infrastructure failure will lead to 1.056 increases in level of performance. Therefore, the null hypothesis is rejected and alternative hypothesis accepted that there is a relationship between the effective employee productivity and Nigeria brewery plc.
Hypothesis two
H2There are significant relationship between performance appraisals and employees productivity in Nigeria brewery plc. H0:There are no significant relationship between performance appraisals and employees productivity in Nigeria brewery plc.
According to above calculations is observed that amount of correlation coefficient between performance appraisal and employee productivity is equal to 47.3 per cent and considering that a significant level is less than 5%. Then we can say that there is a positive relationship between performance appraisal and employee productivity. This implies that one per cent increase in performance appraisal will lead to 47.3% increase in employee performance in Nigeria brewery plc.
Regression coefficient of R = .773 or 77.3% indicate that relationship exist between independent variables and dependent variable. The coefficient of determination R2 = 0.624 which show that 62.4% of variation in improving the employee productivity is explained by appraisal performance. The adjusted R-square in the table shows that the dependent variable, (improving the employee productivity) is affected by 72.2% by independent variable (performance appraisal). It shows that there dare positive performances on improving the developing economy.
The coefficient of determination for performance appraisal is positive (1.319) and is highly significant (0.000) in improving the employee productivity. The p-value of 0.000 is less than the t-statistic value of 10.520 and the standard error value of 0.125. This implies that a unit increase in performance appraisal will lead to 1.319 increases in improving employee productivity. Therefore, the null hypothesis is rejected and alternative hypothesis that there are positive impacts of performance appraisal on improving the employee productivity.
3- Conclusion
From the research findings, the study decided that organizations should evaluate their employees frequently through accomplishments, organizational goals, utilized targets and time management as it would help increase employees productivity. From the research results, the study recommend that organizations should develop and implement performance appraisal methods to help provides opportunities to the organization by recognizing employees training needs, help workers on time management through proper planning, offer poor performers are chance to improve, help employees meet performance objectives, helps managers to make cognisant decisions about assignments and promotions based on appropriate facts and enhance synergies of employees. From the research results, the research study states that organizations should use the behavioural performance evaluation method as it was statistically important in impelling employees relationship through increased interpersonal relationships, team work and nurtured integration, reliability of the workers who may work without adequate supervision, adaptation of employees to changing environment and through individual staff improvement plan which help employees plan for their future career development. The study states that applying performance appraisal methods in order to recognise employees rewards and provides opportunity to establish individual development strategy, encourage the individual work achievement and planning of targets and making theorganization make conversant decisions on how to promote their employees. Lastly, theresearch study concludes that implementation of management by objectives as performance appraisal was statistically important in appraising employees performance.
Please summarize the above article in your own word. it has three part introduction, methodology and conclusion. summarize introduction in three line, methodology part in three line and conclusion in three line.
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