INTRODUCTION

Performance appraisal is a widely discussed concept in the field of performance management. The importance accorded to performance appraisal systems in part arises from the nature of the current business environment, which is marked by the need to achieve organisational goals as well as remain relevant in intensely competitive markets through superior employee performance (Chen and Eldridge, 2012). Within this context, various studies suggest that organisations can hardly control the behaviour of their employees (Attorney, 2007). The organisations can however control how employees perform their jobs. In addition, performance management research shows that a significant number of employees tend to have the desire to perform their jobs well as part of their individual goals as well as a demonstration of loyalty towards the organisation (Wright & Cheung, 2007). Arguably, the key to ensuring that employees perform well lies in the ability to provide them with the right working environment. Such an environment generally includes fair treatment, offering of support, effective communication and collaboration. According to Maley (2013) these are the very qualities that are created by an effective performance appraisal system. While focusing on performance appraisal as a motivational tool, studies in this field strongly suggest that performance appraisal systems can be used to enhance motivation (Chen & Eldridge, 2010; Appelbaum et al., 2011). However, the link between performance appraisal and employee motivation has often been studied in a traditional or general manner and hence the relationship tends to be blurred in nature. The traditional use of performance appraisal has for instance been criticised for the reward of win-lose results as opposed to win-win results in which the system promotes supportive and cooperative behaviour (Rowland & Hall, 2012). Despite the above shortcomings in approaches to performance appraisal, extant literature on performance management still indicates that performance appraisal when undertaken in the right manner can contribute significantly to employee motivation (Tuytens & Devos, 2012). When undertaken in the absence of clear goals, performance appraisal can however have serious ramifications in terms of employee dissatisfaction and consequently a reduction in productivity and organisational commitment (Maley, 2013). On the positive side, it has been argued that performance appraisal provides an important avenue to recognise employees work efforts. Recognition in this case has for long been considered as a key employee incentive. Its importance is underscored by Samarakone (2010) who indicates that human beings in a number of instances prefer negative recognition as opposed to no recognition at all.

METHODOLOGY

The current study adopts a mixed methods research design which implies that both quantitative and qualitative methods are applied in the collection of primary data from the case study organisation. A positivist research paradigm is used to help gather knowledge based on reality and hence the ability to confirm or reject the study hypothesis. Notably, the study surveys employees at Shines Communication and interviews the HR manager to help uncover performance appraisal and motivation issues in the organisation.

Data Collection Instruments

In line with the mixed methods research adopted in the current study, an interview protocol and questionnaire were used as the main data collection instruments. The interview protocol was targeted towards the companys (Shine Communication) HR manager. In order to obtain detailed responses on the firms performance appraisal and employee motivation practices a semistructured interview was used. In addition, the interview protocol comprised of questions relating to each of the studys objectives. The questionnaire was on the other hand targeted towards the companys employees. It was divided into 2 sections. In the first section, the researcher posed several questions on the employees demographic information. The second section was further subdivided into 4 subsections each posing a set of questions in relation to each of the studys research objectives as shown in table 3.1. Notably, closed ended questions were used to find out the attitude and opinions on various aspects of PAS and employee motivation. Closed ended questions that made use of a likert scale were also preferred due to their ease of analysis (Hague, 2004).

Data Analysis

The data collected during the study was analysed through the use of different analysis techniques. In the case of qualitative data, content analysis was used. This involves the identification of relevant themes based on the study objectives (Gerring, 2007). Quantitative data was on the other hand analysed statistical through the use of statistical packages namely Microsoft Excel and Statistical Package for Social Science (SPSS) 20. Using these tools, measures of central tendency such as median and mean were obtained to help establish the link between the studys variables. The findings were then analysed in relation to the theoretical framework developed in the second chapter of the study.

Reliability and Validity

Research validity relates to the extent to which the study measures the aspects that were intended to be measured (Yin, 2003). In order to ensure validity, the survey questionnaire and interview protocol were discussed with colleagues. All necessary changes were then made hence increasing the chances of collecting relevant data. Reliability entails the ability to ensure consistency of the research findings over time (Yin, 2003). In other words, a reliable study is one that similar results can be reproduced when the same methodologies are used. In order to ensure reliability all questions in the research instruments were set with the research objectives in mind as well as researcher bias limited.

FINDINGS AND CONCLUSIONS

The first aim of the study concerns the analysis of the types of performance appraisal techniques and motivation and their effectiveness. From the interview conducted with the organisations HR manager, several performance analysis systems are used. These include the multi-rater/360 degree system, behavioural anchored rating scale and graphical rating scale. In terms of effectiveness, the study finds that the 360 degree performance appraisal system is quite effective in offering a comprehensive analysis of the employees performance at Shine Communications. This is consistent with the reviewed literature, which underscores that 360- degree appraisal helps assess an employees performance from different angles and is therefore reflective of the employees actual performance (Sahoo & Mishra, 2012). In the case of graphical rating scale, the literature reviewed suggests that this traditional appraisal system tends to overlook a number of employee traits due to its standardised nature (Armstrong, 2009). The study findings however indicate that such as a scale still performs a useful role especially in work tasks that are based on explicit goals and quantifiable in nature. In regards to types of motivation, it is evident that the Shine Communication makes use of both extrinsic and intrinsic motivation. The resultant high satisfaction with these types of motivation as evident from the survey helps validate the wisdom of the Herbzergs hygiene theory of motivation, which suggests that combining intrinsic and extrinsic motivation factors can have a positive impact on employee performance (Huang et al., 2011). In terms of the factors affecting the level of motivation, the study findings indicate that the study respondents had mixed attitudes on the effect of rewards and recognition. The mixed responses in this case can it part be explained through the help of Maslows hierarchy theory, which suggests that employees experience different classes of needs with varying degrees of strength at any given time (Saeednia, 2011).

Overall, the study findings in regards to the first research question indicate that a cumulative total of 78% of the employees were satisfied with the existing PAS at the organisation. It can therefore be concluded that the use of a variety of performance appraisal techniques and motivation yields greater satisfaction when compared to a single techniques or type of motivation. This further confirms that different types of appraisals and motivation have different outcomes on employee motivation. The study findings also point out to rewards as the most statistically significant factor influencing satisfaction with existing PAS. In the studys investigation into the ways in which performance appraisal influences employee motivation. Five main ways were in this context identified. They include the linking of PA to rewards and incentives; use of PA to assess employees ability to meet set objectives; use of job description as performance benchmarks; use of PA to help identify employees strength and weaknesses; and use of PA as a promotional tool. Based on data analysis, each of these uses of performance appraisal contributes positively to employee motivation. The above findings are largely consistent with the literature reviewed in the study. Kominis and Emmanuel (2007) for instance consider promotions and pay for performance as one of the most effective ways of rewarding and motivating employees. Long and Shields (2010) also consider rewards and recognition based on achieved job description goals as one of the ways that help trigger innovative behaviour as an outcome of motivation. In addition, the use of performance appraisals to identify employee strengthens and weaknesses is considered as an effective way of motivating employees through supervisory support (Jong et al., 2009). Notably, the statistical analysis shows that use of performance appraisal for identifying employee strengths and weaknesses as well as a basis for employee promotion are the most statistically significant factors that influence employee motivation. It can therefore be concluded that the organisation should focus on the two aspects to help improve motivation. Overall, the positive impact of the five identified roles in improving employee motivation helps confirm that a positive relationship exists between performance appraisal and employee motivation. Performance appraisal systems should be designed in such a way that they create perceptions of fair treatment relative to other employees as well as the employees own expectations. This can contribute significantly towards positive attitudes, which have been shown in this study to be a significant determinant of employees level of motivation and consequently work performance. The study also shows that employees differ in their preference for rewards following a performance appraisal. Organisations should therefore adapt a more personal approach in linking performance appraisal results to rewards and incentives. This could contribute significantly towards boosting of employee motivation as a result of improved levels of satisfaction.

this article has three parts (introduction, methodology and conclusion) please summarize in your own word. introduction in 3 line , methodology in 3 line and conclusion in 3 line.