, PhD, Associate Professor, Department of Management Studies, Adigrat University, Ethiopia
, MBA, PG Researcher, Department of Management Studies, Adigrat University, Ethiopia
, M.A. (Development Studies), Assistant Professor, Department of Management Studies, Adigrat University, Ethiopia
, Assistant Professor, Department of Management Studies, SRM University, India
PURPOSE & AIM: In Ethiopian Context, the modern Performance Appraisal practices and its implementation are still in its nascent stage, and there exists a gap in understanding the mechanism of performance appraisal processes in the case of Ethiopia’s public sector organizations, which employs a significant proportion of the working population. The study was conducted to assess performance appraisal practices and challenges in the public sector, specifically the Case of Adigrat town, Ethiopia and also reexamine the fundamentals of Performance Appraisal from Literature review.
METHODOLOGY: The study used both primary and secondary data sources. Cross-sectional survey was used and 174 respondents were taken as a sample from a total population of 1213 comprising 19 public sector organization and from each organization, proportionate sampling technique was applied. The questionnaire mainly used 5-point Likert scale items and it was distributed to the employees of public sector organization on the basis of simple random sampling. The collected data through questionnaire were analyzed using statistical techniques such as frequencies, mean, standard deviation and ANOVA.
FINDINGS & CONCLUSION: Majority of employees are evaluated with same criteria, and it becomes difficult to know individual’s performance regarding their knowledge, skill and other aspects as they differ in weightage because of varied job duties and responsibilities. There exists carelessness in hearing and addressing employees’ problem regarding performance appraisal and evaluation standard is not revised by the responsible authority. Performance appraisal is biased because of partiality by supervisors, also team coordinators lack proper training in assessing and giving feedback.
The major performance appraisal challenges raised from interviewees are, not having computer skill, no consistent training for appraiser and appraisee, subjective criteria’s (attitude), self-evaluating by two weeks’ culture in giving performance results etc. Based on the findings it is inferred that the performance appraisal process is at a moderate level, employees are well aware of the criterions for performance appraisal, implementation of performance appraisal methods is not at the desired level. Therefore, it is recommended that the public sector should improve its performance appraisal practices to ensure the availability of efficient and effective employees in all organizations, especially in the Case of Ethiopia (Adigrat).
Keywords: performance appraisal, methods, criteria, challenges, public sector.
JEL Classification: M51, L32.
Cite as: Balaraman, P., Gebre, T., Berhe, G., Priya, K. (2018). Performance Appraisal Fundamentals, Practices and Challenges in Public Sector: Case of Adigrat Town, Ethiopia. Business Ethics and Leadership, 2(4), 18-34. http://doi.org/10.21272/bel.2(4).18-34.2018.
- Adeba, H. (2014). Practices and challenges of employee’s performance appraisal in the Ministry of Culture and Tourism of Ethiopia. International Journal of Academic Research, ISSN: 2348-766, 1(2/2), July- September, 2014. Adds Ababa University, Ethiopia.
- Aguinis, H. (2009). An expanded view of performance management in J. w. Smither& M. London (ed.), performance: putting research into practice (pp. 1-43). San Francisco: Wiley.
- Ambani, K.M. (2016). Effect of Employee Involvement on Job Performance: at the Kenya Medical Research Institute (Centre for global health research) Kisumu.
- Aquinas, P.G. (2006). Human resource management: principles and practices. New Delhi: vikas publishing house.
- Armstrong, M. (2009). Handbook of performance management an evidence-based guide to delivering high performance, 4th edition, London Kogan page limited.
- Arup, S. (2008). A critical analysis of performance appraisal system for teachers in public sector university of Pakistan: case study of the Islamia University of Bahawalpur (IUB). African journal of business management, 5(9), 3735-3744.
- Asrat, A. (2016). Assessment of human resource management practices towards organizational performance: in the case of Addis Ababa university.
- Aswathappa, A. (2002). Human Resource and personnel management: Text and Cases, 3rd edition, Tata McGraw-Hill Publishing Company Limited, New Delhi, pp. 199-231.
- Bibhuti, Bhusan and Mahapatro, (2010). Human resource management: New Delhi, new age international private limited, publisher.
- Buford and Linder, (2002). Human resource management in local government: concepts and applications for HRM students and practitioners.
- Chepkemoi, N. (2013). Education for Sustainable Development for Deputies, Deans and HODs of Teachers Training Colleges-Kenya Education Management institute, Nairobi.
- Creswell, J.W. (2003). Research design: A qualitative, quantitative, and mixed method approach (2nd Ed.). Thousand oaks, CA: Sage.
- Daoanis, L.E. (2012). Performance appraisal system: it’s implication to employee performance: International journal of economics and management science, 2(3), 55-62.
- Decenzo, D. & Robbins, S. (2005). Fundamentals of human resource management (8thed.) USA: von Hoffmann press.
- Dewakar, G. (2009). Human resource management: Delhi, pp. 26-60.
- Ikramullah, Shah, B., Hassan, F.S.U., Zaman (2012). Purpose of performance appraisal system: A perceptual study of civil servants in district dera Ismail khan Pakistan. International Journal of Business and management, 7(3), 142-151. http://dx. Doi org /10.5539/ijbm.v7n3p142.
- Ivancevich, J.M. (2004). Human resource management (9th ed.). McGraw-publisher: Boston.
- Jafari, M., Bourouni, A., Amiri, R. (2009). A New Framework For Selection of the Best performance appraisal Method. European Journal of Social Sciences, 7(3), 92-100.
- John, S. (2011). The top 50 challenges with performance appraisal. Available at: www.tlnt. Com.
- Johnston, A. (2010). Sampling hard-to-reach population with respondent driven sampling: Methodological innovation online, 5(2), 38-48.
- Kothari, C.R. (2004). Research Methodology, Methods and Techniques. 2nd Edition, pp. 86. New Age International Publishers, New Delhi.
- Kokemuller, N. (2012). The pros & cons of performance appraisal methods. Available at: http://smallbusiness.chrom.com/pros-cons-performance-appraisal-methods-39497.html.
- Lotich, P. (2014). Advantages and disadvantages of performance appraisals. Available at: http://thethriviingsmallbusiness.com/advantages and-disadvantages –of-performance –appraisal/.
- Mamoria, C. & Rao, V. (2012). Personnel management (13th ed.). Mumbai: Himalaya management, 16(1), 76-81.
- Marczyk, G. and Dematteo, D. (2005). Essentials of research design and methodology. Published by John Wiley, New Jersey.
- Mulugeta, H. (2013). Employee’s performance evaluation practices and challenges at Zemen bank: St. Mary’s university college.
- Ngwenya, V. (2010). Managing parental involvement with education in Zimbabwe. Ph dissertation education management, University of South Africa, November 2010.
- Paul, R. N. (2014). Balanced scorecard evolution, dynamic approach to strategy execution: John Wiley and sons, Inc, Canada.
- Raymond, A. Noe. (2011). Fundamentals of human resource management, Newyork: McGraw–Hill Companies Inc.
- Rao, C.M. (2012). Personnel management: 30th edition Himalaya publishing house.
- Saqib, Khan, M., Ahmed, M., & Ullah, I. (2012). A brief Review of Performance Appraisal Practices and its Implementation at Government Offices in Pakistan. Interdisciplinary journal of contemporary research in business, 3(10), 1057-1060.
- Seidu, P. A. (2012). Employees’ Perception of Performance Appraisal System: A Case Study. International Journal of Business and Management, 7(2), 73-88.
- Tilahun, G., & Yimam, T. (2014). Is the Role of Teachers Performance in Ethiopia Rhetoric or Reality? Convergence between Knowledge and Implementation and Findings Solutions from the Process. Ethiopian Journal of Education and Sciences, 10(1), 89. Accessed (1st Oct 2018) from: https://www.ajol.info/index.php/ejesc/article/viewFile/120593/110043.
- Yamane, T. (1967). Statistics: An Introductory Analysis, 2nd Edition. New York: Harper and Row.
- Yong, A. K. (1996). Malaysian Human Resource Management: Kuala Limper: Malaysian institute of management.
- Zikgmund, W.G., Barry, J., Babine, J.C. and Carr, M.G. (2004). Business research methods, 9th edition, New York: The Dryden press.
- Zona, F., Minoja, M., & Coda, V. (2013). Antecedents of Corporate Scandals: CEOs’ Personal Traits, Stakeholders’ Cohesion, Managerial Fraud, and Imbalanced Corporate Strategy. Journal of Business Ethics, 113(2), 265–283. https://doi.org/10.1007/s10551-012-1294-6.