ABSTRACT
While the concept of performance appraisal is not new,
the study of employee perception of the concept is still going on. The way employees perceives performances
appraisal affects the importance that is attached to it. Many managers see the performance appraisal
process as an administrative rite that consumes a lot of time, while producing little
more than frustration, confrontation, and piles of paperwork.
This research work provides an assessment of the impact
of performance appraisal on production and productivity taking a case study of
First Bite Limited. The purpose of this research work is to help change the
perception of employees from seeing performance appraisal as management
confrontation activity targeted as generating frustration among employees but
to see performance appraisal as tool to be applied for the attainment of
organizational goals. Respondents were selected from the staff of Tantalizer
outlets of FirstBite Nigeria Limited in the Ikeja environs of Lagos.
TABLE OF
CONTENTS
CHAPTER ONE
Introduction
1.0
Background of the
Study
1.1 Profile of First Bite Ltd
1.2 Statement of the Problem
1.3 Significance of the Study
1.4 Research Hypothesis
1.5 Research Questions
1.6 Method of Data Collections
1.6.1 Population and Sample Selection
1.6.2 Sample
1.6.3 Data Collection Instrument
1.6.4 Validation of the Instrument
1.6.5 Reliability of the Instrument
1.7 Method of Data Analysis
1.8 Scope and Limitation of the Study
1.9 Brief History of First Bite Nigeria Ltd
References
CHAPTER TWO
Literature Review
2.1 Introduction
2.2 Productivity Principles
2.2.1 Labour productivity and multi-factor
productivity
2.2.2 Productivity and National Growth
2.2.3 Sources of productivity growth
2.3 Historical Perspectives of Performance
Appraisal
2.3.1 The Need for suitable Performance Appraisal
2.4 Performance Appraisal Framework
2.4.1 Performance Appraisal Methods
2.4.1.1 Absolute Standards
2.4.1.2 Relative Standards
2.4.1.3 Objectives Approach
2.4.2 The 360 Degree feedback Appraisal
2.4.4 The Comparison of Performance Appraisal
Methods
2.4.5 Potential Rating Scale Appraisal
Errors/Problems
2.5 Determinants of Job Performance
References
CHAPTER THREE
Research Methodology
3.1 Introduction
3.2 Research Design
3.3 Population
3.4 Sampling and sampling technique
3.5 Data Collection Instruments
3.6 Validity of the Instrument
3.7 Reliability of the Instrument
3.8 Hypothesis Testing
3.9 Decision Rule
References
CHAPTER FOUR
Data Interpretation, Analysis and Discussion of Findings
4.1 Introduction
4.2 Presentation and Analysis of Data
4.3 Chi Square Test
CHAPTER FIVE
Summary, Conclusion and Recommendations
5.0 Introduction
5.1 Summary
5.2 Conclusions
5.3 Recommendations
BIBLIOGRAPHY
Appendix
1: Questionnaire
CHAPTER ONE
INTRODUCTION
1.0 Background of the Study
Production, in economics, is the act supplying a desired
output. The act may or may not include factors of production other than labour.
Any effort directed toward the realization of a desired product or service is a
"productive" effort and the performance of such act is production;
Saari, S. (2006).
According to Berglass, Anthony (2008), productivity is a
measure of output from a production process, per unit of input. For example,
labour productivity may be conceived of as a metric of the technical or
engineering efficiency of production. As such, the emphasis is on quantitative
metrics of input, and sometime output. Sumanth, D. (1979) maintains that
productivity is distinct from metrics of allocative efficiency, which take into
account the monetary value (price) of what is produced and the cost of inputs
used, ad also distinct from metrics of profitability, which address the difference
between the revenues obtained from output and the expense associated with
consumption of inputs.
A performance appraisal, otherwise called employee
appraisal, performance review, or (career) development discussion is a method
by which the job performance of an employee is evaluated (generally in terms of
quality, quantity, cost, and time) typical by the corresponding manager or
supervisor; Kendirick, J.W. (1984). According to Ayaz Khan (2001), performance
appraisal is the periodic evaluation of an employee's performance measured
against the job's stated or presumed ' requirements.
Martey, (2002) sees performance appraisal as analysis of
an employee's recent successes and failures, personal strengths and weaknesses,
and suitability for promotion or further training. It is also the judgment of
an employee's performance in a job based on consideration other than
productivity alone. A performance appraisal is a part of guiding and managing
career development. It is the process of
obtaining, analyzing, and recording information about the relative worth of an
employee to the organization. The term "performance appraisal"
applies to judgment on individual job performance. Individual job performance
on the other hand is a multidimensional idea consisting of many facts; which
range from an employee's output (job result) to employee mode of accomplishing
his or her task (job behavior), and the employee’ attitude towards his or her
job (personal traits).
A common approach to assessing performance is use numerical
or scalar rating system whereby managers are asked to score an individual
against a number of objective/attributes.
In some companies, employees
1.2 Statement
of the Problem
While the concept of performance appraisal is not new,
the study of employee perception of the concept is still going on. Wallace & Szilagyi (1982). Mullins (1996) defines perception as "the
mental function of giving significance to stimuli. People see things in
different ways bringing about different reactions to the same issue. The way
employees perceive performance appraisal affects the importance that is
attached to it. Freeman, J. (2002)
asserted that many managers see the performance appraisal process as an
administrative rite that consumes a lot of time, while producing little more
than frustration, confrontation, and piles of paperwork.
This reaction is totally understandable if the company is
relying on a performance appraisal system that has fallen woefully out of date.
Grifell- Tatje, E and Marques - Gou, P. (2008) posited that the performance
appraisal process can play a remarkably powerful role in building employees, as
well as their performance and productivity - when it's done right.
1.3 Significance
of the Study
The Significance of the study is mostly two-prong and
they are as follows:
1. The study will help change the perception
of employees from seeing performance appraisal as management confrontation
activity targeted as generating frustration among employees.
2. The study will also help managers to see
performance appraisal as a tool to be applied for the attainment of
organizational goal instead of managers see the performance appraisal process
as' an administrative rite that consumes a lot of time just adding to the work
load, producing little or not results but more piles of paperwork.
1.4 Research
Questions
The questions that will be asked In the course of this research are the following:
1. Is performance appraisal seen by staff as
a management tool used in favouring a few people on the job?
2. Is performance appraisal seen by staff as
a management tool for improving performance?
3. Is there
significant relationship between training and productivity?
4. Are employee departments better equipped t
organize productivity-oriented performance appraisals than the personnel
department?
5. Do employee departments lack the
necessary administrative skills for conducting productivity oriented
performance appraisal on their star?
6. Is there significant relationship between
performance appraisal and productivity.
7. Does
appraisal of performance provide opportunity for training?
1.5 Research Hypothesis
The hypothesis that will be tested this study are the
following:
Hypothesis 1
Null Hypothesis, H0: There is no significant relationship between
training and productivity.
Alternative Hypothesis, H1: There is significance
relationship between training and productivity.
Hypothesis 2
Null Hypothesis, H0: Employee departments are better
equipped to organize productivity-oriented performance appraisals than
personnel department.
Alternative Hypotheses, Hi: Employee departments are no
better equipped to organize productivity-oriented performance appraisals than
personnel department.
Hypothesis 3
Null Hypothesis, H0: Employee departments lack the
necessary administrative skills for conducting productivity-oriented
performance appraisal on department staff.
Alternative Hypothesis, H1: Employee departments have the
necessary administrative skills for conducting productivity-oriented
performance appraisal on department staff.
Hypothesis 4
Null Hypothesis, H0: There is no significant relationship
between performance appraisal and productivity.
Alternative Hypothesis, H1: There is significant
relationship between performance appraisal and productivity.
Hypothesis 5
Null Hypothesis, H0: The appraisal of performance'
provides opportunity for training.
Alternative Hypothesis, H1: The appraisal of performance
does not provide opportunity for training.
1.6 Method of Data Collection
1.6.1 Research Method
The study followed a quantitative research model using an
explorative and descriptive design. The survey method of this study used a
non-experimental approach where a group of people are investigated in order to
gain insight into the subject of study. The exploratory design allows the use
of questionnaire distributed. This will anonymity and solicit more honest
responses.
1.6.1 Population and sample Selection
The population for the study comprises all staff of
FirstBite Nigeria Limited in Ikeja part Lagos.
1.6.2.2 Sample
The sample was a random selection staff of FirstBite
Nigeria Limited and their Tantalizer outlets in Ikeja part of Lagos. The other
parts of Lagos were excluded because of practical reasons mainly pertaining to
cost constraints for hiring data collectors to reach the other parts.
1.6.3 Data Collection Instrument
A structured self-administered questionnaire was designed
for collecting and recording data. The questionnaire consisted of close-ended
multiple choice questions as well as five point likert-type questions for data
collection. Response to each item in the
questionnaire was indicated by ticking one of the options either in the
multi-choice or in the likert-type questions. The five categories in the
likert-type questions ranged from strongly disagree, disagree, uncertain, agree
to strongly agree. The categories will be coded as 1, 2, 3, 4, and 5
respectively. The questionnaire was administered by the investigator and also
retrieved by the investigator. 100 questionnaire were be administered.
1.6.4 Validation of the Instrument
Content Validity of the instrument was ensured by
including all the key concepts relevant to the investigation. The questions
were formulated according to components of objectives of the study.
1.6.5 Reliability of the Instrument
In ensuring reliability, the questionnaire were
structured in a manner that will attract the same responses if administered by
another researcher. The questions were formulated to also ensure simplicity,
conciseness and to attract lucid responses.
1.7 Method
of Data Analysis
The data collected from the survey were analyzed through
descriptive statistics of frequency and percentage. Chi-square (X2) was applied to test the
hypotheses. The descriptive statistics n the various categories (sections)
enable the investigator to stipulate the exact number in the various
categories.
1.8 Scope
and Limitation of the Study
Owing to the vast size of the banking sector and the
boundless nature of the subject of performance appraisal and productivity as a
management science, this research would not be exhaustive. The scope of the
study would be limited to personnel of First Bite Nigeria Ltd - Tantalizer
outlets in Ikeja, Lagos.
Current Research is Limited by the fact that, for
competition purposes, it is rather unlikely for companies to provide data on
their internal operations. Other limitations include time, logistics and
financial constraints.
Caution will be taken during the design of the
questionnaire to ensure that the questionnaire items are clear unambiguous and
elicit the intended data. According to
Polit and Hunger (1989); Babbie (2005), virtually all research studies contain
some flaws.
1.9 Brief
History of First Bite Nigeria Ltd
First Bite Limited are the owners of Tantalizer eatery
outlets - a leading fast food company established in May 1997 with a promise to
deliver full value for money to an increasingly discerning target audience. As
one of the foremost fast food companies in Nigeria, Tantalizers has over the
years set and maintained high quality and excellent service standards in its
line of business.
Tantalizers' journey started on 1st May, 1997
with the opening of its first outlet in Festac town of 21 Road. Tantalizers
currently has 39 outlets spread across Lagos, Abuja, Ibadan, Port Harcourt and
Abeokuta and Staff strength of about 1, 800 with a high level of customers,
employees and all other stake holders”.
The mission statement is "to provide high quality
meals at affordable prices in a cheerful environment, while motivating employee
to render quality service that will delight customers"
From this imperative, this study will assess the impact
of training and development on employee's productivity taking a case study of
first Bite Limited.
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