Impact of Performance Appraisal on Employees productivity

Abstract

Performance appraisal falls within the wider human resource management practices focused on enhancing employee performance. Essentially, performance appraisal measures and evaluates employees’ behaviour, outcomes and development needs (Deepa, Palaniswamy & Kuppusamy, 2014), providing vital information for remuneration, provision of training and development opportunities and devising other motivational strategies. Despite the growing body of research on the topic of performance appraisal, the critical studies depicted in the academic debate (e.g. Culbertson, Henning & Payne, 2013) have highlighted the increasing level of employees’ dissatisfaction with performance appraisal systems which undermines their effects on employee productivity and organisational performance. As a result, this research stud focuses on a single case study organisation (Unilever Nigeria Plc) and utilises a quantitative survey (involving 33 employees) in order to critically evaluate the impacts of performance appraisal on employee productivity and organisational performance. The outcomes of the analysis encompassed in this study highlight the positive contribution of performance appraisal towards organisational goals. However, a number of practical recommendations for further enhancing the positive gains derived from performance appraisal are proposed for the management of Unilever Nigeria Plc.