Employees’ Attitude towards Performance Appraisal System and Its Components in Bank of Abyssinya
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Date
2007-08
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Addis Ababa University
Abstract
Employee performance appraisal is one of the most commonly used management tools in
organizations irrespective of their type, size and objective. Performance appraisal is one of
the most widely researched areas in industrial/organizational psychology. However, the
traditional research agenda has done little to improve the usefulness of performance appraisal
as a managerial tool.
Recent research has moved away from studies of rater accuracy and rating instruments to
themes of employee reactions towards performance appraisal as indicators of system
satisfaction and efficiency. Employee attitude towards performance appraisal has been studied
as a significant factor in employee acceptance and satisfaction of performance appraisal.
This study investigated the attitude and reactions of employees towards the overall
performance appraisal system as well as its major component parts such as standard setting,
appraisal instrument, feedback, and appeal procedure in Bank of Abyssinia.
Data were obtained via a questionnaire from 75 participants in the head office and four
branches of the bank. An interview was also made with some 10 key personnel of the bank
particularly with employees working in Administration and Human Resource department
The findings of the study indicated that respondents perceived the performance appraisal
system as an unfair and a system which cannot accurately measure their job related
performance. Respondents also indicated their dissatisfaction with standard setting, and
performance rating instrument used by the organization,
The respondents indicated their relative satisfaction with feedback aspect of performance
appraisal. Satisfaction was indicated with the appeal procedure of the performance appraisal
of the organization.
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towards Performance Apprisal System