Performance Management Practice and its Effectiveness in Motivating Employees: The Case of Dashen Bank S.C.
No Thumbnail Available
Date
2015-05
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Addis Ababa University
Abstract
This study give due attention on the practice of performance management practice and the effectiveness of this practice on the motivation of employees in one of leading private bank in the country. The research is designed to apply descriptive statistics by using questionnaires and document review. A sample of 246 participants was randomly selected and questionnaires were administered from which 186 of them retuned the questionnaires. The key finding ofthe study shows that even if most respondents reported that they have the required knowledge about the bank’s mission, vision and overall strategic objectives of the companies including their jobs, the bank has a disorganized and unstructuredperformance management practiceas well as the measurementof performanceof the employees gave focus on complying rules instead of on outcomes. Likewise, most of the employees show de-motivation by the performance evaluation system of the bank. Moreover, it is found that changes in the practice of performance management have effect on the motivation of employees and also the selected eight motivational factors have a positive relationship with themotivation of employee even if there is a varying degree of effect they have on the motivation. The study extended its recommendationon that the bank should conduct continuous assessment and evaluates its employees in a cyclic fashion by implementing performance management system. And performance evaluation process should have incorporatedstakeholders (team mates and customers) and self-assessment,adding on these, the bank should exert more effort to improve employees’ motivation by linking its reward system with the performance management process
Description
Keywords
Performance management, motivation, bank