Habtamu Endris (PhD)Gezahegn Negussie2024-04-232024-04-232023-05-08https://etd.aau.edu.et/handle/123456789/2852The main purpose of this study was to assess and describe how the performance management process was used, how it was put into practice, and any problems that came up when the system was put into place. It was done to figure out how Awash Bank performance management system worked and what challenges it had. The descriptive study design used both quantitative and qualitative exploratory methods to look at these subjects. Purposive sampling was used to choose interviewees for a semi-structured interview with supervisors and directors. There are a total of 80 employees in the two named regions, which is the number of people who filled out the self-made questionnaire that is the main tool for collecting data. Using SPSS, the analysis was done, and the results were shown using summary statistics like frequency, mean, tables, and percentages. In general, the study's results showed that organizational goals weren't perfectly aligned with departmental, branch, and individual goals, that not all Awash Bank employees took part in the planning stage of a performance management system, that regular feedback wasn't given, quantitative and qualitative performance evaluation criteria weren't balanced, competency-based performance management systems weren't created, and that behavioral competencies weren't fully developed. With this in mind, the researcher came to the conclusion that, while Awash Bank has some good qualities, like being able to easily define its purpose, vision, and values and make a strategy map, a lot more work needs to be done for a performance management system to help the company. To close these gaps, solutions have been put forward to make it easier for people to take part in the PMS process, help them understand what it's all about, and connect organizational goals with departmental, branch, and individual positions. These solutions include letting employees rate their own performance using a selfevaluation system and giving regular feedback to close the gap between management and employees. Competency-based evaluation criteria should be used, and a behavioral competency framework should be made. The qualitative and quantitative evaluation criteria should be balanced at Awash Bank. In the end, it's recommended that the guidelines for evaluation be clear and acceptable with all employees and that the assessment be done at the right timeenThesis