THE IMPACT OF EFFECTIVE PERFORMANCE APPRAISAL ON EMPLOYEE PRODUCTIVITY, (A CASE OF MTN). A RESEARCH PROJECT MATERIAL ON BUSINESS ADMINISTRATION

posted on October 24, 2018

THE IMPACT OF EFFECTIVE PERFORMANCE APPRAISAL ON EMPLOYEE PRODUCTIVITY, (A CASE OF MTN). A RESEARCH PROJECT MATERIAL ON BUSINESS ADMINISTRATION

CHAPTER ONE

INTRODUCTION

1.1 Background of Study

In every business organization, the performance of the employees is important in achieving organizational goals. The success of every business organization can therefore be attributed to performance appraisal. Performance appraisal is one of the basic tools that make workers to be very effective and active at work. A critical look out on this may bring about the need for motivation, allowances, development, training and good human relationship in an organization.

The output of every organization depends on how well and how much the performance of the employee is appraised and evaluated. Productivity can therefore be defined as “quality or volume of the major product or services that an organization provides”. In short, productivity is what comes out of production. Managers of every business organization are charged with the responsibility to motivate their employees to achieve organizational goals. The efficiency and effectiveness of any work place whether the private or the private sector, largely depend on the caliber of the workforce. The availability of competent and effective labour force does not just happen by chance or accident but through an articulated recruitment exercise (Peretomode and Peretomode, 2001) and performance appraisal.

The whole essence of the management activities of an organization culminates into the system of performance appraisal adopted in that organization. This, in turn, reflects the extent of the individual contributions and commitment of the employees in different hierarchical levels toward the achievement of organizational objectives. It goes without saying that an effective performance appraisal system can lead an organization to take strides towards success andgrowth by leaps and bounds. Conversely, an ineffective performance appraisal system can seal the fate of an organization by creating chaos and confusion from top to bottom in the administrative hierarchy. As a consequence the chances of success and growth of that organization are doomed.

The Nigerian economy has been plunged into a state of economic decline since the early 1980’s, following the introduction of Structural Adjustment Programme (SAP), by Babangida’s Administration. Since then, productivity improvement has become a major challenge facing all work and business organizations and the Nigerian economy as whole. It has therefore become imperative for government and all stakeholders to evolve adequate measures that would improve productivity in Nigeria. It is on account of this, that most, if not all of the past leaders, have tried in one way or the other to carry out at least one reform measure in the private sector in order to enhance employee performance and productivity.