EMPLOYEES PERFORMANCE APPRAISAL PRACTICES AND PROBLEMS: THE CASE OF SAVE THE CHILDREN ETHIOPIA

Abstract

In today’s competitive world of business, human resource is the main resource companies take a competitive advantage therefore, proper management of this resource is crucial for the success of an organization. More than ever, in today’s climate of heightened expectations, performance appraisal system is receiving greater attention of human resource managers and decision-makers are expected to meet the interests of both employees and employers. They play multifaceted roles in setting the direction for employers regarding taking decisions about their employees. Many organizations have moved towards making performance appraisal more effective for their decision making and holding their employees more accountable for results. As a result, employee’s performance and the way they are appraised, requires greater attention. Having this in mind, the study has been conducted in Save the Children to assess the problems encountered in the implementation of performance appraisal by focusing on practical challenges faced in the implementation of performance appraisal and to give practical feedback for correcting them. To undertake the study both primary and secondary data were used. A survey questionnaire with five point Likert scale is a main tool for gathering primary data. 130 participants from the head office were participated in filling the questionnaires. Accordingly, the data gathered were analyzed using micro soft excel and SPSS software. In the study, performance appraisal is seen to be implemented in a biased manner based on proximity and mixed interests for punishing employees performing at the lowest status. Thus, in order to create competitive working conditions and systems of balanced benefits for employees, performance appraisal should be understood very well particularly by heads of human resources and supervisors; and, should be implemented in the desired way for the desired purposes.