Abstract: | The general objective of the study was to investigate the effects of performance appraisal on the
employee performance with reference to Nib International Bank as study case. The study was
considered the purpose, methods, process and feedback of performance appraisal influence the
dependent variable employee performance. The close-ended questionnaire was used as the
measuring instrument. The representative 365 respondent employees from the selected
branches from each district’s were selected by using non probability sampling approach
specifically convenient sampling technique. Quantitative data gathered via questionnaire was
edited, coded and entered into statistical software SPSS and analyzed by both descriptive and
inferential statistics. The finding of the study showed that, combination of the purpose, methods,
process and feedback of performance appraisal has a significant positive relationship with
Employee Performance. According to the magnitude of correlation Purpose of Performance
Appraisal is ranked first in its magnitude of correlation. Method of Performance Appraisal is the
second highly correlated variable with Employee Performance next to Purpose of Performance
Appraisal dimension in this study. Process of Performance Appraisal is the third highly
correlated variable with Employee Performance next to Methods of Performance Appraisal
dimension in this study and Feedback of Performance Appraisal is the third highly correlated
variable with Employee Performance next to Process of Performance Appraisal dimension in
this study. The results of the present study also showed that, Purpose of Performance Appraisal
is the most important Performance Appraisal dimension that contributed significantly towards
maintaining Employee Performance in Nib Bank. Finally, in order for Nib Bank, to be benefited
the most out of the Employee Performance forwards the recommendations for the management
regarding the purpose, methods, process and feedback of employees’ performance appraisal and
forward suggestion for other researchers. |