Effects of performance appraisals on employee productivity in the banking sector in Kenya
Keywords:
performance Appraisal, Employees, Productivity, Banking SectorAbstract
Banks have implemented performance appraisals to enhance employee productivity which
was triggered by the high targets set across the industry. The aim of this study was to
determine the effects of appraisals in line with the impact of performance appraisal criteria,
feedback, and reward and competence assessment on employee productivity in these banks.
The significance of the study is therefore of great importance to the Banks management
teams and the Banks employees. This research was based on three theories which include the
Adam‘s Equity Theory, Goal Setting theory and the implicit theory which underpins this
study.
This research applied descriptive research design. The target population was all commercial
banks in Kenya. The sampled banks were selected from a list of banks in Kenya as per the
Central Bank
Classification using the systematic sampling technique. Primary data was collected using a
questionnaire which was coded and entries made into Statistical package for social sciences
for analysis. Both descriptive and inferential analyses were carried out. The study concluded
that the main performance appraisal indicators used significantly influence employee
productivity in Kenya‘s banking sector. It is therefore recommended that the salary received
by the employees be commensurate with their job description and employees should receive
promotion based on their productivity and that they should be taken for further training
frequently.
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