EFFECTS OF PERFORMANCE APPRAISAL AS A TOOL FOR ORGANIZATION

SURVIVAL. A CASE STUDY OF KENYA COMMERCIAL BANK JOGOO ROAD

BRANCH

RAILWAY TRAINING INSTITUTE

NAMAI JOSPHINE PLAIMA

INDEX NO 4010270062

PRESENTED TO KENYA NATIONAL EXAMINATION COUNCIL FOR

THE PARTIAL FULFILMENT OF CERTIFICATE IN HUMAN
RESOURCE MANAGEMENT

SUPERVISED BY

MADAM DAINA OKWISA

EXAM SERIES MARCH 2023

1
DECLARATION

I declare that this is my original work and that thus work has never been presented by anyone
else for the award of certificate in Business management module two.

i
DEDICATION

I dedicate this project to my father Baston Shitandi who helped me financially and morally
throughout the period.

ii
ACKNOWLEDGEMENT

I wish to thank God Almighty for the gift of life to go through the entire course and in particular
this research proposal. My special thanks goes out to my family and lectures of Railways
Training Institute for encouragement, moral support and financially may God bless you

I also thank my supervisor Madam Daina Okwisa for guiding me throughout the project. I finally
thank my typist for completing my project and putting it into a well-organized document. May
God bless you all.

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Table of Contents
Declaration………………………………………………………………………………ii

Dedication……………………………………………………………………………….iii

Acknowledgement………………………………………………………………………iv

Abstract…………………………………………………………………………………vii

CHAPTER ONE
1.1 Introduction …………………………………………………………………………1

1.2 Statement of the Problem ……………………………………………………………1

1.3 Objectives of the Study………………………………………………………………1

1.4 Research Questions …………………………………………………………….……1

1.5 Significance of the Study ……………………………………………………………1

1.6 Scope of the Study ………………………………………………………………..…2

1.7 Limitations and Delimitations of the Study …………………………………………2

CHAPTER TWO

2.1 Introduction ……………………………………………………………………….…3

2.2 Empirical Literature………………………………………………………………..…3

2.3 Summary and Research Gap……………………………………………………….…5

2.4 Conceptual Framework…………………………………………………………….…6

CHAPTER THREE

3.1 Introduction ……………………………………………………………………….…7

3.2 Research Design …………………………………………………………………..…7

3.3 Target Population ………………………………………………………………….…7

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3.4 Sampling and Sampling Procedures …………………………………………………7

3.5 Data Source and Instrument……………………………………………………….…8

3.6 Data Collection Procedures ……………………………………………………….…8

3.7 Data Analysis and Presentation …………………………………………………...…8

3.8 Expected Output …………………………………………………………………..…8

CHAPTER FOUR

4.1 Introduction …………………………………………………………………………..9

4.2 Demographic Characteristics of Respondents …………………………………….…9

4.3 Background of the Organization ………………………………………………….…10

4.4 Discussion on Findings ………………………………………………………….…..10

4.5 Summary ……………………………………………………………………………..13

CHAPTER FIVE

5.0 Introduction……………………………………………………………………………14

5.1 Conclusion ……………………………………………………………………...….…14

5.2 Recommendation………………………………………………..……………….……14

References…………………………………………………………………………………15

Appendices …………………………………………………………….………………….16

Appendix 2: Questionnaires……………………………………………………………….18

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ABSTRACT

The study examined the effects of performance appraisal as a tool for organization survival. A
case study of Kenya Commercial Bank Jogoo Road branch. The specific objectives of the study
included finding out methods used to appraise employees in the organization, challenges faced
during appraisal of employees in the organization. The study adopted a descriptive design
method and had a sample size of 30 respondents namely one executive, 10 managers and 19
subordinate staff.

The study revealed various methods that are used in performance appraisal i.e. self-evaluation,
360-degree feedback, behavioral checklist. Performance appraisal also faces challenges like
clashing goals, comparing employees to their coworkers, lack of objectivity in performance
appraisal. Providing constant feedback to their employees, assessing employees according to
individual traits are some of the ways of enhancing performance appraisal hence increase
organization productivity.

vi
 CHAPTER ONE

1.1 Introduction

It entails background, statement of the problem, objective of the study, scope of the study,
research questions, significance of the study, scope of the study, limitations and delimitations of
the study.

Background

Many organizations stress the need to have effective performance appraisals among its
employees. According to Wendall French performance appraisal can be defined as " formal
systematic assessment of how well employees are performing their jobs in relation to established
standards and communication of that assessment to employees.

Employees play a very important role in an organization that is why it is very important to assess
their performance in order to achieve growth of the organization. when the organization carries
out the performance appraisal exercise it is able to Know which areas and employees require
more training or hiring of new employees to fill the resource gap.

Performance appraisal allows the management to make Appropriate adjustments in the current
performance levels. Kcb is a professional company that offers banking services to its customers.
It has branches all over the country that is Buru Buru Buru, Eastleigh, kajiado branch,
mandera,Karen among other branches. For the purpose of this research we shall look at the
Kenya commercial bank along jogoo road branch.

1.2 Statement of the problem

Performance appraisal are an essential component of the human resource management. Many
organizations collapse due to incompetency of employees and poor management. The study aims
at establishing the effects of effective appraisal tools on employee performance.

1.3 Objectives of the study

General objective

1. To find out effects of effective appraisal tool on employee performance.

1
Specific appraisal

1. To find out methods used to appraise employees in the organization.

2. To find out challenges faced during the appraisal of employees in the organization.

3. To find out possible ways of overcoming challenges faced during the appraisal of employees
in the organization.

1.4 Research questions

What are some of the methods used to appraise employees in the organization?

What are the challenges faced during the appraisal of employees in the organization?

What are the ways of overcoming the challenges faced during the appraisal of employees in the
organization?

1.5 Significance of the study

1. Employees

This study will provide feedback to employees so that they know where they stand and improve
by their performance.

2) human resource management

This study will help in facilitating research in human resource management. It will provide
overall data base for personnel decisions concerning placement, pays promotion and punishment.

3) Academicians and researchers

This research will be useful to academicians and researchers who might be interested in pursuing
research in the same area. This study will help them understand the effects of appraisal tool on
employee performance.

2
1.6 Scope of the study

The study was carried out in Kenya Commercial bank along jogoo road.

Assumptions of the study.

The respondent will give current information.

1.7 Limitations of the study

biggest limitation of the study was resistance or unwillingness of respondents chosen to fill the
questionnaires.

lack of familiarity with the research methods

language barrier

1.8 Delimitations

Assure the respondents that the questionnaires are for research purposes and their confidentiality
is considered

Familiarize oneself with research methods first.

Use language that is understandable by all.

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 CHAPTER TWO

2.1 Introduction.

This chapter entails literature review. We have two ways of literature review mainly empirical
literature and theoretical literature.

2.2 Empirical literature

This is the type of literature found from other researchers. Murphy and Cleveland 1991 say that
the main goal of performance appraisal is to improve employee performance. According to
Daniel R Longer, Jack .M Goldman, performance appraisal is used as a function of three
interaction system that is organization context the appraisers, information process system and the
behavioral system of the appraiser. It is argued that aspects of each system constrain the ability
of the appraisal process to produce accurate unbiased and reliable assessment of individual and
performance.

Theoretical literature

This literature if backed by theories namely social cognitive theory, goal theory and control
theory.

Social cognitive theory

According to Albert Bardore the theory states that when people observe a model performing a
behavior and the consequences of that behavior, they remember the sequence of events and use
this information to guide subsequent behaviors in other words depending on whether people
were punished or rewarded for their behavior. The observer chose to replicate behaviours molded.

Goal theory

Edwin Locke states that when individuals or organization set more difficult goals then they
perform better. Similarly, if they set goals that are easy then the performance of the individual or
organization decreases. According to Locke this are five basic principles that allow goal setting
to perform better. They include clarity, challenges, commitment, feedback and task complexity.

4
Control theory

Control theory advances the preposition that weak bonds between individual and society allows
people to deviate. Establishing string bonds as family ties or close community will prevent crime.
According to Travis Hirsch people will conform to a group they believe they have more to gain
from than by deviance

2.2.1 Effects of performance appraisal

When an objective appraisal is carried out organization will be in a better position the reward
performing employees. This study found that performance appraisal includes enhanced employee
productivity. This will further enhance the opportunity for determining sentences in the
performance work force. The result of the performance appraisal can be assessed to identity
areas of strong performance across all employees by department or demographic. Standardized
performance assessments allow companies to show where performance is strong. These areas of
strength then can serve as benchmarks and opportunities for showing of best practices for other
areas of organization. Evaluating the results of performance appraisal can provide managers,
human resource department and organizations with an indication of where additions training and
development may be necessary, says Lin Gresing- partial authors of " human resource Essential
for instance results. May include those employees collectively are scoring law on items related to
use of technology or customer service. These may become target areas for the creation and
implementation of training programs designed to boast employee competence and performance.
Performance appraisal can provide indication of employees with leadership potential or can serve
as an input to succession planning by identifying employees with specific competence that the
organization knows it will need in future due to turn over and retirement.

2.2.2 methods used to appraise employees in the organization.

There are some common and modern appraisal methods that many organizations use to undergo
the performance appraisal process include; self-evaluation assessment test, employees first
conduct their performance assessment on their own against a set list of criteria. The pro is that
the method helps employees prepare for their own assessment and it creates more dialogue in the
official performance. Interview another method in the behavioral checklist which involves

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providing a yes or no checklist against a series of traits. If the supervisor believes that the
employee has exhibited a trait YES is ticked. If they feel the employee has nor exhibited a NO is
ticked off. If they are unsure, it can be left blank. 360degres feedback is a type of review which
included not just the direct feedback from the manager and employee but also from other team
members and sources. The review also includes character and leadership capabilities. A rating
scale is another common method of appraisal as it uses a set of predetermined criteria that a
manger uses to evaluate an employee against each set of criteria is weighed so that a measured
score can be calculated at the end of the review. Management BG objective is a new type of
assessment that is gaining popularity it involves the employee and management by objectives the
employee and manger agreeing to a set of attainable performance goals that the employee will
strive to achieve over a given period of time. At the next period of review the goals and how they
have been met are reviewed while new goals are selected.

2.2.3 Challenges faced during the appraisal of employee in the organization

It has been a popular development that not only do employees do not like performance reviews
but 95% of mangers do not like giving appraisals according to pay scale. The criticism of
performance appraisal process comes for multiple reasons like lack of objectivity in performance
appraisal that is regent university says one of the biggest appraisal issues is that employee’s
belief they are not evaluated fairly. instead of being judged on performance employees worry
they are judged by race, gender or how much they and the manager are getting along. Forbes
says as some managers have different standards. What One manger considers exceptional might
get barely adequate ratio from colleague comparing an employee to their coworkers is also
another challenge, Harvard Business Review says employees think appraisals are inaccurate and
unfair when they are compared to their colleagues rather than their own past performance. Even
when the supervisor ranks an employee above their coworkers, the employee may still feel
dissatisfied clashing goals according to the cut. Employees are usually proud of their works so
they expect to hear good feedback from their boss. Instead the appraisal usually includes a list of
things they need to improve. Organization often frowns on uniformly positive appraisal, so that
the manager may feel pressured to find fat even if they think their employee is great. Neither
manager nor employee really give a crap the manger can commit if they have to provide critical

6
feedback they do. Not believe in. Employees who feel they are not getting the respect they
deserve may not care with their review says its wrong with them. Another challenge is
performance reviews do not change anything the first says maybe a third appraisal improves
employees while another third does worse and the performance of the rest remains constant.

2.2.4 Possible ways of overcoming challenges faced during appraisal of employees in the
organization

One of the problems of performance appraisal arises it becomes the primary tool for supervisors
to give feedback. With an annual review that means employees spend eleven months of the year
with no idea of bow they are doing. Forbes and pay scale say one solution is for the managers to
give feedback a regular basis and for employees to ask for it. Employees may not like critical
feedback but at least they won't be blindsided if they hear it on a regular basis. Lack of
objectivity in performance appraisal is a big problem. Paycor says this is not a matter of racism
or gender discrimination, there are multiple ways in which mangers may use their objectivity that
is mangers deliberately rate employees higher than they deserve to give underperformance a
morale boost payscar suggests that supervisors sit down and think carefully about his they might
be biased before laun Hong the appraisal process. The company head should remix everyone
who makes appraisals about potential risk of bias. Setting v concrete standards and questions to
use reduce biased and lowers the odds manger A and manger B use completely different metrics.
Another solution is to minimize the use of appraisals based on individual traits. If we eliminate
these aspects from our evaluations, we reduce the negative impact of stereotyping use more than
one appraisal during the review so as to obtain feedback from more than one appraiser and
reduce biasness. Helping employees understand the benefits of performance reviews is another
way to reduce challenge faced during the performance appraisal.

2.3 Summary of research gap

2.3.1 Summary

This research entails two literature reviews that is empirical literature and theoretical literature.
Empirical literature according to Denis and Pinchard, Murphy and Cleveland the main goal of

7
performance appraisal in an organization is to improve employee performance. On the other
hand, theoretical literature is based on theories that social cognitive theory, goal theory and
control theory. According to these theory dependencies on whether people are rewarded or
punished for their behavior and the outcome of the behavior the observers may choose to
replicate behavior modelled. Further States that setting more difficult goals and, in the
organization, enables the organization to perform better. According go the objectives of the study
performance appraisal is important in the organization as it conserve an input to succession
planning. It also. Helps mangers, human resource department to determine where additional
training and development is required. Methods like self-evaluation assessment, 360-degree
feedback, management by objective and a rating scale are used during appraisal of employees.
Challenges like employees with their coworkers, clashing goals and reviews do not change
anything are experienced during the appraisal process. Managers or appraisers should practice
giving constant feedback to their employees to improve on areas of weakness. The organization
can still remind the appraiser of the consequences of biasness. It can. Also have more. Then one
appraiser in order to. Get adequate feedback in order to reduce challenges faced during appraisal
of employees.

2.3.2Research gap

Performance appraisal are essential component of human resource management. Many

organizations collapse due to incompetency of employees and poor management. The study aims
at establishing the effects of performance appraisal as a tool for organization survival.

8
2.4 conceptual framework

INDEPENDENT VARIABLE

DRAW THE TABLE

2.4 Conceptual framework

Independent Variable dependent Variable

Methods used to appraise employees

self- evacuation
360 degree feedback
Rating scale
Management b objectives
Behavioral checklist

Organization survival
Challenging faced in appraisal of
employees comparing employers to
their coworkers clashing goals
Neither manager nor employee gives a
crap lack of objectives in performance
appraisal

Solutions to challenge faced in

appraisal provide constant feedback to
their employees

Remind appraisers of the risk of

biasness setting concrete standards and
questions to use during appraisal
process individual traits

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 CHAPTER THREE

RESEARCH DESIGN AND METHODOLOGY

3.Introduction

This chapter entails research methodology which includes research design target population,
sampling and sampling procedure, data sources and investment data sampling procedures, data
analysis and presentation

3.2 Research design

This refers to the overall strategy utilize to carry out research that defines a succinct and logical
plan to tackle established research questions through the collection, interpretation, analysis and
discussion of data. This study adopted descriptive research design method. This is defining as
research method that describes the characteristics of the population or the phenomenon studied.
The. Methodology for uses more on the "what “of the research than " why" of the research
subject. The descriptive method primarily focuses on describing the nature of a demographic
segment without focusing on " why" certain phenomenon occurs. In other words, it " describes
"the subject of the research without covering " why" it happens. The purpose of this study was to
gather detailed information in order to provide insight on the effects of performance appraisal to
organizational survival at kcb jogoo road branch. The researcher finds the study convenient
because it can be used in multiple ways and for various reasons.

3.3 Target Population

This the total group of individuals from which the sample might be drown by researchers who
wants to generalize the results of the study. In other terms it is the group of population which the
researcher is getting g to collect information from. Population for this study consists of all the
staff at kcb jogoo road which has 50 employees. On the other hand the sample size of this study
is 30 respondents out of the total population.

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3.4 sampling and sampling procedure

A same means a group of the target population that were chosen for data collection on behalf of
other population. The research.will not be able to cover all the fifty employees

Within the given time so a total.of thirty employees representing 60%/of the total
populationwill be sampled for.this study. They consist 1) top executive ten(10) , mangers
heading different departments and 39 subordinates staff. This same respondents will be selected
using stratified sampling in combination with simple random sampling. The mangers will be
stratified according to departments and to select mangers of the different departments, purpose
sampling will be used so as to include the top executive mangers and department in each set tion
of the organization. To select employees simple random sampling technique will be used to
select for.employees from.each department.

3.5 Data sources and instruments

This indicates where the data will be collected using instruments. The data sources CE may
include journals , articles, websites , I vernal records. The kind of instrument used to collect data
include interviews that is structured, unstructured interview. The researcher also used surveys
that is free answer survey or open ended questions the main research instrument for this study
will be self administered questionnaire because issues less time to respond and is less expsensive.
Two questionnaires will be developed, one for managers and another for employees. The
questionnaires will have two parts ; part A will be the background information of the respondents
and part B will be focusing on the case study.

3.6 data collection procedure

The researcher administered interviews to the targeted employees. The interview consisted of
two section namely section A and B. SectionA consists of the background information of the
respondents while section contains information focussing on the case study.

3.7 Data Analysis and Presentation

The data once received require to be analyzed. Data analysis is the process of systematically
applying statistical or logical technologies to describe, illustrate and evaluate data. Presentation

11
involves the use of variety of different graphical techniques to present data. Data can be
presented using charts, tabular as well as percentage. The researcher shall use bar graph.

3.8 Expected output

At the end of the research the researcher expects to have established the effectsvof performance
appraisal as a tool for organization survival of kcb jogooroad branch.

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 CHAPTER FOUR

ANALYSIS AND DISCUSSION ON FINDINGS

4.1 Introduction

This chapter entails analysis and discussion findings

4.2 Demographic Characteristics of respondents

This will mainly focus's o gender , academic levels age and occupationof respondents
interviewed

4.2.1 Gender distribution of the respondents

GENDER FREQUENCY PERCENTAGE

12 12 40

18 18 60

30 30 100

The table above shoes the gender distribution of respondents. The result reveals that 12
respondents which represents 40% of rhe respondents constitute male while 18 respondents
which represents 60% are female.

4.2.1 Academic qualification of respondents

ACADEMIC LEVEL FREQUENCY PERCENTAGE

Diploma 15 50

Degree 9 30

Masters 6 20

TOTAL 30 100

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Study shows that most of the respondents attained Diploma level of education which constituted
of 15 respondents which represents 50%while others 9 respondents attained degree which
represents 30% and 6 respondents attained master which represents 20%.

120

100

80

60 FREQUENCY
PERCENTAGE
40

20

0
Diploma Degree Masters TOTAL

4.2.3 Age distribution of respondents

AGE GROUP FREQUENCY PERCENTAGE

Less than 19yrs 2 25

20-30 years 10 15

31-35 years 8 30

36-40 years 12 10

41 years and above 8 5

YOTAL 30 15

14
 100%
90%
80%
70%
60%
50%
PERCENTAGE
40%
30% FREQUENCY
20%
10%
0%
Less than 20-30 31-35 36-40 41 years YOTAL
19yrs years years years and
above

4.2.4 Occupation level of the respondents

Occupation level

Board of directors

Finance manager

Members

4th Qtr

15
4.3 Background of organization

KCB Kenya limited is a financial service provider headquartered in Nairobi. KCB Kenya roots
trace back to July 1896 when its parent company. KCB group was formed as a branch of the
National Bank of India in Mombasa. In 1958 Grindlay's Bank merged with the National Bank of
India to form the National and Grindley Bank. Upon independence the government of Kenya
acquired 60% shareholding in National and Grindlays Bank.

In 1970 the government took full control of the bank and renamed it to Kenya Commercial Bank.
KCB as it is now known was incorporated in 2015 as a result of the corporate restructure of
Kenya Commercial Bank group. KCB has so many branches with over 6483 but this study
focuses on the jogoo road.

4.4 Discussion on findings

Methods used to appraise employees

METHODS FREQUENCY REMARKS

Self evaluation 5 Accepted

360 degree feedback 13 Accepted

Rating scale 2 Accepted

Management by objectives 6 Accepted

4 Accepted

Behavioural checklist

TOTAL 30

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Majority of the respondents agree that 360 degree feedback was the best method to use in
appraisal of employees. 1e 13 respondents agreed.

4 4 2 challenges faced during the appraisal of employees

CHALLENGES FREQUENCY REMARKS

Comparing employees to their 10 Accepted

coworkers

Clashing goals 3 Accepted

Lack of objectivity in 6 Accepted

performance appraisal

Neither manager nor 4 Accepted

employee give a crap

Performance reviews don't 7 Accepted

change anything

TOTAL 30

According to this study the biggest problem encountered during performance appraisal is
Comparing employees to their coworkers.

17
4.4.3 ways of overcoming challenges faced during performance appraisal of employees

SOLUTIONS FREQUENCY REMARKS

Provide constant 10 Accepted

feedback to
employees

Remind the appraisers 2 Accepted

of the risk of biasness

Setting concrete 5 Accepted

standard and
questions to use
during the process

Assessing employees 13 Accepted

according to
individual traits

TOTAL 30

Majority agree that assessing individuals according to individual traits is the best solution to
overcoming challenges faced during performance appraisal.

4.4 Summary

In the findings indicate that performance appraisal is very essential to organization appraisal is
very essential to organization growth. Methods like management by objectives, 360 degree
feedback, behavioural checklist are used to appraise employees in the organization.

Performance though benefits the organization and employees to their coworkers, lack of
objectivity in performance appraisal, clashing goals. However there are solutions which the

18
organization can take to deal with such problem ie managers to provide constant feedback to
their employees, assessing of employees according to individual traits and reminding appraisers
of the risk of business .

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CHAPTER FIVE

CONCLUSION AND RECOMMENDATION

5.1 Conclusion

After data analysis, it is clear that performance appraisal is an important tool in any organisation.
The results of the study indicated that the general condition of performance appraisal at KCB is
wanting. This was found through the various objectives that the researcher wanted to tackle in
this research and they include effects of performance appraisal tool on employee performance.

Performance appraisal also faced challenges like clashing goals, lack of objectivity in
performance appraisal, comparing employees to their coworkers. The findings also revealed that
providing constant feedback to employees, reminding appraisers of the risk of biasness and
assessing of employees according to individual traits are some of the solutions to the problems
experienced during the performance appraisal process hence lead to organization survival and
employees as a whole.

5.2 Conclusion

Inorder to improve performance appraisal of employees the researcher recommended the

following to Kenya Commercial Bank

 Amend the performance appraisal policy on a continuous basis

 Apply new methods according to modern technology
 Use more than one appraisers to avoid biasness.
 Provide constant feedback to employees to enable them work on their weaknesses.
 They should assess employees according to individual traits
 Take serious action against biasness by the appraisers in the organization during the
appraisal process

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REFRENCES

*Adler, S., Campion, M., and Colquitt, A. et al. (2016). Getting rid of performance ratings:
Genius or folly? A debate. Industrial and Organizational Psychology, 9(02), 219–52.

Abbott, J.R., and Bernardin, J.R. (1983). The development of a scale of self-efficacy for giving
performance feedback. Unpublished manuscript, Florida Atlantic University.

Adams, J.S. (1965). Inequity in social exchange. In L. Berkowitz (ed.), Advances in

Experimental Social Psychology (Vol. 2, pp. 267–99). New York: Academic Press.

Adler, S. (2015). Getting rid of performance ratings: Genius or folly? Paper presented at the 30th
Annual Conference of Society for Industrial and Organizational Society (SIOP), Philadelphia,
PA.

AgileManifesto.org (2001). Manifesto for Agile Software Development. Accessed February 12,
2018 at http://agilemanifesto.org/.

Aguinis, H. (2009). An expanded view of performance management. In J.W. Smither and M.

London (eds), Performance Management: Putting Research into Action (pp. 1–43). San
Francisco, CA: Jossey-Bass.

Aguinis, H. (2013). Performance Management (3rd edition). Upper Saddle River, NJ:
Pearson/Prentice Hall.

Aguinis, H., and Edwards, J.R. (2014). Methodological wishes for the next decade and how to
make wishes come true. Journal of Management Studies, 51(1), 143–74.

Aguinis, H., and Pierce, C.A. (2008). Enhancing the relevance of organizational behavior by
embracing performance management research. Journal of Organizational Behavior, 29(1), 139–
45.

Aguinis, H., Gottfredson, R.K., and Joo, H. (2013). Best-practice recommendations for defining,
identifying, and handling outliers. Organizational Research Methods, 16(2), 270–301.

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Albertson, O.A., and Lueg, R. (2014). The balanced scorecard’s missing link to compensation: A
literature review and agenda for future research. Journal of Accounting and Organizational
Change, 10, 431–65.

Allen, N.J., and Meyer, J.P. (1990). The measurement and antecedents of affective, continuance
and normative commitment to the organization.

Bandura, A. (1982). Self-efficacy mechanisms in human agency. American Psychologist, 37,

127–47.

Barankay, I. (2011). Gender differences in productivity responses to performance ratings:

Evidence from a randomized workplace experiment. Mimeo, University of Pennsylvania.

Barling, J., Wade, B., and Fullagar, C. (1990). Predicting employee commitment to company and
union: Divergent models. Journal of Occupational Psychology, 63(1), 49–61.

Barnes, C.M., Hollenbeck, J.R., and Jundt, D.K. (2011). Mixing individual incentives and group
incentives: Best of both worlds or social dilemma? Journal of Management, 37(6), 1611–35.

Barry, L., Garr, S., and Liakopoulos, A. (2014). Performance management in broken replace
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Psychology, 77, 975–85.

22
APPENDICES

Appendix 1: Letter to Respondents

Railways Training Institute

P.O.BOX 0100-4226

Nairobi

KCB,

P.O. BOX 60857-00200

Nairobi

Dear sir/Madam,

RE: PERMISSION TO COLLECT DATA IN YOUR ORGANIZATION

My name is Namai Josphine Palima, am a student at Railways Training Institute, pursuing

certificate course in human Resource Management module two.

The purpose of writing to you is to request for permission to collect data in your organisation.
My research is effects of performance appraisal as a tool for organization survival. The research
will benefit the public, the directors and management of the organization as a whole.

For more information contact me through my mobile number 011431127

Your participation is highly appreciated

Yours,

Namai josphine palima

23
Appendix 2: Questionnaire

This questionnaire seeks to collect information in order to evaluate the effects of performance
appraisal as a tool for organization survival to the organization of Kenya Commercial Bank,
Jogoo road branch.

SECTION A:BACKGROUND OF THE STUDY

Instructions:Tick where necessary

1. What age bracket do you belong?

a) Less than 19 years
b) 20-30 years
c) 31-35 years
d) 36-40 years
2. Sex (GENDER)
a) Male
b) Female
3. Academic level
a) Diploma
b) Degree
c) Masters
d) PhD and others

24
SECTION B:INSTRUCTION TICK YES OR NO

Methods used to appraise employees in the organization

QUESTION YES NO

Self evaluation

Management by objectives

Rating scale

360 degree feedback

Behavioural checklist

SECTION C:TICK YES OR NO

Challenges faced during appraisal of employees

QUESTION YES NO

Comparing employees to
their coworkers

Clashing goals

Lack of objectivity in
performance appraisal

Performance reviews don't

change anything

25
SECTION D: TICK YES OR NO

Solutions to challenges faced during appraisal of employees

QUESTION YES NO

Provide constant feedback to

their employees

Remind appraisers of the risk

of biasness

Appraise employees according

to individual traits

Setting concrete standard

questions to use during
appraisal process

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Appendix 3: Interview Schedule

1. What are the methods used to appraise employees in the organization?

a) Self evaluation
b) 360 degree feedback
c) Management by objectives
d) Behavioural checklist
2. What are the challenges faced during the appraisal of employees in the organization?
a) Comparing employees to their coworkers
b) Clashing goals
c) Lack of objectivity in performance appraisal
d) Performance reviews don't change anything
3. What are some of the solutions to challenges faced during the appraisal of employees?
a) Provide constant feedback to their employees
b) Appraise employees according to individual traits
c) Remind the appraisers of the risk of biasness
d) Set concrete standard questions to use during appraisal process

Appendix 4: Proposed budget

ITEM AMOUNT

Transportation 5000

Lunc and accommodation 8000

Stationery 3000

Printing papers 2800

Emergency 4000

TOTAL 22,800

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TIME PLAN

DURATION ACTIVITY

September Looking for tittle

Outlining the aim

Deriving the objectives

October Presentation of proposal

Writing research industry letter

Reporting to place of research

November Data collection

Data analysis

December Discussion of findings and recommendation

January Summary and conclusion

February Submission

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