THE EFFECT OF PERFORMANCE APPRAISAL ON EMPLOYEE MOTIVATION: THE CASE OF NIB INTERNATIONAL BANK

Abstract

The main purpose of this study is to assess the effect of performance appraisal on employee motivation in the case of Nib International Bank. The study employed both descriptive and explanatory research designs with quantitative approach. Samples of 196 employees were selected by using simple random sampling techniques. Questionnaire was used to collect primary data from the respondents. The collected data were organized, presented, analyzed and interpreted quantitatively with the help of SPSS version 26.0. Data were analyzed using descriptive and inferential statistics such as correlation and multiple regressions. The result of the study indicated performance appraisal has significant correlation with motivation of employees. The purposes of Performance, method of performance appraisal and performance appraisal feedback richness were significantly affecting the motivation of employees. Based on the key findings of the study it was concluded that the practices of performance appraisal significantly determine the motivation level of employees in NIB. It is therefore recommended that NIB have to identify the challenges of effective performance appraisal practices and implement it without bias to improve the working motivation of employees and to effectively implement its performance appraisal practice and Regular reviews should be conducted based on recent favorable, NIB should have well-defined policies in place for dealing with feedback from the staff and reacting to employee feedback and also The study also recommends that organization appraisal method is known by each member of the organization and ensure that this method does not infringe the employees’ right and the organization policies