Create a purpose statement

Running Head: PayneACMP9601B02

PayneACMP9601B02

Problem Statement

Amenia Payne

CMP-9601B Pre-Candidacy Prospectus Course

Week 2

Dr. Mary Dereshiwsky

October 24, 2021

Problem Statement

Introduction: Background

Performance appraisal systems are requisite for an organization's success. Various organizations increase their business and topple their competitors through well-structured organizational appraisal systems. Previous researchers have delved into the field and published notable knowledge on appraisal systems. (Baird et al., 2020) researched employee performance empowerment, performance appraisal quality, and performance. The researchers found that there is a need for the establishment of employee empowerment programs and improving the quality of appraisal systems. However, the researchers did not detail how the quality of the appraisal system should be enhanced to empower the employees.

More research was conducted by (Zondo, 2018) to study the influence of 360-degree appraisal systems on labor productivity in the automobile industry in South Africa. The study found out that implementing a 360-degree appraisal system had no significant impacts on labor productivity at the company and only influenced investment opportunities. The researcher however did not examine how the appraisal system correlated with the strategic approach of the automobile industry and its long-term goals. Other researchers have also conducted studies to establish a relationship between appraisal systems and employee performance, job satisfaction, and motivation. In particular, (Subekti, 2021) ventured into the research to determine the relationship between appraisal and other organizational factors. He found out that the best employee appraisal systems bolstered employee motivation. On the other hand, the research found out that a poor appraisal system impacted employee motivation and consequently job satisfaction and performance. However, the researcher did not clarify how the appraisal systems were quantified. In other words, he did not state what characterized best and poor appraisal systems.

Problem Statement

A brief literature review reveals that there is little to no information on balancing between appraisal systems and organizational strategies. Most researchers in the field tend to focus on how appraisal systems boost organizational performance. Also, many scholars are interested in understanding how appraisal systems affect employee motivation, performance, and job satisfaction. Hence, the research paper will focus on determining the roles of organizational strategies when formulating appraisal systems. Failing to conduct this study will mean that the appraisal system continuously does not contribute to strategic management. A case study for analysis is the McDonald's performance appraisal system (Goldsmith & Carter, 2010). Before 2003, McDonald had an informal and less structured performance evaluation system that did not reflect its strategies (Goldsmith & Carter, 2010). Consequently, it would not match its competitors or expand its business. The same challenge faces modern organizations. A lack of an appraisal system reflecting strategic approaches risks the success of an organization, business expansion, and employee empowerment.

I will approach the research using the goal orientation theory of performance appraisal. The theory acknowledges the fact that people strive to achieve set goals, obtain new skills and improve their competencies (Garavaglia-McGann, 2019). The theory is vital in explaining employers' approaches to appraisal systems. The goal orientation theory will provide employees with a clear focus on the company. They will dedicate their efforts towards enabling their organizations to achieve their strategies.

References

Baird, K., Tung, A., & Su, S. (2020). Employee empowerment, performance appraisal quality and performance. Journal of Management Control, 31(4), 451–474. https://doi.org/10.1007/s00187-020-00307-y

Garavaglia-McGann, N. (2019). What are the effects of performance appraisal on employees? PeopleGoal. Retrieved October 22, 2021, from https://www.peoplegoal.com/blog/effects-of-performance-appraisal-on-employees-the-empirical-evidence

Goldsmith, M., & Carter, L. (2010). Best practices in talent management how the world's leading corporations manage, develop, and retain top talent. Jossey-Bass.

Subekti, A. (2021). The Influence of Performance Appraisal System Towards Job Satisfaction, Motivation, As Well As Employee Performance. International Journal of Economics, Business and Accounting Research (IJEBAR), 5(2), 104–114

Zondo, R. W. D. (2018). The influence of a 360-degree performance appraisal on labor productivity in an automotive manufacturing organization. South African Journal of Economic and Management Sciences, 21(1). https://doi.org/10.4102/sajems.v21i1.2046