By Hussain Shareef S18011063 Research Proposal Submitted in Partial Fulfillment of the Requirements.
By
Hussain Shareef
S18011063
Research Proposal Submitted in Partial Fulfillment of the Requirements of the Degree of
Master of Business Administration
Zikura International College
April | 2019
Abstract
The focus of this study is to analysis the performance appraisals system. Performance appraisal is a significant tool of HRM almost in every organization. This study aims to analyze the effectiveness of performance appraisal system on employee’s performance of civil servants who works under Ministry of Housing and Urban Development of Maldives.
The chosen research design for this thesis is a mixed method which means data will be collected by qualitative and quantitative method. The study adopts questionnaire and interview as data collection strategies. From the Ministry of Housing and Urban Development 166 employees will be selected through random sampling method as respondent. It is include 160 participants for questionnaire and 6 participants for the interview.
The study will mainly focus on to identify the effectiveness of performance appraisal system on employee’s performance and to find the relationship between performance appraisals on employee motivation.
Table of Contents
Abstract 2
List of Diagrams 4
List of abbreviations 4
Chapter 1 6
Introduction 6
Problem Statement 8
Rationale for the Study 9
Purpose Statement 9
Research Objectives 9
Research Questions 9
Research Hypothesis 10
Chapter 2 11
Literature Review 11
Performance Appraisal 11
Performance appraisal model 11
Conceptual framework 16
Chapter 3 17
Research design and approach 17
Population, study sample and target group 18
Selection of Samples 19
Data collection strategies & instrument 19
Data analysis 21
Ethical considerations 21
Limitations of the Study 22
References 23
APPENDIX A 27
Appendix B 37
List of Diagrams
Diagram 1: Performance management cycle
Diagram 2: Levels of Maslow’s Hierarchy theory
Diagram 3: Conceptual framework of the study
List of abbreviations
PA: Performance Appraisal
CSC: Civil Service Commission
HRM: Human Resource Management
Chapter 1
Introduction
High quality services from the institutes are critical to the lives of citizens, and ensuring their provision is an essential function for the governments. Today, the citizens of developing nations are very much dependent on the services provided by the public sector/civil servants for various purposes. In order to improve the services, today developing countries are going through profound restructuring. One of the most widespread tools used to reform the service is adapting the performance appraisal system.
PA is a crucial component of HRM in most organizations and one of the most significant duties for human resource and supervisors. Therefore, the Performance review information is used for numerous aims including decisions about promotions, payment, staff feedback and development, career progress, motivation and other organizational interventions.
Therefore the researcher will be studying about the current performance appraisal system used in Maldives Civil Service since 1st February 2009 which is also being used by the employees of the chosen Ministry. This study will focus to analyse the effectiveness of PA system for the employees of Ministry of Housing and Urban Development.
Ministry of Housing and Urban Development
Ministry of Housing and Urban Development is a ministry of the government of Maldives mandated with developing national plans and working towards policies and targets which are cohesive. It is also mandated to provide technical assistance in formulating projects with cooperation from other government institutions. In addition finding finances for implementation of development projects is also a work which is to be done by the ministries. It also has to promote the involvement of NGOs in national development. Moreover, it acts as the focal point for works related to achieving sustainable development goals of United Nations.
The ministry is structured so that the top layer of the officials is appointed by the president. Below them are the civil servants who are chosen on the basis of merit and are expected to be professional, non-biased and with integrity.
History of performance appraisal system in Maldives
In 1980’s the related authorities understood that there is a necessity for establishing a Performance Appraisal System for the Maldivian Public Service, but the first Performance Appraisal System was established for the whole of Public Service during 1996 and was halted in 1999. The reason for suspending the system was that the objectives of introducing the system were not being achieved.
After reviewing the system, a new Appraisal System was introduced and conducted as a preliminary project during 2002 and 2003, for some of the selected government organizations. In April 2004 all government organizations was directed to implement the system across the board. Even so, from the experience of the previous two years and from the experience of the first appraisal system, it is beyond doubt that the current system will face fundamental obstacles to be institutionalized across the public service.
Problem Statement
As mentioned by (Latham & Wexley, 1994) the effectiveness of an organization’s performance appraisal system plays an essential role in the effectiveness of its training, selection, and employee motivation practices. Performance appraisal is also known as an organizational tool which supports the organization to ensure that employees are contributing enough to achieve organizations goals and objectives.
In accordance to (Rudman, 2003), performance appraisal has both positive and negative impacts to the organizations. Therefore, the employees who obtain a high score in their appraisal are generally stimulated to perform well and prolong their good performance.
Numerous studies have proved that performance appraisal system is a fundamental tool to maintain and expand the service quality of any organization and employees performance.
Thus, the facts have revealed that Maldives civil service have reviewed and restructured their performance appraisal system several times.(Civil Service Commission,2019) These frequent reviews and restructures indicate that there are issues in the system. Therefore, the researchers Overall aim is to analyse the effectiveness of performance appraisal system on civil servants performance from the latest reviewed and restructured of performance appraisal system used by Maldives civil service.
Rationale for the Study
The citizens of developing nations are today highly dependent on the services provided by the public sector. This study is significant to Maldives because the performance appraisal system adapted by the civil service of Maldives has been reviewed and restructured several times. Therefore, the researcher aims to analyse the effectiveness of performance appraisal system on civil servants performance works in Ministry of Housing and Urban Development from the latest reviewed and restructured of performance appraisal system used by Maldives civil service.
Purpose Statement
The main aim of this study is to analyze the effectiveness of performance appraisal system of Maldives civil service.
Research Objectives
To identify the impact of performance appraisal system to increasing employees performance
To identify the relationship between performance appraisals on employee motivation.
Research Questions
Following are the research questions for this study;
RQ.1- Qualitative: How effective is performance appraisal system on employee’s performance from employee’s perception?
RQ.2- Quantitative: Is there is a relationship between performance appraisals on employee motivation?
Research Hypothesis
The performance appraisal system in the Maldivian Civil Service is influenced by various factors which leads the CSC to review and restructure it numerous times. Therefore, the research hypothesis of this study is as follows:
H0: There is no relationship between performance appraisals on employee motivation.
H1: There is a relationship between performance appraisals on employee motivation.
Chapter 2
Literature Review
Performance Appraisal
Performance appraisal system is used by organizations to evaluate employee’s performance; normally employees will be appraised once a year. As mentioned by (Cascio, 2015) a fully functional and well-formed performance appraisal system helps to improve the performance of the employees by by identifying the areas where performance is consistently low.
In accordance to (Armstrong, 2006) PA is defined as the formal evaluations and rating of subordinates by supervisors at an annual meeting. According to (CIPD, 2013) PA is a chance for individual employees and those who are concerned with their performance, to involve in a conversation about employee’s performance and growth.
Moreover, (Fletcher, 2001) states that the main objectives of performance appraisal includes, Motivating employees, successful planning and identifying potential, enhancing manager subordinate dialogue and formal assessment of unsatisfactory performance.
Performance appraisal model
The concept of Performance appraisal system plays a crucial role in human resource management of any organization. There are many who practiced models in performance appraisal system. Numerous experts have clarified the concept in their own ways. According to the researcher the most relevant model for the purpose of study is “Performance Appraisal Cycle” which was formulated by Mabey (Agarwal, 2011). The elements prescribed in performance appraisal system cycle are shown in the diagram 1.
Diagram 1: Performance management cycle (Agarwal, 2011).
Theory related to performance appraisal
Numerous theories has explained the performance appraisal of employee and motivating employees. Hence, for the purpose of this study the researcher chose Maslow’s hierarchy of needs theory to evaluate the objectives and questions of this study.
Maslow’s Hierarchy of needs theory was proposed by Abraham Harold Maslow, the theory specified five hierarchical needs which could be applicable to both employee’s performance and organizational performance.(Gordan,1965) According to Maslow’s hierarchy of needs theory a person or an individual does not feel the second need until his/her first need is fulfilled or satisfied. It is very clear that motivation and performance of the employee is depending on the employee satisfaction. In order to keep intact Performance
appraisal system must ensure numerous employee satisfiers like financial and non-financial rewards, training coaching, promotion and various other benefits. The diagram below shows Maslow’s Hierarchy of need.
Diagram 2: Levels of Maslow’s hierarchy (Maslow’s1943, 1954)
Performance appraisals on employee motivation.
There are a various range of studies conducted on the effects of PA on staff motivation, many of which determine whether establishing financial incentives scheme might ‘crowd out’ public servants’ intrinsic motivation. The studies indicates that intrinsic motivation is as, or more, crucial than financial incentives in motivating conduct, and also some evidence indicate that financial incentives can ‘crowd out’ this intrinsic motivation.
Moreover, some studies demonstrate that more participative schemes intensify employee acceptance and motivation (Schmidt, 2011). Thus, in education, various studies indicate that PA had a determinable influence on teachers’ job satisfaction and motivation (Gius, 2013). As per (Leigh, 2013) teachers are often discouraging of PA systems, especially those based on systematized test scores, which make feel they fail to capture very vital aspects of performance.
Increasing Employee’s Performance in Performance Appraisal System
Employees’ perceptions about performance appraisal system
According to (Buchner, 2007) maximum number of employees has a pessimistic thought about the performance appraisal system. Employees notice that the system misleads employees without rewarding their hard work. However, the research shows that a well-established PA system can motivate employees to be more productivity. As said by (Michelle & John, 2006) the attitudes toward performance management influence the performance of employees in organizations.
Challenges in implementing Performance Appraisal System
Performance appraisal is implemented and practiced with high expectations; but most of the times it leads to disappointment which produces more conflicts, problems, and resistance than it do a positive result. As said by (Lawler, 1998) most challenging task for HRD practitioners is to establish an effective performance management system that eliminates the negative consequences and generates the positive ones for individual and organizational performance.
In accordance to (Robert & Angelo, 2011) the main reasons behind failure of the system are failure in ability to attract, develop, retain, empower and reward a diverse array of appropriately skilled people.
Furthermore as mentioned by (Fried & Tiegs, 1995) the challenges in implementing successful performance appraisal system include, the complex procedures used to assess subordinates, elements which cause bias in assessment, rewards and progress handled by a single supervisor, employees working under same supervisors after the appraisal process and performance appraisal aims to limit the collective aspects of work.
In accordance to (Ahmad & Bujang, 2013) mentioned in their study that the key concerns faced in implementing performance appraisal during the 21st century are problems raised related to the raters. Several of these issues are that; raters who assess the performance of the employees usually do not understand the idea of PA and they do not have enough understanding about the standard measurement required to measure employee performance.
Benefits of implementing Performance Appraisal system
As stated by (Brown & Heywood, 2005) the performance appraisal is formalized way of monitoring the work force and it is proposed to be a management tool to enhance the performance and productivity of worker.
Furthermore, as mentioned by (Fletcher, 1996) performance appraisal provides a platform for employees to look forward their goals and objectives, this leads them in successful completion of their job tasks.
PA is also a method of enhancing employee training and development as it provide information about the strength and weaknesses in performance, which create an argument how to improve the performance of employee.
Conceptual framework
The conceptual framework of the study shows that well established performance appraisal system leads to employee motivation and attitude which in return contributes towards increasing the employee performance.
Diagram 3: Conceptual framework
Chapter 3
Research Methodology
Research design and approach
A research design is used to build the research, which requires that all the main elements of the research have been designed to work together. For the purpose of this study the researcher will be doing a mixed method which means the data collection of this study will be done by mixing the both quantitative qualitative method. For this study mixed method was chosen by the researcher because by using both methods strengths the study in order to provide a broader perspective on the overall study area.
Quantitative research methods are research methods dealing with numbers and anything that is measurable in a systematic way of investigation of phenomena and their relationships. Generally the methods used in this method for data collection are through different forms of surveys like online, paper, mobile, face-to-face interviews, telephone interviews, longitudinal studies, website interceptors, online polls, and systematic observations.
Qualitative research is a kind of social science research that gathers and works with non-numerical data and that pursues to interpret meaning from these data that help to comprehend social life through the study of the targeted populations or places (Crossman, 2019). The approaches of qualitative research include observationandimmersion , interviews, open-ended surveys , focus groups , content analysis of visual and textual materials, andoral history .
Population, study sample and target group
In a research population is defined as the total of all the individuals who have certain characteristics and are of interest to a researcher. The total population is the 289 civil servants working in Ministry of Housing and Urban Development. In a research there are two types of population namely; target and accessible population. For this study the population will be target population, which is being chosen because the research is targeted to the civil servants of Maldives.
Target group chosen by the researcher for this study are the civil servants, who works for Ministry of Housing and Urban Development
In research sampling is a method used in statistical analysis in which a set number of observations are taken from a larger population. Probability sampling and non-probability sampling are the both key methods used in sampling. Probability Sampling techniques are random, systematic and stratified sampling. Moreover Non-probability techniques are purposive, convenience and quota sampling.
For the purpose of this research for quantitative will be using random sampling method and qualitative will be using purposive sampling method.
Selection of Samples
The total sample size of this research is 166 participants. Researcher chose a small sampling size because with a small number of sampling the research will be easier to conduct. Moreover, due to the time limits researcher chose a small number of sampling. Thus, the participant who will fill the questionnaire is civil servants.
Furthermore, for the qualitative analysis the researcher had individual interview with 06 senior level people from Ministry of Housing and Urban Development.
According to (DeVault, 2019) confidence level is an expression of how confident a researcher can be of the data acquired from a sample. Confidence levels are stated as a percentage and specify how often that percentage of the target population would give an answer that lies within the confidence interval. The confidence level for the researcher for this study is 95% as due to the time limit and various limitations the researcher chose the civil servants who are working in Ministry of Housing and Urban Development.
Data collection strategies & instrument
The data collection strategy for the purpose of this study will be in the form of tested questionnaire and interview.
Questionnaire
The researcher decided to choose questionnaire because gathering data through questionnaires is highly effective, moreover this method is a low-priced method from which the researcher can gather data from the participants. Hence, the questionnaire will be distributed to 160 civil servants who work for Ministry of Housing and Urban Development.
Interview
Interviewing or an interview is known as a conversation between two or more persons. This method was chosen by the researcher because through this method it will be easier for the researcher to understand participant’s perception regarding the matter more thoroughly. Through the interview the researcher will get in depth information about the study through the 6 senior level people who works for Ministry of Housing and Urban Development.
Instrumentation
Main instruments related to the purpose of this study; used in the mixed method are of closed-ended questionnaires and interviews. As for quantitative data collection the researcher will use the Questionnaire method. The types of questionnaires are Closed-ended questionnaires, open-ended questionnaires .For the purpose of this study the researcher will chose close-end questionnaire. In this study for the qualitative data collection the researcher used Interview method. Basically interview can be conducted through; face-to-face and group or collective formats.
Data analysis
Following is the Data Analysis framework which will be used by the researcher to conduct this study.
Firstly, the researcher will be analysing data and code will develop for the research.
Secondly, the researcher will identify the patterns and themes which are having a relationship for the data.
Thirdly, the researcher encode the data to the report format
Ethical considerations
Ethics is the study of what it means to “do the right thing.” When doing researches the researchers should be attentive of the ethical and professional considerations which may rise because of the study.
Consequently, the researcher’s purpose is to adhere to all the procedures to follow proper ethical considerations. Therefore, there will be low risk between the researcher and the participants. However, participants will be ethically managed and complete discretion. Furthermore, they will be ensured throughout the whole process in order to maintain their confidentiality. Moreover, individual consents were acquired from all participants of the research using consent forms.
Limitations of the Study
The limitations of the researches are those characteristics of design or methodology that influenced the interpretation of the findings of the research. For this research the researcher will be using probability sampling method for 166 participants, and 06 participants for the interview among civil servants who works for Ministry of Housing and Urban Development. There is a possibility that choosing the participants just one government institute may not clearly show the ‘real’ picture of the system. But due to the easy accessibility and the time constraint researcher had to conduct the research Ministry of Housing and Urban Development only.
References
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APPENDIX A
Tested Questionnaire- A research done by Enkhjin Chuluunkhuu from National College of Ireland in 2010 from the topic “The effectiveness of performance appraisal”.
1. Q u e stio nn aire ( E m p loye e s)
All information obtained from this survey will be treated in the strictest confidence, and will only be available to the researcher and her supervisors.
Please tick the appropriate box.
1. Length of employment in the company:
0-4 year 5-9 years 10-19 years 20 years or longer
2. Your age group:
Under 25  
