BARRIERS TO EFFECTIVE PERFORMANCE APPRAISAL IN PUBLIC SECTOR ORGANIZATIONS (A CASE STUDY OF WARRI PETROCHEMICAL COMPANY)

ABSTRACT

This  work  centers  on  the  Barrier  to  effective  performance appraisal in public sector organizations. A case study of Warri Petrochemical Company. A total of 1,693 questioners were distributed to both supervisors and factory workers and they all agreed that company policies have positive effect on performance appraisal of workers.

CHAPTER ONE

1.1  BACKGROUND OF THE STDUY

Public  sector  organizations  are  government  owned enterprises established to provide specialized products and /or services in the economy. People from diverse interests are appointed by government to make policies as well as handle the day to day running of these organizations. Usually, the aim of government in establishing these corporations is to ensure that businesses do not unduly exploit the masses through exorbitant prices. Management of these corporations are therefore excepted to pursue this goal of government and in the process manage them in the best public interest.

To current out this task, management assembles other categories of workforce and assign duties to them in line with organizational objectives. Several policies are equally put in place to  ensure  that  all  employees  are  in  tune  with  organizational vision, with performance appraisal which is a periodic review of individual behaviours carried out within the company. Performance evaluation has to appraise the worker from assigned duty.   As   observed   by   Nnabugwu   (2009:118),   performance

appraisal treats each employee separately, but collectively to look at the goals of the enterprise. The chief aim of employee appraisal is  to  assess  the  extent  of  resource  approximation  by  the employee.  Nnabugwu  notes  further  than  policy  formulation policies to guide each worker’s performance. It is this guideline that is used to assign job to each worker, hence, a means to also appraise him. Put succinctly, performance appraisal is a management technique of ensuring that each worker performs his  task  creditably  in  line  with  the  assignment  and  he  is marginally rewarded above the co-average performer-worker.

Every company formulates objectives, which are the goals it sets to achieve using the resources at its disposal. It then goes to guide performance of workers to achieve the set objectives. It is a product of top management. They stipulate the level of acceptable behaviour from workers outside of which there is discipline. According  to  Mc  Peters  (2006:100)  policy  is  a  standard  for decision making in any organization. He argues that every organization makes policies after making objectives to direct workers  on  what  to do  at  any  time.  It  could  be  to  use raw materials   at  any  particular   time,  acceptable  organizational politics,   channel   of    internal    conflict   resolution,   market

penetration strategies, production techniques allowed, method of ergonomics allowed, method of procuring raw materials and other purchases and permissible human capital development.

According to Nnabugwu (2009:64), resource optimization works well with specific policy formulation. He notes that there is no maximization of value without resource optimization, adding that policy streamlines management action, which the worker is expected  to  fall  in  line  with.  He  notes  that  every  aspect  of business is guided by policy and that the worker who does not see to the use of policy to foster productivity is at variance with management  principles.  In  rendering  social  services  to  the vicinity, every business is guided by policies, which are administered  by  the  concerned  staff  so  as  to  optimize  the resources being so allotted in order to keep the firm in business. If such services were not guided by policies, they would be rendered out of proportion, which jeopardizes the business.

In dealing with government, policy guideline is the yardstick of the staff. Government policy has to be interpreted by company management who  brings out its policy to remain in business while obeying government policy. In the conflict resolution, management uses policy to deal with individual reactions so that

the balance of objectives with workers demands is possible. As notes Bolaji (2008:213), there is no aspect of management that policy does not apply. It is purely a function of top management but the application is at all levels of work environment. This research work looks at the barriers to effective performance evaluation in public section. A case study of Warri Petrochemical.

1.2  STATEMENT OF THE PROBLEM

In Warri Petrochemical as in all other government parastatals, firms formulate policies without really understanding the real use to guide action of workers. Many firms have been associated  with  discrimination  in  promotion  and  award  of benefits to workers. This is largely attributed to poor performance appraisal.   Often,   the   company   policies   do   not   lay   down procedures for performance appraisal which makes appraisal of workers not to  follow any known  principles. The workers are worse off most times after appraisal exercise. Workers sometimes do  not come to work early enough which biases performance appraisal. Management base effective performance appraisal on the outcome of revenue general from sales. Thus, workers are made to suffer for a variable they have no control over.

In Warri Petrochemical, there is clearly lack of policy on social responsibility and organizational politics. Also, there is no policy on internal training of workers on the job apart from the initial induction course for new intakes. All these affect performance of workers in Warri Petrochemical.

1.3  OBJECTIVES OF THE STUDY

The following objectives dare formulated by the study:

1.      To  determine  if  and  how  company  policy  constitutes  a barrier to effective performance appraisal in Warri Petrochemical.

2.      To evaluate how workers promptness to work affect effective performance appraisal in Warri Petrochemical.

3.      To assess how government interference constitute barrier to effective performance appraisal in Warri Petrochemical.

4.      To investigate how revenue generation constitute barrier to effective performance appraisal in Warri Petrochemical.

5.      To study the way social responsibility constitute barrier to effective performance appraisal in Warri Petrochemical.

6.      To find out the way organizational politics constitute barrier to effective performance appraisal in Warri Petrochemical.

1.4  RESEARCH QUESTIONS

The  following  research  questions  are  formulated  by  the study:

1.      What   is   the   effect   of   company   policy   on   effective performance appraisal in Warri Petrochemical.

2.      How does promptness to work effect effective performance appraisal in Warri Petrochemical.

3.      To  what  extent  does  government  interference  constitute barrier to effective performance appraisal in Warri Petrochemical.

4.      How does revenue generation constitute barrier to effective performance appraisal in Warri Petrochemical.

5.      In which way does social responsibility constitute barrier to effective performance appraisal in Warri Petrochemical.

6.      How   does   organizational   politics   constitute   barrier   to effective performance appraisal in Warri Petrochemical.

1.5  RESEARCH HYPOTHESES

The following research hypotheses are formulated by the research:

H1:   Company    policies    have    positive    effect    on    workers performance appraisal in Warri Petrochemical.

H2:   There   is   bearing   between   performance   appraisal   and promptness to work by workers in Warri Petrochemical.

H3:   There is positive correlation between performance appraisal and government interference in Warri Petrochemical.

H4:   There   is   correlation   between   revenue   generation   and performance appraisal in Warri Petrochemical.

H5:   There is relationship between high social responsibility and performance appraisal in Warri Petrochemical.

H6:   There  is relationship between performance appraisal and organizational politics in Warri Petrochemical.

1.6  SIGNIFICANCE OF THE STUDY

This study shall be of immense benefit to the management of manufacturing firms in better assessment of the effect of company policies on worker performance. Companies shall find out that their policy formulation shall be better carried out using the recommendations given herein. They shall find out that obstacles against better formulation of policies are better addressed using the recommendations in this book.

Also government shall discover that the findings of this research work shall be greatly useful in addressing utility problems. It shall guide actions to reach out to greater number of people at time in the service rendering actions. The general public shall find out that they shall be the more enlightened to deal the government and company matters without gross mistakes, the study shall be a great resource bank for researchers due to the wealth of recommendations given.

1.7  AREA AND SCOPE OF THE STUDY

The study is carried out in Warri Petrochemical. The respondents to the questionnaires given are: Managers, Supervisors, Clerks and Computer Operators.

1.8  LIMITATIONS OF THE STUDY

To get at the respondents to give time for the questionnaire was  quite  difficult.  Many  of  them  raised  objections  to  the questions and feared divulging information. This lingered until Public Relations Officers came and cleared the air and stressed that it is purely for academic reasons. This however prolonged the time for the completion of the work as well as resources.

1.9  DEFINITION OF TERMS

Job Rotation: The process of transferring an employee from one job to another at similar level in an organization so  as  to  give  him  wider  experience.  (Akpala,

2000:86).

Job Specification:   A description of the personal characteristics required    for    performing    a    job,    eg.    skill,

experience, special attitudes, and summarizes the working conditions. The specification include limitations to authority, special relationships etc. (Anthony, 1998:114).

Key Result Analysis: Activity of identifying areas of a manager’s job that are vital to the success of the job in the organization and quantifying the results that a manager must achieve in each area (the term is used  in management  by  objectives). (Bashaam,

2000:100).

Line and Staff:       A structure in an organization that consists of  line  executive  and  staff  advisory  functions. (Bill, 2000:65)

Local Area Network (LAN): Computers linked by cable within a relatively close distance from one another. All computers can be linked in a building to host computer system which stores all company files. (Best, 2008:211)

Long-range Planning: The process of preparing plans that cover long   periods   (cover   five   years).   Similar   to corporate planning. (Blendell, 2001:64).

Loss Leader:   Goods sold by a retailer at a loss to encourage people to enter the shop and buy other items, which  hopefully  make  a  large  profit.  (Bioatofa,

2008:09).

Management Charter Initiative: This seeks to improve the development  and  competence  of  managers  at work and is based upon their performance in the workplace. It has the backing of the British government, the Confederation of British Industry (CBI) and many employers. (Captain, 2009:31)

Management Competence: The ability to perform management functions to agreed standards of performance. (Christopher, 1996:114).

Management Development: A process within an organization aimed at securing and improving the human resources so as to meet present and future needs. It includes performance appraisal and training,

the  acquisition  of  skills  and  improvements  in attitude and personality. (David, 2004:41)

Management Style: The way in which a manager characteristically conducts his dealings with his subordinates. (Discover, 1999:84).

Management by Objectives (MBO): A procedure for planning the work of managers in an organization, whereby a manager and his superior analyses tasks to be accomplished by the manager, and set out with specific  targets  and time  limits.  The  aim  is  to integrate the objectives of the organization with those of individuals. (Deenkwo, 2008:61).

Managerial Grid: A grid designed by Blake and Mouton which classifies managerial style as a position on scales of 9 points, showing concern for people on they axis and concern for production on the x axis. The preferred style is said to be 9:9 this refers to a  style with high concern for both people and production. (Emil, 1996:91)

Manpower Planning: A technique to estimate the number and type of employees required in an organization to meet present and future needs and making plans to meet requirements. (Edward, 2008:44)

Marketing Mix: A combination of marketing methods used by a firm to market its products. The main variables are price, place, product and promotion. (Fanny,

2006:16)

Mentor:          Formal pairing of one employee with another, who provides personalized guidance and support. (Generally managers from a different function or department). (Ford, 2009:124).

Merit Rating: A technique for assessing an employee’s performance and personal qualities. It is usually applied to administrative staff assessment (Goldsmith, 2002:22)

Method Study: An aspect of  work study. A study  of jobs to ensure they are performed in the best possible way. Normally it precedes work measurement. (Jenny, 2002:13)

Motivation: The keenness of a person to exert effort in order to achieve a desired outcome or goal which satisfies an individual need. It is the study of motivating people to behave in a particular way (motivation theory). (Jackson, 2000:29)

Negotiations: A term used to describe the bargaining between employers and trade union representatives, with the objective of obtaining mutual agreement to improve  terms  and  conditions  of  employment. (Joe, 2001:77)

Nominal Value:       A value assigned to shares for the purposes of description or identification or as a basis for calculation. (Jonah, 2000:25)

Organization  and  Methods  (O  and  M):  A  term  used  for techniques used in method study and work measurement  when  applied  to  improving  the ability of an organization to achieve its goals by the   more   effective   use   of   people.   (James,

2009:14).

Overtrading: A term used to define the financial position of a company when the incoming cash flow is not adequate to service the outward cash flow requirements.  A  company’s  scale  of  operations are expanding at a faster rate than can be supported    by    financial    resources.    (Kaizen,

2009:54)

Payment by Result (PBR): A system of payment, whereby employee’s earnings are related to the work done and other factors which are within the control of the employee. Employees are rewarded for extra effort, so that they also share in the benefits of higher productivity. (Leonard, 2006:91)

Performance Appraisal: Assessment of how well an employee does  his  job,  often  carried  out  as  part  of  the formal procedure of an organization in which regular assessments are made and results recorded, and action taken to improve performance. (Moha, 2005:28)

Portfolio:       A collection of work presented as evidence of achievement. It may include any materials, which are relevant  and portable, for  example, written work,   photographs,   drawings,   audio-cassettes and video-cassettes. (Malcolm, 2002:62)

Prestel:           A view data system. A computerized information system  providing  business  and  general information obtainable by a television set connected to a telephone line. (Michelle, 2006:87)

Quality Control:     The activity,  process or study  of ensuring that the output of production processes conforms with an agreed standard. (McJones, 2009:96).

Redundancy:  The loss of a job on the grounds that it is no longer required or available at a place of employment

Role Playing:  A training technique in which a trainee is asked to assume a specified role and act out a situation which involves that role. (McDavis, 2004:44)

Standard:        The agreed and recognized levels of competence, to  be achieved through training  or  required to perform a job or range of jobs. (Nature, 2000:01)

Supervisor:     A  person  who  directly  supervises  the  work  of others (e.g. a foreman). The role is that of a manager who ensures that tasks specified are performed  correctly  and  efficiently.  (Onwutebe,

1999:21).

Synergy:         A concept which suggests that the investment of additional resources produces a return which is proportionately greater than the sum of the resources invested (often known as the 2-2=5 effect). (Peter, 2005:25)

Telecommuting:     This refers to situations where people do not commute from  home to work, but whose work commutes to them through the medium of a computer  terminal  in  their  homes.  (Peterside,

2008:18)

Training Needs Analysis: A logical approach to the assessment of the training and development need of groups of

employees. The needs of the job and the needs of the  individuals  are  clarified  in  terms  of  the training that is required. (Pressy, 2009:48)

Transferable Skills or Abilities: Skills or abilities, which can be applied  in  a  variety  of  contexts.  Core  skills, general abilities, generic skills and process skills are proposed as being transferable, in contrast to specific  skills   and  product  skills   which   are defined   as   being   non-transferable.   (Planner,

2000:14)

Value Analysis:       An activity which considers the function and costs of all the parts of the design of one of a firm’s products, to see whether any changes in materials, design or manufacturing methods will increase the value of the product to the firm. This could be a reduction in cost in addition to improvement of the product leading to increased sales (sometimes known as value engineering). (Plato and Rice, 2009:45).

Work Measurement:       A  techniques  used  in  work  study  to establish the time for a qualified worker to carry out an agreed job at an agreed level of performance. (Called time study in the USA Peter,

2001:06)

Work Study:    An  activity  which  includes  method  study  and work measurement and involves examining work with a view to making improvements in economy and efficiency. (Usually called motion and time study in the USA). (Philip, 2008:38).

Worker Director:    An employee of a company who is elected to serve as a  member  of a board of directors, to represent the interest of the employees of the company. (Price, 2000:01)

₦5,000.00 – DOWNLOAD FULL PROJECT DOWNLOAD FULL PROJECT Added to cart

---

---

---

---

Related Project Topics :