AN ASSESSMENT OF THE PERFORMANCE APPRAISAL PRACTICE: The CASE OF NATIONAL ALCOHOL AND LIQUOR FACTORY

Abstract

This study was designed to assess the practices of employees’ performance appraisal system in National Alcohol and Liquor Factory. The study employed descriptive survey research design. Survey questionnaires, semi structured interview, and document analysis were used to collect data in the study. Quantitative data were analysed by SPSS using descriptive analysis, whereas qualitative data were analysed qualitatively. The target population of the study comprised of 352 employees of National Alcohol and Liquor Factory. A sample of 187 employees was selected from the Mekanisa branch (Head office) using Random sampling technique. The reliability of the instrument was measured using Cronbach Alpha and the result was 0.801, which refers there is the reliability of the measuring instruments. The result of this study shows that performance appraisal form and its content, and accuracy of rating are moderately practiced. The study has found out that the NALF appraisal system lacks acceptability and sensitivity which is due to the subjective appraisal criteria and these criteria are not in line with the job description of employees. NALF in general has areas of improvement in; considering factors hindering performance during appraisal. Finally, NALF management need to correct the Appropriateness of appraisal forms and its content and should have increase the accuracy of rating by increasing the skill and knowledge of the supervisor about performance appraisal system.