Bus Admin Project
Bus Admin Project
Bus Admin Project
INTRODUCTION
The meaning of Performance appraisal is seen to be the assessment made on a job of a worker’s
production in a specified duration. It is synonymous to a report card on employee and how
authorities measure their activities during the preceding year. As workers who happen to work in
various units will affirm, there is no same appraisal performance that will exist in a firm. The
many different structures and ways are attainable in many establishments. Given the fact that
there are assessments that are effected so badly that they are designed for both failure and
creating an experience that may not seem positive for manager and employees. It is seen also as a
way performance and productivity of individual employees is assessed so as to determine his or
her contribution to the development of the organization for the attainment of their main
objectives. There are varied ways for the assessment of a performance of a worker in
organizations. But the main reason is to have an approximate job performance of individual
employees towards the attainment of the objectives of that organization. It is similarly done for
promotions of the employee and transfer to other tasks and positions within the organization
(Eldman and Arnold, 2009).
The purpose for performance appraisal is to help enhance productivity in organizations. It will
help measure the productivity of organizational members and it is quite paramount and sensitive
in managing human resources, the reason is that the outcome of the output of workers helps in
making the organization succeed. It is important to indicate here that some authorities use this to
downsize or under-score the efforts of workers who are not their favorites. Thus, a proven
performance appraisal process joints the work place and the workers together and show the
workforce what they are expected to do, and where they may function appropriately in the
organization. It is used together with the productivity of an employee to identify a worker’s
chance for upgrading, improvement and ranking into other high ranks of offices. Since majority
of employees will like to infer the leaders‟ thoughts of their output places performance
assessment in a contested spot. People who work in organizations with few workers and who
usually interacts between their managers and themselves, generally know what the authorities
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expect from them. But, in big organization, the magnitude of interaction is almost nonexistent
that many workers may lack the ability to predict actually what their leader’s perspective about
them might be and the outcome of their output assessment will likely result in Donli (2008).
Performance appraisal is seen as a mechanism that stands in administering a place of work and a
worker there in such way that an individual and/or group can attain the outlined institutional
objectives (Fletcher, 2001; Esu and Inyang, 2009). But also, performance appraisal stands for
more than an outline of individual activities that has a goal of assessing and adapting worker
performance.
One of the important elements to motivate employees for contributing their best effort to
generate innovation ideas that lead to better business functionality and further improvise
company performance both financial and non-financially is reward. According to Dewhurst
(2010), there are other means to reward employees that do not just focus on financial
compensation. Some of these include the praised that employees are able to acquire from their
managers, the opportunity to take on important projects or tasks, and even leadership attention.
Much research on leader power have found that supervisor reward power would be positively
associated with employee task performance, productivity, satisfaction, turnover, and
organizational citizenship behaviors( Simon,1976; Martin & Hunt, 1980; Jahangir, 2006).
Employee will give their maximum when they have a feeling or trust that their efforts will be
rewarded by the management. There are many factors that affect employee performance like
working conditions, worker and employer relationship, training and development opportunities,
job security, and company’s overall policies and procedures for rewarding employees, etc.
Among all those factors which affect employee performance, motivation that comes with
rewards is of utmost importance. Motivation is an accumulation of different processes which
influence and direct our behavior to achieve some specific goal (Baron, 1983).Rewards can be
extrinsic or intrinsic, extrinsic rewards are tangible rewards and these rewards are external to the
job or task performed by the employee. External rewards can be in terms of salary/ pay,
incentives, bonuses, promotions, job security, etc. Intrinsic rewards are intangible rewards or
psychological rewards like appreciation, meeting the new challenges, positive and caring attitude
from employer, and job rotation after attaining the goal. According to Luthans (2000), there are
two basic types of rewards, financial and non-financial and both can be utilized positively to
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enhance performance behaviors of employees. Financial rewards means pay-for-performance
such as performance bonus, job promotion, commission, tips, gratuities and gifts etc. Non
financial rewards are non monetary/non cash and it is a social recognition such as
acknowledgement, certificate, and genuine appreciation etc. The non financial rewards is also
called materials award (Neckermann and Kosfeld, 2008).
Desired performance can only be achieved efficiently and effectively, if employee gets a sense of
mutual gain of organization as well as of himself, with the attainment of that defined target or
goal. An organization must carefully set the rewards system to evaluate performance at all levels
employee’ and them rewarding them whether visible pay for performance of invisible
satisfaction. The concept of performance management has given a rewards system which
contains; needs and goals alignment between organization and employees, rewarding employee
both extrinsically and intrinsically. The system also suggests where training and development is
needed by the employee in order to complete the defined goals. This training or development
need assessment of employee gives them an intrinsic motivation. Frey (1997) argues that once
pay exceeds a subsistence level, intrinsic factors are stronger motivators, and staff motivation
requires intrinsic rewards such as satisfaction at doing a good job and a sense of doing something
worthwhile.
There is mix finding in the literature to determine which type of reward is more effective to
increase employees’ performance. According to Perry et al (2006) financial rewards is not the
most motivating factor and financial results have a de-motivating effect among employee
(Srivastava, 2001). Several studies have found that among employee surveyed, money was not
the most important motivator, and in some instances managers have found money to have a
demotivating or negative effect on employees (University of Texas, undated). On the other hand,
it is also indicated that non monetary types of rewards can be very meaningful to employees and
very motivating for performance improvement. According to him, creative use of personalized
non -monetary rewards reinforces positive behaviours and improves employee retention and
performance. These types of recognition can be inexpensive to give, but priceless to receive. In
this work we will found out the rewards systems that become more imperative to employee
performance. The study evaluates the nature of the relationship between intrinsic, extrinsic
rewards and employee performance.
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1.2 Statement of the Problem
The problem of performance appraisal in the public organization has engaged the attention of
many writers and reform panels and commissions. A lot has been done to improve the content of
appraisal report form. Performance appraisal is supposed to be widely used for administering
wages and salaries, giving performance feedback, promotion and advancement identifying
individual employee’s strength and weakness. In some public organization today, employees are
not appraised based on their performance but on sentiment and bias. For instance, when a
subordinate has a strong dislike for certain ethnic groups, tribe, religion, sex, etc., these bias may
result in distorted appraisal information and this also damage a good working relationship. The
negative feedback will not only fail to motivate the typical employee but also can cause him to
perform worse. As a result of the problems highlighted above which are just a tip of the iceberg
in the problems that can emanate from the administration of performance appraisal, this study
will look into ways by which a result oriented performance appraisal can be conducted.
Most organizations over the years see employee as additional cost as well as liability to their
operations, hence do not remunerate them appropriately, and where it is more appropriate, the
reward system is not commensurate with the efforts and skills that workers put into the
organization’s activities, instead of paying attention on how employees will be reward
appropriately, some organizations concentrate more on other resource, such as materials,
machines and money. The effort is more on how to improve the production process with little or
no consideration for human efforts.
This led to the inability of such organizations to attain their set objective, organization success
relies heavy on how much attention pay to its employees’ reward policies. It is in view of this
that this study seeks to look in to the impact reward system have on employees and organizations
productivity.
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i. Examine the effects of performance appraisal on employees‟ reward management in
Ogun State Ministry of Education.
ii. Analyze the level to which appraisal feedback affects employees‟ reward management in
Ogun State Ministry of Education.
iii. Evaluate the extent to which employees‟ training affects employees‟ reward management
in Ogun State Ministry of Education.
The study will intend to find answer to the following research questions:
i. How are performance appraisal criteria determined and communicated within the Ogun
State Ministry of Education?
ii. What methods and tools are currently used for assessing the performance of educators
and staff in the ministry?
iii. How frequently are performance appraisals conducted, and what is the level of employee
awareness and participation in the process?
Hypothesis 1
(H0) There is no positive correlation between the effectiveness of the performance appraisal
system in Ogun State Ministry of Education.
(HI) There is positive correlation between the effectiveness of the performance appraisal system
in Ogun State Ministry of Education.
Hypothesis 2
(H0) There is significant influence on talent retention and turnover among employees in Ogun
State Ministry of Education.
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(HI) There is no significant influence on talent retention and turnover among employees in
Ogun State Ministry of Education.
Hypothesis 3
(H0) There is no continuous feedback with the performance appraisal process contributes
positively to employee development in Ogun State Ministry of Education.
(HI) There is continuous feedback with the performance appraisal process contributes positively
to employee development in Ogun State Ministry of Education.
This study is significant to improve performance appraisal and employee reward management in
Ogun State Ministry of Education is crucial for enhancing organizational effectiveness. It helps
identify and recognize high performance employees. Fosters motivation, improves job
satisfaction and ultimately contribute to the overall improvement of educational outcomes in the
region.
Additionally, understanding these practices can aid in refining policies to attract retain, and
develop skills educators creating a positive impact on the quality of education in Ogun State
Ministry of Education.
The scope of studying performance appraisal and employee reward management in the Ogun
State Ministry of Education involves examining the existing evaluation systems and reward
structures for educators and staff. It includes analyzing the criteria used for performance
assessments, exploring the effectiveness of feedback mechanisms, and evaluating the alignment
of rewards with individual and organizational goals. The study may also investigate the impact
of these practices on employee motivation, job satisfaction and overall organizational
performance within the specific context of the Ogun Ministry of Education.
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1.8 Operational definition of Terms
This portion contains the operational definition of key terms used in the study.
Performance: Performance means how well a person or machine does a piece of work or
activity. Performance simply means output functioning and how work is been done.
Appraisal: This is an act of estimating or evaluating the quality status or character especially by
one fitted judge.
Reward Management: The process of planning and implementing rewards to motivate and
retain employees.
Employee: An individual who is hired to work for the Ogun State Ministry of Education.
Efficiency: the ability of doing something well and effectively. It is a ratio of useful work
performed or output produced to the total input.
Feedback: The information reflecting past performance and results and given by the manager to
the employee.
Ogun State Ministry of Education: The government ministry responsible for overseeing
education in Ogun State, Nigeria.
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and structured reward systems. The focus was primarily on administrative functions rather than
performance-based assessments.
3. Late 20th Century Shift: Towards the late 20th century, there was a growing recognition of
the importance of performance evaluation and merit-based reward systems in optimizing
organizational effectiveness within the public sector. This shift was influenced by global trends
in management practices and the need for greater accountability and efficiency in government
operations.
4. 21st Century Reform Initiatives: In the early 21st century, Nigerian governments, including
the Ogun State government, began implementing reforms aimed at enhancing public sector
performance and service delivery. This included the introduction of performance appraisal
exercises to assess employee productivity, identify areas for improvement, and align individual
goals with organizational objectives.
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CHAPTER TWO
2.0 Introduction
This Chapter focuses on three major aspects which are Conceptual Review, Theoretical
Framework and Empirical Review.
The key components of reward management include salary, bonuses, benefits, and non-monetary
incentives. The aim is to create a fair and transparent system that aligns employee efforts with
organizational goals. In the context of the Ministry of Education, this could involve recognizing
outstanding teachers, administrators, and staff members who contribute significantly to the
improvement of education in the state.
Effective reward management not only enhances employee satisfaction and motivation but also
fosters a positive work culture. It plays a crucial role in retaining talent, promoting productivity,
and ensuring that employees feel valued for their efforts.
In the globalization age, the workplace realities of previous organizations no longer exist. It is
necessary to revise carefully. It is also important for the organizations to meet and introduce new
motivational tools of employees since the change has been observed on the (Roberts, 2003). Beer
et al, (1984) strongly asserts in their research of changing work environment the reality that
organizations today have totally changed, therefore it is more important for the top management
to carry out new methodologies of developing strong and durable relationship between the
organization and employees for meeting the organizational goals and fulfilling the continually
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changing needs of both parties. Most of the organizations have gained the immense progress by
fully complying with their business strategy through a well balanced reward and recognition
programs for employee.
Deeprose (1994) argued that the motivation of employees and their productivity can be enhanced
through providing them effective recognition which ultimately results in improved performance
of organizations. The entire success of an organization is based on how an organization keeps its
employees motivated and in what way they evaluate the performance of employees for job
compensation. According to Babakus et al. (2003), the perceptions that employees have with
regards to their reward climate influences their attitude towards their employees. In addition, the
commitment of managers towards their organization is also shown by how the manager rewards
his/her employees. Goulder (1960) mentions the norm of reciprocity, which focuses on the
ability of organization to accommodate the needs of their employees, and reward them for their
effort. In exchange for the rewards provided to them, employees should reciprocate by increasing
their commitment towards their organization and their work. Many studies in the creativity
literature have shown that the firm’s perform creatively (Eisenberger, 1992; Eisenberger, Armeli
and Pretz, 1998; Eisenberger and Rhoades, 2001).
The effectiveness of skilled employees is likely to be limited if they are not motivated to
perform. One of the means that organizations can use to enhance employee motivation and
performance is to provide performance-related compensation (Delaney and Huselid, 1996). A
reward and compensation system is based on the expectancy theory, which suggests that
employees are more likely to be motivated to perform when they perceive that there is a strong
link between their performance and the reward they receive( Fey and Bjorkman, 2001; Guest,
2002; Mendonca, 2002). In other words, the compensation system (e.g. profit sharing)
contributes to performance by linking the interest of employees to those of the team and the
organization, thereby enhancing effort and performance( kalleberg and Moody,1994; Huselid,
1995; Kling, 1995). According to Nelson & Spitzer (2002) although cash rewards are welcomed
by employees, managers should never use this as a tool to motivate their employees to improve
their performance levels. Should this happen, there is a change that the essence of the reward
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would be forgotten. In a study conducted by (Bewen, 2000), the researcher warns that managers
should be aware of ‘nonrewards’. Such rewards should be utilized to its full.
Every organization’s reward system should focus on these major areas; compensation, benefits,
recognition and appreciation (Sarvadi, 2010). Benefits such as car loans, medical covers, club
membership, ample office space, parking slots and company cars are ways of rewarding and
employees do note the types of benefit that their organization offers.
Recognition and appreciation are another integral component of a winning strategic reward
system. Recognition is to acknowledge someone before their peers for desired behaviour or even
for accomplishments achieved, actions taken or having a positive attitude. Appreciation on the
other hand centers’ on showing gratitude to an employee for his or her action. Such rewards help
employees to gauge their performance and know whether they are doing good or bad (Sarvadi,
2010).
Cash bonus is another form of reward that organizations use to reward employees for exemplary
performance that is if they have performed higher or exceed their set targets, this hence makes
them eligible (Finkle, 2011). The amount of cash is determined by how high the employee has
over exceeded the set targets or they can also be based on ranks or job groups. Nowadays,
companies are rewarding performance bonuses to junior employees to increase output, unlike the
past where they used to be a privilege of top executives. Performance bonuses are now on the
rise in many organizations because managers want to link performance to reward. (Block &
Lagasse, 1997).
Companies use cash bonuses to reward their employees' performance during the year under
appraisal. But there is also the unspoken expectation that these bonuses will be a factor in
motivating employees' performance next year as well. Employees who receive a large bonus will
likely want to get it next year too. On the other hand, employees who receive a miserly bonus
and it reflects how the company assessed their performance, might consider improving next year
(Finkle, 2011). The task of developing a strategic rewards framework for organizations is usually
challenging but necessary to survive in the competitive and changing market place. The process
however cannot be copied from the organizations but needs to be designed, developed and grown
within the unique environment of the organization (Wilson, 2003). A well designed incentive
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program rewards measurable changes in behaviour that contribute to clearly defined goals. The
challenge in developing such a program lies in determining what rewards are effective agents of
change, what behaviours can be changed and the cost and benefits of eliciting change (Hartman
et al, 1994).
Rewards come in two different types. It can either be in a form of incentive motivation or
personal growth motivation. The former is the kind that comes from within the individual, a
feeling, being proud over something, feeling content and happy by something that you have
done. The later is the type that is brought to you by another person or an organisation (Kaplan &
Atkinson, 1998), and is the one that will hold our focus through this study. Furthermore,
extrinsic rewards can be monetary or non-monetary. The monetary is usually a variable
compensation, separated from the salary it is received as a consequence for extraordinary
performance or as an encouragement and it can be either individually based or group based. The
conditions to obtain this reward should be set in advance and the performance needs to be
measurable (Jaghult, 2005). There exists a variety of purpose of a reward system, one very
common is to motivate employees to perform better, but also for keeping the employee’s (Ax,
Christer & Kullven, 2005). For a reward system to be ideally motivational, the reward should
satisfy a number of criteria; have value, be large enough to have impact, be understandable, be
timely, the effect should be durable and finally the rewards should be cost efficient (Merchant,
2007).
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time it works as a reminder for the person in charge of what results should be completed in
different working areas. Organizations use reward systems to emphasize on which parameters
their employees should exert the extra effort on by including them in their reward program
(Svensson, 2001). This is a good way to emphasize and convince the employees of which
performance areas that are important and create goal congruence within the organization and
signals how the employees should direct their efforts. To motivate is the second control benefit.
People sometimes need an incentive to perform tasks well and work hard. Last but not least we
have the personnel related control benefit. Organizations give rewards for many different reasons
e.g. to improve recruitment and retention by offering a compensation package that is competitive
on the market (Merchant, 2007).
This can be avoided by adding a threshold requirement for the whole company, which then needs
to be fulfilled before a bonus can be paid out in any departments. Factors such as when and how
the reward should be paid out and if there should be a roof (a higher limit of the reward-amount)
are things that always should be specified while designing the system (Jaghult, 2005).
Monetary
“It is certainly not the only form of reward, and it is not necessarily always the best one, but it’s
use is so common that it deserves special mention” (Merchant, 2007). People value money and
therefore making money an important form of reward. Monetary reward systems can be
classified into three main categories, performance-based salary increases, short-term incentive
plans, and long-term incentive plans. The latter two rewards are common on managerial levels
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and are often linked to performance during a specific time period (Svensson, 2001). The first one
is often considered to be the greatest motivational factor of them all (Samuelsson, 1999).
Each and every organization gives salary increase to employees. at all organizational levels. This
is normally a small portion of an employee’s salary, by has a significant values due to its long-
term perspective (Merchant, 2007). Short term incentives in some form are however commonly
used in organizations. A cash bonus is usually based on performance measured on a time period
of one year or less. The employees appreciate the possibility of receiving a reward for their
performance (Svensson, 2001). Using a variable pay can also be an advantage for the company
in terms of risk-sharing. This means that the expense for compensation varies more with
company performance when the total compensation is partly variable, making the cost lower
when no profit is made and when there is a profit this can be shared with the employees.
Rewards based on performance measures over time periods larger than one year are long-term
incentive rewards. By using this, a company can reward employees for their outstanding work
performance to maximize the firm’s long-term value. This also works to attract and retain key
talented persons (Merchant, 2007). Types of these can be stock-option programs, restricted stock
plans or by a reward that is put in a bonus-bank that change according to result and runs over
several years (Samuelsson, 1999).
A very popular type of long-term incentive is some form of a restricted stock plan. This reward is
shares given as a bonus to the employee, however, they can only be sold after certain time
period. After for instance one year, the employee will be able to sell one fifth of the shares, after
two years he or she will be able to sell two-fifths and after three years three-fifths etc. this is a
way to retain competence within the company, not to motivate employees, since if they choose to
end their employment before the fifth year, they will lose the remaining parts. Some firms take
this even further by withdrawing the shares you already received (Merchant, 2007).
Non-Monetary
Be given a thank you from your manager or to receive gratitude from your co-workers are both
examples of non-monetary rewards (Jagult, 2005). Monetary rewards are often accused of being
too short-termed, and not creating a long-term commitment which is normally what you want
from your employees. To achieve long-lasting motivation for the employees the organization
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must pay attention to both the financial and the non-financial motivators, in order to provide the
best mix (Armstrong, 1993).
There are three broad and fairly distinct characterizations of productivity are discernible from
existing literature, one is productivity as a measure of physical output; the other is productivity
as a measure of the relationship between the output of an enterprise and the resources (input)
consumed in producing it; while the third points productivity as a measure of the achievement
of an enterprise against pre-determine objectives or goals over a specified time period.
Physical productivity is based on the numerical magnitude of units of output for a given time
period. Its basic assumption is that resources and in consequence thereof, goods and services
which can be physically counted or weighed are produced. By this logic labour productivity
resolves into the units of output attributable to a unit of labour over a specified period of time
year, month, week, day or hour. The logic implicit in this viewpoint that any volume of output
per worker is productivity as long as it is timed-framed is hardly useful for management
practice in a world crying for raises not only in corporate performance but also in returns on
investment.
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The inadequacy must explain the slightly more quantitative perspective reflected in the words
of Agro (2001), Brand et al (1984) and Fulco (2004) all who thought of labour productivity as
“increased output per man-hour” Fulco (2004) in a study on comparative productivity he
conducted on durable and non-durable manufacturing plants revealed that while productivity
grew modestly in durables as large increases in both output and hours were recorded, a more
rapid productivity gain was experienced in the non-durable goods plants where increases in
output and hours were not as robust”. With this it is believe that labour productivity measured
in terms of physical output per man-hour is both simplistic and a poor guide to management
improvement action by its tendency to equate the phenomenon with any quantity of goods or
services which comes out from a production process without a bench-mark. This is generally
referred to as the economists’ conception of the term, its usage is reflected in the works of
several scholars and practitioners including Udoji (2000), Hayward (2002), Boaeman (2004),
Iyaniwura and Osoba (2002), Udo- Aka (1983) and Reid and Duhas (2002).
The third type and which is the most acceptable conceptualization of productivity is that which
relates corporate achievement over a given time frame to objectives determined in advance of
action. For it the crucial consideration is not output in relation to set targets. And when and
where targets and expectations are not met, the question “why” throws up answer upon which
improvement actions can be based. It needs be pointed out however that this notion of labour
productivity does not enjoy wide acceptance for the reason in the pains involved in the task of
specifying objectives or targets in quantitative terms. It has been argued especially to the work
of government that task and functions are not susceptible to measurement in most
jurisdictions. It was argued further that productivity of routine repetitive work is easy to
measure than that of creative and intellectual efforts. Olugbemi (2000) disagree with this stand
in his book labour productivity in the Nigerian public service.
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productivity benefitted someone other than themselves; they are not conceived that there are
direct relationship between higher productivity, lower cost and increased sales on one hand
and more job security and higher wages and salaries income on the other hand. When these
attitudes and practices exist in any organization, they are difficult to change. Ontiri (2000)
identified Social orientation of society, Improved working conditions, Synchronizing rewards
with higher productivity and Adequate training scheme, as necessary for higher productivity.
There seem to be agreement between the above statements with that of Macdonald (2001) when
he emphasis that technology and productivity are closely interwoven, an office that is with high
productivity tend to incorporate a high degree of technology in their productive process. The
emphasis however is not on the ability of a firm to develop new technology but rather its ability
to incorporate new products and technique together with advanced a management and marketing
skills into an efficient production process. Labour skills and management expertise are important
factors in the process of gaining productivity improvement. Improvement in education and
training can make a substantial contribution to the quality of workforce.
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organization conduct. Employee performance in the Nigerian Civil Service could be brought to
fore as the act of discharging duties by the civil servants as stipulated by the civil service for
efficiency in service delivery.
Training
The literature supporting performance appraisal has acknowledged a number of objectives of the
scheme. Crucial to this is the training requirements of workers. Memoria (2000. p.310) described
training as “a process of learning a sequence of programmed behaviour. It is the application of
knowledge and it attempts to improve the performance of the employee on the current job and
prepares them for the intended job”. According to Cascio (1995, p.247), “training consists of a
planned programme designed to improve performance at the individual, group, and/or
organizational levels. Improved performance, in turn, implies that there have been measurable
changes in knowledge, skills attitude, and/or social behaviour”. The training of workforces as
asserted by Dabale, Jagero & Nyauchi, (2014) is a vital part of the plan to incorporate HRM with
a firm’s occupational approach. Edralin (2011) affirms that the core drive of training is to assist
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and enrich knowledge, behaviour and the total skill of workforces to further expedite the
attainment of organizational aims. Training in civil service is about improving civil servants and
assisting them to develop additional confident and knowledgeable in their jobs as well as in their
lives.
Job Promotion
Appraisal of employee’s performance in the current occupation is a method of evaluating the
person’s suitability or qualification for selection for a higher position (Atakpa, Ocheni &
Nwankwo, 2013). Setlzer (2010) described job promotion in general as “a man of ability who
applies himself conscientiously to his duties and studies may be reasonably assured of reaching a
position of responsibility” (p.748). Beach (1980) says promotion involves reassignment of the
employee to a job of higher rank, which involves the movement from a job to another vertically,
which must be upward and invariably necessitating more responsibilities and (in most cases)
higher pay. It is an advancement to a higher position. Jane (2017) emphasized that if the worker
is performing well, delivering all responsibilities expected and functioning beyond anticipations,
the organization may offer the worker a promotion as an indication of fineness performance.
Anastasia (2015) affirms that promotion enhances the self-esteem of promoted workforces, rises
their output and therefore increases upon the overall incomes received by the organization.
Ameen, Abdulkareem and Bello (2016) assert that promotion in an organization is generally
based on official principles such as merit, the extent of service (seniority), ability, performance
and educational qualification. Promotion in civil service is a procedure via which a civil servant
is offered a better part of duties, a better pay-scale or both. It is a period of progress that a civil
servant chooses while working as far as his employment, status or rank is involved.
Feedback
The purpose of any establishment when carrying a performance appraisal is to obtain feedback.
Spector (2008) described feedback as the information offered to an individual employee about
his performance. In the perfect condition, the worker gets information about how they are doing
in their occupation and where they could develop. The analysis of scholars (e.g. Brown, Hyatt &
Benson, 2010; Roberson & Stewart, 2006; Schraeder, Becton Portis, 2007) have identified that
the feedback tool acts as a way of discovering their weakness and strengths. Many scholars assert
that to better the performance of an employee, it is become vital to first distinguish his extent of
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growth and dimness via feedback (Macey et.al, 2011). Carver and Scheier (1981) note that
workers performance feedback functions as a way of sustaining the requirement for information
on how workforces are achieving their individual objectives and acts as a kind of social
dimension amid their contemporary. Fletcher and Williams (1996) were of the view that there
would be regular meetings amongst the subordinate and supervisor, through which action
strategies should be established and parts/extent where they might not be considered. They
conclude that periodical message between the supervisor and subordinate would effect in a
diversity of positive employment consequence like work satisfaction and organizational
responsibility. Feedback in the civil service is information from the superior/director about how
good or bad subordinate perform his responsibilities. It is a continuous process of letting civil
servants know how they are doing and the organization’s performance against the objectives.
Recognition
Danish and Usman (2010) described recognition as a method of providing a worker a certain
position in an organization. Sims (2002) state that recognition methods are comprises of
incentives, compensation, and benefits offered for the worker as recognition for their role to the
institute. Researchers have also noted that the proper recognition and rewards are very vital to
attracting workforces, hence, the non-appearance of recognitions may drive burnout in the
organization (Maslach, Schaufeli, & Leiter, 2001; Bratton & Gold, 2007; Bhattacharya
Mukherjee, 2009). Khan, Waqas & Muneer, (2017) assert that recognition could take the
appearance of being official for sample meeting or unofficial such as a "pat on the back" to
enhance workforces self-esteem and pleasure which will effect into additional partaking efforts.
However, Recognition in civil service referred to something awarded in exchange for respectable
behaviour or decent work. It defines how the effort and activities of a civil servant are appraised
and how considerable the gratitude he receives in return from the civil service.
Financial Reward
Financial reward and in specific pay are a key issue in an organization because it offers
workforces with a concrete payment for their support as well as a basis of recognition and living
(Thwala et al., 2012; Howard, 1993; Abdullah et al., 2012). Williams et al. (2006) referred pay
to all methods of recompense, such as cash payment (e.g. salary), noncash payment (e.g.
benefits), the sum of increment and the method by which the recompense scheme is overseen.
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Heath field (2014) described pay as “a fixed amount of money and compensation which is paid
to an employee by an employer in return of work performed”. Ting (1997) elucidates two
distinctive forms of pay systems effect on occupation contentment; accomplishment with pay
itself and accomplishment with financial anticipations in the time ahead. However, financial
reward in civil service is referred to as pay (i.e. salary or wages) got by a civil servant at the
close of every month in replace of services or responsibility accomplished so as to fulfill
purposes of the organization.
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be established and the output of staffs that are not promoted could fall. However, there is a
smaller amount of commitment and slight effort is likely, as it is doubtful that employees that do
not satisfy would be inspired to offer their best to the organization.
Personnel desire payment scheme that they observe as being reasonable and equivalent to their
services and anticipations. Ting (1997) emphasizes that the importance of pay is powerfully
determined of work contentment. Therefore, the association concerning pay exercise and work
fulfillment is worthwhile to influence inspiration of employee performance then accomplished
greater efficiency. The theories of efficiency assert giving a higher salary could occasionally
increase works’ efficiency. Akerlof (1984) expresses that the harder employees perform “the
higher is the cost of being caught shirking and the higher is the probability of being caught
shirking”. A greater remuneration increases employee performance due to the greater cost to
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workforces of losing the job. Invariably, the remuneration system is inspired by employees’
performance. Also, according to him, a greater salary upsurge effort by enhancing workers'
loyalty to the firm.
Furthermore, performance evaluations assist employees and their managers in developing a plan
for employee development through additional training and increased responsibilities, as well as
identifying flaws that the employee can try to overcome. Managers and employees should
discuss an employee's contributions throughout the year, not only at performance reviews. More
frequent communication keeps everyone on the same page, develops relationships between
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employees and supervisors, and takes the sting out of annual appraisals. Employee performance
should be evaluated on a regular basis for several reasons, according to Griffin (1997) in Onah
(2003:196). Validating equipment selections or measuring the efficiency of training programmes
may necessitate a performance review. The second goal is administrative: to aid in pay rise,
promotion, and training decisions. Another reason is to provide feedback to employees so they
can improve their current performance and plan for their future careers. This activity must be
performed annually or frequently, depending on the organization and the employee's job
description, to ensure that individuals fulfill their objectives. Variables of performance
evaluation include reward, punishment, training, promotion, feedback, demotion, termination,
transfer, retrenchment, and redeployment.
-Its goal is to serve as a springboard for improving or changing behaviour toward more
productive work habits.
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-It aims to offer managers with data to help them evaluate future work assignments and pay.
Promotion, training and staff development, feedback, employee pressure, and other aims or
reasons of performance review, according to Muhammad (2013). Performance appraisal is
critical in assessing whether a person should be promoted to the next higher position when
promotion is based on merit and seniority. An employee's performance in his current position, as
well as his strengths and weaknesses, is revealed in a performance appraisal. Performance
appraisals try to uncover an employee's strengths and shortcomings in his current role. This data
can be used to create training and development programmes to assist people in overcoming their
weaknesses. Employees receive comments on their performance as part of the performance
appraisal process. When a person understands how he works, he works better. This happens in
two ways: first, the person receives feedback on his performance, and second, when he receives
feedback on his performance, he is able to link his job to the organization's goals. Employees are
under pressure to perform better if they are aware that they are being evaluated on a lot of factors
and that their future depends greatly on these evaluations.
Others
Identifying the systemic aspects that obstruct or help with effective performance.
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aimed at improving work performance. Higher overall organizational performance and personnel
upward mobility are expected as a result.
Promotion
Annual assessments are used to identify employees who meet the criteria for increased
responsibility based on their performance; these personnel are promoted to higher positions and
given more responsibilities after demonstrating their competence through the evaluation process.
Where there are no immediate opportunities for upward mobility or where employees are not
eligible for promotion, good performance may be recognized with rewards in recognition of their
contributions to the organization throughout the evaluation period.
Over the course of several assessment seasons, a well-done staff evaluation provides the
opportunity to determine whether or not a staff member is suited for his or her current job
assignment. If the exercise reveals shortcomings in the personnel, but their services are still
required in other parts of the company, the workers may be reallocated to other areas. If a staff
member's performance is deemed unacceptable, he or she may be required to leave the company.
It's tough to identify staff performance issues that require training and growth without an
evaluation. The annual appraisal output should be used to inform an organization's training
requirements analysis, training methodology, and training programme for best results.
Appraisal meetings give people being appraised and their appraisers a chance to talk about work
standards and objectives, as well as learn about the problems employees experience in fulfilling
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organizational goals. Communication and feedback are two processes that usually improve the
chances of having pleasant working relationships.
Rewards can be used to improve performance by setting targets in relation to the work given e.g.
surpassing some sales targets. When the employee surpasses their target, he or she can be given
an additional amount to their salary; this will make them strive to achieve more (Maund, 2001).
Employees should be aware of the relationship between how they perform and the rewards they
get. Organizations should apply performance management programs which assist in planning
employee performance, monitor performance by effecting proper measuring tools Rewards
should be used as a way of strengthening good behaviour among employees as well as
productivity. Hence reward systems should focus on reinforcing positive behaviour. Employees
could be rewarded for working overtime, taking initiative, team work, reliability, exceptional
attendance, outstanding customer feedback, meeting deadlines or timeliness, productivity etc.
Employers and managers should then design or come up with a system to measure or quantify all
these aspects so that rewards are then given accordingly. A good reward system that focuses on
rewarding employees and their teams will serve as a driving force for employees to have higher
performance hence end up accomplishing the organizational goals and objectives.
An effective reward program may have three components: immediate, short-term and long term.
This means immediate recognition of a good performance, short- term rewards for performance
could be offered monthly or quarterly and long- term rewards are given for showing loyalty over
the years (Schoeffler, 2005). Immediate rewards are given to employees repetitively so that they
can be aware of their outstanding performance. Immediate rewards include being praised by an
immediate supervisor or it could be a tangible reward. Short term rewards are made either
monthly or quarterly basis depending on performance. Examples of such rewards include cash
benefits or special gifts for exceptional performance.
Research has proven that when human being are appreciated and praised they tend to improve
their performance. This is another way an organization can apply as a reward so as to improve
performance. Praise could be shown in the organization newsletter or in meetings. When
managers take time to meet and recognize employees who have performed well, it plays a big
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role in enhancing employees’ performance (Torrington & Hall, 2006). Organizations should
reward employees more often. This greatly improves performance compared to having the
rewards maybe only once a year. This is because frequent rewards are easily linked to the
performance. (Thomson & Rampton, 2003). Another way through which organizations can use
reward systems to increase output is by personalizing the reward. When rewards tend to be so
general, employees do not value them. Organizations can use rewards to improve employee
performance by incorporating appraisal or promotion for employees who have a good record of
performance. Managers should be on the lookout for employees who perform well.
Performance Appraisal Exercise and Employee Reward Management in Ogun State Ministry of
Education could draw upon established theories in organizational behavior, human resource
management, and performance evaluation. Consider incorporating concepts from motivation
theories such as Maslow's Hierarchy of Needs or Herzberg's Two-Factor Theory to explain how
rewards influence employee satisfaction and performance. Additionally, theories on performance
appraisal, like the Goal-Setting Theory or the Expectancy Theory, can provide insights into the
relationship between goal-setting, performance evaluation, and subsequent rewards within the
context of the Ministry of Education in Ogun State.
The Theory of Utility and Preference is a fundamental concept in economics and decision-
making. In the context of your project on Performance Appraisal Exercise and Employment
Reward Management in Ogun State Ministry of Education, this theory explores how individuals
assess the desirability of different outcomes and make choices based on their preferences and the
perceived utility of those outcomes. In the context of employee performance and rewards,
understanding individuals' preferences and the utility they derive from various incentives is
crucial for designing effective performance appraisal systems and reward structures that align
with employees' motivations and contribute to organizational success.
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2.2.2 Theory of Life Cycle
The Theory of Life Cycle in the context of your project involves understanding the career
progression and development of employees within the Ogun State Ministry of Education. This
theory suggests that employees go through different stages in their professional lives, from entry-
level positions to senior roles, each requiring distinct approaches to performance appraisal and
reward management. Tailoring appraisal and reward systems to align with employees' career
stages can enhance motivation, job satisfaction, and overall organizational effectiveness.
The literature review explores existing research on Performance Appraisal Exercise and
Employment Reward Management, focusing on their application in governmental organizations.
Various studies emphasize the significance of effective performance appraisal systems in
enhancing employee productivity and job satisfaction. Additionally, research delves into the
complexities of reward management strategies, shedding light on their impact on employee
motivation and retention. Examining literature specific to the Ogun State Ministry of Education
provides insights into the challenges and successes of implementing these practices within a
government context.
Previous empirical work on performance appraisal and employees reward management in similar
contexts has highlighted the significance of aligning appraisal systems with organizational
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objectives. Studies have emphasized the impact of fair and transparent performance evaluations
on employee motivation, job satisfaction, and overall organizational effectiveness. Additionally,
research has explored the relationship between performance appraisal outcomes and various
reward mechanisms, shedding light on the role of recognition, compensation, and career
development in fostering a positive work environment. These findings provide a foundation for
understanding the dynamics of performance appraisal and reward management, setting the stage
for further investigation within the Ogun State Ministry of Education.
Remarkable among these studies are; Mollel-Eliphaz et al. (2017) who studied the influence of
performance appraisal practices on employee productivity: A case of Muheza District, Tanzania.
The researchers discovered that employee productivity in a company is affected by recognition
and feedback. Similarly, Peleyeju and Ojebiyi (2013) studied the employee productivity of
public universities in South-Western Nigeria related to lecturers‟ performance. They discovered
a relationship quite significant and positive that exist between performance appraisal and
employee productivity in the institutions. Similarly, Homayounizadpanah and Baqerkord (2012)
looked into the performance appraisal and employee productivity, they discovered that
performance appraisal seems to be integral and an approach that is strategic in boosting
employee and organizational productivity. Marsor (2011) investigated the performance appraisal
and employee productivity, where he showed that structures that are laid properly may be
reappraised and assume to be good in other parts in boosting the output of an employee.
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But Omusuebe and Kimcnichege (2013) collaboratively looked at the topic related to Mumias
Sugar Company limited. They realized that between performance appraisal and employee
productivity in a company a correlation really exists. In their own part Ajayi et al. (2011)
scrutinized the topic related to South West Nigerian Universities‟ academic staff. In their part
they found out that a positive and significant relationship exists in the performance appraisal and
employees‟ productivity of the staff. Obiora (2002) investigated the topic as it relates to Nnamdi
Azikiwe University, Awka and he came up with the realization of the existence of relationship
between performance appraisal and employees‟ productivity in the time of the study.
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