Performance management process and employee productivity in a development financial institution: a case of shelter Afrique in Nairobi city county, Kenya.
Kirui, Wendy Chelangat
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Employee productivity is an indispensable aspect for an organization to remain economically viable in contemporary business atmosphere. This is because the success of every institution is predominantly subject to the production of the employees. Thus, employee output has turn out to be a significant objective for business growth and survival. The primary goal of study was to investigate the effect of the performance management process impact productivity of an employee in Development Financial Institutions, a case of Shelter Afrique Nairobi City County, Kenya. The specific objectives of the research were to assess the effect of performance appraisal influences on employee productivity at Shelter Afrique Nairobi City County, Kenya, to explore the effect of training on employee productivity at Shelter Afrique Nairobi City County, Kenya, to establish the effect of how rewarding systems affects on employee productivity at Shelter Afrique Nairobi City County, Kenya and to assess the effect of performance feedback on the employee productivity at Shelter Afrique Nairobi City County, Kenya. The study embraced four theories of performance management such as Goal Setting theory, Expectant theory, Social cognitive theory and control theory. The study also used a descriptive research design, which comprised of different characteristics that were created by collecting, analysing, and presenting the collected data. The study used semistructured and self-filing questionnaires for collection of primary data. The total population comprised 55 Shelter Afrique employees in Nairobi City County, Kenya. Census study was embraced which studied each element or all population. Population was divided into two strata, senior management and lower management. The study conducted a pilot test that involved 10 respondents which assessed the comprehensiveness, accuracy, precision and clarity of the questionnaire. Validity test was also carried out to capture the comments and suggestions of the respondents and reliability test to examine the stability and uniformity of the data. Cronbach's alpha coefficient 0.7 was applied to ensure the trustworthiness and internal consistency of the data collection tool. Finalised questionnaires were processed and each assigned a serial number. The collected data was edited and entered in the Social Science Statistics Package version 26.0. This is a descriptive statistics package that researcher used to provide detailed information about the data. Descriptive methods and inferential statistics namely the regression analysis which were evaluated to establish the affiliation between the dependent and independent variables and to test the research questions. The final outcomes were presented in charts, tables and using frequencies such as means, percentages, standard deviations and coefficients to test the results. The study contributed in terms of highlighting the significant drivers of employee productivity in a development financial institution in Nairobi City County, Kenya. The results revealed that there is positive correlation between employee productivity and performance appraisal, training and performance feedback. The results further showed that reward system did not have a significant correlation with employee productivity even though the correlation coefficient was positive. This concluded that all the variables have impact on employee productivity apart from reward system. The analysis concluded that there is positive and significant correlation between the four variables performance appraisal, training, reward and performance feedback. The study recommended future research to be carried out in other Development Financial Institution using mixed approach of qualitative and quantitative method to ascertain the effect of performance management process on employee productivity