ASSESSING THE EFFECTIVENESS OF PERFORMANCE APPRAISALS ON EMPLOYEES PERFORMANCE OF PAKISTAN CIVIL AVIATION AUTHORITY PCAA

http://dx.doi.org/10.31703/ger.2023(VIII-II).25      10.31703/ger.2023(VIII-II).25      Published : Jun 2023
Authored by : Muhammad Ali Lakhan , Junaid Ahmed , SheikhMuhammadFakhr-e-Alam Siddiqui

25 Pages : 334-347

    Abstract:

    The evaluation of organizational performance by Human Resource Management (HRM) is crucial for various benefits. This includes enhancing operational efficiency, facilitating comprehensive communication, informing employment decisions, and developing personnel development strategies. This research attempts to determine how employee performance at the Pakistan Civil Aviation Authority (PCAA) is affected by PA (Performance Appraisal). The research takes into account a number of distinct variables, such as the evaluation's fairness, correctness, relationships with peers and supervisors, and appraised satisfaction. Employee performance is the dependent factor under consideration. According to statistical analysis, performance appraisal and employee performance results in PCAA are related. The results show that aside from the independent factor i.e. Fairness about appraisal (FPA) regarding the performance appraisal process in PCAA Employees and Performance appraisal satisfaction are not delighted with how fair the Appraisal process is of PCAA, however, it has partial significance and not significant in Employees Performance, remaining study variables are significant.

    Key Words:

    HRM, Performance Appraisal, Employee Performance, Fairness in Evaluation, Accuracy in Appraisal, Relationships with Peers and Supervisors and Satisfaction with Performance Appraisal

    Key Words:

    HRM, Performance Appraisal, Employee Performance, Fairness in Evaluation, Accuracy in Appraisal, Relationships with Peers and Supervisors and Satisfaction with Performance Appraisal

    Introduction Overview of the Organization: Pakistan's Civil Aviation Authority (PCAA)

    The Pakistan Civil Aviation Authority (PCAA), a self-governing public institution that reported to both the Ministry of Defense and the Pakistani government, was established on December 7, 1982. Several civil aviation-related responsibilities, including legislation, air traffic control, airport management, infrastructure development, and business expansion at airports, were under the PCAA's direction and administration. The Administration for Civil Aviation began a process of reorganization and change management in 2007 to address present and anticipated problems.

    The Vision of PCAA

    “Strive to become an exceptional provider of services within the aviation industry on a global scale.”

    The mission of PCAA

    “Our primary goal is to provide outstanding aviation services to all parties involved, with a strong emphasis on safety and effectiveness.”

    Performance Appraisal

    The effectiveness and achievements of an organization hinge primarily on the calibre and effectiveness of its human resources, encompassing the individuals employed within it. The organization consistently seeks to optimize a variety of accessible assets, with its human resources standing out as an exceptionally significant and precious component among these resources GAIKWAD, R. V., (2023).

    All synonyms for performance appraisal include personnel rating, annual performance, performance review, and results appraisal, analysis, assessment, or evaluation of a worker's performance or behaviour is referred to as performance appraisal. It could be professional or casual, verbal or written, public or private (Aggarwal & Thakur 2013).

    Performance indicates the effectiveness and efficiency of employees in terms of their productivity. Effectiveness pertains to reaching goals, while efficiency involves the comparison of inputs utilized to outputs accomplished (Nasreen &Naz 2019).

    Chouhan & Verma (2014) unveiled that employees hold a positive perspective on performance appraisal, seeing it as a method to encourage, assess, and justly reward staff. It also serves as a foundation for various employee training initiatives and has a motivational impact on their performance. 

    When placed in the context of an official appraisal process for employees in an organization, the two words "performance appraisal" are capable of evoking a number of powerful, poignant reactions, feelings, and opinions (Boice & Kleiner. 1997). Hiring and choosing new employees, training and developing existing employees, and motivating and properly rewarding employee performance are essential for retaining high-quality human resources. The data gathered and performance evaluations provide the basis for this process have both stated that performance appraisal is widely considered to be a crucial component of human resource management (Iqbal et al., 2013; Shah & Jabeen 2021). A critical component of human resource procedures is performance evaluation, which is a technique for determining how closely each employee's regular performance is related to the objectives specified by the company (Iqbal et al., 2013). Abbas, (2014) has elaborated that Interpretation of fairness, Perception of correctness, and Performance evaluation satisfaction are the three ways in which employees react to the performance appraisal system (Roberson and Stewart 2006). The calibre of performance appraisal (PA) is characterized as a recurring means of offering feedback characterized by clarity, consistency, and transparency (Babar et al., 2022).

    Performance Appraisal and Management

    An organization's use of performance reviews considerably aids in the placement of accountability across every employee. Systems of performance evaluation offer the necessary feedback to areas where personnel have flourished or have fallen short of the goals set for them. In 2012, (Miah & Hossan 2012), undertook a case study on the Performance Management System within the retail industry of the United Kingdom. The organization is quite effective in managing employee performance, as seen by the fact that both low and high performers receive praise and rewards, respectively. Aslam & Sarwar (2010) conducted research on Pakistani IT firms' Improving Performance Management Practices. Results showed that performance management systems, such as goal-setting, training, performance agreements, and performance reviews and rewards, could be implemented.

    Performance (P) Appraisal (A) Process (P)

    On a regular basis, employees' performance is systematically assessed in accordance with predetermined job criteria. This evaluation takes into account the employee's potential for development, skills, and overall value to the organization.

    Effectiveness of performance appraisal

    A smart technique to determine how effective performance appraisals are is to conduct frequent performance reviews that give employees direct feedback. Regular performance reviews improve each person's overall performance and are advantageous to the team as a whole.

    Fairness about Appraisal

    When evaluating the effectiveness of performance appraisal, it is important to consider fairness. In this regard, employees' views on the fairness and effectiveness of key performance evaluation elements are commonly referred to as "procedural fairness."

    Appraisal accuracy

    The easiest performance metric to understand is the accuracy metric, which simply measures the proportion of correct predictions to total observations. If a model achieves high accuracy, it is often perceived as the best. However, for information to be considered accurate, it must be both truthful and free from errors.

    Relations with peers and supervisors

    Peer relationships are ones that arise via social interactions between individuals who have attained a similar degree of psychological maturation. Because of the responsibilities related to his or her respective position, one employee in a mentoring relationship has the power to direct, reward, or discipline another employee.

    Review of literature:

    Performance appraisal stands as one of the earliest and most prevalent management practices, encompassing all systematic approaches employed by organizations to evaluate employee performance (Singh & Rana 2015).

    Since the early 1900s, the use of performance appraisal to assess employee job performance has been a widely used practice. Its origins can be traced back to the principles of scientific management introduced by Frederick Winslow Taylor, which emphasized productivity and efficiency evaluation. In the early 1900s, many companies began implementing performance appraisal systems, although these systems were often subjective and lacked clear evaluation standards. During the 1980s, the primary focus of Organizational justice was predominantly on distributive justice. Adam's (1965) introduction of his equity theory during this period laid the foundation for much of the research conducted in connection with distributive justice (Batool & Khattak 2015). In the mid-20th century, performance appraisal evolved into a more structured process, incorporating rating scales, objective criteria, and standardized forms (Prowse & Prowse 2009). Within the current business landscape, performance appraisal holds significant importance in facilitating ongoing enhancement (Ahmed et al., 2011).

    The aim of conducting performance appraisals is to enhance employee performance and facilitate the overall success of the organization, as stated by (Khan et al., 2020). Performance evaluation helps organizations to identify their top performers, understand areas where employees may require further training or development, and align individual performance with organizational objectives. It is a critical practice that can help drive overall organizational success Hussain, (2020). It is crucial to acknowledge that PA (Performance appraisal) is merely a component of a more extensive performance management process that involves setting goals, providing feedback and coaching, evaluating performance, and devising plans for performance enhancement (Yoganandan & Divya 2015; Goel, 2023). To be effective, the performance appraisal system must be integrated with these other elements of performance management and should be viewed as a tool for continuous learning and improvement, rather than just a one-time event (Khan & Ullah 2017). The literature has highlighted various inadequacies present in current Performance Appraisal systems. Some of these shortcomings include:

    ? Lack of reliability: Performance appraisal systems often suffer from a lack of reliability, as they may rely on subjective judgments that can vary between evaluators.

    ? Lack of validity: Performance appraisal systems may also lack validity, as they may not accurately measure the performance attributes they are intended to measure.

    ? Lack of fairness: Performance appraisal systems may be perceived as unfair if the criteria for evaluation are unclear or if evaluations are based on factors beyond an employee's control.

    ? Lack of transparency: Performance appraisal systems may not be transparent, as the criteria for evaluation may not be clearly communicated to employees, leading to confusion and distrust.

    ? Lack of feedback: Performance appraisal systems may not provide enough feedback to employees on their performance, leading to a lack of understanding and motivation to improve.

    ? Lack of flexibility: Performance appraisal systems may be too rigid and inflexible, failing to adapt to changing circumstances and needs of employees.

    Addressing these shortcomings is critical for organizations to ensure that their performance appraisal systems are effective in improving employee performance and achieving organizational goals (Maley & Kramer 2014). 

    This is an important consideration for organizations to keep in mind when designing and implementing performance appraisal systems. It is essential to ensure that the process is fair and unbiased to provide accurate information about employee performance (Arshad et al., 2013).

    For instance, a study conducted by Arshad et al. (2013) revealed that employees who perceived high levels of performance appraisal politics tended to have unfavourable job attitudes, such as decreased job satisfaction, lower loyalty to their supervisor, and a higher tendency to quit their jobs. According to Abbas (2014), it is crucial for companies to allocate resources towards providing training for their evaluators to perform performance evaluations in a manner that is both just and efficient. Khalid & Alwi (2018) recommend that in the future, the entire performance appraisal system should be transparent and free from bias. This can be achieved by implementing additional methods of performance appraisal and keeping employees informed about the specific methods used to evaluate their performance. Providing more training for mentally stressed employees can help improve their potential and ultimately lead to higher appraisal scores. As noted by Arshad et al. (2013) the capabilities of an organization's personnel are critical to its success in today's globalized world. Furthermore, implementing regular performance evaluations can promote a culture of continuous improvement and learning within the organization, as noted by Fakharyan et al. (2012). By implementing a reliable performance appraisal system, organizations can motivate their employees, enhance their productivity and performance, and ultimately achieve their strategic goals Naeem et al. (2017).

    Objectives

    The study’s goal is to comprehend the

    efficiency of performance evaluation in (PCAA). The study has revealed the factors that influence performance evaluation specifically. The study also aimed to shed light on how assessments affect worker performance in (PCAA). Lastly, key challenges to the performance rating system will be carefully assessed.

    Problem Statement

    Pakistan is indeed a developing nation, so there is also a lack of attention given to the significance of correctly understanding HRM. The employees frequently suffer as a result of the policies used in PCAA in relation to how performance appraisal is conducted. The existence of every organization depends on its human resources, and a state's ability to function depends on how well those resources are managed. Due to improper performance reviews, PCAA employees today experience certain fundamental issues. Performance appraisal is an important task and requires organizational changes for effective management. The aim of this study is to assess the effectiveness of the performance appraisal on the employee’s performance of the Pakistan Civil Aviation Authority.

    Methodology of Research Research Methodology

    It's noteworthy to highlight that the central aim of this research was to evaluate the effectiveness of the internal performance evaluation system implemented by the Pakistan Civil Aviation Authority (PCAA). The study employed a quantitative analysis approach to examine the correlation between employee performance and performance evaluations. Utilizing data collection methods and quantitative analysis, the study pursued this objective. The study's target population comprised employees of the Pakistan Civil Aviation Authority. The choice of a descriptive research approach was well-aligned with the study's objective, aimed at establishing and elucidating the interrelationship between variables. We have examined how performance evaluation influences the connection between employee performance and appraisal. The total sample was 210 personnel from the PCAA was chosen using simple random sampling, then data were processed for analysis by using IBM SPSS. A standard survey instrument was utilized to collect original data (Primary data).

    Importance of the research

    The study's conclusions can aid firms in assessing the value of the impact of performance reviews on PCAA personnel in terms of their capacity to compete, get a return on their investment, be profitable, be more productive, and generate more revenue.

    Collection of Data

    PCAA staff members were surveyed using a closed-ended questionnaire as the main method of data collection for this study. Five components made up the questionnaire; the first piece collected demographic data about respondents, while the other sections concentrated on important facets of performance assessment. In this study, a Likert scale with a range of 1 to 5 was employed to assess the efficacy of performance appraisal. PCAA staff members filled out a self-reporting survey to give the necessary information. Quantitative data analysis was used to analyze the research topic, and statistical analysis was done to find any relationships between the study's variables.

    Sampling and Population

    A sample size of 210 (N=210) has been taken for the study. Close-ended questionnaires have been constructed based on dependent and independent variables and distributed among all respondents. In this study, the survey method was employed to gather data. The PCAA an autonomous government organization was used to choose this sample. In order to avoid bias in the sample selection process, a non-probability sampling technique was adopted in the study. A sample of 210 PCAA employees was selected via non-probability sampling.

    Conceptual of framework

    The division of the organization's aims takes into account the work schedule of the employees. Employee expectations are included in performance reviews, as they continue to be the supervisor's top priority Henseler et al. (2015). According to Ekwundu, O. B., Chris, O. I., and Boniface (2019), evaluation comprises contrasting employee performance with the goals that were established at the beginning of the assessment period. An employee's performance is assessed, and this information includes whether or not their goals were met. Regular reviews help workers focus on what is expected of them, give feedback to coworkers, and motivate them. 

    Originality of Research

    The study aims to examine the performance evaluation system of the Pakistani Civil Aviation Authority (PCAA), an area that has received limited attention in previous research. The study utilized survey data from PCAA employees to provide empirical evidence on how the performance evaluation system affects employee performance and its overall effectiveness. As a result, the study offers fresh perspectives on this crucial topic.

    Tool

    The Pakistan Civil Aviation Authority's personnel, including managerial and non-managerial staff members, who serve in a variety of roles are the target audience for the questionnaire. There are two key sections to the questionnaire: Section 1 comprises Background Information and Section 2 comprises of Variables of Performance appraisal which is further divided into 5 parts i.e. A) Fair about appraisal. B) Appraisal Accuracy. C) Relationship with peers. D) Performance Appraisal Satisfaction. E) Employee Performance. The study's questionnaires were adopted and modified based on research (Abbas 2014).

    Results

    The respondents' demographic profile is as follows:

    The sample of Pakistan Civil Aviation Authority's employees consists of 128 (61%) males and 82 (39%) females and the total respondents are (210).

    Gender

    Table 1

    Shows the frequency distribution of gender

    Descriptive Statistics of Gender

     Item

    Frequency

    Per cent

    Valid Percent

    Cumulative Percent

    Valid

    1

    128

    61.0

    61.0

    61.0

    2

    82

    39.0

    39.0

    100.0

    Total

    210

    100.0

    100.0

     

     

    Inferential Analysis of Hypothesis: Hypothesis:

    H1: There is a significant effect of fairness about appraisal (FPA) on the employees' performance (EP) of PCAA.

    The study aimed to investigate the potential connection between fairness in performance reviews (FPA) and employee performance (EP). To test this hypothesis (H1), a regression analysis was conducted with EP as the dependent variable and FPA as the independent variable. The results of the analysis revealed a statistically significant relationship between FPA and EP, as evidenced by a substantial F-value of 167.421 and a p-value less than 0.001. This suggests that FPA does indeed play a role in influencing EP, as indicated by the positive regression coefficient (b=0.492, p>0.001). However, the findings also pointed to an adverse effect of FPA on EP, suggesting that it could have a detrimental influence on the shaping of employee performance. Moreover, the model's coefficient of determination (R2=0.446) indicates that approximately 44.6% of the variability in EP can be explained by the model, highlighting a moderate level of predictive power.

    Table 2

    Shows the regression analysis of Hypothesis (H1)

    Hypothesis

    Regression Weights

    Beta Coefficient

    R2

    F

    t-Val

    p-Val

    Hypothesis supported

    H1

    FPA ->EP

    0.492

    0.446

    167.4

    12.93

    0.882b

    Yes

    H2: There is a significant effect of appraisal accuracy on the employee's performance of the Pakistan Civil Aviation Authority (PCAA).

    The subject under examination pertained to establishing a clear link between the accuracy of performance appraisals and employee performance (EP). To empirically investigate this hypothesis (H2), a regression analysis was performed where the dependent variable (EP) was modelled against the independent predictor (AA). The analysis yielded compelling results, with an F-value of 167.791 and a p-value less than 0.001, signifying a strong predictive influence of AA on EP. These outcomes underscore the considerable impact that AA can wield over EP (b=0.492, p<0.001), showcasing its potential to significantly shape employee performance in a positive manner. These findings provide irrefutable evidence of the favourable effect of AA on EP. Moreover, the coefficient of determination (R2=0.611) highlights that the model elucidates 61.1% of the variability observed in EP, indicating a substantial level of explanatory power.

    Table 3

    Shows the regression analysis of Hypothesis (H2)

    Hypothesis

    Regression Weights

    Beta Coefficient

    R2

    F

    t-Val

    p-Val

    Hypothesis supported

    H2

    AA->EP

    0.611

    0.447

    167.791

    12.953

    000b

    Yes

    H3: There is a significant effect of relationships with peers and supervisors on the employee's performance of the Pakistan Civil Aviation Authority (PCAA).

    The inquiry revolves around assessing the substantial connection between employees' interactions with both peers and supervisors and their performance (EP). To scrutinize the null hypothesis H3, the regression analysis involved making EP the dependent variable and the independent predictor as employees' relationships with peers and supervisors (RSP). The outcomes were striking: RSP emerged as a potent predictor of EP, marked by an F-value of 319.04 and a p-value of 0.001. This vividly illustrates the substantial potential of RSP to exert a significant impact on EP (b=0.664, p-value of 0.001), thereby establishing its advantageous influence unequivocally. Furthermore, the coefficient of determination (R2=0.606) underscores that the model elucidates 60.6% of the variability manifested in EP, underscoring a noteworthy degree of predictive capacity.

    Table 4

    Hypothesis

    Regression  Weights

    Beta Coefficient

    R2

    F

    t-Val

    p-Val

    Hypothesis supported

    H3

    RSP->EP

    0.664

    0.606

    319.04

    17.872

    000b

    Yes

    H4: There is a significant effect of performance appraisal satisfaction on the employee's performance of the Pakistan Civil Aviation Authority (PCAA).

    The research inquiry delves into examining whether there exists a significant correlation between employee performance (EP) and the level of satisfaction derived from performance evaluations (PAS). In pursuit of testing hypothesis H4, the regression analysis was executed with EP as the dependent variable and PAS as the independent predictor. The outcomes revealed that while PAS strongly predicted EP, as evident from an F-value of 149.251 and a p-value exceeding 0.001, the influence of PAS on EP was relatively modest (b=0.092, p>0.001). These findings assert that the impact of PAS on EP is limited in magnitude. Moreover, the coefficient of determination (R2=0.418) signifies that the model expounds upon 41.8% of the variability present in EP, underlining a noteworthy degree of predictive explanatory power.

    Table 5

    Hypothesis

    Regression  Weights

    Beta Coefficient

    R2

    F

    t-Val

    p-Val

    Hypothesis supported

    H4

    PAs->EP

    0.68

    0.418

    149.25

    12.217

    .644b

    Yes

    Data Reliability and Validity:

    It's important to note that Cronbach's alpha values exceeding 0.7 are generally considered acceptable, while values surpassing 0.8 are considered good. As per the results, all the scales employed in the study can be deemed reliable. This underscores that the measurements utilized in the study are dependable and accurate for assessing the core variables. To substantiate the questionnaire's validity, we scrutinized the hypotheses and statistical analyses based on the study's data. The face validity of the questionnaire was confirmed through the feedback provided by respondents. Furthermore, the questionnaire's reliability was assessed, affirming its trustworthiness for subsequent data analysis and interpretation.

    Table 6

    Shows the results of all hypotheses that were measured.

    Hypothesis

    (H)

    Variables effects on

    Original sample (O)

    (Beta)

    Sample mean (M)

    Standard deviation (STDEV)

    T statistics (O/STDEV)

    P values

    Significant effect

    Accepted/rejected

    H1

    FPA -> EP

    0.012

    0.01

    0.083

    0.148

    0.882

    Un- Significant

    Rejected

    H2

    AA -> EP

    0.162

    0.161

    0.071

    2.291

    0.000

    Significant

    Accepted

    H3

    RPS -> EP

    0.316

    0.315

    0.103

    3.07

    0.000

    Significant

    Accepted

    H4

    PAS -> EP

    0.44

    0.445

    0.077

    5.718

    0.644

    Un-Significant

    Rejected

    Research Findings

    The research findings from the current study, based on the survey, are as follows: 

    a. It has been discovered that the major reason performance reviews are undertaken for employees in PCAA's many departments is an administrative purposes. Administrative decisions such as promotions and pay increases are common outcomes of performance reviews, but they are not the only reason why performance reviews are conducted. Performance reviews can also help identify areas where employees need improvement and provide opportunities for coaching and development. Additionally, performance reviews can help align employee goals with organizational goals and provide feedback on job performance, which can contribute to a more engaged and productive workforce. It's important to approach performance reviews as a comprehensive tool for improving employee performance, rather than solely as an administrative task.

    b. The ACR approach used by PCAA to evaluate employee performance is not effective in raising or growing employee performance inside PCAA. This system of performance evaluation is unpopular with the workforce. They desire a methodical, all-encompassing system that adheres to the 360-degree feedback system concept that emphasises the need to take employee input into account when assessing an employee's performance.

    c. It is discovered that many PCAA departments do not encourage staff to be involved in performance planning. The Directors and Additional Directors (General Managers) of the various PCAA departments do not gather together for this purpose. The General Managers are not formally informed of the targets and objectives for the performance period, nor are they collectively agreed upon. Also, general managers lack enough knowledge of the criteria used by their leaders to assess performance. According to research, Directors of various departments within PCAA frequently use subjective assessments to evaluate the work of their staff members.

    d. Another key conclusion of the research is that managers and employees do not often discuss performance reviews. Employees' prior performance accomplishments and disappointments are not shared with them. Although certain departments, like Airport Services, are doing better than others, most directors are not familiar with the theory behind contemporary rating systems.

    e. Employees are far more worried about the PCAA performance assessment system than any other factor. In addition to believing that they should receive training and counselling if they do poorly and that their accomplishments should be properly acknowledged, they also believe that PCAA should earn their faith in the system. They think that trusting the performance evaluation system is the only way their effectiveness can be enhanced. It is not surprising that PCAA employees perceive that the performance evaluation method may have a significant influence on their performance. This is because performance evaluations are often used as a tool to identify areas of strengths and weaknesses in employees' job performance, and to provide feedback on how they can improve. Additionally, the results of performance evaluations are often used to make decisions related to promotions, pay increases, and other job-related opportunities. Therefore, it is understandable that employees may feel that their performance evaluation results will have a direct impact on their career progression and overall success within the organization.

    Discussion

    Based on the study's results, it is endorsed that PCAA would continue to use PAS (Performance Appraisal System) to improve employee performance and productivity. Moreover, it is suggested that PCAA should consider offering training programs for managers and supervisors to ensure the fair and effective execution of the performance appraisal process, which could further improve its positive impact on EP. The study's findings highlight the importance of performance evaluations as a tool for enhancing organizational performance and achieving strategic goals, which is supported by previous research studies. The study also emphasizes the significance of employee satisfaction with the PA (Performance Appraisal) process, as it plays a crucial role in shaping employee performance. Therefore, the study highlights the importance of considering employee attitudes and perceptions towards the performance evaluation process. The existence of multiple studies on the topic of performance evaluation and employee performance, which have consistently found similar results, suggests a strong and reliable relationship between the two. This enhances the validity and reliability of the findings and reinforces the argument that performance evaluations can have a significant impact on employee productivity. For example, studies conducted by Fakharyan et al. (2012) and Lilian and Mathooko in 2012 also support the notion that performance evaluation can positively influence employee performance. These studies provide further evidence of the importance of implementing an effective performance evaluation system in organizations to enhance employee productivity and achieve organizational goals.

    Conclusion

    The study also suggests that the PCAA should prioritize the use of performance evaluations for developmental purposes rather than solely for administrative decisions such as promotions and pay increases. Additionally, the study recommends that PCAA should consider implementing a 360-degree feedback system to provide a more comprehensive assessment of employees' performance. It is also suggested that the PCAA should provide training and support to supervisors and employees to ensure that the performance evaluation process is conducted effectively and fairly. Finally, the study emphasizes the importance of ensuring that the performance evaluation system is transparent and that employees understand how they are being evaluated and what is expected of them in terms of job performance and effort. Overall, the study's findings highlight the importance of a well-designed and effectively implemented performance evaluation system for improving employee performance in organizations. According to statistical analysis, performance appraisal and employee performance results in PCAA are related. The results show that aside from the Fairness of appraisal (FPA) and Performance Appraisal Satisfaction (PAs) regarding the performance appraisal of PCAA employees are not satisfied with the fairness of the appraisal process and also not satisfied with performance appraisal satisfaction (PAs) of PCAA, however, it has partially significant and un-significance in Employees Performance, remaining study variables are significant. Overall, the study's findings can serve as a valuable resource for the HR department of PCAA in improving their performance evaluation process and ultimately enhancing employee performance and organizational success.

    Recommendations

    According to the results, it is advised that the management of PCAA should implement the following changes to the organization's present performance evaluation system. The foundation of PCAA's evaluation system ought to be a 360-degree appraisal system. The administrative team, the general manager or head of the department, and his subordinates should all be consulted for feedback. The employees should get this feedback progressively and consistently. Prior to the performance period, achievement planning ought to take place and employees should be given the opportunity to create their own tasks and targets. Define their key performance areas (KPAs) and create goals for future performance, individuals must be encouraged to assess their strengths and shortcomings. Each Additional Director (General Manager) should provide his or her achievement development plan to the Director or HOD at meetings with the Additional Directors (General Managers) to discuss planned employee performance. Moreover, regular conversations between the Director and Additional Directors should be held. Instead of waiting until the end of the year, the Director should notify the Additional Director immediately if he or she is not performing to the requirements throughout the performance period. Pakistan Civil Aviation Authority's performance Appraisal system (PAS) should be future and production-oriented not just for evaluation of performance. As opposed to a system that relies on the head's subjective judgements, the system should be as objective as possible. It shouldn't be limited to evaluating employees' previous performance; instead, it should also include how Employees' performance might be improved going forward. How to help the staff improve their weak aspects of performance. Directors and Heads of departments of various departments within PCAA should get training from HR professionals on how to perform employee evaluations methodically and in line with the principles of contemporary assessment systems. They ought to have enough training for employee counselling. Where in the learning environment employee triumphs and failings should be discussed. Employees should be informed by the director on how to deal with the issues that hindered them from performing effectively at the prior time. Directors should appropriately acknowledge employees' successes and accomplishments, which is an underutilised method for boosting employee engagement. He can accomplish this by providing them with various prizes.

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Cite this article

    APA : Lakhan, M. A., Ahmed, J., & Siddiqui, S. M. F. (2023). Assessing the Effectiveness of Performance Appraisals on Employees Performance of Pakistan Civil Aviation Authority (PCAA). Global Economics Review, VIII(II), 334-347. https://doi.org/10.31703/ger.2023(VIII-II).25
    CHICAGO : Lakhan, Muhammad Ali, Junaid Ahmed, and Sheikh Muhammad Fakhr-e-Alam Siddiqui. 2023. "Assessing the Effectiveness of Performance Appraisals on Employees Performance of Pakistan Civil Aviation Authority (PCAA)." Global Economics Review, VIII (II): 334-347 doi: 10.31703/ger.2023(VIII-II).25
    HARVARD : LAKHAN, M. A., AHMED, J. & SIDDIQUI, S. M. F. 2023. Assessing the Effectiveness of Performance Appraisals on Employees Performance of Pakistan Civil Aviation Authority (PCAA). Global Economics Review, VIII, 334-347.
    MHRA : Lakhan, Muhammad Ali, Junaid Ahmed, and Sheikh Muhammad Fakhr-e-Alam Siddiqui. 2023. "Assessing the Effectiveness of Performance Appraisals on Employees Performance of Pakistan Civil Aviation Authority (PCAA)." Global Economics Review, VIII: 334-347
    MLA : Lakhan, Muhammad Ali, Junaid Ahmed, and Sheikh Muhammad Fakhr-e-Alam Siddiqui. "Assessing the Effectiveness of Performance Appraisals on Employees Performance of Pakistan Civil Aviation Authority (PCAA)." Global Economics Review, VIII.II (2023): 334-347 Print.
    OXFORD : Lakhan, Muhammad Ali, Ahmed, Junaid, and Siddiqui, Sheikh Muhammad Fakhr-e-Alam (2023), "Assessing the Effectiveness of Performance Appraisals on Employees Performance of Pakistan Civil Aviation Authority (PCAA)", Global Economics Review, VIII (II), 334-347
    TURABIAN : Lakhan, Muhammad Ali, Junaid Ahmed, and Sheikh Muhammad Fakhr-e-Alam Siddiqui. "Assessing the Effectiveness of Performance Appraisals on Employees Performance of Pakistan Civil Aviation Authority (PCAA)." Global Economics Review VIII, no. II (2023): 334-347. https://doi.org/10.31703/ger.2023(VIII-II).25