Antecedents of Performance Appraisal and Organizational Performance in Water and Sanitation Companies in Kenya: A Case of Murang’a Water and Sanitation Company limited

Abstract

Performance appraisal serves a good number of purposes in organizations. In the context of socialization, performance appraisal provides important feedback about how well the individual is getting along in the organization. This general objective of this study was to assess the impact of performance appraisal on organizational performance in Murang’a water and Sanitation Company. The study also sought to establish the effects of goal setting in performance appraisal, feedback in performance appraisal and performance appraisal on the organizational performance on Murang’a water and Sanitation Company. This study employed a descriptive research survey. The census for this study was 94 employees working in Murang’a water and Sanitation Company. In addition the study used primary data collected using questionnaires; the questionnaires included structured and unstructured questions. Data collected was mainly quantitative in nature and was appropriately analyzed using descriptive statistics. The descriptive statistical tools helped in describing the data and determine the extent to be used. These included frequencies, percentages, mean and standard deviations. In addition, multiple regression analysis was used to establish the relationship between dependent and the independent variable. SPSS (Statistical Package for Social Sciences), was used in analysis. The study established that employees’ knowledge and skills in performance appraisal influences the organizational performance in Murang’a water and Sanitation Company most followed by feedback in performance appraisal and goal setting in performance appraisal. The study therefore recommends that Murang’a water and Sanitation Company should set its goals with employees in mind. In addition, the organization should ensure that all employees understand the organization’s goals.