Performance appraisal system is one of the most popular tools used in contemporary reform programmes by governments to enhance efficient and effective performance in the public sector.However, appraising employee performance is considered a controversial management practice anywhere it is being practiced because the successful implementation of effective performance appraisal system faces numerous challenges and obstacles. It is however inspiring to note that, the human resource system can become more effective by having a valid and accurate appraisal system used for rating performances of employees.In spite of the numerous efforts to improve the performance management system, it is evident that, the system lacks impetus to improve the performance of the Ghana Civil Service. Considering the crucial role Performance Appraisal play in employee performance strategy, this study sought to discover the extent to which Civil Servants consider the existing performance appraisal system as effective and efficient. The study was also to discover the various challenges confronting the effective implementation and utilization of performance appraisal in the Civil Service in order to provide recommendations for the better.The study adopted a case study design from the Office of the Head of the Civil Service (OHCS) and the Ministry of Education (MOE). It however, solicited the views of other Civil Servants from various Ministries, Departments, and Agencies (MDAs) through the Civil service Training Centre (CSTC). The study also used a descriptive survey because it involved collection of data, which informed the answers to the problem stated.The population for the study was the staff of the above-mentioned institutions that have gone through the appraisal exercise for at least once. The sample size for the study was 200 employees (60 from the OHCS, 80 from the MOE, and 60 from other MDAs through the CSTC ). Out of the 200 questionnaires that were distributed, 173 responded. The study relied on both primary and secondary sources of data and the researcher collected the data for the study, through the administering of questionnaires to the respondents in both senior and junior staff categories. Interpretation of quantitative data was done mostly by the use of tables/ figures and the data gathered from the in-depth interviews were analysed in a narrative form using the research questions raised for the study in relation to the main sections of the interview guide and the questionnaire. Data were analysed with the use of the Microsoft excel programme. The findings of the research have revealed that the current performance appraisal system in the Civil Service does not fulfill the aspirations of the employees, because it is characterized by certain flaws, which need to be addressed. Employees believe that the current PAS cannot help achieve organizational strategic goals and objectives; there is a negative general perception about the PAS; performance monitoring and feedback is poor; results from the appraisals are not judiciously used; performance is not linked to rewards and sanctions and finally, employees are hugely dissatisfied with the current PAS. Consequently, employees cannot be sufficiently motivated to put in their best. All these factors have worked against the effective implementation of the performance appraisal system in the Ghana Civil Service.Based on the findings, it was recommended that clear-cut performance appraisal objectives should be set out and made known to all concerned. Objectives should be developed jointly between the supervisor and the employee. Appropriate stakeholders need to set up a monitoring system to ensure that due process is followed by both appraisers and appraisees. Communication between supervisors and subordinates need to be improved drastically. Additionally, performance measures of individual organizations should be directly related to the overall mission and strategic goals of the entire Civil Service, particularly in terms of goals and objectives. Also, it is very crucial that appraisal reports are used judiciously. More also, appraisers and appraisees must be adequately trained on effective implementation of the PAS. It is important that various MDAs under the umbrella of the Civil Service develop different sets of performance appraisal systems that will cover specific task and job-holders since their job descriptions differ. Finally, review and appeal procedures should be adhered to in order to promote fairness and satisfaction by participants for higher motivation that may lead to higher performance and productivity in the Ghana Civil Service and government business as a whole.