THE EFFECT OF PERFORMANCE APPRAISAL ON THE EMPLOYEE PERFORMANCE IN THE CASE OFNORTH SHEWA ZONE OF OROMIA REGIONAL STATE

The general objective of the study was to investigate the effect of the performance appraisal on the employees’ performance in North Shewa Zone of Oromia Regional State. The study was considered the purpose, methods, process and feedback of performance appraisal influence the dependent variable employee performance .The study was applied quantitative data that was the numeric values that indicate how much or how many of something. The target populations were 898 employees from the four offices from North Shewa Zone of Oromia Regional State such as Health, Education, Agricultural and Fiche City Administration. For the purpose of this study the offices was selected by non probability sampling approach and simple judgmental sampling technique. Accordingly, the 277 respondent employees were selected by using non probability sampling approach specifically convenient sampling technique. Quantitative data gathered via questionnaire was edited, coded and entered into statistical software SPSS and analyzed by both descriptive and inferential statistics. The result of the study indicated that there is a positive association between the dependent variable employees’ performance and independent variables. Compared to other relationship considered in this study, establishing standards of performance is ranked last in its magnitude of correlation, communicating of performance standards is ranked second in its magnitude of correlation, measuring actual performance is ranked third in its magnitude of correlation, comparison actual performance with standards is ranked fourth in its magnitude of correlation and initiating corrective action is ranked first in its magnitude of correlation. Finally, in order for the four offices, to be benefited the most out of the employee performance forwards the recommendations for the management regarding the purpose, methods, process and feedback of employees’ performance appraisal and forward suggestion for other researchers.