Abstract:
Performance appraisal is an important instrument in the work force management, if it is
performed correctly and logically, it can conduct the organizations to their goal and the
personnel will achieve their interests. This study aimed examined the effect of current
performance appraisal practice on Employees performance at British council, Ethiopia office.
To do so; the study has used data from the organization using self-administered questionnaire.
Out of the total 71 questionnaires distributed to the whole employees of the organizational only
64 of them are properly recorded and returned to the researcher. Descriptive and inferential
analysis such as correlation and regression analysis are conducted. The findings of this study
showed that the PA system is not fully intended to meet the interests of both the employee and the
employer. Neither it helped the organization to determine rewards and payments and to provide
basis for disciplinary actions, different benefits, promotion opportunities and pay etc. The study
has also identified that there are many challenges on the PA process/practice that are faced
commonly by the organization and the employees. Some of them includes; unavailability of the
required resources, supervisors do not display the right attitude to help the process, the cost of
financing the process is high. Also, some workers become significantly uncomfortable on the
appraisal process, and performance goals do not consider pertinent environmental factors and
PA results are not fully acted upon. Based on the findings of the study, the researcher
recommends that the HR department and Supervisors should play their prominent role to help
the appraisal process by strengthening the management in performance appraisal system, the
management should use and apply clear and measurable criteria or rates to conduct
performance appraisal, Performance goals should consider pertinent environmental factors and
PA results should fully be acted upon, the appraisal process should fully be made fair and
reasonable, etc.