IMPACT OF PERFORMANCE APPRAISAL SYSTEM ON JOB SATISFACTION AT BAMEiINO SECTOR IN PAKISTAN

Abstract

Purpose: The puipose of this research is to identify the impact of performance appraisal on job satisfaction in Pakistani banking industry. In any organization performance appraisal system plays a vital lole in sustaining and managing human resource and it is an essential tool to motivate and letain the employees. Because of performance appraisal organizations maintain conti ol ovei theii employees and because of effective performance appraisal employee will be satisfied with their jobs. Methodology / Sample: Deductive approach was applied and hypotheses were developed first after careful review of relevant literature. The nature of this study is explanatory and this is quantitative research. Data was collected through close ended questionnaire from 250 managerial level employees of different banks. Data was analyzed through statistical tools Regression and Correlation with the help of SPSS software version 22. Findings: After the analysis, it was found out that there is lack of implementation of proper performance appraisal system banking sector. Periodic reviews, feedback and evaluation have no impact on job satisfaction. Participative goals, reward system and personal developmental goals are sources of job satisfaction in different banks. Practical implications: The findings of this study are likely to help management of banking sector about existing performance appraisal system and its weaknesses. For effective appraisal system it is essential to arrange the periodic reviews meetings, proper feedback and evaluation process. This study may also beneficial for other organizations as well.