CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

Performance appraisal (PA) can improve employee motivation and performance, but when it is used inappropriately it can have damaging effects. Recent reviews of the literature show that perceptions of fairness and of actionable feedback are associated with higher motivation, satisfaction, commitment and performance, whereas perceptions of bias or poor communication lead to disengagement and higher turnover intentions (Elabed, Alyaarbi, Ahmed & Bahroun, 2026). For PA to be effective, it must of necessity be anchored on the performance criteria that have been defined for the job. Performance criteria are the means by which successful or unsuccessful job performance is determined, and they are one of the products of a detailed job analysis. They spell out the specific elements of a job and make it easier to develop the means of assessing levels of successful or unsuccessful performance. It can therefore be inferred that an appraisal system that is not built on these criteria can be neither appropriate nor fair, particularly to the employee whose performance is being evaluated. Indeed, a key point in the arguments of those opposed to performance appraisal is that, most of the time, the wrong things are rated and the wrong methods are used. Appraisal accuracy, transparency and quality of feedback are among the factors that shape how employees perceive appraisal and respond to it (Elabed et al., 2026).

Situations arise in which only some selected job elements are evaluated, or are given preference or higher points over other job elements in which the employee was equally engaged during the review period. This calls into question the fairness of the appraisal system and its ability to produce the desired outcomes. Performance appraisal is a difficult and complex activity that many organizations do not perform well, and the end result is often the opposite of what was intended. Review evidence shows that the outcomes of appraisal depend on how the system is designed and implemented, and on contextual factors, so that identical techniques can motivate in one setting and demotivate in another (Opoku, Osman & Kyeraa, 2024; Elabed et al., 2026).

1.2 Statement of the Problem

In Nigeria today, the general state of poverty makes economic reward a very important reason why people go out to work, so that money ranks highly as a critical motivator. Evidence from Akwa Ibom State, the setting of this study, is consistent with this: a survey of 550 civil servants found that financial motivation is predominantly used in the state civil service, without an appropriate mix of non-financial factors, resulting in low motivation and low performance (Ukaidi, Muchama, Ukaidi & Aleke, 2024). This situation makes it imperative for Nigerian workers to pay particular attention to human resource (HR) practices that have a direct bearing on their financial rewards and social status. One such HR activity is performance appraisal (PA), which is the focus of this study.

A major outcome of PA is promotion, with its attendant increase in financial benefits and enhanced professional and social status. Performance appraisal outcomes tend to have a high motivational impact and are a major determinant of employee performance (Opoku et al., 2024; Chahar, 2020).

It must be emphasized that an effective performance appraisal system is one that takes account of all the components of an employee's job performance and does not focus on selected ones.

If used effectively, PA can improve motivation and performance, but if used inappropriately it can have disastrous effects (Elabed et al., 2026). To be effective, PA must be anchored on the performance criteria outlined for the job, which in many cases is overlooked. Performance criteria are the yardstick for judging whether job performance has been successful, and they derive from a detailed job analysis. By identifying the specific elements of a job, they make it easier to develop the means of assessing levels of success or failure. An appraisal system that is not hinged on these criteria can neither be appropriate nor fair, especially to the employee being evaluated. Critics of performance appraisal argue that, most of the time, wrong things are rated and wrong methods are used, and perceptions of unfairness and poor communication are associated with disengagement (Elabed et al., 2026).

Therefore, the problem confronting this research is to appraise the effect of performance appraisal techniques on employee motivation.

1.3 Research Questions

1. What is the nature of performance appraisal technique?
2. What is the nature of employee motivation?
3. What is the effect of performance appraisal technique on employee motivation?
4. What is the effect of performance appraisal technique on employee motivation in the Akwa Ibom State civil service?

1.4 Objectives of the Study

1. To determine the nature of performance appraisal techniques.
2. To determine the nature of employee motivation.
3. To determine the effect of performance appraisal technique on employee motivation.
4. To determine the effect of performance appraisal technique on employee motivation in the Akwa Ibom State civil service.

1.5 Significance of the Study

The study shall provide a conceptual and analytical appraisal of performance appraisal technique and its effect on employee motivation.

It shall serve as a veritable source of information for managers and human resource professionals.

1.6 Statement of Hypotheses

1. H0: Performance appraisal is not significant in the Akwa Ibom State civil service.
   H1: Performance appraisal is significant in the Akwa Ibom State civil service.
2. H0: Employee motivation in the Akwa Ibom State civil service is low.
   H1: Employee motivation in the Akwa Ibom State civil service is high.
3. H0: The effect of performance appraisal technique on employee motivation in the Akwa Ibom State civil service is low.
   H1: The effect of performance appraisal technique on employee motivation in the Akwa Ibom State civil service is high.

1.7 Scope of the Study

The study focuses on the appraisal of performance appraisal technique in relation to employee motivation, with the Akwa Ibom State civil service as the case study.

1.8 Definition of Terms

Performance Appraisal: Performance appraisal (PA) is the part of the performance management process in which an employee's contribution to the organization during a specific period is assessed. Its underlying objective is to improve the performance of the individual employee, and thereby the performance of the organization as a whole (Chahar, 2020). PA is one of a range of tools for managing performance effectively, because it provides data that feed into other elements of the performance management process. A PA system is also often the link between the additional pay and rewards that employees receive and their job performance (Opoku et al., 2024).

Technique: Technique is the manner in which technical details are treated (as by a writer) or basic physical movements are used (as by a dancer); it also means the ability to treat such details or to use such movements (Merriam-Webster, n.d.).

Motivation: Motivation is the force that energizes, directs and sustains behaviour. It is concerned with the strength and direction of behaviour and with the factors that influence people to behave in certain ways (Chiriță, Ungureanu & Sbîrcea, 2024). It may also be viewed as the desire within a person that causes the person to act in order to reach a goal. In a work-specific sense, it is the willingness to exert high levels of effort towards organizational goals, conditioned by the effort's ability to satisfy some individual need. Work motivation can likewise be seen as a process of energizing employees towards work goals along a specific path (Chiriță et al., 2024).

Employee Motivation: Employee motivation is a factor, or a combination of factors, that induces an employee to pursue work-related tasks or goals. Two broad categories of motivation are extrinsic motivation and intrinsic motivation, and effective reward systems combine both (Awoniyi, Akilo, Kazeem & Awoniyi, 2022).

REFERENCES

Awoniyi, C. I., Akilo, A. M., Kazeem, T. C., & Awoniyi, S. O. M. (2022). Reward system and employee productivity of selected beverage companies in Southwest, Nigeria. UNILAG Journal of Business, 8(1).

Chahar, B. (2020). Performance appraisal systems and their impact on employee performance. Information Resources Management Journal, 33(4), 17–32. https://doi.org/10.4018/irmj.2020100102

Chiriță, R. A. M., Ungureanu, C.-E., & Sbîrcea, I.-A. (2024). Perspective on the motivational theories in organizations. Bulletin of the Polytechnic Institute of Iași, Machine Constructions Section, 69(3), 49–56. https://doi.org/10.2478/bipcm-2023-0023

Elabed, S., Alyaarbi, A., Ahmed, V., & Bahroun, Z. (2026). Employee's perception towards organizational performance appraisal: A systematic literature review. Management Systems in Production Engineering. https://doi.org/10.2478/mspe-2026-0017

Merriam-Webster. (n.d.). Technique. In Merriam-Webster.com dictionary. https://www.merriam-webster.com/dictionary/technique

Opoku, V., Osman, A., & Kyeraa, A. (2024). The impact of performance appraisal systems on employee motivation and organizational success: A comprehensive review of best practices and challenges. Convergence Chronicles, 5(5), 83–92.

Ukaidi, C. U. A., Muchama, M. E., Ukaidi, E. U., & Aleke, J. U. (2024). An evaluation of motivational factors and performance in Akwa Ibom State Civil Service, Nigeria. IDOSR Journal of Humanities and Social Sciences, 9(1), 16–22.