THE IMPACT OF PERFORMANCE MANAGEMENT SYSTEM ON EMPLOYEES’ PERFORMANCE

Abstract

Employees are the central theme of many studies. In this global and competitive environment organization focuses on the performance of employees. The current study is to concentrate on breaking down and investigating the impact of performance management system on employee performance. The current study followed quantitative mono method. A deductive approach and survey strategy were used, as the study test the effects of a performance management system on employee’s performance, collecting data from respondents through adopted questionnaire. Air Blue Airline was considered as the targeted population of the study. Total 160 employees working in the said organization was taken as sample of the study, out of which 130 response was received. Regression and correlation were applied to check the effects of the independent variable on the dependent variable and to check the relationship of variables. Based on the results of the study it was found that there was a significant effect of a performance management system on employee’s performance. It was also concluded that there was a positive and significant relationship between performance management and employee performance. The study contributes to the body of knowledge by providing information about the relationship and effects of performance management on employee performance. The results of the study can be used by the Airline industry for the improvement of their performance management system and increasing the performance of employees. The management of Air Blue Airline can adopt a welldefined system of the performance management system, ensure staff involvement, fair monitoring, and rewards in the organization. Future research can be conducted on other methods and a widespread population.