Abstract:
This study attempted to understand the employee perception on the existing
performance evaluation system of the Star-Tel (Pvt.) Ltd. At the time of this research
study the company has been using a performance evaluation system that is based on
the forced distribution method for categorizing employee performance and subsequent
rewards. Although there are many previous studies about forced distribution method
done on factors affecting employee performance, there are only a very few researches
conducted in the telecommunication industry.
In this study, three independent variables, or in other words factors, related to employee
perception on performance evaluation method that affect employee performance,
were tested for its applicability at Star-Tel (Pvt.) Ltd. The data was collected through
a questionnaire. According to the results obtained it was revealed that employee
performance has significant positive relationships with employee satisfaction on
Performance Management (PM) method, perceived fairness of PM method and
employee morale on PM method. Based on the findings of this study the above
positively related factors are recommended to the managements of the respective
organizations to improve their respective performance evaluation systems.
Accordingly, the researcher presented recommendations to the management. Further,
the limitations of this study were also identified and the researcher has given directions
for future research in this area.