STAFF APPRAISAL AND SUSTAINABLE ORGANIZATIONAL PERFORMANCE: AN ANALYSIS OF HOSPITALITY SECTOR IN 3-5 STAR HOTELS IN NAIROBI CITY COUNTY-KENYA
Abstract
Purpose of the Study: Human Resource has been regarded as the utmost significant component of an organization that helps in achieving a competitive advantage. The staff appraisal tool is one of the most important human resource practices that aid in a flexible approach to recruitment and staffing as well as development. Management by Objectives is a strategy that entails the use of the SMART technique. The aim of this study was to establish the effect of management by objectives appraisal method on organizational performance in 3-5 Star hotels in Nairobi City County-Kenya. plays a major role in the economy of Kenya. However, the sustainable organizational performance continues to face challenges which include stiff competition, retention of clients and customer satisfaction. In addition to that, the various ways to flatten COVID-19 curve like community lockdowns, social distancing, stay-at-home orders and travel restrictions resulted in closure of many hotels like Continental Hotel. Instructions to solely take-outs, travel and stay-at-home orders issued by the government authorities caused a sharp decline in hotel occupancies and revenues. These challenges affected sustainable organizational performance of 3-5 Star hotels in and to overcome them, hotels need to take on Human Resource management practices since they tend to have a significant effect on the quality, innovation, efficiency, sales and profit for the organizations.
Methodology: This study espoused in particular a descriptive survey research design that is cross sectional in nature. The study targeted 44 Human Resource managers and 4,500 employees from all the 44 3-5 Star hotels in Nairobi City County, Kenya. Sample size of 411 employees was used. Data was collected from the respondents through a drop and pick method where the researcher delivered the questionnaire to the respondents and went back after two weeks to pick the fully filled questionnaire. Descriptive statistics by use of frequencies, percentages, means and standard deviations were used to conduct data analysis. In addition, inferential statistics, that is, Chi-Square, simple regression analysis were used to ascertain the association that exists between staff appraisal system and sustainable organizational performance.
Results of the Study: The study found that management by objectives had a significant influence on performance of 3-5 Star hotels in Nairobi City County with a P-Value of 0.000.
Conclusion and Recommendation: Human resource managers in three, four and five star rated hotels need to continue setting objectives to achieve organizational goals that are clearly understood and aligned to organizational goals.
Keywords: Sustainable Organizational Performance
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