Goal Setting and Performance Appraisal in Nigerian Public Enterprises: An Empirical Study of Nigeria National Petroleum Corporation (NNPC)

Abstract

Goals are performance level which subordinates and manager have agreed upon as performance standards for measuring each individual contribution in the organization. Goal setting and performance appraisal are Siamese twins that would give direction to any organization if effectively designed and practiced. Goal settings are embedded in performance appraisal through the technique of management by objective. Despite the fact that management by objectives (MBO) has become an integral part of the managerial process, most public enterprises in Nigeria do not allow subordinates to mutually set goals with their superior. Therefore, this research seeks to ascertain whether goals are mutually set and the relationship between goal settings and performance appraisal as well as whether employees are trained according to weaknesses diagnosed in employees’ appraisal forms in the Nigeria National Petroleum Corporation. The study consists of 354 senior officers in the NNPC Lagos branch. A total of 72 respondents were sampled, representing over 20% of the total population. Out of the 72 questionnaire administered, 52 were retrieved. Primary data were analyzed with frequency distribution and simple percentage. The result shows that subordinate staffs are not given the opportunity to mutually set goals with their superiors rather goals are imposed on them by the management and their supervisors. The research further reveals that weaknesses diagnosed from employees’ appraisal forms are not linked to employees training and development. The study also recommends some measures to address the challenges.

Keywords: Goal, Goal Setting, Performance, Appraisal, Management by Objective, Public Enterprises, Nigeria