Performance Appraisal in The Nigerian Banking Sector: The Individual and Joint Variables Analyses

Adekoya Abiodun Oshode, Oluseye Sunday Alade, Kingsley Kayode Arogundade


This study examines the impact of performance appraisal on employees’ productivity in the Nigerian banking industry, with a sample of one hundred and ninety five (195) drawn from banks with branches in Ado Ekiti, the capital city of Ekiti State. The samples were gotten via random sampling of the entire 360 staff members of the bank branches in Ado Ekiti.  Regression analysis was employed for data analysis and F-statistics for the hypothesis testing. The study found that sound management of performance appraisal (PA) system will guarantee good employee productivity, with R value of 0.842, adjusted R2 of 0.701. That is, a very strong and positive relationship exists between performance appraisal and employee productivity. Also, a very good PA system will explain 70% of degree of changes in employees’ productivity. The F-ratio statistics was 86.268. The study concluded that, for Nigerian banks to earn sound employees’ performance, a conscious effort towards an improved Performance Appraisal system is required.

Keywords: Performance Appraisal; Employee productivity; Nigerian banking sector and Sound management

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