Management Perception of the Performance Target Setting Criteria at Dawa Limited Kenya

Abstract

Management perception of performance targets criteria for any organization business may not always increase the organizations efficiency and productivity but helps to ensure that management staffs are focused on key result areas deliverables and ways on how to measure those deliverables. Dawa Limited has an employee performance management system which is involves setting performance target criteria as well as to measure employee‟s performance. However, severally have employees fallen short of target with most performing below the set targets. This has raised a lot of complains from both management and staffs. The major justification for this failure is lack of clarity on basis of the criteria being used to set performance targets for management staff. The area of performance setting criteria has attracted little scholarly effort and no study has been done at Dawa Limited, specifically, analyzing management staff perception of the performance target setting criteria. Therefore, this study sought to establish perception of management performance target setting criteria at Dawa Limited, Kenya. Using a case study research design, the study collected primary data and analyzed using descriptive and chi-square tests to establish the relationship between the variables. The study findings led to the conclusion that there is a significant relationship between management perception and performance of target setting criteria reiterating that the management perception is critical to the success in performance of target setting criteria. It concludes that the management perception of target setting as a way of improving the performance review of employees, as well as perceiving target setting as enabling the department to develop a culture of continuous improvement as well as being flexible, fair and transparent leads to better performance of target setting criteria. The study recommends that since management perception is critical to the performance of target setting criteria, the study recommends that organizations should adopt target setting but at the same time, in order to make it work effectively, they should encourage the top management to perceive target setting as a way of improving the performance review of employees, as well as perceiving target setting as enabling the department to develop a culture of continuous improvement as well as being flexible, fair and transparent. Otherwise, the adoption may not yield better performance if the management perceives it negatively.