| dc.description.abstract | Performance contracting is a performance management tool that defines responsibilities
and expectations between parties to achieve mutually agreed results.Performance
contracting process involves;workplan management,skills development,performance
monitoring,evaluation and results.Successful implementation of performance contracting
process depends on how employees perceive the process. It is important for organizations
to understand the whole notion of perception and its related concepts to be able to
determine factors that influence peoples’ behavior.The objective of the study was to
establish employee perception of performance contracting process in the Ministry of
Local Government.A descriptive design was used and all the 270 employees of the
Ministry were studied.Descriptive statistics were used to analyze the data collected by
way ofa semi-structured questionnaire.The findings of the study showed that most
employees did not participate in critical aspects of the performance contracting process
and did not understand the performance contracting concept. The Ministry of Local
Government did not have a clear and fair system of performance evaluation and reward
and did not provide adequate and timely resources. There was improvement in
performance,work attitude,accountability and motivation as a result ofperformance
contracting process.It is concluded that since employees were not involved in the
performance contracting process, they did not ownit and were not committed to it. They
did not have capacity to conceptualize the process.The study also concludes thatThe
Ministry did not plan and budget effectively for its projects and programs leading to
employees not being able to meet their performance targets It had not institutionalized an
integrated performance management system. Finally the study concludes there was
improvement in the following areas critical for improved performance as a result of the
performance contracting process;work attitude, accountability, team work and employee
motivation. It is recommended that the Ministry involves its employees in critical aspects
of the performance contracting process to be able to win their ownership, commitment
and support. It should also train and sensitize its employees on the performance
contracting concept for successful implementation of the process. The study further
recommends that the Ministry should adopt an integrated performance management
approach that links performance to all the other aspects of human resource management
especially performance management and reward. It should plan and budget for its
projects and programs effectively to ensureavailability of resources to enable its
employees meet their performance targets. Lastly, the study recommendsthat the
Ministry should enhance the gains made so far as a result of performance contracting
process.Limitation of the study is that it was confined to studying employee perception in
the Ministry of Local Government and therefore its findings may not apply to other
Government Ministries. It is suggested that suggests further studies on perception of
external customers of the performance contracting process in the Ministry of Local
Government for improvement. | en |
