Factors influencing successful implementation of employee performance management systems: a case study of KPMG East Africa
Employee performance management has become a business imperative in today's competitive business arena, where organizations are constantly working to improve their performance and profitability. The purpose of this study was to identify the factors that influence the successful implementation of employee performance management systems at KPMG East Africa. The research design was a case study. Data was collected using a semi-structured questionnaire. The questionnaires were mailed to the respondents consisting of 100 employees from across the KPMG offices in Kenya, Uganda and Tanzania. Of these, 85 employees responded, thereby giving a response rate of 85%. The data was analyzed using descriptive statistics; mean and standard deviations. Factor analysis was used to rank the factors that influence successful implementation of the employee performance management system at KPMG East Africa. The findings indicated the significant factors influencing the successful implementation of an employee performance management system to be the users' understanding of the system and creation of a conducive working relationship that fosters performance. Specifically; KPMG should focus its attention on the leading factors identified, which are listed as follows: personal level of understanding of the employee performance management system; appraiser's level of understanding of the system; existence of a conducive working relationship between appraiser and appraisee; availability of Information Technology infrastructure to support the system; availability of clearly laid out policies and procedures governing the system; the organization's culture; appraisees are encouraged to continuously improve their performance; support and commitment of the system from top leadership; availability of documented framework on the system; appraisers are empowered to make decisions pertaining to appraisees' performance; the performance rating system is relevant and appraisees are encouraged to continuously review their own performance. From the above findings, it was concluded that KPMG's 'Dialogue' employee performance management system has been successfully implemented. It is recommended that future research should investigate the extent to which these findings can be generalized to other organizations as this was a case study on KPMG East Africa, a partnership offering professional services.