A study of the impact of the performance management systems on employee performance: A case study of OLAM Zimbabwe from 2006 - 2010

Abstract

The purposes of the study seek to evaluate the effectiveness of performance management systems on employee performance at OLAM Zimbabwe from 2006 to 2010. Against this background the researcher developed the follows research objectives, to assess measures to increase the yield per hectare of contracted farmers and secondly of Farmer Liaison Officers; to establish strategies to promote employee retention, satisfaction and loyalty; forth, to analyse options to improve employee reward and recognition and finally, to recommend the effective and appropriate performance management systems that could be implemented.

Undertaking this research the researcher used epistemology and ontological philosophies to support the paradigms of positivism. The researcher used survey and case study as the main strategy for collecting data. The researcher used self-administered questionnaires as a research instrument. In collecting the results the researcher on a population of 150 employees but managed to sample 94 employees who composed 9 Line managers and 85 general employees.

Results showed that Farmer Liaison Officers were demotivated to meet their production because of a proper performance management system. Employees were not satisfied with their jobs and did not have any intentions to stay with the organisation. The employees lacked a proper reward and recognition system that could intrinsically and extrinsically motivate them to work. The organisation lacked proper management system that could link all key areas to perform.

The researcher concluded that the organisation should be prompt in checking for training and performance gaps for farmers. In order to meet their objectives, key performance guidelines should be established for Farmer Liaison Officers before a farming season. Employees’ jobs should be redesigned and establish career growth schemes. The organisation should establish low cost recognition programs and revise performance pay systems such as variable pay and incentive bonus. The researcher recommended the introduction of the balanced scorecard for the organisation.