Impact of Performance Appraisal on Employees Motivation in the Hospitality Industry

Impact of Performance
Appraisal on Employees
Motivation in the Hospitality
Industry

Table of Contents
CHAPTER 1: INTRODUCTION....................................................................................................2
CHAPTER 2: LITERATURE REVIEW.........................................................................................4
CHAPTER 3: RESEARCH METHOD AND METHODOLOGY.................................................8
CHAPTER 4: ................................................................................................................................11
CHAPTER 5: RECOMMENDATIONS........................................................................................17
CONCLUSION .............................................................................................................................18
REFERENCES..............................................................................................................................19
.........................................................................................................................................................1

CHAPTER 1: INTRODUCTION
Introduction to the topic:
`The major aim of this project is to analyse and examine the impact of performance
appraisal in providing the motivation to the employees. Performance apprisal is the method
which is used by the organisation to motivate the employee for performing good in their task or
work by evaluating the performance of employees. These appraisal work as a driver for the
motivation. This reserach will be performed upon a hotel, Holiday Inn. The hotel is the American
Brand hotel. The company has the highest hotel chain in this world. The degree towrads which
the organisation applies the performance appraisal is analysed and examined through this
research. Every employee needs some or the other type of motivation through which the he can
put more pf his efforts in the work (Ao and Martek, 2020 ). The performance apprisal is a
method through which the actual performance of an employee has performed gets analysed and
then neccessary steps are taken afetr reviewing his performance. In the evaluation, it has been
found out that the employee's performance is not up to the mark then neccessary steps or
measures will be taken so that his performance can bring to the mark. These measures may
include coaching, mentoring, training and development programs, proper guidance and much
more. But it is found out that the performance of that employee is excellent then to motivate him
more there are more methods are used like increase in income, providing the promotion,
providing him with bonus and much more. Through these performance appraisal the growth of
that employee can easily get decided. This report is upon a research which will be conduct upon
the Holiday Inn Hotel. The major aim of this report is to assess the impact of performance
appraisal upon the motivation level of employees. It must also help the company in determining
the gap between the standard and the actual performance gap in the performance of employees.
Through the dteremination of same the organsiation can take the neccessary steps and actions so
that they can bridge the gap in between (Baakeel, 2018). There are various methods through
which the research can get performed, some of these methods inlclude 360 degree appraisal,
evaluation through the KPI's, benchmarking and so on. All these methods are very crucial in
analyses of performance appraisal. The data and the information which has been collected in this
report are all Qualitative In this the primary information and data has been gathered through
performing the questionnaires in the organisation in which the reviews about the employees has
been collected upon the topic. The qualitative data or information would get gathered through the

conduction of interview. The interview of the employees will get conducted and the opinion of
the company's employees gets into the consideration.
Reserach Aim
The aim of this research is to assess the impact of performance appraisal on employees
motivation in the hospitality industry (Brown, 2019).
The aim of this research is to examine the strategy of different types of businesses including
restaurants, coffee shops, hotels; and to identify the effectiveness of their performance
management strategy.
The aim of this research of to demonstrate the gaps in the performance management system and
to find the connection between the gaps and bad performance.
Research Objectives
To find out what are the most common tools used in dynamic environments like hospitality and
what are the frequency of performance appraisal by November 2020.
To identify and examine the main employee motivators in the hospitality industry and how to
meet with them in order to increase efficiency by November 2020.
To evaluate barriers that managers can face during the process of performance management and
to carry out the reasons that can lead to the failure of the process e.g. firing someone by
November 2020 (Cheptaek Chemiat and Kiptum Kimutai, 2018.).
Research questions
Performance appraisal: a tool for controlling or to encourage employees?
Why it is important to listen to employees and to engage with them: the impact of poor HR
strategies.
Why performance appraisal meetings go wrong?
How employees' motivation is affected by performance appraisal?
How to achieve the required performance?

CHAPTER 2: LITERATURE REVIEW
Literature Review is the type of methodological or theoretical review which presents the
knowledge about the topic. In these the articles, books, journals, and the academic related topics
get reviewed. The literature review is also known as narrative review. They are the sources from
where the information can get fetch. The author or the writer of that book, journal, article, blog
and of that academic source is the major proof which defines the area from where the
information was get fetch. It is a article summary in which the view points of what the author or
writer has to say upon the topic has been described (Chouhan and et al., 2016). The take of the
author gets presented in the summary. Literature review gives an opportunity to the researcher to
gain to much knowledge about the topic upon which the research has been presented.
Performance appraisal: A tool for controlling or to encourage employees.
According to Patro, (2019), Performance appraisal is a tool through which the
performances of an employees in an organisation has get analysed and examined. The
performance appraisal is very necessary to evaluate as the correct measures can be taken by the
organisation to minimise the gap between the standard and actual performance. The author has
his own take upon the benefits and disadvantages of performance appraisal. He believes that the
organisation controls the employees by evaluating their performance and if they find any
employee's performance low they tries of curb the activities of that employee through which his
performance get getting this low (Gohil, 2019). The actions of the employees can get curb or
control by shaping them or defining them in a particular form or direction. The performance
appraisal is a method which some where or the other gives the de motivated feeling to the
employees. As in the performance appraisal the gap is analysed between the standard and the
actual performance, the control measures are taken with respect to the activities of the
employees. The control or restrictions are put upon the activities and type of work of the
employees. The employees activities and work gets controlled accordingly so that the
organisation can attain their set goals and objectives.
But at some areas or points, the performance appraisal activity work as a methods for
encouraging the employees. The employees get encouraged when their work or performance gets
appreciated by their manager. Through that motivation they themselves feel so satisfied and
motivated that they performs their work with much more energy and willingness. The
performance provides the necessary rewards and appreciation to the employees. The financial

and non financial rewards and awards would help the employees in getting motivated and
generating the energy towards the direction which leads them in the attainment of objectives.
Therefore the performance appraisal works as a both a control and the motivation generator for
the employee (Gu and Nolan, 2017). For some it works as a motivator because it provides the
necessary motivator or opportunity to employees with respect to growth and it is provide as a
controller because it controls or curb the activities of the employees to some extent as the
organisation force the employees to follow a particular course of action in achieving the
organisation objective.
Why it is important to listen to employees and to engage with them: the impact of poor HR
strategies.
According to Baakeel, (2018), The human resource of an organisation is taken as an
important asset. In the modern organisation culture, the organisations practices the employees
engagement in which they evolve the opinions and decisions of them. By practising this the new
and innovative ideas get sprung which help them in attaining the competitive advantage in the
market. There are times when the suggestions and the advices coming from the employees does
help the organisation in performing the effective work and task in an organisation workplace.
When the organisation like, Holiday Inn hotel listens to the employees or the staff members their
motivational level get increased. They feel valued and satisfied in the organisation. Whereas in
the organisation where the employees do not get a chance to be heard there the level of
motivation is very low (Gupta, Beri and Behal, 2019). Listening and hearing proper to the
employees shows the good practices and exercises of human resource department. Here the
major importance is given to the human resource and their opinions and ideas. This shows that a
organisation respects the employees and consider them a important resource which helps the
company in attaining the success or their desired objectives. For increasing the employees
motivation this practice is necessary and proves to be much effective. The employees consider
themselves as a valuable person and they also consider them as an important source to
organisation. When they thinks that the organisation is giving them too much value their
productivity level in the work gets increase (Guruprasad, Sridhar and Balasubramanian, 2016).
They put more efforts in their work and helps to the fullest in attaining and fulfilling the
organisational goal. This shows the effect8ive HR strategies of any organisation. But whereas in
the organisation where all the decisions are made up by the top level management people and