Научная статья на тему 'The performance appraisal and employees’ productivity of Sharjah Islamic Bank, UAE'

The performance appraisal and employees’ productivity of Sharjah Islamic Bank, UAE Текст научной статьи по специальности «Экономика и бизнес»

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HRM / Performance Appraisal and Employees’ Productivity

Аннотация научной статьи по экономике и бизнесу, автор научной работы — Burton A. Aggabao, Meera Shareif Al Awadhi

This study attempted to evaluate the performance appraisal practices and employees’ productivity of Sharjah Islamic Bank (SIB). The survey research design was used and a 27 samples was drawn from group of employees particularly directors, managers, supervisors and rank and file employees. The researcher’s made questionnaire was utilized, and the Pearson Correlation Coefficient was used to determine the performance appraisal and its effect toward employees’ productivity. The performance appraisal system was assessed and agreed by the respondents to have had implemented by SIB, and the employees’ productivity was found out to have increase. It is concluded that performance appraisal positively correlated with the employees’ productivity. Similar studies can be conducted to consider other dimensions of performance appraisal that may affect the productivity of employees.

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Текст научной работы на тему «The performance appraisal and employees’ productivity of Sharjah Islamic Bank, UAE»

Dr. Burton A. Aggabao Facutly Member, College of Business Administration University of Fujairah, United Arab Emirates E-mail: aggburt@yahoo.com Meera Shareif Al Awadhi BBA Graduate, College of Business Administration

University of Fujairah

THE PERFORMANCE APPRAISAL AND EMPLOYEES' PRODUCTIVITY OF SHARJAH ISLAMIC BANK, UAE

Abstract: This study attempted to evaluate the performance appraisal practices and employees' productivity of Sharjah Islamic Bank (SIB). The survey research design was used and a 27 samples was drawn from group of employees particularly directors, managers, supervisors and rank and file employees. The researcher's made questionnaire was utilized, and the Pearson Correlation Coefficient was used to determine the performance appraisal and its effect toward employees' productivity. The performance appraisal system was assessed and agreed by the respondents to have had implemented by SIB, and the employees' productivity was found out to have increase. It is concluded that performance appraisal positively correlated with the employees' productivity. Similar studies can be conducted to consider other dimensions of performance appraisal that may affect the productivity of employees.

Keywords: HRM, Performance Appraisal and Employees' Productivity.

1. Introduction This study is conducted to measure the efficiency

Performance appraisal evaluation is essential of performance appraisal made by supervisors of to meet the different organizational and individual Sharjah Islamic Bank. Performance appraisal has needs of stakeholders. With these evaluation plans, many goals as it is used to evaluate the performance systematic judgments are made regarding salary and of employees. The first goal is to enhance profes-compensation increase, promotion and demotion, sional and career development, skill levels, and overtransfers and termination of employee [1]. This is a all performance of employees. Secondly, it keeps a way to assess the performance behavior of employ- smooth working relationship between members of ees within the organization with regards to their at- the organization. Thirdly, it clarifies roles, positions, titude, job capability and knowledge, and skills. It responsibilities and duties of employees. Fourthly, serves are basis for the decision of the organization to it creates a mutual understanding of the standards create performance plans. The need of performance adapted in measuring business and individual appraisal evaluation stems out from the principle performance. Lastly, it supervises employee's pro-that employees are the main providers of the busi- motion, salary decisions, and retention. ness performance or the organizational performance In this study the researcher is focused on the perlevel. With the aid of organizational and individual formance of the organization, the appraisal program appraisals, management will understand what strate- to assess employee's performance, and the strategic gies should be adapted. framework used to ensure operational culture among

employees. As much as business performance is dependent on the performance of individual employees, the management acknowledges the need to define the interrelated functions of employees to keep a smooth-functioning and successful organization. According to Lieber [1] it is important for the management to document employee's behavior and not try to pinpoint the reason of such. 1.1 Statement of the Problem This study assesses the implementation of performance appraisal and productivity of employees of Sharjah Islamic Bank, United Arab Emirates. Specifically, this research answered the following questions: 1. What is the extent of performance appraisal, according to the following points:

1.1 Employees Development

1.2 Organization's Success

1.3 Appraisal Aim

1.4 Appraisal Focus

1.5 Rewards and Compensation

1.6 Role Clarity

1.7 Appraisal Areas

2. What is the extent of employees' productivity?

3. Is there a significant impact of performance appraisal on the productivity of Sharjah Islamic Bank employees?

1.2 Hypothesis of the Study

This study tests if there is significant relationship between performance appraisals and employees' productivity of Sharjah Islamic Bank.

Figure 1. Conceptual Research Paradigm

1.3 Conceptual Research Framework

The research framework establishes the variables of the performance appraisal components to understand the different factors affecting the productivity of employees. In the same manner, it is also necessary to note the response of the management on the productivity of employees. Through assessing

the implementation of performance appraisal, the management is able to know what areas employee lack to ensure proper treatment and contingencies are setup to reduce the negative impact of these factors on the overall productivity of employees.

Two main variables are considered in this study. The independent variable is referred to performance

appraisal. While, the productivity of employees is considered as the dependent variable which includes several factors affecting productivity.

With the determination of the requirements, factors, and issues of this study, the researchers had drawn a path, which is the plan, for this study. The study started with the Performance Appraisal as it is the independent variable and considers its dimensions such as employee's development, organization's success, appraisal aim, appraisal focus, rewards and compensation, role clarity, and appraisal areas. These points are considered as the sub-variables of the first component of this study; that is performance appraisal.

Productivity of Employees is the dependent variable of this study as it is assumed to be affected by the performance appraisal. Productivity is being affected by the performance appraisal because performance appraisal assists the organization to identify both strengths and weaknesses of their employees. Michie, Oughton, & Benn [2] stated that several factors affecting productivity, as an example, quality is one of the factors affecting productivity.

2. Literature Review

Now a days, a global phenomenon had been going so wide across nations. This phenomenon had attracted many economists, politicians, and social workers. The phenomenon is entrepreneurships, which is on the focus of theoretical, political, and practical interest. However, as United Arab Emirates is a developed country, entrepreneurship obtained attention for the last century. Moreover, entrepreneurship is the way of promoting self-employment and to sustain economic development. Besides, entrepreneurship assist the competitiveness of industries in the eve of globalization [3].

The success of any entrepreneurship is reliable on two main factors. First factor is well establishment, which is related to the business strategy, objectives, goals, mission and vision statements, organizational functions, and managerial functions. The second factor is examining the role and performance

of the institution. In examining the performance of the institution, a performance appraisal for employees must be acquired. The reason of acquiring performance appraisal for employees is to assure the organizations is going through its approach [3]. According to Lawrence [4], the performance appraisal program (PA program) is important to employees' professional development, to meet the company's goals and objectives. Moreover, to ultimately contribute to the company's or firm's bottom line. There are other benefits of the performance appraisal such as improve the morality of the organization's employees, improve the communication system within the workplace environment, and the opportunity for the management to address or revisit performance problems that are stalling the forward direction of the organization.

Human resource is the foundation of the progressive and successful organization or company. This is the central point of performance appraisal evaluation as stated by Marikova [5]. The workforce is an asset of the organization that ensures higher productivity levels to address formation, operation, and growth of the organization. The primary reason in the establishment of the performance evaluation is to monitor performance of employees, motivate them to exert more effort in their jobs through increased morale [4]. With employees of the organization know that their performance is evaluated for further merit and promotion, they are motivated to work harder and better. Lieber [1] noted that employee collaboration helps to provide goal setting success. Employees should know the goal of the organization to achieve them. If employees are evaluated from time to time, it is easy for the management to track their behavior if they meet the standards. In the same manner, it will be easy for the organization to see if necessary changes ofhuman resources strategic management plans are necessary to achieve the goals of the organization. Through proper treatment and consideration, it will be easy for the organization to look for ways to address demands and needs that are

essential to the flow of operation of the company. Shoenfelt [14] asserted that "job requirements must be translated into levels of acceptable and unacceptable performance... identified in behavioral terms."

The rise of the need to manage performance has been crafted in recent years to provide "an integrated and continuous approach to the management of performance than what provided by previous more isolated, and often inadequate, merit rating of performance appraisal schemes" [5] This management is focused on the principle of agreement and contract between the organization and the employee, rather than on the management by command. The management by command is already an obsolete form of management the organization's assets including the human resources because it is anchored on the idea that people are automatons. The new principle of management by agreement and contract is focused on the development of individuals, providing them satisfaction, and the integration of meeting individual and corporate goals and needs.

Annual performance appraisal evaluations form basis for the rewards and compensation platforms of organization. In this sense, the performance appraisal directly affects the future performance of employees. With the aid of the appraisal, managers and employees will be able to meet at a certain point. The primary concern and motivation of managers is to increase the performance of the organization. On the other hand, the goal of the employee is to increase individual performance to reach the mark for rewards and incentives being followed by the organization [6]. They stressed the idea of motivating employees through performance evaluation or appraisal and the consequence of rewards and incentives is anchored on Maslow's hierarchy of needs and the idea of self-actualization. Monetary and financial benefits that employees receive are basic demands of the human resource management {6}. It is important for employees to know that their effort within the organization is rewarded with the equal compensation. Ifbasic needs and demands of employees are

met, it is easy for them to find value on what they are doing. In the same manner, it is important for employees to achieve self-actualization. This is the sense of giving employees a sense of recognition. Through performance appraisal evaluation, managers can recognize the efforts of employees within the organization. This will allow managers to motivate and encourage employees to work further for the benefit of the organization [6].

Keaveny & McGann [7] also mentioned "role clarity has been defined as the extent to which required information concerning one's role is communicated to and understood by employees." In performance appraisal evaluation, definition of roles and responsibilities must be very clear. Strategic management demands that responsibilities and duties of the organization are clearly defined and provided to ensure that employees will be able to meet the job description. Ambiguous role definition results to low level of productivity, insubordination, conflicts within the workplace, and lack of coordination between employees. In fact, performance appraisal evaluation can only be successful through clear definitions of the roles and functions of individuals within the workplace. A systematic performance appraisal evaluation focuses on clear definition on what areas should be included in the appraisal. The United States Office of Personnel Management [8] demanded that evaluation questions should comply with the following:

• Communicate and clarify organizational goals to employees;

• Identify individual, and, where applicable, team accountability for accomplishing organizational goals;

• Identify and address developmental needs for individuals and, where applicable, teams;

• Assess and improve individual, team, and organizational performance;

• Use appropriate measures of performance as the basis for recognizing and rewarding accomplishments;

• Use the results of performance appraisal as a basis for appropriate personnel actions.

Performance management, as new tool in strategic management approach, is considered a controversial tool in searching for answers to problems in system design and administration of organization [9]. Critics noted that performance appraisal assumes the error of the measurement due to inaccuracy. If the performance of employees is evaluated as dismal and full of laxity, this may result to a conflict between employees; in the same way, performance evaluation programs may lead to steep competition culture in the workplace. But in terms of impact to the creation of strategic plans for the management of the workplace, performance appraisal evaluation provides a succinct analysis of the environment, as a way to test individual and business performance. Performance appraisal has an effect on employee's performance; that is because it will determine whether to motivate them more and more or to develop them through trainings. However, Michie, Oughton, & Benn [2] stated several factors affecting employees' performance. First, the performance is being affected positively or negatively on employees. The most important hint here is to understand the value of each factor and how to use it properly. Anyhow, the first factor is the quality ofwork. Sometimes, employees have an output of a low quality. In this case, the manager or supervisor should not reprimand the employee for the result. The manager or supervisor should advice the employee and examine and evaluate his or her low performance and try to solve them.

The second factor is the job knowledge; if the employee does not have a full knowledge related to his or her job, the management must provide a theoretical training course for the employee. The training course should include all the policies of the organization, the procedures of the job, a brief explanation of the job duties, tasks, and responsibilities, and an explanation of how much the employee role is important in the organization [2]. While, Dobso n, Sommerville, & Dewsbury

[11] commented in the point of responsibility and dependability. They stated that dependability in the work field is important as it gives the employee some freedom to be creative. This creativity will come from the biases of authority when the employee is being trusted to handle his assignments as he or she wants. Besides, responsibility is a very important causes of employees' success in obtaining the organization's objectives. The employee's responsibilities are given based on his qualifications and abilities. Therefore, the employee who had given these responsibilities must be treated as trustful employee. As a result, the employee will be committed to the organization, which will lead the employee to be more innovated and creative. So, the employee's performance will increase in a very high level.

Furthermore, Michie, Oughton, & Benn [2] detailed that the third factor is the quantity of work. Supervisors should divide the work equally and fairly on the department's employees. In that way, the quantity of work will not in a heavy load on one of the employees. Besides, Mathis, Jackson, & Valentine [10] the fourth factor is employee relations. Whereas, employee relations concerns about maintaining employees relationships in which will contribute on the satisfactory, productivity, motivation, and morale. However, the aim of employee relations is to resolve and prevent any problems involving individuals which affects work situation. Time management, the fifth factor affecting employees' productivity, is very important as it is the factor that determines the deadlines of tasks. The organization must prepare their employees to time management and train them to how to manage their time. The last factor is initiative and interval control. Initiative has the meaning of assessing the employee to initiate things independently and give the employee the power or opportunity to have authority to perform duties and tasks. Interval control explains the view of employee of controlling his or her break in activity; whereas employees should understand when to take their break [2].

3. Methodology

3.1 Research Design

The descriptive research method was used in this study, particularly survey research design. As stated by White & McBurney [12], the survey research design is defined as acquiring information related to a group or more of people through questioning them and tabulating their answers. In this study, survey research design is used to determine the impact of performance appraisal evaluation of Sharjah Islamic Bank towards the productivity of its employees.

3.2 Population Frame and Sampling Procedures

There are 352 population of the study which consists of employees of Sharjah Islamic Bank among 27 branches in UAE.

The Non-random/probability sampling particularly quota sampling is used as the sampling method. Quota sampling as stated by Kumar [13] "is the researcher's ease of access to the sample population. He added that "the researcher is guided by the profile of the respondents in terms of characteristics, gender, and location convenient to the researcher."

In this study, the 27 employees-respondents are drawn among the 27 branches of the Sharjah Islamic Bank in the UAE. The 27 employee-respondents are composed of directors, managers, supervisors and employees.

3.3 Data Gathering Instrument

The researcher's made questionnaire is used to gather the data needed in this study. The details of the item-questions on performance appraisal and productivity are based from the concepts and principles of Aggarwal [3] on his paper "performance appraisal of rural entrepreneurship development programs; Lawrence [4] "the importance of having a performance appraisal"; Michie et.al [2] "employees ownership, motivation and productivity"; and Roberts [9] in his article "employee performance appraisal system participation: a technique that works.

The first draft of the gathering tool is prepared and submitted to the capstone supervisor for review,

suggestions and recommendation for further improvement. Then the second draft is read by the supervisor for validation. The content validation of the questionnaires on performance appraisal and productivity is done by the employees of other banks such as Dubai Islamic Bank and Abu Dhabi Islamic Bank. To observe reliability, the recommendations and comments of the employees toward the details of item-questions are integrated for further development and finalization of the instruments.

The survey questionnaire used the five (5) Likert scales: strongly agree; agree, neutral; disagree; and strongly disagree.

3.4 Statistical Treatment of Data The weighted mean and correlation coefficient are the statistical tools used in this study. The Statistical Packages for Social Sciences (SPSS) is used to aid the researcher in statistical computation of data. The weighted mean is utilized to determine the extent of performance appraisal and productivity of employees. The correlation coefficient is applied to measure if there is a significant relationship between performance appraisal and productivity of SIB employees. The.05 level of probability is employed as the level of significance. 4. Results and Discussions 4.1 Extent of Performance Appraisal The general performance appraisal practices of SIB was found to be "neutral" as supported by the general computed mean score which is 3.18 as shown in Table 1.

4.1.1 Employees Development It was found out that the employees' development, which is the main purpose of performance appraisal, was found out to be "neutral" based from the computed mean score which is 3.46. The employee-respondents have evaluated and "agreed" that SIB developed employees to achieve the organizational objectives; while they revealed that SIB performance appraisal assists employees to improve their morality, communication system, and addresses problems as "neutral" based from the computed mean score of 3.59 and 3.33, re-

spectively. The concept ofemployees' development en- agement of focusing on the development of individuals tered performance appraisal as a new principle ofman- to meet individual and corporate goals and needs.

Table 1. General Weighted Mean Score of Performance Appraisal

Dimensions Weighted Mean Score Description

Employees Development 3.46 Agree

Organization's Success 3.56 Agree

Appraisal Aim 2.78 Neutral

Appraisal Focus 2.91 Neutral

Rewards and Compensation 3.26 Agree

Role Clarity 3.04 Agree

Appraisal Areas 3.26 Agree

Total Weighted Mean 3.18 Neutral

4.1.2 Organization's Success

The employee-respondents have evaluated the SIB performance appraisal system particularly organization's success as 3.56 which is categorized as "agree". The capability of SIB in achieving its objectives through appraising their employees' performance was found to be "neutral" based from the computed mean score 3.0. While, the behavior of employees meets organization's standards was evaluated as "agree" as revealed by mean score 3.81.

This finding proves the job knowledge of employees and by acknowledging heir tasks, duties, and responsibilities made them committed and contribute to SIB's organization success. As Michie, Oughton, & Benn [2] stated that the employee will be committed to the organization which will lead the employee to be more innovative and creative.

4.1.3 Appraisal Aim

The SIB appraisal aim was assessed by employees-respondents as "neutral" based on the computed mean score 2.78. The responses were "neutral or 2.8 mean score" and "neutral or 2.74 mean score" in terms of determining the required training and development programs for their employees; and performance appraisal program which determines the rewards and compensations of employees, respectively.

This is an issue for the organization which will effect on the overall performance of SIB, and it may

lead to a delay in achieving the organizational objectives and goals. Aggarwal [3] explained the importance of training and development as it is increases the capability of employees to perform in a higher rate of quantity and quality. Therefore, they tend to be more innovative and creative in doing their job. Besides, Kamphorst & Swank [6] argued the importance of rewards and compensation as a method of motivating employees in doing their job perfectly, which would result in achieving the objectives faster than usual.

4.1.4 Appraisal Focus

It is appeared that employees-respondents categorized the appraisal focus as "neutral" which is weighted with 2.91.

Employees-respondents scored "neutral" or 2.74 mean score, and "neutral" or 3.07 mean score for both focus on developing, satisfying, and meeting employees and organization goals; and assessing motivation.

These findings prove that Sharjah Islamic Bank is hardly capable in satisfying their employees. This may be an effect from the cause of the incapability of motiving their employees. Furthermore, SIB performance appraisal is not assured in assessing employees' motivation to work hard. As it is noticed, the cause and effect is both related together in a contribution with

4.1.5 Rewards and Compensation

Data shows that rewards and compensation is weighted with 3.26 mean score, which is categorized as "neutral". This could be another cause for demo-tivated employees.

Employees-respondents assessed the benefits of rewards and compensation with a weighted mean score 3.04 or "neutral". This is a factor that proves SIB is unable to clearly identify the needs of their employees. Moreover, employees-respondents have provided a result of "neutral", with the weight of 3.48, on the points of rewards and compensations of SIB are motivating. This can cause a disadvantage for SIB as they are hardly capable in identifying the needs of employees from the perspective of rewards and compensation. Even though, rewards and compensation section in the checklist had a neutral scale.

4.1.6 Role Clarity

The SIB Role clarity was assessed by employees-respondents as Neutral based on the computed mean score 3.04.

The extent of SIB information is communicated and understood by employees was found to be "Agreed" based from the computed mean score 3.81. While, the role and responsibilities of SIB employees are defined and clear was evaluated as "disagree" as revealed by mean score 2.26.

As stated by Keaveny & McGann [7] in performance appraisal evaluation, definition of roles and responsibilities must be very clear. Strategic management demands that responsibilities and duties of the organization are clearly defined and provided to ensure that employees will be able to meet the job description. Moreover, ambiguous role definition results to low level of productivity, insubordination, conflicts within the workplace, and lack of coordination between employees.

4.1.7 Appraisal Areas

The performance appraisal specifically appraisal areas was scored as 3.26, which is categorized as neutral as evaluated by employees-respondents.

The mean score of 2.63 that is neutral and referred to areas of performance appraisal to be suitable with employees' roles. While the issues and problems are determined by the specified areas of SIB performance appraisal is described with agree or mean score of 3.89.

4.2 Productivity of Employees Results

Employees-respondents showed a response on productivity of employees as "Agree", which is weighted by 3.67.

In details, responds on SIB employees acknowledge their duties and responsibilities of position is scored with 3.74, which is categorized as agree. A mean score of 2.89 or agree was left on employees of SIB take correction actions, complete their work, and accurate in their work duty performed. These two points proves that SIB is defining job description properly and provides good training and development to their employees.

SIB employees arrange themselves in completing the determined amount of work daily, as employees-respondents scored it by 3.56 that is referred as "Agree". Employees-respondents left neutral or 3.33 mean score on SIB employees are willing and able to accomplish assignments held to them dependently and accurately. This shows SIB as unable to motivate their employees as they should. As Mathis, Jackson, & Valentine [10] stated, motivation is a factor of increasing satisfactory, productivity, and morale.

A score of 3.96, described as agree, is given by employees-respondents to the working hours are comfortable for SIB employees, and they are timely attending meetings. The communication and cooperation between employees are correctly and respectfully as stated by responds as 3.70 mean score or "Agree". These points prove the capability of SIB employees to have a good employee relations as tasks and duties are clarified, which resulted in a good communication between employees.

The data further shows respondents scoring the employees are organized, prioritized, and

scheduled in their timing with 3.74 that is referred to "Agree". In the other hand, employees-respondents categorized the employees are having an origination and development of vital job procedures from SIB as "Agree", which has a mean score of 3.59. Also, 3.56 mean score or "Agree" is given to employees are able to control their performance, tasks, duties, and responsibilities by employees-respondents.

Keaveny & McGann [7] have argued that productivity of employees is affected by several factors. The pin point of management is to determine these factors and measure their effect on productivity of employees. Afterwards, managers would be able to subtract these factors and remove

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them from the organization. This would result in an increase of employees productivity in which will increase the organization's performance. As a final result, the organization will achieve its goals and objectives in which will results in its success and growth.

4.3 Significant Relationship between Performance Appraisal and Productivity of Employees

The study disclosed that there is a positive correlation between performance appraisal and productivity level of SIB employees based on the computed p value = 0.000 associated to the computed Pearson Correlation R value of0.668 which is less than the hypothesized probability level at

p =.05

Table 2. - Computed Pearson Correlation Value of Performance Appraisal and Productivity of Employees

Correlations

Variables Performance Appraisal Productivity of Employees

Performance Appraisal Pearson Correlation 1 0.668

Sig. (2-Tailed) 0.000

N 27 27

Productivity of Employees Pearson Correlation 0.668 1

Sig. (2-Tailed) 0.000

N 27 27

Note: *the computed Pearson's r value is significant

5. Conclusion

5.1 Performance Appraisal

Sharjah Islamic Bank has a strong capability to develop their employees' skills, knowledge, and abilities. It is also capable to reach its success through their achievements of goals and objectives, and by making their employees meets the organization's standards. The issue appeared with Sharjah Islamic Bank was that they are not reaching the aim of performance appraisal. Sharjah Islamic Bank is weak in identifying the requirements of performance appraisal, as well as they cannot understand the final result of performance appraisal. The bank failed to focus on performance appraisal as it is weak on motivating, developing,

:.0S levels (two-tailed)

satisfying, and meeting their employees' goals. As performance appraisal has two results, whether training and development or rewards and compensations, Sharjah Islamic Bank is nearly incapable in identifying the proper reward system. Another unclear issue appeared in Sharjah Islamic Bank is their identification of the job of each employee. That is because SIB has a strong communication system in their organization, but they fail to define roles and responsibilities of their employees. Lastly, Sharjah Islamic Bank are able to determine issues and problems through performance appraisal areas. But the problem with SIB is that they do not choose the suitable performance appraisal areas.

5.2 Productivity of Employees

The productivity of employees in Sharjah Islamic Bank is impressive. The employees raised their performance level. That is because Sharjah Islamic Bank provides knowledge for their employees related to the duties and tasks. Moreover, it trained its employees to take corrective actions in case of problems, as well as completing their work accurately and properly. Sharjah Islamic Bank does not put a huge workload on their employees. That results of higher rate of finishing the job on the right time. Another thing is related to employees' willingness to accomplish their tasks. Sharjah Islamic Bank employees are so encouraged to accomplish their work to its fullest. Sharjah Islamic Bank has the understanding of setting up a clear and suitable working times to achieve their daily objectives and comfort and satisfy its employees. Moreover, Sharjah Islamic Bank productivity increases through teamwork, and communication process among their employees. Its employees are so organized, prioritized, and scheduled in their timing. Also, Sharjah Islamic Bank management are contacting their employees to inform them about changes about their strategy. That is a good advantage as their employees are originated and developed in their job. Lastly, the performance, tasks, duties, and responsibilities are controlled by the employees of Sharjah Islamic Bank.

5.3 Significant Impact of Performance Appraisal to Productivity of Employees

Based on the conclusion provided previously, it is disclosed that there is a significance relationship between performance appraisal and productivity of SIB employees.

6. Recommendations

The following are the recommendations based on the findings and conclusions made by the researcher:

6.1 Performance Appraisal

• Policy on Recognition, Reward and Incentives: To avoid conflict in the workplace due to the

unequal or unfair reward and incentive program, the management should create a strategic plan on creating rules regarding the matter. It should be that the recognition of employees anchored on equal judgment of managers. Biases should be eliminated from the judgment of rewards and incentives.

• Adaption on How to Use Performance Evaluation: The management should look for ways on how to use the results of the performance evaluation. This is the purpose of the program - to improve the performance of employees and of the business as a whole. Rather than just ignoring results, Sharjah Islamic Bank can improve its management through the performance evaluation program.

• Developing a Strategy Map: Sharjah Islamic Bank should develop a map explaining how their strategy is implemented. This will help the organization to evaluate its own performance and trace back their achievements. Moreover, it will help Sharjah Islamic Bank management to determine new objectives.

Defining the Performance Needs: Sharjah Islamic Bank lakes the action of determining performance needs. Therefore, they must start with identifying the needs their employees require to accomplish their work. Moreover, these needs can be easily determined by listening to their employees, evaluating the materials in the work field, and providing training courses for employees. Training courses will assist in defining the needs, as it will open the way for employees to as about any unclear points.

6.2 Productivity of Employees

• Creativity of Employees Freedom: Sharjah Islamic Bank could give their employees some freedom to do their work in their own way. Sometimes, creativity comes from the freedom given to the employee. Besides, some authority may cause a great deal for the organization as a creation of a new invention that makes the work finish fast.

• Time Management of Employees: Employees are facing a deficiency with time management. Employees are facing a problem in accomplishing

their daily work. Therefore, employees must be trained with time management to accomplish their daily work completely.

• Acknowledgment of Duties and Responsibilities: Sharjah Islamic Bank should provide more information related to each employee's job, especially, job description. In that way, employees will be more efficient in their work as they acknowledge their duties and responsibilities.

• Development of Employee Relation: Sharjah Islamic Bank must improve their employee relation as it will assist employees to be more satisfied. Moreover, this will improve the communication system between employees and employers. Besides,

this will increase the cooperation between employees within the organization.

6.3 Significant Impact

• The Use of Performance Appraisal Results:

Sharjah Islamic Bank must use the results of Performance Appraisal to connect it with the Productivity of Employees. In that way, the performance appraisal will have more accuracy with identifying the factors affecting productivity of employees.

• Productivity of Employees Measurement: Sharjah Islamic Bank can use the measurement of their employees' productivity to determine the training courses and development programs. In that way, they can increase their productivity to a higher rate.

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