EFFECT OF PERFORMANCE MANAGEMENT PRACTICES ON EMPLOYEE PRODUCTIVITY IN KENYAN MANUFACTURING FIRMS: A CASE STUDY OF UNGA GROUP LIMITED

Abstract

Employee productivity will remain a critical determinant of organizational performance, competitiveness, and sustainability in the manufacturing sector. In Kenya, manufacturing firms continue to experience productivity challenges arising from weaknesses in performance management practices despite increased investment in human capital systems. This study will examine the effect of performance management practices on employee productivity in Kenyan manufacturing firms, with specific reference to Unga Group Limited. The problem to be addressed in this study will be the persistent low levels of employee productivity attributed to ineffective performance planning, appraisal, feedback and coaching, and reward and recognition practices despite the existence of formal performance management systems. The study will be guided by the objective of determining the effect of performance planning, performance appraisal, performance feedback and coaching, and reward and recognition practices on employee productivity. The scope of the study will be limited to employees of Unga Group Limited in Kenya, while its significance will lie in generating empirical evidence to inform management, policymakers, and scholars on effective performance management practices that enhance productivity. The study will be anchored on Goal-Setting Theory, Expectancy Theory, Feedback Intervention Theory, and Equity Theory, which will explain the relationship between performance management practices and employee productivity. A descriptive research design will be adopted. The target population will comprise 300 employees drawn from the production, human resource, finance, operations, and administration departments. A sample size of 171 respondents will be selected using stratified random sampling. Primary data will be collected using structured questionnaires. A pilot study will be conducted on 10% of the sample size to test the research instrument, and validity and reliability will be established through expert review and Cronbach’s Alpha coefficient respectively. Data will be analysed using descriptive statistics and multiple regression analysis with the aid of SPSS, and results will be presented using tables and figures. Ethical considerations, including informed consent, voluntary participation, confidentiality, privacy, and anonymity, will be strictly observed throughout the study.