Abstract:
The objective of this study was to investigate whether Performance
Appraisal System significantly relates to Employee Commitment. To
achieve this objective, researcher has selected three branches of
Zero Lim (name changed) such as Kandy Show Room, Nugegoda Show
Room and Dehiwela Head office. To analyze the relationship, one
hypothesis was formulated for this research study. Researcher has
selected the Performance Appraisal System as an independent variable
and Employees Commitment as a dependent variable. Sample size of
this research was 92 which were selected by using simple random
method. Structured questionnaire used to get the primary data collection.
The Univariative analysis and Bivariative analysis were used to variable
analysis through the SPSS (Versionl O.O) and Microsoft Excel 2003.The
pie chart, table and graphs are used to present the collected data. The
study results revealed that, most of the employees agreed that, their
commitment level is high. There is significant positive relationship
between Performance Appraisal System and Employee Commitment.
This study found relationship of correlation coefficient was 0. 608 which
is significant at 0.01 level. Though employees performance appraisal
system is in high level results imply that it should adopt a more
systematic system of PA namely in the dimensions of policies of PAS,
criteria & standards, methods, forms & procedures, decision making &
storing, review and renewal in order to improve employees commitment.
