Exploring factors influencing the performance appraisal system in hotels

Abstract

The paper aims to explore the factor influencing the performance appraisal systems in hotels. A sample of 320 has been collected from employees working in five-star hotels in the national capital region of India using a quantitative approach. Exploratory Factor Analysis (EFA) and Confirmatory Factor Analysis (CFA) were utilised to analyze the data. Four factors have been found such as Employee Participation and Development-Oriented Appraisal, Organizational Support and Career Growth Linkages, Fairness and Transparency in Appraisal, Clarity and System Structure of Appraisal System. The findings help HR practitioners and management of hotels to designing more effective appraisal systems that are participative, transparent, development-oriented, and linked to career growth. It also helps the managers to enhance employee satisfaction and reduce staff turnover.