The influence of performance management systems on employee job satisfaction levels at a telecommunications company in South Africa

Abstract

Orientation: Given the importance of employee job satisfaction to organisational success, job satisfaction is still a common element for any organisation to be successful.

Research purpose: To determine to what extent employee perceptions of performance management impact job satisfaction.

Motivation for the study: This study was motivated by the relative paucity of extant literature considering the relationship between employee job satisfaction and the implementation of performance management systems within telecommunications companies in South Africa.

Research approach/design and method: A survey-based quantitative approach was employed to collect data from 300 employees in a telecommunications company in South Africa. The survey instrument comprised items measuring perceptions of performance management and the performance management system and an adapted Minnesota Satisfaction Questionnaire (MSQ) that was used to evaluate job satisfaction. Survey items were accompanied by a five-point Likert-type scale. A nonprobability convenience sampling method was adopted.

Main findings: The results showed that perceived policy implementation and perceived fairness have a positive and significant effect on job satisfaction, with perceived fairness having a greater overall effect.

Practical/managerial implications: The implementation of a performance management system should be predicated on fairness and all due efforts to underline and communicate the fairness of the system, coupled with consistent policy implementation, can improve employee job satisfaction.

Contribution/value-add: This study more broadly illustrates the importance of perceived fairness and consistent policy application in the implementation of a performance management system to overall employee job satisfaction.