Analysis of Performance Management on Employee Motivation: A case of Kenya Electricity Generating Company Limited

Abstract

Organizational effectiveness depends on the alignment of individual, departmental and organizational strategic objectives. KenGen has made use of a performance management system based on a Balanced Scorecard approach in all its departments. The model that was used to take departmental key performance measures such as quality, speed, cost and morale into account was based on organizational objectives. Whether the process of performance management has been properly utilized and has facilitated management in achieving the company goals within all the departments remains an open question. This represents the main problem of this study: Is performance management at KenGen being properly deployed to lead to employee motivation in order to achieve the company goals and objectives? The main objective that guided this study was to establish the extent of relationship that performance management has on employee motivation at KenGen. While independent variable is performance management, the dependent variables of the study are remuneration, working conditions, and employee recognition. This study employed a descriptive survey design. The population of this study was all the employees of Kenya Electricity Generating Company and who have been with the company for a minimum period of one year. This was to ensure that they understand the company and have gone through a one year cycle of performance contract. This study used both stratified sampling and simple random sampling while the target

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