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The Relationship between Employees’ Trust in Their Managers and Performance Management Effectiveness

Rabbani, Mohammad Mahdi | 2013

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  1. Type of Document: M.Sc. Thesis
  2. Language: Farsi
  3. Document No: 44355 (44)
  4. University: Sharif University of Technology
  5. Department: Management and Economics
  6. Advisor(s): Alavi, Babak
  7. Abstract:
  8. Several studies in the field of performance management have paid attention to the effect of systemic and instrumental factors on the effectiveness of performance management system. However, the impact of communication and relational factors has received less attention. Furthermore, it seems that similar approach has been used in organizations for considering systemic factors in designing performance management systems rather than human factors. The goal of this research was to study the relationship between employees' trust in their manager as an relational variable with the effectiveness of performance management system and to compare this relationship with the relationship between the system’s ease of use as a systemic variable and the effectiveness of the system. This research was conducted in two Iranian organizations: MAPNA Tose’e II and Saman Insurance, which were available and agreed to participate in this study. These organizationas had formal performance management systems. One hundred and seventy questionnaires were distributed among middle managers and employees, and 114 questionnaires from employees and 28 from managers were completed and received. Exploratory factor analysis was conducted to identify main factors, and ANOVA used for group agreement test at the individual level. Based on the results of ANOVA, multiple regression analysis was used for all individual-level variables. The research results showed no significant correlation between managers and employees view on effectiveness of performance management system. This suggests the difference between the perceptions of these two groups about the subject. Employees’ trusts in their managers had a significant relationship with the effectiveness of the system in the employees’ view, in contrast to the ease of use of the system. However, the ease of use of the system perceived by the managers had a significant relationship with the effectiveness of the performance management system in managers’ view, while there was no relationship between the system effectiveness and employees' trusts in their managers. Employees’ propensity to trust had a direct relationship with performance management effectiveness in employee’s views and with the mediator variable of ease of use in managers’ view. Therefore, the "trust in managers" variable was the only variable that had relationships with the effectiveness of the performance management system in both views
  9. Keywords:
  10. Performance Management ; Performance Evaluation ; Trust ; Effectivness ; Ease of Use ; Propensity to Trust

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