Factors Influencing Employees' Acceptance of Performance Appraisal System in the Korean Olympic Committee

Abstract

This Masters research has been performed for the purpose of testing the relationship between organizational justice and employees acceptance of the performance appraisal system. To be specific, this research has been aimed at exploring the main effects of the independent variables (procedural and distributive justice) on the dependent variable (employees performance appraisal system acceptance) and the moderating effects of interactional justice on the relationships between the two organizational justices (procedural and distributive justice) and employees performance appraisal system acceptance. A total of 175 employees of the Korean Olympic Committee (KOC) participated in this research, and 165 out of 175 responses were finally used for the statistical data analysis. Using a convenience sampling approach, a survey was conducted with a questionnaire. All four variables (procedural justice, distributive justice, interactional justice, and employees performance appraisal system acceptance) were measured by a five-point Likert scale - 25 items (22 items for organizational justice, and three items for employees performance appraisal system acceptance) were finally utilized in the data analysis. The data was analyzed in the following three steps: step 1, the reliability of each variable was tested by Cronbachs α and the validity of each construct was examined by the Exploratory Factor Analysis (EFA)

step 2, descriptive statistics and correlations were examined

step 3, the hierarchical multiple regression analysis was performed to identify the influence of organizational justice (procedural and distributive justice) on employees performance appraisal system acceptance and to examine the moderating effects of interactional justice. As a result of empirical analysis, three sub-constructs (validity of performance appraisal standards, adequacy of performance appraisal feedback, and participation during the performance appraisal process) in procedural justice and distributive justice were proven to positively affect employees performance appraisal system acceptance. In the case of moderating effects, interactional justice showed moderating effects on the relationships between the validity of performance appraisal standards (adequacy of performance appraisal feedback) and employees performance appraisal system acceptance. However, the relationship between employees performance appraisal system acceptance and the other two variables (participation during the performance appraisal process and distributive justice) were not statistically moderated by interactional justice. These unexpected findings, compared to previous research results, might be attributed to several different factors, such as research variables, subjects, method, the sample size, organizational situations, and culture. This research has a significant meaning in that it was the first attempt to study factors influencing employees performance appraisal system acceptance in the non-profit sport organization context, that it provided some recommendations to increase employees performance appraisal system acceptance, and that it suggested theoretical and practical implications, which might be useful in Human Resource Management (HRM) in non-profit sport organizations in Korea. Lastly, limitations of this research were presented with productive suggestions for additional future studies.