ABSTRACT

This study set out to describe the relationship between selection procedure ~mo~ovee ~errormance ~n oraanizarions, a study in National Microfinance Bank limited, Mandela Branch-Moshi, Tanzania, It was based on both cross sectional and descriptive correlational survey designs. A self administered questionnaire was used to collect primary data from 66 employees, using

stratified random sampling. Data analysis was done using SPSS’s relative frequencies, means, standard deviations, Pearson’s Linear Correlation Coefficient

and ANOVA. The study wanted to establish whether there is a strong relation ship between; i) employee application forms selection procedure; ii) formal job

interview selection procedures; iii) formal employment testing selection procedure and iv) employee physical examination and reference checking procedure and performance of the selected employees in NMB, hence the four study objectives, questions and hypotheses.

The findings showed that employee performance in NMB Mandela branch was significantly correlated with; I) the employee application forms selection

procedure (r=0.464, sig.=0.000); ha) the preliminary interview selection procedure (r=0.334, sig.=0.006); iib) final selection interview procedure (r=0.378, sig.=0.002); but was not significantly correlated with iii) formal employment testing procedure (r=0.228, sig,=0.066); and iv) physical examination and reference checking procedure (r= 0.142, sig . = 0.256). Employee selection as a whole was significantly correlated with employee performance (F = 7.997, sig. =0.000, R square =301), with interviews (13=0.682, sig. =0.000); and formal testing (13=0.578, sig. =0.000) being more responsible than others.

The research was concluded that properly arranged and conducted; i) employee application forms; and ii) job interview will significantly lead to selection of employees with high performance abilities; while iii) formal employment testing selection procedure; and iv) physical examination and reference checking do not (r=0.228, sig.=0.066 & r=0.142, sig.=0.256

respectively). From research findings I recommend that if employee performance is to be improved in NMB, management should improve the; i) employee

application forms selection procedure; and ii) job interviews selection procedures, by ensuring that they ask for employee abilities, qualifications,

specializations, morale and confidence, technical abilities, written and oral abilities experiences and ensure that the information put is relevant to the job

one is applying for. Last but not least NMB should not over rely on formal test like testing employee traits, abilities, likes and dislikes, capacity to learn,

intelligence, performance, etc. and physical examination and reference checking, as these may not result into high performing workers.

TABLE OF CONTENTS

DECLARATION A~

DECLARATION B ii

APPROVAL iii

DEDICATION

ACKNOWLEDGEMENT ~v

TABLE OF CONTENTS vi

LIST OF TABLES~ix

LIST OF FIGURES x

LIST OF ABBREVIATIONS x

ABSTRACT xii

CHAPTER ONE~1

INTRODUCTION . 1

1.0 INTRODUCTION 1

1.1 BACKGROUND OFTHE STUDY , 1

1.1.1 Historical background 1

1.1.2Theoretical background~2

1.1.3 Conceptual background 2

1.1.4 Contextual background 3

1.2 Statement of the problem 4

l.3Purpose of the study 5

1.4 Specific objectives 5

1.5 Hypotheses 6

1.6 Research questions 6

1.7 Scope of the study 7

1.8 Significance of the study 7

1.9 Definition of terms 7

CHAPTER TWO 9

LITERATURE REVIEW

2.0 INTRODUCTION g

2.1 Theoretical review g

2.2 Conceptual framework 10

vi

2.3 Review of Related Literature~ii.

2.3.1 Employee application forms procedure and employee performance............. 11

2.3.2 Job Interviews and employee performance............................................... 12

2.3.2.1 Preliminary interview and employee performance ................................... 13

2.3.2.2 Final selection interviews and employee performance ............................. 14

2.3.3 Formal employment testing procedures and employee performance 15

2.3.4 Physical examination and Reference Checking Procedures and Employee

Performance 17

CHAPTER THREE 20

METHODOLOGY 20

3.0 INTRODUCTION 20

3.1 Research Design 20

3.2 The Study Population 20

3.3 Sample Size And Sampling Procedures 21

3.4 Data Collection Method 21

3.5 Data Collection Instruments 21

3.6 Validity And Reliability Of Instruments 22

3.7 Research Procedure 22

3.8 Data Analysis 22

3.8 Ethical Consideration 23

3.9 Limitations Of The Study 23

CHAPTER FOUR

PRESENTATION, ANALYSIS AND INTERPRETATION OF RESULTS 24

4.0 INTRODUCTION 24

4.1 Description of respondents 24

4.1.1 Description of NMB employees by gender 24

4.1.2 Description of NMB employees by education level 25

4.1.3 Description of NM8 Employees by Employment status 25

vii

4.1.4 Description of NMB Employees by Type of employment ............................. 26

4.2 Description of the independent variable ................................~. 27

4.2.1 Employee application forms procedure in NMB Mandela Branch ............... 27

4.2.2 Preliminary interviews Procedure in NMB Mandela branch .._..... 29

4.2.3 Final selection interview Procedure in NMB Mandela branch ..~...... 30

4.2.4 Formal employment testing procedures in NMB Mandela branch................. 32

4.2.5 Physical examination and Reference Checking procedures in NMB Mandela

branch 34

4.3 Description of the dependent variable 35

4.4 The relationshio between emolovee selection and emDlovee performance in NMB

40

4.4.1 The relationship between employee application forms procedure and employee

performance in NMB Mandela Branch 40

4.4.2 The relationship between employee formal job interview procedure and

employee performance in NMB Mandela Branch 40

4.4.3 The relationship between formal employment testing procedure and employee

performance in NMB 44

4.4.4 The relationship between Physical examination and Reference checking

procedure and employee performance in NMB 45

CHAPTER FIVE 49

FINDINGS, CONLUSIONS AND RECOMMENDATIONS 49

5.1 INTRODUCTION 49

5.2 FINDINGS 49

5.2 CONCLUSIONS 50

5,3 RECOMMENDATIONS 52

REFERENCES 54

APPENDICES . . .. ,~,,~,.., , , 58

APPENDIX A: TRANSMITTAL LETTER 58

APPENDIX B: QUESTIONNAIRE sg

APPENDIX C: RESEARCHER CURRICULUM VITAE 67