SQUARE PEGS IN ROUND HOLES?: The Relevance of Western-Derived Performance Appraisal Models in an Eastern Setting

This paper raises the issue of the relevance of Western-derived performance appraisal models in an Eastern setting particularly Malaysia. The ways in which culture affects performance appraisal is largely unexplored. Adapting culturally relevant and accepted ways of managing is crucial to the success of organizations. The impact of culture on performance appraisal in the Malaysian banking industry is demonstrated. Several areas are examined including work-related values, predominant management styles, satisfaction with the appraisal interview, and attitudes towards the appraisal process. Information was gathered from managers and subordinates through two different sets of questionnaires. Generally, results confirmed the Eastern values prevalent among the staff. However, there is some degree of value shift among employees towards more Western-oriented ideals in both groups of respondents. Further research areas are suggested to ascertain the relevancy of Western models in a fast-changing developing country.