The relationship between performance appraisal system and employees' voice behavior through the mediation-moderation mechanism

Abstract

Purpose

The purpose of this study is to investigate and articulate the performance appraisal process as a tool, used for the development of voice behavior through the fostering of trustworthiness and empowering culture in the organization.

Design/methodology/approach

Data has been collected through survey instruments, filled by employees and their coworkers. The study proposes and tests a new model based on the relationship between performance appraisal and voice behavior through the moderation-mediation mechanism. Data analysis has been performed using SEM through SMART PLS 3.

Findings

Results show that a strong and positive relationship exists between performance appraisal and voice behavior through the mediating variable of psychological empowerment. The moderators, empowering leadership and perceived fairness have played vital role in boosting psychological empowerment and strengthening the relationship with performance appraisal.

Research limitations/implications

The study presents the performance appraisal system as one of the antecedents of employees' voice behavior generated through psychological empowerment (mediator) and perceived fairness and empowering leadership (moderators) since the appraisal system is to be implemented through the leader.

Originality/value

The study presents a unique and innovative idea while it tries to explore and measure the different effects/impacts of the relationship between performance appraisal and voice behavior.

Citation

Memon, K.R. and Ghani, B. (2023), "The relationship between performance appraisal system and employees' voice behavior through the mediation-moderation mechanism", South Asian Journal of Business Studies, Vol. 12 No. 2, pp. 220-241. https://doi.org/10.1108/SAJBS-01-2020-0012