The Effect of Performance Management on Employee Productivity in Telecom Companies in Mogadishu Somalia

Somalia is currently in the midst of a telecommunications boom driven by private investors, who have created a mass market with the cheapest calling rates in Africa. Private investors have put an estimated $194 million into Somalia’s telecommunications sector over the last ten years. Despite all, it is believed that in Somalia, Lack of proper training, reward system, lack of recognition and feedback, are the main aspects that hinder the level of the employee’s productivity in Telecommunication Sector. Therefore, the objective of this study is to examine the relationship between performance appraisals, reward system, training, and employee productivity in telecom companies in Mogadishu Somalia. The respondents of this study were management staff of Hormuud, Somnet, and Somtel headquarters in Mogadishu Somalia. A total of 162 questionnaires were distributed to employees of these three companies by using an online survey, only 110 were useable for analysis. The data was analyzed using SPSS Version 25 to achieve the objectives of the study. The finding of this study has revealed that Performance Appraisal, Reward system, and Training have a positive and significant correlation with employee Productivity. Furthermore, the research framework of this study will contribute to the literature in the context of employee productivity. It will also help Hormuud, Somnet, and Somtel managers to have a further understanding of the correlation of performance appraisal, Reward system, and Training on Employee Productivity. Finally, some limitations have paved the direction for future research.