An evaluation of the maturity profile of the performance management system of the Development Bank of Namibia
The objective of this study was to assess the appropriateness of the performance management system (PMS) introduced at the Development Bank of Namibia (the DBN) in 2013, and to identify potential strengths and areas of development. A review of performance management (PM) assessment models identified Jääskeläinen and Roitto's (2015) PM maturity model as the most suitable assessment framework. The PM maturity questionnaire (administered to management), which Jääskeläinen and Roitto developed as part of the model, and the satisfaction survey (administered to employees), which were adapted from the latter, were used to collect quantitative and qualitative data from n = 21 management staff members (53.9% of the total management staff) and n = 21 employees (52.5% of all employees) at the DBN. The results showed that overall the DBN's PMS is mature, indicated by high maturity and high satisfaction ratings. Since both, the PM maturity and the satisfaction ratings, fell just above the cut-off value required for the PMS to be considered mature, it was evident, though, that while the PMS had definitive strengths, there were also areas of development. During the quantitative analysis, it was found that the strength of the PMS is the performance measurement practices. Both management and employees are satisfied with all the PM dimensions including performance measurement practices, information systems supporting the PMS, communication and commitment, planning and strategy and leadership and management. The areas in need of development were identified as the information systems supporting the PMS, communication and commitment, planning and strategy and leadership and management, both in terms of maturity rating by management and the satisfaction ratings by management and employees. Based on the outcome of the study, it is recommended that capacity enhancement be applied to enable effective leadership, performance management, innovation and communication; the role of the business strategy office to be enhanced to formalise performance measures and to track targets; a review of the effectiveness of the performance reward system be performed and that an online, centralised and integrated PMS be implemented.
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