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Performance appraisal system (PAS) plays a vital role in overall success of an organization. An appropriate appraisal system could possibly increase nurses' job satisfaction and empowerment to provide better services to the clients. The aim of this study was to assess staff performance appraisal system and its relation to their job satisfaction and empowerment at selected hospitals at Menoufiya Governorate and develop performance appraisal tool for nurses.Design: Analytical research design. Setting: Selected hospitals at Menoufyia Governorate, Egypt, namely; Menoufiya University Hospitals, Shebin El kom Teaching Hospital, and El-Helal Hospital. Subjects: Systemic random sample was used to select 400 staff nurses, convenience sampling technique was used to select 100 head nurses & The Snowball sampling technique was employed to select the panel subjects for Delphi Technique. Tools: a) Staff Nurse's Questionnaire (consisted of PA Questionnaire, Job Satisfaction Questionnaire, and Nurses' Empowerment Questionnaire. b) Head nurses' Questionnaire. c) Delphi technique to develop staff nurses' PA tool form. Results: The majority of the study subjects were dissatisfied with the performance appraisal form currently used. Job satisfaction of staff nurses was low. There was a significant relationship between nurses' satisfaction and the system of PA at the studied hospitals. Staff nurses were moderately empowered. Furthermore, There was a significant relationship between staff nurses' empowerment and the system of performance appraisal at the studied hospitals. Conclusion: performance appraisal system is not implemented effectively at the selected Menoufyia Governorate Hospitals thus affecting job satisfaction and empowerment of staff nurses. Recommendations: It is recommended that a structured system of performance appraisal must be used. The result of appraising performance should leave the appraiser and appraisee clear about the aims, plans and future development objectives, with specific dates for reviews set and adhered to.

Staff Performance Appraisal System and its Relation to Their Job satisfaction and Empowerment: Developing Performance Appraisal Tool