ON
PERFORMANCE AAPRAISAL
AT
Submitted To:
Submitted By:
Rishi kumar
Asst. professor
Devsthali Vidyapeeth
RollNo.1266250023
Lalpur , Rudrapur
ACKNOWLEDGEMENT
I would like to thanks management Department of college towards the
organization of project of such nature for this successful completion needs
cooperation and support of people. I have been fortunate to get constant
guidance & encouragement from many which helped me a lot to be successful
in any efforts. This formal acknowledgement will hardly be sufficient to
express one deep sense or gratitude to all of them.
I am thankful to Mr.Harsh Saxena (HR & IR), Mr. Sanjay Rai and Mr.
Krishan Mohan Tiwari for their continuous guidance and help through
out the project.
I would like to thank Miss. Astha bhutani
I would also like to acknowledge those persons who have directly and indirectly
helped me in completing the project.
Rishi kumar
B.B.A. (5th sem.)
STUDENT DECLARATION
The empirical finding in the report are based on the data collected myself
while preparing this project. I have not copied anything from any source or
other project submitted for the similar purpose, if any.
( RISHI KUMAR)
CONTENTS
CHAPTER 1
Introduction
Company profile
CHAPTER 2
Performance aapraisal
Method of performance aapraisal
How Performance Appraisal can contribute to Firm's
CHAPTER 3
Research Methpdplogy
Objective Of The Study
CHAPTER - 4
Data Analysis
CHAPTER 5
Conclusion & Recommendation
Findings
BIBLIOGRAPHY ANNEXURE
CHAPTER 1
INTRODUCTION
COMPANY PROFILE
East side
West side
North side
South side
Open Land
Pricol Industries
Suprajit
Industrial road
Plants operate in shifts.General shift is from 9:00 a.m. to 5:30 p.m...The general
shift is for administrative, technical and accounts staff. All operations are
carried out in shifts.
General Motors
LG Electronics
Facility Available : Fabrication shop
Press Machines
Paint Shop(internal & external)
Shot Blasting
Tool Room
Buffing
Autophoretic Plant
CHAPTER 2
PERFORMANCE AAPRAISAL
METHODS OF APPRAISAL
Rating Scales: - This is the simplest and most popular technique for
appraising employee performance; the typical rating-scale system
consists of several numerical scales, each representing a job-related
performance criterion such as dependability, initiative, output,
attendance, attitude, co-operation, and the like. Each scale ranges
from excellent to poor.
The rater checks the appropriate performance level on each criterion,
then computes the employees total numerical score. The number of
points scored may be linked to salary increases, whereby so many
points equal a rise of some percentage.
RATING SCALE
Instructions: - For the following performances factors, please
indicate on the rating Scale your evaluation of the employee named
below:
Employees Name: Department
Raters Name Date.
Appraisal
Methods
Excellent Good Acceptable Fair Poor
54321
1. Dependability ------ ------ ------ ----- ----2. Initiative ------ ------ ------ ----- ----3. Overall Output ------ ------ ------ ----- ----4. Attendance ------ ------ ------ ----- ----5. Attitude ------ ------ ------ ----- ----6. Co-Operation ------ ------ ------ ----- ----7. Quality of Work ------ ------ ------ ----- ----TOTAL + + + +
TOTAL SCORE : -
is that the statements may not be properly framed they may not be
precisely descriptive of the ratees traits.
Forced Distribution Method: - One of the errors in rating is leniency
clustering a large number of employees around a high point on a
rating scale. The forced distribution method seeks to overcome the
problem by compelling the rater to distribute the ratees on all points
on the rating scale.
The method operates under an assumption that the employee
performance level conforms to a normal statistical distribution.
Generally, it is assumed that employee performance levels conform to
a bell shaped curve. For example, the following distribution might be
assumed to exist excellent 10 %, good 20 %, average 40 %, below
average 20 %, and unsatisfactory 10 %.
The major weakness of the forced distribution method lies in the
assumption that the employee performance levels always conform to a
normal distribution. In organizations that have done a good job of
selecting and retaining only the good performers, the use of forced
distribution approach would be unrealistic, as well as possibly
destructive to the employee morale.
The error of central tendency may also occur, as the rater resists from
placing an employee in the lowest or in the highest group. Difficulties
also arise for the rater to explain to the rate why he or she has been
placed in a particular group. One merit of this approach is that it seeks
to eliminate the error of leniency. However, the forced choice method
is not acceptable to raters and ratees, especially, in small groups or
when group members are of high ability.
Critical Incidents Method: The critical incidents method of employee
assessment has generated a lot of interest these days. The approach
focuses on certain critical behaviors of an employee that make all the
difference between effective and non-effective performance of a job.
The supervisors as and when they occur record such incidents.
Behaviorally Anchored Rating Scales: -
The strength of the essay method depends on the writing skills and
analytical ability
of the rater.
However many raters do not have good writing skills. They become
confused about what to say. How much they should state and the
depth of the narrative The essay method can consume much time
because the rater must collect the information necessary to develop
the essay and then he or she must write it The essay method also
depends on the memory power of the rater.
A problem with this method is that the rate may be rated on the
quality of the appraisals that they give. The quality standard for the
appraisal may be unduly influenced by appearance rather than
content. Thus. a 'high quality' appraisal may provide little useful
information about the performance of the rate.
Ranking Method : In this, the superior ranks his or her subordinates in the order of their
merit, starting from the best to the worst. All that the HR department
knows is that A is better than B. The, 'how' and 'why' are not
questioned, nor answered. No attempt, is made to fractionalise what is
being appraised into component elements. This method is subject to
the halo and recency effects, although rankings by two or more raters
can be averaged to help reduce biases. Its advantages include ease of
administration and explanation.
MANAGEMENT BY OBJECTIVES : It was Peter F. Drucker who first gave the concept of MBO to the
world way back in 1954 when his The Practice of Management was
first published. The MBO concept, as was conceived by Drucker,
reflects a management philosophy which values and utilizes employee
contributions. Application of MBO in the field of performance
appraisal is a recent thinking.
The MBO process seems to be most useful with managerial personnel
'and employees who have a fairly wide range of flexibility and selfcontrol in their jobs. Besides, when the result of an MBO system are
to be used to allocate organizational rewards, employees may be less
likely to establish challenging goals-goals they are confident that they
can accomplish. Further, the allocation of merit pay on a semi-annual
or annual basis may encourage the setting up of goals with short time
horizons to the disadvantage of important long-term goals. The
performance appraisal presently followed in L&T reflects the
principles of MBO.
360-DEGREE FEEDBACK : As stated earlier, where multiple raters are involved in evaluating
performance, the technique is called 360 degree appraisal. The 360
degree technique is understood as systematic collection of
performance data on an individual or group, derived from a number of
stakeholders--the stakeholders being the immediate supervisors. Team
members, customers, peers, and self. In fact, anyone who has useful
information on how an employee does the job may be one of the
appraisers.
The 360-degree appraisal provides a broader perspective about an
employee's performance. In addition, the technique facilitates greater
self-development of the employees. For one's development, multisource feedback is highly useful. It enables an employee to compare
his or her perceptions about self with perceptions of others.
Besides, the 360-dcgree appraisal provides formalized communication
links between an employee and his or her customers. It makes the
employee feel much more accountable to his or her internal or
external customers. The technique is particularly helpful in assessing
soft skills possessed by employees. By design, the 360-degree
appraisal is effective in identifying and measuring interpersonal skill,
customer satisfaction, and team-building skills.
However, there are drawbacks associated with the 360-degree
feedback. Receiving feedback on performance from multiple sources
can be intimidating. It is essential that the organization create a non threatening environment by emphasizing the positive impact of the
technique on an employee's performance and development. Further,
firms that use the technique take a long time on selecting the rater,
designing questionnaires,
and analyzing the data. In addition; multiple raters are less adept at
providing a balanced and objective feedback than the supervisors who
are sought to be replaced. Raters can have enormous problems
separating honest observations from personal differences and biases.
Pitfalls notwithstanding, more and more number of firms are using the
36O-degree appraisal technique to assess the performance of their
employees.
APPRAISE THE PERFORMANCE : The next step in the appraisal process is to measure the performance.
We revert to the moral of the story narrated in the beginning of this
chapter. The moral taught us that we need to measure the performance
and not mere activities. What then is performance? Performance is
essentially what an employee does or does not do. Employee
performance common to most jobs include the following elements:
Quantity of output
Quality of output
Timeliness of output
Presence at work
Cooperativeness
In addition to these, other elements that deserve assessment are job
knowledge, leadership abilities, judgment, supervision, versatility and
health. Assessment should also include one's potential to perform and
not just actual performance.
Performance measurement needs to be based on the benchmarks listed
above. These benchmarks vary from job to job. The job of a professor
needs to be assessed against parameters that are different to those
used to evaluate the performance of a sales representative.
GUIDELINES FOR EFFECTIVE APPRAISAL INTERVIEW
of bringing to the fore any negative consequence of the strategybehavior fit For example, a single point productivity focus may
include potential negative consequences such as decreased quality and
co-operations. Thus, the performance appraisal system is an important
organizational mechanism to elicit feedback on the consistency of the
strategy- behavior link.
Organizational Strategy and Performance Appraisal
The performance appraisal system serves many organizational
objectives and goals. Besides encouraging high level of performance,
the evaluation system is useful in identifying employees with
potential, rewarding performance equitably. And determining
employees' needs for development. These are all the activities that
should support the organizations strategic orientation. Although these
activities are clearly instrumental in achieving corporate plans and
long-term growth, typical appraisal systems in most organizations
have been focused on short-term goals.
From the strategic management point of view, organizations can be
grouped into three categories defenders, prospectors and analyzers.
Performance appraisal has definite roles in all the three strategies.
Typically, defenders have a narrow and relatively stable productmarket domain. Because of this narrow focus, these organizations
seldom need to make major adjustments in their technology. Structure
or methods of operations. They devote primary attention to improving
the efficiency of their existing operations. Because of the emphasis
011building skills within the organization, successful defenders use
performance appraisal for identifying training needs. Performance
appraisal is usually
more behavior oriented.
Organizations with a prospector strategy continuously search for
different product and market opportunities. In addition, these
organizations regularly experiment with potential responses to new
CHAPTER 3
RESEARCH METHODOLOGY
RESERCH METHODOLOGY
Research Methodology is a way to systematically solve the research
Problem. The Research Methodology includes the various methods
and techniques for conducting a Research.
This project comes under the head of H.R DEPARTMENT . Its the
systematic design, collection, analysis and reporting of data and
finding relevant solution to a specific marketing situation or
problem.
Sampling Plan Sampling can be defined as the section of some part
of an aggregate or totality on the basis of which judgment or an
inference about aggregate or totality is made. The sampling plan helps
in decision making in the following areas:
Sample
Data
Primary Data Primary data are those, which are collected for the
first time, and thus happen to be original in character.
Primary Data has been collected in this study by conducting survey
through Questionnaire.
Secondary Data Secondary Data are those which have already been
collected by someone else and which already had been passed through
the statistical process.
Secondary data has been collected in this study through Magazines,
Web sites, Newspaper and Journals
CHAPTER 4
DATA ANALYSIS
DATA ANALYSIS
PERFORMANCE APPRAISAL QUESTIONNAIRE
Q-6. Is the appraisal system able to show the areas in which a person
needs improvement?
YES- 22
NO-8
Total respondents- 30
Q-7. Is the appraisal system able to show the progess one has made in
order to his/her set target?
YES- 17
PARTIALLY-13
NO-0
Total respondents- 30
Q-11. Do you feel that the rewards are given according to your
performance?
YES- 23
NO-7
Total respondents- 30
CHAPTER 5
CONCLUSION AND RECOMMENDATION
CONCLUSION
This study was a learning experience where I come to know and feel the
partialities of HR department. Management training give me a lot of practical
knowledge of corporate world and I have got a great opportunity to work in
booming sector.
To sum up,I feel that the company has developed a culture wherein the
deserving are appreciated & rewarded and developing people are motivated.The
people are given challenging situations they explore their hidden potential and
achieve success.They realize that they have capabilities,which they never
realized before.They become aware of their strengths & weaknesses and the
system concentrates on reinforcing their strengths &overcome their
weaknesses.Further tools like self assessment help them to become stronger.
I conclude that almost all the performance appraisal of company are highly
effective & beneficial to the employees in giving their best contribution to their
personal growth & development as well as to meet the organizational objective.
RECOMMENDATIONS
On the basis of survey through questionnaire,I hereby humbly propose my
recommendation to carry out further improvement in existing performance
appraisal activities in BEL.
1. Some special exercise through training programmes be conducted to
generate awareness about the real purpose of the performance appraisal system.
2.External trainers can be invited to deliberate the importance and intricacies of
the performance appraisal.
3.Efforts for making performance appraisal formats user friendly should be kept
continued.
4.The performance appraisal system should take feedback from peers and
subordinates also so as to increase the accuracy and reliability of the data.
FINDINGS
BIBLIOGRAPHY
L.M.PRASAD -Principal and Practice of Management (Chand & Sons)
Memorial C.P. Personnel Management
(Himalya, Mumbai)
WEBSITES:
www.workforce.com
WWW.google.com
en.wikipedia.org
www.badve_agd@sancharnet.in
ANNEXURE
Performance Appraisal Questionnaire
Q-1. Is there a formal appraisal system in your organization?
YesNo-
NO-
Q-7. Is the appraisal system able to show the progess one has
made in order to his/her set target?
YESPARTIALLYNO-
Q-11. Do you feel that the rewards are given according to your
performance?
YESNO-
DEPARTMENT__________________
DESIGNATION__________________
EXPERIENCE __________________
Thank you