A PROJECT REPORT ON performance appraisal at Johnson and johnson By Vishal Uttam Ubale Roll No.

: P1059 PGDBM(2010-2012)

Sydenham Institute of Management Studies, Research and Entrepreneurship Education 2010-2012

Acknowledgement In order to make my project a success I acknowledge a special thanks to all those people without whose support it would not be possible for me to complete it. First of all I would like to thank Prof Darryl Cabral for giving me an opportunity to see practical aspects of the subject through this project and all his valuable inputs and all his lectures during which we got to learn invaluable insights of any organization. Special Thanks to mr. abhijit shinde, toxicology trainee at Johnson and Johnson, for introducing me to the organization and initiating this project through his colleagues. Last but not the least; I am thankful to my parents and friends who have provided me with their constant support throughout this project.

-vishal ubale P1059 SIMSREE

Index

Sr. CONTENTS NO. 1. 2. 3. 4. 5. 6. 7. SYNOPSIS OBJECTIVE COMPANY INFORMATION OBSERVATION INTERPRETATION AND ANALYSIS CONCLUSION BIBLIOGRAPHY & REFERENCE

Synopsis
Developing a result-oriented performance culture is critical to successfully achieving organizational goals and objectives. One tool Federal managers can use to develop resultsoriented performance cultures is their appraisal programs. Appraisal programs provide a formal process for communicating organizational goals and individual performance expectations, ensuring accountability for achieving those goals, identifying developmental needs, assessing performance using appropriate measures, improving individual and organizational performance, and using the results of the appraisal as a basis for appropriate personnel actions. Effective appraisal programs are fair, credible, and transparent by providing for the following: Alignment. Employee performance plans align with and support organizational goals. Results-focus. Employee performance plans hold employees accountable for achieving results appropriate to their level of responsibility. Credible Measures. Employee performance plans provide for balance, so that in addition to measuring expected results, the performance plans include appropriate measures, such as quality, quantity, timeliness, and/or cost-effectiveness, indicators of competencies, and customer perspective. In addition, for managers and supervisors, performance plans should also incorporate employee perspective. Distinctions in levels of performance. The appraisal program provides for multiple levels to appraise performance and rating officials use those levels to clearly describe distinctive levels of performance and appropriately rate employee performance. Consequences. The result of appraisal is used for recognizing top performers and addressing poor performance. Employee Involvement. Employees are involved in the design of the appraisal program and in the development of their performance plans. Feedback and Dialogue. The appraisal program establishes a performance feedback process that ensures a dialogue between supervisors, managers, and employees throughout the year. Training. The appraisal program requires that executives, managers, supervisors, and employees receive adequate training and retraining on the performance appraisal program. In addition, supervisors must have the competencies necessary for managing performance.

Organizational Assessment and Guidance. The appraisal program requires that appropriate organizational performance assessments are made and communicated to rating officials, and that guidance is provided by the head of the agency or designee on how to incorporate organizational performance into the assessment process, especially regarding the appraisal of managerial and supervisory employees. Oversight and Accountability. The head of the agency or designee has oversight of the results of appraisals and awards, ensures that the program operates effectively and efficiently, and ensures that appraisals and awards are based on performance. In addition, managers and supervisors are held accountable for the performance management of their subordinates.

2. OBJECTIVE OF THE STUDY This project is conducted to study where todays employees working in an organization are satisfied or not with their appraisal system. A questionnaire was to be prepared which would quiz the employees with their degree of satisfaction about appraisal system. The questions were framed in such a way so as to cover all the aspects of a employees satisfaction namely, general working conditions, pay and promotion potentials, work relationships, Work Activities and the use of skills and ability. However, the analysis of these filled questionnaires would give great insight about the requirements of an employee from the job so as to be satisfied. Thus, this study aims at getting to know o the different requirements of satisfied working, o To outline relations regarding job satisfaction by identifying both key differences and common characteristics. o application of job satisfaction theories and techniques, o more importantly, a self-learning experience of studying how management works in organizations.

3. Company Information Johnson & Johnson was founded more than 120 years ago on a revolutionary idea: Doctors and nurses should use sterile sutures, dressings and bandages to treat peoples wounds. Since then, we have brought to the world, new ideas and products that have transformed human health and wellbeing. Our Family of Companies is organized into several business segments comprised of franchises and therapeutic categories - Consumer Health Care, Medical Devices & Diagnostics and Pharmaceuticals. In the 50 years of operating in India, Johnson & Johnson Limited, India has gained a reputation for delivering high-quality products. Today, we employ more than 2000 people and the businesses span Consumer, Medical Devices and Diagnostics, Pharmaceuticals and Vision Care. Johnson & Johnson India is an employer of choice and is a recipient of several awards, which recognize it as one of the best employers in India. Our Company Caring for the world, one person at a time... inspires and unites the people of Johnson & Johnson. We embrace research and science - bringing innovative ideas, products and services to advance the health and well-being of people. Employees of the Johnson & Johnson Family of Companies work with partners in health care to touch the lives of over a billion people every day, throughout the world. Our Family of Companies comprises:

The worlds sixth-largest consumer health company The worlds largest and most diverse medical devices and diagnostics company The worlds fifth-largest biologics company And the worlds eighth-largest pharmaceuticals company

We have more than 250 operating companies in 60 countries employing approximately 114,000 people. Our worldwide headquarters is in New Brunswick, New Jersey, USA

4. METHODOLOGY

Following steps were followed in going about doing this research on performance appraisal in organizations:In today corporate world, because of the cutthroat competition and work pressure, employees dont have spare time for activities other than their own work. So while conducting survey, it was not possible to have long discussions with all the employees. 1.) Hence Questionnaire was prepared consisting of few simple one liner multiple choice questions .This even saved the time of the employees as they did not have to answer time consuming open end questions. 2.) I also discussed with some of the employees personally so we should get better background of companys work culture. Once the feedbacks and the necessary information were obtained, necessary analysis was made to arrive at the conclusion. The managers were also given analysis of their score and importance of the theory was conveyed. This helped in understanding the various aspects of the performance appraisal in organization.

5. QUESTIONNAIRE AND SCORING PERFORMANCE APPRAISAL OF COMPANY SOCIO DEMOGRAPHIC FACTORS: 1) Name : ................................................................. 2) Sex : Male Female 3) Age : Upto 20 years 20 30 years 30 40 years above 40 years 4) Marital status : Married Unmarried 5) Educational qualification : SSLC HSC Diploma UG PG 6) Department : Production HR R&D Accounts Others 7) Year of service : Upto 2 years 2 -6 years

6 -10 years above 10 years 8) Monthly Income: (in Rs.) Below 10,000 10,000 -15,000 15,000 20,000 above 20,000 A STUDY ON PERFORMANCE APPRAISAL STUDY FACTORS: SA- STRONGLY AGREE, A AGREE, NN NEITHER AGREE NOR DISAGREE, DA DISAGREE, SDA STRONGLY DISAGREE S.NO FACTORS SA A NN DA SDA

SR. FACTORS NO 9 Performance appraisal system is needed in organization

SA

NN

DA

SDA

10

Satisfied with the existing performance appraisal system.

11

The performance appraisal helps to win cooperation and team work.

12

The performance appraisal is helpful in reducing grievance among the employees

13

The performance ratings were done

periodically. 14 Promotion is purely based on performance appraisal. 15 Management fixes salary through the performance rating. 16 Transfer, demotion, suspension and dismissal is based on performance appraisal. 17 Performance appraisal increases employee motivation.

27). Suggestions if any: THANK YOU VERY MUCH FOR YOUR SUPPORT

6.DATA COLLECTION The final feedback can be summarized using the following table: The Table contains SR. FACTORS NO 9 Performance appraisal system is needed in organization SA A NN DA SDA

14

10

Satisfied with the existing performance appraisal system.

11

11

The performance appraisal helps to win cooperation and team work.

12

12

The performance appraisal is helpful in reducing grievance among the employees

13

The performance ratings were done periodically.

14

Promotion is purely based on performance appraisal.

15

Management fixes salary through the performance rating.

16

Transfer, demotion, suspension and dismissal is based on performance appraisal.

17

Performance appraisal increases employee motivation.

responses on the questions by the respondents or employees. In the above table the responses from the employees are arranged in such a manner that their individual satisfaction is given in rows with respect to each criterion. In columns all employees response to each criterion is given. SA- STRONGLY AGREE, A AGREE, NN NEITHER AGREE NOR DISAGREE, DA DISAGREE, SDA STRONGLY DISAGREE

OBSERVATION 1. Performance appraisal system is needed in organization

8 7 6 5 4 3 2 1 0 SA A NN DA SDA Series1

The maximum number of employees says that the performance appraisal system is needed in organisation. This shows that the employees are very concern about appraisal system and consider it very seriously.

2. Satisfied with the existing performance appraisal system

12 10 8 6 4 2 0

Series1

SA

NN

DA

SDA

Many employees were satisfied with current appraisal system. This shows that the appraisal procedure carried out in jnj is as per required by employees, and it is completing its objective well.

3. The performance appraisal helps to win cooperation and team work.

14 12 10 8 6 4 2 0 SA A NN DA SDA Series1

Many of employees think that being a good team member and maintaining healthy relation with their superiors help them to achieve well in organisation. As the appraisal system checks all this criteria, employees supported this statement.

4. performance appraisal is helpful in reducing grievance among the employees

8 7 6 5 4 3 2 1 0 SA A NN DA SDA Series1

Employees think that the appraisal system is good for getting promoted on the basis of their performance but it is not efficient in handling the employees other complaints, like work atmosphere, duty hours, etc., 5. The performance ratings were done periodically.

8 7 6 5 4 3 2 1 0 SA A NN DA SDA Series1

As the appraisal is carried out periodically, the performance of the employee is considered very important in jnj. 6. Promotion is purely based on performance appraisal.
10 9 8 7 6 5 4 3 2 1 0 SA A NN DA SDA Series1

Many employees state that the promotion is purely based on the performance appraisal, this shows that how successful the appraisal system is in jnj. The employees are taking appraisal system seriously to get promoted or for making good impression.

7. Management fixes salary through the performance rating.

8 7 6 5 4 3 2 1 0 SA A NN DA SDA Series1

As we can see that maximum number of employees are agreed that the salary is fixed by their performance. The management is highly critical about their employees performance and their salary is measure of their performance. 8. Transfer, demotion, suspension and dismissal is based on performance appraisal
9 8 7 6 5 4 3 2 1 0 SA A NN DA SDA Series1

The performance appraisal is basis for the transfer, promotion and suspension in this company. This shows that the company is carrying their appraisal effectively so that they can evaluate their employee performance. 9. Performance appraisal increases employee motivation.

8 7 6 5 4 3 2 1 0 SA A NN DA SDA Series1

The employees are very enthusiastic about their carrier, so they take the appraisal very seriously. This keep them motivated in their work.

CONCLUSION AND RECOMMONDATIONS The study shows that most of the jnj employees are satisfied with current performance appraisal system. The appraisal motivate them in their work as the promotion, salary increase is done on the basis of the appraisal system. The company is working good with their appraisal system and also successfully carried out its execution. As the most of the employees are satisfied with the current appraisal system this means that the system is evaluating employees only on their performance and no other parameters are considered. This make their employees happy as their performance are gaining rewards for them . As system is going well, their can be less recommendation, but still company can found out why few of the employees are not happy with it. It may be due to various reasons like work atmosphere, duty hours, etc. jnj can find them and try to solve their issues. this will help them to convert all the employees to do good work.

10.BIBLIOGRAPHY Class Notes Prof. Darryl Cabral www.google.com jnjindia.com scribd.com

Reference Mr. abhijit shinde, Toxicology trainee, Johnson and johnson, kalva, thane .