Professional Documents
Culture Documents
With reference to
JOCIL Ltd, GUNTUR
A Project Report submitted in partial fulfillment of the requirement
for the award of
MASTERS DEGREE IN BUSINESS ADMINISTRATION
By
P.SUJITH CHANDRA
(Roll No: 1225111242)
ACKNOWLEDGEMENT
GITAM
Institute
of
Management,
GITAM
University,
CERTIFICATE
This is to certify that the Project work entitled Study on Performance appraisal at
JOCIL Ltd, Guntur has carried out and submitted by Mr. PEDDI SUJITH CHANDRA
(1225111242) under my guidance by in partial and fulfillment of his Masters of Business
Administration at School Of Management Studies, University of Hyderabad.
DECLARATION
Place :
Date
INDEX
CHAPTER
1.1
1.2
Performance appraisal
CHAPTER
2.1
Company profile
2.2
15
CHAPTER
3.1
Research
21
3.2
Research Methodology
22
30
CHAPTER
4.1
CHAPTER
Analysis
-
5.1
Findings
49
5.2
50
Questionnaire
51
II
Bibliography
54
EXECUTIVE SUMMARY
CHAPTER-1
INTRODUCTION
Human Resource Management
Human resource management (HRM) is the strategic and coherent approach to the
management of an organization's most valued assets - the people working there who individually
and collectively contribute to the achievement of the objectives of the business
Human resource management is a collective implementation of managerial functions
such as planning, organizing, directing and, controlling to reach the organization goals
Functions of HRM:
Based on the organization of task and implementation of methods we have two types of
functions, they are:
Managerial functions are also called the core functionalities of human resource
management, which will be deals with the planning, organizing, Directing and, Controlling. Among
these directing is also called the leading.
Objective functions are the active functionalities of human resource management which
has substantially organizing capability in according to requirements of the organization. These are
drawn from the managerial functions for successful achievement of the organizational tasks.
These includes the...
Employee planning.
Staffing.
Training and Development.
Employee evolution.
Pay roll management.
Welfare of the employee.
Employee evolution is the major task for an organization because employee performance
will be done and motivation factor to the extent of the employee requirement. It includes the
Conducting the performance appraisal, feedback generation, giving the extra inputs that requires
for the employee, compensation planning, Reviewing and auditing manpower management in the
organization etc.
PERFORMANCE APPRAISAL
To judge the gap between the actual and the desired performance.
To diagnose the strengths and weaknesses of the individuals so as to identify the training
and development needs of the future.
To judge the effectiveness of the other human resource functions of the organization such
as recruitment, selection, training and development.
responsibilities.
Increase confidence through recognizing strengths while identifying training
subordinates.
Increase commitment to organizational goals; develop employees into future
supervisors.
Assist in personnel decisions such as promotions or allocating rewards, and
allow time for self-reflection, self-appraisal and personal goal setting.
Performance appraisal helps to identify the hidden talents and potential of the individuals.
Identifying these potential talents can help in preparing the individuals for higher responsibilities
and positions in the future. The performance appraisal process in itself is developmental in nature.
It is also closely linked to other HR processes like helps to identify the training and development
needs, promotions, demotions, changes in the compensation etc. A feedback communicated in a
positive manner goes a long way to motivate the employees and helps to identify individual career
developmental plans. Based on the evaluation, employees can develop their career goals, achieve
new levels of competencies and chart their career progression. Performance appraisal encourages
employees to reinforce their strengths and overcome their weaknesses
a performance appraisal.
Key Dimensions of Performance:
Competencies
Behaviors
Results / outcomes
Organizational citizenship
behaviors
Actions
that
are
over
and
above
usual
job
responsibilities
To ensure that the performance criteria are relevant to work practice and acceptable to
appraisers and workers:
i. Base the performance criteria on an up-to-date job description
ii. Develop criteria in consultation with appraisers and workers
Step 2: Develop appraisal measures
Once clear and specific performance criteria have been developed, the next step is to
decide how to assess workers performance. It is recommended that a structured and systematic
approach is taken to assessing performance. Problems that arise when an unstructured blank
sheet approach is used include:
Increased chance of appraiser errors
Knowledge, skills and abilities most critical to job performance may be overlooked
Reduced consistency between appraisers
Perceptions of subjectivity in evaluations, which may in turn, reduce workers
satisfaction with, and acceptance of, appraisals.
Once the appraisal measures are developed, the next step involves collection of accurate
performance information. A common trap is to begin noting observations of workers just before
conducting appraisals. This is likely to give an inaccurate picture of a workers performance.
Ideally, workers performance should be observed in a systematic way over time .This method
ensures the accuracy of information about their performances.
Traditionally, it has been the sole responsibility of managers / supervisors to assess
performance. However, other organizational members can be a valuable source of information as
they are likely to have exposure to different aspects of a workers performance. This approach is
known as 360-degree feedback. For instance, coworkers can provide valuable information on
teamwork skills, and subordinates can provide useful information on leadership style.
Five different sources of performance appraisal information are considered here:
i. Manager / supervisor appraisals
ii. Self appraisals
iii. Coworker appraisals
iv. Subordinate appraisals
v. Client appraisals.
Step 4: Conduct an appraisal interview
The next step in a performance appraisal is to conduct the appraisal interview. The two central
purposes of the appraisal interview are to:
Reflect on past performance to identify major achievements, areas that require
further development, and barriers / facilitators to effective performance
Identify goals and strategies for future work practice.
Step 5: Evaluate the appraisal process
As with any organizational system, the performance appraisal process should undergo regular
review and improvement.
CHAPTER-2
CHAPTER-3
RESEARCH METHODOLOGY
Research is simply a systematic and refined technique of thinking, employing specialized tools,
instruments, and procedures in order to obtain a more adequate solution of a problem than would
be possible under ordinary means. It starts with a problem, collects data or facts, analysis these
critically and reaches decisions based on the actual evidence. It evolves original work instead of
mere exercise of personal. It evolves from a genuine desire to know rather than a desire to prove
something. It is quantitative, seeking to know not only what but how much, and measurement is
therefore, a central feature of it.
OBJECTIVES:
HYPOTHESIS:
Does the Performance Appraisal at JOCIL Ltd. give the positive and effective response from
employee?
STUDY AREA AND PROBLEM DEFINITION:
Conducting study on Performance appraisal at JOCIL Ltd, Guntur, which is having all type of
employees as it is manufacturing unit for different products. Rating Scale Performance appraisal is
using by the company by the last few years with effective and deliberate response form the
employees. Performance Appraisal is one of the key factor for analyzing the employee strength
and weakness to provide compensation according to their performance which is for the growth of
the organization.
TYPE OF RESEARCH:
The present project is Descriptive in nature, the data based on facts collected with the help of the
tools and presented in the form of pie chart and bar-charts, and percentages, describing present
status of the appraisal technique adopted by the organization.
Primary data collected form Engineers, Supervisors and Operators, with respect to
the content like their satisfaction, knowledge, feedback, Objectives of appraisal
formetc.
SECONDARY DATA: This data is the statistics not gathered form immediate study at hand but for
some other purpose. The secondary data for the study was collected mainly from appraisal form,
website.
SAMPLE DESIGN:
It is definite plan for obtaining a sample from a given population. It refers to the technique or the
procedure the researcher would adopt in selecting items for the sample.
POPULATION: It refers to the aggregate of data source or any aggregate from which data is
collected .Unrevised is the target group of study and is finite.
SAMPLE SIZE: A sample is a small portion of the population. In the study a sample of 80
employees who are engineers, supervisors and operators.
TOOLS AND TECHNIQUES USED FOR ANALYSIS:
The basic tools used for the study were questionnaire and interview methods.
QUESTIONNAIRE: A questionnaire handed with engineers, supervisors, and operators based on
the various aspects of performance appraisal form. Questionnaire was prepared on the basis
content in appraisal form of the company which is helpful to understand and brings the awareness
about the technique.
INTERVIEW: Continuous interaction with various industry people provided me knowledge on
various helpful industry activities. And satisfaction and assessment level employee, training
programs within in the organization came to figure in mind.
The following are the techniques used to analyze the data collected.
PIE DIAGRAM: The circle is divided into number of sectors representing the values of the data in
identifying the accurate distribution.
TABULATION: The classified data is represented in an orderly way and this calls for systematic
representation of data.
CAPTER-4
DATA ANALYSIS
ANALYSIS OF APPRAISAL FORM:
Rating scales of performance appraisal form: As JOCIL Ltd using the method of rating scale
mechanism for conducting appraisal of the employee the questionnaire was designed on the basis
of the content in the appraisal form.
CONTENTS OF PERFORMANCE APPRAISAL FORM:
1. Quality of work
Consider accuracy, thoroughness, effectiveness.
Pressure, ability to meet standards of quality.
Use of time and volume of work accomplished.
Work output matches the expectations established.
2. Quantity of work
Competence, thoroughness, and efficiency of work regardless of volume.
Neatness and accuracy.
3. Teamwork:
Establish and maintain effective working relationship with others.
Shares information and resources with others
Follows instructions of supervisor and respond to requests from others in the team in a
helpful manner.
Contributing work and effort to group performance to meet agreed upon objectives and
achieve team success
4. Job knowledge
Application of appropriate level of technical and procedural knowledge in specific field
Degree of technical competence
Understanding of job procedures, methods, facts and information related to assignments.
Perform duties with minimal supervision but seek guidance where and when appropriate
to the job, consults the appropriate staff
5. Initiative
Consider the extent to which the employees sets own constructive work practice and
recommends and creates own procedures.
Self-starter, develop and implement new methods, procedures, solutions, concepts,
designs and/or applications of existing designs or procedures.
Accepts additional challenges and responsibilities and willingly assist others, self-reliant.
Completes assignment on time.
6. Interpersonal relations
Consider the extent to which the employee is cooperative, considerate, and tactful in
dealing with supervisors, subordinates, peers, faculty, students and others.
7. Health and safety compliance
The degree to which he or she complies with or over sees the compliance with university
safety rules.
The following are also to be completed for supervisory personnel and members of the
administrative staff.
8. Communications abilities
Performance appraisal of communications includes elements as:
Ability to listen and understand information;
Presents information in a clear and concise manner.
Knows appropriate way of communicating with immediate superiors and the
management
Demonstrates respect for all individuals in all forms of communication
9. Planning and organizing:
Adapting to changes and using resources effectively;
Maintains confidentiality as appropriate.
Setting objectives, establishing priorities, developing plans;
Arranging work schedules and prioritizing work to meet deadlines.
Know when to ask for clarification before proceeding on a work project.
QUESTIONNAIRE ANALYSIS:
Analysis of data has taken out based on the data collected with questionnaire methodology of 80
employees as sample size.it is the interpretation of the data for the evaluation of performance
appraisal system with the organization.
Parameters
Yes
Partly
No
Well-known
Responses
43
35
Percentages
53.75
43.75
2.5
The above inference shows that awareness of PA system in the organization which
is 54% people knows about this and 44% people knows partly. The above data states that
the employees must be appraised of the system and its significanceand its contribution to
increase the productivity.
85
No
12
%
15
77
96.25
3.75
68
85
12
15
40
50
40
50
33
41.25
47
58.75
Responses
yes
68
Parameters
Responses
Percentages
supervisor
18
22.5
immediate superior
44
55
HR department
7
8.75
others
11
13.75
performance appraisal is conducted by the supervisors , HR department and by the head of the
departments. As it is manufacturing based company 22% are supervisor and asst. operators, 55%
are immediate superiors , and 9% are HR professionals who conduct the apprisal for Managers. .
Parameters
based on
work
59
73.75
Responses
Percentages
relationship
superiors
12
15
with
presence
productivity
5
6.25
and
Others
4
5
Performance appraisal will conduct on the basis work and productivity of the
employee. From the inference we can observe that 74% employees are appraised based on
work. When the strategic enlargement is required in a company the apprisal system
should focus on the work, presence of the employee with the productivity.5% of the
respondents are not clear as to why performance apprisal is carried out.
raking
scale
check
method
67
83.75
list
confidential
report
critical incident
performance
test
easy
method
1.25
6.25
8.75
Jocil Ltd is fallowing the grading mechanism which is suitable for the
manufacturing unit. The above data clearly states that the compny uses the Ranking Scale
technique to appraise the employees.The data also reveals that the Performance apprisal &
Easy Method is not being followed.
once
year
66
82.5
in
a
once in 6 months
10
12.5
every
week
2
2.5
once
in
months
2
2.5
From the above inference the company will conducts the appraisal yearly
once but there is also a need that the apprisal system has to be carried out to find need for
training and also to enhance the productivity.Jocil Ltd conducts the apprisal yearly once to
give increements and promotions.
Parameters
Responses
Good
average
bad
Above
aveg.
35
38
Percentages
43.75
47.5
7.5
1.25
The above data clearly shows that majority of the respondents feel that the
Performance Apprisal system is average followed with 43.7% says it good.So there is a
need for the company to make the employee understand the significance of Performance
Apprisal System.
true
31
38.75
partly
36
45
not true
9
11.25
very true
4
5
`
The above inference implies that people are satisfied with the PA system in
Jocil
Ltd believe that it provides scope for developing their potential. This may be due
to the fact that the self-appraised of the appraise invites suggestions on job
enrichment, training needs and steps to be taken to improve individuals
effectiveness. Whereas the above inference showing that potential level of
increment is 45% partly so company has to improve in the sense of giving
complete backup to the employee.
9.
9.Do you have self-appraisal system?
Parameters
Responses
Percentages
yes
44
55
no
36
45
Yes
35
43.75
no
45
56.25
The above inference shows that the PA system Company does not giving the feedback
about performance to its employees. It helps anticipating work needs in order to arrange work in
logical order. It also helps in devising efficient methods to attain pre-determined plans. Again due
to flexibility in job content, some people may have found problems in planning their performance
systematically.
a.10-30%
14
17.5
b.40%-60%
28
35
c.60%-80%
30
37.5
d.100%
8
10
The employees do not want a fixed increment for their great performance.
The company should make recommendations related to salary on the basis of
regular performance feedback about every employee since the frequency of
performance measurement varies from department to department; it is difficult to
carry out this work smoothly so the satisfaction level low.
12. Do you feel the fallowing are necessary for employee appraisal?
Yes
No
Discipline
80
100
Attendance
79
98.75
1.25
Job knowledge
78
97.5
2.5
80
100
Plan of work
78
97.5
2.5
Decision making
75
93.75
6.25
Guidance
74
92.5
7.5
Performance
80
100
Absenteeism
57
71.25
23
28.75
Integration
74
92.5
7.5
Dependency
75
93.75
6.25
Participation
80
100
yes
No
Analysis of skill
17
21.25
63
78.75
Usage of logics
10
72
90
Self-opinion description
12
15
68
85
7.5
74
92.5
15
18.75
65
81.25
14. Do you think performance appraisal system gives the real justice?
Parameters
Responses
Percentages
Yes
18
22.5
partly
50
62.5
no
12
15
15. Have been selected for any training after PA system conducted?
Parameters
Responses
Percentages
yes
29
36.25
no
51
63.75
yes
52
65
no
28
35
For every employee training is required to take the right job at the right
place at the same time when the new work is entered in the organization training is
needed for analyzing the new operations. So the company needs training to
increase the efficiency and to polish the work where they are in.
17. Does Performance appraisal give the improvement in promotions and salaries?
Parameters
Responses
Percentages
Yes
Partly
No
28
43
35
53.75
11.25
18. Does your company conduct the counseling after the appraisal?
Parameters
Responses
Percentages
Yes
18
22.5
partly
36
45
no
26
32.5
19. What kind of an appraisal system will bring out the best of you?
Parameters
Responses
Percentages
Appraisal by all
superiors
8
10
Appraisal
by
immediate superior
50
62.5
Appraisal
by
reference team
10
12.5
Appraisal by
team and self
12
15
reference
This shows that the relationship between appraiser and appraise, in Jocil Ltd, with respect
to planning the performance is quite good. The subordinate in planning his performance. The
appraiser helps appraise in testing the soundness of his goals as well as of his plans for achieving
them. This implies that there is active participation of both appraiser and appraise in performance
planning. The reason behind Not True answer may be due to the fact that many jobs in Jocil are
not well defined and therefore an elaborate planning on them is not done.
CAHPTER-5
FINDINGS
1) Presence of a firmly implemented career plan- good sense of growth.
SUGGESTIONS
Performance appraisal technique is meant for assessing the employee strengths and
weakness, to provide compensation to the employee. So that company should concentrate
more on individual development and reward for employee work should be there. If
implementation and analysis on the paper implements in more physical activity the
satisfaction level of the employee will increase as well as path to reach the organization
goal also easy.
CONCLUSIONS
The JOCIL Ltd adopted the rating scale performance appraisal mechanism which most
suitable for the manufacturing unit, since it is an agro based manufacturing company. The
employee satisfaction average compare to the executive level employees. The certainty in the
technique is being maintained from the last 10 years in the company. Organization is widely
using the appraisal method for the beneficiary of the employee in the sense of promotions and
increment in salary.
The finding can be found from the analysis of data collected in JOCIL Ltd.
10. Performance appraisal system should be extensively used in job rotation AND up
gradation of basic qualification of all workers to be taken in future based on their
performance.
11. Uniform growth is required in the salaries and promotions, because it will gives the
employee satisfaction in high level which is for the achievement of the
organization.
Questionnaire
Employee details:
Name
Age
Sex
Experience
Job details
1. Are you aware that your organization fallowing the performance appraisal
system?
a) yes
b)
partly
c) no
d)
well known
2. Why performance appraisal system required?
Yes
a)
b)
c)
d)
e)
b)
d)
(
(
(
(
(
)
)
)
)
)
No
(
(
(
(
(
immediate superior
others
every week
d)
once in 3 months
average
above average
true
not true
b)
partly
no
no
11. How much you have satisfied with your company PA system?
a) 10-30%
b)
40-60%
)
)
)
)
)
c)
60-80%
d)
100%
12. Do you feel the fallowing are necessary for employee appraisal?
Yes
No
a) Discipline
(
)
(
b) Attendance
(
)
(
c) Job knowledge
(
)
(
d) Relation with employee
(
)
(
e) Plan of work
(
)
(
f) Decision making
(
)
(
g) Guidance
(
)
(
h) Performance
(
)
(
i) Absenteeism
(
)
(
j) Dependency
(
)
(
k) Integration
(
)
(
l) Participation
(
)
(
13. Are you facing any fallowing problem during appraisal?
Yes
a) Analysis of skill
(
)
b) Usage of logics
(
)
c) Self-opinion description
(
)
d) Participation in decision making
(
)
e) Unable to reveal self description
(
)
)
)
)
)
)
)
)
)
)
)
)
)
No
(
(
(
(
(
)
)
)
)
)
14. Do you think performance appraisal system gives the real justice?
a) yes
b)
partly
c) no
15. Have been selected for any training after the appraisal conducted?
a) yes
b)
no
17. Does Performance appraisal give the improvement in promotions and salaries?
a) true
b)
partly
c) not true
d)
very true
18. Does your company conduct the counseling after the appraisal?
a) yes
b)
partly
c) no
19. What kind of an appraisal system will bring out the best of you?
a)
appraisal by all superiors
b) appraisal by immediate superior
c)
BIBLIOGRAPHY
Carey and Janice Keefe, 2003, Performance appraisal Phrase Book , Adams Media
Jan Jonker & Bartjan Pennink, 2010, The Essence of Research Methodology, SpringerVerlag Berlin Heidelberg .
Web Resources:
www.google.com
www.gigapedia.com
www.performance-appraisal.com
www.appraisals.naukrihub.com