“A STUDY ON PERFORMANCE APPRAISAL OF EMPLOYEES WITH

SPECIAL REFERENCE TO SUNRISE LUNGIE COMPANY,

KOMARAPALAYAM”

PROJECT REPORT

Submitted by

SUCHITHIRA.T

Register No: 732315631057

In partial fulfillment for the award of the degree

Of

MASTER OF BUSINESS ADMINISTRATION

In

DEPARTMENT OF MANAGEMENT STUDIES

SSMCOLLEGE OF ENGINEERING

KOMARAPALAYAM-638183

JUNE 2017
 SSM COLLEGE OF ENGINEERING

KOMARAPALAYAM-638183

DEPARTMENT OF MANAGEMENT STUDIES

PROJECT WORK

JUNE 2017

This is to certify that the project entitled

“A STUDY ON PERFORMANCE APPRAISAL OF EMPLOYEES WITH

SPECIAL REFERENCE TO SUNRISE LUNGIE COMPANY,

KOMARAPALAYAM”

Is the bonafide record of project work done by

T.SUCHITHIRA

Register No: 732315631057

Of MBA during the year 2015-2017.

----------------- ---------------------------

Project Guide Head of the Department

Submitted for the Project Viva-Voce examination held on----------------------

----------------------- -----------------------

Internal Examiner External Examiner

 DECLARATION
I affirm that the project work titled “A STUDY ON PERFORMANCE APPRAISAL
OF EMPLOYEES WITH SPECIAL REFERENCE TO SUNRISE LUNGIE COMPANY
KOMARAPALAYAM” being submitted in partial fulfillment for the award of MASTER OF
BUSINESS ADMINISTRATION is the original work carried out by me. It has not formed the
part of any other project work submitted for award of any degree or diploma, either in this or any
other University.

(Signature of the Candidate)

SUCHITHIRA.T

Register Number: 732315631057

I certify that the declaration made above by the candidate is true

(Signature of the Guide)

Dr.B.L.SAIRAM SUBRAMANIAM,

Head of the department,

SSM COLLEGE OF ENGINEERING,

KOMARAPALAYAM-638183.
 ACKNOWLEDGEMENT

With folded hands I seek the blessing of god almighty for helping me in doing this
project and completing it in time. The success accomplished in this project study would have
been possible without the timely help and guidance rendered by many people whom I feel
obliged and grateful.

I feel great pleasure to thank our beloved ‘CAVALIER’ Dr.M.S.MATHIVANAN,

M.A, M.Com, M.Phil, F.T.A., HGDM (Lon), AIBM, Ph.D, Chairman, S.S.M College of
Engineering, Komarapalayam, who provides us all facilities during the course of study. Words
are insufficient when we endeavor to express our heartfelt thankfulness to Dr.A.KUMAR
CHARLEY PAUL Ph.D., Principal, who provides us all facilities during the course of study.

I express a deep sense of gratitude and hearty thanks to Dr. B.L.SAIRAM

SUBRAMANIAM, B.Sc., MBA. M.HRM., M.Phil., WIPO., Ph.D, HOD, Department of
Management Studies, S.S.M College of Engineering, Komarapalayam for making all necessary
arrangements for the successful completion of this project.

The project has been made possible by the greatest efforts and dedicated support
extended to me by my guide Dr. B.L.SAIRAM SUBRAMANIAM, B.Sc., MBA, M.HRM,
M.Phil, WIPO., Ph.D., HOD Department of Management Studies, S.S.M College of
Engineering, Komarapalayam for her immense help, timely guidance and constant inspiration to
make this project successful.

My sincere efforts could not have been fulfilled by the kind support and guidance of Mr.
P.Shanmugam the manager of sunrise lungie company, Komarapalayam for the guidance
and support provided. Lastly, I would like to express my whole-hearted gratitude to my parents
and all who Co-operated with me to successfully complete this study.
 T.SUCHITHIRA

TABLE OF CONTENTS

CHAPTER DESCRIPTION PAGE NO

LIST OF TABLES I
LIST OF CHARTS II
ABSTRACT III
1 INTRODUCTION
1.1 ABOUT THE STUDY 1
1.2 ABOUT THE INDUSTRY 6
1.3 ABOUT THE COMPANY 9
2 MAIN THEME OF THE PROJECT
2.1 OBJECTIVE OF THE STUDY 14
2.2 SCOPE OF THE STUDY 15
2.3 LIMITATION OF THE STUDY 16
2.4 RESEARCH METHODOLOGY 17
2.5 REVIEW OF LITERATURE 22
3 ANALYSIS AND INTERPRETATION 26
4 FINDINGS,SUGGESTIONSAND CONCLUSION

4.1 FINDINGS 59
4.2 SUGGESTION 62
4.3 CONCLUSION 63
BIBLIOGRAPHY 64
ANNEXURE 65
 LIST OF TABLES

TABLE NO TITLE PAGE NO

3.1.1 Table showing distribution of respondents by their gender 26
3.1.2 Table showing distribution of respondents by their age 28
3.1.3 Table showing distribution of respondents by their educational 29
qualification
3.1.4 Table showing distribution of respondents by their experience 30
3.1.5 Table showing distribution of respondents by their work efficiency 31
among the total hours given employee
3.1.6 Table showing job satisfaction of employee work with the 33
organization
3.17 Table showing that employee having relations with peers and 35
manager
3.1.8 Table showing the target achieved by employee 37
3.1.9 Table showing the employee chosen type of performance appraisal 39

3.1.10 Table showing the satisfied with present appraisal system 41

3.1.11 Table showing the working environment that affect the work 43
3.1.12 Table showing the awareness of the performance appraisal 45
procedure
3.1.13 Table showing employee prefer the appraisal system 47
3.1.14 Table showing evaluate the employee performance 49
3.1.15 Table showing the appraisal should be done 51
3.1.16 Table showing the poor rating is done on an employee the remedial 53
measures that management taken
3.1.17 Table showing factors influencing performance appraisal system 55

3.1.18 Table showing remedial measures done to poor performing 56

appraise
3.1.19 Table showing job satisfaction and awareness of performance 57
appraisal system
 LIST OF CHARTS

CHART NO TITLE PAGE NO

3.1.1 Chart showing distribution of respondents by their gender 27

3.1.2 Chart showing distribution of respondents by their age 28
3.1.3 Chart showing distribution of respondents by their educational 29
qualification
3.1.4 Chart showing distribution of respondents by their experience 30
3.1.5 Chart showing distribution of respondents by their work efficiency 32
among the total hours given employee
3.1.6 Chart showing job satisfaction of employee work with the organization 34

3.1.7 Chart showing that employee having relations with peers and manager 36

3.1.8 Chart showing the target achieved by employee 38

3.1.9 Chart showing the employee chosen type of performance appraisal 40

3.1.10 Chart showing the satisfied with present appraisal system 42

3.1.11 Chart showing the working environment that affect the work 44
3.1.12 Chart showing the awareness of the performance appraisal procedure 46

3.1.13 Chart showing employee prefer the appraisal system 48

3.1.14 Chart showing evaluate the employee performance 50
3.1.15 Chart showing the appraisal should be done 2
3.1.16 Chart showing the poor rating is done on an employee the remedial 54
measures that management taken
 ABSTRACT

The main objective of the study is “A STUDY ON PERFORMANCE APPRAISAL

OF EMPLOYEES WITH SPECIAL REFERENCE TO SUNRISE LUNGIE COMPANY,
KOMARAPALYAM.”

Performance appraisal is a method of evaluating the behaviour of employees in the work

spot, normally including both the quantitative and qualitative aspects of job performance. The
present study is divided into four chapters.

The first chapter covers the various aspects directly relating to the study is holds the
introduction and the profile to the company with the industry profile and it also list on the
objectives, scope and limitation of the study.

The main objectives of the study were to find out attitude of an employee towards
performance appraisal system in the company. The researcher collected the data using the
convenience sampling technique. The researcher’s methodologies are also stated in this chapter it
also examine the existing review of literature. The various tools used to the analysis by the
research are simple percentage, chi-square, Henry garret ranking method and weighted average.
Time is considered as one of limiting factor for collecting the information from specific category
of workers.

Finding and suggestions presented by the researcher is stated in this chapter four of this
study. The study presents the various analysis contacted by the researcher to research to the
conclusion. From the above table we observe that 38% of the employees having relations with
peers and managers are friendly, 35% of the employees having relations with peers and
smanagers is senior, 27% of the employees having relations with peers and managers is Higher
officer. From above analysis, we find that calculated value is greater than the table value i.e.,
null hypothesis is accepted. So, there is association between job satisfaction and awareness of
performance appraisal system. Monthly self appraisal system is helpful to improve the
performance of the employees.
 CHAPTER I

INTRODUCTION

1.1 ABOUT THE STUDY

In the fast changing trend towards globalization, today many organizations are striving hard to
modernize themselves. One of the most important hallmarks of a modern organization is to have
a performance appraisal system.

MEANING

Performance appraisal is a method of evaluating the behaviour of employees in the work spot,
normally including both the quantitative and qualitative aspects of job performance.

DEFINITION

According to Dale Yoder,” performance appraisal includes all formal procedures used to
evaluate personalities and contributions and potentials of group members in group members in a
working organization. It is a continuous process to secure information necessary for making
correct and objective decisions on employees.”

IMPORTANCE OF PERFORMANCE APPRAISAL

 Performance refers to the degree of accomplishment of the tasks that make up an

individual job.
 It indicates how well an individual is fulfilling the job demand. Performance is always
measured in terms of results.
 Performance appraisals not only let the employee know how will he is performing but
should also influence the employees future level of effort, activities, results and task
direction.
 Performance appraisal evaluates not only the present performance of a worker but also
his potential for development.
 Performance appraisal can be defined as a process of evaluating an employee’s
performance on the job in terms of its requirement, performance appraisal is a systematic
periodic and so far as humanly possible.
OBJECTIVES OF PERFORMANCE APPRAISAL

On the basis of merit rating or appraisal procedures of various companies in India, the main
objectives of employee performance appraisal are:

 To enable an organization to maintain an inventory of the number and quality of all

managers and to identify and meet their training needs and aspirations.
 To determine increments rewards and provide a reliable index for promotions and
transfers to positions of greater responsibility.
 To maintain individual and group development by informing the employee of his
performance standard.
 To suggest ways of improving the employee’s performance when he is not found to be up
to the mark during the review period.

FACTORS AFFECTING PERFORMANCE APPRAISAL

 Ability
It is always present and will not vary widely over short periods of time.
 Effort
The amount of manual or mental energy that a person is prepared to expend on a job
to reach a certain level of performance.
 Motivation
1. Many people who are not motivated keep their performance to an acceptable level
by expending only 20-30% of their ability.

2. There is other more detailed notes on motivation elsewhere in this site, but
remember Maslow?
 Basic needs- food, clothing
 Safety needs- security, avoidance of risk
 Social needs- friendship,acceptance,group
 Esteem needs- responsibility, recognition
 Self realisation- independence, creativity
 Equity & Expectation
Again, detailed notes elsewhere. Basically, people expect to be treated equally,
within the company and as others are in similar companies; they expect to get a certain
reward for a certain effort; and they expect to get promoted if they undergo training.

 Task, or role, perception

The direction in which the person wishes to channel his or her effort and ability. It
varies according to such factors as,
 Whether or not the job is seen to be important or of value
1. In itself,
2. To the organisation,
3. To workmates,
4. To the individual
 Whether or not there is an end in sight
1. Is what I do simply lose in the larger organisation?
2. Can I see it as a finished entity in its own right, no matter how
small?
 Environmental factors
Those factors over which an individual has no control.
Eg: - The job may have been completed under severe time constraints, with a lack of
adequate resources, or by using obsolete equipment.
Other staff and departments may have been less than cooperative.
There may have been conflicting priorities or information overload, such that
the individual was confused and under stress.
 abilities

effort Environmental factorsjob performance

task direction of
performance

PERFORMANCE APPRAISAL PROCESS

METHODS FOR PERFORMANCE APPRAISAL

Broadly all methods of appraisals can be divided into two different categories

Traditional methods
Modern methods

TRADITIONAL METHODS

 Rating scales
 Checklist
 Forced choice method
 Forced distribution method
 Critical incidents method
 Behaviourally anchored rating scales
 Field review method
 Performance tests & observations
 Confidential records
 Essay method
 Cost accounting method
 Comparative evaluation method
 Ranking method
 Paired comparison method

MODERN METHODS

 Management by objectives(MBO)
 Psychological appraisals
 Assessment centres
 360▫ appraisal
 Technological performance appraisal
 Employee self-assessment
 Manager performance appraisal
 Project evaluation review
 Sales performance appraisal
1.2 INTRODUCTION ABOUT THE INDUSTRY
Textile is one of India’s oldest industries and has a formidable presence in the national
economy in as much as it contributes to about 14 per cent of manufacturing value-addition,
accounts for around one-third of our gross export earnings and provides gainful employment to
millions of people The Indian textile industry is the second largest in the world--second only to
China .At present, the contribution of textile industry towards GDP is about 4 percent The
industry provides direct employment to about more that 30 million people and is the second
largest employment provider in India after agriculture.

The industry is largely foot-loose and has a wide sect oral dispersal particularly in
handloom and power loom sectors. It enjoys possibly the widest linkages, both forward and
backward, and contributes directly not only to the livelihood but also to the empowerment of
largely the weaker sections of the society living in rural and semi-urban areas. The growth of the
industry over the years has been characterized by expansion in dimension, changes in fibre-mix,
adoption of heterogeneous technology matrix and increase in availability of goods for home
consumption and exports.

It has been estimated that India has approximately 30,000 readymade garment
manufacturing units. Today not only is the garment export business growing, enthusiasm in the
minds of the foreign buyers is also at a high. Today many leading fashion labels are being
associated with Indian products. India is increasingly being looked upon as a major supplier of
high quality fashion apparels and Indian apparels have come to be appreciated in major markets
internationally. The credit for this goes to our exporter community. Consistent efforts towards
extensive market coverage, improving technical capabilities and putting together an attractive
and wide merchandise line have paid rich dividends.

The garment segment began initially as an export-oriented effort but it has grown in
volume and diversity and the export of ready-made garments now accounts for over 40 per cent
of the value of total textile exports. The value of production of ready-made garments for
domestic market is estimated to be three times as much as for export market.
 However, the industry has to work hard, improve certain areas of weaknesses and
enhance its competitive strength not only to retain but also improve its position in the textile map
of the world, particularly in the context of the emerging liberalization and globalization of textile
product and trade.

The future growth, particularly in export markets, will come mainly from exports of
value-added items including made-ups and apparels. It is, therefore, imperative that our industry
must gear up to integrated consumer tastes and preferences in their production and develop
marketing infrastructure The efforts to increase the competitive strength of the industry as a
whole will depend on how fast the industry can integrate various I.T. solutions including ERP
solutions, CAD/CAM and other I.T.-based tools for improving the speed and quality of
production, reducing time lag in deliveries, marketing and in cutting down overall time overrun.

NATIONAL TEXTILE POLICY

In the year 2000, National Textile Policy was announced. Its main objective was: to
provide cloth of acceptable quality at reasonable prices for the vast majority of the population of
the country, to increasingly contribute to the provision of sustainable employment and the
economic growth of the nation; and to compete with confidence for an increasing share of the
global market.

CONTRIBUTION
The Indian textile industry contributes about 14 percent to the industrial protection, 4
percent to the country’s gross domestic product (GDP) and 17 percent to the country’s export
earnings, according to the Annual Report 2009-10 of the Ministry of Textiles. It provides direct
employment to over 35 million people and is the second largest provider of employment after
agriculture.

VARIOUS CATAGORIES
Indian textile industry can be divided into several segments, some of which can be
Listed as below:
 Cotton Textiles
  Silk Textiles
 Woollen Textiles
 Readymade Garments
 Hand-crafted Textiles
 Jute and Coir

India textile industry is one of the leading in the world. Currently it is estimated to be
around US$ 52 billion and is also projected to be around US$ 115 billion by the year 2012.The
current domestic market of textile in India is expected to be increased to US$ 60 billion by 2012
from the current US$ 34.6 billion. The textile export of the country was around US$ 19.14
billion in 2006-07, which saw a stiff rise to reach US$ 22.13 in 2007-08. The share of exports is
also expected to increase from 4% to 7% within 2012.
1.3 INTRODUCTON ABOUT THE COMPANY
The Sunrise Lungie company was started by the Mr.P.Ventakesh, Managing Director
in the year 1985. Sunrise Lungie Company was inaugurated on the 2nd August 1985 by Deputy
Manager of sales. General Manager of the company is Mr.P.Shanmugham. Sunrise Lungie
Company has the total area measurement service building of 12000 square feet, and rundown
have 6500 square feet.The company is type of sales promotions were
 advertisement
 Social service
 Neutral prevention activities.

All over the India, we use to sell our products through regular parties. The places which are send
by us like Bihar, Assam, etc. Then our company’s sales turnover is 4 corers.

DEPARTMENTS PROFILE
The first real task in designing an organization structure is the identification of activities
and grouping them properly. The process of grouping the activities is commonly known as
departmentation.General Manger is the head of the Organization and is mainly divided into four
departments.
VARIOUS DEPARTMENTS IN THE CONCERN
1. Production department
2. Finance department
3. Human resource department
4. Marketing department
1. PRODUCTION DEPARTMENT
Processes and methods employed in transformation of tangible inputs (raw materials,
Semi-finished goods, or subassemblies) and intangible inputs (ideas, information, know how)
into goods or services.
PRINTING
“Printing” is a process for reproducing text and image, typically with ink on paper using a
printing press. It is often carried out as a large-scale industrial process, and is an essential part of
publishing and transaction printing.
2. FINANCE DEPARTMENT
The branch of economics that studies the management of money and other assets. The
commercial activity of providing funds and capital. The science of managing money is also
known as finance. Finance, it is regarded as blood of the organization without finance the firm
can’t be existing. It refers to the financial assets which are necessary for running the business
smoothly. Finance is related with cost, time, money and risk. It deals with matters related to
money and markets resources allocation and its management are the part of this finance is the
most encompassing of all business enterprises. To understand finance you must know about the
entire business, indeed the entire economy. The Financial system (or the economy, your choice)
is composed of consumers, manufacturers, distributors. These groups need money to purchase
products and services. One way of looking at Finance is that it is getting the money to purchase
these goods and services. Many economists assume that households have excess money and
corporations need money. This is obviously a gross simplification. At any given point some
individuals have excess money to invest where others need to borrow. The same is true for
corporations and other organizations, but the simplified model makes things easier for the
moment. The purpose of the Financial System is to make sure that the money flows to those who
value it the highest that are those who can put it to the "best" use.
FINANCIAL MANAGEMENT
The management of the finances of a business / organization in order to achieve financial
objectives. Taking a commercial business as the most common organizational structure, the key
objectives of financial management would be to:
 Create wealth for the business
 Generate cash.
 Provide an adequate return on investment bearing in mind the risks that the business is
Taking and the resources invested.
PROCESS OF FINANCIAL MANAGEMENT:
There are three key elements to the process of financial management:
(a) FINANCIAL PLANNING
Management need to ensure that enough funding is available at the right time to meet the
needs of the business. In the short term, funding may be needed to invest in equipment and
stocks, pay employees and fund sales made on credit. In the medium and long term, funding may
be required for significant additions to the productive capacity of the business or to make
acquisitions.

(b) FINANCIAL CONTROL

Financial control is a critically important activity to help the business ensure that the
business is meeting its objectives. Financial control addresses questions such as:
 Are assets being used efficiently?
 Are the businesses assets secure?
 Do management act in the best interest of shareholders and in accordance with business
rules?

(c) FINANCIAL DECISION-MAKING

The key aspects of financial decision-making relate to investment, financing and
dividends. Investments must be financed in some way however there are always financing
alternatives that can be considered. The term finance organization refers to the people
responsible for conceptualizing, implementing, and following through with all finance and
accounting related tasks and initiatives, as well as the technological tools they employ.The
finance function works best when people with the right qualifications are matched with the right
tasks.

3. HUMAN RESOURES DEPARTMENT

The term personnel management has been modified as HUMAN RESOURCE
MANAGEMENT. The personnel management controls the personnel in company. Personnel
Management function has a great role in productivity and quality. A human performance is the
product of his/her ability and motivation, right personnel policies are important for sustaining
ability and motivation in the human element. The technical functions of this department include
recruitment, performance, deployment, Wage-agreements, discipline, performance appraisal,
termination as well as activities.
RECRUITMENT
 Direct recruitment
 Internal recruitment
 External recruitment

DISCIPLINARY ACTIONS
In some cases the concern takes disciplinary action.
They are as follows:
 Disobedience
 Fraud
 Dishonesty
 Illegal absences
 Sexual harassment
 Theft

4. MARKETING DEPARTMENT
The main function of the marketing department in printers is to establish and maintain a
quality system suitable for organization’s policies, goals and commitment towards Products and
services rendered to the customers.

PRODUCT
 Yarns
 Garments
 Cotton yarn manufacturing
 Spinning
 Waste handling
ORGANIZATINAL STRUCTURE
 CHAPTER-II
MAIN THEME OF THE PROJECT

2.1 OBJECTIVES OF THE STUDY

 To study the performance appraisal of employees with special reference to sunrise lungie
company.
 To analyse the factors that influences the performance appraisal system in sunrise
Lungie Company.
 To find out the level of satisfaction of a worker towards performance appraisal system.
 To study the attitude of an employee towards performance appraisal system in the
company.
 To suggest some measure to improve the performance system in sunrise lungie
company.
2.2 SCOPE OF THE STUDY
 The present study aims to look at the feedback of the workers of flow tech towards the
performance appraisal system existing in the organization.
 The study is to analyze whether the appraisal is effectively implemented which may
benefit both organizations and their employees.
 Arguably, the systems have the potential to provide individual feedback and collated
organizational data which can be used for the purpose of HRM planning and program
evaluation purpose.
 Moreover, collected data can assist managerial planning, human resources, development
programs and remuneration schemes.
 Individual performance management output includes opportunities for remedial skills
development, retention, and career development, and training and up skilling program.
2.3 LIMITATION OF THE STUDY
 Due to busy schedule of the workers they were not able to provide sufficient information.
 Findings are based only on the information given by the respondents.
 Data collection was done through questionnaires, filled by the respondents, which may be
affected by personal bias.
 Time is considered as one of limiting factor for collecting the information from specific
category of workers.
2.4 RESEARCH METHODOLOGY
MEANING OF RESEARCH
Research is common parlance refers to a search for knowledge, once can also define
research as a scientific and systematic search for pertinent information on a specific topic. In
fact, research is an Art of Science investigation.
RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problem. In it we
study the various steps that are generally adopted by the researcher in studying his research
Problem.
RESEARCH DESIGN
“A research design is the arrangement of condition for collection and analysis of data in a
manner that aims to combine relevance to the research purpose with economy in procedure”.
DECRIPTIVE RESEARCH
Descriptive research is designed to describe something, such as demographical
characteristics of consumers who use the products. It deals with determining frequency with
which something occurs or how two variables vary together. This study is also guided by and
initial hypothesis.
SAMPLING
Sampling is a 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 is concerned with total strength of 400 employees.
SAMPLE SIZE
Sample size refers to the total number of observations about a particular event. It’s the
number people on whom we are doing the study. In this case a sample size of 200 employees is
taken by using the krejcie and Morgan formula,
Formula,
S = X² NP (1- P)/d² (N-1) + X² P (1- P)
Where,
 S = required sample size
  X² = the table value of chi-square for 1 degree of freedom at desired confidence level
(3.84)
 N = the population size
 P = the population proportion (assumed to be 0.5 since this would provide the
maximum sample size)
 d = the degree of accuracy expressed as a proportion (0.5)
SAMPLE TECHNIQUE
Simple random sampling procedure was used for the study.
RESEARCH INSTRUMENT
The instrument which has been utilized for the collection of data is the questionnaire.
Questionnaire is a Performa containing sequence of questions to collect information from the
respondent. Thus questionnaire consists of number of questions printed in a definite order on a
form or set of forms. Here the researcher has used the structured and non- disguised
questionnaire.
SOURCE OF DATA
 Primary data
 Secondary data
PRIMARY DATA
The primary data is collected from the respondents through the questionnaire and
schedule method.
SECONDARY DATA
When an investigator uses the data, which has been already collected by others, such
data in secondary data. The information was collected from the company and through the books
and magazine.
METHOD OF DATA COLLECTION
1. Questionnaire
The questionnaire was first prepared keeping in mind objectives of the study. Then it
was pre tested by picking up the respondents alternatively.
2. Personal Interview
Both primary and secondary data are essential for the research process both were used
for the research. The primary data was collected through survey. Survey research is the
 systematic gathering of data from the respondents through questionnaire. Secondary data
was collected from the news paper and company party of records so by following a step-
by-step discipline approach the research was able to arrive at a reliable survey.
STATISTICAL TOOLS
Percentage Analysis is the statistical tool used to analyze and interprets the collected data.
The data were tabulated and inferences were mad from the table. Bar charts and Pie-charts were
also given to explain clearly the collected data. The tools mainly used in the study are,
 Percentage Analysis
 Chi-square Analysis
 Weighted Average Method
 Henry garret ranking method
PERCENTAGE ANALYSIS:
Percentage analysis is a simple and effective method used for analyzing collected data.
Using Percentage Analysis method of data analysis result in easy interpretation of the available
Data. Percentage can be also used to compare the relationship distribution of two or more items.
This method is used to simplify the number through the used for the percentage.

No. Of Respondents
Percentage of Respondents = ………………………….. X 100
Total No. Of Respondents

CHI-SQUARE ANALYSIS:
Chi-square is a non-parametric test of statistical significance for bi-verity tabular
analysis. A non –parametric test, like chi-square, is a rough estimate of confidence. Chi-square is
used most frequently to test the statistical significance of results reported in bi-verity tables and
interpreting bi-verity tables is integral to interpreting the results of a chi-square test.

CHI-SQUARE TEST METHOD:

The Chi-square method is the application of testing the significant difference between
Observed and expected Values.
NULL HYPOTHESIS (H0):
 The Hypothesis, or assumption, about a population parameter we wish to test, usually an
assumption of the status quo.

ALTERNATIVE HYPOTHESIS (H1):

The conclusion we accept when the data fail to support the null hypothesis. If the
calculate value is higher than the table lesser than the table value we can accept null hypothesis
H0 and at the same time we can reject alternate hypothesis H1.

STATISTICAL TEST
Σ (Oi-Ei) ²
Chi-square test (x²) = --------------
Ei

To find Ei
Expected frequency = Row Total x Column Total
_______________________
Grand Total

Whereas, Oi = Observed Frequency

Ei = Expected Frequency

Degree of freedom
Degree of freedom =(R-1) X (C-1)

Whereas,
R = Number of rows
C = Number of Columns
LEVEL OF SIGNIFICANCE (α):
A value indicating the percentage of sample values that is outside certain limits, assuming
the null hypothesis is correct, that is, the probability of rejecting the null hypothesis when it is
True.
WEIGHTED AVERAGE METHOD:
A set of observations computed by taking into account the corresponding weights is
known as the weighted average.

W1X1+W2X2+W3X3+……………………...Wn Xn=WX/W
WAM=-----------------------------------------------------------------------------------------------
W1+W2+W3………………………….W

Henry Garret Ranking Method:

Henry Garret Ranking Method is used to find the factor which the customer feels
effective in their organization.

(Rij – 0.5)

Henry Garret Ranking Method = ------------------ X 100

Nj

Where, Rij = No. of. Respondents

Nj = Total no. of. Respondents

2.5 REVIEW OF LITERATURE

Klimoski, Richard J.; London (1974). Role of the rater in performance

appraisal.This article states the role of rater in performance appraisal. It notes that ratings for
performance appraisal are frequently made by supervisors. In the present study, judgments of
effectiveness for 153 hospital nurses were obtained from the nurse herself and her peers in
addition to her supervisor, using the same rating form. Factor analysis indicated that each rating
source could be clearly identified and characterized. The data real firm the notion that interrupter
disagreement may reflect systematic rater bias as well as meaningful differences in the ways in
which judgments are made. Implications for comprehensive appraisals are suggested.
Feldman, Jack M (1981). Beyond attribution theory: Cognitive process in
performance appraisal. In this article the author considers performance appraisal as the
outcome of a dual-process system of evaluation and decision making whereby attention,
categorization, recall, and information integration are carried out through either an automatic or a
controlled process. In the automatic process, an employee’s behaviour is categorized without
conscious monitoring unless the decisions involved are problematic; a consciously monitored
categorization process would then occur. Although automatic and controlled processes can create
accurate employee evaluations, categorization interacting with task type tends to affect
subsequent employee information with halo, lenient/stringent, racial, sexual, and ethnic and
personality biases.
Dipboye, Robert L.; de Pontbrinad, Rene (1981). Correlates of employee relations to
performance appraisals and appraisal systems. The authors of this article made a survey to
evaluate correlates of employee reactions to performance appraisals and appraisals system, in
which 474 exempt employees in a research and development organization were surveyed
regarding their opinions and perceptions of the appraisal process. After controlling for perceived
favourability of the appraisal via multiple regressions, opinions of the appraisal and appraisal
system were positive to the extent they believed that there was an opportunity to state their own
side of the issues, the factors on which they were evaluated were job relevant, and objectives and
plans were discussed.
 Bedeck, Sheldon; Cascio, Wayne F. (1982). Performance appraisal decisions as a
function of rater training and purpose of the appraisal. In this article the authors states
performance appraisal decisions as a function of rater training and purpose of the appraisal. 130
undergraduates rated 33 paragraphs describing the performance of supermarket checkers for one
of the following purposes: merit raise, development, or retention. The paragraphs were
assembled using previously scaled behavioural anchors describing 5 dimensions of performance.
Cardy, Robert L.; Dobbins, Gregory H. (1986). Affect and appraisal accuracy:
Liking as an integral dimension in evaluating performance. This article testing the possibility
that liking may influence rating accuracy by operating as an integral dimension in 66
undergraduate raters. Evaluated vignettes of 4 professors; liking was manipulated with 40 trait
terms (e.g., amusing, greedy, bashful) that engendered different liking levels, but had little
implication for professor performance.

Performance appraisal was seen in the industry in early 1800. Rendell (1994) identified
its use in Robert Omen’s use of "silent monitors" in the cotton mills of Scotland. The Silent
monitors were in terms of blocks of wood with different colours painted on each visible side and
it was hung above each employee's work station. At the end of the day, the block was turned so
that a particular colour, representing a grade of the employee's performance, could be seen by
everyone.

Spiegel(1962) and Weise and Buckley(1998) affirm that by the early 1950s, 61 per cent
of organizations regularly used performance appraisals, compared with only 15 per cent
immediately after World War II. DeVries et al. (1981) pointed out the primary tool to be the
trait-rating system, which focused on past actions, using a standard, numerical scoring system to
appraise people on the basis of a previously established set of dimensions. The main tool, used
under here was trait rating system.

Mayer, Roger C.; Davis, James H. (1999). The effect of the performance appraisal
system on trust for management: A field quasi-experiment. While studying this article we
can states that recent theoretical developments have enabled the empirical study of trust for
specific referents in organizations. The authors conducted a 14-month field study of employee
trust for top management. A 9-month quasi-experiment found that the implementation of a more
acceptable performance appraisal system increased trust for top management.

Shoepack and Militello (2000) were of the view that over a period of time organizations
from stable operating configurations (patterns) which has a bearing on their organizational
effectiveness. These configurations are affected by factors like operating environment, business
strategy, HRM practices, and senior manager’s values and behaviour regarding employees.
However, once established, the configurations or patterns guide employee behaviour, there
resistant to change, and are associated with different levels of organization effectiveness.
Hilltop (2002) evaluated the HRM practices of Multinational organizations i.e. those
organizations which operates in more than one country. This article differentiates between
multinational and domestic companies and also compared and contrasted the HRM practices of
multinational companies. The conclusions drawn from the study help to understand what
strategies multinational companies adopt to attract talent, its retention and how to motivate
people and how this varies between industries and nationalities of the corporate parent.
Robert D. Bretz. (2003). The Current State of Performance Appraisal Research and
Practice: Concerns, Directions, and Implications. This article states that it is not readily
apparent how some performance appraisal research issues inform performance appraisal practice.
Because performance appraisal is an applied topic, it is useful to periodically consider the current
state of performance research and its relation to performance appraisal practice. This review
examines the performance appraisal literature published in both academic and practitioner outlets
between 1985 and 1990, briefly discusses the current state of performance appraisal practice,
highlights the junta position of research and practice, and suggests directions for further research.
Rosenberg, Marc J. (2006) discusses that training organizations, will have to focus far
more on the workplace rather than just the theoretical knowledge, and learning should be such to
help people on the job. Training organizations will have to become more diversified in their
approach. They will need to find new technologies and approaches for training organizations
formal and informally. It is essential to focus on how the processes and tools of work can be
made easier, from the start. He says, “Only these things will help in sustaining good performance
of the employees. While traditional e-learning and associated technologies are important,
practitioners have often been too quick to embrace them, especially to solve current problems—a
"cure all" mentality—without considering what future challenges and We should think of e-
learning and learning technology as enablers, not as a strategy. It’s the highway, not the
destination; the means rather than the ends.”
Thite & Wilkinson (2011) the rapid rise of multinational Corporations (MNCs) from
emerging economies has led to greater interest and urgency in developing a better understanding
of the deployment and diffusion of managerial strategies from their perspective and without
assuming the prevailing Western ethnocentric orthodoxy. This paper develops a conceptual
framework of global HR strategies and practices in MNCs from emerging economies across their
subsidiaries in both developed and developing markets. Using data from a pilot study of an
Indian MNC, it provides insights and guidance into the motives, strategic opportunities and
constraints in cross national transfer of HR policies and practices in a multi-polar world. The
year 2008 has been a year of transition, with the global economic recession affecting businesses
across the globe.
 CHAPTER-III
ANALYSIS & INTERPRETATION
3.1 PERCENTAGE ANALYSIS
TABLE: 3.1.1 GENDER OF THE RESPONDENTS

S.NO GENDER NO OF RESPONDENTS PERCENTAGE

1 Male 120 60

2 Female 80 40

TOTAL 200 100

INTERPRETATION:
The above table shows that 60% of the respondents are Male, 40% of the respondents are
Female.

CHART: 3.1.1GENDER OF THE RESPONDENTS

70 GENDER OF THE RESPONDENTS

P 60
E
R
C 50 60%
E
N 40
T
A
G 30
E 40%
20

10

0
Male Female
GENDER
 TABLE: 3.1.2 AGE GROUP OF THE RESPONDENTS

S.NO AGE NO OF RESPONDENTS PERCENTAGE

1 Below 25 years 44 22

2 26 to 30 years 43 22

3 31 to 40 years 40 20

4 41 to 49 years 38 19

5 Above 50 years 35 17

TOTAL 200 100

INTERPRETATION:
The above table shows that 22% of the respondents are in the age group of below 25 years,
22% of the respondents are in the age group of 26 to 30 years, 20% of the respondents are in the
age group of 31 to 40 years, 19% of the respondents are in the age group of 41 to 49 years, 17%
of the respondents are in the age group of above 50 years.

CHART: 3.1.2 AGE GROUP OF THE RESPONDENTS

25 AGE GROUP OF RESPONDENTS

P
20
E
R
22
C 15
E
N 22
T 10 20 19
A 17
G
5
E

0
below 25 years 26 to 30 years 31 to 40 years 41 to 49 years above 50 years
Age
 TABLE: 3.1.3EDUCATIONAL QUALIFICATION OF THE RESPONDENTS

S.NO EDUCATIONAL NO OF RESPONDENTS PERCENTAGE

QUALIFICATION
1 School 43 22
2 Under graduate 40 20
3 Post graduate 35 18
4 Diploma 38 19
5 Others 44 22
TOTAL 200 100

INTERPRETATION:

It shows from the above table that 22% of the respondents are educated at School and others,
20% of the respondents are educated at under graduate level, 18% of the respondents are
educated at post graduate level, 19% of the respondents are educated at diploma.

CHART: 3.1.3 EDUCATIONAL QUALIFICATION OF THE RESPONDENTS

EDUCATIONAL QUALIFICATION OF RESPONDENTS

25

P 22
20 20
E 22
19
R 18
C 15
E
N
T 10
A
G
5
E

0
school under graduate post graduate Diploma Others
EDUCATION
 TABLE: 3.1.4 YEAR OF EXPERIENCE IN THE ORGANIZATION

S.NO YEARS OF EXPERIENCE NO OF RESPONDENTS PERCENTAGE

1 Below 1 35 17
2 Below 5 38 19
3 5-10 years 43 22
4 11-15 years 40 20
5 Above 15 44 22
TOTAL 200 100

INTERPRETATION:

From the above table it can be inferred that, the maximum percentage of 22% falls in the
category 5-10 years of experience, 19% of the respondents have experience of below 5 years,
20% of the respondents have experience of up to 11-15 years, 22% of the respondents have
experience of above 15 years, and 17% of the respondents falls under below 1 year of
experience.

CHART: 3.1.4 YEAR OF EXPERIENCE IN THE ORGANIZATION

YEAR OF EXPERIENCE IN THE ORGANIZATION

25 22 22
P 20
19
E 20 17
R
C 15
E
N
10
T
A
G 5
E
0
Below 1 Below 5 5-10 years 11-15 years Above 15
YEAR
 TABLE: 3.1.5 WORK EFFICIENCY AMONG THE TOTAL HOURS GIVEN
EMPLOYEE

S.NO OPINION NO OF RESPONDENTS PERCENTAGE

1 Strongly agree 43 22
2 Agree 35 17
3 Neutral 44 22
4 Disagree 40 20
5 Strongly disagree 38 18
TOTAL 200 100

INTERPRETATION:

From the above table it can be inferred that 22% of the respondents are strongly agree
that there working condition with in the factory is satisfied, 17% of respondents said agree
respondents, 22% of respondents that they are neutral, 20% of respondents are disagree and 18%
of respondents are strongly disagree

CHART: 3.1.5 WORK EFFICIENCY AMONG THE TOTAL HOURS GIVEN

EMPLOYEE

OPINION OF THE RESPONDENTS

25 22 22
P 20
E 17 18
20
R
C 15
E E
10
N
T 5
A
G 0
Strongly agree Agree Neutral Disagree Strongly disagree
OPINION
 TABLE: 3.1.6 JOB SATISFACTION OF EMPLOYEE WORK WITH THE
ORGANIZATION

S.NO OPINION NO OF RESPONDENTS PERCENTAGE

1 Highly satisfied 38 19
2 Satisfied 44 22
3 Neutral 43 22
4 Dissatisfied 40 20
5 Highly dissatisfied 35 17

TOTAL 200 100

INTERPRETATION:

From the above table it can be inferred that 22% of the respondents are satisfied with the job
satisfaction, 19% of respondents are highly satisfied, 22% of respondents that they are neutral,
20% of respondents are dissatisfied and 17% of respondents are highly dissatisfied.

CHART: 3.1.6

JOB SATISFACTION OF EMPLOYEE WORK WITH THE ORGANIZATION

JOB SATISFACTION OF EMPLOYEE WORK WITH THE

ORGANISATION
25
P
E 20 22 22
R 20
19
C 15 17
E
N
10
T
A
G 5
E
0
Highly satisfied Satisfied Neutral Dissatisfied Highly
dissatisfied
TABLE: 3.1.7 EMPLOYEE HAVING RELATIONS WITH PEERS AND MANAGER

S.NO RELATION NO OF RESPONDENTS PERCENTAGE

1 Friendly 77 38
2 Senior 70 35

3 Higher officer 53 27

TOTAL 200 100

INTERPRETATION:

From the above table we observe that 38% of the employees having relations with peers and
managers are friendly, 35% of the employees having relations with peers and managers is senior,
27% of the employees having relations with peers and managers is Higher officer.

CHART: 3.1.7 EMPLOYEE HAVING RELATIONS WITH PEERS AND MANAGER

EMPLOYEE HAVING RELATIONS WITH PEERS AND MANAGER

38
P 40 35
E
35
R
27
C 30
E
25
N
T 20
A
15
G
E 10
5
0
Friendly Senior Higher officer
 TABLE: 3.1.8 TARGET ACHIEVED BY EMPLOYEE

S.NO PERCENTAGE OF TARGET NO OF PERCENTAGE

ACHIEVED BY EMPLOYEE RESPONDENTS
1 100 44 22
2 75 40 20
3 50 38 19
4 20 43 22
5 Below 20 35 17
TOTAL 200 100

INTERPRETATION:

From the above table it can be inferred that 22% of the respondents are achieved 100% of
target, 20% of respondents are achieved 75% of target, 19% of respondents are achieved 50% of
target, 22% of respondents are achieved 20% of target, 17% of respondents are achieved below
20% of target.

CHART: 3.1.8 TARGET ACHIEVED BY EMPLOYEE

TARGET ACHIEVED BY EMPLOYEE

25
22
22
P
E 20 20
19
R
C 15 17
E
N
T 10
A
G 5
E

0
100 75 50 20 Below 20
TARGRT ACHIEVED BY EMPLOYEE
 TABLE: 3.1.9 EMPLOYEE CHOSEN TYPE OF PERFORMANCE APPRAISAL
SYSTEM

S.NO OPINION NO OF RESPONDENTS PERCENTAGE

1 Open type 77 38

2 Confidential 70 35

3 Both 53 27

TOTAL 200 100

INTERPRETATION:

From the above table we observe that 38% of the employee chosen open type of
performance appraisal system, 35% of respondents chosen confidential type of performance
appraisal system and 27% of employee chosen both of performance appraisal system.

CHART: 3.1.9 EMPLOYEE CHOSEN TYPE OF PERFORMANCE APPRAISAL

SYSTEM

EMPLOYEE CHOSEN TYPE OF PERFORMANCE APPRAISAL

38 SYSTEM
40 35

P 35
E 30
R 27
C 25
E
20
N
T 15
A
10
G
E 5

0
Open type Confidential Both

EMPLOYEE CHOSEN TYPE OF PERFORMANCE APPRAISAL

SYSTEM
 TABLE: 3.1.10 SATISFIED WITH PRESENT APPRAISAL SYSTEM

S.NO OPINION NO OF RESPONDENTS PERCENTAGE

1 Highly satisfied 44 22
2 Satisfied 43 21.5
3 Neutral 40 20
4 Dissatisfied 38 19
5 Highly dissatisfied 35 18
TOTAL 200 100

INTERPRETATION:

From the above table we observe that 22% of the employees are highly satisfied with the
satisfaction of present appraisal system, 21.5% of the employees are satisfied, 20% of the
employees are neutral, 19% of the employees are dissatisfied and 18% are highly dissatisfied the
satisfaction of present appraisal system.

CHART: 3.1.10 SATISFIED WITH PRESENT APPRAISAL SYSTEM

SATISFIED WITH PRESENT APPRAISAL SYSTEM

P
25 22
E 21.5 20
R 20 19
18
C
15
E
N 10
T
A 5
G 0
E Highly Satisfied Neutral Dissatisfied Highly
satisfied dissatisfied
SATISFIED WITH PRESENT APPRAISAL SYSTEM
TABLE: 3.1.11 WORKING ENVIRONMENT THAT AFFECTS THE WORK

S.NO OPINION NO OF PERCENTAGE

RESPONDENTS
1 Highly satisfied 44 22
2 Satisfied 43 21.5
3 Neutral 40 20
4 Dissatisfied 38 19
5 Highly dissatisfied 35 18
TOTAL 200 100

INTERPRETATION:

The above table shows that 22% of respondents are highly satisfied with the feel of employee
work in the organization, 21.5% of respondents are satisfied, 20% of respondents are neutral,
19% of respondents are dissatisfied and 18% of respondents are highly dissatisfied with the feel
of employee work in the organization.

CHART: 3.1.11 WORKING ENVIRONMENT THAT AFFECTS THE WORK

WORKING ENVIRONMENT THAT AFFECT THE WORK

P 25
E 22 21.5 20
R 20 19
C 18
E 15
N
T 10
A
G 5
E
0
Highly Satisfied Neutral Dissatisfied Highly
satisfied dissatisfied
WORKING ENVIRONMENT THAT AFFECT THE WORK
 TABLE: 3.1.12 AWARENESS OF THE PERFORMANCE APPRAISAL PROCEDURE

S.NO AWARENESS NO OF RESPONDENTS PERECENTAGE

1 Fully aware 77 38.5
2 Partial aware 70 35
3 Unaware 53 26.5
TOTAL 200 100

INTERPRETATION:

From the above table we observe that 38.5% of the employees are fully awareness of
performance appraisal, 35% of the employees are partially awareness performance appraisal and
26.5% of the employees are unaware of performance appraisal.

CHART: 3.1.12 AWARENESS OF THE PERFORMANCE APPRAISAL PROCEDURE

AWARENESS OF THE PERFORMANCE APPRAISAL PROCEDURE

P 38.5
E 35
40
R 26.5
C 30
E
N 20
T 10
A
G 0
E Fully aware Partial aware Unaware
AWARENESS OF THE PERFORMANCE APPRAISAL PROCEDURE
 TABLE: 3.1.13 EMPLOYEE PREFER THE APPRAISAL SYSTEM

S.NO EMPLOYEE PREFER THE NO OF PERCENTAGE

APPRAISAL SYSTEM RESPONDENTS
1 Yearly 80 40
2 Half yearly 70 35
3 Quarterly 50 25
TOTAL 200 100

INTERPRETATION:

From the study it gives the clear picture that 40% of the respondents are yearly prefer the
appraisal system, 35% of the respondents are half yearly prefer the appraisal system, 25% of the
respondents are quarterly prefer the appraisal system.

CHART: 3.1.13 EMPLOYEE PREFER THE APPRAISAL SYSTEM

EMPLOYEE PREFER THE APPRAISAL SYSTEM

40
40
35
P 35
E
30
R
C 25 25
E
20
N
T 15
A 10
G
E 5
0
Yearly Half yearly Quarterly
EMPLOYEE PREFER THE APPRAISAL SYSTEM
 TABLE: 3.1.14 EVALUATION THE EMPLOYEE PERFORMANCE

S.NO EVALUATE THE NO OF RESPONDENTS PERCENTAGE

EMPLOYEE PERFORMANCE

1 By superior only 77 38.5

2 360 degree 70 35
3 By third parties 53 26.5
TOTAL 200 100

INTERPRETATION:

From the above table we observe that 38.5% of the employees are by superior only to evaluate
the employee performance, 35% of the employees are 360 degree to evaluate the employee
performance, and 26.5% of the employees are by third parties to evaluate the employee
performance.

CHART: 3.1.14 EVALUATE THE EMPLOYEE PERFORMANCE

EVALUATE THE EMPLOYEE PERFORMANCE

38.5
P 40 35
E
R 26.5
30
C
E
N 20
T
A 10
G
E
0
By superior only 360 degree By third parties
EVALUATE THE EMPLOYEE PERFORMANCE

TABLE: 3.1.15 APPRAISAL TO BE DONE

S.NO APPRAISAL TO BE DONE NO OF PERCENTAGE
RESPONDENTS
1 Superior 80 40

2 Self appraisal 70 35

3 Others 50 25
TOTAL 200 100

INTERPRETATION:

From the study it gives the clear picture that 40% of the respondents are superior to appraisal
should be done, 35% of the respondents are self appraisal to appraisal should be done and 25%
of the respondents are others to appraisal should be done.

CHART: 3.1.15 APPRAISAL TO BE DONE

APPRAISALTO BE DONE

40
40 35
P 35
E
30 25
R
C 25
E
20
N
T 15
A
10
G
E 5
0
Superior Self appraisal Others
APPRAISAL TO BE DONE
 TABLE: 3.1.16 REMEDIAL MEASURES

S.NO APPRAISAL TO BE DONE NO OF RESPONDENTS PERCENTAGE

1 Criticism 40 20

2 Demotion 40 20

3 Re-setting goals 70 35

4 Training 50 25

TOTAL 200 100

INTERPRETATION:

From the study it gives the clear picture that 20% of the respondents are criticism the appraisal
should be done by remedial measures, 20% of the respondents are demotion the appraisal should
be done by remedial measures, 35% of the respondents are re-setting goals the appraisal should
be done by remedial measures, 25% of the respondents are training the appraisal should be done
by remedial measures.

CHART: 3.1.16 REMEDIAL MEASURES

EMPLOYEE REMEDIAL MEASURES

35
35
P
E 30 25
R 25 20 20
C
E 20
N 15
T
A 10
G 5
E
0
Criticism Demotion Re-setting goals Training

EMPLOYEE REMEDIAL MEASURES

TABLE: 3.1.17 FACTORS INFLUENCING PERFORMANCE APPRAISAL SYSTEM
USING HENRY GARRET RANKING METHOD

SIZE FACTORS RIJ TOTAL RIJ-0.5 RIJ-0.5/NJ*100 RANK

1
Adaptability IV
410 409.5 204.75
2
Motivation II
800 799.5 399.5
3
Attendance I
1000 999.5 499.75
4
Communication III
600 599.5 299.75
5
V
Creativity 220 219.5 109.75

3030
TOTAL 3027.5 1513.5

INTERPRETATION

From the above ranking method that the respondents gave 1st rank for attendance, 2nd
rank for motivation, 3rd rank for communication, 4th rank for adaptability and 5th rank for
creativity in the factors influencing in performing appraisal system.
 TABLE: 3.1.18 WEIGHTED AVERAGE METHOD TABLE SHOWING REMEDIAL
MEASURES DONE TO POOR PERFORMING APPRAISEE

S.NO FACTORS HS S N DS HDS ∑Wx WAM=∑Wx/W RANK

1 Training 59 41 40 30 30 200 40 V

2 Counselling 295 205 200 150 150 1000 200 I

3 Personality 118 82 80 60 60 400 80 IV

development
4 Motivation 236 164 160 120 120 800 160 II

5 Promotion 177 123 120 90 90 600 120 III

INTERPRETATION:

From the above ranking method that the respondents gave 1st rank for counselling, 2nd rank
for motivation, 3rd rank for promotion, 4th rank for personality development and 5th rank for
training in the remedial measures done to poor performing appraise.
 TABLE: 3.1.19 CHI-SQUARE ANALYSIS JOB SATISFACTION AND AWARENESS
OF PERFORMANCE APPRAISAL SYSTEM

Hypothesis:

Null Hypothesis (Ho): There is no relationship between age and job satisfaction.

Alternate Hypothesis (H1): There is a relationship between age and job satisfaction.

Job Age
satisfaction Below 25 26-30 31-40 41-49 Above 50 Total
years
HS 28 17 12 5 0 62

S 20 13 12 7 0 52

N 20 11 8 5 0 44

DS 10 10 3 5 0 28

HDS 5 4 3 2 0 14

Total 83 55 38 24 0 200

Calculation of Chi-square:

∑ (Oi-Ei) ²

Chi- square t(x) = -------------

Ei
 Oi Ei Oi-Ei (Oi-Ei)² (Oi-Ei)²/Ei
28 10 18 324 32.4
20 10 10 100 10
20 10 10 100 10
12 10 2 4 0.4
17 10 7 49 4.9
17 10 7 49 4.9
11 10 1 1 0.1
11 10 1 1 0.1
10 10 0 0 0
14 10 4 16 1.6
10 10 0 0 0
10 10 0 0 0
5 10 -5 25 2.5
5 10 -5 25 2.5
5 10 -5 25 2.5
5 10 -5 25 2.5
10 10 0 0 0
4 10 -6 36 3.6
15 10 5 25 2.5
Total 80.5

Level of significance: 5%

Degree of freedom: V= (R-1) (C-1)

Calculated value > Table value

80.5 > 12.592

CONCLUSION:

From above analysis, we find that calculated value is greater than the table value i.e., null
hypothesis is accepted. So, there is association between job satisfaction and awareness of
performance appraisal system.
 CHAPTER-IV

FINDINGS, SUGGESTIONS & CONCLUSION

4.1 FINDINGS

SIMPLE PERCENTAGE ANALYSIS

 The above table shows that 60% of the respondents are Male, 40% of the respondents are
Female.
 The above table shows that 22% of the respondents are in the age group of below 25
years, 22% of the respondents are in the age group of 26 to 30 years, 20% of the
respondents are in the age group of 31 to 40 years, 19% of the respondents are in the age
group of 41 to 49 years, 17% of the respondents are in the age group of above 50 years.
 It shows from the above table that 22% of the respondents are educated at School and
others, 20% of the respondents are educated at under graduate level, 18% of the
respondents are educated at post graduate level, 19% of the respondents are educated at
diploma.
 From the above table it can be inferred that, the maximum percentage of 22% falls in the
category 5-10 years of experience, 19% of the respondents have experience of below 5
years, 20% of the respondents have experience of up to 11-15 years, 22% of the
respondents have experience of above 15 years, and 17% of the respondents falls under
below 1 year of experience.
 From the above table it can be inferred that 22% of the respondents are strongly agree
that there working condition with in the factory is satisfied, 17% of respondents said
agree respondents, 22% of respondents that they are neutral, 20% of respondents are
disagree and 18% of respondents are strongly disagree.
 From the above table it can be inferred that 22% of the respondents are satisfied with the
job satisfaction, 19% of respondents are highly satisfied, 22% of respondents that they
are neutral, 20% of respondents are dissatisfied and 17% of respondents are highly
dissatisfied.
 From the above table we observe that 38% of the employees having relations with peers
and managers are friendly, 35% of the employees having relations with peers and
 managers is senior, 27% of the employees having relations with peers and managers is
Higher officer.
 From the above table it can be inferred that 22% of the respondents are achieved 100% of
target, 20% of respondents are achieved 75% of target, 19% of respondents are achieved
50% of target, 22% of respondents are achieved 20% of target, 17% of respondents are
achieved below 20% of target.
 From the above table we observe that 38% of the employee chosen open type of
performance appraisal system, 35% of respondents chosen confidential type of
performance appraisal system and 27% of employee chosen both of performance
appraisal system.
 From the above table we observe that 22% of the employees are highly satisfied with the
satisfaction of present appraisal system, 21.5% of the employees are satisfied, 20% of the
employees are neutral, 19% of the employees are dissatisfied and 18% are highly
dissatisfied the satisfaction of present appraisal system.
 The above table shows that 22% of respondents are highly satisfied with the feel of
employee work in the organization, 21.5% of respondents are satisfied, 20% of
respondents are neutral, 19% of respondents are dissatisfied and 18% of respondents are
highly dissatisfied with the feel of employee work in the organization.
 From the above table we observe that 38.5% of the employees are fully awareness of
performance appraisal, 35% of the employees are partially awareness performance
appraisal and 26.5% of the employees are unaware of performance appraisal.
 From the study it gives the clear picture that 40% of the respondents are yearly prefer the
appraisal system, 35% of the respondents are half yearly prefer the appraisal system, 25%
of the respondents are quarterly prefer the appraisal system.
 From the above table we observe that 38.5% of the employees are by superior only to
evaluate the employee performance, 35% of the employees are 360 degree to evaluate the
employee performance, and 26.5% of the employees are by third parties to evaluate the
employee performance.
 From the study it gives the clear picture that 40% of the respondents are superior to
appraisal should be done, 35% of the respondents are self appraisal to appraisal should be
done and 25% of the respondents are others to appraisal should be done.
  From the study it gives the clear picture that 20% of the respondents are criticism the
appraisal should be done by remedial measures, 20% of the respondents are demotion the
appraisal should be done by remedial measures, 35% of the respondents are re-setting
goals the appraisal should be done by remedial measures, 25% of the respondents are
training the appraisal should be done by remedial measures.

WEIGHTED AVERAGE METHOD

 From the above ranking method that the respondents gave 1st rank for counselling, 2nd
rank for motivation, 3rd rank for promotion, 4th rank for personality development and 5th
rank for training in the remedial measures done to poor performing appraise.

CHI-SQUARE ANALYSIS

 From above analysis, we find that calculated value is greater than the table value i.e., null
hypothesis is accepted. So, there is association between job satisfaction and awareness of
performance appraisal system.

HENRY GARRET RANKING METHOD

 From the above ranking method that the respondents gave 1st rank for attendance, 2nd
rank for motivation, 3rd rank for communication, 4th rank for adaptability and 5th rank for
creativity in the factors influencing in performing appraisal system.
4.2 SUGGESTIONS

 Monthly self appraisal system is helpful to improve the performance of the

employees.
 Introduction of new awards and incentive system will help to increase the
performance level of the employees.
 Management must gather the information about the performance of the employees,
how every person who must have contact concerned employees regarding the style of
relationship, while assessing the performance of the employees.
 Usage of 360 degree performance feedback system that incorporates feedback from
the employees peers, customer and people who may report to him has to be
implemented.
 Management has analysed the employees performance based upon attendance. So the
workers are motivated to come regularly.
4.3 CONCLUSION

The present study is done sunrise Lungie Company, komarapalayam. The main objective of
the study is to understand the present performance appraisal system of the organization. From the
study it has been found that the organization has very pleasant and peaceful working
environment in which the employees perform very well in the organization. While some of the
employees are not willing to comment on the salary system followed by the organization. Few of
the employees expressed their dissatisfaction, usage of 360 degree feedback may help to increase
the performance level of the employees and develop a good performance management system,
monthly review system and self- appraisal will help to keep the good performance appraisal
system in short sunrise lungie company have good human resource development.
 BIBLIOGRAPHY

1. Biswajeet pattanayak (2005), Human Resource Management, Prentice – Hall of India Private
Limited, New Delhi, 15th Edition.

2. C.B. Memoria (2000), Human Resource Management, Himalaya Publishing House, 12th
Edition.

3. Gary Dessler (2004), Human Resource Management, Prentice – Hall of India Private
Limited, New Delhi, 18th Edition.

4. Stephen P. Robbins (2000), Organizational Behaviour, Prentice – Hall of India Private

Limited, New Delhi, 19th Edition.

5. C.R.Kothari (2004), Research Methodology, New Age International (P) Limited Publishers,
2nd Edition.

6. Donald L.Mc.Burney (2002) Research Methodology, Thomson Asia Private Limited,

Singapore, 5th Edition.

WEBSITES:

 www.hrresources.com
 www.google.com
 www.mbajunction.com
 www.hr-guide.com
 www.sunriselungie.com
 “A STUDY ON PERFORMANCE APPRAISAL OF EMPLOYEES

WITH SPECIAL REFERENCE TO SUNRISE LUNGIE COMPANY,

KOMARAPALAYAM”

QUESTIONNAIRE

1. Name :

2. Gender :

(a) Male (b) Female

3. Age.

(a) Below 25 (b) 26-30 (c) 31-40 (d) 41-49 (e) 50 above

4. Educational qualification.

(a) HSC (b) SSLC (c) UG (d) Diploma (e) others

5. Experience.

(a) 0-1 years (b) 1-5 years (c) 5-10 (d) 10-15 (e) above

6. Are you able to work efficient among the total hours given to you?

(a) Strongly agree (b) Agree (c) Neutral (d) Disagree (e) Strongly disagree

7. How do you feel in working with this organization?

(a) Highly satisfy (b) Satisfy (c) Neutral (d) Dissatisfy (e) Highly dissatisfy

8. How do you feel to work with peers and managers?

(a) Friendly (b) senior (c) Higher officer

9. Have your achieved the target that has assigned to you give your opinion.

(a) 100% (b) 75% (c) 50% (d) 20%

10. Which type of performance appraisal system is done in your system?

(a) Open type (b) confidential (c) both

11. Are you satisfied with present appraisal system?

(a) Highly satisfy (b) satisfy (c) Neutral (d) dissatisfy (e) Highly dissatisfy

12. To what extent the working environment has its effect on your work.

(a) Highly satisfy (b) satisfy (c) Neutral (d) dissatisfy (e) Highly dissatisfy

13. At what extent you are aware of the procedure of performance appraisal system in your
organization.

(a) Fully aware (b) partially aware (c) unaware

14. How do you prefer the appraisal system?

(a) Yearly (b) Half yearly (c) Quarterly (d) on promotion

15. How would you like to evaluate the employee performance?

(a) By superior only (b) 360 degree (c) By third party

16. According to you the appraisal should be done by

(a) Superiors (b) Subordinates (c) Self- appraisal (d) all the above

17. In case poor rating, is done on an employee what are the remedial measures that management
should do.

(a)Criticism (b) Demotion (c) Resetting goals (d) Training

18. Rank the remedial measure which the management done to poor performing.

S.NO REMEDIAL MEASURES RANK

1. Training
2. Counselling
3. Personality development
4. Motivation
5. Promotion

19. Which factors influencing the performance appraisal system?

S.NO FACTORS RANK

1. Adaptability
2. Motivation
3. Attendance
4. Communication
5. Creativity

20. Give your valuable suggestion to improve the performance appraisal system.
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