Final - Project Report - Aqib Javeed

A PROJECT REPORT ON
“A STUDY ON EFFECTIVENESS OF PERFORMANCE APPRAISAL

AT JS COFFEE CURING CHIKMANGALUR”
Dissertation submitted in partial fulfilment of the requirements for the

award of the Degree of MASTER OF BUSINESS ADMINISTRATION
Of
BANGALORE UNIVERSITY
By
AQIB JAVEED
Reg. Number: 19SLCMD007
Under the guidance of
DR. M SUREKHA
ASSOCIATE PROFESSOR
THE OXFORD COLLEGE OF BUSINESS MANAGEMENT
HSR LAYOUT, BANGALORE-102
1
DECLARATION BY THE STUDENT
I hereby declare that “A STUDY ON EFFECTIVENESS OF PERFORMANCE

APPRAISAL AT JS COFFEE CURING CHIKMANGALUR” is the result of the work
carried out by me under the guidance of Dr. M SUREKHA in partial fulfilment of the award
of Master’s Degree in Business Administration by Bangalore University.
I also declare that this project is the outcome of my own efforts and it has not been submitted
to any other university or Institute for the award of any other degree or diploma or certificate.
Place: Bangalore Aqib Javeed

Date: Reg no:19SLCMD007
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ACKNOWLEDGEMENT
The successful completion of any task would be incomplete without mentioning the people
who made it possible and whose constant guidance and encouragement secured us as and our
success.
I thank my guide, Dr. M SUREKHA Associate Professor, The Oxford College of Business
Management, who spared her time and gave me practical suggestion and guidance throughout
this study.
I extend my gratitude to our Principal Dr. NIKITHA ALUR for his kind support and help for
the study.
I would like to acknowledge my sincere gratitude for the constructive guidance and
encouragement I received from all the faculty members of The Oxford College of business
management, affiliated to Bangalore University throughout the completion of my study.
I would like to thank my parents and friends who helped me to complete this project
successfully.
AQIB JAVEED
[19SLCMD007]
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CERTIFICATE OF ORIGINALITY
Date:
This is to certify that the Project titled “A STUDY ON EFFECTIVENESS OF

PERFORMANCE APPRAISAL AT JS COFFEE CURING
CHIKMANGALUR” is an original work of Mr. Aqib Javeed bearing
University Register Number 19SLCMD007 and is being submitted in partial
fulfilment for the award of the Master’s Degree in Business Administration of
Bangalore University. The report has not been submitted earlier either to this
University /Institution for the fulfilment of the requirement of a course of study.
Mr. Aqib Javeed is guided by Dr M SUREKHA who is the Faculty Guide as per
the regulations of Bangalore University.
Signature of student Signature of Guide
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BANGALORE UNIVERSITY
Certificate of Originality (Plagiarism)
Name of the student: Aqib Javeed
Registration Number: 19SLCMD007
Title of Project: “A STUDY ON EFFECTIVENESS OF PERFORMANCE APPRAISAL AT

JS COFFEE CURING CHIKMANGALUR”
Name of the Guide : Dr M SUREKHA
Similarity Index (%) identified :
(Acceptable maximum limit of similarity 25%)
Project ID number in DRILLBIT :
The Project report has been checked using Turnitin anti-plagiarism Software and found
within limits as per plagiarism Policy and Instructions issued by the UNIVERSITY.
We have verified the contents of the Project report, as summarized above and certified that
the statements made above are true to the best of our knowledge and belief.
Student signature Guide signature
5
“A STUDY ON EFFECTIVENESS OF PERFORMANCE APPRAISAL AT JS COFFEE CURING
CHIKMANGALUR”
TABLE OF CONTENTS
Sl.no Contents Page No

1. Introduction 11
2. Scope and objectives 20
3. Review of literature 22
4. Research methodology and data interpretation 44
5. Findings, Conclusion and Recommendations 70
6. Bibliography 73
7. Appendix 74
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LIST OF TABLES
TABL TITLE OF TABLES PAGE

E NO NO
4.1 Table is showing respondents based on Age group 46
4.2 Table is showing respondents based on Executive Level 47
of appraisal
4.3 Table is showing respondents based on Educational 47
Qualification
4.4 Table is showing respondents based on Service details 49
4.5 Table is showing respondents based on System of 50
appraisal
4.6 Table is showing respondents based on Mode of 51
appraisal
4.7 Table is showing respondents based on Frequency of 52
Performance appraisal
4.8 Table is showing respondents based on Number of raters 54
for every rate
4.9 Table is showing respondents based on Mode of 55
assessment
4.10 Table is showing respondents based on Awareness of the 56
Performance appraisal evaluation
4.11 Table is showing respondents based on Executive 58
awareness about the areas testes during appraisal
4.12 Table is showing respondents based on Number of 59
factors required for job
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4.13 Table is showing respondents based on case of law 60

appraisal
4.14 Table is showing respondents based on Opinion on self- 62
appraisal
4.15 Table is showing respondents based on Opinion on 63
Downward appraisal
4.16 Table is showing respondents based on Training related 65
performance appraisal
4.17 Table is showing respondents based on Opinion on the 66
present system
4.18 Table is showing respondents based on Frequency of the 67
evaluation
4.19 Table is showing respondents based on Need for the 69
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LIST OF GRAPHS
Grap Title of Graph Page No

h No
4.1 Graph is showing respondents based on Age group 46
4.2 Graph is showing respondents based on Executive 47

Level of appraisal
4.3 Graph is showing respondents based on Educational 48
Qualification
4.4 Graph is showing respondents based on Service details 49
4.5 Graph is showing respondents based on System of 51
appraisal
4.6 Graph is showing respondents based on Mode of 52
appraisal
4.7 Graph is showing respondents based on Frequency of 53
Performance appraisal
4.8 Graph is showing respondents based on Number of 54
raters for every rate
4.9 Graph is showing respondents based on Mode of 55
assessment
4.10 Graph is showing respondents based on Awareness of 57
the Performance appraisal evaluation
4.11 Graph is showing respondents based on Executive 59
awareness about the area’s testes during appraisal
4.12 Graph is showing respondents based on Number of 60
factors required for job
4.13 Graph is showing respondents based on case of law 61
appraisal
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4.14 Graph is showing respondents based on Opinion on 63

self-appraisal
4.15 Graph is showing respondents based on Opinion on 64
Downward appraisal
4.16 Graph is showing respondents based on Training 65
related performance appraisal
4.17 Graph is showing respondents based on Opinion on the 67
present system
4.18 Graph is showing respondents based on Frequency of 68
the evaluation
4.19 Graph is showing respondents based on Need for the 70
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CHAPTER-1
INTRODUCTION
Introduction
The performance appraisal is the process of obtaining, analyzing and recording information
about the relative worth of an employee. The focus of the performance appraisal is measuring
and improving the actual performance of the employee and also the future potential of the
employee. Its aim is to measure what an employee does.
Performance Appraisal are regular reviews of employee performance within an organization.

Generally, the aims of a performance appraisals are too:
 Give feedback on performance to employees.

 Identify employee training needs.
 Document criteria used to allocate organizational rewards.
 Form a basic for personnel decisions salary increase, promotions, disciplinary actions
etc.
 Provide the opportunity for organizational diagnosis and development.
 Facilitate communication between employee and administration.
It is a powerful tool to calibrate, refine and reward the performance of the employee. It helps
to analyze his achievements and evaluate his contribution towards the achievements of the
overall organizational goals. By focusing the attention on performance, performance
appraisal goes to the heart of personnel management and reflects the management’s interest
in the progress of the employees.
People differ in their abilities and their aptitudes. There is always some difference between
the quantity and quality of the same work on the same job being done by two different
people. Therefore, performance management and performance appraisal is necessary to
understand each employee’s abilities, competencies and relative merit and worth to the
organization.
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Performance appraisal rates the employees in terms of their performance. Performance

appraisal takes into account the past performance of the employees and focusses on the
improvement of the future performance of the employees.
INTRODUCTION TO HUMAN RESOURCE MANAGEMENT
Human resource management (HRM) is a management function that helps mangers to recruit,
select, train and develop members for an organization. HRM is concerned with the people’s
dimension in organizations. Human Resource Management is both an academic theory and a
business practice that addresses the theoretical and practical techniques of managing a
workforce.
PERFORMANCE APPRAISAL:
Performance appraisal is defined as the process of assessing the performance and progress of
an employee or a group of employees on a given job and his / their potential for the future
development. It consists of all procedure used in working organization and potential of
employees.
Performance appraisal means systematic evaluation of the personality and performance of

each employee by his superior or some other persons trained in the technique of merit rating.
It employs various ratings technique for comparing individual employees in a work group, in
terms of personnel qualities or deficiencies and the requirements of their respective jobs.
DEFINITION
According to Dale Yoder, "Performance appraisal includes all formal procedure used to
evaluate personalities and contributions and potential of group members in a working
organization. It is a continuous process to secure information's necessary for making
corrections and objective decisions of employees".
According to Filippo, "Performance appraisal is the systematic, period and an importance

rating of an employee's excellence in matters pertaining to his present job and his potential
for a better job".
CHARACTERISTICS
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 Performance appraisal is a process.

 It is the systematic examination of the strength and weakness of employees during the
term of his job.
 It is a scientific and objective study. Formal procedure is used in the study.
 It is an ongoing and continuous process wherein the evaluations are arranged
periodically according to a definite plan.
 The main purpose of performance appraisal is to ensure information necessary for
making objectives and correct decision an employee.
PERFORMANCE APPRAISAL PROCESS:
1. ESTABLISH PERFORMANCE STANDARDS:
Appraisal systems require performance standards, which serve as benchmarks against which
performance is measured. In order to be useful, standards should relate to the desired results
of each job. Appraisals must have a clear- cut criteria. Performance standards must be both to
the appraiser and the appraisee. The performance standards of goals must be developed after
a thorough analysis of the job. Goals must be written down. They must be measurable within
certain time and cost considerations.
2. COMMUNICATE THE STANDARDS:
Performance appraisal involves attract two parties; the appraiser who does the appraisal and
the appraise. whose performance is being evaluated. Both are expected to do certain things.
The appraiser should prepare job descriptions clearly, help appraise set his goals and targets;
analysis results objectively; offer coaching and guidance to appraise whenever required and
reward good results. The appraiser should be very clear about what he is doing and why he is
doing. For this purpose, the performance standards must be communicated to appraise and
their reactions are noted initially. These standards must be revised or modified as and when
required.
3. MEASURE ACTUAL PERFORMANCE:
After the performance standards are set and accepted, the next step is to measure actual
performance. This requires the use of dependable performance measures, the ratings used to
evaluate performance. Performance measures in order to be helpful must be easy to use,
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reliable and report on the critical behaviors that determine performance. Generally, managers
regarding how to measure actual performance use four common sources of information:
personal observation, statistical reports, oral reports and written reports
4. COMPARE ACTUAL PERFORMANCE WITH STANDARDS AND DISCUSS THE

APPRAISAL:
Actual performance may be better than expected and sometimes it may even go off the track.
The assessment of another person's contribution and ability is not an easy task. It has serious
emotional overtones as it affects the self-esteem of the appraise. Any appraisal asked on
subjective criteria is likely to be questioned by the appraisers and leave him quite dejected
and unhappy when the appraisal turns out to be negative.
5. TAKING CORRECTIVE ACTION, IF NECESSARY:
Corrective action is of two types: The one, which puts out the fires immediately and the other
one, which strikes at the root of the problems permanently. Immediate action sets things right
and get things back or track, whereas the basic corrective action gets to the source of
deviations and seems to adjust the difference permanently. Basic corrective step seek to find
out how and why performance deviate.
OBJECTIVES:
Performance appraisal is resource to determine the increase to pay and employees escalation
on higher pay jobs. The main aims of conducting performance appraisal can be classified as
follows.
Work Related Objectives:
 To improve efficiency.
 To help in maintaining the standard and quality of work expected by an employee
through periodic checks.
 To let the employees, know where they stand in the organization with the regards to
their respective work performance.
 To carry out job evaluation.
 To help management to place employees according to their capacity interest aptitude
and qualifications.
 To provide coaching, counselling, career planning and motivation to employees.
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 Career Development Objectives:

 To determine career objectives.
 To plan career goals.
 To effect promotion-based competence and performance.
 To assess the training and development needs of employees.
 To help in designing the training programmers in the areas in which an employee’s
performance is not up to the mark.
 To highlight the strength and weakness of an employees.
Communication Objectives:
 To clearly establish goals i.e., what is expected of the employees in terms of

performance and future work assignments.
 To improve communication between superior and the subordinates.
 Organizational Objectives:
 To determine whether the HR programs such as selection training and transfers have
been effective or not (i.e., helps in keeping a check on staffing capabilities of the
organization).
 To serve as abasis for promotion or demotion.
 To decide upon a pay rise where regular pay scales have not been fixed.
 To help in fixing an employee’s compensation packet.
 Reduction in staff strength.
IMPORTANCE OF PERFORMANCE APPRAISAL
Performance appraisal provides important and useful information for the assessment of
employee's skill, knowledge, ability and overall job performance. The following are the
points which indicate the importance of performance appraisal in an organization:
 Performance appraisal helps supervisors to assess the work performance of their

subordinates.
 Performance appraisal helps to assess the training and development needs of
employees.
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 Performance appraisal provides grounds for employees to correct their mistakes, and
it also provides proper guidance and criticism for employee's development.
 Performance appraisal provides reward for better performance.
 Performance appraisal helps to improve the communication system of the
organization
 Performance appraisal evaluates whether human resource programs being
implemented in the organization have been effective.
 Performance appraisal helps to prepare pay structure for each employee working in
the organization.
 Performance appraisal helps to review the potentiality of employees so that their
future capability is anticipated.
BENEFITS AND USES OF PERFORMANCE APPRAISAL:
The important benefits and uses which justify the existence of a system of performance
appraisal in an organization are as follows.
An effective system of performance appraisal helps the superior to evaluate the performance
of his employees systematically and periodically, it helps in the placement of the employees
on the job for which they are best suited.
The results performance appraisal may be used by the superior in constructively guiding the
employees in the efficient performance of their jobs.
Performance appraisal provides the management an objective basis for discussing salary
increase and special increments of the staff.
When achievements recognized and rewarded on the basis of objective performance

measures, there is improvement I work environment.
Performance appraisal provides an incentive to the employees to better their performance in a

bid to improve their rating over others.
Systematic appraisal of performance helps to develop confidence among employees. It will

prevent grievances, if the employees are convinced of the impartial basis of the evaluation.
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EXAMPLES OF PERFORMANCE APPRAISAL GOALS
Appraisal goal setting is the first step to creating an impactful performance evaluation
process that helps organizations retain and nurture the best talent. Here are a few examples of
performance appraisal goals:
EFFICIENCY GOALS
Managers set efficiency goals to measure whether an employee is executing a task in the
correct way with minimum wastage of time and effort. Efficiency goals help employees
reduce errors in work and achieve more in less time without compromising on quality.
Asking an employee to earn 10% more revenue from outside sales in a particular month is an
example of an efficiency goal
COLLABORATION GOALS
Collaboration and teamwork in the workplace can not only stimulate productivity but also
reduce costs, save time and foster a sense of camaraderie among coworkers. Collaboration
goals are intended to bring complementary skill sets together and create a harmonious
working environment. Employees are able to share knowledge and learn from one another.
Examples of collaboration goals include asking an employee to work with their colleague to
prepare a detailed customer segment analysis within a week.
WORKFLOW GOALS
Workflow goals are any goals that result in the successful completion of a project or
assignment. Such goals can focus on customer needs, domain expertise or software use.
Asking an employee to familiarize themselves with the technicalities of the new software on
board is an example of a workflow goal.
PROFESSIONAL DEVELOPMENT GOALS
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To stay relevant in a highly competitive business environment, employees must consistently

keep up with the latest developments and best practices in their field. Professional
development goals help employees polish existing skills, stay up-to-date and increase their
competency in the workplace. Examples of such goals include concentrating on developing a
particular skill over a set time frame, completing a training course within a specified period
or taking on new responsibilities in the organization.
PERSONAL DEVELOPMENT GOALS
Foundational skills such as communication, leadership or problem-solving, adaptability,

decision-making and eagerness to learn can be as effective as technical skills in ensuring
employee success and organizational growth. Personal development goals focus on soft
skills, allowing employees to track their own progress over time, maximize potential,
improve working relationships and grow as an individual. Common personal development
goals are nurturing active listening ability, developing emotional resilience or improving
people skills.
As these examples of performance appraisal goals show, powerful appraisal goals translate to
improved workforce performance. It’s imperative for organizations to set strategic and
engaging goals to refine their performance appraisal process and drive profitability.
IMPORTANCE OF APPRAISAL GOAL SETTING
Establishing definite performance appraisal goals is important in more ways than one. It
benefits both organizations and their employees, setting the stage for effective workplace
communication and promoting transparency. Here’s why appraisal goal setting is important:
1. MOTIVATES EMPLOYEES
Appraisal goal setting is a great opportunity to keep employees motivated and invested in the
work they do. Without proper appraisal goals to guide them, employees may lose confidence,
which hampers productivity. Purpose-driven employees are more efficient, they understand
how their personal goals fit into the bigger picture and can push themselves to reach the
required levels.
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2. TIME MANAGEMENT
In a competitive business environment, time is of the essence. With definite performance

appraisal goals in place, employees can effectively manage their time, learning to prioritize
tasks and keep distractions at bay. This helps them stay on track and complete projects on
schedule.
3. A MEASURE FOR PROGRESS
Managers measure employee progress against a set of predetermined performance appraisal

goals and objectives. It gives them a clear picture of employee productivity, deviations from
expectations and factors hindering progress, if any. It also highlights the effectiveness of the
appraisal system, allowing managers to fine-tune the process if necessary.
4. CREATES A PAPER TRAIL
An organization usually documents the performance appraisal goals it sets and the feedback
received during the employee evaluation process. These documents serve as legal evidence
that employees were aware of the expected standards of their job. The organization is able to
demonstrate that all promotion and/or termination decisions were made based solely on
performance and were free from bias or discrimination. Such documents can also help
managers develop a performance improvement plan for employees under review.
Setting performance appraisal goals guides employees, keeps them focused and improves job
satisfaction. All of this results in reduced turnover rate and better profitability for the
organization.
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CHAPTER -2
SCOPE AND OBJECTIVES
SCOPE OF THE STUDY
 The study covers employees of JS Coffee Curing Works, Chikamagalur.

 The study effectiveness of performance appraisal system is the area based on employees
of the organization.
 The sample size of 50 employees was selected at random from all departments.
OBJECTIVES OF THE STUDY
 To study the existing appraisal system at JS Coffee Curing Works.

 To study the factors influencing performance appraisal system.
 To know the employee’s perception towards Performance Appraisal.
STATEMENT OF THE PROBLEM
Today’s working climate demands a great deal of commitment and effort from employees,
who in turn naturally expect a great deal more from their employers. Performance appraisal is
designed to maximize effectiveness by bringing participation to a more individual level in
that it provides a forum for consultation about standards of work, potential, aspirations and
concerns. It is an opportunity for employees to have significantly greater influence upon the
quality of their working lives. In these times of emphasis on “quality”, there is a natural
equation: better quality goods and services from employees who enjoy better quality “goods
and services” from their employers.
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Performance appraisal is a process of assessing, summarizing and developing the work

performance of an employee. In order to be effective and constructive, the performance
manager should make every effort to obtain as much objective information about the
employee's performance as possible. Low performance can push the organization back in
today’s tough competition scenario. The project is aimed at analyzing the performance
appraisal in JS Coffee Curing Works, Chikmagalur.
LIMITATIONS OF THE STUDY
 Time constraint limited.

 Limits the study in case of personal interview method.
 Some responses from respondents may be biased.
 The management did not agree to disclose all the confidential data.
 Understanding the behavior of the people is difficult.
 Communication problem while taking opinion of the employee.
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CHAPTER -3
REVIEW OF LITERATURE
INDUSTRY PROFILE
COFFEE INDUSTRY:
The coffee industry of INDIA is one of the largest producers of coffee in the world,
accounting for over four percent of world coffee production with the bulk of all production
taking place in its southern states, India is the most noted for its monsoon Malabar variety. Is
believed that coffee has been cultivated in India longer than anywhere outside of the Arabian
Peninsula.
Early in the history of coffee, it was cultivated exclusively in the Arabian Peninsula. To
maintain this monopoly on coffee production the Arabian’s forbade the export of coffee
beans that has been roasted or boiled enough to prevent germination. However, in the 17 th
century BABABUDAN, an Indian Pilgrim to Mecca, struggled seven coffee beans back
home to India.
There he planted the beans in the Mysore regions, establishing the 1st coffee plantation in
Indian begin to grow coffee for export.
In the mid- 19thcentaury, coffee rust reached, Indian and began infecting the Arabian trees by
1869, the rust had become en epidemic. As a reaction to this, many of the farmers replaced
the Arabian trees with Robusta. These more resistant trees are still commonly grown in India.
Coffee produced in India more in commonly with Indonesia coffees than with coffees from
Arabian or the Arabian Peninsula. Good Indian Coffees are grown in the states of
KARNATAKA, KERALA, and TAMILNADU. Yearly these coffees can contain acidity
typical coffees, and the full of a good JAWANESE coffee, in addition, theses coffees
incorporate the unique spicy flavors of nurturing, clove, cardamon and pepper.
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India also produces monsoon coffees, in which the green beans have been exposed to the
monsoon winds blowing through open warehouses daring India’s rainy season. This process
reduces acidity and enhances sweetness. Making then similar to Indonesia aged coffee.
The coffee plant prefers the cool, moist, frost- free climate found at higher attitudes in the
tropics and subtropics. Optimum growing conditions include: temperature about 75F (24 C);
Well- distributed annual rainfall of about 50 in. (127 cm) with a short dry season; and fertile
deep, well drained soil, especially of volcanic origin. While coffee can be grown from sea
level to c.6,000ft (1830 m), and Robusta is produced at low elevations in West Africa, the
better Arabian grades are generally produced above 1500ft (460 m), strong limits coffee
production; coffee is often grown in the shelter of taller tress. A coffee tree yields it
maximum sometime between its fifth and tenth year and may bear for about 30 years.
Coffee owes its popularity in the part to the simulative effect of its caffeine constituent
caffeine, a bitter alkaloid, can also contribute to irritability, depression, diarrhea, insomnia,
and other disorders. Decaffeinated coffees, developed in the early 1900s, account forc.18/ of
U.S. MARKET. For those without the time or the inclination to brew their own, there are
instant or soluble coffees, introduced in 1867, which account for c.17/of U.S. coffee sales.
T. R. Manoharan (2011) has written In this article authors have discussed that they have
noticed that in many organizations appraisal systems are: (a) not relevant to organizational
objectives, (b) subject to personal bias, and (c) are often influenced more heavily by
personality than by performance.
Eichel and Bender el al., (2011) Over the past quarter century, the purpose of performance
appraisal has shifted from tools supporting the activities of management to an increasing
trend towards personnel development.
Wanna et al., (2011) the objective of staff appraisals as “to improve planning and service
delivery at the general level, but also to provide feedback to individual officers.
Chowdhury et al., (2011) states that a number of state-controlled banks in India are
transforming their PASs. For instance, State Bank of India has in recent times taken on an
open model of assessment and its branches are possibly going to do same.
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Kumar et al., (2011) From the time of the rebirth of trade and industry at a worldwide scale in
India, PA has been used widely in improving the skills of staff and establishments due to its
acceptance in numerous establishments.
Sing and Vadivelu et al., (2011) research on the formal and informal enterprises and offshore
financial institutions in India, intended to ascertain the validity of the present PA scheme. The
survey revealed a strong relationship between evenhandedness in PA scoring and
contentment of employees in general.
Rohan et. al., (2012) on PA schemes in the service and industrial domain in India that
indicated that exceptional PA processes result in improved output of workers. In spite of the
popularity of modern PAs, PSBs seem to prefer the established processes of evaluation of
workers.
Churchill et al., (2012) Appraisals are generally considered to have a positive influence on
performance, hut they also may have a negative impact on motivation, role perceptions, and
turnover when they are poorly designed or administered.
Sanyal, M. K., & Biswas, S. B. et al., (2014) Ever since globalization and trade openness,
India has encouraged foreign IT firms to venture into Indian economy and at the same time
has allow to certain extent host country cultural influences in Indian economy.
Rani, L., Kumar, N., & Kumar, S. et al., (2014) focuses on the practice and application of
360 degree in the selected banks and the effect of this appraisal method on employee
satisfaction and motivation level. The result of this research shows that there is a positive
correlation between the 360-degree appraisal technique and the other tested variables
therefore suggesting, this method is widely accepted by the employees.
Sudin, S. el at., (2014) Performance appraisal tool frequently subject to criticism, hence there
are research carried out to explore the relationship between perceived fairness of performance
appraisal and employee’s satisfaction. The perceived fairness is an imperative instrument that
affects the motivation level of employees.
Varma, A., Pichler, S., & Srinivas, E. S.et al., (2015) The employees in India are often
concerned with their personal relationships with their superior rather than the actual job
performance itself. Moreover, they also always rely on the superior to solve their problems.
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Ratnam C. S et al., (2015) however sees the appraisal process as fundamental to the success
of organizational change initiatives citing the work of the “powerful formative effects (of
performance management) on the organisational power structure, on the workforce skill
profiles and on corporate culture.
Mohan Singh et al., (2015) is concerned with three possible measures namely assessing
results, behaviors, and personal characteristics. Each dictates a specific type of appraisal
format based on competency or job-related behavior.
Azar, A., & Sadeghi, A et al., (2015) The performance appraisal process itself should be
carefully designed by integrating organization’s objective and goals since it is as well used as
a means of providing feedback to further motivate and maximize the performance of the
employees to achieve the expected results.
Sanjay Karak et at., (2015) Performance appraisal must be frequently given to an employees’
behaviour or maintain a great standard of excellence. Employees need feedback on how well
they are doing. They must accurately perceive the consequences of their efforts be able to set
the goals on the basis of the feedback.
Kona Yashoda et al., (2016) detailed the elements of an Ideal Performance Appraisal System.
The important elements are job descriptions, performance expectations, compensations,
disciplinary policies and commendations. She described globally trending models like Team
Performance Appraisal, 360 Degree Appraisal, Rank and Yank strategy, the new model and
real-time feedback.
Sameera Begum, K. Sarika & G. Sumalatha et al., (2016) compared performance both public
& private sector as a whole based on the parameters like two-way communication between
appraise and appraiser, feedback system in which peers, Superiors, and Junior Employees
give feedback to every employee, adopting technologies, monetary and non-monetary
benefits, job security, Leave Management System as well as Process of Recruitment &
Selection.
Amit Hole and Dr. Ashutosh Misal et al., (2016) found out Employees who work related with
sale of insurance policies in private sector general insurance companies is performing good
than employees who work related with sale of insurance policies in public sector general
insurance companies.
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Sanjita Tendon et al., (2017) concluded that Performance Appraisal is more effective in
private sector than public sector by conducting z-test. She suggested to utilize numerical
ratings. Training is essential for appraiser biases to be reduced. Moreover, she tells an
employee is selected, trained and motivated and finally appraised for the performance.
Mohammed et. al., (2017) depict developmental PA as every attempt aimed at improving
knowledge and workplace ethics to make workers perform better.
Sheelam and Ravindran’s et al., (2017) Over the past quarter century, the purpose of
performance appraisal has shifted from tools supporting the activities of management to an
increasing trend towards personnel development.
Dipak Kumar. Bhattacharyya et al., (2018), suggested that multi-source review should not be
utilized as the only form of appraisal. Even though it has a multiple advantage, there are a
various limitation. It is not suitable to exploit it for performance appraisal which is linked to
pay and promotion, but can be used as a developmental tool.
Kanungo and Mendonca et al., (2018) who emphasize that in India, workers consider their
ties with their supervisors more important than the requirements of their tasks. What is more,
they maintain a dependency on their supervisors in their personal affairs.
Neeti and Santosh .C et al., (2018) studied that employees have good knowledge of
performance appraisal and have a positive attitude towards it as their promotion is purely
based on performance appraisal and the ratings help to fix increments. During the course of
study suggestions came from the employees for the need of counselling. Performance
appraisal should be made more transparent and rationale.
Sayantani G, Niladri .D et al.,(2019) studied the impact of performance reward systems

mainly Performance Related Pay, the role of resources in influencing educational outcomes
and the reliability of existing methods of assessing educational performance.
Mohan R. et al., (2019) hold the view that performance appraisal is the systematic
observation, evaluation and description of work-related behavior. By this, an employee is
observed from time to time by critically considering what knowledge, ability and skills he
uses to accomplish.
Narayana. D et al (2019) Believes that performance appraisal is based on the principle of

management by agreement or contract rather than management by command. It can in fact
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play a major role of providing for an integrated and coherent range of human resource
management processes which are mutually supportive and contribute as a whole to improving
organizational effectiveness.
Malik et al, (2019), explained employee satisfaction with work as the degree to which an
employee likes his or her job. In simple words it can be said as the likening ness to the job
that motivates the employees to be present at their work places and carry out tasks to
accomplish goals. Whereas employee performance appraisal system can be better understood
as Alternate words used for this concept may be employee appraisal, performance review,
career development discussion etc.
2020 TOP 20 COFFEE PRODUCERS:
RANK COUNTRY TONNES BAGS

1 BRAZIL 2598000 48095
2 VIETNAM 6000 19467
3 COLOMBIA 801000 9129
4 INDONESIA 700000 8523
5 ETHOPIA 400000 5033
6 INDIA 350000 7500
7 HONDURAS 348000 3986
8 UGANDA 288000 3950
9 MEXICO 253800 4850
10 GUATEMALA 229368 4326
11 HONDURAS 162000 3790
12 IVORY AND 100000 982
COAST
13 COSTA RICA 97305 1588
14 SALVADOR 97273 1859
15 NISARGUA 78712 1804
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16 VENEZUELA 72200 1205

17 PAPUA NEW 67200 870
GUINEA
18 CAMBODIA 66584 608
19 KENYA 42000 658
20 TANZANIA 40020 800
COMPANY PROFILE:
The JS Coffee Curing Works was incorporated on 23- Nov-1965 under the companies act
2013 in JS House, JS road, Colaba in Mumbai 400 001, Maharashtra. Its CIN is
U15492KA1963PTCO47035 and its registration number 47035.
The JS Coffee Curing Works annual production is 20000 tons of processed coffee beans per
annum and it plays an important role of manufacturing cultivator and exporter its type of
business is coffee processing plant. JS Coffee Curing is categorized as non- government or
Private Company located in Karnataka.
Its present CEO and promoter is Syed Junaid and shareholder is JS limited. The industry is
more concentrated on manufacture the coffee beans for the purpose no selling and trading of
food products and agro commodities. The age of company is 53 years.
NAME OF THE COMPANY:
In Chikamagalur the curing works was started in the year 1992. To complement this activity
and gain control over the curing of the Coffee sourced.
JS decided to acquire its own Coffee Curing Factory. Gradually this Coffee Curing unit
which was strategically located in Chikmagalur in Karnataka and situated midway between
the two major coffee growing districts Chikkamagaluru and Coorg became one of the hubs of
activity in the industry. This entitled expansion of the facilities and modernization of the
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plant and machinery to meet the additional requirements of the Coffee Division which also
boats in an in-house cup tasting facility for evaluating the characteristics of coffee.
The curing export all grade of washed and unwashed Arabian and Robusta’s and Monsoonal
Coffees. Thus, catering to the needs of all types of buyers be it specialty coffee, single estate
coffee or commercial coffee.
It has been awarded the prestigious certificate of approval for quality ISO-9002 through
certification by Bureau Veritas Quality International.
The JS Coffee Curing Works at Chikamagalur is a World class set up with a capacity of
20,000 tonnes per annum, and the corresponding warehousing facilities.
The curing works also has the added advantage of a modern cup testing facility
ensure that only the finest beans are delivered.
Plantation:
The Coorg district of Karnataka is one of the main coffee-growing regions in India and the
main plantation of JS coffee is in Coorg. The coffee grown on these estates are naturally
grown, in a mixed shade of two tires. The plantations head office is at Bangalore.
OBJECTIVE OF THE JS COMPANY:

 Reducing customer complaints.
 Increasing the productivity.
 Revenue maximization.
 Foreign dealing improvements.
 Adopt new methods for profit maximization.
 To provide the best quality of coffee to the consumer.
 Ensuring timely supply of products to consumer.
 Improving the storing efficiency.
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 Ensuring safe disposal methodology

 Promote Indian coffee markets.
STAFF OF JSCOFFEE CURING WORKS:
JS coffee curing works handles their employee very smoothly. Her staff will analyse the
problem, collect the information and develop alternative suggestions and help the managers
to take decisions regarding the company. They monitor and report about the labours at
processing department. By doing this, staff people will reduce the work load of the superiors.
JS coffee curing work trading company limiter industry; the staffs are classified into 4
categories. They are:
1. Technical Staff.
2. Clerical staff.
3. Production Staff.
4. Labours.
Duties and Responsibilities:
1. Technical staff:
 Machinery check
 Quality maintenance
2. Clerical Staff:
 Accounting
 Maintaining records
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3. Production Staff:
 Supervisory duties.
 Raw material handling.
4. Labour
 Manufacturing
 Loading
 Material handling
 Processing
ACHIVEMENTS OF JS FOR PERFORMING EXCELLENT:
WORK AND BUSSINESS
JS is leading producer and exporter of processed coffee product commodities in India. JS

have won all possible trophies, awards and certificates that are given in our country for
exceptional and outstanding export performance.
Some of them are:
Super start trading House status
Golden status
 National Awards for Outstanding Export Performance

 APEDA Export Awards
 Samman Patra from the chief commissioner of customs Mumbai Custom House
 Export Awards from state Governments
 Export Awards from Export Promotion councils
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TECHNIQUES/ METHODS OF PERFORMANCE APPRAISALS
Numerous methods have been devised to measure the quantity and quality of performance
appraisals. Each of the methods is effective for some purposes for some organizations only.
None should be dismissed or accepted as appropriate except as they relate to the particular
needs of the organization or an employee.
1. Ranking Method 1. Management by Objectives (MBO)
2. Rating Scale Method 2. Human Resource Accounting (HRA)
3. Man-to- Man comparison 3. Assessment Centre
4. Grading 4. Behaviorally Anchored Rating Scales
5. Forced Distribution methods (BARS)
6. Checklist Method 5. 360-degree appraisal
7. Critical Method 6. Psychological Appraisal
8. Critical incident Method 7. Computerized and Web-based
9. Forced choice Method
10. Field Review Method
11. Confidential Reports
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12. Group Appraisal
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GRAPHICAL RATING SCALES [RATING METHOD]:
Rating scales consists of several numerical scales representing job related performance
criterions such as dependability, initiative, output, attendance, attitude etc. Each scale ranges
from excellent to poor. The total numerical scores are computed and final conclusions are
derived.
RANKING METHOD:
Superior ranks his worker based on merit, from best to worst. However how best and why
best are not elaborated in this method. It is easy to administer and explanation.
PAIRED COMPARISION METHOD:
In this method each employee is rated with another employee in the form of pairs. The
number of comparisons may be calculated with the help of a formula as under N x (N-1) / 2.
GRADING METHOD:
Under this method certain features like analytical ability, cooperativeness, dependability, job-
knowledge, etc., are selected for evaluation. The employees are given grades according to the
judgement of the rater. The grades may be such as;
A – Outstanding B – Very Good C – Satisfactory D – Average
E – Below Average, etc.
The actual performance of every employee is rated with various grades in mind.
FORCED DISTRIBUTION METHOD:
Here employees are clustered around a high point on a rating scale. Rater is compelled to
distribute the employees on all points on the scale. It is assumed that the performance is
conformed to normal distribution.
CHECKLIST METHODS:
Under this method, checklist of statements of traits of employee in the form of Yes or No
based questions is prepared. Here the rater only does the reporting or checking and HR
department does the actual evaluation.
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Simple Checklist Method: This checklist consists of large number of statements concerning
employee behavior. The rater checks to indicate if the behavior of an employee is positive or negative
to each statement may appear to be virtually identical in describing the employee. The words or
statement may have different meaning to different raters.
Weighted Checklist Method: The weighted checklist method involves weighted

different items in the checklist, having a series of statements about an individual, to indicate
that some are more important than others. The rater is expected to look into questions relating
to the employee’s behavior, in the attached rating scale, and tick those traits that closely
describe the employee behavior.
Forced Choice Method: The series of statements arranged in the blocks of two or more
are given and the rater indicates which statement is true or false. The rater is forced to make a
choice. HR department does actual assessment.
ESSAY OR FREE FORM APPRAISAL:
In this method the rater writes down the employee description in detail within a number of
broad categories like, overall impression of performance, promote ability of employee,
existing capabilities and qualifications of performing jobs, strengths and weaknesses and
training needs of the employee.
CRITICAL INCIDENT METHOD:
The approach is focused on certain critical behaviors of employee that makes all the
difference in the performance. Supervisors as and when they occur record such incidents.
FIELD REVIEW METHOD:
This is an appraisal done by someone outside employees’ own department usually from
corporate or HR department. Useful for managerial level promotions, when comparable
information is needed.
GROUP APPRAISL:
Under this method, an employee is appraised by a group of appraisers. This group consists of
the immediate supervisor of the employee to other supervisors who have close contact with
the employees work, manager or head of the department and consultants. The head of the
department or manager may be the chairman of the group and the immediate supervisor may
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act as the coordinator for the group activities. This group uses any one or multiple techniques
discussed earlier.
CONFIDENTIAL REPORTS:
Mostly used by government departments, however its application in industry is not ruled out.
Here the report is given in the form of Annual Confidentiality Report (ACR) and may record
ratings with respect to following items; attendance, self-expression, team work, leadership,
initiative, technical ability, reasoning ability, originality and resourcefulness etc. The system
is highly secretive and confidential. Feedback to the assessed is given only in case of an
adverse entry.
MODERN METHODS:
BEHAVIORALLY ANCHORED RATING SCALES(BARS):
Statements of effective and ineffective behaviors determine the points. They are said to be
behaviorally anchored. The rater is supposed to say, which behavior describes the employee
performance.
ASSESSMENT CENTRE:
An assessment center is a central location where managers may come together to have their
participation in job related exercises evaluated by trained observers. Assesses are requested to
participate in in-basket exercises, work groups, computer simulations, role playing and other
similar activities which require same attributes for successful performance in actual job. The
characteristics assessed in assessment center can be assertiveness, persuasive ability,
communicating ability, planning and organizational ability, self-confidence, resistance to
stress, energy level, decision making, sensitivity to feelings, administrative ability, creativity
and mental alertness etc.
HUMAN RESOURCE ACCOUNTING:
Human Resource Accounting deals with cost of and contribution of human resource to the
organization. Cost of the employee includes cost of manpower planning, recruitment,
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selection, induction, placement, training, development, wages and benefits. Employee

contribution is the money value of employee service which can be measured by labor
productivity or value added by human resource.
MANAGEMNT BY OBJECTIVES:
It means management by objectives and the performance is rated against the achievement of
objectives stated by the management.M-6 process goes as under.
 Establish goals and desired outcomes for each subordinate

 Setting performance standards
 Comparison of actual goals with goals attained by the employee
 Establish new goals and new strategies for goals not achieved in previous year.
SELF APPRAISAL:
It is technique where a person has to evaluate himself on various already provided

parameters. This advantages of this method are., bias attitude has no role to under this
method. It saves the company from the tedious process of distributing the questionnaires and
collecting back. And also saves time and is not a cumbersome process. Limitations faced are,
the result of self-evaluation is rarely correct, as no person will like to rate himself as
unsatisfactory (although it is good tool to evaluate self, but is depends from person to
person). As the evaluation is often incorrect, it fails to provide required training to the
employee.
360 DEGREE APPRAISAL:
It is a technique which is systematic collection of performance data on an individual group,

derived from a number of stakeholders like immediate supervisors, team members,
customers, peers and self. In fact anyone who has useful information on how an employee
does a job may be one of the appraisers. This technique is highly useful in terms of broader
perspective, greater self-development and multi-source feedback is useful. 360- degree
appraisals are useful to measure inter-personal skills, customer satisfaction and team building
skills. However on the negative side, receiving feedback from multiple sources can be
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intimidating, threatening etc. Multiple raters may be less adept at providing balanced and
objective feedback.
PSYCHOLOGICAL APPRAISALS:
These appraisals are more directed to assess employees potential for future performance
rather than the past one. It is done in the form of in-depth interviews, psychological tests, and
discussion with supervisors and review of other evaluations. It is more focused on employees
emotional, intellectual, and motivational and other personal characteristics affecting his
performance. This approach is slow and costly and may be useful for bright young members
who may have considerable potential.
COMPUTERIZED AND WEB BASED APPRISAL:
Nowadays, several performance appraisal software programmers are also valuable in the
market. These programs enable managers to keeps note subordinate during the year and then
to electronically rate them on series of performance traits. Written text is also generated to
support each part of the appraisal.
Electronic performance monitoring (EMP) is in some respects ultimate computerized

appraisals. In EMP the supervisors electronically monitor the computerized data an employee
is processing per day. And thereby monitor his performance. And also, organizations use
computer networks, sophisticated telephone system and both wireless audio and video links
to monitor and record the work activities of employees.
SETBACKS OF PERFORMANCE APPRASIAL:
In the words of W. Edwards “Annual Performance Review leaves people bitter, objected,
depressed and in despair for months.” Both the appraisal and appraisee consider it an
unpleasant task as no performance appraisal system can be perfect and free from biases
another defects. Performance appraisal may not yield the desired results because of the
following elements;
Rating Biases and Errors: The problem with subjective measures (is that rating which
is not verifiable by others has no opportunity for bias. The rater biases include:
Halo Error: Halo error or effect is a tendency to evaluate on all factors due to the general
impression.
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Miscellaneous Biases: Bias exit on the ground of sex, race, religion, position,
regionalism, etc., the person on higher positions may be given higher ratings. A rather may
give higher rating to this group because persons in other groups may not get higher pay
rises than his subordinates. A rater may have preference for belonging to his own sex, race,
place (or religion), religion, etc.,
Faulty Assumptions: There may be faulty assumptions about Performance Appraisal

System both by the superiors and the subordinates. These assumptions work against the
effectiveness of this system, viz.,
The assumptions that superiors will not make appraisal impartially, the superiors may feel the
same way towards the subordinates too. Both show a tendency to avoid appraisal processes.
It is assumed that appraisal system once implemented properly will be utilized in every
project. This is too much of expectation from the system.
Superiors sometimes feel that their personal judgement of the subordinate is better that that of
the appraisal system
The thinking that employees want to know about their appraisal is not correct. In fact,
employers try to avoid appraisal system.
Psychological Blocks: The utility of appraisal system will depend upon the skills of the
users. This system will depend upon the psychological characteristics of managers, no matter
what method is being used. There are many psychological blocks working against this system
this system. Managers consider appraisal as an extra burden, the try to trat subordinate’s
failure as their own, dislike to communicate unfavourable reports to subordinates.
 Failure of the superior in conducting performance appraisal and pot performance

appraisal interviews.
 Most part of the appraisal is based on subjectively.
 Less reliability and validity of the performance appraisal techniques.
 Negative ratings affect interpersonal relations and industrial relation system.
 Some ratings about the potential appraisal are purely based on guess work.
 Absence of inter- rater reliability.
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HUMAN RESOURCE DEPARTMENT IN JS COFFEE CURING

WORKS:
HR helps in transforming the lifeless factors of production into useful products. This dept is
existed and advice the operation manager to do their personnel work effectively and having
its own policies as recruitment policy, delegation of authority, imposed policies, general
polices.
 The selection of this HR is done by the high qualified persons in the head office as the
success and the failure of the org is largely dependent on the calibre of the people
working there in.
 This organization is consisting 170 workers both men and women.
 Number of skilled workers is less compared to unskilled workers because the experienced
hand is most needed to do the work,
 The selected employees will be trained for the specific tasks to which they have been
assigned in the order to upgrade their knowledge and skills under the various training
programmers.
 The employee has training for 3 months for the system works.
 The newly selected employees will be given probationary period of 6 months after
training and the performance of an employee will be periodically reviewed and if the
employees fail to upgrade their knowledge they will be removed without any prior notice.
 The working hours in the organization is 8 hours per day and have 300 working days in
the year.
 Organization has electronic system of maintaining attendance of the employees will be
recorded.
 Through ORACLE software and these software enables of the employees will be
recorded.
 The salaries will be paid after reviewing hours and internal auditing will be done
wherever needed.
 The workers will be provided minimum wages of RS 185 head loaded working will be
paid wages based on the price rate system.
 Labours law is applied as per this law various type of facilities.
 So HR process is not a short deal but a continuous and ongoing process.
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 It is following the various laws which are PF Act, ESI Act, and compensation Act.
HUMAN RESOURCE DEPARTMENT STRUCTURE IN JS COFFEE

CURING WORKS:
HR Manager
Works Manager Wage & Salary
Assistant HR Manager
Assistant HR Manager
SOURCES OF RECRUITMENT:
INTERNAL RECRUITMENT IN JS CURING:
Employee Referrals: The organization hires new resources through the references of
employees, who are currently working with the organization, here the present employees give
reference their friends and relatives for filling up the vacant positions.
Former Employees: In JS Curing retired or retrenched employees who are interested can
come back to the company to work on a part-time basis. some former employees who left the
organization for any reason had came back with interested to work.
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Previous Applicants: The JS contact through mail or messenger these applicants to fill
up the vacancies particularly for unskilled or semi- skilled jobs.
EXTERNAL RECRUITMENT IN JS CURING:
Advertisement: In JS this advertisement recruiting is done by pamphlets, by giving ads in

newspaper regarding the vacancies.
Contractors: The JS Curing recruits through contract basis for garbling of the coffee
beans, for office work and for loading and unloading
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SELECTION PROCESS IN JS COFFEE CURING:
Reception Application
Employment Interviews
Reference Checking
Final Selection
IDENTIFICATION OF TRAINING NEEDS AT JS CURING:
Training needs may be new training or re-training theses are identified once in a year by
department heads of their employees through appraisal system. New employees or employee
who has assigned new job are identified and given needed training. Training needs of their
employee through appraisal system.
ON THE JOB TRAINING:
These are types training given to the employees at the working hours.
 Training regarding grading of coffee: In JS they will give training regarding the
grading of coffee of several types of coffee.
 Hygiene Training: Training regarding the hygiene of place during the garbling and
separation of coffee.
 Garbling (for women): This training is given for women how to grade and garble the
coffee beans.
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OFF THE JOB TRAINING:
Lectures: Lectures regarding how to maintain decorum in the organization, to finish the
assigned duty on date.
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CHAPTER -4
RESEARCH METHODOLOGY AND DATA INTERPRETATION
RESEARCH DESIGN:
Research Design refers to “framework or plan for a study that guide the collection and
analysis of data”. Through each research study has its own specific purpose, but the research
design of this project on JS Coffee Curing Works is Conclusive in nature.
CONCLUSIVE RESEARCH DESIGN:
Conclusive Research Studies are more formal in nature and are conducted with a view to
eliciting more precise information for the purpose of making decision.
These studies can be either:
a) Descriptive or
b) Experimental
Thus, it is a mix of both the tools of Research Design that, Explorative as well as Conclusive.
SAMPLE DESIGN:
A sample design is defined as plan determined before any data are actually collected for
obtaining a sample from a given population. Sample can be either probability sample or non-
probability sample.
In designing the sample, the researcher must specify three things.
1. Sample Unit.
2. Sample size.
3. Sample technique.
SAMPLE UNIT:
The unit Comprises of employees from all departments of JS Coffee Curing Works,
Chikmagalur
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SAMPLE SIZE:
The sample size taken for this survey was 50 employees of JS Coffee Curing. Employees
from every department was selected according to their availability.
SAMPLING TECHNIQUE USED:
When filed studies are undertaken in practical life, consideration of time, cost and some other
factors almost invariably lead to selection of respondents. The selected respondents constitute
a sample and the selection process is called sampling techniques.
Here I have selected simple random sampling.
SIMPLE RANDOM SAMPLING:
This type of sampling also known as chance sampling or probability sampling. Where each
item in the population has an equal chance of being selected in the sample.
SOURCE OF DATA:
This research study is exclusively based accomplished with the help of primary data
collected.
PRIMARY DATA:
The objective of the study has been accomplished with the help of primary data collected
from 50 employees. The selected are met and the data has been collected with the help of a
questionnaire.
The questionnaire used in this survey consists of structured type of questions. It is mixed type
of questionnaire which consists both close ended and other type of questions.
The primary data were obtained by distributing questionnaires among the employees. The
questionnaires contribute main source of primary data. Also interview with HR Manager also
contributed in the finding of the research.
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SECONDARY DATA:
Secondary data were collected from official records of the organization, websites. The main
Sources are
1. Journals and records.
2. Magazines.
3. Web sites.
STATISTICAL TOOLS:
The secondary tools used for analyzing the collected data are:-
1. Percentage
Percentage analysis;
Percentage analysis formula
Percentage= (number of respondents/total population of the sample) *100
TOOLS FOR THE DATA COLLECTION:
Questionnaires
Interview
JS COFFEE CURING APPARISAL SYSTEM:
In JS Curing the appraisal model which is followed on an annual basis starting from the
month of April to March, Head of Department’s Performance Appraisal was done using
Management by Objectives method and workers Performance Appraisal was done using 900
method by their own department heads. The same method was being used by the company
from beginning to the present time.
Process for workers
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Appraisal sheet will be given 45 days before the appraisal month to the manager who will fill
all general information about the workers and start appraisal on individual bias. During that
process worker’s past one year work history will be filled along with recommendation to HR
department.
Manager, Head of Human resource, Head of Department will decide final promotion, bonus,
of the workers if necessary. Then the Head of Human resource, will find out any problem
analyzed in that period. If found training will be solved that problem.
Process for Head of Department
In the beginning of each financial year HOD will prepare KIP (Key Index Points) MBO, only
three points will be there, but that will cover the whole working area of the
organization. What they can fulfill and achieve during the year, after the period
what they have attained and what was their goal in the beginning is compared
problems are found out if any found training will given to solve that problem.
From the HR we come to know that these methods were highly effective in the whole
curing as well, that is why they did not change it up to the present.
DATA ANALYSIS AND INTERPRETATION:
TABLE – 1
Age Group of the Respondents
Age Group Number of Respondents Percentage
20 to 29 Years 9 18
30 to 39 Years 12 24
40 to 49 Years 13 26
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GRAPH NO: 1
ANALYSIS AND INTREPRETATION:
The Respondents are of Different age group. Persons above years and above are
the maximum of twenty six percent. Twenty four percent belongs to thirty to
thirty-nine years, while those between twenty to twenty-nine years belongs
eighteen percentage as seen in the Table No: 1 the senior Respondents ae taken
as the maximum for the study.
TABLE NO: 2
Executive Level of Appraises
Executive Grade Number of Percentage

Respondents
Manager 3 6
Assistant Manger 5 10
30 Superordinate 4 8
Officer 25 50
25
Works Manager 3 6
20 Supervisor 10 20
TOTAL 50 100
15
10
0
20 to 29 Years 30 to 39 Years 40 to 49 Years
No of Respondents Percentage
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Manger Assistant manger Superordent

Officier Works Manger Supervisor
GRAPH NO: 2
ANALYSIS AND INTERPREATATION:
As there are six percentage of manager and works manger, and assistant
manager percentage of ten percent of assistant manager, and superiordent
percent is eight, Officer percent is fifty, Supervisor percent is twenty. As the
above.
TABLE – 3
Educational Qualifications
Education Number of Respondents Percentage

Qualifications
Post-Graduation 10 20
Graduate 28 56
Diploma Holder 8 16
Professionals 4 8
TOTAL 50 100
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60
50
40
30
20
10
0
Post Graduate Graduate Diploma Holder Proffessionals
Number Of Respondents Precentage(%)
GRAPH NO: 3
ANALYSIS AND INTERPRETATION:
This Table shows more than Percent of the Respondents are graduates. Only
few of the 20 percent are post graduates. 16 of the respondents are diploma
holders, while 8 percent of them are professionals. From this data we could find
that majority of people are working in JS Coffee Curing are graduates.
Therefore, the experience plays the major role than the educational
qualification.
TABLE – 4
Service Details of the Respondents:
Number of Years Number of Percentage

Respondents
1 to 5 Years 10 20
6 to 10 Years 8 16
11 to 15 Years 4 8
16 to 20 Years 8 40
21 and above 20 40
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TOTAL 50 100
21 and above
16 to 20 Years
11 to 15 Years
6 to 10 Years
1 to 5 Years
0 5 10 15 20 25 30 35 40 45
Percentage Number of Respondents
GRAPH NO: 4
Respondents with year of service ranging twenty- one years of 40 percentages.
Respondents with one of five years of experience are twenty percent.
Respondents with one to five years of experience Twenty percent. Respondents,
with six to ten years and sixteen to twenty are of the same sixteen percent.
While respondents between eleven to fifteen years of experience are only five
percentages.
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TABLE – 5
System of appraisal:
System of Appraisal Number of Respondents Percentage

Management by Objectives 32 65
Rating Scale 4 8
Essay Type 2 4
Critical Incident 4 7
Combination of MBO & 8 16
Rating Scale
TOTAL 50 100
MBO Rating Scale

Essay Type Critical Incident
Combination of MBO& Rating Scale
GRAPH NO: 5
ANALYSIS AND INTREPREATATION:
As seen in the table more than 65 percent of the respondents felt that the system
of appraisal followed in JS Curing Works is Management by Objectives. Eight
percent of Respondents felt it to be Rating scale. Four percent Respondents felt
that Essay Method is followed. Seven percent Respondents felt that Critical
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Incident method is followed. Sixteen percent Respondents felt that Combination

of MBO & Rating Scale is followed.
TABLE – 6
Mode of Appraisal:
Mode of Appraisal Number of Percentage

Respondents
By Immediate 48 96
Supervisor
Self – appraisal 1 2
Bottom – up appraisal 1 2
TOTAL 50 100
60
50 48
40
no of respondents
30
20
10
1 1
0
By Immediate Supervisior Self appraisal Bottom up Appraisal
Percentages
GRAPH NO: 6
Most 96 percent of the Respondents feel that their immediate superior appraises
54
CHIKMANGALUR”
them. Two percent fell that self – appraisal is followed and other two percent of
the Respondents also feel that the bottom-up appraisal is followed. In any of the
Organizations, the immediate superiors do the appraisal. Self-appraisal and the
bottom-up appraisal is not common mode.
TABLE – 7
Frequency of Performance Appraisal:
Frequency Number of Respondents Percentage

Once in Three Months 1 2
Once in a Year 41 82
Don’t Know 8 6
TOTAL 50 100
90
80
70
60
50
Number of Respondents
40
Percentage
30
20
10
0
Once in Three Once in a Year Don't Know
Months
GRAPH NO: 7
ANALYSIS AND INTREPREATAION:
55
CHIKMANGALUR”
In JS 2 percentage of respondents says the frequency appraisal is done once in

three months, 82 percentage of respondents are aware the frequency of appraisal
is done once in a year and the 16 percent of the respondents feel that they don’t
know about that is done in a year. Generally, the frequency of the Performance
appraisal is always done according to the needs and the requirements of the
company policies.
TABLE – 8
Number of Raters for every Rate:
Rates Number of Respondents Percentage
One 16 32
Two 17 34
Three 9 34
Four and above 3 6
Don’t know 5 10
TOTAL 50 100
56
CHIKMANGALUR”
35
30
25
20
15
10
0
One Two Three Four and above Don't know
Number of Respondents Percentage
GRAPH NO: 8
As many as thirty four percent of the respondents stated correctly that they are
rated by two officers that they are rated by two officers. Thirty two percent felt
that they are evaluated by one, while eighteen percent fell that they assessed by
three officials, as is evident from table 8. The fact is that the two officials
evaluate the appraise, which is checked, and counter signed by the manager of
the department.
TABLE – 9
Mode of Assessment:
Assessment Number of Respondents Percentage

Direct observation 38 44
From his boss 10 12
From his colleagues 5 6
Any other 33 38
57
CHIKMANGALUR”
TOTAL 86 100
GRAPH NO: 9
Forty four percent of the executives are of opinion that they are assessed
through direct observations, while twelve percent felt that the appraiser knew
about the appraise from his boss. Their colleagues have little influence over the
appraisal. As six percent of the Respondents feel. Thirty eight percent felt that
the assessment is influenced by combination of various factors.
TABLE – 10:
Awareness of the Performance Appraisal Evaluation:
45
40
35
30
25
20
15
10
0
Direct observation From his Boss From his Boss Any Other
Number of Respondents Percenatge

58
CHIKMANGALUR”
Awareness Level Number of Respondents Percentage
Fully aware 38 76
Partially Aware 9 18
Not aware 3 6
TOTAL 50 100
80
70
60
50
40
30
20
10
0
Fully aware Partially aware Not aware
No of Respondents Percentage
GRAPH NO:10
The majority 76 percent of the respondents are of opinion that they are aware of
the evaluation through performance appraisal system. 18 percent of the
Respondents feel that they are only partially aware while, a very few of 6
percent of the respondents are under the opinion that they are not aware of the
system.
59
CHIKMANGALUR”
TABLE – 11
Executive Awareness about the areas tested during Performance
Appraisal:
Area Tested Number of Respondents Percentage
Quality and Quantity of work 28 21.7
Smartness and Leadership 11 8.5
Initiative and Involvement 27 20
Intelligence and Judgment 8 6.2
Job knowledge and ability 26 20
Loyalty 9 6.9
Ambition and drive 7 5.4
Administrative Skill 13 10
TOTAL 129 100
60
CHIKMANGALUR”
30 28 27 26
25
20
15 13
11
8 9
10 7
5
0
GRAPH NO: 11
As is the evident from table 11, most of the executives are aware of the areas
they are assessed, during the performance appraisal. The weight age laid by
different varies.
TABLE – 12
Number of Factors Required for Job:
Rates Number of Percentage

Respondents
Educational Qualification 9 18
Job knowledge 18 36
Communication 7.25 14.5
Experience 7.25 14.5
Training 8.5 17
TOTAL 50 100
61
CHIKMANGALUR”
40
35
30
25
20
15
10
0
Educational Qualification Job knowledge Communication Experience Training
GRAPH NO: 12
The table 12 shows that, 36 percent of respondents feel that , what is important
in job is the knowledge, because that is what internally matters in the product
percent of the respondents laid weight age on educational qualification, while
communication and experience are focused by fourteen point five percent of the
respondents each. Sixteen percent of the respondents feel that importance of the
training to be an essential factor, as seen in the Table 12.
TABLE – 13
In case of Law Appraisal
In case of Low Number of Respondents Percentage

Appraisal
Discussion with the 36 72
superior
Speak out in 5 10
Grievance
Loss of interest in 6 12
62
CHIKMANGALUR”
work
Leaving the Job 3 6
Total 50 100
80
70
60
50
40
30
20
10
0
Discussion with the Speak out with Loss of interest Leaving the job
superior Grievance
GRAPH NO: 13
In case of low appraisal 72 percent of the respondents feel that they would
discuss with the superiors about the appraisal, so as to get a better understanding
which 10 percent fell that they would speak it out in grievance meeting 12
percent of the respondents feel that they would lose interest in the work and 6
percent of respondents feel that they would prefer leaving the job then receiving
low rating as is the evident from table 13
63
CHIKMANGALUR”
TABLE – 14
Opinion on self-Appraisal
Opinion on self Number of Percentage

appraisal Respondents
Would be effective 21 42
Would not be 10 20
effective
Can give a try 19 38
Leaving the job 3 6
Total 50 100
64
CHIKMANGALUR”
70
60
50
40
30
20
10
0
Wpould be effective Would not be effective can give a try Leaving the job

G
RAPH NO : 14
ANALYSIS AND INTREPERTATION:
Forty two percent of the respondents are positive opinion towards self-appraisal
as they fell that would be able to judge themselves in a fair manner than anyone
else. Further, it would improve self-knowledge and self-development. Twenty
percent are not a favor of it, as they feel that individual is likely to rate himself
high. Thirty eight percent, leaving the job is three respondents and is six
percent.
TABLE NO: 15
Opinion on Downward Appraisal:
Opinion on Downward Number of Percentage

Appraisal Respondents
Advisable 22 44
Not advisable 28 56
Total 50 100
65
CHIKMANGALUR”
90
80
70
60
50
40
30
20
10
0
Advisiable Not Advisiable
GRAPH NO: 15
The following analysis reveals the different opinion that the executives have on
downward A majority fifty six percent of respondents do not favor downward
appraisal as they fell that the subordinate may not be in apposition to evaluate
has his own supervisor, and they may also make use of the opportunity.
Forty four percent of the respondents, prefer the system, as they fell that is has
got its own advantages. The organization can adopt different methods of
performance appraisal system.
TABLE NO – 16
Training Related Performance Appraisal
Training Number of Respondents Percentage

Home Training Program 3 6
External Training 32 64
Program 5 10
None of the above 10 20
66
CHIKMANGALUR”
Total 50 100
100
90
80
70
60
50
40
30
20
10
0
Home Training
Programme External Training
Program
None of the above
GRAPH NO: 16
ANALYSIS AND INTERPREATAION
The table- 16 shows many respondents, 64 percent feel that they should have
external training programmer. Six percent want to have home training; ten
percent of the respondents do not have any of the above, while twenty percent
reserve their comments on the question.
TABLE NO: 17
Opinion on the Present System
Opinion on the Number of Percentage

Present System Respondents
Present is Ok 15 30
360-degree appraisal 29 58
67
CHIKMANGALUR”
Combination of MBO 6 12
and Rating Scale
Total 50 100
60
50
40
30
20
10
0
Present OK 360 degree appraisal Combinnation of MBO
and Rating Scale
GRAPH NO 17
ANALAYSIS AND INTREPREATION:
The Researcher, while collecting the opinion on the present system of the
performance appraisal, 58 percent more than half of the respondents came out
with the modern opinion that 360 degree appraisal should be adopted instead of
the appraisal of the present. Just little above quarter of the thirty percent of the
respondents feel that the present system should be adopted. Twelve percent of
the respondents feel that the system should be combination of MBO and Scale.
TABLE – 18
Frequency of the Evaluation
Frequency Number of Respondents Percentage
68
CHIKMANGALUR”
Annually 19 78
Half yearly 7 14
Twice in a year 4 8
Total 50 100
90
80
70
60
50
40
30
20
10
0
Annually Half Yearly Twice in a Year
GRAPH NO: 18
ANALYSIS AND INTERPRETATION:
Seventy eight percent of the respondents opinion that the frequency of the
evaluation of performance appraisal system can be implemented annually. Only
fourteen percent of the respondents feel that it should be alone half yearly.
While a very eight percent of the respondents feel that it should be done twice
in a year.
TABLE – 19
Need for the Performance Appraisal
69
CHIKMANGALUR”
Need of Performance Number of Percentage

Appraisal Respondents
To identify area of 5 10
weakness
Organization 8 16
Development
Promotion, Increment 21 42
etc
To improve quality of 14 28
work
To identify training need 2 4
Total 50 100
GRAPH NO 19
45
40
35
30
25
20
15
10
5
0
s t t k d
es en en or e
kn pm em w ne
ea lo cr of ng
W ve In il ty ni
of De o, a rt a
a on oti qu th
e
re e
ya ati om ov fy
tif ni
z Pr pr nti
en ga im e
id
id Or To To
To
Number of respondent Percenatge
GRAPH NO: 19
70
CHIKMANGALUR”

The table 19 shows that the 10 percent of the respondents fell that the need for
the performance appraisal is just to identify one’s own weakness. The sixteen
percent of the respondents came out with the opinion that is for the development
of the organization. The majority of the respondents 42 percent are under the
opinion that the need of the performance appraisal is mainly for promotion and
increment. Twenty eight percent of the respondents fell that is to improve the
quality of the work. A very few 4 percent of the respondents, feel that it is to
identify the training needs.
CHAPTER 5
FINDINGS, RECOMMENDATIONS AND CONCLUSION
FINDINGS
 Majority of respondents with 25% are between the age 30 and above and
next comes 60% are between the age of 20-30 and next comes under 20
years with 15%.
 Majority of the respondent’s education is degree with 62%.
 Majority of candidates are male candidates with 48% and female
candidates with 52%.
 Most of the respondents are unmarried with 64%.
71
CHIKMANGALUR”
 Most of the candidates’ expectations are fulfilled 60%.

 99% of respondents happy to work here.
 All the respondents are happy with their working condition.
 More than half respondents are happy with their recreational facility.
 Pay and allowances and working condition is a major motivating factor
for most of the candidates.
 Most of the candidates accept that an incentive provided by the company
is very good.
 Motivations factors improves job satisfaction most of the respondents are
very agree with this statement.
 Most of the respondents are satisfied on nature of work.
CONCLUSION
Performance appraisal may be understood as the assessment of an individual’s
performance in a systematic way. The performance being measured against
such factors as job knowledge, quality, quantity of output, initiative, leadership
abilities, supervisors, dependability, cooperation, judgment, versality, health
and the life. It also helps in developing strength and rectifies weakness of the
employees.
JS Coffee Works has been conducting performance appraisal from the past
years from its formation. Employees were cooperative and fully supporting the
72
CHIKMANGALUR”
performance appraisal in the institution and it was found to be highly effective

in the employee’s performance.
JS Coffee Works has been running successfully for past several years and has
created a good name among its customers and society. People having poor
background are given training and provided with jobs. Performance appraisal
can be conducted more effectively by using the right tools and property
reviewing and updating the performance appraisal program. Suggestion from
employees and experienced personnel can further enhance and make the
performance appraisal an ideal evaluation system.
Finally, I would like to conclude that employees of JS Coffee Curing are

satisfied with their work and organization.
RECOMMENDATIONS
 Implement more method of performance appraisal and update the

employees about the type of method used for performance evaluation.
 The whole performance appraisal should be kept more transparent and
free from bias in the future.
 More opportunities should be provided for expressing their ideas and
plans to implement their level performance.
73
CHIKMANGALUR”
 More training should be offered to the mentally stressed staff which

improve their potential and result in top appraisal points.
 Overtime should be taken care of at the time of performance appraisal.
Which would motivate the employees to performance better for longer
hours.
 Suggestion could be obtained from employees regarding framing the
performance appraisal system.
 Appraisal feedback is very important in any performance appraisal
program. Should be carefully communicated by making high performers
increase their target and low performers to build up their confidence.
BIBILOGRAPHY
Books:
 Cooper, Donald R, Schiller, Pamela S. Business research methods By Mc

Graw Hill Company New Delhi.
 Memoria Dr, CB Dynamics of Industrial Relation by Himalaya
publishing house.
 P. Subba Rao Personal/ HRM New Delhi: Konard Publishers.
74
CHIKMANGALUR”
 Ashwathappa Personnel Management/ HRM.
Web Assistance:
www.JS.com
www.performance-appraisal.com
APPENDIX
“A study of effectiveness of the performance appraisal system in JS Coffee

Works, Chikamagalur.”
QUESTIONNAIRE ON PERFORMANCE APPRAISAL
PERSONAL DATA
1. Name
75
CHIKMANGALUR”
Sex
(a) Male ( )
(b) Female ( )
1. Age
(a) 20 to 29 years ( )
(b) 30 to 39 years ( )
(c) 40 to 49 years ( )
(d) 50 and above ( )
2. The executive grade you hold………………………………………………….
3. Educational Qualification
(a) Post Graduate ( )
(b) Graduate ( )
( c) Under Graduate ( )
(d) Diploma Holder ( )
4. Total years of experience

(a) 0 to 35 years ( )
(b) 6 to 10 years ( )
(c) 11 to 15 years ( )
(d) 16 to 20 years ( )
(e) 21 and above ( )
76
CHIKMANGALUR”
5. Have you been working in other Companies/ Organization prior to joining JS

Coffee Works?
(a) Yes ( )
(b) No ( )
Ⅱ. Type of Performance Appraisal System

6. This system followed in performance appraisal in JS Coffee Works
(a) Management by Objective ( )
(b) Rating Scale ( )
(c) Essay Type ( )
(d) Critical Incident Approach ( )
(e) Combination of management by objectives ( )
(f) Any other system ( )
7. What is the mode of appraisal in JS Coffee Works?

(a) Appraisal by immediate superior ( )
(b) Self appraisal (appraisal by oneself) ( )
(c) Peer appraisal (appraisal by colleagues) ( )
(d) Bottom up appraisal (appraisal by subordinates) ( )
8. What is the frequency of performance appraisal at Executive level in JS
Coffee Works?
(a) Twice in a year ( )
(b) Once in a year ( )
(c) Once in two years ( )
(d) Don’t know ( )
9. How many senior officers assess your performance?
77
CHIKMANGALUR”
(a) One ( )
(b) Two ( )
(c) Three ( )
(d) Four and above ( )
(e) Don’t know ( )
10. How does the appraiser come to know the appraiser’s quality?
(a) Direct observation ( )
(b) From his manager ( )
(c) From other colleagues ( )
(d) Any other methods ( )
Ⅲ. Awareness and Opinion study

11. Are you aware that you evaluated through a performance appraisal system
in JS Coffee Works?
(a) Fully aware ( )
(b) Partially aware ( )
( c) Not aware ( )
12. In my knowledge performance appraisal is to test my:

( Kindly tick the relevant factors you think we are appropriate)
(a) Quality and Quantity of work ( )
(b) Smartness and leadership ( )
(c) Initiative and judgement ( )
(d) Intelligence and involvement ( )
(e) Job knowledge and Family ( )
(f) Creativity and Loyalty ( )
78
CHIKMANGALUR”
(g) Ambition and drive ( )

(h) Administrative stall ( )
13. What do you think are the key factors required for job?
(a) Educational qualification ( )
(b) Rob knowledge ( )
(c) Communication ( )
(d) Experience ( )
(e) Other, specified ( )
14. Does the performance appraisal system help the appraisal to identify the
training needs of the appraisal?
(a) To a great Extent ( )
(b) To a limited extent ( )
(c) Not at all ( )
15. What is the opinion of yours about the system, are you aware of the needs of
such?
(a) Yes ( )
(b) No ( )
(c) Party yes ( )
(d) partly no ( )
Ⅳ. To Improve the Appraisal System

16. How frequent should performance appraisal be made?
79
CHIKMANGALUR”
(a) Annually ( )
(b) Quarterly ( )
(c) Twice a year ( )
17. What is your opinion on self-appraisal (Appraisal by self)?

(a) Would be effective ( )
(b) Would not be effective ( )
(c) Can give try ( )
18. What is your opinion on self-appraisal?

(a) Advisable ( )
(b) Not Advisable ( )
19. Do you suggest any training related to performance appraisal?

(a) How training program ( )
(b) External training program ( )
(c) None of above ( )
20. Your valuable suggestion to improve the present performance appraisal

system JS Coffee Works, Chikmagalur?
(a) System ( )
(b) Frequency ( )
(c) Need ( )
(d) Any other ( )
80
CHIKMANGALUR”
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A PROJECT REPORT ON

“A STUDY ON EFFECTIVENESS OF PERFORMANCE APPRAISAL

Dissertation submitted in partial fulfilment of the requirements for the

Reg. Number: 19SLCMD007

Under the guidance of

THE OXFORD COLLEGE OF BUSINESS MANAGEMENT

HSR LAYOUT, BANGALORE-102

I hereby declare that “A STUDY ON EFFECTIVENESS OF PERFORMANCE

Place: Bangalore Aqib Javeed

This is to certify that the Project titled “A STUDY ON EFFECTIVENESS OF

Signature of student Signature of Guide

Certificate of Originality (Plagiarism)

Name of the student: Aqib Javeed

Registration Number: 19SLCMD007

Title of Project: “A STUDY ON EFFECTIVENESS OF PERFORMANCE APPRAISAL AT

Name of the Guide : Dr M SUREKHA

Similarity Index (%) identified :

(Acceptable maximum limit of similarity 25%)

Project ID number in DRILLBIT :

Student signature Guide signature

Sl.no Contents Page No

TABL TITLE OF TABLES PAGE

4.13 Table is showing respondents based on case of law 60

Grap Title of Graph Page No

4.2 Graph is showing respondents based on Executive 47

4.14 Graph is showing respondents based on Opinion on 63

Performance Appraisal are regular reviews of employee performance within an organization.

 Give feedback on performance to employees.

Performance appraisal rates the employees in terms of their performance. Performance

INTRODUCTION TO HUMAN RESOURCE MANAGEMENT

Performance appraisal means systematic evaluation of the personality and performance of

According to Filippo, "Performance appraisal is the systematic, period and an importance

 Performance appraisal is a process.

PERFORMANCE APPRAISAL PROCESS:

1. ESTABLISH PERFORMANCE STANDARDS:

2. COMMUNICATE THE STANDARDS:

3. MEASURE ACTUAL PERFORMANCE:

4. COMPARE ACTUAL PERFORMANCE WITH STANDARDS AND DISCUSS THE

5. TAKING CORRECTIVE ACTION, IF NECESSARY:

Work Related Objectives:

 Career Development Objectives:

 To clearly establish goals i.e., what is expected of the employees in terms of

IMPORTANCE OF PERFORMANCE APPRAISAL

 Performance appraisal helps supervisors to assess the work performance of their

BENEFITS AND USES OF PERFORMANCE APPRAISAL:

When achievements recognized and rewarded on the basis of objective performance

Performance appraisal provides an incentive to the employees to better their performance in a

Systematic appraisal of performance helps to develop confidence among employees. It will

EXAMPLES OF PERFORMANCE APPRAISAL GOALS

PROFESSIONAL DEVELOPMENT GOALS

To stay relevant in a highly competitive business environment, employees must consistently

PERSONAL DEVELOPMENT GOALS

Foundational skills such as communication, leadership or problem-solving, adaptability,

IMPORTANCE OF APPRAISAL GOAL SETTING

In a competitive business environment, time is of the essence. With definite performance

3. A MEASURE FOR PROGRESS

Managers measure employee progress against a set of predetermined performance appraisal

4. CREATES A PAPER TRAIL

SCOPE AND OBJECTIVES

SCOPE OF THE STUDY

 The study covers employees of JS Coffee Curing Works, Chikamagalur.

OBJECTIVES OF THE STUDY