BANASTHALI UNIVERSITY

A SUMMER TRANING REPORT

ON

“PERFORMANCE APPRAISAL”

VARUN BEVERAGES LIMITED

SUBMITTED IN THE PARTIAL FULFILLMENT OF THE DEGREE OF

BACHELOR’S OF BUSINESS ADMINISTRATION

UNDER THE GUIDANCE OF:-

MR. A Raziq Malik

SUBMITTED BY:-
PREETI AGARWAL
BBA- 4 SEMESTER
 ACKNOWLEDGEMENT

I consider myself very fortunate to get the opportunity to conduct the training approval and
project assignment by VARUN BEVRAGES LIMITED. I got opportunity to get a practical
exposure into actual environment and it provides me the golden opportunity to make my
theoretical concept of performance appraisal in a more clear way.

I am very much thankful to MR. A RAZIQ MALIK for providing me the opportunity to do the
training in the VARUN BEVERAGES Ltd. Also, thankful to all the officials at VARUN
BEVERAGES Ltd for their cooperation during my training for providing me necessary
information without which this project report would not have been completed.

I have gone through various sites, Research Books, Magazines and Newspapers to get the
accurate information for analysis and tried to find the best conclusion.
 TABLE OF CONTENTS
Title of the Study Project (Cover page)
1. Training Certificate
2. Acknowledgement
3. Index or Table of Contents
4. Abstract
5. Chapter scheme
6. References
7. Appendices
 ABSTRACT
 Most organizations have a performance appraisal (PA) program that has evolved over
time and is likely not meeting the needs of employees and managers.
 Many competing PA theories and practices exist making development of an effective
program difficult. However, done well, a strong PA program reinforces organizational
culture and helps employees achieve high levels of performance.
 An effective PA program can improve key business measures such as Return on Assets,
Return on Equity, profit margins and earnings.
 Every strong PA program has three elements: performance tracking, informal feedback,
and formal appraisal.
 Build on these three elements to customize your program to your organization’s goals
and values:
o Informal coaching is the single most significant factor in easing retention and
developing talent.
o Forced ranking and forced distribution are techniques that work well in
competitive environments. Avoid them in team-based departments.
o 360-degree evaluations help to improve people management abilities. Stay away
from using them for manager compensation or disciplinary purposes.
 INTRODUCTION

PERFORMANCE APPRAISAL

Management Performance appraisal is a method of evaluating the evaluating the behavior of

employees Performance appraisal or merit rating is one of the oldest and most universal
practices of in the work spot, Normally including both the quantitative and qualitative aspects of
job performance. Performance appraisal can be an effective instrument for helping people grow
and develop in organizational setting. Through a Well organized appraisal system. An employee
can create learning spaces for himself in an organization.

Effectively practiced and development oriented performance appraisal & Review system,
substantially contribute to the organization health. Organization cannot do away with
PERFORMANCE APPRAISAL. Some form of assessment of performance on a continuing basis
is essential for survival as well as growth of an organization. If and develop yardsticks to
measure it, if you want to improve performance. The performer has to be able to understand it.

Performance appraisal is a systematic appraisal of the employee’s personality traits and

performance on the job and is designed to determine his contribution and relative worth to the
firm.

A formal definition of performance appraisal is that, it is the systematic evolution of the

individual with respect to his or her performance on the job and his or her potential for
development

“Performance appraisal is a formal structured system of measuring and evaluating an employee’s

job, related behaviors and out comes to discover how and why the employee is presently
performing on the job an how the employee can perform effectively in the future so that the
employee, organization and society all benefit.”

Under performance appraisal, we evaluate not only the performance of a worker but also his
potential for development

COMPONENTS OF APPRAISAL EVALUATION

As we have seen performance evolutions can be made a verity of reasons- counseling,

promotion, research, salary, administration or a combinations of these therefore it is necessary to
begin by stating very clearly the objectives of the evolution program. Having done this, the
personal evolution system should address the questions, who, what, when, where, how? Of
performance appraisal

“WHO”

The appraisal can be accomplished by one or more individuals involving a combination of the
immediate supervisor, a higher level manager, a personal manager, the assessor’s peers, the
assesses himself and the assessor’s subordinates.

Usually the immediate supervisor must be interested with the task of rating the assessed because
he his most familiar with his work, and because he is also responsible for recommending or
approving personal action based on the performance appraisal. The staff specialists, i.e. the
personal officer also do appraisal.

They may advise the supervisor while evaluating their subordinates stressing the need for
evidence for making specific appraisal judgments and comparing a particular subordinate’s
evolution with those of others.
This approach has its disadvantage that the individual may rate himself excessively high then it
would be if his superior rated him. Many companies use rating committees to evaluate
employees. These committees consist of supervisors, peers, and subordinates.

“WHAT”

The “what” of the performance appraisal consists in appraising non supervisory employees for
their current performance and managers for potential? It also includes evaluation of human
trades.

“WHY”

The “why” of an appraisal is concerned with –

a) Creating and maintaining a satisfactory level of performance of employees in there

present jobs.
b) Highlighting employee needs and opportunities for personal growth and development.
c) Promoting understanding between the supervisor and his subordinates.
d) Providing a useful criterion for determining the validity of selection and training methods
and techniques and forming concrete measures for attracting individual of higher caliber
to the enterprise.

“WHEN”

The ‘when’ answers the query about the frequency of appraisal? It has been suggested in formal
counseling should occur continuously. The manager should discuss an employee’s work as soon
as possible after he has judged it.

“WHERE”
The where indicates the lo0cation where an employee may be evaluated. It is usually done at the
place of work or office of the supervisor.

“HOW”

Under how the company must decide what different methods are available and which of these
may be used for performance appraisal. Based on the comparative advantages and disadvantages
it is decided which method suit the propose best.

PURPOSE OF PERFORMANCE APPRAISAL

 To create and maintain a satisfactory level of performance.

 To provide information making decision for rewardingly of retrenchment etc.

 To guide the job changes with the help to continuous ranking.

 To contribute to the employee growth and development through training, self and

management development program.

 To facilitate for testing and validating selection tests, interview techniques through

compeering there scores with performance appraisal ranks.

 To facilitate fair and equitable compensation based on performance.

 To help the superiors to have proper understanding about there subordinates.

WHAT SHOULD BE RATED

The seven criteria for assessing performance are:

1. Quality: the degree to which the process or result of carrying out an activity approach

perfection
 2. Quantity: the amount produce expressed in monetary terms number of units, or number of

completed activity cycles

3. Timeliness: the degree to which an activity or an result produced

4. Cost effectiveness: the degree to which the use of the organizations resources (e.g.

human, monetary, technological, material) is maximized in the séance of waiting the

highest gain

5. Need for supervision: the degree to which a job performer can carry out job function

without supervisory assistance

6. Interpersonal impact: the degree to which performer promotes feeling of self – esteem,

goodwill and cooperation among co- workers and sub- ordinates.

7. Training: need for training of improving his skills knowledge.

METHODS OF APPRAISAL

Broadly all the approaches to appraisal can be classified into:-

 Past-oriented:
 Rating scales
 Checklist
 Forced choice method
 Forced distribution
 Critical incident method
 Behaviorally anchored’ scales
 Field review method
 Annual confidential report
 Essay method
 Cost accounting approaches
 Comparative evolution approach
  Ranking method
 Paired – comparison method

 Future – oriented:
 Management by objectives
 Psychological appraisals
 Assessment center

METODS OF PERFORMANCE APPRAISALS

Past Oriented Methods

 Rating scales:
This is the simplest and the most popular technique for employee performance. The
typical rating – scales system consists of several numerical scales, each representing job
related performance criterion such as dependability, initiative output, attendance, attitude,
co-operation and the like. Each scales ranges from excellent to poor. The rater checks the
appropriate performance level on each criterion, and then computes the employees total
numerical scores.
 Checklist:
In this method, the raters don’t evolutes employee performance, he supplies reports about
it and the personal department does the final rating a series of question are presented
concerning and employee to his behavior. The rater, then, to indicate if the answer to a
question about an employee in positive or negative. Generally, the questions are on
yes/no pattern.

 Forced choice method:

In this the rate is given a series of statements about employee. These statements are
arranged in block of two or more, and the rater indicates which statements is most or least
disruptive of the employee.
 Critical incident method
The, approaches focus on certain critical behaviors of an employee that makes all the
difference between effective and non effective performance of a job. Such incidents are
recorded by the superiors as and when they occur.

 Behaviorally Anchored Rating Scales

Sometimes this is called behavioral expectation scales, are rating scales whose scale point
are determined by statements of effective and ineffective behaviors. A rater must indicate
which behavior on each scale best describes an employee’s performance.

 Field review method

This is an appraisal by someone outside the assesses on department usually someone
from the corporate office or H.R department. The outsider review employee records and
holds interviews with the rate and his or her superior .the method is primarily used for
make promotional decision at the managerial level.

 Annual confidential report method

In this method each employee is rated confidentially by one or more senior officers for
his performance. The report deals with the years work and general opinion of the rater
towards the employee. The main problem with his method is that it is not data based and
the appraisal is done the bases of impression.

 Easy method
In the essay method, the rater must describe the employee with in a number of broad
categories such as-
a) The rater’s overall impression of the employee’s performance
b) The promotability of the employee
c) The jobs that the employee is now able or qualified to perform
d) The strength and weaknesses of the employee and the traning and the development
assistant required the employee.
 Comparative Evolution Approaches
These are a collection of a different methods that compare one worker’s performance
with that his / her co-workers. Supervisors usually conduct comparative appraisals. As
these appraisals can result in a ranking from best to worst they are useful on deciding
merits-pay increases promotions and organizational rewards. We can classify it into-
a) Ranking method
In this, the superior his or her subordinates in the order of there merits starting from the
best to the worst,. This method is subject to the hallo and recency effects, although
ranking by two or more raters can be averaged to help reduce biases. It advantages
include ease of administration and explanation.
b) Paired – Comparison method :-
Under this method the appraiser compares each employee with every other employee,
one at a time. The number of comparisons may be calculated with the help of formula,
which reads thus-:
N (N-1)/2

360 DEGREE PERFORMANCE APPRAISAL

Typical appraisers are: supervisors, peers, subordinates employees themselves users of

service and consultants. Performance appraisal by all these parties is called” 360
DEGREE PERFORMANCE APPRAISAL”
1. Supervisors:
Supervisors include superiors of the employee other superiors having knowledge about
the work of the employee and department head or manager. General practices is that
immediate superiors appraise the performance, hitch in turn reviewed by the departmental
head /manager.
2. Peers:-
Peer appraisal may be reliable if the work group is stable over a reasonably long period
of time and perform tasks that require integration.

3. Subordinates:-
The concept of having superiors rated by
subordinates is being used in most organizations today especially in developed countries.
Such a novel method can be useful in other organizational settings too provided the
relationship between superiors and subordinates are coordinal.

4. Self-Appraisal:-
In individuals understand the objective they are expected to achieve and the standard
by which they are to be evaluated, they are to a great extend in the best position to
appraise their own performance.
5. Users of Service Customers:-
Employee performance in service organization relating to behaviors, promptness,
speed in doing the job and accuracy, can be better judged by the customers or users of
services.

6. Consultants:-
Sometimes consultants may be engaged for appraisal when employees or employers
not trust supervisor and management does not trust the self-appraisal a peer appraisal or
subordinate appraisal.

STAGES OF PERFORMANCE APPRAISAL PROCESS

 PERFORMANCE STANDARDS ARE ESTABLISHED

 INFORM THESE STANDARS
 FINDING OUT THE INFLUENCE
 COMPARING THE PERFORMANCE
 FINDING OUT DEVIATION
 COMMUNICATING THE ACTUAL PERFORMANCE
 SUGGESTING NECESSARY CHANGES
  FOLLOW-UP OF PERFORMANCE APPRAISAL REPORT

Performance Appraisal is a Nine-Step Process:-

 At the First stage, performance standards are established based on job description and job
specification. The standard should be clear, objective and incorporate all the factors.
 The Second stage, is to inform these standards to all the employees including appraisers.
 The Third stage is following the instruction given for appraisal measurement of employee
performance by the appraisers through observations interview, records and reports
 The Fourth stage is finding out the influence of various internal and external factors on
actual performance.
 The Fifth stage is comparing performance with that of other employee and previous
performance .
 The Sixth stage is comparing the actual performance with the standards and finding out
deviations.
 The Seventh stage is communicating, the actual performance of the employee and other
employees doing the same job and discuss with him the reasons for positive or negative
deviations from the preset standards as the case may be.
 The Eighth stage is suggesting necessary changes in standards, job analysis internal and
external environment.
 The Ninth stage is fallow up performance appraisal report. This stage includes guiding,
counseling coaching and directing the employee or making arrangements for the training
and development of the employee

PROBLEMS OF PERFORMANCE APPRAISAL

The major problem in performance appraisal:-

1) Rating Biases:-
The problem subjective measure (is that rating which is not verifiable by others)
has the opportunity for biases include:-
 a) Halo effect
b) The error of central tendency
c) The leniency and strictness biases
d) Personal prejudice
e) The Recency effect

 Halo Effect:-
It is the tendency of the raters to defend excessively on the rating of one trait or
behavioral consideration in rating all other traits or behavioral consideration. One
way of minimizing the halo effect is appraising all the employee by one trait before
going to rate basis of another trait.

 The Error Central Tendency:-

Some raters fallow play safe policy in-rating-by-rating all the employee on the
middle point of the rating scale and they avoid rating the p[people at both the
extremes of the scale. They fallow play safe policy because of a answerability to
management or lack of knowledge about the job and person he is rating or least
interest in his job.

 The leniency and Strictness:-

The leniency bias crops when some raters have an tendency to be liberal in
their rating by assigning higher rates consistently such rating do not several any
purpose equally damaging one is assigning consistently low rates.

d)Personal Prejudice : -

If the rater dislike any employee or any group, he may rate them at the lower
them which may distort the rating purpose affect the career of these employee.

 The Recency Effect:-

 The raters generally remember the recent actions of the employee at the time of
rating and rate on the basis of this recent action.

1) Favorable or unfavorable rather than on the whole activities.

2) Failure of the superior in conducting performance appraisal and post
performance appraisal interview.
3) Most part of the appraisal is based on subjectivity.
4) Less reliability and validity of the performance appraisal technique.
5) Negative ratings affect interpersonal relations system.

WHY APPRAISAL TECHNIQUES PROVE FAILURE

Performance appraisal techniques techniques have often failed to give a correct assessment of the
employee. The causes of such failure are:-

1) The supervisor plays dual and conflicting role of the both the judge and the helper.
2) Too many objectives often cause confusion.
3) The supervisor feels that subordinate appraisal is not rewarding.
4) A considerable time gap exist between two appraisal programs.
5) The skills required for daily administration and employee development are in conflict.
6) Poor communication keeps employees in the dark about what is expected of them.
7) There is the difference of opinion between a supervisor and a subordinate concerning the
liter’s performance.
8) Feedback on appraisal is generally unpleasant for both supervisor and subordinate.
9) Unwillingness on the part of supervisor to tell employee plainly how to improve their
performance.

COMPANY PROFILE

The business of the company was started in 1991 with a tie-up with Pepsi Foods Limited to
manufacture and market Pepsi brand of beverages in geographically pre-defined territories in
which brand and technical support was provided by the principle viz., Pepsi Foods Limited .The
manufacturing facilities were restricted at Agra plant only. Varun beverages limited are the
flagship company of the group.

Varun beverages limited operates as the franchise of carbonate soft drinks and non-carbonate
beverages sold under trademarks owned by pepsico in internationally. The company produces
and distributes a range of CSDs under the brands of pepsi , Diet pepsi, Seven- up, Mirinda
orange, Mirinda lemon, Mountain dew ,Seven-up Nimbooz Masala Soda, Seven-Up Revive, and
Evervess. It also produce and distributes NCBs under the brand of Tropicana Slice; Tropicana
Frutz ( Lychee, Apple and Mango); and Nimbooz , as well as packaged drinking water under the
brand Aquafina . In addition , the company has the franchise for Ole brand of Pepsi product in sri
lanka.

Vision

Being the best in everything we touch and handle.

Mission

Continuously excel to achieve and maintain leadership position in the chosen businesses; and
delight all stakeholder by making economic value addition in all corporate functions.

Achievement

Production of innovative, high quality retail branded beverages combined with world-class
packaging . Driven by a management team with a relentless focus on achieving superior
customer service , driving earnings improvement and increasing shareholder value.

Working environment

At RKJ company creating an environment where there employees enjoy a greater degree of
empowerment- both individually and their work teams. The employees are equipped with the
necessary tools, training and management backup for strong performance and accountability, as
well as with an environment of open communication and involvement.

PRODUCTS

PepsiCo India’s expansion portfolio includes refreshment beverages ..

 7UP
 Aquafina
 Duke’s
 Gatorade
  Mirinda
 Mountain Dew
 Pepsi
 Slice
 Tropicana

SWOT ANALYSIS
Strengths

1. Product diversity
2. Extensive distribution channel
3. Corporate social responsibility projects
4. Competency in merger and acquisitions
5. Successful marketing and advertising campaigns
6. Complementary product sales
7. Proactive and progressive

Weaknesses
1. Overdependence on walt-mart
2. Low priceing
3. Questionable practices(using tab water but labeling it as mountain spring water
4. Much weaker brand awareness and market share in the world beverage market
compared to coca cola
5. Too low net margin

Opportunities

1. Growing beverage and snacks consumption in emerging market

2. Increasing demand for healthy food and beverages
3. Further expansion through acquisition
4. Savory snacks consumption growth

Threats

1. Change in consumer taste

2. Water scarcity
3. Decreasing gross profit market
4. Strong dollar
5. Increased competition from snyder’s
EMPLOYEES
There are nearly 501-1000 employees. They all are highly qualified and well expert in their areas
of working. All the employees are provided with the good working condition and they all are
satisfied with their working environment.

RESEARCH METHODOLOGY

RESEARCH

The research design of this project is exploratory. Though each research study has its
own specific purpose but the research design of this project on BSNL is exploratory in nature as
the objective is the development of the hypothesis rather than their testing. The research designs
methods of financial analysis. Through of comparative balance sheet in comparative statement, I
am studying on balance sheet of BSNL of five year. So taking comparative statement, I am going
to analyzed of five years balance sheet of BSNL

METHODOLOGY

Every project work is based on certain methodology, which is a way to systematically

solve the problem or attain its objectives. It is a very important guideline and lead to completion
of any project work through observation, data collection and data analysis.
“Research Methodology comprises of defining & redefining problems, collecting,
organizing & evaluating data, making deductions & researching to conclusions.”

- Clifford Woody

RESEARCH DESIGN

Research Design refers to "framework or plan for a study that guides the collection and analysis
of data". A typical research design of a company basically tries to resolve the following issues:

a) Determining Data Collection Design

b) Determining Data Methods

 c) Determining Data Sources

d) Determining Primary Data Collection Methods

e) Developing Questionnaires

f) Determining Sampling Plan

(1) EXPLORATIVE RESEARCH DESIGN:

Explorative studies are undertaken with a view to know more about the problem. These studies
help in a proper definition of the problem, and development of specific hypothesis is to be tested
later by more conclusive research designs. Its basic purpose is to identify factors underlying a
problem and to determine which one of them need to be further researched by using rigorous
conclusive research designs.

(2) CONCLUSIVE RESEARCH DESIGN:

Conclusive Research Studies are more formal in nature and are conducted with a view to
eliciting more precise information for purpose of making marketing decisions.

These studies can be either:

a) Descriptive or

b) Experimental

Thus, it was mix of both the tools of Research Design that is, Explorative as well as Conclusive.

RESEARCH PROBLEM

I have selected that PERFORMANCE APPRAISER as research problem for my summer training
project.

As a research problem is the situation that causes the researcher to feel apprehensive,
confused and ill at ease. It is the demarcation of a problem area within a certain involving the
WHO or WHAT the WHERE the WHEN and the WHY of the problem situation.
 RESEARCH OBJECTIVE

How productivity relates with performance appraisal. In addition, the major factors of
performance appraisal, which have taken a part in increasing productivity of the organization.

RESEARCH INSTRUMENT USED

 QUESTIONNAIRE:

The term questionnaire usually refers to a self administered processes whereby

he respondent himself read the question and records without the assistance of an interviewer.

 INTERVIEW:

The interview method of collection data involves presentation of oral-

verbal stimuli and reply in terms of oral-verbal response.

EXPLORATORY RESEARCH

Exploratory research studies are also termed as formulating studies. The main purpose of
such studies that of formulating of the problem for more precise investigation or of
developing the working hypotheses from an operational point of view. An exploratory
research focuses on the discovery of ideas and is generally based on secondary data. It
consists:

 Search of secondary data and literature

 Survey
SEARCH OF SECONDARY DATA AND LITERATURE :

The quickest and most economical way is to find possible hypotheses from the available
literature. The past research may be suitable may suitable sources of information to develop
new hypotheses. The researcher can search them for his research purpose.

SURVEY REPORT:

Survey means the survey of people who have had practical experience with the problem to be
study. These individual can be top executives, sales manager, wholesaler and retailer
processing valuable knowledge and information about the problem environment.

RESEARCH INSTRUMENTS USED:

 QUESTIONNAIRE-:

The term questionnaire usually refers to a self – administered process whereby the
respondent himself read the question and records without the assistance of an interviewer.

 INTERVIEW-:

The interview method of collection data involves presentation of oral-verbal stimuli and
reply in terms of oral- verbal response.
 SAMPLING TECHNIQUE USED

When field studies are under are under taken in practical life, consideration of time cost and
some other factors almost invariably lead to selection of respondents. The selected
respondents constitutes a sample and the selection process is called sampling technique.

A sample design is define 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.

I have selected simple random sampling in my project.

SIMPLE RANDOM SAMPLING:

This type of sampling is also known as chance sampling or probability sampling where each item
in the population has an equal chance of being selected in the sample

SAMPLE SIZE:

When a survey is undertaken and when it is not possible to cover the entire population the
researcher has to answer the basic question – how large should be sample be ?the sample size
decision is related directly to research cost.
The intended sample size is the number of participants planned to be
included in the trial, usually determined by using a statistical power calculation. The
achieved sample size is the number of participants enrolled, treated , or analyzed in the study.

I have taken 50 people in my sample size as the sample size should be neither so small nor so
large.
METHOD USED FOR DATA COLLECTION

The task of data collection begins after a research after a research problem has been defined
and research design chalked out. While deciding about the method of data collection to be
used for the study the researcher should keep in mind two types of data-:

1) Primary Data
2) Secondary Data

1. PRIMARY DATA

Those data that have been observed and recorded by the researcher for the first time in
their knowledge.

Sources:

 Questionnaire
 Interview method

2. SECONDARY DATA:

Those data that have been compile by some agency other than user.

Sources:
 Company profile
 Magazine
 Internet

Books

 Previous report
LIMITATIONS

 A few limitations and constraints came in way of conducting the present

study, under which the researcher had to work are as follows:

  Although all attempts were made to make this an objective study, biases

on the part of respondents might have resulted in some subjectivity.

 Though, no effort was spared to make the study most accurate and useful,

the “sample Size” selected for the same may not be the true

representative of the Company, resulting in biased results.

 This being the maiden experience of the researcher of conducting study

such as this, the possibility of better results, using deeper statistical

techniques in analyzing and interpreting data may not be ruled out.

OBJECTIVE OFPERFORMANCE APPRAISAL

 A good performance appraisal has following objectives:-

 Help employee to overcome his weaknesses, and improve his strengths,

and thus enable him to improve his performance and that of the department.

 Generate adequate feedback and guidelines from the reporting officers to

the employee.

 Contribution to the growth and development of the employee thru helping

in realistic goal setting

 Help identifying employees for the porpoise of motivating, training and

developing them.

 Generate significant relevant, free and valid information about employees

thus good performance appraisal and review system should primarily focus on

employee development
 SCOPE OF THE STUDY

 Provide employee with a better understanding of their role and responsibility

 Increase confidence through recognizing strengths while identifying needs to
improve weakness
 Improve working relationship between supervisors and subordinates
 Increase commitment to organization goal
 Develop employee in to future supervisors
 DATA ANALYSIS

1. Are you aware of the objective of the performance appraisal system?

NO OF RESPONDENT(SAMPLE SIZE 50 )
OPTIONS PERCENTAGE

V E R Y M U C H
42 84%

S O M E W H A T
7 14%

D O N ’ T K N O W
1 2%

90

80

70

60

50

40

30

20

10

0
very much some what don't know

INTERPRITATION- 84% Employees are aware of the object of the performance

appraisal system.
 2. Performance appraisal helps the organization in achieving goal.

NOS OF RESPONDENT(Sample size 50)

OPTIONS PERCENTAGE

YES 38 76%

NO 10 20%

DON’T KNOW 2 4%

80

70

60

50

40

30

20

10

0
yes no don't know

INTERPRITATION - 76% Employees say yes that performance

appraisal helps the organization in achieving goal.

3. Hold meeting in the beginning of the year to explain & clarify activity task & goals
to be achieved.
 NOS OF RESPONDENT(Sample size 50)
OPTIONS PERCENTAGE

YES 39 78%

NO 11 22%

90

80

70

60

50

40

30

20

10

0
yes no

INTERPRITATION-: 78% Employees say that yes organized

Meetings helps goal and task. While the other 22% employees that is

not very much helpful.

4. Organization has to make a fixed duration for performance appraisal.

 N O S O F
OPTIONS RESPONDENT (Sample size PERCENTAGE
50)

YES 40 80%

NO 10 20%

90

80

70

60

50

40

30

20

10

0
yes no

INTERPRITATION -: 80% Employees agree with that is organization should have to

make a fixed duration for performance appraisal. While the other 20% employees do not

agree with this statement.

5. Satisfied for point allocation on the basis of KRA’s & managerial dimension.

NOS OF RESPONDENT(Sample size 50)

OPTIONS PERCENTAGE

FULLY SATISFIED 20 40%

 SATISFIED 26 52%

DISSATISFIED 2 4%

UNCERTAIN 2 4%

60

50

40

30

20

10

0
fully satisfied satisfied dissatisfied uncertain

INTERPRITATION-: 40% Employees are fully satisfied for point

allocation on the basis of KRA’s and managerial dimension.

6. Performance appraisal affects the working efficiency of employees.

NOS OF RESPONDENT(Sample size 50)

OPTIONS PERCENTAGE

YES 42 84%

NO 8 16%
 90

80

70

60

50

40

30

20

10

0
yes no

INTERPRITATION-: 84% Employees say that yes performance

appraisal system affect the working efficiency of employee. While the

other 16% employees do not agree with this statement.

7. Appraisal system is able to develop high result orientation approach.

NOS OF RESPONDENT(Sample size 50)

OPTIONS PERCENTAGE

YES 47 94%

NO 3 6%
 100

90

80

70

60

50

40

30

20

10

0
yes no

INTERPRITATION-: 94% Employees say that yes the appraisal

system is able to develop high result orientation approach. While the

other 6% employees do not agree with us.

8. The systems will also contribution in potential appraisal.

NOS OF RESPONDENT(Sample size 50)

OPTIONS PERCENTAGE

3 6 7 2 %
YES
1 0 2 0 %
NO
4 8 %
DON’T KNOW
 80

70

60

50

40

30

20

10

0
yes no don't know

INTERPRITATION-: 72% employees think that the systems will also Contribution in
potential appraisal.

9. Promotion process in the organization is based on –

NOS OF RESPONDENT(Sample size 50)

OPTIONS PERCENTAGE

PERFORMANCE 2 4%

EXPERIENCE 6 12%

BOTH 42 84%
 90

80

70

60

50

40

30

20

10

0
Performance experience both

INTERPRITATION-: 4% employees say that promotion says that

process in the organization is based on performance, 12%

employees say that based on experience and 84% say both.

10 .The present performance appraisal system is transparent &

Free from bias.

NOS OF RESPONDENT(Sample size 50)

OPTIONS PERCENTAGE

YES 42 84%

NO 8 16%
 90

80

70

60

50

40

30

20

10

0
YES NO

INTERPRITATION-: 84% Employees agree with this statement that the present
performance appraisal system is transparent and free from bias.

11 .Satisfied with the current performance appraisal system.

NOS OF RESPONDENT(Sample size 50) PERCENTAGE

OPTIONS

HIGHLY SATISFIED 27 54%

SATISFIED 18 36%

DISSATISFIED 1 2%

JUST SATISFIED 4 8%
 60

50

40

30

20

10

0
Highly satisfied Satisfied Dissatisfied Just satisfied

INTERPRITATION-:54% Employees are highly satisfied with the current Performance appraisal
system. While 36% employees are satisfied with the current performance appraisal system.
 CONCLUSION
After having analyzed the data, it was observed that practically there was no appraisal in the
organization. To be an effective tool, it has to be on the continuous basis. This is the thing that
has been mentioned time and again in the report, as, in the absence of continuity, it becomes a
redundant exercise. Before actually deciding drafting what should be the kind of appraisal the
following things should be taken care of:

1. The very concept of performance appraisal should be marketed throughout the organization.
Unless this is done, people would not accept it, be it how important to the organization.

2. To market such a concept, it should not start at bottom, instead it should be started by the
initiative of the top management. This would help in percolating down the concept to the
advantage of all, which includes the top management as well as those below them. This means
that the top management has to take a welcoming and positive approach towards the change that
is intended to be brought.

3. Further, at the time of confirmation also, the appraisal form should not lead to duplication of
any information. Instead, detailed appraisal of the employee’s work must be done – which must
incorporates both the work related as well as the other personal attributes that are important for
work performance.

4. It should be noted that the appraisal form for each job position should be different as each
job has different knowledge and skill requirements. There should not be a common appraisal
form for every job position in the organization.

5. The job and role expected from the employees should be decided well in advance and that
too with the consensus with them.

6. A neutral panel of people should do the appraisal and to avoid subjectivity to a marked
extent, objective methods should be employed having quantifiable data.

7. The time period for conducting the appraisal should be revised, so that the exercise becomes
a continuous phenomenon.
8. Transparency into the system should be ensured through the discussion about the
employee’s performance with the employee concerned and trying to find out the grey areas so
that training can be implemented to improve on that.

Ideally in the present day scenario, appraisal should be done, taking the views of all the
concerned parties who have some bearing on the employee. But, since a change in the system is
required, it cannot be a drastic one. It ought to be gradual and a change in the mindset of both the
employees and the head is required.