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CHAPTER I
INTRODUCTION
Once the employee has been selected, trained and motivated, he is then appraised
for his performance. Performance appraisal is the step where the management finds out
how effective it has been at hiring and placing employees. If any problems are identified,
steps are taken to communicate with the employee and to remedy them. A Performance
appraisal is a process of evaluating an employees performance of a job in terms of its
requirements. Heyel observes; It is the process of evaluating the performance and
qualification s of the employees in terms of the requirements of the job for which he is
employed , for purposes of administration including placement, selection for promotions,
providing financial rewards and other actions which require differential treatment among
the members of a group as distinguished from actions affecting all members equally
others regard it as a Process of estimating or judging the value, excellence, qualities or
status of some object, person or thing. Individually and collectively, it is a part of all the
other staffing processes, viz., recruitment, selection, placement and indoctrination.
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STATEMENT OF THE RESEARCH PROBLEMS
There is no consensus among the assessors on the factors that should be given
priority in evaluating the performance of the subordinates. For example; some may give
weight age for the quantum of work done while others way consider only the quality of
work even if the quantum of work done is below the expected level.
Some superiors have tendency to certify all their subordinates as very efficient
while others may be very strict in their evaluation and may certify even a very efficient
subordinate as just average. There are still others who give average ratings to all with a
view to be non-committal.
The personal likes and dislikes of the superior also affect employee appraisal. If a
superior does not personally like a subordinate, he may deliberately give him low ratings
on the other hand; if he likes another subordinate he may give him high ratings.
Another problem in performance appraisal is that there is always scope for
favoritism and nepotism. Factors such as religion, caste, mother tongue etc., influence
employee ratings. Discrimination based on sex is also common.
Such qualities of employees as attitude, commitment, loyalty, dependability etc.,
cannot be objectively measured. The subjectivity in their measurement also distorts
results.
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IMPORTANCE OF THE STUDY
Performance appraisal has been considered as a most significant and
indispensable tool for an organization, for the information is provides is highly useful in
making decisions regarding various personal aspects such as promotions and merit
increases. Performance measures also link information gathering and decision- making
processes which provide a basis for judging the effectiveness of personnel sub- divisions
such as recruiting, selection. Training and compensation. Accurate information plays a
vital role in the organization as a whole. They help pinpoint weak areas in the primary
systems. It is easier for managers to see which employees need training or counselling,
because jobs are grouped by categories. These categories can be broken into smaller and
smaller groups, if necessary. If valid performance data are available timely, accurate,
objective, standardized and relevant, management can maintain consistent promotion and
compensation policies throughout the total system.
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OBJECTIVES OF THE STUDY
To study on methods of evaluation encourages the employees to perform better.
To study on whether the organization provides a reliable index for promotions and
transfers to positions of greater responsibilities.
To know whether the organization maintains individual and group development
by informing the employee of his performance standard.
To study on whether the organization identifies the training needs and evaluate
effectiveness of training programmes.
To know the organizational effectiveness of the performance evaluation system
which is practiced in BHEL?
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LIMITATIONS
Researcher was not allowed to ask most touching questions which easily affected
employees
Short period of time the researcher has got to do his project work
The Researchers sample size is only 100 so he could not have collected more
information from the employees.
Some employees were afraid to give information
Since all the employees were not available during the day shift the Researcher
took accidental sampling.
Questionnaire collection was so difficult when I took survey in Bharat Heavy
Electricals Ltd.
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CHAPTER II
COMPANY PROFILE
INTRODUCTION
Bharat Heavy Electricals Limited (BHEL), established in 1953, is one of leading
power generation equipment manufacturers in the world. BHEL has 14 manufacturing
units, 13 Regional Operation Divisions and more than hundred "service-at-sites" facilities
spread all over India. BHEL offers comprehensive service to its customers in
Conventional and Non-Conventional Energy, Industry, Transportation,
Telecommunication and Oil sectors. BHEL has also bagged export orders from 40
countries around the world.
The High Pressure Boiler Plant of the Bharat Heavy Electricals Limited was setup in
1963 for the manufacture of High Pressure Boilers. The plant achieved its full annual
capacity to design manufacture and supply high pressure boiler equipment upto 4000
MW in 1984 with boiler unit ratings upto 500 MW.
BHEL, Tiruchi has over the years seen formidable growth in capacity, capability,
turnover and profitability. Product diversification has resulted in the development of new
products enabling BHEL to absorb modern technologies. Such innovations result in
continuous updation of manufacturing facilities to serve the customers in a more
comprehensive way and for improving quality and productivity.
BHEL, Tiruchi has added to its High Pressure Boiler Plant (HPBP), aSeamless Steel
Tube Plant (SSTP) at Tiruchirappalli (adjacent to the HPBP), a Boiler Auxiliaries
Plant (BAP) at Ranipet (in the state of Tamil Nadu), a Piping Centre (PC) at Chennai inTamil Nadu and an Industrial Valve Plant (IVP) at Goindwal (in the Northern state of
Punjab).
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HPBP and SSTP are spread over 2908 acres of land at Tiruchi and BAP over 1256 acres
at Ranipet. HPBP and SSTP have a covered shop area of 2,50,000 square meters and
BAP Ranipet has 47,000 square meters of covered shop area.
Major Achievement of BHEL
Acquired certifications for Quality Management Systems (ISO 9001),
Environmental Management Systems (ISO 14001) and Occupational Health &
Safety Management Systems (OHSAS 18001)
Installed equipment for over 90000 MW of power generation
Supplied over 2,25,000 MVS transformer capacity and other equipment operating
in Transmission & Distribution network up to 400 kv (AC & DC)
Supplied over 25,000 Motors with Drive control system to Power projects,
Petrochemicals, Refineries, ?steel, Aluminum, Fertilizer, Cement plants, etc.
Supplied Traction electrics and AC/DC locos to power over 12,000 km Railway
network
Supplied over one million valves to power plants and other industries.
BHELs VISION is to become a world-class engineering enterprise, committed to
enhancing stakeholder value. The company is striving to give shape to its aspirations and
fulfill the expectations of the country to become a global player
The Greatest strength of BHEL is its highly skilled and committed 42,600
employees. Every employee is given an equal opportunity to develop himself and grow inhis career. Continuous training and retraining, career planning, a positive work culture
and participative style of management? All these have engendered development of a
committed and motivated workforce setting new benchmarks in terms of productivity,
quality and responsiveness.
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BHEL- an overview
BHEL is the largest engineering and manufacturing enterprise in India in the
energy related infrastructure sector. BHEL was established more than 40 years ago.
Ushering in the indigenous heavy Electrical Equipment industry in India, a dream which
has been more than realized with a well recognized track record of performance. It has
been earning profits continuously since 19771-72 and achieved a sales turnover of Rs
18,739 Crore with a profit before tax of Rs. 3,736 Crore in 2006-07.
BHEL caters to core sectors of the Indian Economy viz., Power Generation and
Transmission, Industry, Transportation, Renewable Energy, Defence, etc. The wide
network of BHELs 14 manufacturing divisions, 4 power sector regional centers, 8
service centers, 15 regional offices and a large number of project sites spread all over
India and abroad enables the company to promptly serve its customers and provide them
with suitable products, systems and services- efficiently and at competitive prices.
BHEL has attained ISO 9001 certification for quality management and all the
manufacturing units/ divisions of BHEL have been upgraded to the latest ISO-9001:2000
version. All the major units/ divisions of BHEL have been awarded ISO-14001
certification for Environment Management Systems and OHSAS-18001 certification for
Occupational Health and Safely Management systems. BHEL became the first Public
sector company in the country to win the coveted PRIZE for its Hardware unit under
the CII Exim Award for business excellence, as per the globally recognized model of
European Foundation for Quality management BHEL is the only PSU among the 12Indian companies to figure in Forbes Asia Fabulous 50 list. It has also won the Business
standard star public sector company award- 2006. The company received MoU
Excellence Award for 2004-05 and merit Certificate for MoU Excellence for 2005-06
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Power Generation
Power Generation sector comprises thermal, Gas, Hydro and Nuclear power plant
business. As of 31.3.2007 BHEL supplied sets account for 80,781 MW or nearly 65% of
the total installed capacity of 1, 25,414 MW in the country. Significantly these sets
contribute 73% of the total power generated in the country.
BHEL has proven turnkey capabilities for executing power projects from concept
to commissioning. It possesses the technology and capability to produce thermal sets with
super critical parameters up to 1000 MW unit rating and gas turbine- generator sets of up
to 300 MW units rating. Co-generation and combined cycle plants have been introduced
to achieve higher plant efficiencies. To make efficient use of the high ash- content coal
available in India. BHEL also supplies circulating fluidized Bed combustion (CFBC)
boilers for thermal plants.
The company manufactures 220/235/500/540 MW, nuclear turbine-generator sets.
Custom- made hydro sets of francis, pelton and Kaplan types for different head discharge
combinations are also engineered and manufactured by BHEL.
The company has proven expertise in plant performance improvement through
renovation. Modernization and uprating of a variety of power plant equipment, besides
specialized know-how of residual life assessment, health diagnostics and life extension of
plants. Overall, BHEL built thermal sets achieved the highest ever PLF of 78.3% in
2006-07 which is 1.5% higher than the National average. The combined operating
availability (OA) of these sets was 84.7%.
Industries
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BHEL manufactures and supplies major capital equipment and systems like
captive power plants, centrifugal compressors, Drive turbines, industrial boilers and
auxiliaries, waste heat recovery boilers, gas turbine pumps. Heat exchangers, Electrical
machines, valves, Heavy castings and forgings, electrostatic precipitators, ID/FD fans,
Seamless pipes etc. to a number of industries, other than power utilities, like
metallurgical, mining, cement, paper, fertilizers, refineries and petro chemicals, etc.
BHEL has also emerged as a major supplier of controls and instrumentation systems,
especially distributed digital control systems for various power plants and industries
Transportations
Most of the trains in Indian Railways, whether electric or diesel powered, are
equipped with BHELs traction propulsion system and controls. The systems supplied are
both with conventional DC drives and state of the art AC drives. Indias first
underground metro at kolkata runs on drives and controls supplied by BHEL. The
company also manufactures complete Rolling stock i.e. Electric locomotives up to 5000
HP, EMU coaches and Diesel Electric locomotives from 350 HP to 3100 HP for both
main line and shunting duty applications. BHEL also undertakes retrofitting and over
hauling or rolling stock. In the area of urban transportation. BHEL is geared up for turkey
execution of electric trolley bus systems, light rail systems and metro systems. BHEL is
contributing to the supply of electrics for EMUs for 1500V DC & 25 kV AC to Indian
Railways. Almost all the EMUs in service are with electrics manufactured and supplied
by BHEL. BHEL has also diversified into the area of track maintenance machines for
Indian Railways.
Renewable Energy
BHEL has been manufacturing and supplying a range of Renewable Energy
systems and products. It includes solar Energy systems viz. PV modules, PV power
plants, street lighting, solar pumps and solar water heating systems. A large number of
small hydro power stations have also been completed. New areas like wind power
generation etc. are also being explore for entry.
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In lime with the efforts being made at National level for development of remote areas,
BHEL has commissioned six stand alone solar Photovoltaic (SPV) power plants of
3X110 KWP and 3X55 kwp capacities in sunder bans (WB) 57 sets of solar PV operated
petrol pumps are being supplied to M/s HPCL.
Oil and Gas
BHEL is supplying onshore Drilling rig equipment viz Draw works, Rotary-
table, Traveling block. Swivel, Mast and sub structure, Mud systems and Rig electrics to
ONGC and oil India Ltd. Well heads & X-mas tree valves upto 10,000 psi rating for
onshore as well as offshore application are being supplied to ONGC, oil India Ltd. And
Private Drilling companies. BHEL has also supplied casing support system, Mudline
suspension system and Block Valves to ONGC for offshore application. It also has the
capability to supply complete onshore Drilling rigs, Super-deep drilling rigs, Desert rigs,
Mobile rigs, Work over rigs and sub-sea well heads. Currently, BHEL is executing orders
for refurbishment and up-gradation of onshore oil rigs from ONGC & Oil India Ltd.
BHEL has supplied GT driven centrifugal compressor packages to GAIL India Ltd. For
their gas compressor stations for Dahej to Vijaipur gas pipeline project.
Transmission
BHEL supplies a wide range of products and systems for transmission and
distribution applications. The products manufactured by BHEL include Power
transformers, Instrument transformers. Dry type transformers, Shunt reactors, Capacitors,
vacuum and SF^ switchgear, Gas insulated switchgears, Ceramic insulators, etc. BHEL
has developed and commercialized the countrys first indigenous 36 kv Gas insulated
substation (GIS) and has also developed 145 kv GIS Which has undergone successful
field trials at Hyderabad.
For enhancing the power transfer capability and reducing transmission losses in 400 kv
lines, BHEL has indigenously developed and executed fixed series compensation
schemes and has developed thyristor controlled series compensation scheme, involving
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thyristor controlled reactors, popularly known as Flexible AC Transmission system
(FACTS). BHEL has indigenously developed and commercialized state-of-the-art
controlled shunt reactor for ractive power management of long transmission lines. With a
strong engineering base, the company undertakes turnkey execution of substations upto
400 kv and has the capability to execute 765 kv substations. High Voltage Direct current
(HVDC) systems have been supplied for economic transmission of bulk power over long
distances.
International Business
BHEL has, over the years, established its references in 70 countries across all
inhabited continents of the world. These references encompass almost the entire range of
BHEL products and services, covering thermal, Hydro and Gas-based turnkey power
projects, Substation projects, and Rehabilitation projects besides a wide variety of
products like Transformers. Compressors. Valves and oil field equipment Electrostatic
Precipitators, Photovoltaic equipment, Heat Exchangers, Switchgears, Castings and
Forgings etc.
Some of the major successes achieved by BHEL have been in Gas-based power projects
in Oman, Libya, Malaysia, Saudi Arabia, Iraq, Bangladesh, Sri Lanka, China,
Kazakhstan, Thermal power projects in Cyprus, Malta, Libya, Egypt, Indonesia,
Thailand, Malaysia, Sudan, Hydropower plants in New Zealand, equipment in various
countries. Execution of these overseas projects has also provided BHEL the experience of
working with world renowned consulting organizations and inspection Agencies.
The company has been successful in meeting demanding requirements of international
markets, in terms of complexity of the works as well as technological quality and other
requirements viz. HSSE requirements, financing packages and associated O&M services,
to name a few. BHEL has proved its capability to undertake projects on fast track basis.
BHEL has also established its versatility to successfully meet the other varying needs of
various sectors, be it captive power, utility power generation or for the oil sector. Besides
undertaking turnkey projects on its own, BHEL also possesses the requisite flexibility to
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interface and complement other international companies for large projects, and has also
exhibited adaptability by manufacturing and supplying intermediate products
The company is taking a number of strategic business initiatives to fuel further growth in
overseas business. This includes firmly establishing itself in target export market both in
utility and IPP segments. And exploring various opportunities for setting up overseas
joint ventures etc.
Technology Up gradation, Research & Development
To remain competitive and meet customers expectations, BHEL lays great
emphasis on the continuous up- gradation of products & related technologies and
development of new products. The company has upgraded its products to contemporary
levels through continuous in house efforts as well as through acquisition of new
technologies from leading engineering organizations of the world.
The corporate R&D Division at Hyderabad leads BHELs Research efforts in a number
of areas of importance to BHELs product range. Research and product development
centers at each of the manufacturing divisions play a complementary role. Centers of
excellence have been set up for simulators, computational fluid Dynamics, Permanent
mange machines and surface Engineering. In addition to the corporate R&D Division.
BHEL has four specialized institutes, viz., and Welding Research institute at Trichy,
Ceramic Research institute at Bangalore, Centre for Electric Traction and Hydro lab at
Bhopal and pollution control Research institute at Haridwar.
BHELs investment in R&D is among the highest in the corporate sector in India.
Products developed in-house during the last five years contributed 14.5% to the revenues
in 2006-2007.
BHEL has introduces, in the recent past, several state-of-the-art products viz. 60MW
Bubbling Fluidized Bed combustion Boiler for power generation against the maximum
size of 40 MW being supplied so far, 260 MW steam turbine designed to suit combined
cycle power plants, Bypass Over Fire Air (BOFA) for reduction of Knox from coal based
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thermal power plant, high-efficiency Francis and pelt on hydro turbines, new LP turbine
variant which can be retrofitted in old Russian 9LMW) 210 MW thermal sets, Automatic
storage & Retrieval system (ASRS) for storage and inventory management system of the
Indian Army, solar panels with 5500 watts output consisting of high-efficiency multi-
junction solar cells, satellite batteries for INSAT 4A, Controlled Sunt Reactor (CSR)
for400 kv transmission lines, Flexible AC Transmission systems (FACTS), STATCOM,
Phase shifting Transformer (PST), 145 kv Gas insulated switchgear (GIS), Micro
controller based flame scanner, a more energy efficient single cylinder non-reheat steam
turbine for 100-140 MW application, IGBT based 3-phase drive system for 700 HP diesel
electric locomotives, technology for manufacture of 400 kv long-rod composite
insulators with improved properties by adding nano materials, performance analysis,
Diagnostics and optimization (PADO) packate for power plants, 91 ton BHEL 280 Bowl
milt, etc.
The company is also engaged in research in futuristic areas like fuel cells for distributed
environment friency power generation, clean coal technology applications, super
conductivity applications in transmitters, generators/motors etc. and nano technology for
various applications.
Human Resource Development Institute
The Human Resource Development institute (HRD) situated in Noida, is the
corner stone of BHEL learning infrastructure, along with /grievance Technical Education
Centre (ATEC) in Hyderabad and the Human Resource Development centers (HRDCs) at
different units. Through various organizational developmental efforts, these centers
ensure that the prime resource of the organization the Human capital- is always in a
state of readiness to meet the dynamic challenges posed by a fast changing environment.
It is their constant Endeavour to take the HRD activities to the strategic level of
becoming active partner for achieving the organizational goals.
Guided by the HRD Polestar statement To create an environment supportive of
blossoming of full potential of employees, the HRDI along with HRDCs and ATEC,
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through a systematic strategic long term training process and several short-term need
based programmes based on comprehensive organizational research, enable the human
resources to unearth and polish their potential. The HRDI is spearheading the HRD
initiatives in the company and focusing on competency, commitment and culture
building.
Some of the core programmes are Advanced Management Programmes, Senior
Management Progammes, Middle Management Progammes, and Young Managers
Progammes.
In addition, HRDI provides professional support to corporate HR and HRDCs at
units/Divisions.
Health, Safety and Environment Management
BHEL is committed to be an environment friendly company in all its areas of
activities, products and services, providing safe and healthy working environment to all
stakeholders. In fact this aspect has become an integral part of companys business
performances. Significantly, BHEL has also taken initiatives on clean Development
Mechanism (CDM) projects to reduce greenhouse gas emissions in a more focused way
and vigorous efforts are being made to achieve milestones in this area.
In line with companys strategy, BHEL undertook host of Environment improvement
projects and community Development Progammes. Some of the major EIPs executed in
the past at BHEL plants & townships included tree plantation drives bringing the total
number of trees planted over 30 lakhs, installation of rain water harvesting plants,
efficient water & energy management, reduction in noise level. Improvement in chemical
storage & handling systems etc. In conformity with BHELs concern for society andenvironment, a more energy efficient single cylinder non-reheat steam turbine for 100-
140MW application has been developed, suitable for plants where large amounts of waste
heat is available and reheat option is not feasible. This is the largest single cylinder steam
turbine engineered so far by BHEL.
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As part of its corporate social Responsibility, BHEL adopted 56 villages having nearly
80,000 inhabitants. Other examples of CSR are Blood Donation Camps, Health Check-up
camps besides, providing infrastructure support at these villages. In addition, BHEL
provided financial assistaqnce to various NGOs/trusts/social Welfare Societies that are
engaged in social activities throughout thae country.
BHELs tradition of bagging prestigious awards on social Responsibility, Environmnetal
conservation & pollution control and satety was continued. Mr. Khalid Zaheer, an
employee of BHEL, Haridwar, Has been conferred one of the countrys highest civilian
honours-Padma Shri for the year 2006 for his contribution to social causes, by the
president of India. In addition, the central Foundry Forge plant at Hardwar won the Best
Energy conservation implementation Gold Award 2005-2006, under indira GandhiMemorial National Award for Excellence, while the seamless steel Tube plant at Trichy
bagged the National Award for Energy Management in the national competition for
excellence, conducted during CIIs Energy Summit 2006 Besides these, three National
Safety awards have been won by BHELs Electronics Division & Electro Porcelains
Division, Bangalore for outstanding achievements in terms of the longest accident free
period and lowest accident frequency rate at their works.
Participation in the UNs Global Compact Programme
As the worlds largest global corporate citizenship initiative, the global compact is
the first and the foremost concern which is exhibiting and building the social legitimacy
oc business and markets. BHEL is committed to united Nations Global compact
Progamme, the set of core values enshrined in its ten principles and the intent to advance
Global compact principles within the companys sphere of influence. BHEL has made
these a part of the strategy, culture and day-to-day operations. As part of this
programme.. BHEL continued to play a lead role in the activities of the Global compact
society in India, which acts as an Apex level nodal agency representing Indian corporate
Bodies and institutes/Organizations who are committed to UNs Global compact
Programmes.
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CHAPTER III
REVIEW OF LITERATURE
DEFINITION
According to Cummings, the overall objective of performance appraisal is to
improve the efficiency of an enterprise by attempting to mobilize the best possible efforts
from individuals employed in it. Such appraisals achieve four objectives including the
salary reviews, the development and training of individuals, planning job rotation and
assistance promotions.
OBJECTIVES OF EMPLOYEES PERFORMANCE APPRAISAL
To enable an organization to maintain an inventory of the number and quality of
all managers and to identify and meet their training needs and aspirations.
To determine increments rewards, and provide a reliable index for promotions and
transfers to positions of greater responsibility.
To maintain individual and group development by informing the employee of his
performance standard.
To suggest ways of improving the employees performance when he is not found
to be up to the mark during the review period.
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To identify training and development needs and to evaluate effectiveness of
training and development programmes
To plan career development, human resources planning based on potentialities
It will, thus, be seen that performance appraisal is an important tool of personnel
management. It is a judgement of the characteristics, traits and performance of employees
and has a wide range of utility. For example
i) It unifies the appraisal procedure so that all employees are rated in the same
manner, utilizing the same approach so that the ratings obtained of separate
personnel are comparable.
ii) It provides information which is useful in making and enforcing important
decisions about selection, training, promotions, pay increases, transfers, lay-
offs, discharges, salary adjustment, etc. The information is supplied wel in
advance so that spot judgements may be avoided.
iii) It provides information in the form of records about ratings which may be
produced as evidence when decisions on ratings are challenged in a court of
law. Even arbitrators accept these in the course of grievance handling
procedures as authentic records.
iv) It serves to stimulate and guide employee development. Appraisal
programmes provide information on the weaknesses of employees and enable
them to gauge their own value and accomplishments and to know what they
are doing. The weaknesses provide the basis for an individual development
programme. If used properly, such periodical appraisals will establish an
atmosphere in which criticism can be taken without resentment and can be
used constructively for self-improvement.
v) By finding out an employees qualifications, and his work and comparing it
with job requirements, inefficient employees and those whose views are not in
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harmony with the companys objectives or management philosophy can be
weeded out or persuaded to adjust themselves.
vi) A periodic and accurate appraisal constrains a supervisor to be alert and
competent in his work, i.e., it improves the quality of supervision by giving
him an incentive to do the things that he should normally be doing anyway.
vii) It gives supervisors a more effective tool for rating thwir personnel, enables
them to make a careful analysis of their men and gibves them a better
knowledge and understanding of them.
viii) It makes for better employer-employee relations through mutual confidence,
which comes as a result of frank discussions between a supervisor and his
men.
ix) In short, the main purpose of performance appraisal is to provide the
deadlock and research data for improving the overall personnel information
system.
THE EVALUATION PROCESS
The process of performance appraisal follows a set pattern, a mans performance
is periodically appraised by his superiors. Questions are raised- Is his potential the
greatest as a manager or as a staff specialist? What are his strengths and weaknesses?
Where can he make his great contribution? Next, sometimes in consultation with the man
himself, tentative decisions are made on what might be done to advance his development.
Establish performance standards
Communicate performance expectations to employees
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Measure Actual Performance
Compare Actual Performance with standard
Discuss the appraisal with the employee
If necessary, initiate corrective action
The Process of evaluation begins with the establishment of performance
standards. At the time of designing a job and formulating a job description, performance
standards are usually developed for the position. These standards should be clear and not
vague, and objective enough to be understood and measured. These standards should be
discussed with the supervisors to find out which different factors are to be incorporated
weights and points to be given to each factor and these then should be indicated on the
appraisal form, and later on used for appraising the performance of the employees.
The next step is to communicate these standards to the employees, for the
employees left to themselves, would find it difficult to guess what is expected of them.
To make communication effective, feedback is necessary from the subordinate to the
manager. Satisfactory feedback ensures that the information communicated by the
manager has been received and understood in the way it was intended.
The third step is the measurement of performance. To determine what actual
performance is, it is necessary to acquire information about is. We should be concerned
with how we measure and what we measure. Four sources of information are frequently
used to measure actual performance personal observation, statistical reports, oral reports,
and written reports.
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The fourth step is the comparison of actual performance with standards. The
employees is apprised and judged of his potential for growth and advancement. Attempts
are made to note deviations between standard performance and actual performance
At the next stage, the results of appraisal are discussed periodically with the
employees, where good points, weak points, and difficulties are indicated and discussed
so that performance is improved. The information that the subordinate receives about his
assessment has a great impact on his self-esteem and on his subsequent performance.
Conveying good news is considerably less difficult for both the manager and the
subordinate than when performance has been below expectations
The final step is the initiation of corrective action when necessary; immediate
corrective action can be of two types. One is immediate and deals predominantly with
symptoms. The other is basic and delves into causes. Immediate corrective action is often
described as putting out fires, whereas basic corrective action gets to the source of
deviation and seeks to adjust the difference permanently. Coaching and counseling may
be done or special assignments and projects may be set; persons may be deputed for
formal training courses, and decision-making responsibilities and authority may be
delegated to the subordinates. Attempts may also be made to recommend for salary
increases or promotions, if these decisions become plausible in the light of appraisals.
METHODS OF PERFORMANCE APPRAISAL
The following are the important methods of appraising the performance of employees.
TRADITIONAL METHOD
MODERN METHOD
TRADITIONAL METHODS
1. Ranking method 8. Grading
2. Graphic scale rating method 9. Forced Choice Description Method
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3. Forced choice method 10. Check list
4. Essay appraisal method 11. Group Appraisal
5. Paired comparison method
6. Field review method
7. Critical incidents method
Ranking method
This is a conventional method of appraisal. Under this method, the employees
in a group are given ranks by the superior according to their individual performance.
The method resembles the one followed in schools in preparing the progress reports
of the students. The best employee gets the first rank, the second best the second rank
and so on.
Name of the employee Shyam Mohan Sundar Rajiv
Rank 4 3 2 1
A number of factors like attitude, aptitude, behaviour, honestly, commitment
etc., will have to be considered in making an assessment of an employees objective
measurement of the employees progress. For a subjective assessment the ranking method
may not be recommended.
Graphic scale Rating Method
This method of evaluation of employees is widely used in enterprises. The
important qualities to be assessed are determined first. The extent of fulfillment of each
such quality by an employee is then tick marked.
Name of the employee RMohan
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Designation Mechanic.
Nature of work Repair Service
Qualities Excellent Very Good Good Average Poor
Knowledge of work
Quality of work
Quantum of wok done
Extent of co-operation
Initiative
This method, like the ranking method, is simple to use. But the drawback is that
sometimes the evaluator may tend to give an employee the same rating in respect of all
his traits. For example, if he has given Excellent for Quality of work, he may give the
same rating even for behaviour, initiative, job knowledge etc.
Some evaluators may, in order to be neutral or non-committal rate majority of the
employees as just average. On the other hand, there are also superiors who may rate all
their subordinates as very good.
Forced Choice Method
In this case, the assessor has to assess his subordinates based on certain statements
given to his. These statements may indicate the positive as well as the negative qualities
of an employee. The evaluator has to select those statements that describe the employee,
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The evaluator has to select those statements that describe the employee, who is assessed,
in the best manner. This is illustrated below:
Positive Qualities Negative Qualities1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
Very knowledge
Meticulous in planning
Very good in execution
Committed to work
Sincere
Dependable
Possess good communication
Loyal
Time conscious
Co-operative
Shirks duties
Undependable
Quarrelsome
Non-co-operative
Poor in planning
Lacks the skill to communicate
Lacks initiative
Lethargic
Irregular
Irritable nature
The evaluator will choose from the above statements those that describe the
subordinate in the most appropriate manner. But the drawback of this method is that the
superior has to select only from the given statements. He may find the statements either
inadequate or unsuitable to bring out the actual traits of the individual.
Essay Appraisal Method
As the very name indicates this approach is descriptive in nature. The assessor in
this case has to write in detail about each of the subordinates whose performance he
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assesses. This method helps to overcome the drawbacks of the methods discussed
already.
A superior may manage 5 or 6 subordinates and knows the traits of each of them.
It will not, there fore, be difficult for him to write about their performance and progress.
The assessment made using the essay method is bound to be more reliable as it is in the
evaluators own write-up.
But the essay method is not free from limitations. It is considered to be a time
consuming method. The success of the method depends mainly on the capacity of the
superior to write effectively about his subordinates.
Paired comparison Method
In this case a subordinate in a group is compared with the other members. For
example, it A, B, C and D are the subordinates working under S, A may be compared
with B, C and D in respect of job knowledge, initiative, extent of co-operation and so on.
In this manner every employee is compared with every other employee of the group.
Paired comparison method is generally considered to be a complicated one. It is
time-consuming as well.
Field Review Method
This is an altogether different approach to performance appraisal. In this case, an
interviewer from the personnel department of the enterprise would meet the supervisor
and gather information on the performance of the subordinates working under him.
The Supervisor may also be asked to suggest measures to improve the subordinates
performance. The interviewer, depends much on the capability of the interviewer to get
the relevant information fromm each supervisor and the willingness of the supervisor to
disclose correct information.
Critical Incident Method.
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This is yet another different method. The evaluator in this case will be asked to
record the behaviour of different subordinates when a critical incident takes place in the
workplace. Rating will be done based on the extent of correctness of the subordinates
behaviour.
Let us assume that P, Q, R, S and T are factory workers. Let us further assume
that T is involved in an accident while at work and record the reactions of P,Q,R and S
and the scores they would get for the same.
Name of the Workers Reaction Score
P
Q
R
S
Ran away from the place
Informed the supervisor
Gave T the necessary first aid
Took T to the nearest hospital
0
2
5
4
The scores given are in accordance with the extent of correctness of behaviour of
each employee. This approach is suitable to measure such qualities of an individual as
judgment, alertness, initiative, loyalty etc.
The drawback of this method is that critical incidents do not take place in the
workplace often. As a result, it is not possible to make frequent appraisal of the
employees. Moreover, Whether an incident is critical or not is difficult to judge.
Grading method
Under this system, the rater considers certain features and marks them accordingly to a
scale. Certain categories of worth are first established and dependability, self-expression,
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job knowledge, Judgment, leadership and organizing ability, etc. They may be: A
-Outstanding; B - Very Good; C Good or Average; D Fair; E Poor; and B (or B -)
Very poor or hopeless.
The actual performance of an employee is then compared with these grade
definitions, and he is allotted the grade which best describes his performance. Such type
of grading is done in semester examinations and also in the selection of candidates by the
public service commissions
Forced choice Description Method
This method was evolved after a great deal of research conducted for the military
service during World War II. It attempts to correct a raters tendency to give consistently
high or consistently low ratings to all the employees. The use of this method calls for
objective reporting and minimum subjective judgment. Under this method, the rating
elements are several sets of pair phrases or adjectives relating to job proficiency or
personal qualifications. The rater is asked to indicate which of the four phrases is most
and least descriptive of the employee.
Check list
Under this method, the rater does not evaluate employee performance; he supplies reports
about it and the final rating is done by the personnel department. A series of questions are
presented concerning an employee to his behaviour. The rater, then, checks to indicate if
the answer to a question about an employee is positive or negative. The value of each
question may be weighed equally or certain questions may be weighed more heavily than
others. An example of a checklist is given below:
1. Is the employee really interested in his job ? Yes/No
2. Is he regular on his job? Yes/No
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3. Is he respected by his subordinates? Yes/No
4. Does he show uniform behaviour to all? Yes/No
5. Does he keep his temper? Yes/No
This method suffers from bias on the part of the rater because he can distinguish
positive and negative questions. Secondly, a separate checklist must be developed for
different classes of jobs. This process can be expensive and time consuming. Thirdly, it is
difficult to assemble, analyze, and weigh a number of statements about employee
characteristics and contributions.
Group Appraisal Method
Under this method, employee are rated by an appraisal group, consisting of their
supervisor and three or four other supervisors who have some knowledge of their
performance. The supervisor explains to the group the nature of his subordinates duties.
The group then discusses the standards of performance for that job, the actual
performance of the job-holder, and the causes of their particular level of performance,
and offers suggestions for future improvement, if any. The advantage of this method is
that it is thorough, very simple and is devoid of any bias, for it involves multiple judges.
But it is very time-consuming.
Modern Methods
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As we have seen, mot traditional methods emphasize either on the
tasked or the works personality, while making an appraisal. In order to
bring about a balance between these two, modern methods has been
developed. Of such methods, the most important are.
1. Appraisal by results or management by Objectives
2. Assessment Center method
3. Human Asset Accounting Method
4. Behaviorally anchored Rating Scales
Appraisal by results or Management by Objectives
This method has been evolved y peter Drucker. MBO is potentially a powerful
philosophy of managing and an effective way for operationalising the evaluation process.
It seeks to minimize external controls and maximize internal motivation through joint
goal setting between the manager and the subordinate and increasing the subordinates
own control of his work. It strongly reinforces the importance of allowing the subordinate
to participate actively in the decisions that affect him directly.
Management by Objectives can be described as a process whereby the superior
and subordinate managers of an organization jointly identify its common goals, define
each individuals major areas of responsibility in terms of results expected of him and use
these measures as guides for operating the unit and assessing the contributions of each of
its members.
From another point of view, MBO has been defined as: 1. A system approach tomanaging and organization, where those accountable for directing the organization first
determine where they want to take the organization; 2. a process requiring and
encouraging all key management personnel to contribute their maximum to achieving the
overall objectives 3. an effort to blend and balance all the goals of all key personnel; and
4. an evaluation mechanism.
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Assessment centre method
The Assessment centre concept was initially applied to military situations by simoniet in
the German Army in the 1930s and the War Office selection Board of the BGritish Army
in the 1960s. The purpose of this method was and is to test candidates in a social
situation, using a number of assessors and a variety of procedures. The most important
feature of the assessment centre is job-related simulations. These stimulations involve
characteristics that managers feel are important to the job success. The evaluators observe
and evaluate participants as they perform activities commonly around in these higher
level jobs.
Under this method, many evaluators join together to judge employee performance in
several situations with the use of a variety of criteria. It is used mostly to help select
employees for the first level supervisory positions. Assessments are made to determine
employee potential for purposes of promotion. The assessment is generally done with the
help of a couple of employees and involves a papr and pencil test, interviews and
situational exercises. Some of the other features of this system are:
i) The use of situational exercises (such as an in-basket exercise, business game,
a role-Playing incident and leaderless group discussion)
ii) Evaluators are drawn from experienced managers with proven ability at
different levels of management:
iii) They evaluate all employees, both individually and collectively, and each
candidate is given one of the three categories more than acceptable, less than
acceptable and unacceptable:
iv) A summary report is prepared by the members, and a feedback on a face-to-face basis is administered to all the candidates who ask for it.
360 Degree Performance Appraisal
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The appraisal may be any person who has thorough knowledge about the jobn
done by contents to be appraised, standards of contents and who observes the employee
while performing a job. The appraiser should be capable of determining what is more
important and what is relatively less important. He should asses the performance without
bias. The appraisers are supervisors, peers, subhordinates employees themselves users of
service and consultants. Performance appraisal by all these parties is called 360
Appraisal.
Human Asset Accounting Method
The human asset accounting method refers to activity devoted to attaching monet
estimates to the value of a firms internal human organization and its external customer
goodwill. If able, well-trained personnel leave a firm, the human organization is
worthless; if they join it, its human assets are increased. If distrust and conflict prevail,
the human enterprise is devalued. If teamwork and high morale prevail, the human
organization is a very valuable asset.
The current value of a firms human organization can be appraised by developed
procedures, by undertaking periodic measurements of Key causal and intervening
enterprise variables. They key causal variables include the structure of an organizations
management policies, decisions business leadership, strategies, skills and behaviour. The
intervening variables reflect the internal state and health of an organization. They include
loyalties, attitudes, motivations, and collective capacity for effective interactions,
communication and decision-making. These two types of variable measurements must be
made over several years to provide the needed data for the computation of the human
asset accounting.
Behaviorally Anchored Rating Scales (BARS)
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This is a new appraisal technique which has recently been developed. Its
supporter claims that it provides better, more equitable appraisals as compared to other
techniques. The Procedure for BARS is usually five stepped.
Generate Critical Incidents
Develop Performance Dimensions
Reallocate incidents
Scale of incidents
Develop Final Instrument
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CHAPTER IV
RESEARCH METHODOLOGY
Geographical Area Covered:
The researcher has done his research work in Bharat Heavy Electricals Limited.
Ranipet.
Period of study:
The Researcher did his project work for Two months from December to January
Research Design:The researcher used Exploratory design for this research work. Because to get
original picture of the causes and the consequences of Employees Performance
Evaluation system.
Sampling Design:
Sampling is a method of collecting data from large population on random basis.
Sampling is one of the cost effective tool. It saves time and efforts for this a portion
population is taken and conduct study on his group this includes
a) Population:
The study covers employees working in Bharat Heavy Electricals Limited
Sample unit:
The sample unit covered all the employees in Bharat Heavy Electricals Limited
Sample size:
Sample size for the study is 100 employees
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Sampling procedure:
Non probability, Random Sampling
Method of data collection:
The research adopted the primary data for data collection. As primary data are
these, which are collected for, the first time they happen be original in nature. The
researcher utilized both primary and secondary primary data was collected through
questionnaire, Internet, companys profile are said to be the secondary data for his study.
Research Instruments:A structured non-disguised questionnaire was used to conduct the survey
among 100 employees. This includes various open ended and close-ended questions.
Tools for Analysis:
The analysis for this study is done on the basis of the data collection through
questionnaire. The data collective were in the form of qualitative nature for abstracting
meaningful information from the data collected. The tools used for the analysis are
Simple percentage method
Diagrams and charts
Chi-square test
Simple percentage method:
One of the tools used for analyzing the data in percentage method.
Percentage refers to a special kind of ratio. Which is used to describe relationship
percentage reduces every thing to a common base and there by allows meaningful
comparison to be made
Number of employees
Percentage______________________ x 100
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Total number of employees
Diagram and charts:
One of the most convincing and appealing ways in which statistical results
may be presented in through diagrams and graphs
Chi-Square test
The chi-square test is an important test amongst the several tests of
significance development by statisticians. Chi-square, It is a statistical measure
used in the context of sampling analysis for comparing a variance to a theoretical
variance.. As a non-parametric test, it can be used to determine if categorical
data shows dependency or the two classifications are independent. It can also be
used to make comparisons between theoretical populations and actual data when
categories are used.
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CHAPTER V
ANALYSIS AND INTERPRETATIONS
TABLE 1
Employees Describe about their jobs
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Challenging 38 38
2 Interesting 56 56
3 Unchallenging 6 6
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 56% of the respondents said that they have got
interesting job in Bharat Heavy Electricals Ltd. Company. 38% of the respondents said
that they have got challenging job in the company. 6% of the respondents said that they
have got unchallenging job in the organization.
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CHART 1
Employees describe about their job
0
10
20
30
40
50
60
Challenging Interesting Unchallenging
Rrespondents
Percentage
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TABLE 2
Awareness of the Performance Evaluation system
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Yes 84 84
2 No 16 16
Source: QuestionnaireNature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 84% of the respondents said that employees
are aware of the Performance Evaluation system which is practiced in the organization.
16% of the respondents said that employees are not aware much about Performance
Evaluation system which is practiced in the organization.
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CHART 2
Awareness of the Performance Evaluation
system
0
10
20
30
40
50
60
70
80
90
Yes No
Respondents
Percentage
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CHART 3
Types of Performance Evaluation system
0
10
20
30
40
50
60
70
80
Open system Conf idential system
Respondents
percentage
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TABLE 4
Satisfaction of the present Evaluation system
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Highly Satisfied 27 27
2 Satisfied 53 53
3 Neutral 10 10
4 Dissatisfied 7 75 Highly Dissatisfied 3 3
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 53% of the respondents said that Employees
are satisfied with the present Evaluation system which is being practiced in the
organization. 27% of the respondents said that Employees are Highly Satisfied with the
present Evaluation System which is being practiced in the organization. 10% of the
respondents said that Neutral. 7% of the respondents said that Employees are Dissatisfied
with the present Evaluation System. 3% of the respondents said that Employees are
Highly Dissatisfied with the Evaluation system.
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CHART 4
Present Performance Evaluation
System
0
10
20
30
4050
60
Highly
Satisfied
Satisfied
Neutral
Dis
satisfied
Highly
Dis
satisfied
Respondents
Percentage
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TABLE 5
Technique of performance Evaluation system being practices.
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Ranking 27 27
2 Graphical scale rating - -
3 Forced choice - -
4 Essay appraisal - -
5 Paired comparison - -
6 Field Review - -
7 Critical incident - -
8 E- mapping 63 63
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 63% of the respondents said that in Bharat
Heavy Electricals Ltd. Company E- Mapping method is being practiced to evaluate the
Employees Performance. 37% of the respondents said that ranking method is being
practiced to evaluate the Employees Performance. Remaining choices are not respondedby the employees.
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CHART 5
Performance Evaluation Techniques
0
20
4060
80
Ranking Graphical scale rating Forced choice Essay appraisal Paired comparison Field Review Critical incident E- mappingRespondents
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TABLE 6
Frequency of the Performance Evaluation system being practiced
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Quarterly - -
2 Half yearly 32 32
3 Yearly 68 68
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 68% of the respondents said that yearly once
workers Performance will be Evaluated by the organization. 32% of the respondents said
that Half Yearly once Executives and Supervisors Performance will be evaluated by the
organization. Remaining choices are not responded by the employees.
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CHART 6
-Frequ ency of the Performance Evaluation
system
0
10
20
30
40
50
6070
80
Half yearly Yearly
Respondents
Percentage
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TABLE 7
Purpose of the Performance Evaluation system practiced
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Promotion and rewards 32 32
2 Training and development 15 15
3 Goal setting 12 12
4 All the Above 38 38
5 None 3 3
Source: Questionnaire
Nature of the Data: Primary Data
INTERRETATION
From the above table we infer that 38% of the respondents said that Promotion,
Rewards, Training, Development and Goal setting these are all the purpose of the
Performance Evaluation system in an organization.32% of the respondents said that
Promotions and Rewards are the purpose of the Performance Evaluation system. 15% of
the respondents said that Training and Development are the main purpose of the
performance evaluation system. 12% of the respondents said that Goal setting is the main
purpose of the performance evaluation system in the organization. 3% of the respondents
said that none.
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CHART 7
Purpose of the performance Evaluation system
0
5
10
1520
2530
35
40
Promotion
andrewards
Trainingand
developmen
t
Goalsetting
Allt
heAbov
e
None
Respondents
Percentage
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TABLE 8
At Low Performance level organization takes step to improve the employees
performance
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Counseling 19 19
2 Training 57 57
3 Punishment 6 6
4 Motivation 12 12
5 None 6 6
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETAION
From the above table we infer that 57% of the respondents said that at low
performance level organization gives training to the employees to improve the
performance of the employees. 19% of the respondents said that counseling will be given
to the employees to improve the employees performance.12% of the respondents said that
by motivation the performance will be improving by the organization. 6% of the
respondents said that by punishment the performance of the employees will be improved
by the organization. 6% of the respondents said that none.
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CHART 8
At Low performance level Organization takes
stepto improve
0
10
20
30
40
50
60
Counseling Training Punishment Motivation None
Respondents
Percentage
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TABLE 9
Improvement programme which is conducted by the organization
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Quality Circle 21 21
2 Group discussion 30 30
3 Training 35 35
4 Seminar and conference 6 6
5 None 8 8
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 35% of the respondents said that Training is a
Performance improvement programme for the Employees. 30% of the respondents said
that Group Discussion is a Performance Programme for the employees. 21% of the
respondents said that Quality Circle is a Performance improvement Programme for the
employees. 8% of the respondents said that none. 6% of the respondents said that
Seminar and Conference are the Performance improvement Programme for the
employees.
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CHART 9
Improvement Programmes for employees
0
5
10
15
2025
30
35
40
Quality Circle Group
discussion
Training Seminar and
conference
None
Respondents
Percentage
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TABLE 10
Whether the Training helps to improve the employees performance
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Strongly Agree 19 19
2 Agree 66 66
3 Neutral 11 11
4 Disagree 3 3
5 Strongly Disagree 1 1
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 66% of the respondents Agreed with Training
help to improve the Employees performance. 19%of the respondents Strongly Agreed
with Training help to improve the Employees Performance. 11% of the respondents said
that Neutral. 3% of the respondents Disagree with training helps to improve the
Employees Performance. 1% of the respondents Strongly Disagree with Training help to
improve the Employees Performance.
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CHART 10
Traning helps to improve the performance
0
10
20
30
40
50
60
70
Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Respondents
Percentage
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TABLE 11
Employees are motivated by evaluating their Performance
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Strongly Agree 23 23
2 Agree 48 48
3 Neutral 11 11
4 Disagree 12 12
5 Strongly Disagree 6 6
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 48% of the respondents Agreed with
Employees are motivated by Evaluating their Performance. 23% of the respondents
Strongly Agreed with Employees are motivated by Evaluating their Performance. 12% of
the respondents Disagree with Employees are motivated by Evaluating their
Performance. 11% of the respondents said that Neutral. 6% of the respondents Strongly
Disagree with Employees are motivated by Evaluating their Performance.
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CHART 11
Emplyoees are motivated by Evaluating their
Performance
0
10
20
30
40
50
60
Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Respondents
Percentage
TABLE 12
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Performance Evaluation increases the employees responsibility
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)1 Strongly Agree 11 11
2 Agree 69 69
3 Neutral 8 8
4 Disagree 5 5
5 Strongly Disagree 7 7
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 69% of the respondents Agreed with
Employees responsibility will increase by Evaluating their Performance. 11% of the
respondents Strongly Agree with Employees responsibility will increase by Evaluating
their Performance. 8% of the respondents said that Neutral. 7% of the respondents
Strongly Disagree with Employees responsibility will increase by Evaluating their
Performance. 5% of respondents Disagree with Employees responsibility will increase by
Evaluating their Performance.
CHART 12
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Responsibility increases by Evaluating
Performance
0
1020
3040
50
60
70
80
Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Respondents
P
ercentage
TABLE 13
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Performance Evaluation helps to develop the employees career
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Strongly Agree 15 15
2 Agree 56 56
3 Neutral 12 12
4 Disagree 10 10
5 Strongly Disagree 7 7
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that56% of the respondents Agreed with
Performance Evaluation helps to develop the Employees career. 15% of the respondents
Strongly Agree with Performance Evaluation helps to develop the Employees career.
12% of the respondents said that Neutral. 10% of the respondents Disagree with
Performance Evaluation helps to develop the Employees career. 7% of the respondents
Strongly Disagree with Performance Evaluation helps to develop the Employees career.
CHART 13
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Performance Evaluation Helps to develop the
employees career
0
10
20
30
40
50
60
Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Respondents
Percentage
Table 14
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Employees are benefited by evaluating their performance
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Strongly Agree 38 38
2 Agree 21 21
3 Neutral 14 14
4 Disagree 18 18
5 Strongly Disagree 9 9
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 38% of the respondents Strongly Agree with
Employees are benefited by Evaluating the Performance. 21% of the respondents Agreed
with Employees are benefited by Evaluating the Performance. 18% of the respondents
Disagree with Employees are benefited by Evaluating the Performance. 14% of the
respondents said that Neutral. 9% of the respondents Strongly Disagree with Employees
are benefited by Evaluating the Performance.
CHART 14
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Employees are benifited by Evaluating
Performance
0
5
10
1520
25
30
35
40
Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Respondents
Percentage
TABLE 15
Satisfaction of employees transfer and promotion policies
63
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S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Highly Satisfied 23 23
2 Satisfied 44 44
3 Neutral 14 14
4 Dissatisfied 10 10
5 Highly Dissatisfied 9 9
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 44% of the respondents Satisfied with the
Transfer and promotion Policies. 23% of the respondents Highly Satisfied with the
Transfer and Promotion Policies.14% of the respondents said that Neutral. 10% of the
respondents Dissatisfied with the Transfer and Promotion Policies. 9% of the respondents
Highly Dissatisfied with the Transfer and Promotion policies.
CHART 15
64
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Satisfaction of Transfer and promotion policies
05
101520253035404550
Highly
Satisfied
Satisfied Neutral Dissat isfied Highly
Dissatisfied
Respondents
Percentage
TABLE 16
Job rotation are being done based on the Performance Evaluation system
65
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S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Strongly Agree 10 10
2 Agree 14 14
3 Neutral 28 28
4 Disagree 36 36
5 Strongly Disagree 12 12
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 36% of the respondents Disagree with job
rotations are being done based on the Performance Evaluation system. 28% of the
respondents said that Neutral. 14% of the respondents Agreed with job rotations are being
done based on the Performance Evaluation system. 12% of the respondents Strongly
Disagree with job rotations are being done based on the Performance Evaluation system.
10% of the respondents Strongly Agree with job rotations are being based on the
Performance Evaluation system.
CHART 16
66
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Job rotations are being done based on the
Performance Evaluation
0
5
10
1520
25
30
35
40
Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Respondents
Percentage
TABLE 17
67
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68/94
Post effect of the Performance Evaluation system
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Job rotation 20 20
2 Promotion 49 49
3 Transfer 22 22
4 Demotion 9 9
5 Lay off - -
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 49% of the respondents said that Post effect of
the Performance Evaluation system is Promotion.
22% of the respondents said that Post effect of the Performance Evaluation system is
Transfer. 20% of the respondents said that Post effect of the Performance Evaluation
system is job rotations. 9% of the respondents said that post effect of the Performance
Evaluation system is Demotion. Remaining choice is not responded.
CHART 17
68
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Post effect of the Performance Evaluation
0
10
20
30
40
50
60
Job rotation Promotion Transfer Demotion Lay off
Respondents
Percentage
TABLE 18
69
7/30/2019 Naga Project Completed
70/94
Performance Evaluation system increases the Productivity
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Strongly Agree 14 14
2 Agree 58 58
3 Neutral 18 18
4 Disagree 7 7
5 Strongly Disagree 3 3
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 58% of the respondents Agreed with
Performance Evaluation system increases the Productivity of the organization. 18% of the
respondents said that Neutral. 14% of the respondents Strongly Agree with Performance
Evaluation system increases the Productivity of the organization. 7% of the respondents
Disagree with Performance Evaluation system increases the Productivity of the
organization. 3% of the respondents Strongly Disagree with Performance Evaluation
system increases the Productivity of the organization.
CHART 18
70
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71/94
Productivity increases by Evaluating Employees
Performance
0
10
20
30
40
50
60
70
Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Respondents
Per
centage
TABLE 19
71
7/30/2019 Naga Project Completed
72/94
Performance Evaluation helps to identify the competency mapping of an employee skills
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)1 Strongly Agree 24 24
2 Agree 57 57
3 Neutral 11 11
4 Disagree 5 5
5 Strongly Disagree 3 3
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 57% of the respondents Agreed with
Performance Evaluation helps to identify the Competency mapping of employee skills.
24% of the respondents Strongly Agree with Performance Evaluation helps to identify the
Competency mapping of an employee skill. 11% of the respondents said that Neutral. 5%
of the respondents Disagree with Performance Evaluation helps to identify the
Competency mapping of an employee skills. 3% of the respondents Strongly Disagree
with Performance Evaluation helps to identify the Competency mapping of an employee
skills.
CHART 19
72
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Identify the competency mapping of the
employees
0
10
20
30
40
50
60
Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Respondents
Percentage
TABLE 20
73
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Present Evaluation method helps to achieve the individual goal and organization goal
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)1 Strongly Agree 23 23
2 Agree 51 51
3 Neutral 15 15
4 Disagree 6 6
5 Strongly Disagree 5 5
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 51% of the respondents Agreed with Present
Evaluation method helps to achieve the individual goal and organization goal. 23% of the
respondents Strongly Agree with Present Evaluation method helps to achieve the
individual goal and organization goal.15% of the respondents said that Neutral. 6% of the
respondents Disagree with Present Evaluation method helps to achieve the individual
goal and organization goal.5% of the respondents strongly agree with Present Evaluation
method helps to achieve the individual goal and organization goal.
CHART 20
74
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75/94
Goal achievements by evaluating
0
10
20
30
40
50
60
Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Respondents
Percentage
TABLE 21
Superior Evaluate employees Performance honestly
75
7/30/2019 Naga Project Completed
76/94
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Yes 61 61
2 No 39 39
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 61% of the respondents said that superior
Evaluate employees Performance honestly. 39% of the respondents said that superiors arenot Evaluate Employees performance honestly.
CHART 21
76
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77/94
Superior Evaluate Employees Performance
honestly
0
1020
30
40
50
60
70
Yes No
Respondents
P
ercentage
TABLE 22
Performance Evaluation system is a basis for training need identification
77
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S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Strongly Agree 17 17
2 Agree 64 64
3 Neutral 6 6
4 Disagree 10 10
5 Strongly Disagree 3 3
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 64% of the respondents Agreed with
Performance Evaluation system is a basis for training need identification.17% of the
respondents Strongly Agree with Performance Evaluation system is a basis for training
need identification.10% of the respondents Disagree with Performance Evaluation system
is a basis for training need identification. 6% of the respondents said that Neutral. 3% of
the respondents strongly Disagree.
CHART 22
78
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79/94
Performance Evaluation is a training needidentification
0
10
20
30
40
50
60
70
Strongly
Agree
Agree Neutral Disagree Strongly
Disagree
Respondents
Percentage
TABLE 23
79
7/30/2019 Naga Project Completed
80/94
Performance Evaluation system helps to perform effectively towards organization goal as
well as individual goal
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)1 Help to get proper guidelines 34 34
2 Increasing Productivity 40 40
3 To know the potentiality 26 26
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 40% of the respondents said that Performance
Evaluation system helps to increases the productivity of the organization. 34% of the
respondents said that Performance Evaluation system helps to get proper guideline. 26%
of the respondents said that Performance Evaluation system helps to know the
potentiality of the employee.
CHART 23
80
7/30/2019 Naga Project Completed
81/94
Performance Evaluation helps to performeffectively towards organization goal
0
10
20
30
40
50
Help to get proper
guidelines
Increasing Productivity To know the
potentiality
Respondents
Percenta
ge
TABLE 24
Organization accepts the employees grievances and suggestions
81
7/30/2019 Naga Project Completed
82/94
S.NO DESCRIPTION NO. OF
RESPONDENTS
PERCENTAGE
(%)
1 Accepted 28 28
2 Partially accepted 46 46
3 Not Accepted 26 26
Source: Questionnaire
Nature of the Data: Primary Data
INTERPRETATION
From the above table we infer that 46% of the respondents said that organization
partially accepts the employees grievances and suggestions.28% of the respondents said
that organization fully accepts the employees grievances and suggestions. 26% of the
respondents said that organization not at all accept the employees grievances and
suggestions.
CHART 24
82
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83/94
Accepting suggestions and grievances
0
5
10
15
20
25
30
35
40
45
50
Accepted Partially accepted Not Accepted
Respondents
Percentage
CHI-SQUARE TEST
83
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84/94
HO: There is no significant difference between age level and Present job Description
of the employees
H1: There is a significant difference between age level and Present job Description
of the employees
CHI-SQUARE TABLE
Age Level
Job Description
25-35 36-45 46-55 Above Total
Challenging
7 7 11 2 27
Interesting
10 12 26 9 57
Unchallenging
6 5 3 2 16
Total 23 24 40 13 100
Calculation of Chi-Square Value
Observed
Frequency
Oij
Expected
Frequency
Eij
(Oij-Eij) (Oij-Eij)2/E
84
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85/94
7
7
11
2
10
12
26
9
6
5
3
2
6.21
13.11
3.68
6.48
13.68
3.84
10.8
22.8
6.4
3.51
7.41
2.08
0.79
-3.11
2.32
0.52
-1.68
1.16
0.2
3.2
-3.4
-1.51
1.59
-0.08
0.10
0.73
1.46
0.04
0.20
0.35
3.70
0.44
1.80
0.64
0.34
3.07
Chi-Square= (Oij-Eij)2/E
= 12.87
Hence
Therefore Degrees of Freedom = (C- I) (R I)
= (4 -1) (3 1) = 6
The Table value of chi-Square for Six degrees of Freedom @ 5 % level of
Significance is 12.592
Conclusion
The calculated value of Chi-square is greater than this table value which means
that null Hypothesis accepted. So there is no association between age level and present
job description of the employees.
CHAPTER VI
MAIN FINDINGS
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After having analyzed and interpreted the data, the Researcher now shifts the
focus towards the trends that have emerged from the study. These findings ares summed
up and groped under each objective of the study.
Most of the employees are said that they have got interesting job in BHEL
company
Majority of the employees are aware of the performance evaluation system which
is practiced in the organization
BHEL organization practiced confidential system to Evaluate employees
Performance
Employees are satisfied with present evaluation system in BHEL
In BHEL organization E-Mapping and Ranking Technique of Performance
evaluation system is practiced.
Executives and supervisors Performance are Evaluated Half yearly once and
Workers Performance Evaluated Yearly once.
The Purpose of the performance Evaluation system is mainly for Promotion,
Rewards, Training and development of the employees
At low Performance level the organization is giving training and counseli