Acknowledgement It is great pleasure that I express my deep sense of gratitude to all those persons who were guide me as well as increase my moral. I am extremely grateful to Mr. S. Pandey, Manager Pantnager Operations, for providing me this opportunity to work on this project. I shall always remain grateful to him for all possible help & assistance. I am also indebted to Sri. Mr. Dangwal, H.R. Officer for extending all help & corporation both at the time of entering & during the course of preparing the project. He also shows me the way to work in an organization. I am also thankful to Sri. Shishir, Saurabh Rathi & Anjum Nabi, for guidance & supervision of the project. Sir provides me all the necessary support & guidance which help me not only at that time but also in my future. In the end I wish to acknowledge my thanks to all the staff members of the Parle Biscuit Pvt. Ltd. For providing all necessary assistance when required. A project is essential need for any professional course. Projects make a student eligible for developing good skills, & make deep sense for working in an organization. Project also helps in generating new ideas & to present it. I thanks to my institute who provide me this opportunity.
Transcript
Acknowledgement
It is great pleasure that I express my deep sense of gratitude to all those persons who were guide me as well as increase my moral.
I am extremely grateful to Mr. S. Pandey, Manager Pantnager Operations, for providing me this opportunity to work on this project. I shall always remain grateful to him for all possible help & assistance.
I am also indebted to Sri. Mr. Dangwal, H.R. Officer for extending all help & corporation both at the time of entering & during the course of preparing the project. He also shows me the way to work in an organization.
I am also thankful to Sri. Shishir, Saurabh Rathi & Anjum Nabi, for guidance & supervision of the project. Sir provides me all the necessary support & guidance which help me not only at that time but also in my future.
In the end I wish to acknowledge my thanks to all the staff members of the Parle Biscuit Pvt. Ltd. For providing all necessary assistance when required.
A project is essential need for any professional course. Projects make a student eligible for developing good skills, & make deep sense for working in an organization. Project also helps in generating new ideas & to present it. I thanks to my institute who provide me this opportunity.
PREFACE
The study was undertaken in PARLE BISCUITS PRIVATE LIMITED under the
guidance of H.R Deptt, which prove beneficial to me.
This study is about Performance Appraisal is done to know the method Performance
Appraisal and its applicability in the company. As human Resource is the valuable assets
which appreciate day by day. So it is important to do Performance Appraisal to know the
skills, knowledge and capabilities of a person. The modern concept is more concerned
about its Human Resource than other resource human resource performs all the operation
as well as activities of the entire department.
This study helps me a lot in understanding the objective of performance appraisal. And
we know about the all method of Performance Appraisal. In which we studied about the
Performance Appraisal used in PARLE BISCUITS PRIVATE LIMITED and we studied
about the performance of worker in PARLE BISCUITS PRIVATE LIMITED
Candidate’s Declaration
I hereby declare that the work, presented in the project report
entitled “Performance Appraisal” in partial fulfillment of the
requirement for the award of degree of “Bachelor of Business
Administration” in SIMT ( SARASWATI GROUP OF INSTITUTION)
(GADARPUR) for UTTRAHAKHAND TECHNICAL UNIVERSITY
DEHRADUN , Srinagar, is record of my own work under the
guidance of Mr. S. Srivastav of P.B.P.L., Rudrapur
Dated: NAZIA AHMED M.B.A 3RD
SEMSIMT
Contents
1) OBJECTIVE OF STUDY2) RESEARCH METHODOLOGY3) COMPANY PROFILE4) SWOT ANALYSIS5) PERFORMANCE APPRAISAL
Meaning of Performance AppraisalDefinition of Performance AppraisalFeatures of Performance AppraisalObjective of Performance AppraisalImportance of performance AppraisalUses of Performance AppraisalProcess of Performance AppraisalMethods of Performance AppraisalProblems of Performance Appraisal
6) DATA ANALYSIS7) SUGGESTIONS8) CONCLUSION9) BIBLIOGRAPHY
10) ANNEXURE
To study the standard of performance appraisal.
To measure the level of satisfaction in the worker.
To facilitate research in personnel management.
To know about industrial environment.
To see the difference between theoretical knowledge & practical knowledge.
To know how the theoretical knowledge apply in the practical approach.
To know the ways of performing different H.R. activities efficiently & effectively.
OBJECTIVE OF STUDY
RESEARCH METHODOLOGY
Research is a journey to known the unknown facts. Research is a common paralance refer to search knowledge. One can also define research as scientific and systematic research for pertinent information on a scientific topic. In fact, research is an art of scientific investigation.
The advanced learner’s dictionary of current English lay down the meaning of research as a “careful investigation or inquiry especially through search for new facts in any branch of knowledge”. According to Redman and mory:- “Research is a systematized effort to gain knowledge”.
Research Represent:-“A systematic method of exploring actual person and groups focused primarily on their experience with in their social worlds, inclusive of social altitudes and values, the mode of analysis of these experience which permit stating proposition in form”.
Objective of research and methodology:-
The following are the objective of research and methodologies are:-
1. To discover the answer and question through application of scientific procedure.
2. To find the truth which is hidden and which have not discovered yet.
3. To gain familiarly with a phenomenon or to achieve new insight it.
4. To portray accurately the characteristics of a particular individual, situation or a group.
5. To determine the frequency with which something occurs or with which it is associated with something else.
6. To test a hypothesis of a casual relationship between variables.
PRIMARY DATAPrimary data is one which is collected in full details regarding his research problem. Primary data is the first hand data collected by means of observation & communication.
METHODS/SOURCES OF PRIMARY DATA:Observation is the process of observing the respondent about their current behavior where no question are asked and their observed behavior or reactions are recovered. Though, it is not possible to observe passed behavior, one is capable of observing the result such behavior.
METHODS OF OBSERVATION:
1) Structured and unstructured observation:Structured observation- It is used when the research problem has been formatted in precise terms and observers have been to specifically what is to be observed.Unstructured observation- Is that in which the observer is free to observe whatever they think is relevant and significant.
2) Direct and indirect:In case of direct observation the event or the behavior of a person is observed as it occurs.
Indirect observation- It implies that some record of part behavior is observed.
3) Human mechanical observation:The observation is possible in two ways i.e. human or machine whenever possible mechanical devices such as eye camera etc. are used for observation- The big advantage of mechanical or electronic device is that there recording are free from subjective bias. Electronic or mechanical devices do not have mind through three brains.
INTRODUCTION
“QUALITY, HELTH AND GREAT TASTE”…..
The Parle story unfolded in the year 1929, with the establishment of its first
confectionery factory in the western suburbs of Mumbai, presently known as the
landmark region of “vile Parle”. Thereafter in 1939 Parle started the manufacturing of
biscuits, which henceforth became its core activity. PARLE BISCUITS LIMITED is a
subsidiary to PARLE PRODUCTS LIMITED, MUMBAI, which is closely held
company run by the Chechens. The company commands a 40 % market share in the Rs.
35 billion biscuit markets in India.
Parle-G; its first venture became an instant favorite amongst the masses, leading the
glucose category with the huge market share of 65 %. It’s topped charts worldwide by
becoming the world’s largest biscuit selling brand as revealed by the US-based bakery
manufactures association in 2002. The products portfolio also comprises of
KRACKJACK, MONACO, HIDE ‘ N’ SEEK and its variants.
The success and survival of Parle is its adherence to quality and diversification in its core
area. The strong and extensive distribution network assures the availability of Parle
biscuits even remote region. Most of its offerings are in the low and mid price range
making it affordable to the masses. Parle understands the psyche of the Indian consumer
and provides them value-for-money.
There are four of its own at Mumbai (head office), Bahadurgarh (Haryana), Neemrana
(rajas than) and distribution of the biscuit are controlled by the “business development
department”, Mumbai office with assistance from the regional sales offices at new Delhi,
Calcutta, ban galore and Mumbai.
To reduce freight rates and increases production, Parle has tie-ups with contract
manufacturing units supervised by a “Parle officer”. These units are provided with the
processing charges biscuits, which are transferred to depots established at strategic
location.
COMPANY PROFILE
ABOUT THE COMPANY UNIT IN RDR:
BHOOMIPUJAN - 4 TH MAY 2004
MACHINE ERECTION ACTIVITY - 21 ST SEP. 2004
FOUNDED BY -MR. NAROTAM CHAUHAN
PRODUCT PROFILE IN PANTNAGAR PLANT:
PARLE – G BISCUITS
ORANGE CREAM BISCUITS
WHOLE COMPANY BRANDS:
PARLE – G
CREAM BISCUITS:-
KRACKJACK
MONACO
ORANGE
MARIE CHOICE
BOURBON
HIDE SEEK
CHOCOLATE
FUN CENTER
ELAICHI
CHEESLINGS
PINEAPPLE
SIXER
MANGO
HUMAN RESOURCES:
>PEOPLE PERSPECTIVE IS IMPORTANT
>EMPLOYEE ORIENTED
>CONTINUOUSLY MOTIVATE
>TRAIN & DEVELOP THE WORKFORCE
EMPLOYEE PROFILE:
TOTAL NO. OF WORKERS - 763
STAFF MEMBERS - 46
Parle products pvt ltd. Mumbai promotes the company, which is holding company
of the Parle biscuits pvt ltd. The directors of M/s Parle products pvt limited are:
The Parle name conjures op fond memories across the length and breath of the country.
After all, since 1929, the people of India have been growing up on Parle biscuits and
sweets.
Today, the Parle brands have found there way into the hearts and homes of people all
over India and abroad. Parle biscuits and confectioneries continue to spread happiness
and joy among people of all ages. The consumer is the focus of all activities at Parle.
Maximizing value to consumer and forging enduring customer relationships are the core
endeavors at Parle.
Our efforts are driven towards maximizing customer satisfaction and this is in synergy
with our quality pledge. "Parle Products Limited will strive to provide consistently
nutritious and quality food products to meet consumers' satisfaction by using quality
materials and by adopting appropriate processes. To facilitate the above we will strive to
continuously train our employees and provide them an open and participative
environment."
GOALS FOR 2008-09
To meet the challenges of this year, we need to increase our single pointed "focus"
towards customer, quality, productivity and development of people, without any
compromises. So our objective will be:-
CUSTOMER FOCUS:-
- We must beat the customer' expectation by ensuring zero defect product from all
locations.
- We must increase direct customer interface by ensuring maximum children and other
visitor at all locations.
P.Q.S FOCUS:-
-Parle quality system=PQS=productivity quality safety. Productivity improvement by
reducing downtime, breakdowns.
- Wastage, re-works, thereby saving natural resources like fuel and power.
- Quality improvement by strict adherence to quality assurance norms without any
compromises.
-Safety improvement by adhering in true spirit to HACCP, 5-S, ISMS philosophies.
MISSION STATEMENT
> Grow then higher then market growth rate, while maintaining leadership in the
industry.
> Export 1 % of annual turnover.
> Have access to customized information globally.
> Aim to zero defect products, there are exceeding customer’s expectations.
> Develop process flexibility and innovation to get significant portion of turnover from
new products.
> Expand distribution network in neighboring countries, presence in other countries.
> Impart training, motivation and respect to all employees and associates.
THE QUALITY COMMITMENT
Parle Products has one factory at Mumbai that manufactures biscuits and confectioneries
while another factory at Bahadurgarh, in Haryana manufactures biscuits. Apart from this,
Parle has manufacturing facilities at Neemrana, in Rajas than and at Bangaore in
Karnataka. The factories at Bahadurgarh and Neemrana are the largest such
manufacturing facilities in India. Parle Products also has 14 manufacturing units for
biscuits and 5 manufacturing units for confectioneries, on contract. All these factories are
located at strategic locations, so as to ensure a constant output and easy distribution. Each
factory has state-of-the-art machinery with automatic printing and packaging facilities. Al
Parle products are manufactured under the most hygienic conditions. Great care is
exercised in the selection and quality control of raw materials; packaging materials and
rigid quality standards are ensured at every stage of manufacturing process. Every batch
of biscuits and confectioneries are thoroughly checked by expert staff, using the most
modern equipment.
EMRGING TRENDS OF THE BRAND
Since its inception in the 30s Parle biscuits have prided itself in offering quality products
that are affordable to the common man. The marketing mix has evolved with the
times..........
THE PRODUCT
Parle biscuits have a range of variants in it product portfolio. The popular brand Parle- G,
krackjack, Monaco, and its variants (Zeera, onion and Methi) are available in packets of
various convenient sizes. New products like hide & seek are a foray into the premium
segment.
THE PRICING STRATEGY
The biscuits major have not bothered to raise the price of its flagship brand "Parle- G" for
the past 6 to 8 years and has always tried to provide its offering at nearly 33% discount as
compare to other competitive brands.
THE PROMOTION POLICY
The consumer is the focus of all activities at Parle. Maximizing value to consumer and
forging enduring customer relationships are the core endeavors at Parle. Parle-G “My
Dream Come True "- was one its biggest promotional ventures (2.5 crore) which gave
contestants a chance to fulfill their dreams. Discounts, gift offer schemes are other
popular promotional offerings.
THE PLACE
The well-entrenched distribution system (the company covers 12-15 lakh outlets across
the country), with 39 depots at strategy points all over the country. From the depots, the
biscuits are sold to wholesalers and further to retailers.
THE PACKAGING
Biscuits have under gone a swift transformation. From the earlier waxed-paper packing, Parle's BOPP offering is not only stylish and enticing bit also increases the self-life of the biscuits.
Filled with the goodness of milk and wheat, Parle G is
not just a treat for the taste buds, but a source of strength
for both body and mind. Tear over a packet of Parle G to
experience what has nourished Generations of Indians
since last sixty-five years, making it truly Hindustan Ki
Taakat.
Krackjack - The original sweet and salty biscuit is one of the most loved biscuits
in the country.
It’s not just a biscuit, it’s the taste of relationships captured in a biscuit.
A little sweet and a little salty crafted in such a delicate and delicious balance, you can never get
enough of it. Have it anytime you like with anything you like.
Krackjack Crispy Creams is a delicious
combination of crispiness of Krackjack and
sweetness of cream biscuit. The classic sweet and
salty taste gets laced with a sweet & sour lime
flavor in the cream sandwiched between Krackjack
biscuits. A mouth watering delicious combination
Share the company of great taste anytime, anywhere with Monaco. A light crispy biscuit
sprinkled with salt, Monaco adds a namkeen twist to life’s ordinary moments.
Orange: Tickle your senses with
Parle Orange Kream – The tangy
orange cream between two
scrumptious biscuits makes for
a real treat.
Here’s a choco biscuit that flirts with your taste
buds. Seek out the chocolate chips that aren't really hidden. And relish a delectable
experience as they melt in your mouth. Also know to work as an effective icebreaker it’s
easy to see why it’s tasty itna, ki dil aaj
The ingredients that go into making this prized cookie
are a well-guarded secret. What is, is the effect it has on
those who eat it. A cookie with a reputation for
romance. Indulge in the sinful taste of Milano and
everything that follows it.
Digestive Marie will change your daily dipping
and sipping routine; making it more enjoyable and
much healthier.
With five times more fibre than the regular Marie,
you can actually see the differences in Digestive
Marie. With lower fat and calories than other
digestive biscuits, Digestive Marie helps you stay
Active-Lite all day.
Yahi Marie, Sahi Marie
Your favorite Marie biscuit, Parle Marie is now
even more exciting. It’s lighter. It’s crispier. And
it’s tastier. Making it even more appealing than
before.
So the next time you’re hanging out with your
buddies, just tear open a pack of Parle Marie. And
immerse yourself in an engaging conversation and
an even more engaging taste.
From boy-next-door to Super Boy, no that’s not the
plot for the next Hollywood blockbuster it’s the
effect of Milk Shakti. The Shakti of milk fortified
with the goodness of honey, a zabardast combo that
even ace batsman Dhoni swears by. So get that cape
out and head straight to for a pack of Milk Shakti toda
Mouth watering cookies that you’ll want to nibble as
‘sweet nothings’. Not to mention, always have them
within your reach. The delicious taste of butter,
sugar and milk in an all-you-can-have tasty offering
.
A crispy cracker that adds a namkeen zing to the
usual biscuit. Goes well with a cup of tea, an evening
snack or an occasional namkeen thought. Just bite in
and let the rich golden texture melt in your mouth.
Motivation & Welfare programs:
The status of an organization is not achieved by keeping hand on hand. It is achieved by the work of the hundred of members towards one main goal, by substituting that goal in different parts and then marching up to achieve that one main goal which is your organization goal In this modern world, everyone is dependable; as such they are dependent for food, shelter, and clothing. Various luxurious items, etc. Even these large organizations needs raw material for the preparation of their finished goods. Whatever is there, for the preparation of these finished goods, they need manpower. Employee welfare comes on that very point those working in this organization are not slaves, animals but they are also mere people working to earn money for their survivalin the past time, the approach towards human condition moreover go on developing and leads to employee welfare. Workers working in these operations undergoes various hazardous situations and then leads to the finished goods that were enjoyed by the people at large. Those who were working their in those organization also needs measures for their welfare and well-being.
As such government of India also leads for the welfare of the workers in the organizations under various acts made for the industries to follow up the path of well-being by following those rules and guidelines. In those acts only the conditions for the workers welfare is also well organized. The various acts for the industries to follow are as follows:
• Indian factories act,1948 • Workmen's compensation act, 1923 • The employees state insurance act,1948 • Personal injuries (compensation insurance) act, 1963
Although many of the companies in this era have very different approach towards employee welfare as they feel employee welfare as duty of the govt. and also some raise questions on the welfare subject as state duty but in the era of globalization welfare part has very important role. Many international bodies has been formed in this respect as International labor organization (ILO) and many others.
Companies now-a-days undergoing the concept of employee welfare in its real broader sense and implements different type of policies for the welfare of the workers. Personnel managers were appointed for the proper administration and the execution of the job they
are responsible for the environment inside the workplace and also as such outside the workplace and necessary actions needed to achieve the organization goal. Welfare measures were also normally measured inside the workplace and measures outside the workplace, normally companies follow them both by forming their structure, applicable for the best performance of the job. Some of the measures which are followed or which should be followed are as follows:
Welfare measure inside the workplace
• safety and cleanliness neighborhood :Safety and cleanliness to the neighborhood in this modern era has very important role. Company adopts the policy of being eco-friendly and safety and cleanliness is maintained in the surroundings which is equally important for the company and neighborhood.
• Up keeping of premises –compound lawns, walls gardens ,and so forth, egress and ingress passages and doors:
as discussed earlier, company should be eco friendly, and also the company should have good compound for the better perspective. Lawns, gardens should be maintained, compound walls should be proper white washed even the passage for the entrance and exit should clearly give the idea about the route to follow.
• elimination of dust, smoke ,fumes, gases:The work to be done in this operations for the production purpose also produces various gases, waste material, dust, smoke which is moreover always dangerous if we come in contact with them their should be proper elimination of the waste material and the place where the actual work is done should be well ventilated and well maintained.
• Sanitation and cleanliness:where there the condition of work, produce waste, gases, and other material not for use their elimination were mostly done by sewers, and pipes the sanitation process for the waste should be well formulated and also cleanliness in respect of sanitation also should be there.
• Control of effluents:Accordingly when the process of sanitation is done the wastage of industrial process is eliminated and that wastage is eliminated through the process of sewage. This eliminated waste should be taken care off as this waste material is also harmful for the environment. Emphasis should be given on reduction of waste material.
• Convenience and comfort during work: seating arrangements:Their should be proper arrangements for convenience and comfort. Measures should be adopted for the reduction of stress there-in employee having by regular work. Proper Seating arrangements should be there as situation needs.
• Distribution of work hours and provision for rest hours meal times and breaks:
Proper distribution of work should be there employees working were not machine they are also men their should be provision for breaks, meal times, rest hours for better governing shift wise system should be adopted.
• safety measures , that is maintenance of machines and tools, providing guards helmet and tools aprons goggles , first aid equipment:
Working condition was not same at all places, workers while working in operations should be well equipped with all safety measure essential for that operations. Guards, helmets, aprons, goggles should be provided to them for their safety. First aid equipment should be there so that if any emergency occur it can be handle with ease.
• supply of necessary beverages , and pills and tablets: salt tablet milk and soda:
•While being in exhaust place and working there from long period, leads to lack of energy that gives birth to stress and compulsive nature. Employees should be provided with milk, soda, other mineral drinks in intervals so that they be able to carry on their work in good position.
• Notice boards; posters and picture, slogans, library, information's:
Under company compound they should have notice board so that any important information, notice can be easily come under the notification of the employee. Company should provide their workers with library so that they be able to get material to enhance their knowledge. Use of posters, picture, slogans should be there which help in employee motivation.
Convenience:
• urinals and lavatories, wash basins, bathrooms, provision for spit rooms, waste disposal:
For the maintenance of company compound and for the welfare of employee there should be provision for urinals and lavatories, wash basins, bathroom, spit rooms and waste disposal.
• Provision of drinking waters and coolers:Operation were not same at all places, they differ in respect of work. Employees working there were also human being they also need water to drink, and fresh air to breath. Workers should be provided with drinking water facility and also of coolers.
• Canteen services:Company should provide their workers canteen service also as it is beneficial for both company, it will save their time and workers will get their meal. Canteen should provide goon nutritious food to the workers.
• Management of workers: Workers should be well managed, according to the work. Company should manage the proper distribution of the workers in each task so that employee is able to complete their task.
Workers health services:
• Emergency aid, medical examination for workers; health education; medical officer:
It is normal in nature of the companies where work is performed in huge capacity anyone can get hurt or any type of emergency can take place. Emergency aid i.e. first aid kit should be there, company should perform medical examination of their workers and medical officer should be appointed. Company should lead their employee with well-versed education.
• Medical insurance:Company must be sure about medical insurance to their employee for the welfare of the employees. (ESI &EMI)
• Compensation:Company should compensate their employee and their family members in respect of medical treatment.
• Women and child welfare:Companies now usually make compound in their province for their employees where workers live with their family. For the welfare purpose, women and child must be lead
with education programmes, provision of loan to the employees for the education of child should be there, and recreational parks should be there for the women and child.
• Recreation:Recreation comprises of various activities like social cultural programme for the women's, and playgrounds for their children, extra curricular activities should be there
• Education:Education facility to the women and children for their welfare, grant of loan to the employee for better education of their children
Measures outside the workplace:
• Water sanitation, waste disposal:as discussed earlier, company should have proper measures in consideration of waste disposal, water sanitation or in broader sense company should have control on their effluents.
• Roads , lightning , parks , playgrounds:Company being whole-sole responsible for the welfare of their employees have roads inside their compound with good lightning overall. They provide their employees with playgrounds and parks as a part of recreational activity.
• Schools :Schools is a major associated thing with our country for its bright future and if it is provided to the employees by the company for their children and themselves its being the major contribution of the company towards the welfare of their employees
• Transport:Companies have employees from various places nearby their province. They should provide them with transport facility for their conveyance. It will be good in respect of both Company and their employee.
• Communication:Communication is essential to carry on the work, and to maintain the relationship, company should have its own flexible communication system that is suitable for the welfare of the company and its employees.
• Recreation; games and clubs, cultural programme:Continuous working with no other activity leads to stress, and then sometimes to depressionCompany should have recreational facilities it should have its own playgrounds and on regular interval tournament of various games should be made. Beside games companies should have its own clubs for the company members; they should arrange different cultural programmes for the welfare of the employees.
• Watch and ward; security:Security deserve its own importance company should have its own security team headed with its own security officer, security is essential for confidential documents, goods, semi finished goods, raw material and primarily of residential compounds so that any misconduct act will not happen.
• Housing facility:Companies have moreover large no. of employees working there, some were from the neighboring places and some from the places situated far away from its compound. Companies should have housing facilities for those employees who has come to serve company with their best performance.
Administration of welfare:
To follow welfare policy companies has to under go various studies which place out for the execution of the welfare policies. Opinions, surveys, research were done to find out applicable policies. Role of personnel department, H.R.Managers, line managers and welfare officer were very essential for right implementation of welfare policy.
Analysis, evaluations were done and then opinions were taken whether the policy to be implement will give out it best or not. If applicable then time management studies arose, that policy will give its purpose on time or not and so on the process goes.
Indian Factories Act,1948
in its sections and sub-sections defines all measure points company should follow this sections and sub-sections also lead provisions that too results for the welfare of employeesSome of those general duties were:11 Cleanliness12 Disposal of wastes and effluents13 Ventilation and Temperature14 Dust and Fume15 Artificial Humidification16 Overcrowding17 Lighting18 Drinking Water
Evaluation Trend
analysisOpinion
OrganizationWelfare officerLine
managerh.r.manager
s
Welfare policy
Yes or no,Objectives, approach
Range, timeliness
19 Latrines and Urinals20 Spittoons21 Fencing of MachineParle Biscuits Pvt. Ltd.
Emphasis on various policies for employee welfare. As such, Parle have more than 15 working plants and more than 3 factories across the nation where more than thousands of workers were working from years. At pantnagar total strength of the staff and workers is 616 more then 560 workers are there for the production of biscuits.Workers there in Parle biscuits pvt. Ltd (pantnagar). Were mostly from poor background concerning that whole family is dependent on agriculture (likely more than 85% of total no. of workers), other have at least one of the brother doing his own business or doing government service (mostly were in army). Being agriculture the main source of income in this region is not comfortable for the family having more than 5 members and about 90% of total workers were having family with more than 5 members some of them having family of more than 8 members its very hard to adjust in that atmosphere.Although about 55% of workers were not married but other 45% were having children with them, and its not possible to give them proper education with only having agriculture the main source of income, workers were having there mother and father with them, which were normally suffering from body pain because of old age and some of them were also suffering from major disease such ad diabetes, blood pressure etc.With having so much trouble, how can one be dependent on only one main source of income i.e. agriculture?
Parle provides their workers well-structured incomes based on their caliber and provide them with various policies, for their welfare which establish strong bond of employees with their organization. Parle have organized their organization with staff well-versed in their respective field, with standing H.R.Department they manage to build that bond strong which allocate the right people to the right job and place different schemes and policies for the better productivity and also to regain the better status of their employees.The policies made by H.R.D executives gives its purpose by motivating employees to be responsible for their work and getting the work done. The Parle biscuits pvt ltd. helps their employees by making them capable of achieving their motive at ease. Policies were made for such an purpose that it will be beneficial for both, the organization as well as the employees. Accordingly all other organizations also have given contribution for the interest of employee welfare in their respective organizations and also regularly making new plans for the welfare of employees and the organization.The policies that Parle biscuits pvt. Ltd. execute for the benefits of their employees and the organization as a whole were discussed as follows:
Welfare policies adopted by Parle for the welfare of their employees:
• Training and development• Incentive policies• Cultural programme• Sports• Art of living • Naturopathy • Medical facilities• Education access• Home visits.
Training and development:
Parle biscuits pvt. Ltd. gives their employees, opportunity for training and development. In many of the field related to:
• Computer handling and its uses• In technology field (other tech. department)• Dealing in H.R.Department.• In other departments for e.g. mechanical, production, marketing, personnel.
Training and development leaves perfection under employee about their work.
Incentive policies:The company has introduce incentive policies which motivates employee in doing better work as well as effect company performance by reducing wastage and increasing production; 5-s policy 5-s policy stands on five words.
• Seiri meaning proper organizing of things• Seition meaning right place for right thing
• Seiso meaning neatness and cleanliness• Seiketsu meaning standardization • Shitsuke meaning discipline
Depending on the performance of employee related to 5-s the employees receives incentives in their salaries.Although increment of rs.250 to rs.350 has been made per. employeeAverage increment resulted rs.350Other policies on the basis of various incentive or gifts were awarded:
Kaizen;KRA (key responsible area).
Cultural activity:Cultural activities took place and many programmes happen there from which one is awarded being the best. Gifts and awards were given to the persons which were the best in their respective tasks and also from best one, selected following different policies and rules made by the executives. Cultural activities i.e. plays were done by the employees themselves in supervision of their heads.
Different type of themes type these cultural activities happens sometimes monthly, mostly quarterly. These cultural programmes get employees reducing stress and fills them with great sense of being with an organization.
Sports:Sports also reduce stress and gives employees great pleasure which helps employees in concentrating more on their work, sports that carried out in the company is cricket, badminton, volleyball, and table-tennisGames took place on every Saturday of a week. Tournament for different games also happen at their respective time by making out teams within all employees.
Art of living:This was the programme specially done for the employees getting them how to come out of stress and tension which employees suffers by the continuous work, employees were told how to get relief by keeping them in continuous process of doing meditation and yoga.Camp was set on 16 of May to 20 of May and employees were brought shift-wise there in morning from 0600 hrs.
Naturopathy: Knowledge was also given to the employees, which means how nature and its sources can be beneficial. Groups were made consisted of 5-6 members and were send for the naturopathy classes
Medical facilities:Medical facilities for the employees, giving them compensation for medical claims. Company also has first aid kit with all usually needed medicines, tools and equipments necessary for the treatment.ESI policy were made for all employees. If any causality happens his\her family is compensated by the company as such, company give compensation to their employee
Education access:Company also lead access to the employees for the better education of their children by providing them education loan.
Home visits:Every week visits were made to the homes of employee time by time to see the effect of policies executed (5-s) whether they are rightly implemented. Also they notifies the change in the family status of employees
Other than these services Parle Company also has many other policies for the employee welfare like:
• Transport facility to the employees (pick and drop) was expanded till haldwani for the employees coming from haldwani. At the expense of rs. 1500 p.m. which also give conveyance to the employees in the matter of transport and expense both.
• Company besides providing lunch, now also providing dinner to the employees which costing rs. 20 but only rs. 5 were charged to the employees. Provision of drinking water, urinals and lavatories were already there.
• New incentive schemes for employees enable them to get till rs. 500 p.m.• Casual leave can be given to the employees who has completed the tenure of 2
year• Employees those increment has been left, for an year were receiving airier in that
case which means that if the time is 1year 8 months then the employee will be getting rs.
• 8*350=2800
These were the policies that Parle biscuits pvt. Ltd. follows for the welfare of their employees which makes strong relations between employees and the company.
HR Practices at PBPL
S.NO Details pantnagar status
1 Name of companyParle biscuits pvt. Ltd
addressPlot No-3,sector-1,Rudarpur
Turnover of company 2%Turnover of unit 1.7
2 Range of product Biscuits3 Total strength
Permanent 150(Teammate) + 50Contract labour 564Total 764 Shift working Hours 6:00 To 2:15 hrs(A) 2:00 To 10:15 hrs(B) 22:00 To 6:15 hrs( C) 9:00 To 17:30 hrsGenral Yearly-march
5Are you contemplating any pay revision? If so, when?
6 D.A Scheme 444Consumer price index for working class in the city base no variable DA
8 Leave Entitlement YesCasual leave ( completed 2 years at contract level) 5sick leave / ESI Leave 10Earned Leaves 30staff& 15 workers
9 Holidays yesNational & Festival Holidays p.a 8(3+5)
10 Provident Fund contribution 12%
Rate of Bonus / Exgratia
For Staff As Per actFor workers 20%Gratuity Scheme As Per actMin period of service 5 years
Medical Schem yesCategory A 25000 P.A
z Catgory B 18000 P.A
(Reimbursement for Wife, children, mother, father &dependent brother & sister)
14 Night Shift allowance yes15 Loan facilities yes
staff Loansvehicle loans 25000/-Educational Loan 15000/-For Housing (Repairs/ construction/land/flat)After 3 yrs 15 times of Basic After 5 yrs 25 times of Basic
For House keeping NORate of interest 6 % p.aRecoverable Instalments 10 years
overdraft facility at UTI bank 50% of salary
advance against Salary 3 month's (Basic + HRA)
16 Welfare Schemes YesRural Development Programs YesCreidt Society NoLong Service Awards NoRetirements No
Subsidised coupons of co's products Yes(5 packets of Biscuits)
Benevolent Fund NoTransport Facility for all YesUniform (2 pair cotton, 2cap, 1 jacket) Yessubsidised canteen Facilities(5Rs for staff &3.50 for worker YesCultural Program Thrice in a tearSports Activities once in a yearNaturopathy YesStaff YesWorkers YesGuest House Facility (Staff) YesYoga /Art of Living/ Vipasana YesMagazine(Quarterly) Yes
Recreational Tour / Inter unit visit YesSpecial occasion celebration &Gifts (Marriage etc) YesHome visits YesReligious ceremony (vishwkarma puza) Yes
17 Performance Appraisal System YesReview PeriodStaff (Half yearly) Jan & JulyWorkers (Half yearly) Jan & JulyRating System Point Based
18 Exceptional performance Reward YesBy giving additional Increments YesBy giving Early promotions YesBy cash Rewards No
19 Training & Development YesInternal Trainings YesExternal Training Yes
Training Man Days7 days per year (56 hrs)
Training Policy YesFunctional Training YesBehavioural Trainig YesSkill Gap Training YesEducation Tours YesBenchmarking Practises YesQuality/ 5"s/ HACCP Training Yes
Position on the experience curve :more than 60 years of experience in the
biscuit manufacturing industry, it has not bothered to raise the price of its flagship brand
for the past 6 years and has always tried to provide its offerings at nearly 33 percent
discount to competitive brands
Operational efficiency: highly efficient production units, 4 factories of its own
and 18 contract manufacturing units for biscuits 6 under PBPL. The Bahadurgarh factory
prides itself of having the longest oven in Asia ; automated printing and packing section.
Operational capacity: 200-250 tons per day at PBPL, Bgarh; Bahadurgarh and
Neemrana factories have the largest manufacturing facilities of biscuits.
Brand awareness: highly aware product and brand profile (esp. Parle-G,
Krackjack and Monaco) due to a strong and efficient marketing team. The other biscuits
in the Parle product’s basket include Monaco, Krackjack, and Marie; Hide n Seek,
Cheeslings, Jeffs, Sixer and Fun Centre. But consumers need to be aware that are from
Parle.
The marketing strength: Parle has nearly 1500 wholesalers, catering to 4,
25,000 retail outlets directly or indirectly. A 200 strong dedicated field force services
these wholesalers and retailers. Additionally, there, there are 39 depots and C& F agents
supplying goods to the wide distribution network.
Market Share: The company commands a 40% market share in the rs .35 billion
biscuits market in India. Has established a dominant position in the glucose biscuit
market share (around 65%): Marie segment (12-13%) ; sweet and salty category at 90%
Financial resources: A cash rich company having major investments. Needs to
emphasize on budgeting and cost minimization.
Patents and trade secrets: the Parle-G formula…..
EXTERNAL ANLYSIS
An opportunity is the chance to introduce a new product or service that can generate
superior returns. Opportunity can arise when changes occur in external environment.
Many position of existing products and may necessitates a change in product
specifications or developments of new products in order for the firm to remain
competitive . Changes in the environment may be related to:
Customers: Customers an expectation has increased over the years, Parle needs
to evolve with the changing environment and focus upon R&D and advertising.
Competitors: the competitive scenario at the national level is more of a disguised
duopoly than a real one. Acloser look at state-levels markets show the presence of strong
regional players such as Barman’s, Priyagold, Shalimar, Windsor and Champion other
than the national players, Parle and Britannia. This has held the prices in check for a long
time.
Market trends: Growth in the over 40 year-old Indian biscuit industry has
remained slow. Back-of -the-envelope calculations will show that per capital household
per month. Hence there is immense opportunity for Parle to move up the value chain in
the Indian an export market.
Social changes: more and more marketing budgets are being spent on below-the-
line promotions and less on brand building. The freebie driven purchase behavior may
lead to long-term damage of the brand.
New technology: both Parle and Britannia are now trying to different iate their
brands to reflect their superior quality through superior packaging. Being a national
player, Parle can afford to concentrate on continuous technological updation.
Economic environment: a reduction in the 16% excise to 8% has proved to be a
boon to the biscuit industry.
PARLE G-THE EVOLUTION!!!
Parle-G has been strong household name across India. The great taste, high nutrition, and
the international quality, makes Parle-G a winner. No wonder, it’s the undisputed leader
in the biscuit category for decades. Parle-G is consumed by people of all ages, from the
rich to the poor, living in cities & in villages. While some have it for breakfast, for others
it is a complete wholesome meal. For some it’s a way of getting charged whenever they
are low on energy. Because of this, Parle-G is the world’s largest selling brand of
biscuits.
Launched in the year 1939, it was one of the first brands of Parle products. It was called
Parle Gluco Biscuits mainly to cue that it was a glucose biscuit. It was manufactured at
the Mumbai factory, Vile Parle and sold in units of half and quarter pound packs.
The incredible demand led Parle to introduce the brand in special branded packs and in
large festive tin packs. By the year 1949, Parle Gluco biscuit were available not just in
Mumbai but also across the state. It was also sold in parts of North India. By the early
50’s, over 150 tones of biscuits were produced in the Mumbai factory. Looking at the
success of Parle-G, a lot of other me-too brands were introduced in the market. And
these brands had names that were similar to Parle Gluco Biscuits so that if not by
anything else, the consumer would err in picking the brand. This forced Parle to change
the name from Parle Gluco Biscuits to Parle-G.
Originally packed in the wax paper pack, today it is available in a contemporary,
premium BOPP pack with attractive side fins. The new airtight pack helps to keep the
biscuits fresh and tastier for a longer period.
Parle-G was the only biscuit brand that was always in the short supply. It was heading
towards becoming an all-time great brand of biscuit. Parle-G started being advertised
in the 80’s. It was advertised mainly through press ads. The communication spoke about
the basic benefits of energy and nutrition. In 1989, Parle-G released its Dadaji
commercial, which went on to become one of the most popular commercials for Parle-
G. The commercial was run for a period of 6 years.
Parle-G grew bigger by the minute. Be it the packs sold, the areas covered or the number
of consumers. It became a part of the daily lives of many Indians. It wasn’t a biscuit any
more. It had become an icon. The next level of communication associated the brand with
the positive values of life like honesty, sharing and caring.
In the year 1997, Parle-G sponsored the tale-serial of the Indian superhero, Shaktimaan
that went on to become a huge success. The personality of the superhero matched the
overall superb benefits of the brand. Parle extended the association with Shaktimaan and
gave away a lot of merchandise of Shaktimaan which was supported by POS and press
communication. The children just could not get enough of Parle-G and Shaktimaan.
In the year 2002, it was decided to bring the brand closer to the child who is a major
consumer. A national level promo- ‘Parle-G Mera Sapna Sach Hoga’ was run for a
period of 6 months. The promo was all about fulfilling the dreams of children. There
were over 5 lakh responses and of that, over 300 dreams were fulfilled. Dreams that were
fulfilled ranged from trips to Disneyland at Paris & Singapore, meeting their favorite
film stat Hrithik Roshan, free ride on a chartered plane, 20 scholarships worth Rs
50,000, a special cricket coaching camp with the Australian cricketer – Ricky Ponting
etc.
The year 2002 will ago down as a special year in Parle-G’s advertising history. A year
that saw the birth of G-Man a new ambassador for Parle-G. Not just a hero but also a
super-hero that saves the entire world, especially children from all the evil forces. A
campaign that is not just new to the execution that is loved by children all over the world-
Animation. A TV commercial that showed G-Man saving the children from the evil
force called Terrolene laughed this campaign. It was also supported by print medium
through poster and streamers put up at the retail outlets. G-Man, a new superhero of
Parle-G has the potential of making it big. And will be supported by a campaign that will
see many a new creative in the future so as to keep the children excited and generate
pride in being a consumer of Parle-G.
To make the brand much more interesting and exciting with children, it was decided to
launch a premium version of Parle-G called Parle-G Magix in the year 2002. Parle-G
Magix is available in two exciting tastes –‘Choco’ and ‘Cashew’. The year 2002 also
witnessed the launch of Parle-G Milk Shakti, which has the nourishing combination of
milk and honey, especially launched for the southern market.
Parle-G continues to climb the stairs of success. Take a look at the global market were it is being exported. First came the Middle East then USA followed by Africa and then Australia. An Indian brand, that’s exported to almost all parts of world. After all that’s what you would expect from the Parle G World’s Largest Selling Biscuit
PERFORMANCE APPRAISAL
MEANING OF PERFORMANCE APPRAISAL: Performance Appraisal or merit rating is one of the oldest and most universal practices of management. Performance Appraisal is a method of evaluating the behavior in the work pot, normally including both the qualitative and aspect of job performance.
Companies use Performance Appraisal for training & development providing feedback to employees and personnel research. They also use it in determining wages, promotion and transfer.
Performance Appraisal means the systematic evaluation of the performance of an employee by an expert or his immediate superior.
Performance Appraisal can be simply defined as a systematic evaluation of present and potential capabilities of personnel and employee by their superior.
Performance means ‘to do something’ and appraisal means ‘to decide the value of work done’. Thus Performance Appraisal means ‘deciding the value of work done by an individual’
It is process that involve determining & communicating to an employee how he/she performing the job and ideally establish plan for improvement.
CONCEPT OF PERFORMANCE APPRAISAL:
Performance evaluation or Performance Appraisal is the process of assessing the performance and progress of an employee or a group of employee on a given job and his potential for future development. It consists of all formal procedure used in working organization to evaluate personalities, contribution and potential of employees.
It is the process of obtaining, analyzing and recording information about the relative worth of an employee.
Performance measure and merit rating are used synonymously. But strictly speaking Performance Appraisal is a wider term than merit-rating. In merit rating the focus is on judging the caliber of an so as to decide salary increment. It is designed primarily to cover rank and file personnel decisions. On the other hand Performance Appraisal focuses on the performance and future potential of the employee. Its aim is not simply to decide salary increment but to develop a rational basis for personal decisions. Merit rating measures what the person is (traits) whereas Performance Appraisal measures what the person does (performance).
DEFINITION OF PERFORMANCE APPRAISAL:
ACCORDING TO YODER:“Performance Appraisal refers to all formal procedures used in working organization to evaluate personalities and contribution and potential of group member”
ACCORDING TO BEACH:Performance Appraisal is a systematic evaluation of the individual with regard to his/her performance on the job and his/her potential for development”
ACCORDING TO FLIPPO: “Performance Appraisal is a systematic, periodic and impartial rating of an employee excellence in matter pertaining to his present job and his potential for a better job”
ACCORDING TO CARL HEYEL:“Performance Appraisal is a process of evaluating the performance and qualification of the employee in term of the requirement of the job for which he is employed for purpose of administration including placement, selection for promotion, providing financial regards and other actions which require differential treatment among the member of a group as distinguished from action affecting all member equally”
FEATURES OF PERFORMANCE APPRAISAL:Salient features of Performance Appraisal are as follows:
1. CONTINOUS APPROACH:Performance Appraisal is a continuous approach. It is not that evaluation made for the performance for a particular date. The employee’s performance for the whole review period assessed. So assessment of job is continuous.
2. SYSTEMATIC APPROACH: Assessment activity is carried on a definite plan, programmer. Review period, reviewing authority, reviewing method etc are predetermined and the whole performance assessment work follows a clear cut, definite process.
3. PERIODICITY: It follows a definite period for the assessment of employee’s performance. Evaluation may be made for the performance six month for the whole period of twelve month.
4. BASIS OF ASSESSMENT: Assessment is made on the basis of standard set earlier. Quantum & quality of performance is judged looking to the goals, standard fixed earlier.
5. REINFORCEMENT ACTIVITY: Performance Appraisal system includes reinforcement activity to strengthen weak areas of reviews- Reviewing authority tells review the week areas that need improvement. He also as certain reason for less performance and feedback to strengthen the weak areas.
6. POTENTIAL ASSESSMENT:
Performance Appraisal has many activities. It identifies:- People who are non-performers, below standard. People who are performers, excellent. People who have potential to occupy higher position and to shoulder
higher responsibilities. Under this system potential appraisal is made along with evaluation of present and performance of employee.
OBJECTIVE OF PERFORMANCE APPRAISAL:
Performance Appraisal facilities growth & development of organization and the employees as well. Effective Performance Appraisal system creates a committed, talented & dynamic workforce that helps to achieve organizational goal. So, Performance Appraisal contributes a lot for smooth and effective functioning of organization. Today, most organization has introduced Performance Appraisal for different objectives. Some of the important objectives of Performance Appraisal are discussed below:
1. PROMOTION DECISION:Performance Appraisal identifies the employees who are achivers excellent performer. It also indicates the employees to grow, develop and to take up higher responsibilities. It make easy for the higher management to take decision relating to promotion of the employees as information, data concerning performance, attitude, aptitude, potentiality are readily available to them.
2. SALARY DECISION:Decision regarding salary raise, increase/sanction of annual increment & monitoring incentives are taken on the basis of performance of employees. Performance Appraisal help top management to take decision on such areas as all relevant information, data is available from this system.
3. IDENTIFICATION OF TRAINING NEEDS:Training need can be ascertained from the Performance Appraisal as:
Employee express in self appraisal from about their desire, intention to undertake training on the areas which they think they require improvement.
Reviewing officer give their opinion, observation, regarding training subordinates need.
Weak areas requiring improvement become clear from the performance level of employees.
4. COMPETENCY DEVELOPMENT:One of the objectives of Performance Appraisal is to develop competencies of the employees. It ascertains/identifies area of activity where employees need improvement .so that they can give standard performance. Some employees may have potential to take up a higher assignment
5. EFFFECTIVE RUNNING OF THE ORGANISATION:Performance Appraisal lets the management know who deadwoods, incompetent are and useless employee of Organization Company introduces downsizing approach through voluntary requirement, retrenchment.
6. SELF DEVELOPMENT: When the employees are aware of the importance of Performance Appraisal for their growth & development, elevation and satisfaction of psychological need, they give their best efforts to improve their skill through skill development measure.
7. USE OF CONTROL ACTIVITIES:When job related behavior of employees for below the standard behavior as revealed from the performance rating organization use control measure to check behavioral activities.
8. PREPRATION OF SUCESSION PLANNING:Performance Appraisal system exhibits strength & weakness of executives, lets the company know about the employees who are competent, effective and dynamic. So that succession planning can be prepared for filling up subsequent vacancies of senior executives.
IMPORTANCE OF PERFORMANCE APPRAISAL:
In modern organization, Performance Appraisal is needed to reduce the objective terms, the experience and personal qualities of every employee in the organization.ACCORDING TO DALTON E MC FARLAND”the purpose of any formal method of systematic employee’s appraisal is to provide greater objectivity in the executive’s judgment about subordinates. It is also an objective to regularize the procedure used by requiring periodic appraisal, so that up-to-date information is available for use in making decision about people.Performance Appraisal has become a very significant activity in most of the enterprise because it provide data about past, present and excepted performance of the employee which is helpful in taking decision selection, training and development, increase in pay, promotion, transfer and the like. These days a large amount of money is being spent on Performance Appraisal by most of the organization. The following benefits of Performance Appraisal justify the designing of an effective programmed of Performance Appraisal:-
1) It provide scientific basis for judging the merit of worth of employee’s who try to improve their performance if it is not up to the satisfaction of the employee’s
2) It is a sound basis for promotion, demotion, transfer and termination of employees. Better person are selected for promotion It help the management in avoiding snap judgment about personnel and taking sound personnel decision.
3) It helps in distinguishing between efficient and inefficient worker. In this way it reveals the defect in the selection procedure. The employee who are misfit may be spotted and appropriate action taken to give them suitable training.
4) It helps the supervisor to evaluate the performance and to know the potential of their subordinate systematically. It also helps them to assign work to individuals for which are best suited. Thus it, facilitate the current placement of worker
5) Performance rating helps in guiding the employees. The supervisor may use the result of appraisal system foe the purpose of constructively guiding the employees in the efficient performance of work. The employee comes to know where they stand and consequently they try to improve their performance.
6) If the Performance Appraisal is done scientifically and systematically, it will prevent employee grievance. The records of Performance Appraisal are available in a permanent form to protect the management against subsequent changes charges of discrimination which might be leveled by the trade unions. Thus Performance Appraisal helps in creating a congenial atmosphere of employer – employee relations.
USES OF PERFORMANCE APPRAISAL:
Some common application of Performance Appraisal includes:
1) Performance Appraisal provides valuable information for personnel decision such as pay increase, promotion, demotion, transfer and termination. Management gets an objective basis for discussing salary increases and promotion with the staff. Thus, Performance Appraisal serves as the basis of suitable personnel policies.
2) It helps to judge the effectiveness of recruitment, selection, placement and orientation system in the organization.
3) It is useful in analyzing training and development needs. These needs can be assessed because Performance Appraisal reveals people who require further training to remove their weaknesses. It also identifies individuals with high potential who can be groomed up for higher position.
4) Performance Appraisal can be used to improve performance through appropriate
feedback, working and counseling to employees. It serves as a means of telling a subordinate how he is doing and suggesting necessary changes in his knowledge behavior and attitude. It serves to stimulate and guide employee’s development
5) Performance Appraisal facilitates human resource planning, career planning and succession planning.
6) It promotes a positive work environment which contributes productivity. When achievements are recognized and rewarded on the basis of objective performance measure, there is improvement in work environment.
7) A competitive spirit is created and employees are motivated to improve their performance. Systematic appraisal provides management an opportunity to
properly size up the employees. It also enables a manager to understand his strength and weaknesses.
PROCESS OF PERFORMANCE APPRAISAL:
1) ESTABLISH PERFORMANCE STANDARD:The appraisal process begins with the setting up of criteria to be used for appraising the performance of employees. The criteria are specified with the help of job analysis which reveals the content of a job. These criteria should be clear, objective and in writing. It should be discussed with the supervisors to ensure that
ESTABLISH PERFORMANCE STANDARD
COMMUNICATE THE STANDARD
MEASUREING PERFORMANCE
COMPARE THE ACTUAL PERFORMANCE WITH STANDARD
DICUSS THE APPRAISAL
TAKING CORRECTIVE ACTION
all the relevant factor have been included. Where the output can be measured the criteria is clean. If work performance cannot be measured, the personal characteristics which contribute to employee performance must be determined. These characteristics include work quality, honesty, and reliability, cooperation and team work, job knowledge, initiative, leadership, safety consciousness, attendance, learning ability, adapbility, judgment, and sense of responsibility, health and physical condition.
2) COMMUNICATE THE STANDARD:The performance standard specified in the first step are communicated and explained to the employees so that they come to know what is expected them. The standard should be conveyed to the evaluators. The reaction of employees to the standard should be obtained. If necessary the standard may be revised or modified in the light of feedback obtained from the employees and the evaluators.
3) MEASURING PERFORMANCE:Once the performance standard are specified and accepted, the next stage is the measurement of actual performance. This requires choosing the right technique of measurement, identifying the internal and external factor influencing performance and collecting information on result achieved. Personal observation, written report and face to face contacts are the means of collecting data on performance. The performance of different employees should be so measured that it is comparable. What is measured is more important than how it measured.
4) COMPARE THE ACTUAL PERFORMANCE WITH STANDARD:
Actual performance is compared with the predetermined performance standard. Such comparison will reveal the deviation which may be positive or negative. Positive deviation occurs when the actual performance exceeds the standard. On the other hand excess of standard performance over the actual performance represents negative deviation.
5) DICUSSING THE APPRAISAL:The result of appraisal are communicated to and discussed with the employees. Along with the deviation the reason behind them are also analyses and discussed. Such discussion will enable an employee to know his weaknesses and strength. Therefore, he will be motivated to improve himself.
The impression the subordinate received about his performance has an impact on his subsequent performance. The impact may be positive or negative depending how the appraisal feedback is presented and discussed with employees.
6) TAKING CORRECTIVE ACTION: Through mutual discussion with employees, the step required to improve performance are identified and initiated. Training, coaching, counseling etc. are examples of corrective action that help to improve performance.
INDEPENDEPENT COMPARTIVE RESULT CONTRIBUTIONAPPROACH APPROACH APPROACH COST APPROACH1) EASY APPRAISAL 1) RANKING MANAGEMENT HUMAN BY RESOURCE2) CHECKLIST 2) FORCED OBJECTIVE ACCOUNTING APPRAISAL DISTRIBUTION 3) CRICTICAL 3) PAIRED 4) FORCED-CHOICE COMPAIRSON APPRAISAL
5) CONFIDENTIAL REPORT
6) GRAPHIC RATING SCALE
7) BEHAVIOURALLY ANCHORED RATING SCALE
8) ASSESSNENT CENTRE
9) 360 FEEDBACK
10) FIELD REVIEW
INDEPENDENT APPROACH :
Under this approach evaluation of employee’s performance is independent of any other employee in a work team. Employees are not compared against other employees but they are compared to a standard. Some of the techniques under independent approach are discussed:
1) EASSY APPRAISAL: It is one of the techniques used by some organizations for evaluating performance of employees. Under this method, appraiser is too required to rate employee’s performance in essay form to describe strength and weakness, training needed, suggestion for improvement etc. Generally, evaluation is made on the following areas:
Knowledge in technical areas e.g. operative knowledge, knowledge in company’s rules, regulations, policies, procedures.
Skill and ability to perform present job. Ability to work in a team. Attitudes towards peers, boss, subordinates, higher management. Human skill. Potential. Ability to perform whole activity independently.
MERITS:a) It is easy to carry out in organization.b) Rater may not need training for evaluation of employee’s performance.c) It is less expensive.d) Subordinate may have faith on this method because of simplicity.
DEMERITS:a) It is a subjective evaluation method.b) Since quantitative appraisement is not made, employees exact
performance level can not be known.c) Areas on which appraisement is made do not adequately
represent employees job activities. Hence, actual performance of employees can not be known
2) CHECKLIST APPRAISAL: Checklist appraisal is used to evaluate performance of employees in organization. The terminology ‘checklist appraisal’ denotes a technique of performance evaluation made through testing/verification of a list of behavioral about description about an employee.
FEATURES:a) Performance evaluation of employees is not made by rater; it is done by
some officer in the personnel department/HRM department.b) The boss under whom employees work checks the behavioral
statement/description about them and indicates ‘yes’ or ‘No’ against each statement already set.
EXAMPLES OF A SIMPLE CHECKLIST:a) Is the employee prompt in rendering service to customer?b) Does he take interest to solve customer problem?c) Does he help his co worker in providing service to customer?d) Does he behave well with customer?e) Does he keep customer standing/waiting for along period in front of his
counter without giving service?f) Does he serve customers with smiling face, helping attitude?g) Is he liked by customer? h) Does he carry out instruction of his superior?
MERITS:a) It is a simple method to evaluate performance of employee.b) Rater does not have any idea regarding final evaluation of employee’s
performance. Hence, the possibility of his being biased is less. DEMERITS:
a) It is difficult to appraise quantitative performance of employees.b) It is an expensive method.
3) CRITICAL INCIDENT:It is one of the methods used by organizations to evaluate performance of employees. Under this technique, boss/supervisor keeps records of key or crucial job related behaviors of employees for the whole review/appraisal period on a day to day basis. After stipulated period, may be, after six months from the commencement of the review period supervisor calls his subordinates for discussion and points out both positive and negative areas and also for attaining excellence in positive areas.MERITS:a) It may create confidence amongst subordinates about evaluation when
they find that rater takes it seriously to record all crucial behavior-negative and positive behavior on daily basis.
b) Effect of recent behavior is minimum.DEMERITS:a) The method is time consuming.b) Supervisor/rater may take this method casually.c) Quantification of performance behavior is not possible. So,
comparative performance analysis may not be accurate.
4) FORCED-CHOICE APPRAISAL: It occurs organization that some raters are very much biased when they appraise performance of their subordinate. To avoid such situation, an
appraisal method has been designed and introduced in organization where rates are required to choose statement, which, according to them, suit ratees’activities, behavior and performance. This appraisal technique is forced-choice appraisal method.
FEATURES:a) Two or more statement relating to subordinates behavior, activities are
mentioned in appraisal format. Each statement may express positive or negative aspect of behavior /activity of the individual being evaluated.
b) Rater ticks the statement which is most descriptive or in some cases least descriptive of the concerned subordinate.
c) Rater score are given by officers in HRM/personnel department.
EXAMPLES:The following are the examples of statement relating to customer service rendered by a bank employee and the rater is required to choose the statement that describe most of his behavior. List of statement:a) He provides service to customer with smiling face.b) He develops a good rapport with customer.c) He attends customer’s problem immediately after he gets/comes to
know the problem and sort out problem promptly.d) Most customers express satisfaction about service rendered by him.
MERITS:a) This method is free from biased rating as the rater himself does not
know scoring.b) It give accurate ratingDEMERITS:a) It is time consuming as rating process goes through the stages like
preparation of statement, choosing statement by rater, scoring/evaluation made by officer of HRM/personnel department which need much time to complete.
b) It is expensive as designing format to prepare statement, selecting answer key, and ascertaining correctness /efficiency of answer key involve a lot of money
5) CONFIDENTIAL REPORT: It is one of the traditional methods of evaluating performances, behavior, activities of subordinates. Under this method subordinates’ strength, weaknesses, effectiveness, initiative, attendance, punctuality, commitment, loyality, knowledge, competencies, honesty, integrity, team performance etc.are mentioned in the report. This method is used in government organization / offices as also in some private organization. Evaluation is made by immediate boss of subordinate on the basis of the information gathered by him about behavior, activities of his subordinates through observation, and perception impression developed in the process of interaction between them for accomplishment of job assigned to them.
MERITS:a) It is easy to implementb) Rater does not need training to appraise performance. He record
overall impression on rates in the report.c) It is not expensive to use in organization.
DEMERITS:a) It is subjective evaluation process.b) There is no system of counseling subordinates in situation when
they perform miserably low.c) It is an old method that needs modification.
6) GRAPHIC RATING SCALE:This is one of the methods used in organization to ascertain performance level of employees. Under this method, emphasis is given on traits/characteristics of individuals. The concept emerges from the understanding that qualitative traits/attributes of employees contribute a lot to the achievement of organizational goals. Hence, arises through the use of this appraisal technique.FEATURESa) Evaluation is made on traits viz. quality of work, initiative, dependability,
leadership, job, knowledge, punctuality and the likes but some organization appraise important areas of work/duties of employees instead of assessing trait factors.
b) Each trait of subordinate is rated by the supervisor by circling the score in the rating scale.
EXAMPLE OF TYPICAL GRAPHIC RATING SCALE SHOWN IN FIGURE:
PERFORMANCE APPRAISAL
Employee’s Name: ________________________________Designation: _____________________________________Department: _____________________________________Employee code No: ________ Review period:___________Name of reviewing Authority: ________________________Since when employee is working in the department: _______
TRAITS RATING SCALE COMMENT1.INITIATIVE O o 100-90 VG o 89-80 G o 79-70 S o 69-60 US o below 602. DEPENDABILITY O o 100-90 VG o 89-80 G o 79-70 S o 69-60 US o below 60
3. QUANTITY OF O o 100-90 WORK VG o 89-80 G o 79-70 S o 69-60 US o below 60 4.JOB O o 100-90 KNOWLEDGE VG o 89-80 G o 79-70 S o 69-60 US o below 60
5. QUALITY OF O o 100-90 WORK VG o 89-80 G o 79-70 S o 69-60 US o below 60
MERITS: a) It is a simple method to assess performance of employees.
b) It is easy technique that does not need training to use by raters.
DEMERITSa) Designing rating scale needs high expertise and knowledge.b) Biased rating in performance evaluation can not be ruled out.
7) BEHAVIOURALLY ANCHORED RATING SCALE (BARS):This is a technique of appraising employee’s performance level that considers actual behavior on job. It is based on critical incident approach that looks into effective behavior for a particular performance dimension.
STEPS TO DEVELOP A (BARS):Step 1. Gathering information regarding critical incidents : Individual employees and supervisors are asked to describe the critical incidents of effective and ineffective performance on the job. Collection of information through such measure is direct.
Step 2. Classifying incidents into performance dimensions : The same group is advised to classify these incidents into performance dimensions. Incidents may be hundred or more but performance dimension may be much less (between five and ten)
Step 3. Reassigning incidents The second group who has also through knowledge in such area of performance is briefed about critical incidents and classification dimensions and is asked to reallocate each incident to the classification/cluster. Reassigning of incidents to a particular cluster/dimension is made on the basis of majority choice/ decision. If majority personal of this group (say more than 70%) considers that an incident belong to a particular cluster as made by the group in step 2, the same is retained.
Step 4. Scaling incident The second group is asked to rate each incident in 5 point or 7 point scale to describe as how to effectively or ineffectively it represent performance dimension.
Step 5. Preparing final instrument Generally, six or seven incidents per cluster /performance dimension are used as behavior anchors to rater.
MERITS:a) It is easy to implement as it does not need any training for raters or rateesb) In counseling /feedback session get clear idea in respect of his performance/job
behavior as critical incidents specify scale value to determine his performance level of the job.
c)DEMERITS:a) It is expensive and time consuming.b) Perfect/accurate rating may not be possible as the method provides scope to raters
to rate in biased manner.
BEHAVIOURALLY ANCHORED RATING SCALE IS ILLUSTRATED IN FIGURE:
Extremely good performance Could be expected to receive from all the person who remain in the queue during stipulated period to enter into respective registers, to verify records to return counterfoil to them and control the atmosphere
Good performance Could be expected to receive fees from all those who remain present and to complete all the formalities but fail to maintain peaceful and congenial atmosphere.
Neither poor or good performance
Could be expected to receive fees and to complete all the formalities at a slow speed and as a result all person who remain on the queue may not have chance to deposit fees during specified period.
Slightly poor performance Could be expected to receive fees and to complete formalities with the help of co worker.
Poor performance Could be expected that the receiving cashier asks the person in the queue about the amount of different fees and remain busy in conversation with them.
Figure- Behaviorally Anchored Rating scale
8) ASSESSMENT CENTRE METHOD:The basis of the method is to test candidates in a social situation, using a number of assessors, and job related simulations. These simulations involve characteristics that manager feel important to the job success. The evaluators observe and evaluate participants as they perform activities in the higher level of job.
9) 360 FEEDBACK:This is a new method used for assessing performance of employees particularly managers, officers in organization. Under this method, manager’s behavior, skills are evaluated by all people who are in some way connected or related to them. They are subordinates, peers, bosses, team members and customers. Managers themselves appraise their own job behavior through self-appraisal system. This method is also called multi source assessment as assessment is made by different people and such technique collect feedback from these sources/person with regard to ratees/reviewees. P.ward (1995) has expressed that 360 feedbacks is the systematic collection and feedback of performance data on an individual or group derive from a no. of the stakeholder on their performance.Performance assessment under this method is made by the stake holder is shown in the figure:
The 360 appraisal which was coined in the U.S in 1998 has been very popular there as a tool to measure employees performance and also to provide feedback for development. Most of the U.S companies are now using this technique. In India, it is emerging as HR tool for development at WIPRO, ITC, MOTORALA, NOKIA, SEAGRAM, and a few others. This method has different uses viz. designing scheme for personnel development of employees and team members, preparation of succession planning, assessment of training and development needs, decision for pay increase, ascertainment of leadership traits, establishment of interpersonal relationship.
This assessment technique work in a system activity like: Selecting raters (viz. peers, subordinates, boss, customer) Conducting survey to know opinion, perception about ratee’s
performance, qualities etc. Compilation of opinion and analysis of report. Preparation of a concise report containing rating of different raters. Presentation of report to the rate. Action taken to change/modify ratee’s behavior.
BENEFITS:
Peers Team member
Individual employee
Customer
Boss
Subordinates
The 360 feedback (multi source assessment) has the following benefits if, used in organization:
a) Rating is unbiased as raters are many and give separate rating about ratee’s performance, job behavior.
b) Ratees can compare their own evaluation with those evaluation made by others and accordingly can take measures for improvement.
c) This method encourages more open feedback.d) This method develops a feeling of self-awareness amongst ratees
LIMITATION:a) Managers may take revenge against the raters who have rated badly
on the performance behavior of ratees.b) Free and frank rating may not be possible in some cases specially
when subordinates evaluate bosses performance.
10) FIELD REVIEW METHOD: This is a method of appraising performance of employees through field survey/review by the officer of the personnel/HR department of the organization. This technique is generally used in such cases where raters’ biasness is noticed or where disagreement between raters is found. This method involves the following activities:
Initiation of performance review of employees by HR executive/officer or personnel officer at the workplace.
Presenting question to employee’s supervisor about each employee’s performance level, promotability, qualitative traits, knowledge, skill, attitudes aptitude, weak areas, training need and recording reply of concerned supervisor.
Obtaining information by asking question to peers, employees about their work performance, deficit of skill if felt, support if needed.
Studying/analyzing points agreements, disagreements /differences in respect of information given by the concerned person.
Performance review by appraiser( HR/personnel staff)
MERITS:a) Rater’s biasness is eliminated.b) Since, third party intervention is involved information/replies are
given by the concerned person very cautiously.
DEMERITS:a) It is time consuming as third party activity is involved.b) Supervisor may not take this technique in good spirit.c) It may adversely affect working climate in department.
COMPARATIVE APPROACH:
Under this approach, comparative evaluation of employee performance is made. Each individual employee’s performance is compared to other employees. Three methods: viz. Ranking Method, Forced Distribution Method, and Paired Comparison Method are discussed to appraise employee performance.
1) RANKING METHODTwo ranking methods are in great use in organizations. They are Simple Ranking Method and Alternation Ranking Method.
A. SIMPLE RANKING METHOD This is a technique used in organization to appraise employees’ performance through comparative analysis of employees’ traits, characteristics and assigning position / place with regard to such traits / characteristics. Under this method employees are ranked / assigned numerical score (like, 1, 2, 3, and so on) on the basis of their place / position in respect of each trait, characteristic / behavior. Overall assessment / ranking is made on compiling individual ranking. So, ranking requires executives / managers to rank employees within their departments from best to worst or from highest to lowest.
B.ALTERNATION RANKING METHOD Under this method best and worst employees are ranked / chosen in a alternative manner. That means, are deciding best employee from the lot, worst employees from the remaining employees is ranked.
PROCESSa) A list of employees working in a department is prepared for evaluation of their
performance.b) Best employee is chosen from the list in terms of characteristic/trait and his name
is crossed off the list.c) On a separate form best employee’s name is indicated on the top.d) Worst employees chosen from the remaining employees of the list and his name
are crossed off his list. His name is shown on the bottom of the separate form.e) Next highest employee is identified / assessed and is placed second position on
the form after having crossed his name off the list. Next lowest is chosen and placer position on the form accordingly. Choosing the next highest and the next lowest in an alternating manner and placing them in proper place continues until all employees of the department as mentioned in the list for evaluation are ranked.
MERITS:a) This is simple and easy method that does not need training for raters or
ratees.b) It is less expensive as it does not involve extra cost towards designing
format, training of raters to learn the system for evaluating performance etc.
c) Since, performers and non-performers are identified /known, company can initiate separate projection/ measures for developing skill, knowledge, competencies, attitude of both group of employees.
DEMERITS:a) It demoralize, frustrate employees who are ranked low.b) Chances of biased judgment are not ruled out.c) Accurate ranking may not possible when a good number of employees
have equal level of performance.
2) FORCED DISTRIBUTION MEOTHD:This is a method used in organization to appraise employee’s performance by putting certain percentage of employees into different categories, as decided early. It occurs that some raters prefer to rate the employees high or low and they become biased in appraising performance. To overcome this situation forced distribution method introduced. This method uses the characteristics/traits of job performance and promotability as well.
PROCESS:a) For evaluation of work performance employees are categorized into some
groups like high performance, above performance, average performance, below average performance and low performers.
b) Percentage distribution of ratees to each performance category is made. For example, distribution of percentage of employees may be like in the following:
High performers 10% Above average performers 15% Average performers 40% Below performers 15% Low performers 20%
d) Employees are rated by the managers/executives and are placed in performance categories.
MERITS:a) It is very easy to use this method.b) It helps to design and develop training programmes/courses for low
performers and below average performers.c) It helps to change, modify selection tools, technique so that organization
can procure quality and dynamic people as per requirement.DEMERITS:a) It affects team building, team spirit, interpersonal relation between
employees and all this creates unhealthy, conducive atmosphere in the organization.
b) Performance categories of employees affect production, productivity, absenteeism and turnover of the employee
3) PAIRED COMPARISON METHOD: This is one of the methods to appraise performance of employees by making pairs and comparing to every to employee in respect of performance characteristics / trait of such employees. For every trait/ characteristics each employee is paired with and compared to every other employee and the better one is indicated with a ‘+’ mark. After comparison is made, the employee who has obtained maximum number of ‘+’ marks is ascertained and ranked highest for the particular trait.For calculating total number of comparison the following formula is applied:N (N-1) Where N means number of employees to be rated. 2 For example, in a group of 5 persons (say, A, B, C, D and E) total number of comparison is 5(5-1) i.e, 10. So pair is like 2 AB, AC, AD, AE, BC, BD, BE, CD, CE, DE This method is explained in figure For the trait ‘job knowledge’
Employee rated
As compared to Mr. ADutta
Mr. BBose
Mr. CChandra
Mr. DDan
Mr. EPal
Mr. A Dutta - - - -
Mr. B. Bose + + - -
Mr. C. Chandra + - - - +
Mr. D. Dan + + + -
Mr. E. Pal + + - +
Figure: Ranking Employees by the paired comparison method MERITS:
a) It is very easy for the rater to compare and find out the better employee in respect of performance characteristics, traits.
b) It ensures that every employee is compared to every other employee in the work group.
DEMERITS:a) It is very time consuming as comparison is made on a one-on-one basis.b) If span of supervisor is very large, it is difficult to use for appraisal of
performance of employees in organization.
RESULT APPROACH: This approach to Performance Appraisal relates to objectives, result of a job. The concept arises from the philosophy that, achievements of results strengthens organizational effectiveness; generate strength and power of the organization to sustain, to face challenges.The performance management system that uses results is management by objective, which is discussed below:
MANAGEMENT BY OBJECTIVE: This is method of appraising performance of employees through setting of goals jointly by managers an subordinates in terns of company goals. This is objective oriented appraisal system which converts company objective/goals. The concept is based on participation of each and every individual employee for achievement of the company goals. So, all employees are involved in the goal setting exercise. Individual objectives/ goal are jointly set by subordinates and supervisors/manager looking to company goals and such individual goals are considered as standard on the basis of which employee’s performance is assessed. An example of objectives / goals for a branch manager of a bank, under MBO programme is given in figure:
Amount of deposit
Amount of Advance (excluding House Building)Loan & Agricultural loanRecovery of Non-Performing assetsAmount and Number of Accounts of HouseBuilding LoanAmount and Number of Accounts under different Savings Schemes
Number of customer complaint
Amount of Profit
Amount and number of Accounts of Agriculture LoanThe numerical goals are decided jointly by branch Manager and Regional/Zonal Manager.
Figure: Objectives for a branch manager of a bank
PROCESS OF MBO:The following steps are considered for MBO process:
1) SETTING INDIVIDUAL GOAL:Corporate plan is established first and then goals are decided on the basis of such plan. At the time of goal setting organization’s objectives are taken into account in it’s entirely. After organization’s goals are fixed, message is transmitted to the senior executives for settings goals of the respective departments. Such executives discuss with their subordinates who are department heads of the organization, in respect of the targets of the departments and set goals jointly. After department goals are set, department head discusses this issue with all department members and make them aware of the situations that necessitate achieving department goals jointly and in cooperative efforts.2) PREPARING ACTION PLANS
After goals/ objectives are decided next step is to prepare action plan so that, the targets / standard fixed for the review period can be attained. Under this phase the activities include:
Splitting of the target / KRAs over some fixed period for review.
Exploring and identification of supporting areas that may facilitate achievement of goals.
Activities to be undertaken to accomplish the assigned tasks. Determining the resources / infrastructure required to perform the tasks. Finding out the measures to be adopted to overcome the hurdles / trouble
to be faced in the process of performing activities.
3) MONITORING AND SELF-DIRECTING
The rate monitors the whole activities to ensure that the target fixed for the review period is attained, if not surpassed. He exercises self-direction to move on a right back so that stipulated activities are performed.
4) CONDUCTING PERIDIOC REVIEW MEETING: The rater / manager makes periodic review meeting with subordinates to know the periodic achievements. He compares individual employee’s performance with standard performance set jointly by him and the concerned subordinates.
5) PROVIDING FEEDBACK TO THE SUBORDINATES:Subordinates may sometime find difficulty to achieve target in usual situation and it is felt necessity by the rater to provide support to reinforce areas. So, the manager/ reviewer provide feedback/ support to the subordinates during the review period to monitor progress toward individual goals
10) EVALUATING PERFORMANCE:The rater evaluates performance immediately on the expiry of review period in terms of standard / goals set jointly at the beginning of the review period.
MERITS:a) It is easy to measure performance as performance target is already set. The
manager needs to compare individual performance with standard performance.
b) It develops a sense of accomplishment among individual employees.
DEMERITS:a) It is time consuming as the whole process (viz, setting goals, conducting
periodic review meeting, and providing feedback/support to subordinates) needs much time to be spent.
b) This method may not work effectively where superior subordinate relation is not healthy.
CONTRIBUTION COST APPROACH:Measuring performance of employees in the context of contribution over employees cost in anew concept. Under this approach, human resource accounting method is used to appraise employee’s performance.
HUMAN RESOURCE ACCONNTING METHOD:Under this method, employee’s performance is evaluated on the basis of contribution made by him in the organization as compared to cost. The concept of this technique arises from the philosophy that employees are assets / resource. Like any other resource, human resource has a great value in the organization for its survival, growth and development. Human resource, is therefore, needed to be focused as assets in company’s record. Some organization have introduced Human Resource Accounting as a tool to measure employees performance in context of contribution made by them (i.e. value added by employees) over cost of recruitment, selection, development of such employees. Hence, employees contribution to the organization may be in excess of employees cost (that is surplus contribution or positive performance) or may be in short of cost (that is deficit contribution or negative performance). Such performance level is measured in percentage that means deficit/surplus contribution is shown in percentage. Percentage of contribution and it corresponding rating is decided. Rating may be ‘excellent’ ‘very good’, ‘good’, ‘satisfactory’, ‘unsatisfactory’ against the percentage of contribution to cost of employee.
PROBLEM IN PERFORMANCE APRAISAL:[LIMITATION OF PERFORMANCE APPRAISAL]
The main problems involved in Performance Appraisal are as follows:1) ERROR OF RATING: Performance Appraisal may not be valid indicator or performance and potential of employees due to following type of errors:a) HALO EFFECT:
It is the tendency to rate an employee consistently high or low on the basis of overall impression. One trait of the employee influences the rater’s appraisal on all the traits. For example, an employee may be rated high on performance just because he sits on the job late in the evening. Similarly, a person who does not have regularly may not be considered lazy at work and may be underrated. This error may be minimized by rating all the employees on one trait before taking up other trait.
b) STERO TYPING: This implies forming a mental picture of a person on the basis of his age, sex, caste or religion. It result in an over – simplified view and blurs the assessment of job performance.
c) CENTERAL TENDENCY:It means assigning average rating to all the employees in order to avoid commitment or involvement. This is adopted because the raters has not justified or clarify the average rating. As a result the ratings are clustered around the mid-point.
d) CONSTANT ERROR:Some evaluation tends to be lenient while other is strict in assessing performance. In the first case performance is overrated (leniency error) while in the second type it is underrated (strictness error). This tendency may be avoided by holding meeting so that the raters understand what is required of them.e) PERSONAL BIAS: Performance Appraisal may become invalid because the rater dislikes an employee. Such bias or prejudice may arise on the basis of regional or religious beliefs and habit or interpersonal conflicts. Bias may also be the result of time. Recent experience or first impression of the rater may affect the evaluation.
f) SPILLOVER EFFECT: This arises when past performance affects assessment of present performance. For instance, recent behavior or performance of an employee may be used to judge him.
2) LACK OF RELAIBILITYReliability implies stability and consistency in the measurement. Lack of consistency over time and among different raters may reduce the reliability of Performance Appraisal. Inconsistent use of measuring standard and lack of training in appraisal techniques may also reduce reliability. Different qualities may not be given proper weight age. Factors like initiative are highly subjective and cannot be quantified.
3) INCOMPETENCERaters may fail to evaluate performance accurately due to lack of knowledge and experience. Post appraisal interview is often handled in effectively.
4) NEGATIVE APPROACHPerformance Appraisal loses of most of its value when the focus of management is on punishment rather than on development of employees.
5) MULTIPLE OBJECTIVESRaters may get confused due to two many objectives or unclear objectives of Performance Appraisal.
6) RESISTENCE
Trade unions may resist Performance Appraisal on the ground that it involves discrimination among its members. Negative ratings may affect interpersonal relations and industrial relations particularly when employees/unions do not have faith in the system of Performance Appraisal.
6) LACK OF KNOWLEDGEThe staff apprising performance of employees might not be trained and experienced enough to make correct appraisal.
DATA ANALYSIS1) Employee Age: Age 20-25 (Average) Fathers Mother 50-55
2) WorkingTheir Capability Maximum Minimum
How to best utilize them Maximum Minimum
Interested area o working Maximum Minimum
3) Welfare Activities Their Satisfaction level
65 35
Average High Interested in What type of welfare activities
Bus 92 Production Incentive
98
Canteen 100 Attendance award 100Uniform 100 Apren 100Sports 92 Biscuit coupou 75Naturopathy 98 Bank account 45Yoga/Art of Living 92 Safety 98Parle Patrika 100 Social welfare 91Home Unit 98 Monthly award 91ESI/Medical check up 98 Star of the month 91
4) TRAINING Output of trainingMaximum Minimum
How to improve trainingNote: - …………………………………………………………….
In what kind of training we can make focus
Participation in company’s goal
96 From H.R. 92
Related to work knowledge
96 One point lesson 96
Efficient use of resources
90 Training from supervisor
95
PQS (5’SHACCP) 94 Kaizen 88Safety/Medical 99 Social welfare
programme 86
Quality 94 Related to company rules and regulation
90
Discipline 94 Any other 82
departmentBehavioral Aspect 94 Problem solution 88
5) Working condition:Problem related to workMaximum Minimum
Availability of necessary equipment & tools Always As required
6) SafetyInformation levelFully Partially not aware
Equipment for safety & level of awarenessMaximum Minimum
7) RelationshipCoordination & cooperation level of teammate level
8) AbsenteeismTo think about the negative impact of absenteeism
Appraisal Appraisal of individual on the basis of criteria
OUTCOMESThe date and desired outcomes1. Employee relation formAge
Employee age: to design the welfare activities for them Like sports, cultural program & the level of thinking (the mentality of an individual is depended upon the age factor)
Age of their parents: to design the welfare programs for their family (like home visit, Naturopathy for the parents)
Members in family & their background: to know the individual responsibility and family conditions.
2) WorkingTo know about their job responsibility Their capabilityHow to best utilize themInterested area of working
How they realized for their working with company
3) Welfare activitiesTheir satisfaction levelInterested in what type of welfare activities
4) Training Outputs of trainingHow to improve in trainingRequired/interest of trainingIn what kind of training we can make focus
5) Working conditionsProblems related to workHow to make environment more favorableDedication to workAnd the availability of necessary equipments and tools
6) SafetyInformation levelEquipment for safetyAnd level of awareness
7) RelationshipRelation with the HOD’s and SupervisorsCoordination and cooperation level at teammate level.
8) AbsenteeismAwarenessTo think about the negative impacts of absenteeism&the causes &amount of overtime & O.T.
AppraisalAppraisal of an individual an the basis of some criteria
1) There should be counseling programmed which will help in motivating employee’s so that they will not lose their performance.
2) Should make aware about the different types of programme and should be concluded by the experienced person by seniors.
3) There should not biasness among the employee’s should be clear to employee’s in written as well as in oral after the assessment.
4) Appraisal system should be flexible enough to adopt the changes occurred.
5) They can use the customer motivation schemes like sales promotion.
6) They can make changes in their product according to the change in the taste and preference of customer.
CONCLUSION
“Human beings are drawn close to one another by their common nature but habits and custom keep a part”
There is no doubt that performance appraisal that contributes to the efficient and effective operation of the staff and their future development. But the method and administration of performance appraisal programme will vary from organization to personal and professional development. It is truth that no work is completed in itself. In fact, completion of on job is actually the beginning of another job. Likewise, H.R is never ending process. It is actually for personal development.
At last it is concluded that the company as a whole is a well branded company. The good will of the company is very high. The company is also having proper system of communication through inter-coms which helps in reduction is wastage of time.
The environment (working and cultural) is found very calm and the employee’s are pleased to work very hard in the corporation to achieve the desired objective. The company organized the Training and Development programmes for more knowledge and a lot of chances of promotion.
After the training I got the difference between theoretical knowledge and practical knowledgee. In the PBPL all the employee’s are very cooperative. Performance appraisal is the systematic description of an employee’s job. It provides to the employee’s try to do their job in a more efficient and effective manner.
