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Problems and issues

The appraisal system was subjective and inadequate in differentiating between high and
low performers and only remotely linked to reward system.

The performance traits were overlapping and non meaningful. They were not clear

Higher level bosses dont know how to fill the appraisal form because very few people
can justify their remarks and the problem is with the individuals who fill the form who
are not fair and trained properly.

Discrepancy between the numbers and remarks. Manager could not justify the remarks
that he made on the appraisal because the marks given do not support the comments
being made.

Performance data was gathered yearly which was insufficient.

There were no quantifiable objectives against which employees could be evaluated.

There is no separate assessment of promotional capabilities and the current system

depicted that past performance was not an indicator of future promotion and subjectivity
is involved.

Lack of career progression. It was a sole discretion of appraiser to raise or promote

employees as he wished instead of linking to annual performance appraisal.

There is no choice to alter appraisal to agree or disagree because it starts disputes if an

employee disagree. Managers were given short time to give their opinion.

Managers dont know what is written in their appraisal and their bosses share it on the
last day. Lack of formal feedback to employees about performance because the appraisal
is written by manager then given committee then employees was asked to sign it. Thus,
when everything is done so there was no point of asking employees at the pointcommented by the manager.

No grounds of telling on which system increments are decided.

Neglectful behavior in appraisal, not analyzing the effort and hard work put in by

Core problem
Bureaucratic style of management ( Urrti chiriya k parr ginnay wala hisaab
As there is Govt. involvement, the firm is not very much concerned about their workers,
appraisal and career progression. They dont appraise and record performance whole year though
appraisals are conducted annually, thus there is always a chance of having incident based rating
at the time of appraisal.

Solutions and recommendation

Specialized managers are required to draft appraisals and analysis the results. Initially the
solution is to employee qualified management staff with backgrounds of administration, HRM,
policy and business strategy making. Before an employee or manager will rate appraise, they
must first understand what performance based appraisals are, and the common rater errors to
avoid when doing appraisals. They need proper training sessions by specialists and get
acquainted with metrics.Appraisals should be carried out twice a year. Appraisals should be
based on overall performance and not on the time of appraisal. Their performance for six months
should be evaluated rather than on their recent performance. Selection of management should be
according to some criteria. The employees should possess formal education of managing people
or operations of a company. The company lacks succession planning due to which employees see
no personal growth in the organization; therefore the company should implement formal
promotional policies in order to motivate employees.The new appraisal form has been divided
into three parts. First overall performance of the employee is rated along with comments. Part A
evaluates the performance dimension of the employee, part B evaluates the employee goals and
development plans for the coming years and part C mentions employee comments on the

appraisal form. In new appraisal form the performance is appraised by supervisor, head of
department and employee.
Promotion policy should exist based on performance as well as seniority. A new part has been
made in the appraisal form where the development plan for the employee is discussed by the
supervisor, head of department and employee.

Mr. Khattak need to work for the career progression of employees and need to understand that
employees are the back bone of any organization, they can make a firm or break a firm. The new
appraisal should be linked to the rewards and compensations of the employees. All the related
members should be provided with training to fill out the appraisal form. The ratings should be
not biased and the reasoning should be provided of the ratings given to the employees.