Chapter 1

Introduction to Industry

1
 CHAPTER 1
INTRODUCTION TO INDUSTRY

WEB DESIGN-

Plenty of folks think that web design is all about slapping some words and pictures
together and posting them online. No doubt that sort of attitude has created some
of the atrocious and non-working web sites we see out there. Web design includes
a lot of work. When designing a web site these should be consider-

1) WORK OUT NAVIGATIONAL ISSUES-

It should be make sure that your customers and clients can easily find what they
are looking for. That’s why we figure out what customers and clients are looking
for on your web site – and then make sure that they can find what they need easily.
This helps ensure that clients are perfectly happy with your web site.

2) WORK OUT USABILITY ISSUES-

It should be check that your web site to be easily accessible to everyone which is
make sure that it works for vision impaired and hearing impaired users as well.
We also consider all the possibilities- that someone is viewing your web site on a
tiny cell phone, on a slow internet connection, or on an obscure computer system.
Team really twists itself into a pretzel to ensure that everyone can see your web
site perfectly.
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3) STUDY THE MARKET PLACE-
It should be know how your customers and clients tick, and that’s why market
research is necessary to find out what your customers are thinking. That build a
site that your customers will swear was custom design for them. Even study the
market, so that we know what sells (and doesn’t) in your field.

4) CONSTRUCT A COMPETITIVE ANALYSIS-

It should be find out what others in your industry are doing so that one can use the
same success strategies – and avoid the same pitfalls. That way, customers never
have to learn by Trial- and- Error.

5) CONSIDER YOUR EXISTING BRAND, LOGO,

COLLETRAL AND PRIMARY AUDIENCE-
It should also take into account your budget, who your customers are, and what
your business is all about. That’s because we don’t want to create a cookie- cutter
web site. However, we think that company deserves a personalized web site that
works for you- not for just anyone in your field. We create a web site that is as
unique as your company.

6) DESIGN A GREAT SITE, USING ALL THE TOOLS

AVAILABLE-
Photoshop, tablets, HTML, Illustrator, caffeine, use all the latest and most
established technology to create a web site that is visually appearing and yet fully
functional. And listen to you when you give is feedback and ideas, so that one can
create the web site you want – just not any web site.

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7) TEST AND RE-TEST-
Once one has a site designed, he test it under all sorts of conditions – on all
computers, strange operating system, at weird hours. He do everything possible to
ensure that your site is free from glitches, and works perfectly under the weirdest
conditions.

8) MAKE SURE THAT THE SITE WORKS FOR YOUR

BUSINESS-
One should figure out ways to make sure that your web site is easy to promote.
Make sure that you can update the site with minimal fuss and work with you to
ensure that SEO keeps a steady stream of customers coming. Make sure that you
have a web site that you can be proud of- but also a web site that brings more of
the green stuff to your company coffers.

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 Chapter 2
Introduction to Company

5
 CHAPTER2
INTRODUCTION TO COMPANY

• Name of the factory: MIDAS WEB TECHNOLOGIES

• Products offered: IT Projects, Website Designs and Development

• Owner: Shri Jai Yadav (director)

• Location : The company is located at Midas Software 708 DDA Building,

Janak palace II District Centre Janak Puri, new delhi

What began as a vision of healthcare business in early 1980?

HUMAN RESOURCE WORKS WITH THE VISION

“Out of all the resources that facilitate growth of an organization, the

most valuable is people & their satisfaction level we see this resource as
our core strength. Our innovative management guides our employees to
develop themselves as leaders and entrepreneurs to meet the challenges
of the ever growing competition.”

In general:
“SATISFACTION IS THE PERSON’S FEELINGS, of pleasure or
disappointment resulting from comparing a product perceived performance in
relation to his or her expectation.”

1. If the performance falls short of expectation, the consumer is dissatisfied.

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 2. If the performance matches the expectations, the consumer is satisfied.

3. If the performance exceeds expectations, the consumer is highly satisfied.

4. Employee who are just satisfied still find it easy to switch when a better
offer comes along.

5. Those who are highly satisfied are much less ready to switch over.

6. High satisfaction or delight creates an emotional bond with the brand but
not the rational preferences.

Thus the Result is Employee Loyalty

• MIDAS WEB TECHNOLOGIES, has been started from the month of

may,1984.This unit is engaged in the designing and development of
websites and preparing projects.

• It is located at Midas software 708, janak palace II, District Centre

Janak Puri, New Delhi.

• The plant has a dedicated workforce of 150 regular persons

• The latest equipments and machinery installed in the plant enable us to

produce world class quality products and services.

• Its annual turnover is about 150 crores

• SERVICE PROFILE
Midas Web Technologies is a reputed and reliable website design and
development company in India that offers quality web services at very affordable
rate. With the blooming growth in IT sector in India, company has successfully
carved a niche for itself to become an identifiable one among its competitors and

7
have become a favored one for the people around the world for turning their vision
into a reality.

Midassoft specializes in various fields like ecommerce Website design and

development using latest and updated technologies. Our professionals can prepare
all web applications from static to dynamic portals, custom flash graphic website
design that match the need of all type of users like small and large business
holders. We have gained expertise in banner and logo design and website
redesigning is another area we have dealt very deligently and successfully made
some ineffective sites the most vibrant and valued asset of the people.

Organization has its own in-house search engine optimizers and SEO copywriters
who constantly works in coherence with the designers to make the web site not
only appealing to online traffic but make it search engine friendly so that the site
can rank high in search engine result page.

The beginning of new year (2008) marked new chapter to the organization as it
successfully made it new office functional which is located adjacent to the old one
in the same floor. For some existing employees, the morning hour of 4th January
went off in shifting to the new office. Though the mercury of New Delhi dipped
down near about zero that day, shivering environment was made warn by
interacting with new faces in office with hot coffee repeatedly served by office
boys.

The reason behind Company’s success lies not only in varied quality services but
also in on-time delivery of the product. We understand what big difference an hour
can bring to one’s life and never delay our product delivery. We believe in giving
maximum benefit to our customers in minimum investment and find out solution
that matches the budget of all people so that every one of them can reap the benefit
of their investment on time.

WEB SITE PROMOTION SEO SERVICES

SEO services firm-

For any e-business to flourish and sustain in this highly competitive market, it has
to stay ahead of its competitors in search engine listings. And to achieve the
MidasSoft is the perfect solution for your website. You can trust us for complete
Search Engine Marketing (SEM) and Search Engine Optimization (SEO) services.

MidasSoft; an Internet advertising firm based in India offers affordable seo, link
building, search engine submission, pay per click advertising.

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ECOMMERCE WEB SITE DEVELOPMENT

Html web development-

Company’s strength and capabilities is reflected in how its website is designed and
developed. Design should be professional, attractive, mission oriented and should
convey business message at a single glance and development architecture should
allow an easy navigation all across the website without any confusion.
MidasSoft is a company to look upon for all such expertise and we are capable of
making quality custom web site designs and our web site designers can turn your
every vision into reality.

CORPORATE BUSINESS WEB SITE DESIGN

Web design portfolios-

Versatile work testifies the efficiency of an organization and portfolio is the mirror
that reflects your work quality. MidasSoft have done a great job till now by
developing varied classes of portals like real estate, ecommerce, golf,
entertainment, music, fasion, education, hotel, restaurant, finance, health portals
for all B2C and C2C divisions. And the company is successfully addressing the
business web site design and development need companies belonging to different
categories.

FEATURE OF THE COMPANY

MidasSoft, web development company in India having long experience in the field
of web development services, develops Web- based custom applications for
ecommerce, online marketing and other operations. Builds and integrates
databases in several platforms. Our experienced team will find the simplest, most
effective programming or web application path without sacrificing performance.
We help you think, not just about the present, but about the future. We develop all
web development projects with the most important concept in mind, business
growth. As accountable business professional, MidasSoft will develop a time line,
and adhere to it. Our critical path management approach insures that projects meet
or beat the time line of the web site development services we offer.

IDENTIFICATION OF UNIT THRUST AREA AS PER SLA (service level agreement)

i.e. Core sectors where emphasis was laid on
9
 • Productivity
• Production target
• Address Absenteeism
• Ensure discipline
• Ensure punctuality
• Provide First Aid Services

A) Compliance under all

 Labor Laws

B) Maintain harmonious Industrial Relation

 Ensure satisfactory Canteen services
 Regular interaction with union
 Prompt handling of grievances.
 Ensure timely payment of salary & other benefits
 Welfare measures in appropriate time and quality uniforms,

C) Provide HR Services viz. appraisal, promotion, rewards

 Performance appraisal of O & S
 Merit rating

D) Provide Security Services

 Fire Service
 Internal Security
 External Security
 Material Check
 Intelligence around
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  Emergency preparedness plan
 Variable cost
 Reduction in power consumption in utilities.
 Fixed Cost
 Reduction of cost from revenue budget
 Review of all Administrative budget & reduce cost

A) Quality of Life-
Competency Development
1) Define the role of individual employees
2) Identify the skill and competency requirements for each employee.
3) Prepare the competency map of the employees.
4) Identify the training program for filling the gap.
5) Organize the competency development programs and evaluate.

B) Zero Accident-
1) Ensure safety training and instructions for all shop floor employees.
2) Propagate & Promote safety among the employees
3) Safety survey, audit & compliance.

Internal ambience:
 Organize games, sports & cultural activities
 Proper & adequate support for club activities
 Provide communication services i.e., telephone & fax.
 Provide services to the guests in hotels & transport.
 Provide accommodations for all Officers employees
 Horticultural, sanitation and ensuring house keeping in factory premises.
 First-Aid, water, sanitation and housekeeping or transporting employees.

11
 External ambience:
 Liasioning with govt. and statutory authorities for conducive relationship
 Liasioning with police officials
 Liasioning with District Administration
 Liasioning with Labor officials

COMMUNITY DEVELOPMENT PROGRAMME-

Organize medical check-up and awareness camps. Promote self employment

through Self Help Group (SHG)Today, we are thriving in an era of cut – throat
competition. Every Organization wants to score over its competitor by all means.
For the attainment of objectives and successful accomplishment of goals, it
becomes all the more necessary to sustain and develop the potential of the
employees to the elevated standards in order to cater to the Organizational needs.
For this it is very important to keep the employee satisfied on his respective job,
which calls for an adequate and timely appraisal. It is very natural that when the
people are satisfied and happy with the Organizational system, they perform their
best. Finally, from all the facts described about “Performance appraisal”, I feel that
it is an inevitable part of today’s Developing Organization, in the sense that right
appraisal at the right time provides the employees with a force that drives them to
work harder for the Organizational objectives because only motivated and
dedicated workers can take any working unit to its “ZENITH”. Another important
aspect of the study was T.N.I .It gains momentum in the sense that whenever the
performance of an employee is assessed, it is evaluated in terms of the agreed
target and the achieved target. The gap between these two gives rise to the need of
training either to enhance his skill or to develop his full potential to achieve the
ends.
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To cater to the needs of the environment, a developing organization always has to
change its policies and adopt those measures, which enhances its productivity to
acquire more market share in turn. It helps it to adapt to the change since, when
some new technology arrives in the market, this organization (MWT) tries to
adopt it quickly inside its premises. The result is that all the sections are fully
computer enabled and provide prompt services inside as well as outside the
company premises. This helps to save time and energy and eliminates unnecessary
movement and haste of the employees to a considerable extent. Internet and
Intranet facilities were also made available to prove as a benefactor to the
company. Mechanized and automatized sections of the employees also need more
training since their jobs involve risk and more efficiency in handling the tools,
which are sophisticated in nature, as far as the use of large and complex machines,
are concerned.
The conveyer belt, clinker silo and the entire packing plant up to the dispatch
section is highly sound technically and requires good working knowledge of
machines. The control panel is fully computerized and a highly developed research
laboratory for R & D functions and a separate IT division works full fledged for
development and betterment of the employees. All these divisions require highly
skilled workers as well as continuous training and improvement programs.

13
Chapter 3
Introduction to
problem

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 Chapter 3

INTRODUCTION TO PROBLEM

TITLE OF PROJECT ----

PERFORMANCE APPRAISAL OF EMPLOYEES
Before probing deep into the topic for our study we must be first of all ,
thoroughly conversant with the term “MANAGEMENT”. It involves four M’s as
it is given here
Man
achine
aterial
oney

Apart from its four constituents Management can be broken down into simple
form as

MANAGEMENT-
Personnel / Human resource management is concerned with the ‘people’
dimension in management. An organization constitutes of people, acquiring their
services, developing their skills, motivating them to high levels of performance by
means of various methods and ensuring that they continue to maintain their
commitment to the organization in order to achieve organizational objectives.
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The relationship between man and work since times immemorial has always been
the center and focus of attention of philosophers, scientists, novelist and the like. It
is a universal truth that for the earning of livelihood man has to associate himself
with some kind of work and a major part of man’s life is spent in work. Work is a
social reality and expectation to which man seems to confirm. It not only provides
status to an individual but also binds him to the society.
On the surface it may be seen that with the growing complexities of the industrial
society work is simply a means of earning and living.
It is a well known fact that human wants are unlimited and when one is
satisfied the other comes into existence So in order to sustain, man should also
grow in the organization with the passage of time. To keep pace with this and to
motivate man according to his performance he is bestowed upon with rewards,
which further motivates him to enhance his performance. So, the successful
organizations undertake routine and timely performance appraisal to assess
employee’s performance.
From employees point of view it can be said that when he puts in maximum
part of his life in work, he has some needs well as some expectations from the
work place. The Employers also in order to achieve higher targets of production
tries to cater to the needs of employees in accordance with his / her service
rendered to the organization and likewise, endows him with pay benefits, other
remunerations, promotions, incentives and rewards.
People work for incentive in the form of the four “P” s of motivation:
praise, prestige, promotion and pay cheque. So, all these four “P” s are paid
due care and attention while evaluating or appraising the employees.
Since human beings are the most valuable asset of an Organization timely and
proper appraisal is a must i.e., it is a primary pre -requisite to make both the
employee perform satisfactorily as well as to satisfy His demands in
accordance with the needs. It also helps the organization to evaluate how he is
working for its upliftment and what are the key areas where they need to
enhance their performance.
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 1. Performance appraisal (P.A) refers to all those procedures that are used to
evaluate the personality, the performance and the potential of its group
members
2. P.A could be informal or formal
3. Informal P.A is a continuous process of feeding back information to the
subordinates about how well they are doing their work in the organization
4. Formal P.A occurs usually annually on a formalized basis and involves
appraise and appraiser

PERFORMANCE APPRAISAL DEFINED:

“Performance appraisal is the process of evaluating the performance and
qualifications of the employees in terms of the requirements of the job for which
he is employed, for the purposes of administration including placement, selection
for promotion, providing financial rewards and other actions which require
differential treatment among the members of a group as distinguished from actions
affecting all members equally”.

Purposes of performance appraisal-

1 Salary increase
2 Promotions
3 Identifying training and developmental needs
4 Feedbacks
5 Pressure on employees for better performance.

Purposes of performance evaluation (Described)-

Performance evaluation serves a number of purposes in organization. Management
uses evaluation for general human resource decisions.

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Evaluations provide input into important decision such as promotions, transfers,
and terminations. Evaluations identify training and development needs. They
pinpoint employee skills and competencies that are currently inadequate but for
which programs can be developed to remedy against performance evaluations can
be used as a criterion against which selection and development programs are
validated. Newly hired employees who perform poorly can be identified through
performance evaluation.
Similarly, the effectiveness of training and development programs can be
determined by assessing how well employees who have participated do on their
performance evaluation. Evaluations also fulfill the purpose of providing feedback
to employees on how the organization views their performance.
Further more, performance evaluations are used as the basis for reward
allocations. Decisions as to who gets merit pay increases and other rewards are
frequently determined by performance evaluation.

GENERAL STEPS IN PERFORMANCE APPRAISAL-

• Effectively evaluating employees.(Prepare for, and schedule, the appraisal
in advance).
• Create a supportive environment to put employees at ease.
• Describe the purpose of appraisal to the employees.
• Involve the employee in the appraisal discussion, including a self-
evaluation.
• Focus discussion on work behaviors, not on the employees.
• Support the evaluation with specific examples
• Give both positive and negative feedback
• Ensure employees understand what was discussed in the appraisal
• Generate a developmental plan.

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APPRAISAL METHODS

• The Essay Appraisal

• The Critical Incident Appraisal
• The Checklist Appraisal
• The Adjective Rating Scale Appraisal
• The Forced - Choice Apprisal
• The Behaviourally Anchoredrting Scales ( Bars )

M.B.O

• Goal Setting
• Action Planning
• Self-Control
• Periodic Reviews

WHO SHOULD DO THE EVALUATION-

• Appraisal by Immediate superiors

• Appraisal by peers
• Self-appraisal
• Appraisal by immediate subordinates
• Appraisal by clients.
• 360-degree appraisal
• Role of H R department in 360-degree appraisal (facilitator)

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 360-DEGREE APPRAISAL

The latest approach to performance evaluation, which seeks performance feedback

from such sources as oneself, bosses, peers, team members, customers and
suppliers is known ad 360-degree appraisal. It is being used in approximately 90
percent of the fortune 1000 firms, which includes such companies as Du Pont,
Nabisco, Mobil oil and General Electric Company.
A recent survey shows that about 12 percent of American organizations are using
full 360-degree programs, but the trend is growing.

MANAGEMENT BY OBJECTIVES-

A program that encompasses specific goals anticipatively set, for an Management

by objective emphasizes specific set of objective that are tangible, verifiable and
measurab0le. MBO’S appeal undoubted lies in its emphasis on converting overall
organizational objectives into individual objectives. MBO operationalizes the
concept by devising a process by which objectives cascade down through the
organization‘s overall objectives are translated into specific objectives for
succeeding level (that is divisional, departmental, individual) in the organization.
But because lower unit managers jointly participate in setting their own goals,
MBO works from the “bottom up” as well as from the “top down”. The result is a
hierarchy that links objectives at one level to those at the next level and for the
individual employee; MBO provides specific personal performance objectives.

LINKAGE TO MOTIVATION

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A very important aspect of employee’s performance on the job, which further
affects his appraisal, is the level of motivation. Only the ability to perform a
particular job or a specific task does not ensure that he / she will perform
satisfactorily. Here motivation comes into play. But before probing deep into the
aspect of motivation it should be clear how the performance evaluation process
bears significance in organizational context.

Performance is a vital component of the motivation model. In companies the

people are concerned with the link between effort and performance and between
performance and rewards. Employees have to know what is expected of them and,
they need to know how their performance will be measured. Furthermore,
employees must feel

Confident that if they exert an effort within their capabilities, it will result in a
better performance as defined by the criteria by which they are being
measured. Finally, they must feel confident that if they perform as they are
being asked, they will achieve the rewards they value.
In summary performance appraisal and their outcomes play a vital role in the
model of motivation. THIS CAN BE BETTER ILLUSTRATED THROUGH
THE MEANS OF A PICTORIAL REPRESENTATION.

Effort performance organizational goals Individual goals.

In the due course of the execution of my project I was asked by someone, why
performance appraisal was required, which prompted me to reconsider some of the
its other aspects i.e. other side of the coin was also tried to be revealed..

To be more precise, if we look from other perspective, that if performance

appraisal ceases to exist in an industry then there may be a situation of chaos
inside the company .i.e .if the objectives that individual employees are seeking
are unclear, if the criteria for measuring that objective attainment are vague, if

21
the employees lack confidence that their efforts will lead to a satisfactory
appraisal of their performance or if they feel that there will be an unsatisfactory
pay off by the organization when their performance objectives are achieved we
can expect individuals to work considerably below their potential.

If we have done our job to acquire capable people and develop their basic
abilities to do the job, we must also make sure that they know what behaviors
are required of them; understand how they are going to be appraised; and
believe that the appraisal will be conducted in a fair and equitable manner.
Lastly, employees must anticipate that their performance will be recognized by
proper rewards.

FACTORS THAT CAN DISTORT APPRAISAL-

Appraisal of personnel, both performance and potential, is used by every
Organization either formally or informally. But a completely error – free
appraisal is only an ideal. There are certain barriers, which work against the
effective appraisal systems. The appraisal methods are subjective and do
measure performance in the most general sense. The main technical
difficulties in appraisal fall into two categories: the criterion problem and
distortions, which affect the validity of results

1. Criterion problem- A criterion is the standard of performance, the

superior expects from his subordinates and against which he compares their
actual performance. A Criterion is hard to define in Measurable or even
objective terms. Ambiguity, vagueness and Generality of criteria are
obstacles. A particular trait is hard to define and variations of interpretation
easily occur among different appraisers using them
2. Distortions- Distortions occur in the form of biases and error. Some
frequently observed are.

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 • Halo Effect: It is a ‘’ tendency to rate high or low on all factors
due to the impression of high or low rating on some specific factor.’

• Central Tendency: The tendency of the rater to mark everyone

as average. It may be due to lack of knowledge of individuals, or
from haste, indifference, or carelessness.

• Constant Errors: There are easy raters and tough raters in all
phases of life. Some habitually rate everyone high; others tend to
rate low. Some rate on potential rather than on recently observed
performance.

• The Isolated Incident: The tendency to see any one particular

incident especially recent, as a reflective of the whole rating period.

• Length of service: It is the tendency to award higher ratings to

the employees with longer service, assuming that more experience
results in better performance.

• Rater’s liking & disliking: The superiors have their liking or

disliking for their associates. Emotions and personal factors affect
the rating and the liked ones are given higher rating than the others.

MOTIVATION DEFINED-

Motivation has been defined as: The psychological process that gives behavior purpose
and direction (Kreiter, 1995) a predisposition to behavior in a purposive manner to

23
achieve specific, unmet needs, an internal drive to satisfy an unsatisfied need and the will
to achieve. For this paper, motivation is operationally defined as the inner force that
drives individuals to accomplish personal and organizational goals.

The Role of Motivation-

Why do we need motivated employees? The answer is survival (Smith, 1994)
Motivated employees are needed in our rapidly changing workplaces. They help
organization survive. The motivated employees are considered more productive.
To be effective, managers need to understand what motivate employees within the
context of the work they perform. Of all the functions a manager performs,
motivating employees is arguably the most complex. This is due in part to the fact
that what motivate employee’s changes constantly. For example, research
suggested that as employees’ income increases, money becomes less of
Motivator (Kovach, 1987). Also as employees get older, interesting work becomes
more of a motivator.

LINKAGE TO MOTIVATION
Linkages to motivation was an integral part of this study since organization can
hire individuals with extra ordinary competence and develop these abilities, and
still not be assured, they will perform satisfactorily. A major missing ingredient is
motivation i.e. activating the potential of employees. Employer can buy a
measured number of skilled muscular motions per hour or day; but cannot buy
enthusiasm.
At one time, employees were considered just another input into the production of
goods & services. What perhaps changed his way of Thinking about employees
was research, referred to as the Hawthorne Studies, and conducted by Elton Mayo
from 1924 to 1932.
This study found employees are not motivated solely by money and employee
behavior is linked to their attitudes. The Hawthorne studies began the ‘human

24
relations’ approach to management whereby the needs and motivation of
employees become the focus of manager.

MOTIVATION THEORIES :-
Understanding what motivated employees are and how they were motivated was
the focus of attention of many researchers following the publication of the
HAWTHORNE study results. Some of the major theories that help in the
understanding of motivation of a person which thereby affects his performance in
the organization are:
• Maslow’s need hierarchy theory
• Douglas Mc Gregor’s X and Y theory
• Hertzberg’s two factor theory
• Adam’s equity theory
• Vroom’s expectancy theory
• David McClelland’s theory

ACCORDING TO MASLOW- Five needs rank in a hierarchical order

from lowest to highest; physiological, safety, belonging, esteem and self
actualization. An individual moves up the hierarchy, and, when a need is
substantially realized, moves up to the next need.

ACCORDING TO DOUGLAS Mc GREGORY- He proposes two

alternative sets of assumptions that managers hold about human beings:
motivation – one basically negative, labeled Theory X ; and the other basically
positive, labeled Theory Y.

Mc GREGOR’S THEORY X - The assumption that employees dislike

work, are lazy, dislike responsibility, and must be coerced to perform.

25
Mc GREGOR’S THEORY Y – The assumption that employees like
work, are creative, seek responsibility, and can exercise self – direction.

Mc GREGORY ARGUES THAT THEORY Y- Assumptions are

more valid than Theory X and giving workers greater job involvement and
autonomy would maximize that employee motivation.

ACCORDING TO FREDERICK HERTZBERG – Two factors

affect an individual. Intrinsic factors such as advancement, recognition,
responsibility, and achievement seem to be related to job satisfaction whereas
Extrinsic factors, such as company policy and administration, supervision, salary
and working conditions etc.only placate employees.

ACCORDING TO J. STACY ADAMS - An individual compares his

or her job inputs and other outcomes ratio to relevant others. If there is a perceived
inequity, the individual will augment his or her behavior, or choose another
comparison referent.

ACCORDING TO VICTOR VROOM – He proposed that motivation

is a function of valence (value) of the effort – performance and the performance –
reward relationships.

ACCORDING TO DAVID McCLElLLAND – Achievement, power

and affiliation are three important needs that help to explain motivation at the
workplace. A high need to achieve has been positively related to higher work
performance when jobs provide responsibility, feedback and moderate challenge

TNI
26
Another important aspect of the study was T.N.I .It gains momentum in the sense
that whenever the performance of an employee is assessed, it is evaluated in terms
of the agreed target and the achieved target. The gap between these two gives rise
to the need of training either to enhance his skill or to develop his full potential to
achieve the ends. To cater to the needs of the environment, a developing
organization always has to change its policies and adopt those measures, which
enhances its productivity to acquire more market share in turn. It helps it to adapt
to the change since, when some new technology arrives in the market, this
organization (MWT) tries to adopt it quickly inside its premises. The result is that
all the sections are fully computer enabled and provide prompt services inside as
well as outside the company premises.
This helps to save time and energy and eliminates unnecessary movement and
haste of the employees to a considerable extent. Internet and Intranet facilities
were also made available to prove as a benefactor to the company. Mechanized
and automates sections of the employees also need more training since their jobs
involve risk and more efficiency in handling the tools, which are sophisticated in
nature, as far as the use of large and complex machines, are concerned. The
conveyer belt, clinker silo and the entire packing plant up to the dispatch section is
highly sound technically and requires good working knowledge of machines.

The control panel is fully computerized and a highly developed research

laboratory for R & D functions and a separate IT division works full fledged for
the development and betterment of the employees. All these divisions require
highly skilled workers as well as continuous training and improvement programs
The main essence of training lies in the fact that they pinpoint employee skills and
competencies that are currently inadequate but for which programs can be
developed to remedy. For this, performance evaluations can be used as a criterion
against which selection and development programs are validated. Newly hired
employees who perform poorly can be identified by TNI.
27
There are various formal and informal methods through which training needs of
individuals can be ascertained such as views of line personnel, performance
records, analysis of difficulties involved in job performance and views of training
manager

Mc Ghee and Thayer have proposed a model for identifying training needs of the
employees. This model includes organization analysis, Task analysis and man
analysis.

Organization analysis – It is the first factor that involves a detailed

analysis of the Organization structure, objectives, human resources and future
plans. However it was not a concerned part of my study. I was concerned only
with Individuals’ performance evaluation.

Task analysis – It involves various operations and conditions under which a

job has to be performed and job analysis provides job description and job
specification. Some general aspects of task analysis are
1. To list the responsibilities & duties of the task to be performed.
2. To give the job performance standards.
3. To compare actual performance against standards.
4. To know the gap and identify the deficient areas.
5. To define training needs to overcome the lacking areas.

Man analysis – This was the part of my study with which was concerned. It
dealt with individual employee, his abilities, skills and the inputs required for
job performance, or individual growth and development in terms of career
planning.
The various sources of information for man analysis are: observation at the
workplace, interviews with his superiors and peers, personal records, production
records, and various other tests etc. These sources provide the differences between
28
the existing skills and attitudes of employees and that he should possess. Thus, the
difference between these two sets can be overcome through training.

• Factors to be considered;
• Communication skill
• Presentation skill
• Condition Monitoring
• Stress management
• Materials management
• Supervisory development program
• Leadership skills
• Sales Tax & VAT
• Environmental Legislation.

Both on- the- job training and off- the- job training is imparted in the Organization
as per the requirement and facilities available for specific tasks. Special
housekeeping and office management training are provided to the staff members
to help them deal with a variety of tasks.

COUNSELING

Counseling also bears intimate relevance to this topic since it affects performance
appraisal in two ways. First, an effective counseling gives the employee chances to
sort out his problems and in the second case his problem thus identified, can be
overcome by an effective counseling. In organizations, generally, the manager acts
as the counselor.

29
The general objectives of counseling are to develop self-confidence,
understanding, self-control, and ability in employees for better job performance.
To achieve these the various functions of counseling are, advice, reassurance,
communication, release of emotional tension, clarified thinking and reorientation
During the study in the organization I found that in due course of performance
evaluation, many areas are located where the individuals lack one thing or the
other.
• Some were regular in attendance but not able to put in forth their full efforts
towards attainment of organizational objectives.
• Some of them were highly efficient but they were not very much clear
about job content.
• Some knew that there is a performance appraisal system in the company,
which assesses and records their yearly performance but were not
thoroughly conversant with each and every aspect of the
• Appraisal system.

Initiative and Innovativeness were also not the elements present in each and
every individual.
Communication was an ingredient, which needed attention in order to develop to
the fullest extent. This was also a core area, which was regularly emphasized by
all the staff members.
So, the H R Manager identified some of these areas of performance and apart from
identifying the deficiencies to refer for the training programme, they used to sit
with the employee having problems in order to present solution to his problem.
This exercise also sometimes act as an alternative or subsidiary to training since it
is not always possible to arrange training programme as it is a costly and time
consuming affair to organize training all the times and for each and every cause.
In the process of counseling some basic steps are observed as:

30
 1. Document all problem performance behaviors – Here the entire specific job
behaviors, like absenteeism, lateness, and poor quality in terms of dates,
times and what happened were taken.
2. Each employee was dealt objectively, fairly and equitably. Issues focused
on performance behaviors.
3. Only job performance issues were confronted.
4. The employees were offered assistance in case of help required.
5. Action plan was developed to correct performance

Theoretically there are three types of counseling

Directive Participative Non – directive

Here in this organization, participative counseling, which is also called co-

operative counseling, is provided. It establishes a co-operative exchange of ideas
to the said problem of the counselee. In this, both of them mutually apply their
knowledge perspectives, and values to problems. It starts with effective listening
and with the progress of discussion the counselor’s role increases. It generally
performs four functions of counseling. Reassurance, communication, released
emotional tension and clarified thinking.
So, I can say the performance appraisal system was quite effective in counseling
the employees since it identified those areas of the employees where they had
some sort of problems. After identifying it, the counseling process was a helpful

31
lot in rectifying those problems to a considerable extent by suggesting remedial
measures.

LINKAGE WITH REWARD SYSTEM-

When performance appraisal is conducted inside an organization, many other co–
related aspects are taken into account and the study which is closely related with
motivation, training need identification and counseling shall remain incomplete
without explaining the linkage to reward system because the employees put in
their efforts to perform certain functions. This effort leads to their performance
which is evaluated through appraisal after which they get rewards in the form of
salary hikes, promotions, and other pay benefits, facilities etc. If the rewards that
the individuals perceive are equal or more than their expectation they feel satisfied
otherwise not. So, the rewards also play a pivotal role in employee satisfaction.

According to Porter- Lawler model of motivation, the various elements are Effort,
Performance, Rewards, and Satisfaction etc. Here, I am dealing only with rewards.

Linking rewards to performance

Performance is seen as leading to intrinsic rewards (such as sense of

accomplishment and actualization) and extrinsic rewards (such as working
conditions and status). However, the intrinsic rewards are much more likely to
produce attitudes about satisfaction that are related to performance .In addition, the
perceived equitable rewards vitally affect the performance satisfaction
relationship.
That is to say Regardless of how closely rewards are actually correlated to
performance criteria, if individuals perceive this relationship to be low, the results
will be low performance, a decrease in job satisfaction, and an increase in turnover
and absenteeism.

32
Check the system for equity-

Rewards should also be perceived by employees as equating with the inputs

they bring to the job. At a simplistic level, this should mean that experience,
skills, abilities, efforts and other various inputs should explain differences in
performance and hence, pay, job assignments, and other obvious rewards.

PURPOSE OF STUDY-

PRIMARY OBJECTIVE-

The purpose of this training to get the knowledge about the different methods
used by the company for AN ANALYSIS OF PERFORMANCE
APPRAISAL OF EMPLOYEES

SECONDARY OBJECTIVE

• To understand the types of product being introduced in the market by the

company.

• To understand the functioning of human resource department

• To understand the work of company.

• To understand the how to prepare a questionnaire which is used at the time

of appraisal of an employees.

33
SCOPE OF THE STUDY

On the job training means to undertake assignments/jobs along with the day to day
functions of the company. This is a situation where an intern enters into a real
corporate world.
I am exposed during my training in HR department with Win Medicare Pvt. Ltd. Is
a Indian pharmaceutical company has its manufacturing plant in modipuram, and
has its head office in New Delhi It exists since many years and has become the
threat for the existing companies in the industry.
Scope of my study is

• To get Practical exposure and familiar with working environment of

organization
• To acquire the knowledge about the functioning of the company
• Try to increase confidence and communication skills
• To acquire more knowledge about the HR Department working
• To acquire the practical knowledge of the corporate world
• To know about the methods used in performance analysis

34
Chapter 4
Research
Methodology

35
 Chapter 4

RESEARCH METHODOLOGY

MEANING OF RESEARCH-

Research is common parlance refer to a search for knowledge. One can also
define research as a scientific and systematic search for pertinent information
on a specific investigation. ”Dictionary of current English lays down the
meaning of research as a careful investigation or inquiry especially through
search for new facts in any branch of knowledge”. Some people consider
research as a movement, a movement from the known to un-known. It is an
actually voyage of discovery. Research is an academic activity and such the
term should be used in a technical sense.

OBJECTIVE OF RESEARCH-

The purpose of research is to discover answer to the question through the

application of scientific procedures. The main aim of research is to find out the
truth which is hidden and which has not been discovered as get. Each study
research has its own specific purpose.

SIGNIFICANCE OF RESEARCH-

• All progress is born of inequity, Doubt is better than overconfidence. For it

leads to inquiry, and inquiry leads to invention is a famous Hudson Maxim
in context of with the significance of research can be understood. By

36
 making more research we get more progress. Research includes the
scientific and thinking process. The roll of research in several fields of
applied economics, whether related to business or to the economy as a
whole, as greatly. The increasingly complex nature of business and
government has focused attention on the use of research in solving
operational problems. Research-formulating the research problem.

• Extensive literature survey.

• Developing the Hypothesis.
• Preparing the Research Design
• Determine the Design
• Collection of Data
• Execution of the project
• Analysis of Data
• Hypothesis Testing
• Generalization and interpretation

 Preparation of the report of presentation of the results, to those students

who are to write a master or PhD research may mean careerism or a way to
attain a high position in the social structure.
 To professional in research methodology, research may be a source of
livelihood.
 To philosophers and thinkers, research may be development of new ideas
and insights.

37
METHODOLOGY-

Because research was based on descriptive type, so research problem was

designed in such a way so that a researcher can get more and more accurate
results. Personal interview were conducted to understand the behavior of
employees

RESEARCH DESIGN-

Research design is simply the framework or plan for a study, used as a guide in
collecting and analyzing data. There are three types of Research Design:-

1. Exploratory Research Design - The major emphasis in exploratory

Research design is on discovery of ideas and insights.

2.Descriptive Research Design - The Descriptive Research Design

Study is typically concerned with determining the frequency with which
something occurs or the relationship between two variables.

3. Casual Research Design - A Casual Research Design is concerned with

determining cause and effect relationship.

For the study, Descriptive Research Design was undertaken as it draws the
opinion of employees/ workers on a specific aspect.

38
SAMPLING DESIGN-

Population-

During my training, total population is 60 employees of company

Sampling unit-

I have taken the sample 20 persons including employees, officers of HR

department only

Sample size-

20 respondents

Sampling method-

There are two methods of sampling:-

PROBABLITY SAMPLING: It is based on the concept of random

selection of a controlled procedure that assures that each Population element is
gives a non-zero chance of selection. Probability Sampling is of following types:

1. Simple Random sampling

2. Systematic sampling
3. Cluster sampling
4. Stratified sampling

NON – PROBABIITY SAMPLING: Non probability sampling is non-

random and subjective. That is each member does not have a known non zero
chance of being included.

39
Types of Non-Probability Sampling -

1.Convenience sampling

2. Judgement sampling
3. Quota sampling
Researcher selects the sample as per their convenience.

For this research work I have chosen Non- Probability Convenience Sampling
because time limit for the completion of the work is limited and also managers and
employees are not available all the time.

DATA COLLECTION METHOD-

Data for the present study is collected from two sources:

PRIMARY- The first hand information is collected with the responses of

questionnaire. For this purpose a questionnaire is given to the employees and
agents of the post offices and lawyers. They were asked to choose the best
alternative among the given alternatives, as per their knowledge, experience and
observation.

SECONDARY- Secondary data is collected from published sources like

Journals, Magazines, The research study is descriptive because-

1) I have taken probability sampling design, I have used random sampling.

2) Use of survey method with the sample population was done in order

to extract data.

40
 Chapter 5
Data interpretation
and analysis

41
 Chapter 5

DATA INTERPRETATION AND ANALYSIS

METHODOLOGY-

Target group

The target groups for the survey on performance appraisal were the officers and
the supervisors (O & S) of Win Medicare, belonging to different sections. To
know about their personal views and opinions about performance appraisal system
i.e., how they perceive it and what is its impact on them, an extensive survey by
means of questionnaire was conducted and all their responses were kept as
observations for the execution of this project.

Sample Size

Out of 40 employees of hr department 20 were taken as the sample for the survey.
The sample size is 50% of the total population.

42
METHODS OF DATA COLLECTION-

QUESTIONNAIRE:
Since the number of staff of the company was small which mainly comprised of
the executives in whom the appraisal of some senior officers was not done inside
the company? So I had only limited number of office staff, available for interview
and the laborers were all on contractual basis. Moreover, the company’s shop floor
workers don’t undergo performance appraisal, for them merit rating is conducted.

So the questionnaire was especially designed taking the office members in mind.
Initially, it consisted of 23 questions but after some discussion the number got
reduced to 13 and since the respondents were less in number it provided me time
to put the questions at ease to them and the response in the form of feedback,
which I received, was quite enthusiastic and encouraging.

INFORMAL INTERVIEW-

A formal interview was not possible in front of me as all employees were busy in
their work at the office and all the responses were given in my absence yet I could
explain the questions to them and in the due course of exercise was immensely
helped by the (HRD) officials who facilitated in the distribution of the
questionnaire to all the other employees belonging to different sections to
understand the questions as well as to give in their respective feedback. It
somehow proved to be good as employee felt free and without hesitation could
express their views more openly as they got time to think over the questions
already explained to them by the (HRD) officials.

43
Classification of data i.e. Data processing-

While studying the appraisal the results achieved were classified on a FIVE point)
rating scale as ALWAYS; TO GREAT EXTENT; TO SOME EXTENT; and TO
VERY LITTLE EXTENT and these responses were assigned grades A, B, C AND
D respectively and also feed back given by employees on some open questions
were taken into account which were incorporated while framing suggestions and
recommendations section of this project. Few bipolar questions were also included
which comprised of Y / N responses.

Studies on characteristics of workers: -

As a matter of fact performance appraisal is a timely phenomenon, which assesses

the level of performance of an employee. It involves self-appraisal as well as by
the superiors. But since laborers or lower ranked workers / employees are not
considered capable of self-appraisal, they are appraised by their seniors.

The responses also help the company in managing the people in the sense that they
get a measurement about the motivational level of the employees and how much
are they satisfied with the present system of appraisal .It also ascertains whether
the rewards they get are satisfactory or in accordance with the performance they
give in there or not.

Study of the Entire System Existing in the Organization

MWT in New Delhi is a growing company which is a web design company and one of
the pioneers in technology, transforming organization across the world. It has 6
department administrations like
1) PROGRAMMING
2) QUALITY CONTROL
44
 3) ACCOUNTS
4) MAINTENANCE
5) HUMAN RESOURCE DEPARTMENT
6) PACKAGING AND DESIGNING

Employees, of all of these services or sections are appraised 3 times in each year
on the basis of their performance. The company employees are much less in
number and most of the workers are on contractual basis and here we come at the
view of corporate downsizing at work, yet there is meticulous co-ordination
between all the company staff as well as other members. Their job is so well
defined and also they share expertise on their respective jobs, which seems that
everything is so automatised!

The office structure plays an important role for the assessment of employee’s
performance by knowing his position in the organization, which includes his
duties as well as the responsibilities.

The process of performance appraisal at MWT starts in the month of April each
year. At the beginning of the performance year i.e. Jan (e.g., 2008), performance
standard of an executive of a department. The executive is required to achieve
performance standard of his department his team members’ skill.

MWT is using self appraisal, performance appraisal technique for performance

appraisal of its employees. If an employee in MWT fails to achieve his
performance standard then performance score is deducted by 5% of the total
score.
At the end of the performance year i.e., Dec (e.g. 2008) information from
corporate office for Performance Appraisal is received by the Personnel
department. In the month of Mar/ April Appraisal Form with defined performance
standard is distributed to the Head of the Department (HOD) or Head of the
Section (HOS). Every employee reviews his past performance for that particular

45
year/session with respect to the objectives and targets and giving his overall
assessment of the result achieved by him. He also carries out a self-review with
regard to significant contributions made by him and important factors that
facilitated or hindered his performance.
The immediate superior then marks the achievement of his subordinates by
rating his performance against objectives.
The superior also assesses the critical attribute of his subordinates with
respect to ‘5’ important criteria –

• Innovativeness
• Initiative.
• Resourcefulness
• Interpersonal team relationship
• Communication skill and specific Role Related Attributes (SRRA)

The superior i.e., HOD also notes down the areas of strength & weaknesses and
marks the areas of growth in which the employee has potential to make significant
contribution. Finally, the HOD can suggest the areas in which training can be
imparted to the employee. At the end of the exercise training need is to identified
on the findings of the HOD’s assessment. Next, HOD sends his report to the HRD
for promotion/ rewards.
Before 1st Jan, HRD makes letter and informs the individual employees through
their Departmental Head about the Increment / Promotion / Reward awarded to
them.
The success of the Performance Appraisal system depends on the existence of
transparent link between Performance and Rewards.

46
Strength & weakness of the performance Appraised Process existing -
STRENGTH:

1) Self. Assessment by the employee:

Every employee is given a chance to assess his / her own performance. This
assures that the employee’s viewpoint of his performance is also considered.
Moreover the employee feels a sense of responsibility and knows that his
performance is being judged on the basis of goals set for him in the previous year.

2) Critical attributes are listed and areas of strength and

weakness are deliberated i.e., weak points are identified.;
The supervisor cannot make general comments but has to be specific while
assessing the personality traits of an individual. Also he must clearly point out the
strength and weakness of the employees so that paper training can be imparted to
him.

3) Specific training and development (T & D) plans are

formulated:
Either the superior or the employee can list out the training and development
programs needed for the growth and development of the employee

PREVENTION OF BIAS:
Giving a role to the next superior in assessing the employee’s performance checks
the bias of superior. The next superior analyses very high or very low grade,
thereby preventing the superior from indulging in favoritism. .

47
WEAKNESSES:

1) The entire Exercise is Time Consuming and Tedious:

Because of such time consuming work, the superior tries to reduce his work by
giving hasty report. This prevents true assessment of performance. Moreover,
many employees feel that this is a mere paper work which does not have much
significance.

2) Very little Emphasis on Role Playing:

There is very little emphasis on role-playing in the evaluation of the performance.
It is known that as an employee moves up in the senior position, more than making
his goal, his role in the organization becomes more vital. An employee is a leader
to his subordinates and his ability to lead his subordinates, groups or department /
section must be analyzed since it becomes necessary to plan for future promotions
and successions.

Notwithstanding the above strengths and weaknesses in overall analysis, this

system tries to be scientific in approach and seeks to do justice to the employees.
The MWT Form is more concerned with the appraisal by superiors and very
formally asks employee to fill in the objectives, results achieved and a short write
up for contribution.

METHODOLOGY / METHODS OF DATA COLLECTION:-

The questions under the dimensions of

(1) Job content

(2) Facilitating / Inhibiting factor
(3) Strength/Weakness of Managerial / Executive Qualities
(4) Interpersonal and team Relationship
48
(5) Initiative
(6) Resourcefulness
(7) Communication skill
(8) Innovativeness
(9) Discipline & Regularity etc.

49
 QUESTIONNAIRE

Q1. DO YOU LIKE YOUR PERFORMANCE APPRAISAL METHOD?

Interpretation:

Most of the employees like performance appraisal method.

50
Re
Q2. ARE YOU SATISFIED WITH TRAINING METHODS THAT ARE
PROVIDED BY THE ORGANIZATION TO IMPROVE YOUR
PERFORMANCE?

Interpretation:

Greater number of employees are satisfied with their methods.

51
Q3. SINCE WHEN YOU ARE WORKING FOR THIS COMPANY?

Interpretation:

Organization provides opportunities to employees to develop their skills

52
Q4. IS IT TRUE THAT REMAINING BUSY IS NOT ENOUGH IN THIS
ORGANIZATION? ONE HAS TO SHOW RESULTS?

Interpretation:

Organization is result oriented.

53
Q5 DO PEOPLE HERE GET AN OPPORTUNITY TO DEVELOP THEIR
SKILLS FURTHER TO DO THEIR JOBS?

Interpretation:

Organization provides opportunities to employees to develop their skills.

54
Q6 TO WHAT EXTENT DO YOU THINK THAT WHEN DECISIONS ARE
BEING MADE ABOUT CERTAIN WORK THAT YOU ARE TO DO, YOU
ARE ASKED FOR YOUR IDEAS?

Interpretation:

Employee’s ideas are valuable to more than some extent

55
Q7. THIS ORGANIZATION FACILITATES THE SELF-IMPROVEMENT
OF ITS EMPLOYEES. DO YOU AGREE WITH THIS STATEMENT?

Interpretation:

organization facilitates the self-improvement of its employee to a very great extent

56
Q8. YOUR SUPERIOR AND SENIOR GUIDE YOU PROPERLY IN
YOUR PERFORMANCE?

Interpretation:

Most of the seniors guide the employees working under the company.

57
Q9. HOW OFTEN DO YOU FEEL THAT AN EMPLOYEE’S CAREER
HARMED IN THE ORGANIZATION?

Interpretation:

Employees show mixed reaction.

58
Q10. IS IT CLEARLY DEFINED WHAT TYPE OF WORK IS FOR WHOM IN
THIS ORGANIZATION?

Interpretation:

Work is clearly defined to almost everyone.

59
Q11. PROMOTIONS DECISIONS ARE PURELY BASED ON PRESENT
AND PAST PERFORMANCE OF EMPLOYEES OR THERE EXIST
SOME PARTIAL DECISIONS REGARDING PROMOTIONS?

Interpretation:

Biased ness should be decreased for effective results.

60
Q12. ARE ORGANISATION HEADS ARE ABLE TO RESOLVE PROBLEMS
EFFECTIVELY?

Sampling

Interpretation: almost all are capable to solve employees’ problems

Interpretation:

Almost all are capable to solve employees’ problems.

61
Q13. ARE YOU SATISFIED WITH YOUR PRESENT JOB?

Interpretation:

Most of the employees are satisfied.

62
Chapter 6
Findings

63
 CHAPTER6

FINDINGS

METHODS-

• Management has adopted several statistical methods for checking,

measuring and rating the performance of each employee, such as job
evaluation, people movement control etc.

• They strictly follow this method, and maintains record of all kinds of
expenses, check-ins, check-outs, so that good analysis can be done, and the
result is accurate, which is extremely important for an organization growth.

• MWT has as many as 29 depots at various focal points in the country .This
policy is in conformity with the CO’s motto to serve the consumers better
and better.

64
METHODS ADOPTED BY MANAGEMENT FOR
PERFORMANCE APPRAISAL-

• Management has set up a trend of filling up of performance appraisal

forms,

• SELF APPRAISAL FORM ,for employees, In this form the employee is

asked to rate himself on the given scales, he is asked to judge himself by
giving points to his own performance on several grounds,& P.A FORMS
for mangers

• Further the form is analyzed by management on the basis of his actual

performance and he is awarded as per the deservence.

MEASURES FOR CHECKING ABSENTEEISM-

• Management keeps a record of absenteeism, of all the employees of all the

departments,

• They record the duration of leave period, reason for leave, then categorize
the leaves under different sections like casual or sick.

• After that they analyze this report, and prepare the report of each employee.
This helps to find out the productive and unproductive asset, further the
Necessary steps are taken, according to their performances, whether to
reward them or penalize them.

65
Chapter 7
Limitations

66
 CHAPTER7

LIMITATIONS

The survey has been done with full efforts and utter care but still there are some
limitations beyond control which might make the findings and conclusion in the
report a little of beam.
Although we attained success in our project to a greater extend, but still could not
provide the ideal state of performance of employees in MWT, due to certain
reason which are:
• The time duration was short which limited us from implementing as well as
monitoring the new plans applied in the MWT because 45 days are too
short period for monitoring the action of employees. Some more days are to
be needed for proper findings and implementation.

• It is assumed that the information given by the respondents are authentic

and to the best of their knowledge but it is not neccessary that their
knowledge is sufficient and up to the mark

• Information provided by the respondents might be biased in some cases

because human behaviour can be influenced because of various reasons so
it can be naturally biased.

67
• It can also be possible that respondents might have variation with their
actual action.

• Human behavior was and will always be a limitation ,I tried our best to
make the performance appraisal as transparent as possible but it could be
achieved to a certain extend because of the diplomatic nature of the
employees as well as politics prevailing in the organization

68
Chapter 8
Conclusion

69
 CHAPTER 8

CONCLUSION

It is no doubt that the company has achieved an enormous growth in short span of
time and one of the pioneers in technology, transforming organization across the
world. This much-accelerated growth of the Organization is attributed to its much
devoted and committed workers, who with lot of zeal and enthusiasm has helped it
to attain feats of success and glory by virtue of their sustained effort and hard
work. The employees working out here is no exception to the general rule which
says that it is the human nature which wants, that the work they perform should be
properly acknowledged. So from the performance appraisal they expect a
beneficial lot.

To conclude, the company has been blessed with efficient, committed and sincere
workers. Hence it should be the duty of the management to preserve these human
resources without whom the company cannot move ahead.

IMPORTANCE OF PERFORMANCE APPRAISAL-

Today, we are thriving in an era of cut – throat competition. Every Organization

wants to score over its competitor by all means. For the attainment of objectives
and successful accomplishment of goals, it becomes all the more necessary to
sustain and develop the potential of the employees to the elevated standards in
order to cater to the Organizational needs. For this it is very important to keep the
employee satisfied on his respective job, which calls for an adequate and timely

70
appraisal. It is very natural that when the people are satisfied and happy with the
Organizational system, they perform their best.

Finally, from all the facts described about “Performance appraisal”, I feel that it is
an inevitable part of today’s Developing Organization, in the sense that right
appraisal at the right time provides the employees with a force that drives them to
work harder for the Organizational objectives because only motivated and
dedicated workers can take any working unit to its “ZENITH”.

Overall conclusions at a glance

1. Job responsibilities are well defined.

2. The system prevailing now, FAIR is good and if executed properly, seeks
to impart justice to the employees, since number system is there instead of
the grades A, B, C, D used in earlier appraisals, hence numbers are
considered to be more accurate and precise.

3. To link rewards with performance is not an easy task but the executives are
trying their level best to sort out these as per their exerted efforts.

4. It tried not only to assess the individual’s performance but also to make him
aware to the present requirements and overcome persisting difficulties on
the job. In fact it was very intimately related to the Training Program.

5. Proper counseling and feedback to and by the employees was also an

integral part of the entire exercise.
A typical phenomenon of involving employees is an emphasis on work teams.
The bureaucratic structure of yesterday with clear lines of authority and chain of

71
command – is not appropriate for many of today’s companies. Workers from
different specializations in an Organization are increasingly required to work
together to accomplish complex projects. As such, traditional work areas have
given way to more of a team effort, building and capitalizing on the various skills
and backgrounds that each member brings to the team.

This feature is practically visible and is fully operational at work in full

momentum. This results in co-operation, good interpersonal relationships, better
communication and collaboration at all levels .All these combined together to
enhance Organization’s effectiveness.

During the entire exercise the critical attributes as well as some general
observations of an employee with respect to quality of work is noticed.

1. What is his initiative on a task given to him?

2. What is his knowledge of procedures & regulations of the
organization?
3. What is his behavior & assistance towards other staff?
4. Can he inspire confidence in his colleagues
5 What is his punctuality in attendance?
6 What is his promptness in dealing with his job

Observations on quality of work

1. Does he perform the job with quality?
2. Does he dispose off the work without pressure?
3. Does he maintain proper record & receipt of stores?
4. What is his reliability?

72
Maintaining order, discipline & checking attendance.
1. Does he submit cases in proper order?
2. What is his capacity to train, advise and help his colleagues?
3. What is his ability to handle difficult cases?
4. Has he been responsible for any outstanding work during the period under
review, meriting special commendations?

Others / miscellaneous
1. Please specify physical / financial targets / objectives set by you or set for
you in respect of items of work in order of priority and your achievements
and shortfalls against each targets / objectives.
2. Please state briefly the constraints, if any, for the shortfalls.

73
 Chapter 9
Recommendations

74
 CHAPTER9

RECOMMENDATIONS

1. The appraisal system should focus on objective analysis of performance in

terms of specific events, accomplishments or failure. Continuous & close
personal observation is also advised.

2. The rating should be reviewed with the ratee. This puts the subordinates to
know about his performance and what is expected of him as well as it
devises means to improve his performance on the job.

3. The appraisal system should be supported by an effective feedback system.

It helps to locate what and where an employee is lacking and how it can be
overcome.

As we know that MWT is one of the esteem Organization in the business world
People feel proud to be an associate of this Organization.

After going through various sections and making an overall analysis, few
suggestions are presented here which may further strengthen the system of
performance appraisal and would enhance its effectiveness.

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Few suggestions from the employees are also incorporated
here-
1 The goals and objectives of the company shall be made clear to all the
employees. Apart from their individual jobs, they should also be
thoroughly conversant with Organizational objectives.

2 Sometimes it seems as if the system is more on paper, it should also be

brought in practice to bring about concrete changes both in the
individual as well as in the output i.e. performance.

3 The system should not only assess the performance of the employee but
also it should try to measure the potential of the concerned.

4 Sincere efforts should be strived at, to increase the working potential of

the employees.

5 Individual performance and contribution should be considered.

6 Performance Appraisal should be impartial and it must be free from

halo effect.

7 Executives & Supervisors creating a climate of motivation &

achievement is satisfactory. To keep it consistent with performance,
supervisors should work meticulously in such a manner as to remind
everyone that Organizational results are dependant upon their
contribution.

8 More participation, autonomy & feedback should be provided which

may give rise to the feeling of belongingness towards the company.
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9 To improve communication and flow of information, transparent
counseling can be done after a stipulated period of time, which will lead
to a good upward as well as downward communication.

10 Awareness of suggestion system should be increased so that valuable

suggestions can be freely obtained from the employees regarding further
improvement (if any) with respect to the ongoing appraisal system.

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Appendix

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 APPENDIX
BIBLIOGRAPHY

• Robbins Stephen P, “Organizational Behavior”, Pearson Education, Singapore,

5th edition.
• Kothari C.R., “Research Methodology”, Vishwa Prakashan, New Delhi,2nd edition
• Luthans Fred, “Organizational Behavior”, Mc Graw-Hill, 7th edition.
• Harold Koontz, Heinz Weihrich, “Essentials of Management”, Tata McGraw
Hill, 2007
• Pattanayak Biswajeet,”HRM”, prentice hall of India, New Delhi, 3rd edition.
• Gupta S.P. & Gupta M.P., “Sampling and Sampling Distribution”,
New Delhi, Sultan Chand & Sons, 1995

 Newspapers
• Times of India

• Economic times

• Hindustan times

 Web sites
• www.googles.com
• www.hclinfosystem.com
• www.midassoft.biz/

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COPY OF OUESSIONNARE

Q1. DO YOU LIKE YOUR PERFORMANCE APPRAISAL METHOD?

 Yes
 No

Q2. ARE YOU SATISFIED WITH TRAINING METHODS THAT ARE

PROVIDED BY THE ORGANIZATION TO IMPROVE YOUR
PERFORMANCE?

• Not at all
• To some extent

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 • To great extent

Q3. SINCE WHEN YOU ARE WORKING FOR THIS COMPANY?

• Recently joined
• For 10 years
• For 5 years

Q4 IS IT TRUE THAT REMAINING BUSY IS NOT ENOUGH IN THIS

ORGANIZATION? ONE HAS TO SHOW RESULTS?

• It is not true at all

• It is true to some extent
• It is true to great extent

Q5 DO PEOPLE HERE GET AN OPPORTUNITY TO DEVELOP THEIR

SKILLS FURTHER TO DO THEIR JOBS?

• Almost none
• A few people
• Almost all the people

Q6. TO WHAT EXTENT DO YOU THINK THAT WHEN DECISIONS

ARE BEING MADE ABOUT CERTAIN WORK THAT YOU ARE TO DO,
YOU ARE ASKED FOR YOUR IDEAS?

• Always
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 • Usually
• Almost never

Q7. THIS ORGANIZATION FACILITATES THE SELF-IMPROVEMENT

OF ITS EMPLOYEES. DO YOU AGREE WITH THIS STATEMENT?
• Neither agree nor disagree
• Disagree
• Agree

Q8. YOUR SUPERIOR AND SENIOR GUIDE YOU PROPERLY IN

YOUR PERFORMANCE?

• Sometimes
• Usually
• Never

Q 9 HOW OFTEN DO YOU FEEL THAT AN EMPLOYEE’S CAREER

HARMED IN THE ORGANIZATION?

• Never
• Usually
• Sometimes
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Q10 IS IT CLEARLY DEFINED WHAT TYPE OF WORK IS FOR WHOM
IN THIS ORGANIZATION?

• Usually
• Sometimes

Q.11 PROMOTIONS DECISIONS ARE PURELY BASED ON PRESENT

AND PAST PERFORMANCE OF EMPLOYEES OR THERE EXIST
SOME PARTIAL DECISIONS REGARDING PROMOTIONS?

• Biased decisions
• Unbiased decisions

Q12. ARE ORGANISATION HEADS ARE ABLE TO RESOLVE

PROBLEMS EFFECTIVELY?

• Yes
• No

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Q13 ARE YOU SATISFIED WITH YOUR PRESENT JOB?

• Yes
• No

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