A

SUMMER TRAINING REPORT

ON

AN
“ANALYSIS ON PERFORMANCE OF APPRAISAL SYSTEM”
With reference to

METAL ALLOYS CORPORATION.

Submitted to the partial fulfillment of the requirements

For the award of Degree of
Bachelor of Business Administration

Pt. Neki Ram Sharma Govt College

MAHARISHI DAYANAND UNIVERSITY ROHTAK

(Session 2023-24)

Submitted to Submitted by :
Dr. Chetna Jyoti
BBA Deptt. BBA 3rd Year
Roll No. : 1211271010015
Univ. Roll No. :

1
 DECLARATION

I hereby declare that, the summer training report entitled

“Performance Appraisal” assigned to me for the partial fulfillment of BBA degree from Maharshi
Dayanand University, Rohtak. The work is originally completed by me and the information provided in
the study is authentic to the best of my knowledge. This study has not been submitted to any other
institution or university for the award of any other degree.

Jyoti

2
 ACKNOWLEDGEMENT

Gratitude is the hardest of emotions to express and one often does not find adequate words to
convey what one feels and trying to express it"

I am immensely indebted to my project Guide Mrs. Chetna (Lecturer) NRS Govt. College, ROHTAK
(Haryana), for her illumining observation, encouraging suggestions and constructive criticisms, which
have helped me in completing this project successfully.

There are several other people who also deserve much more than a mere acknowledgement at their
exemplary help. I also acknowledge with deep sense of gratitude and wholehearted help and cooperation
intended to me by them.

Jyoti

3
 TABLE OF CONTENTS

 SUPERVISOR’s CERTIFICATE
 DECLARATION
 ACKNOWLEDEMENT
 PREFACE

Sr.No PARTICULARS Page no.

CHAPTER 1

1.  INTRODUCTION TO THE TOPIC 5-19

 COMPANY PROFILE
 OBJECTIVE OF THE STUDY

2. CHAPTER -2

 REVIEW OF LITERATURE 20-42

 RESEARCH METHODOLOGY
 CONCEPT OF PERFORMANCE APPRAISAL
SYSTEM

CHAPTER 3

3.  DATA ANALYSIS AND INTERPRETATION 43-61

CHAPTER 4

4.  FINDING
 CONCLUSION
 SUGGESTION 62-69

ANNEXURE

 BIBLIOGRAPHY
 QUESTIONAIRE

4
 INTRODUCTION

Human Resources Management:

Human Resource Management (HRM) is the function within an organization that

focuses on recruitment of, management of, and providing direction for the people who work
in the organization. Human Resource Management can also be performed by line managers.

Human Resource Management is the organizational function that deals with

issues related to people such as compensation, hiring, performance management,
organization development, safety, wellness, benefits, employee motivation, communication,
administration, and training.

Human resource management (HRM) is the strategic and coherent approach to

the management of an organization's most valued assets - the people working there who
individually and collectively contribute to the achievement of the objectives of the
business.[1] The terms "human resource management" and "human resources" (HR) have
largely replaced the term "personnel management" as a description of the processes involved
in managing people in organizations.[1] In simple words, HRM means employing people,
developing their capacities, utilizing, maintaining and compensating their services in tune
with the job and organizational requirement.

Human Resources Development:

Human Resource Development (HRD) is the framework for helping employees

develops their personal and organizational skills, knowledge, and abilities. Human Resource
Development includes such opportunities as employee training, employee career
development, performance management and development, coaching, mentoring, succession
planning, key employee identification, tuition assistance, and organization development.

5
 The focus of all aspects of Human Resource Development is on developing the
most superior workforce so that the organization and individual employees can accomplish
their work goals in service to customers.
Human Resource Development can be formal such as in classroom training, a
college course, or an organizational planned change effort. Or, Human Resource
Development can be informal as in employee coaching by a manager. Healthy organizations
believe in Human Resource Development and cover all of these bases.

Performance Appraisal System:

Performance appraisal refers to all the formal procedures used to evaluate an

individual, his contributions and potential. In other words, it is to plan and measure the
performance of an individual in terms of the requirement of the job or it is a process of
finding out how effective the organization has been at hiring and placing an employee.

Performance appraisal is a formal system of review and evaluation of individual or

team task performance. While evaluation of team performance is critical when teams exist in
an organization, the focus of performance appraisal in most firms remains on the individual
employees. Regardless of the emphasis, an effective appraisal evaluates accomplishments
and initiates plans for development, goals and objectives.

6
About us

We Are...

Metal Alloys Corporation - one of the leading manufacturer of Copper and Copper
Alloys Cast, Extruded and Drawn products, viz. Billets/Ingots, Mother Shells,
Tubes/Pipes, Hollow/Solid Rods, Sections, Profiles etc.

ISO Certified

Quality is front and center in all aspects of our business. We are an ISO 9001:2008 certified organization,
guarantee you world-class quality products and services.

Capabilities Chart

Production range : TUBES / RODS / HEX / SQUARE / FLAT / PROFILE / HOLLOWS

Tubes 6.35 mm to 110 mm

Round Rods 6 mm to 250 mm

Hex 5 mm to 60 mm

Square 4 mm to 60 mm

Flat 5 mm Min Thickness and Max Width 120 mm

Profile As per Customer Drawing

Hollow Rods Min Bore size 20 MM and Max OD 130 mm

Products Alloys Shapes

Cupro Nickel 70/30 copper ASTM B 111 C 71500/ ASME SB 111 C 71500/ BS 2871

7
Ingots / Billets/ Mother Nickel 90/10 part 3 CN 107/ EN 12451 CuNi 30 Fe 1 Mn/ NFA 51 102
tubes / Pilger Tubes / CuNi 30 Fe 1 Mn/ JIS H 3300 C 7150/
Finished Tubes/ Finned
Copper Nickel, ASTM B 111 C 70600/ ASME SB 111 C 70600/ BS 2871
Tubes / U-Bend Tubes /
Part 3 CN 102/ EN 12451 CuNi10 Fe1Mn/ NFA51 102
Rods
CuNi10 Fe1Mn/ JIS H 3300 C 7060

95/5 Copper ASTM B 111 C 70400/ ASME SB 111 C 70400/ BS 2870

Nickel, CN 101/ ISO 1635 CuNi5Fe1MN/ JIS C 2532 GCN10

Brass for Admiralty Brass ASTM B 111 C 44300/ ASME SB 111 C 44300/ BS 2871
condensers/heat Tubes Part 3 CZ - 111/ EN 12451 CuZn28 Sn1As/NFA 51 102
exchangers CuZn29Sn1/ JIS H 3300 C 4430
Ingots / Billets / Mother
Aluminum Brass ASTM B 111 C 68700/ ASME SB 111 C 68700/ BS 2871
tubes / Pilger Tubes /
PART 3 CZ - 110/ EN 12451 CuZN20 AL2As/NFA 51
Finished Tubes / Finned
102 CuZn22 Al2/ JIS H - 3300 C 6870/
Tubes / U-Bend Tubes /
Rods Aluminum Bronze ASTM B 111 C60800/ ASME SB 111 C 60800/ EN 12451
CuAl5As/ CW200G

Lead Free Brasses 70/30 Brass ASTM B 135 C 26000/ BS 2871 Part 3 CZ - 126/ EN
Ingots / Billets/ Mother 12451 CuZn30As/ NFA 51 102 CuZn30/ JIS H 3300 C
tubes/ Pilger Tubes/ 2600/ AS 1572 26130
Finished Tubes/ Rods
63/37 Brass ASTM B135 C 27000/ JIS H33000 C 2700/ ISO 1637
(Solid and Hollows) -
CuZn37
Hex/ Rectangles/ Square/
Profile Red Brass ASTM B135 C 23000/ BS 2870 CZ 102/ JIS H3300 C
2300

Naval Brass IS291 Grade I or II/ BS 2874 CZ 112/ JIS 3250 C4622/
ASTM C48200

Copper DHP Copper ASTM B 68 C 12200/ ASTM B 75 DLP C12000/ BS 2871

Ingots / Billets/ Mother Part 2 C 101/ BS 2871 Part 3 C 106/ EN12451 DHP/ JIS
tubes / Pilger Tubes/ H3300 C 1220/

8
Finished Tubes/ Finned DLP Copper ASTM B 68 C 12200/ ASTM B 75 DLP C12000/ BS 2871
Tubes/ U-Bend Tubes/ Part 2 C 101/ BS 2871 Part 3 C 106/ EN12451 DHP/ JIS
Rods/ Pancake Coils H3300 C 1220/

EC / ETP Copper ASTM B 68 C 12200/ ASTM B 75 DLP C12000/ BS 2871

Part 2 C 101/ BS 2871 Part 3 C 106/ EN12451 DHP/ JIS
H3300 C 1220/

Leaded Brasses Free Cutting Brass ASTM B 455 / B 16 C 38500 / C 36000/ BS 2874 CZ -
Wire Rods (Solid and 121Pb3 or CZ124/ IS319 Grade I/ II/ III/ JIS3250H C3604
Hollows)- Hex / or C3602
Rectangles / Square/
Forging Brass ASTM B 124 C37700/ BS 2874 CZ 122/ IS 3488 Forging
Profile
Brass

High Tensile IS 320 HT1 or HT2/ BS 2874 CZ114 or CZ115/ JIS

Brass 3250H C6782 or C6783

Rivetting Brass IS 4170 CuZn40/ BS 2874 CZ109/ JIS 3250 H C2800/

ASTM B171 C 36500/ IS 4413 CuZn37/ BS 2872 Cz108

Nickel Silver IS 10757 Nickel Silver/ BS 2874 NS101/ ASTM C79830

Bronze Tin Bronze ASTM B30 C92600

Rods (Solid and Hollows)
Aluminum Bronze ASTM B 111 C60800/ ASME SB 111 C 60800/ EN 12451
- Hex/ Rectangles/
CuAl5As/ CW200G
Square/ Profile
Alu. Silicon ASTM B 150 C 64200 / SAE J 463 C 64200
Bronze

Lead ASTM B 140 C31400

Comm.Bronze

Phosphros Bronze ASTM B103 C 51000 / SAE J 463 C 51000 / BS 2874 PB

102

9
Admiralty Brass Tubes/Pipes
Ask for Price

We bring forth for our clients an exhaustive gamut of Aluminium Brass Tubes, Aluminium Brass Tubing
which is preferred across the globe owing to its superior quality, durability and accurate dimensions. The
tubes are manufactured using cutting edge techniques and excellent quality raw materials that are
procured from trusted & reliable vendors. To ensure confirmation with the ISO standards, the entire range
of Aluminium Brass Tubes is examined by adroit quality controllers before final delivery. Clients can buy
these tubes from us at industry leading prices.

Technical Specifications :

Specification :

Admiralty Brass  ASTM B 111 C 44300

Tubes  ASME SB 111
 C 44300
 BS 2871 Part 3 CZ - 111
 EN 12451 CuZn28 Sn1As
 NFA 51 102
 CuZn29Sn1
 JIS H 3300 C 4430

Salient features:

 Rugged construction
 Durable finish standards
 Accurate dimensions
 Corrosion resistance

10
Application Areas:

 Automobile Industry
 General Engineering Purposes
 Industrial Refrigeration
 Heat Exchanger
 Radiator
 Condenser Copper Tubes
 Evaporator Copper Tubes

Aluminium Brass Tubes/Pipes

Application Areas:

 Automobile Industry
 General Engineering Purposes
 Industrial Refrigeration
 Heat Exchanger
 Radiator
 Oil Burner Tube
 Evaporator

 Copper Nickel
 90/10 Copper Nickel


Ask for Price

 We are reckoned amongst the trusted manufacturers and
exporters of a wide range of 90/10 Copper Nickel Tubes.
Known for their flexibility, high corrosion resistance, superior
tensile strength, trouble free installation and maintenance,
these are in demand in different industries. To ensure

11
 complete client satisfaction, the entire array of 90/10 Copper Nickel Tubes is examined
thoroughly on standard quality parameters before final delivery.

 Lead Free Brass Tubes

 70/30 Brass Tubes/Pipes


Ask for Price

 Being the leaders in the industry, we are engaged in manufacturing and exporting a
varied assortment of 70/30 Brass Tubes, Condenser Tubes. Precisely manufactured using
premium grade raw materials that are sourced from trusted & reliable dealers, the brass
tubes ffered by us are used in various industries including, sugar & general engineering.
Our 70/30 Brass Tubes are sturdy in construction, easy to install, durable.
Application Area: Sugar Industries, Plumbing, Furniture, Hand Pumps, Ammunitions,
General Engineering.

 Our Special Product

 Tube for Bearing Cage


Ask for Price

 Metal Alloys Corporationis one of the world largest and most diversified manufacturers
of specialized seamless tubes. We produce seamless tubes ranging from an outside
diameter of 8 mm to 110 mm.

These Tubes are used in manufacturing different Bearing Cages such as Taper Roller
Bearings Cage, Spherical Roller Bearing Cage, Ball and Cylinderical Roller Bearing
Cages Etc.

These Bearing cages finds its application in the bearing for construction machinery gear
construction, vehicle manufacture, rolling mills & railway wagons. They are suitable for
applications which require high-speed rotation, low vibration, and low noise as in
transmissions, electric motors & generators, pumps, compressors, gear boxes, drive
elevators, textile machinery, printing machinery and two wheeler axles

12
Bend Quality Tubes for Faucets & Plumbing

Ask for Price

Copper and Zinc Alloy containing small amount of Arsenic. This is added as an inhibitor against
dezincification.

The alloy exhibits a good combination of strength and ductility and is commonly selected whenever
excellent cold working properties, bright finish and relatively low cost are desirable. Severe environment
must be considered to predict corrosion behavior. The alloy is often used for variety of deep drawn
components.

We provide a complete range of sizes and types, engineered to exact specifications to meet the highest
standards of performance. with buffing, polishing and bending specially for Faucets and sanitary We offer
these tubes in different shapes, Round, Square, Rectangle, D-Profile, octagon and profile.

Advantages :

 Our Tubes are supplied in annealed/Stress released condition which is good for bending process.
 Completely leak proof, our pipes require no threading
 Our plumbing pipes are easy to install via soldering/ brazing process
 Our quality pipes/tubes has a longer & durable life. They last upto 50 years

 Tubes for Shipbuilding / Marine & Naval Applications



Ask for Price

 Metal Alloys Corporation is proud to serve the marine and naval industry. For decades,
seawater pipe systems made of cupronickel alloys have been put to successful use on
seagoing vessels and offshore production unit like platforms, drilling rigs and
semisubmersible FPSO's. The chemical composition of CuNi 90/10 and CuNi 70/30
cupronickel alloys meet the requirements for all the main international standards. Please
read our brochure for more information and specifics.

13
 Metal Alloys Corporation sells alloy 706/7062 copper nickel. Copper nickel is most
commonly used for marine applications because of its high seawater corrosion resistance
and anti-biofouling properties. 706/7062 copper nickel offers the best characteristics for
marine hardware and can be formed, bent, and welded. This product is available in pipe,
tube and Rods product forms cut to your specifications. 706/7062 copper nickel has
excellent soldering, brazing, gas shielded arc welding, and butt weld fabrication
properties.

 Tubes for Synchronizer Rings



Ask for Price

 We Supplies Tubes / Hollows for Synchronizer Rings manufacturer, this synchronizer
rings can be used in highly stressed transmissions, Gears We have a state-of-the-art
production unit that is well equipped with latest technology and sophisticated machines.
Our workforce comprises of skilled professionals, experts and laborious workers. Our
professionals contribute comprehensive knowledge to meet our clients' specifications and
maximize their satisfaction.These are machinedin line with the set industry standards
using qualitative raw materials that are sourced from authentic vendors of the domain.

Our Vision
To pursue excellence in quality with the future mind.

To keep abreast of changing consumer perceptions.

And to provide comprehensive value for money to our discerning consumers.

14
NEED FOR THE STUDY

15
 NEED FOR THE STUDY

Appraising the performance of individuals, groups and organizations is a common

practice of all societies. While in some instances these appraisal processes are structured and
formally sanctioned, in other instances they are an informal and integral part of daily
activities. Consciously of unconsciously evaluate our own actions from time to time. In
social interactions, performance is conducted a systematic and planned manner to achieve
widespread popularity in recent years.

Performance appraisal is essential to understand and improve the employee's

performance through HRD. In fact, performance appraisal is the basis fore HRD. It was
viewed performance appraisal was useful to decide upon employee promotion / transfer
salary determination and the like. But the recent developments in human resources
management indicate that performance appraisal is the basis for employee development.
Performance appraisal indicates the level of desired performance level, level of actual
performance and the gap between these two. This gap should be bridged through human
resources development techniques like training executive development etc.

According to the past survey it was noticed that the performance appraisal
system in this company was not up to the mark. Hence there would be scope for giving few
suggestions as per my knowledge to improve the performance appraisal system which was
quite essential for the better performance of the employees.

IMPORTANCE OF THE STUDY

Performance appraisals provide employees and managers with opportunities to

discuss areas in which employees excel and those in which employees need improvement.

16
Performance appraisals should be conducted on a regular basis, and they need not be directly
attached to promotion opportunities.

Personal Attention

During a performance appraisal review, a supervisor and an employee discuss the

employee's strengths and weaknesses. This gives the employee individual face time with the
supervisor and a chance to address personal concerns.

Feedback

Employees need to know when their job duties are being fulfilled and when there are
issues with their work performance. Managers should schedule this communication on a
regular basis.

Career Path

Performance appraisals allow employees and supervisors to discuss goals that must be
met to advance within the company. This can include identifying skills that must be acquired,
areas in which one must improve, and educational courses that must be completed.

Employee Accountability

When employees know there will be regularly scheduled evaluations, they realize that
they are accountable for their job performance.

Communicate Divisional and Company Goals

Besides communicating employees' individual goals, employee appraisals provide the

opportunity for managers to explain organizational goals and the ways in which employees
can participate in the achievement of those goals.

17
 OBJECTIVES OF THE STUDY

 To identify the strengths and weaknesses of employees to place right men on right job.

 To maintain records in order to determine compensation packages, wage structure , salaries raises,

etc.

 To provide a feedback to employees regarding their performance and related status.

18
 METHODLOGY OF THE STUDY

After the objective of the study has clearly stated, the next step in formal research
project is to determine the source from which the data is required to be collected. The data
collection is an interesting aspect of the study achieving data effectively the information
consists of two types of data. The diagram is as follows:

Data collections:

a) Primary data:

The primary data are those, which are collected freshly and for the first time, from the
employees directly. It is collected through the following methods.

1. Questionnaire: A structure of questionnaire was prepared and distributed among

the employees & workers.

2. Interview: Personal interviews and interaction with the employees and

contractor labour.

3. Observation: By observing the working environment.

b) Secondary data:

The secondary data are those which have already been collected by someone or else
which have been passed through statistical process. Sources of secondary data can be
categorized into two broad categories named published and unpublished statistics. Various
sources are available namely books, synergies monthly (Chakaravahini) books etc. and also
collected from various files, records and synergies casting Ltd.

19
Size:

A sample of 40 employees has been selected .Although it looks to be a small sample

keeping in view the large number of employees it has to be limited because of time
constraint(8 weeks).Even then the sample size is not considered to be small. It is
enough to draw conclusions.

Type:

Since employees from all levels (strata) namely the top level, the middle level, and
the lower level are bound to experience stress, the sample has to include employees
from all levels. Stratified random sampling technique was selected while preparing
questionnaire as this was the only technique that helped to draw conclusions
accurately.

20
 LIMITATIONS OF THE STUDY

As the study revolves around the performance appraisal of human resources aspects
the overall organization performance cannot be ascertained. In spite of giving honest and
sincere efforts there are several limitations, which are as follows:

 The period of study is only for about 2months, which is a major constraint.

 The perception bias or attitude of the respondents may also act as hurdles to the study.

 The study is only confined to performance appraisal.

 The study cannot be oriented with all HRM practices followed by

 METAL ALLOYS CORPORATION Ltd. because of the paucity of time

requirements.

 The sample size taken for the research is small due to the constraint of time.

21
 ORGNIZATIONAL CHART IN DELTA PAPER MILLS

BORD OF DIRECTOR

MANAGING DIRECTOR

CHIEF EXICUTIVE

WORKS MANAGER GENARAL MANAGER

(Engineering) (Finance and Administration)

SUPDT SUPDT SUPDT SUPDT EXICUTIVE EXICUTIVE

Paper Paper Process Electrical Engineer Engineer

M/c Mills Quality Civil Mechanical Mechanical

Finance Manager Manager Sr. Manager

Manager Personal Stores (Marketing & Purchase)

2 Clerks

2 Typists Marketing & Purchase

Deputy Manager

Asst. Manager

Sales Officer

Staff
22
 ORGNIZATIOLNAL CHART OF THE PERSONAL DEPARTMENT

GENARAL MANAGER

ASSISTANT MANAGER

PERSONAL

MANAGER

PERSONAL WELFARE SECURITY MEDICAL

OFFICER OFFICER OFFICER OFFICER

ASST.PER.O CANTEEN SECURITY DOCTER

FFICER SUPERVISOR
SUPERVISOR

GARDINER SECURITY COMPOUNDER

LABOUR GUARDS
ASSISTENTS

MAJDUR
SWEEPERS
ASSISTENTS

TIMEKEEPERS

TYPIST

ATENDER

23
 CONCEPT OF PERFORMANCE APPRAISAL SYSTEM

Introduction:

Appraising the performance of individuals, groups and organizations is a common practice

of all societies. While in some instances these appraisal processes are structured and formally
sanctioned, in other instances they are an informal and integral part of daily activities. Thus,
teachers evaluate the performance of students, bankers evaluate the performance of creditors,
parents evaluate the behaviour of their children, and all of us, consciously or unconsciously
evaluate our "own actions from time to time. In social interactions, performance is conducted in a
systematic and planned manner to achieve widespread popularity in recent years.

Meaning:

Performance appraisal is a method of evaluating the behavior of employees in the work

spot, normally including both the quantitative and qualitative aspects of hob performance.
Performance here refers to the degree of accomplishment of the tasks that make up an
individual's job. It indicates how well an individual is fulfilling the job demands. Often the term
is confused with effort, but performance is always measured in terms of results and not efforts.
Some of the important features of performance appraisal given, they are:

1. Performance appraisal is the systematic description of an employee's job- relevant strengths and
weaknesses.
2. The basic purpose is to find out how well the employee is performing the job and establish a plan of
improvement.
3. Appraisals are arranged periodically according to a definite plan.
4. Performance appraisal is not job evaluation. Performance appraisal refers to how well someone is
doing the assigned job. Job evaluation determines how much a job is worth to the organization and,
therefore, what range of pay should be assigned to the job.

Use of Performance Appraisal:

24
 • Performance appraisal is helpful in assessing a firms human resources data must be
available that describe the promobility and potential of all employees.
• A well designed appraisal system provides a profile of the organization's human
resource strengths and weaknesses to support this effort.
• Performance evaluation ratings may be helpful in predicting the performance of job
applicants.
• Performance appraisal will point out employee specific needs for training and
development.
• Performance appraisal is useful in career planning and development.
• Performance appraisal results provide a basis for rational decisions regarding
compensation programmes.
• Performance appraisal data are also frequently used for decisions in several areas of
internal employee relations, including promotion, demotion, termination, lay-off. and
transfer.

• Performance appraisal is useful in assessment of employee potential.

• Performance appraisal can be used to determine whether HR programmes such as
selection, training, and transfers have been effective or not.

Objectives of Performance Appraisal:

Performance appraisal aims at attaining the different objectives, they are

1. To create and maintain a satisfactory level of performance.

2. To contribute to the employee growth and development through training, self and
management development programmes.
3. To help the superiors to have a proper understanding about their subordinates
4. To facilitate fair and equitable compensation based on performance.
5. To facilitate for testing and validating selection tests, interview techniques through
comparing their scores with performance appraisal ranks.
6. To provide information for making decisions regarding lay off, retrenchment etc.

25
7. To ensure organizational effectiveness through correcting employee for standard and
improved performance, and suggesting the change in employee behavior.
Appraisal Process:

Each step in the process is crucial and is arranged logically. Many organizations make
every effort to approximate the ideal process, resulting in first-rate appraisal systems.
Unfortunately, many others fail to consider one or more of the steps and, therefore have less-
effective appraisal system.

Objectives of

Performance appraisal

Establish job

Expectations

Design an appraisal

Programme

Appraise performance

Performance

Interview

Use appraisal data for

appropriate Purpose

26
1. Objectives of Appraisal:

Objectives of appraisal include effecting promotions and transfers, assessing training

needs, awarding pay increases, and the like. The emphasis in all these is to correct the problems.

2. Design appraisal programme:

Designing an appraisal programme posses several questions which need answers. They
are (i) Formal versus informal appraisal; (ii) Whose performance is to be assessed? (iii) Who are
the raters? (iv)What problems are encountered? (v) How to solve the problems? (vi) What should
be evaluated? ( vii) When to evaluate? ( vii i) What methods of appraisal are to be used?

3. Performance Interview:

Performance interview is another step in the appraisal process. Once appraisal has been
made of employees, the raters should discuss and review the performance with the rates, so that
they will receive feedback about where they stand in the eyes of superiors.

Methods of Performance Appraisal:

With the evaluation and development of appraisal system, a number of methods or

techniques of performance appraisal have been developed.The important among them.

Traditional Methods

1) Graphic Rating Scales:

Graphic rating scales compare individual performance to an absolute standard. In this

method, judgments about performance are recorded on a scale. This is the oldest and widely used
technique. This method is also known as linear rating scale or simple rating scale. The appraisers
27
are supplied with printed forms, one for each employee. These forms contain a number of
objectives, behavior and trait - based Qualities and characters to be rated like quality and volume
of work, job knowledge, dependability, initiative, attitude etc., in the case of workers and
analytical ability, creative ability, initiative, leadership qualities, emotional stability in the case of
managerial personnel. These forms contain rating of scales. Rating scales are of two types, viz.,
continuous rating scale and discontinuous rating scales. In continuous order like o, 1, 2, 3, 4 and
5 and in discontinuous scale the appraiser assigns the point to each degree. The points given by
the rater know performance regarding each character. The points given by the rater to each
character are added up to find out the overall performance. Employees are ranked on the basis of
total points assigned to each one of them.

One reason for the popularity of the rating scales is its simplicity, which permits many
employees to be quickly evaluated. Such scales have relatively low

Design cost and high in case of administration. They can easily pinpoint significant dimensions
of the job. The major draw back to these scales is their subjectivity and low reliability. Another
limitation is that the descriptive words often used in such lies may have different meanings to
different raters.

2) Ranking Method:

Under this method the employees are ranked from best to worst on some
characteristics. The rater first finds the employee with the highest performance and the
employees with the lowest performance in that particular job category and rates the former as the
best and the later as the poorest. Then the rater selects the next highest and next lowest and so on
until he rates all the employees in that group. Ranking can be relatively easy and inexpensive, but
its reliability and validity may be open to doubt. It may be affected by rater bias or varying
performance standards. Ranking also means that somebody would always be in the backbench. It
is possible that the low ranked individual in one group may turnout to be superstar in another
group. One important limitation of the ranking method is that size of the different between

28
individuals is not well defined. For instance, there may be little difference between those ranks
third and fourth.

3) Paired Comparison Method:

This method is relatively simple. Under this method, the appraiser ranks the employees by
comparing one employee with all other employees in the group, one at a time. As illustrated, this
method results in each employee being given a positive comparison total and a certain %age total
positive evaluation.

Example: A B C D E

A - A A A A

B - - C D E

C - - - D E

D - - - - E

E - - - - -

To compute Employee's positive evaluations:

Number of positive evaluations X 100 = Employee's % Superior evaluation Total

number of evaluations

Employee A Employee B Employee C Employee D

(4/4)* 100=100% (0/4)* 100=0% (2/4)* 100=50% (1/4)* 100=25%

Employee E (3/4) * 100 = 75%

4) Forced Distribution Method:

29
 The rater may rate his employees at the higher or at the lower end of the scale under the
earlier methods. Forced distribution method is developed to prevent the raters from rating too
high or too low. Under this method, the rater after assigning the points to the performance of
each employee has to distribute his ratings in a pattern to conform to normal frequency
distribution. Thus, similar to the ranking technique, forced distribution requires the raters
(supervisors) to spread their employee evaluation in a prescribed distribution. This method
eliminates central tendency and leniency biases. However, in this method employees are placed
in certain ranked categories but not ranked within the categories. Quite often work groups do not
reflect a normal distribution or individual performance. This method is based on the questionable
assumption, as group of employees will have the same distribution of excellent, average and poor
performers. If one department has all outstanding employees, the supervisor would find it
extremely difficult to decide who should be placed in the lower categories. Difficulties can also
arise when the raters most explain to the employee why he was placed in one grouping and others
were placed in higher groupings.

5) Checklist Methods:

The Checklist is a simple rating technique in which the supervisor is given a list of
statement or words and asked to check statements representing the characteristics and
performance of each employee. There are three types of checklist methods, viz, simple checklist,
weighted checklist and forced choice method.

(a) Simple Checklist Method:

The checklist consists of large number of statements concerning employee behavior.

Example: Simple Checklist Method,

Wadia Industries Ltd.,
Performance Appraisal Form
Name of Employee: Number:

30
 Designation:
Department:

Checklist of Qualities:

1. Behavior is the employee punctual in attending the office?

A) Yes B)No

2. Does the employee behave courteously with his superiors?

A) Yes B) No

3. Does the employee maintain sound customer relations'?

A) Yes B) No

4. Is the employee sincere in doing his job?

A) Yes B) No

The rater checks to include if the behavior of an employee is positive or negative to each
statement. Employee performance is rated on the basis of number of positive checks. The
negative checks are not considered in this method. A difficulty often arises because the
statements may appear to be virtually identical in describing the employee. The words or
statements may have different meanings to different raters.

(b)Weighted Checklist:

The weighted checklist method involves weighting different items in the checklist having
a series of statements about an individual, to indicate that some are more important than others.
The rater is expected to look into the questions relating to the employee's behavior, the attached
rating scale (or simply positive /negative statements where such a scale is not provided) and tick
those traits that closely describe the employee behavior. Often the weights are not given to the
supervisors who complete the appraisal process, but are computed and tabulated by someone

31
else, such as a member of the personnel unit. In this method the performance ratings of the
employee are multiplied by the weights of the statements and coefficients are added up. The
cumulative coefficient is the weighted performance score of the employee. Weighted
performance score is compared with the overall assessment standards in order to find out the
overall performance of the employee.

The weighted checklist, however, is expensive to design to design, since checklist for
each different job in the organization must be produced. This may prove time consuming also in
the end. Though the weighted checklist method is evaluative as well as development, it has the
basic problem of the evaluator not knowing the items, which contribute mostly of successful
performance.

(C) Forced Choice Method:

This method was developed at the close of World War II. Under this method, a large
number of statements in groups are prepared. Each group consists of four descriptive statements
(treated) concerning employee behavior. Two statements are most descriptive (favorable) and
two are least descriptive (unfavorable) of each m tetrad. Sometimes there may be five statements
in each group out of which one would be neutral. The actual weightings of the statements are
kept secret.

The appraiser is asked to select one statement that that mostly describes employee's behavior out
of the two favorable statements are kept secret. The appraiser is asked to select one statement that
that mostly describes employee's behavior out of the two unfavorable statements. The items are
usually a mixture of positive and negative statements. The intent is to eliminate or greatly reduce
the rater's personal bias, specially the tendency to assign all high or low ratings. The items are
designed to discriminate effective from ineffective workers as well as reflect valuable personal
qualities.

32
6) Critical Incident Method:

Employees are rated discontinuously, i.e., once in a year or six months under the earlier methods.
The performance rated may not reflect real and overall performance, as the rater would be
serious about appraisal method, i.e., critical incident method has been developed. Under this
method, the supervisor continuously records the critical incidents of the employee performance
or behavior relating to all characteristics (both positive and negative) in a specially designed
notebook. The supervisor rates the performance of his subordinates on the basis of notes taken
by him. Since the critical incident method does not necessarily have to be a separate rating
system, it can be fruitfully employed as documentation of the reasons why an employee was
rated in a certain way.

The critical incident method has the advantage of being objective because the rater
considers the records of performance rather than the subjective points of opinion.

7) Essay or Free From Appraisal:

This method requires the manager to write a short essay describing each employee's
performance during the rating period. This format emphasizes evaluation of overall performance,
based on strengths weakness of employee performance, rather than specific job dimensions. By
asking supervisors to enumerate specific examples of employee behavior, the essay technique
minimizes supervisory bias and halo effect.

8) Group Appraisal:

Under this method, an employee is appraised by a group of appraisers. This group

consists of the immediate supervisor of the employee, to other supervisors who have close
contact with employee's work, manager or head of the department and consultants. The head of
the department or manager may be the chairman of the group and the immediate supervisor may
act as the coordinator for the group activities. This group uses any one or multiple techniques
discussed earlier. The immediate supervisor enlightens others members about the job characters,
demands, standards of performance etc. Then the group appraises the performance of the
employee, compares the actual performance with standards, find out the deviations, discusses the
33
reasons therefore, suggests ways for improvement of performance, prepares action plans, studies
the need for change in job analysis and standards and recommends change, it necessary. This
method is widely used for purpose of promotion, demotion and retrenchment appraisal.

9) Confidential Report:

Assessing the employee's performance confidentially is a traditional method of

performance appraisal. Under this method, superior appraises the performance of his
subordinates based on his observations, judgments and institutions. The superior keeps his
judgment and report confidentially. In other words the superior does not allowed the employee to
know the report and his performance. Superior writes the report about his subordinates,
strengths. Weakness, intelligence, attitude to work, sincerity, commitment, punctuality,
attendance, conduct, character, friendliness, etc,

Though confidential report is a traditional method, most of the public sector organizations
still follow this method in appraising the employee's performance. This method suffers from a
number of limitations.

34
 Key elements of performance appraisal system are presented in figure
below.

Human Performance Employee

Performance Appraisal Feedback

Performance

Measures

Performance – Related

Standards

Human Resources Employee

Decisions Records

35
 The usual steps are as follows

Plan the performance

Determine responsibility for appraisal

Appraisal period

Examine work performed

Appraisal the results

Conduct appraised interview

Discuss goals for next period

Problems in performance appraisal:

Performance appraisal has come under a heavy barrage of criticism. The list of the
problems that have been associated with performance appraisal are as follows:

• A potential weakness of traditional appraisal methods is that they lack

objectivity.

• A huge challenge that impedes an effective performance evaluation is the bias,

which can be either positive or negative.

• Some times halo error occurs when a manager generalizes one positive
performance feature or incident to all aspect of employee performance.
• Leniency: - Giving an undeserved high performance appraisal rating to an
employee.

36
 • Strictness: - Being unduly critical of an employee's work performance.

Establishment of performance appraisal criteria:

The most common appraisal criteria are traits, behaviors, competencies, goal achievement,
and improvement potential. The main objective of establishment of performance criteria is to
identify the aspects of a person's performance that an organization should evaluate.

• Traits: -

Certain employee traits such as attitude, appearance, and initiative are the basis for
some evaluations.

• Behaviors: -

When an individual's task outcome is difficult to determine, organizations may

evaluate the person's task related behavior or competencies. If certain behaviors result in
desired outcomes, there is merit in using them in the evaluation process.

• Competencies: -

This includes a broad range of knowledge, skills, traits, and behaviors that may be
technical in nature, relate to interpersonal skills or be business oriented.

• Goal achievement: -

If organizations consider ends more important than means, goal achievement

outcomes become an appropriate factor to evaluate.

• Improvement potential: -

When organizations evaluate their employees* performance, many of the criteria used focus on
the past. From a performance management view point the problem is that you cannot change the past.
Unless a firm takes further steps, the evaluation data become merely historical documents. Therefore
firms should emphasize the future, including the behaviors and outcomes needed to develop the

37
employee, and in the process achieve the firm's goals. This involves an assessment of the employee's
potential.

Characteristics of an effective appraisal system:

The basic purpose of a performance appraisal system is to improve performance of individuals,

teams, and the entire organization. The system may also serve to assist in the making of administrative
decisions concerning pay increases, transfers, or terminations. In addition, the appraisal system must be
legally defensible. Organizations should seek an accurate assessment of performance that permits the
development of a plan to improve individual and group performance.

The following factors assist in accomplishing these purposes;

• Job related criteria: -

Job relatedness is perhaps the most basic criteria in employee performance appraisal.
More specifically, evaluation criteria should be determined through job analysis.

• Performance expectations: -

Managers and sub-ordinates must agree on performance expectations in advance of the appraisal
period. On the other hand, if employees clearly understand the expectations, they can evaluate their own
performance and may timely adjustments as they perform their jobs without having to wait for the
formal evaluation review.

• Standardization: -

Firm should use the same evaluation instrument for all employees in the same job category-
who work for the same supervisor. Supervisors should also conduct appraisals covering similar
periods for these employees. Regularly scheduled feedback sessions and appraisal interviews for
all employees are essential.

 Trained appraisers: -

38
 The individual or individuals who observe at least a representative sample of job performance
normally have the responsibility for evaluating employee performance. This person is often the
employee's immediate supervisor. Training should be given to these appraisers to ensure accuracy and
consistency. A training module posted on the internet or company intranet may serve to provide
information for managers as needed.

• Continuous open communication: -

Most employees have a strong need to know how well they are performing. A good appraisal
system provides highly desired feedback on a continuing basis. There should be few surprises in the
performance review.

• Performance reviews: -

A performance review allows them to detect any errors or omissions in the appraisal, or an
employee may simply disagree with the evaluation and want to challenge it. Constant employee
performance documentation is vitally important for accurate performance appraisal.

• Due process: -

Ensuring due process is vital. If the company does not have a formal grievance procedure, it should
develop one to provide a employees an opportunity to appeal appraisal results that they consider
inaccurate or unfair. They must have a procedure for pursuing their grievances and having them
addressed objectively.

39
Appraisal Process Followed In Metal Alloys Corporation:

In Metal Alloys Corporation they are following one of treditional method of performance
appraisal, that is critical incident method. But it is not helpful for the employees, because it is
older method.

Critical Incident Technique:

This, too, is a type of appraisal for the employee alone. Here, the employee's best and
worst incidents of behavior are analyzed annually. These events are the ones that are the most
critical in appraising the employee.

40
DATA ANALYSIS AND INTERPRETATION

Human Resources are the greatest assets for any organization. These
recourses should be developed to their fullest extent for the efficient functioning of an
organization and their performance needs to appraise continuously.

The present study is aimed at analyzing the “Performance Appraisal system” at METAL
ALLOYS CORPORATION at VENDRA. There is a felt, need and justification to conduct
surveys and to know the perceptions of employees regarding existing practices. A structured
questionnaire has been surveyed among 40 respondents by adopting strata technique. And their
perceptions are analyzed and interpreted in this chapter.

For the purpose of survey, a sample of 40 employees has been taken into consideration
with a view to assess the "Performance Appraisal System" in METAL ALLOYS
CORPORATION LIMITED Performance appraisal helps in the assessment of individual
potential.

41
Table-4.1 Performance Appraisal is the assessment of individual potential.

S.No. Rating Scale No. of In%

Respondents
1 Strongly Agree 7 17.5
2 Neutral 4 10
3 Strongly Disagree 0 0
4 Agree 29 72.5
5 Disagree 0 0
Total 40 100
Graph-4.1

Analysis:

From the above table-4.1 it can be known that 72 % of respondents have agreed about
the assessment of individual potential and 17.5 % of them have strongly agreed of the above
statement and 10 % of the employees are in a neutral stage and where none of them have
disagreed for the above statement. So majority of the respondents i.e. 72.5 % of the respondents
have agreed about the assessment of individual potential.

42
Interpretation:

From the above analysis we can interpret that, some of the employees were in neutral
position, because the appraisal system in the organization was not in a full fledge way.

Table-4.2

Performance Appraisal system followed in the organization is rational and fair.

S.No. Rating Scale No. of ln%

respondents
1. Strongly Agree 1 2.5
2. Neutral 12 30
3. Strongly Disagree 1 2.5
4. Agree 22 55
5. Disagree 4 10
Total 40 100
Graph-4.2

25

20

15

10 Series1

0
Strongly Neutral Srtongly Agree Disagree
Agree Disagree

Analysis:

From the above table-4.2 it can be known that, 55% of respondents have agreed that die
performance appraisal system followed in the organization rational and fair and 30 of the
respondents are in neutral stage. Where as 2.5pciceiU of the respondents have agreed for the

43
 above statement and 2.5petce&t of the respondents have strongly disagreed, where 10 % of the
respondents have disagreed for the above statement.

Interpretation:

From the above analysis we can interpret that, some of the employees were in neutral
position. Because the organization doesn’t following the company’s policies fairly.

Table-4.3

Job expectations are informed and the superiors set the tasks.

S, No. Rating Scale No. of respondents In%

1. Strongly Agree 3 7.5
2. Neutral 10 25
3. Strongly Disagree 0 0
4. Agree 24 60
5. Disagree 3 7.5
Total 40 100

Graph-4.3

25

20

15

10 Series 1

0
Strongly Neutral Strongly Agree Disagree
Agree Disagree

44
Analysis: From the above table-4.3 it can be known that, 60% of respondents have agreed
that the job expectations are informed and the superiors set die tasks. And 25% of die
respondents are in neutral stage and 7,5% strongly agree for above statement and where as 7.5%
of the respondents disagree for die above statement, none of them are in a stage of strongly
disagree opinion.

Interpretation: The above analysis shows that, some of employees were in neutral position.
Because the job expectations were not informed, and the tasks were not assigned by superiors
properly.

Table-4.4

Performance Appraisal followed in the Organization helps to the Training and development
needs of employee.

zS.No. RatingScale No. of In%

respondents

1. Strongly Agree 6 15
2. Neutral 4 10
3. Strongly Disagree 0 0
4. Agree 27 67.5
5. Disagree 3 7.5
Total 40 100
Graph4.4

30
25
20
15
Series 1
10
5
0
Strongly Neutral Strongly Agree Disagree
Agree Disagree

45
Analysis:

From the above table-4.4 it is found that, 67.5% of respondents have agreed for the performance
appraisal followed in the organization helps to assess the training and development needs of
employee and I5 % of them have strongly agreed in ID-% of the respondents are in neutral stage
and the remaining 7.5% of the respondents are in disagreed opinion. Where none of them are is
strongly disagreed opinion.

Interpretation: The above analysis states that, majority of the employees opined that a good
performance appraisal system in the organization, helps to train and develop an employee in all
aspects.

Table-4.5

The Performance appraisal in the organization helps to recognize the competence and potential
of an individual.

S.No. Rating Scale No. of ln%

respondents

1. Strongly Agree 4 10

2. Neutral 3 7.5
3. Strongly Disagree 1 2.5
4. Agree J
30 75
5. Disagree 2 5
Total 40 100

46
Graph-4.5

Analysis:

From the above table-4.5 it is found that, 75% of respondents have agreed for the performance
appraisal in the organization helps to recognize the competence and potential of individual and 10
% of the respondents have strongly agreed, and 7.5% of the respondents are in neutral stage and
5% are in disagreed opinion where as 2.5% of the respondents strongly disagree for the above
statement

Interpretation:
The above analysis elicits that, some of the employees were in neutral and disagree position.
Because the appraisal process in the organization is not that much effective.

47
Table-4.6

Employees are happy with the assessment of performance followed in the organization.

S.No. Rating Scale No. of ln%

respondents
1. Strongly Agree 3 7.5

2. Neutral 14 35
3. Strongly Disagree 0 0
4. Agree 18
J 45
5. Disagree 5 12.5
Total 40 100
Graph-4.6

Analysis: From the above table-4.6 it is found that, 45% of respondents have agreed that
they are happy with the assessment of performance appraisal followed in the organization. And
35 % of the respondents are in neutral stage and 12.5% of the respondents are in a disagreed
stage where 7.5% have strongly agreed for the above statement but none of them have strongly
disagreed for this statement.

Interpretation:We can interpret that, most of the employees were in disagree and neutral
position. Because the assessment system in the organization was not up to the mark.

48
Table-4.7

Employees have been appraised fairly according to the company's policies.

S. No. Rating Scale No. of In %

respondents
1. Strongly Agree 2 5
2. Neutral 13 32.5
3. Strongly Disagree 0 0
4. Agree 23 57.5
5. Disagree 2 5
Total 40 100

Graph-4.7

Analysis: From the above table-4.7 it is found that, 57.5% of respondents have agreed that
the employees have been appraised fairly according to the company policies and 32.5% of the
respondents are neutral stage and 5% of them are strongly agree and where as 5% of the
respondents disagree for the above opinions and none of them have disagree for the above
opinion.

Interpretation: Here we can state that, most of the employees were in disagree and neutral
position. Because performance appraisal was not done fairly according to the companies policies.

49
Table-4.8 Advises and suggestions are given to the employees during the appraisal process.

S. No. Rating Scale No. of In%

respondents
1. Strongly Agree 3 7.5
2 Neutral 15 37.5
3. Strongly Disagree 0 0
4. Agree 10 25
5. Disagree 12 30
Total 40 100

Graph-4.8

Analysis: From the above table4.8 it is found that, 30 % of respondents have disagreed that
advises and suggestions are given to the employees during the appraisal process and 25% of them
have agreed and 7.5% of the respondents strongly agree and majority of the respondents i.e.
37.5% are in a neutral stage and none of them have disagreed for the above statement.

Interpretation: The above analysis exhibits that, employees are expecting many more
suggestions and advises, during the appraisal process that would be helpful for their career.

50
Table-4.9

The employees accept the appraisal feed back as.

S. No. Rating Scale No. Of %

respondents
1. Positive way 3 7.5
2. Uninteresting 15 37.5
3. Negative way 0 0
4. Neutral 10 25
Total 40 100

Graph-4.9:

Analysis: From the above table-4.9 it is found that, 50% of respondents have a
positive way regarding acceptance of the appraisal feed back. And 47.55 of them are in a
neutral opinion and 2.5% of the respondents feel it uninteresting on the above statement.
And none of them have a negative acceptance of this statement

Interpretation:

This analysis shows that, employees are not much interested in taking the appraisal feedback.

51
Table-4.10 The appraiser of the company should be.

S.No. Rating Scale No. of In%

respondents
1. Superior 13 32.5
2. HOD 25 62.5
3. Subordinate 1 2.5
4. Peer groups 1 2.5
Total 40 100
Graph-4.10

Analysis: From the above table-4.10 it is found mat, 62.5perecent of respondents feel
that their HOD should be their appraiser and 32.5% of them feel that their superior should
be the appraisal and 2.5% of the respondents feel that their subordinates and peer groups
should be the appraiser.

Interpretation: This states that, the appraiser should be the head of the department, the
employee feel that he is the right person to evaluate their performance.

52
Table-4.11

Employee need to be assessed as.

S.No. Rating Scale No. of In%

respond
1. Once in 3 months eents 8 20
2. Once in 6 months 11 27.5
3. Once in a year 21 52.5
Total 40 100

Graph-4.11

Analysis: From the above table-4.11 it is found that, 52.5% of respondents feel that their
appraisal system should be once in a year and 27.5% of the respondents feel that it should be
twice in a year (6 months) and where as 20% of the respondents feel that it should be for every 3
months.

Interpretation: Here, the employees felt that, they need to be assessed once in a year, as
they felt it is a right period of time to assess the performance.

53
Table-4.12

The performance appraisal followed in the organization makes the employees.

S.No Rating Scale No. of In%

Respondents
1 Motivating 38 95
2 De motivating 2 5

Graph-4.12

Analysis: From the above table-4.12 it is found that, 95% of respondents are motivated
towards performance appraisal followed in the organization and 5 % of the respondents
demotivates for the above statement.

So majority of the respondents i.e.. 95 % of the respondents have motivated towards the appraisal
system followed in the organization.

Interpretation: From the above study, employees felt performance appraisal system as a
motivating factor.

54
Table-4.13

Types of errors / problems have impact on performance rating in the Organization.

S. No Rating Scale No of In%

Respondents
1 Influence 9 22.5
2 Attitude 16 40
3 Biased 8 20
4 Personal Grudge 1 2.5
5 Subjectivity 5 12.5
6 Status Effect 1 2.5

Graph-4.13

Analysis: From the above table-4.13 it is observed that, appraisal system is rated by attitude
that is 40% and 22.5% of the respondents by influence and 20% by biased, 12.5% by subjectivity
and 2.5% by personal grudge and remaining 2.5% by status effect.

Interpretation: The employees opined that, attitude factor have a greater impact on the
performance appraisal system.

55
Table -4.14

Feedback on Performance is communicated after assessment of the Performance.

S.No Rating Scale No of In%

Respondents
1 Yes 19 47.5
2 No 21 52.5
Graph-4.14

Analysis: From the above table-4.14 it is found that, 52.5% of respondents disagree that feed
back on performance is communicated after assessment of the performance appraisal. And 47.5%
of the respondents agree for the above statement.

So majority of the respondents i.e. 52.5 % of the respondents have disagreed that the
feedback on performance is communicated after assessment of the performance appraisals.

Interpretation: Here, the some of the employees express their view that, the
performance feedback need not be communicated after the assessment, while some of them
felt that it is essential.

56
Table-4.15

Employees are aware of 360-degree appraisal.

S.No Rating Scale No of Respondents In%

1 Yes 11 27.5
2 No 29 72.5

Graph-4.15

Analysis:

From the above table-4.15 it is found that, 72.5% of respondents are aware of 360-
degree appraisal and 27.5% of die respondents are not known of 360-degree appraisal.

So majority of the respondents i.e.. 72.5 % of the respondents have agreed that they
were aware of 360 degree appraisal

Interpretation:

Here from the above study it is known that, the employees are not completely aware of 360-
degrees appraisal system.

57
SUMMARY

Human Resource Management (HRM) is the function within an organization that

focuses on recruitment of, management of, and providing direction for the people who work
in the organization. Human Resource Management can also be performed by line managers.

Human Resource Management is the organizational function that deals with

issues related to people such as compensation, hiring, performance management,
organization development, safety, wellness, benefits, employee motivation, communication,
administration, and training.

Performance appraisal refers to all the formal procedures used to evaluate an

individual, his contributions and potential. In other words, it is to plan and measure the
performance of an individual in terms of the requirement of the job or it is a process of
finding out how effective the organization has been at hiring and placing an employee.

Performance appraisal is a formal system of review and evaluation of individual or

team task performance. While evaluation of team performance is critical when teams exist in
an organization, the focus of performance appraisal in most firms remains on the individual
employees. Regardless of the emphasis, an effective appraisal evaluates accomplishments
and initiates plans for development, goals and objectives.

The mill initially started 1975 by SRI B.H VIJAYA KUMAR RAJU garu and had
tone into commercial production in 1978

The Krishna, Godavari delta known as the rice- bowl of Indian and more particularly
W.G.Dist comes under the well known networks of canal from the Godavari Anacut. Almost
all parts of the district have wet land. Cultivation with to paddy, crops per year since paddy
straw can be used to the 60% of the total raw material of Metal Alloys Corporation and as it
also is the most economical of all the available inputs, one could not have asked suitable
location.

58
 Other raw materials such as gunny waste , cotton lintels and waste paper are produced
easily from Rajahmundry, Vizag, Eluru, Vijayawada and Hyderabad in A.P. Since the
company as well connected by broad gauge railway lines, the factory as not in the past
experienced any problem in producing these raw material.

The Metal Alloys Corporation Limited was established as a public limited company on
23r may 1975. Late Sri BH.Vijay Kumar Raju and Andhra Pradesh Industrial development
corporation (APIDC) on 18th September 1975 promoted the Metal Alloys Corporation
Limited; the company started its commercial production on 7th April

1977.

The plant is located at Vendra, a village of Palakoderu mandal, in Andhra Pradesh.

The following reasons will explain for selecting the location.

• For bringing reputation to the native place of the founder.

• For creating employment to the rural youth.
• The availability of raw material is surrounding areas, water facilities, drainage
for disposal of effluents and its proximity to the broad gage railway line
connecting Chennai and Kolkata.
• The companies' main activity is to produce all varieties writing and printing paper. It
is mainly an agro-based industry. Its main raw material is paddy straw.
In 1976 ICICI along with IDBI, IFCI, LIC and UTI assisted the company for selling up

59
 FINDINGS

 More than half of the employees (72.5%) agree that Performance Appraisal is the
assessment of individual potential.
 Some of the employees (30%) neutral that Performance Appraisal system followed in
the organization is rational and fair.
 Some of the employees (25%) neutral that Job expectations are informed and the
superiors set the tasks.
 Most of the employees (67.5%) agree that Performance Appraisal followed in the
Organization helps to the Training and development needs of employee.

 Some of the employees (5%) disagrees that The Performance appraisal in the
organization helps to recognize the competence and potential of an individual
 Less than half of the employees (35%) disagrees that they are happy with the
assessment of performance followed in the organization.
 most of the employees (32.5%) neutral that they have been appraised fairly according
to the company's policies.
 Most of the employees (30%) disagrees that Advises and suggestions are given to the
employees during the appraisal process.
 Most of the employees (37.5%) uninterestingly accept the appraisal
feedback.
 Most of the employees (62.7%) feel that appraisal should be given by HOD.
 Most of the employees (52.5%) that they need to be assessed as once in a year.
 All most of the employees (95%) feels that the performance appraisal followed in the
organization makes the employees Motivated.
 Most of the employees (40%) think that attitude have impact on performance rating in
the Organization.
 Most of the employees (52.5%) do not agree that Performance is communicated after
assessment of the Performance.

60
 SUGGESTIONS

As per the study the following are the suggestions:

 The Performance Appraisal in the organization should be in a full fledge way so that

the others will be accepting this.

 As the Performance Appraisal is helpful to the employees by the assignment of

superiors task by training & development which should be more effective so that the

other employees will also be attracted.

 The Performance Appraisal should be assist effectively to the employees as it

recognizes the competence and potential of an individual.

 Employee’s appraisal should be fairly done according to the companies policies so

that it will assist the performance of the employees.

 The company should give some advises and suggestions to the employees during the

process and should get there feedbacks about the process.

 The employees should assess and appraised by their HOD once in a year.

 The employees should be aware of 360 degrees appraisal and the organization should

follow this to motivate the employees.

61
 CONCLUSION

■ The options required strong motivation to face the challenges.

■ Proper training and satisfaction at all levels will be the strongest foundation to

launch an assault on the challenges and convert the challenges to opportunities

through effective performance appraisal measures in the organization.

Industry most response like wise

 In future performance appraisal measures will have to be planned in relation to the

changes taking place.

 The performance measures leads exist both at fresh entry level as well as to

continuing education level for working personnel.

 An effective safety measures based on emerging trends suggests model for achieving

the targets which will make paper industry in India truly competitive.

62
 BIBLIOGRAPHY
Books:

 Donald L. Kirkpatrick, 2006, Improving Employee Performance through Appraisal

and Coaching.
 Richard Rudman, 2003, Performance Planning and Review.
 Roger E. Herman, 1997, The Process of excelling, oak Hill press.
 P. Subba Rao, 2006, Essentials of Human Resource Management and Industrial
Relations, Himalaya Publishing House.

Journals:

 Gitam Journal of Management.

 Journal of Occupational and Environmental medicine.
 Indian Journal of Social Work.
 Indian Journal of Human Resource.

www.deltapapermills.com
www.google.com

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 ANNEXURE

1. Is Performance Appraisal helps in the assessment of individual potential?

Strongly Agree Agree

Neutral Disagree

Strongly Disagree

2. Does the Performance Appraisal system followed in the organization is rational and
fair?

Strongly Agree Agree

Neutral Disagree

Strongly Disagree

3. Whether the Job expectations are informed and the superiors set the tasks?

Strongly Agree Agree

Neutral Disagree

Strongly Disagree

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4. Does the performance Appraisal followed in the organization helps to assess
the training and development needs of employee?

Strongly Agree Agree

Neutral Disagree

Strongly Disagree

5. Does the Performance appraisal in the organization helps to recognize the

competence and potential of an individual?

Strongly Agree Agree

Neutral Disagree

Strongly Disagree

6. Whether the employees happy with the assessment of Performance followed in the

organization?

Strongly Agree Agree

Neutral Disagree

Strongly Disagree

7. Does the Employees appraised fairly according to the company’s policies?

Strongly Agree Agree

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 Neutral Disagree

Strongly Disagree

8. Does the Advises and suggestions are given to the employees during the

appraisal process?

Strongly Agree Agree

Neutral Disagree

Strongly Disagree

9. How do the employees accept the appraisal feedback?

Positive way Negative way

Uninteresting Neutral

10. Who should be the appraiser?

Superior Subordinate

HOD Peer group

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11. How often should an employee be assessed?

Once in 3months

Once in 6months

Once in a year

12. How the performance appraisal followed in the organization?

Motivate

Denominative

13. What types of errors / problems have impact on performance rating in

the organization?

Influence Biased Subjectivity Status Effect

Attitude Personal Grudge

14. Whether the Feedback on performance communicated after assessment of the

Performance?

Yes No

15. Are you aware of 360-degree appraisal?

Yes No

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