A SUMMER TRAINING PROJECT REPORT ON

“ANALYZING PERFORMANCE APPRAISAL SYSTEM

IN

EARTH INFRASTRUCTURE LTD.”

FOR THE PARTIAL FULLFILLMENT OF POST GRADUATE

DEGREE OF MASTERS IN BUSINESS ADMINISTRATION

FROM KRISHNA INSTITUTE OF TECHNOLOGY,

KANPUR

SUBMITTED TO: - COMPANY GUIDE:-

MISS JYOTI SHUKLA RAJEEV LALWANI

(FACULTY GUIDE) (BRACHMANAGER)

SUBMITTED BY:-

Shalini dwivedi

MBA 3RD semester

Roll No=1335170052

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PREFACE

Managing human resources in today’s dynamic environment is becoming more and complex as well as important. Recognition of people as a valuable resource in the organization has led to increases trends in employee maintenance, job security, etc

My research project deals with “Performance Appraisal as carried out at EARTH INFRASTRUCTRE Ltd. In this report, I have studied & evaluated the performance appraisal process as it is carried out in the company.

The first section of my report deals with a detailed company profile. It includes the company’s history: its activities and operations, organizational structure, etc. This section attempts to give detailed information about the company and the nature of its functioning.

The second section deals with performance appraisal. In this section, I have given a brief conceptual explanation to performance appraisal. It contains the definitions, process and significance of performance appraisal.

In the third section of my report, I have conducted a research study to evaluate the process of performance appraisal at EARTH INFRASTRUCTURE Ltd. This section also contains my findings, conclusion, suggestions and feedback.

The fourth and final section of this report consists of extra information that I related to the main contents of the report. These annexure include some graphs and diagrams relating to the company, graphs relating to the study and important documents upon which the project is based.

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KNOWLEDGEMENT

World often fail to express inner feeling of and indene’s to one’s benefactors’ but then it is the only readily available medium through which the undersigned can express her sincere thanks to all those are associated with her work in one way of the other.

I feel it my profound privilege to express my most sincere gratitude and indebtedness to my project guide who were instrument in providing me direction, constant encouragement and cooperation in my attempt to take this project to this logical conclusion.

I heartily want to thank to ALL FACULITY OF MBA DEP… for having granted this wonderful opportunity to pursue my summer project at EARTH INFRASTRUCTURE properly guide me time to time regarding completion of my project report, and to all the respondents who featured in my survey but remain as nameless entities, I present a deep bow of gratitude. And also to all those who have been of help directly or indirectly but have not featured hare.

I also here by thanks to the director of KRISHNA INSTITUTE OF TECHNOLOGY who granted me this wonderful opportunity to do my summer training in EATRH INFRASTRUCTRE…

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EXECUTIVE SUMMARY

The history of performance appraisal is quite brief. Its roots in the early 20 th century can be traced to Taylor’s pioneering Time and Motion studies. But this is not very helpful, for the same may be said about everything in the field of modern human resources management. As a distinct and formal management procedure used in the evaluation of work performance, appraisal really dates from the time of the Second World War – not more than years ago.

In many organizations – but not all – appraisal results are used, either directly or indirectly, to help determine reward outcomes. That is, the appraisal results are used to identify the better performing employees who should get the majority of available merit pay increases, bonuses and promotions.

By the same token, appraisal results are used to identify the poorer performers who may require some form of counseling, or in extreme cases, demotion, dismissal or decreases in pay. (Organizations need to be aware of laws in their country that might restrict their capacity to dismiss employees or decrease pay.)

The purpose of this study has been to determine whether the performance appraisal was used for employee development and whether the appraisal was emphasized as an important part of the performance appraisal process. Also whether the performance appraisal helps in increasing company’s profitability.

Our study suggested that the performance appraisal has helped in increasing the profitability of EARTH INFRASTRUCTRE which was clearly shown by their performance enhancement. Certain loop holes has been determined and suggestions were made.

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TABLE OF CONTENTS

S.NO Title Page No

1 Introduction 1Company ProfileHuman Resources ManagementPerformance Appraisal

17

2 Rationale of the study 183 Performance 19

A. What is Performance?B. How is Performance managed?C. Understanding Performance Management?

4 Performance Appraisal 23Performance Management CycleMethods of Performance AppraisalPerformance Rating ProcessBenefits of Performance AppraisalErrors in Performance Appraisal Reasons to conduct Performance AppraisalPoints to be considered during Performance Appraisal

5 Roles in Performance Appraisal process 426 Performance Appraisal method adopted by EARTH INFRASTRUCTRE7 Research and survey 608 Objectives of the study9 Research Methodology 6410 Findings11 Performance Review and Development Plan 201212 Recommendations 9313 Conclusion 9514 Appendices 10015 Bibliography 101

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COMPANY PROFILE

About Earth Infrastructure Ltd

We are an independent infrastructure provider with committed customer base. Backed by a group of dynamic investors from India and Europe, Earth an infrastructure is one of India most well capitalized real estate Company. Strong financial support and engineering expertise makes us a quality infrastructure provider with global presence. The group is known in the realty fraternity for its professional might. Implementation of new technology and innovation has been its constant goal and this is evident in all its projects. All these practices policies, heritage, success and reputation are carried ahead by earth infrastructure ltd

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Its constant goal and this is evident in all its projects. All these practices policies, heritage, success and reputation are carried ahead by earth infrastructure ltd

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ABSTRACT

Human Resources (or personnel) management, in the sense of getting things done through people, is an essential part of every manager’s responsibility, but many organizations find it advantageous to establish a specialist division to provide an expert service dedicated to ensuring that the human resources function is performed efficiently.

“People are our most valuable asset” is a cliché, which no member of any senior management team would disagree with. Yet, the realities for many organizations are that their people remain undervalued, under trained and underutilized.

Performance Appraisal is the process of assessing the performance and progress of an employee or a group of employees on a given job and his/ their potential for future development. It consists of all formal procedures used in the working organizations to evaluate personalities, contribution and potential of employees.

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HUMAN RESOURCES MANAGEMENT

Human Resources (or personnel) management, in the sense of getting things done through people, is an essential part of every manager’s responsibility, but many organizations find it advantageous to establish a specialist division to provide an expert service dedicated to ensuring that the human resource function is performed efficiently.

“People are our most valuable asset” is a cliché, which no member of any senior management team would disagree with. Yet, the realities for many organizations are that their people remain undervalued, under trained and underutilized.

The market place for talented, skilled people is competitive and expensive. Taking on new staff can be disruptive to existing employees. Also, it takes time to develop ‘cultural awareness’, product/process/organization knowledge and experience for new staff members.

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FUNCTIONS OF HUMAN RESOURCE MANAGEMENT

Following are the various functions of Human Resources Management that are essential for the effective functioning of the organization:

1. Recruitment2. Selection3. Induction4. Performance Appraisal5. Training & Development

Recruitment

The process of recruitment begins after manpower requirements are determined in terms of quality through job analysis and quantity through forecasting and planning.

Selection

The selection is the process of ascertaining whether or not candidates possess the requisite qualification, training and experience required.

Induction

Induction is the technique by which a new employee is rehabilitated into the changed surroundings and introduced to the practices, policies and purpose of the organization.

Training

Training is concerned with imparting developing specific skills for a particular purpose. Training is the act of increasing the skills of an employee for doing a particular job. Training is the process of learning a sequence of programmed behavior.

In earlier practice, training programmed focused more on preparation for improved performance in particular job. Most of the trainees used to be from operative levels like mechanics, machines operators and other kinds of skilled workers. When the problems of supervision increased, the steps were taken to train supervisors for better supervision.

Development

Management development is all those activities and programmed when recognized and controlled have substantial influence in changing the capacity of the individual to perform his assignment better and in going so all likely to increase his potential for future assignments.

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1. PERFORMANCE APPRAISAL

Almost every organizations in one way or another goes through a periodic ritual, formally or informally, Known as performance appraisal. Performance appraisal has been called many things. The formal performance appraisal has been called a tool of management, a control process, an activity and a critical element in human resources allocation. Uses for performance appraisal have included equal employment opportunity considerations, promotions, transfer and salary increases. Primarily performance appraisal has been considered an overall system for controlling an organization. Performance appraisal has also been called an audit function of an organization regarding the performance of individuals, groups and entire divisions.

Performance appraisal may be defined as a structured formal interaction between a subordinate and supervisor, that usually takes the form of a periodic interview (annual or semi-annual), in which the work performance of the subordinate is examined and discussed, with a view to identifying weakness and strengths as well as opportunities for improvement and skills development

Almost every organization in one way or another goes through a periodic ritual, formally or informally, known as performance appraisal. Performance appraisal has been called many things. The formal performance appraisal has been called a tool of management, a control process, an activity and a critical element in human resources allocation. Uses for performance appraisal have included equal employment opportunity considerations, promotions, transfer and salary increases. Primarily performance appraisal has been considered an overall system for controlling an organization. Performance appraisal has also been called an audit function of an organization regarding the performance of individuals, groups and entire divisions.

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RATIONATE OF THE STUDY

In the business world investment is made in machinery, equipment and services. Quite naturally time and money is spent ensuring that they provide what their suppliers claim. In other words the performance is constantly appraised against the result expected.

When it comes to one of the most expensive resources companies invest in, namely people, the job appraising performance against results is often carried out with the same objectivity. Each individual has a role to play and management has to ensure that the individual’s objectives translate into overall corporate objectives of the company. Performance management includes the performance appraisal process which in turn helps identifying the training needs and provides a direction for career and succession planning.

Performance Appraisal is the important aspect in the organization to evaluate the employees’ performance. It helps in understanding the employees work culture, involvement, and satisfaction. It helps the organization in deciding employees’ promotion, transfer, incentives, and pay increase.

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WHAT IS PERFORMANCE?

Performance is synonymous with behavior it is what people actually do. Performance includes those actions that are relevant to the organizational growth and can be measured in terms of each individual’s proficiency (level of contribution). Effectiveness Performance refers to the evaluation of results of performance that is beyond the influence or control of the individual.

HOW IS PERFORMANCE MANAGED?

Good performance by the employees creates a culture of excellence, which benefits the organization in the long run. The activity includes evaluations of jobs and people both, managing gender bias, career planning, and devising methods of employee satisfaction etc. The efforts are to generate the individual’s aspirations with the objectives of the organization. Organization has to clear the way of career advancements for talented and hardworking people. Fear of any kind from the minds of the employees should be removed so that they give best to their organization. Allow free flow of information. Communication network should be designed in such a way no one should be allowed to become a hurdle. This enables the managers to take correct decisions and that too quickly.

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UNDERSTANDING PERFORMANCE MANAGEMENT

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PERFORMANCE

CORPORATE

DETERMINE INDIVIDUAL

ENSURE

PERFORMANCE

PERFORFANCE LINKED INCREMENTS

WHAT IS “PERFORMANCE APPRAISAL”?

Performance Appraisal is defined as the process of assessing the performance and progress of an employee or a group of employees on a given job and his / their potential for future development. It consists of all formal procedures used in working organization and potential of employees. According to Flipped, “Performance Appraisal is the systematic, periodic and an important rating of an employee’s excellence in matters pertaining to his present job and his potential for a better job.”

Characteristics

1. Performance Appraisal is a process2. It is the systematic examination of the strengths and weakness of employee in terms of job.3. It is scientific and objectives study. Formal procedures are used in the study.4. It is an ongoing and continuous process where in the evaluations are arranged periodically

according to a definite plan.5. The main purpose of Performance Appraisal is to secure information necessary for making

objective and correct decision an employee.

Limitations

1. Errors in Rating2. Lack of reliability3. Multiple objectives4. Lack of knowledge

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PERFORMANCE APPRAISAL APPLICATION CYCLE

The sections below describe the steps that must be taken within the Performance Appraisal Application Tool during each phase of cycle. Employees and their Rating official should understand the phases and action to be taken during the cycle so they know when they need to be involved.

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PLAN

MONITOR

DEVELOPRATE

REWARD

PHASE 1: Plan Performance

In the planning phase, you collaborate with your supervisor to develop three to six SMART performances within the PAACC. You and your supervisor should also discuss the six performance elements and how they relate to your overall performance. Remember performance objectives represent “what” you do and performance elements show “how” you do it. The following process flow identifies the steps to follow within the PAACC to develop your performance objectives.

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Employee OR rating Official creates the performance objectives

Employee and Rating Official discuss performance objectives

Rating Official Signs Reviewing Official signs

Employee

Acknowledges and

signs

Employee OR Rating Official initiates the performance plan

Phase 2: Manage Performance*

The managing phase consists of monitoring and developing your performance. During this phase, you should engage in frequent performance discussions with your supervisor and complete a self-assessment of your performance within the tool at the midnight appraisal period. Your supervisor will provide you with a formal midpoint review. The following process flow identifies the steps to follow within the PAAC to develop your midpoint review.

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Employee initiates

Employee assesses progress

Progress against performance objectives and assigns rating

Rating Official assesses progress against performance objectives and assigns rating

Employee and Rating

Official discuss

Progress to date

Rating Official Signs

Employee

Acknowledges and

signs

Phase 3: Evaluate Performance

During the evaluating phase, you compete a self-Report of Accomplishments and receive your Rating of Record. The following process flow identifies the steps to follow within the PAAC to develop your self-Report of accomplishments.

The following process flow identifies the step within the PAAC to develop your Rating of Record.

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Employee initiates

Employee assesses progress

Against performance objectives and assigns

Employee signs

Rating Official initiates

Rating Official assesses progress against performance objectives and assigns rating

Rating Official comments

Reviewing Official

comments

Rating Official signs

Reviewing Official signs

Performance Review Authority

(PRA) reviews

Rating Official informs

employee of their rating of

record

Employee acknowledges

and signs

METHODS OF PERFORMANCE APPRAISAL

Appraisal is a continuous process and done annually as a formal exercise before or after completion of the financial year. Appraisal has tremendous motivational impact on people through meaningful feedback and is a powerful tool for recognition. This project explains performance appraisal system and tries o find out how efficiently performance Appraisal is conducted. And if performance appraisal doesn’t meet its objective then, what are the factors causing failure.

The foregoing list of major program pitfalls represents a formidable challenge, even considering the available battery of appraisal techniques. But attempting to avoid these pitfalls by doing away with appraisal themselves is like trying to solve the problems of life by committing suicide. The more logical task is to identify those appraisal practices that are (a) most likely to achieve a particular objective and (b) least vulnerable to the obstacles already discussed.

Before relating the specific techniques to the goal of performance appraisal stated at the outset of the article, I shall briefly review each, taking them more or less in an order of increasing complexity.

The best-known techniques will be treated most briefly.

Essay appraisal

In its simplest form, this technique asks the rater to write a paragraph or more covering an individual’s strengths, weaknesses, potential, and so on. In most selection situations, particularly those involving professional, sales, or managerial positions, essay appraisal from former employers, teachers, or associates carry significant weight.

Graphic rating scale

This technique may not yield the depth of an essay appraisal, but it is more consistent and reliable. Typically, a graphic scale assesses a person on the quality and quantity of his work (is he outstanding, above average, or unsatisfactory?) and on a variety of other factors that vary with the job but usually include personal traits like reliability and cooperation. It may also include specific performance items like oral and written communication.

Field review

The field review is one of several techniques for doing this. A member of the personnel or central administrative staff meets with small groups of raters from each supervisory unit and goes over each employees rating with them to (a) identify areas of inter-rater disagreement, (b) help the group arrive at a consensus, and (c) determine that each rater conceives the standards similarly.

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Forced-choice rating

Like the field review, this technique was developed to reduce bias and establish objective standards of comparison between individuals, but it does not involve the intervention of a third party.

Management by objectives

To avoid, or to deal with, the feeling that they are being judged by unfairly high standards, employees in some organizations are being asked to set – or help set – their own performance goals. Within the past five or six year, MBO has become something of a fad and is so familiar to most managers that i will not dwell on it here.

Ranking methods

For comparative purpose, particularly when it is necessary to compare people who work for different supervisors, individual statements, ratings, or appraisal forms are not particularly useful. Instead, it is necessary to recognize that comparisons involve an overall subjective judgment to which a host of additional facts and impressions must somehow be added. There is no single form or way to do this.

The best approach to be a ranking technique involving pooled judgment.

The two most effective methods are alternation ranking and paired comparison ranking.

1. “Alternation ranking”:

Ranking of employees from best to worst on a trait or traits is another method for evaluating employees. Since it is usually easier to distinguish between the worst and the best employees than to rank them, an alteration ranking method is most popular. Here subordinates to be rated are listed and the names of those not well enough to rank are crossed. Then on a form as shown below, the employee who is highest on the characteristic being measured and the one who is the lowest are indicated. Then chose the next highest and the next lowest, alternating between highest and lowest until all the employees to be rated have been ranked.

2. “Paired-comparison ranking”:

This technique is probably just as accurate as alternation ranking and might be more so. But with large numbers of employees it becomes extremely time consuming and cumbersome.

Both ranking technique, particularly when combined with multiple rankings (i.e., when two or more people are asked to make independent rankings of the same work group and their lists are averaged), are among the best available for generating valid order-of-merit rankings for salary administration purposes.

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Assessment centers

So far, we have been talking about assessing past performance. What about the assessment of future performance or potential?

Company placement decision and even more so in promotion decisions, some promotion of future performance is necessary. How can this kind of prediction be made most validity and most fairly?

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360 Degree Appraisal

Many firms have explained the idea of upward feedback into what the call 360-degree feedback. The feedback is generally used for training and development, rather than for pay increases.

Most 360 Degree Feedback system contains several common features. Appropriate parties - peers, supervisors, subordinates and customers, for instance – complete survey, questionnaires on an individual. 360 degree feedback is also known as the multi-rater feedback, where by ratings are not given just by the next manager up in the organizational hierarchy, but also by peers and subordinates. Appropriates customer ratings are also included, along with the elements of self appraisal. Once gathered in, the assessment from the various quarters are compared with one another and the results communicated to the manager concerned.

Another technique that is useful for coaching purposes is of course, MBO. Like the critical incident methods, it focuses on actual behavior and actual results, which can be discussed objectively and constructively, with little or no need for a supervisor to “play God.”

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Advantages

Instead of assuming traits, the MBO method concentrates on actual outcomes. If the employee meets or exceeds the set objectives, then he or she has demonstrated an acceptable level of job performance. Employees are judged according to real outcomes, and not on their potential for success, or on someone’s subjective option of their abilities.

The guiding principle of the MBO approach is that direct results can be observed easily. The MBO recognizes the fact that it is difficult to neatly dissect all the complex and varied elements that go to make up employees performance.

MBO advocates claims that the performance of employees cannot be broken up into so many constituent parts, but to put all the parts together and the performance may be directly observed and measured.

Disadvantages

This approach can lead to unrealistic expectations about what can and cannot be reasonably accomplished. Supervisors and subordinates must have very good “reality checking” skills to use MBO appraisal methods. They will need these skills during the initial stage of objective setting, and for the purposes of self-auditing and self-monitoring.

Variable objectives may cause employee confusion. It is also possible that fluid objectives may be distorted to disguise or justify failures in performance.

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Performance Rating process

EXCEPTIONAL CONTRIBUTOR

1. Performs consistently and substantially above expectation in all areas.

2. Achieves a final score greater than or equal to 115%.

3. Consistently delivers on stretch targets.

4. Is proactive.

5. Spots and anticipates problems, Implements solutions.

6. Sees and exploits opportunities.

7. Delivers ahead of time.

8. Sees the wider picture-impacts across business.

9. Focuses on what’s good for the business.

10. Seen as role model by others.

11. Recognized as exceptional by other functions as well.

12. Motivates others to solve problems.

13. Develops others.

14. Provides open and honest feedback.

15. Able to establish and lead cross-functional teams.

SIGNIFICANT CONTRIBUTOR

1. Performs above expectations in all areas.

2. Achieves final score between 100-114%.

3. Versatile in his/ her area of operation.

4. Develops creative solutions and require little / minimal supervision.

5. Sets examples for others.

6. Take ownership of own development.

7. Coachers others.

8. Demonstrates business initiatives.

9. Is self motivated.

10. Supportive team player.

11. Leads own team very effectively.

12. Demonstrate functional initiative.

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BENEFITS OF PERFORFANCE APPRAISAL

1. Measures an employee’s performance.2. Help in clarifying, defining, redefining priorities and objectives.3. Motivates the employee through achievement of training needs.4. Facilitates assessment and agreement of training needs.5. Helps in identification of personal strengths and weaknesses.6. Plays an important role in personal career and succession planning.7. Clarifies team roles and facilitates team building.8. Plays major role in organizational training needs assessment and analysis.9. Improves understanding and relationship between the employee and the reporting manager

and also helps in resolving confusion and misunderstandings.10. Plays an important tool for communicating the organization’s philosophies, values, aims,

strategies, priorities, etc among its employees.11. Helps in counseling and feedback.12. Rating Errors in Performance Appraisals.13. Performance appraisals are subject to a wide variety of inaccuracies and biases referred to as

‘rating errors’. These errors can seriously affect assessment results. Some of the most common rating errors are:-

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ERRORS OF PERFORMANCE APPRAISAL

Leniency or severity: - Leniency or severity on the part of the rater makes the assessment subjective. Subjective assessment defeats the very purpose of performance appraisal. Ratings are lenient for the following reason:

a) The rater may feel that anyone under his or her jurisdiction who is rated unfavorably will reflect poorly on his or her own worthiness.

b) He may fell that a derogatory rating will be revealed to the rate to determent the relations between the rater and the rate.

c) He may rate leniently in order to win promotions for the subordinates and therefore, indirectly increase his/her hold over him.

Central tendency: - This occurs when employees are incorrectly rated near the average or middle of the scale. The attitude of the rater is to play safe. This safe playing attitude stems from certain doubts and anxieties, which the raters have been assessing the rates.

Halo error: - A halo error takes place when one aspect of an individual’s performance influences the evaluation of the entire performance of the individual. The halo error occurs when an employee who works late constantly might be rated high on productivity and quality of output as well as on motivation. Similarly, an attractive or popular personality might be given a high overall rating. Rating employees separately on each of the performance measures and encouraging raters to guard against the halo effect are the two ways to reduce the halo effect.

Rater effect: - This includes favoritism, stereotyping, and hostility. Extensively high or low score are given only to certain individuals or groups based on the rater’s attitude towards them and not on actual outcomes or behaviors; sex, age, race and friendship biases are examples of this type of error.

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Primacy and Regency effects: - The rater’s rating is heavily influenced either by behavior exhibited by the rate during his early stage of the review period (primacy) or by the outcomes, or behavior exhibited by the rate near the end of the review period (regency). For example, if a sales person captures an important contract/sale just before the completion of the appraisal, the timing of the incident may inflate his or her standing, even though the overall performance of the sales person may not have been encouraging. One way of guarding against such an error is to ask the rater to composite performance of the rate and not to be influenced by one incident or am achievement.

Performance dimension order: - Two or more dimensions on a performance instruments follow each other and both describe or rotate to a similar quality. The rater rates the first dimensions accurately and then rates the second dimension to the first because of the proximity. If the dimensions had been arranged in a significantly different order, the ratings might have been different.

Spillover effect: - This refers lo allowing past performance appraisal rating lo unjustifiably influence current rating. Past rating, good or bad, result in similar rating for current period although the demonstrated behavior does not deserve the rating, good or bad.

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REASONS TO CONDUCT PERFORMANCE APPRAISAL

Today’s working climate demands a great deal of commitment and effort from employees, who in turns naturally expect a great deal more from their employers. Performance appraisal is designed to maximize effectiveness by bringing participation to more individual level in that it provides a forum for consultation about standards of work, potential, aspirations and concerns. It is an opportunity for employees to have significantly greater influence upon the quality of their working lives. In these times of emphasis on “quality”, there is a natural equation: better quality goods and services from employees who enjoy better quality “goods and services” from their employers.

Performance appraisal must be seen as an intrinsic part of a manager’s responsibility and not an unwelcome and time-consuming addition to them. It is about improving performance and ultimate effectiveness.

Performance appraisal is a systematic means of ensuring that managers and their staff meet regularly to discuss post and present performance issues and to agree what future is appropriate on both sides.

This meeting should be based on clear and mutual understanding of the job in question and the standards and outcomes, which are a part of it. In normal circumstances, employees should be appraised by their immediate managers on one to one basis. Often the distinction between performance and appraising is not made. Assessment concerns itself only with the past and the present. The staff is being appraised when they are encouraged to look ahead to improve effectiveness, utilize strengths, redress weakness and examine how potentials and aspirations should match up.

It should also be understood that pushing a previously prepared across and desk cursorily inviting comments, and expecting it to be neatly signed by the employee is not appraisal – this is merely a form filling exercise which achieves little in terms of giving staff any positive guidance and motivation.

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POINTS TO BE CONSIDERED DURING PERFORMANCE APPRAISAL

1. Quality of work

. Consider accuracy, thoroughness, effectiveness.

. Pressure, ability to meet standards of quality.

. Use of time and volume of work accomplished.

. Work output matches the expectations established.

2. Quantity of work

. Competence, thoroughness, and efficiency of work regardless of volume.

. Neatness and accuracy

3. Teamwork:

. Establish and maintain effective working relationship with other.

. Shares information and resources with other.

. Follows instructions of supervisor and respond to requests from others the team in a helpful manner.. Contributing work and effort to group performance to meet agreed upon objectives and achieve team success.

4. Job Knowledge:

. Application of appropriate level of technical and procedural knowledge in specific field.

. Degree of technical competence

. Understanding of job procedures, methods, facts and information related to assignments.

. Perform duties with minimal supervision but seek guidance where and when appropriate to job, consults the appropriate staff.

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5. Initiative

. Consider the extent to which the employee sets own constructive work practices under commends and creates own procedures.. Self-starter, develop and implement new methods, procedures, solution, concepts, designs and/or applications of existing designs or procedures.. Accept additional challenges and responsibilities and willingly assist others, self-reliant.. Completes assignment on time.

6. Interpersonal relations

. Consider the extent to which the employee is cooperative, considerate, and tactful in dealing with supervisors, subordinates, peers, faculty, students and others.

7. Health and safety compliance

. The degree to which he or she complies with or over sees the compliance with university safety rules.. The following are also to be completed for supervisory personnel and members of the administrative staff.

8. Communications abilities

Performance appraisal of communications includes elements as:

. Ability to listen and understand information;

. Presents information in a clear and concise manner.

. Knows appropriate way of communicating with immediate superiors and the management.

. Demonstrates respect for all individuals in all forms of communication.

. Regardless of their background or culture;

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9. Planning and organizing:

. Adapting to changes and using resources effectively;

. Maintains confidentiality as appropriate.

. Setting objectives, establishing priorities, developing plans;

. Arranging work schedules and prioritizing work to meet deadlines.

. Know when to ask for clarification before proceeding on a work project.

10. Problem analysis and decisions making

. Anticipating problems and facilitate problem resolution.

. Willingness to make necessary and immediate decisions given incomplete information.

. Understandings practical and workable solutions.

. Recognizing when a decision is necessary, asking for input, making decisions and providing information and feedback in timely manner.

11. Staff development

. The extent to which the individual provides guidance and opportunities to his or her staff for their development and advancement in the university.

12. Dependability

Performance appraisal of dependability includes elements as:

. Starts work at appropriate time. . Respects time allowed for breaks and lunch. . Follows policies for requesting and reporting time off. . Helps ensure work duties are covered when absent. . Consider the extent to which the employee completes assignments on time and carries out instruction. . Employee’s presence can be relied upon for planning purpose. . Attendance and punctuality meets supervisor’s requirements.

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THE APPRAISAL OF PERFORMANCE SHOULD BE GEARED TO:

. Improving the ability of the jobholder;

. Identifying obstacles which are restricting performance

. A greeting a plan of action, that will lead to improved performance.

It is widely accepted that the most important factor in organization effectiveness is the effectiveness is the effectiveness of the individuals who make up the organization. If every individual in the organization becomes more effective, then the organization itself will become more effective. The task of reviewing situations and improving individual performance must therefore be a key task for all managers.

For appraisal to be effective, which means producing results for the company, each manager has to develop and apply the skills of appraisal.

These are:-

Setting standards on the performance required, which will contribute to the achievement of specific objectives

Monitoring performance in a cost –effective manner, to ensure that previously agreed performance standards are actually being achieved on an ongoing basis.

Analyzing any differences between the actual performance and the required performance to establish the real cause of a shortfall rather than assume the fault to be in the job holder.

Interviewing having a discussion with the job holder to verify the true cause of a shortfall, a developing a plan of action, which will provide the performance, required

Appraisal can then become a way of life, not concerned simply with the regulation of rewards and the identification of potential, but concerned with improving the performance of the company. The benefits of appraisal in these terms are immediate and accrue to the appraising manager, the subordinate manager/employee, and to the company as a whole.

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ROLES IN THE PERFORMANCE APPRAISAL PROCESS

a) Reporting Manager Provide feedback to the reviewer / HOD on the employees’ behavioral traits indicated in the PMS Policy Manual.Ensures that employee is aware of the normalization / performance appraisal process.Address employee concerns / queries on performance rating, in consultation with the review.

b) Reviewer (Reporting Manager’s Reporting Manager) Discuss with the reporting managers on the behavioral traits of all the employees for whom he / she is the reviewerWhere required, independently assess employees for the said behavioral traits; such assessments might require collecting data directly from other relevant employees

c) HOD (In some cases, a reviewer may not be a HOD) Presents the proposed Performance rating for every employee of his / her function to the Normalization committee.HOD also plays the role of a normalization committee memberOwns the performance rating of every employee in the department

d) HR Head Secretary to the normalization committee Assists HOD’s / Reporting Managers in communicating the performance rating of all the employees

Normalization CommitteeDecides on the final bell curve for each function in the respective Business Unit / CircleReviews the performance ratings proposed by the HOD’s, specifically on the upward / downward shift in ratings, to ensure an unbiased relative ranking of employees on overall performance, and thus finalize the performance rating of each employee…

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Performance Appraisal system adopted by(360 Degree Appraisal system)

Traditionally, performance appraisal was just limited to two main person involved in the feedback process – namely the supervisor and the employee. The top-down approach, the usual performance appraisal jamboree in corporate, is conducted where the supervisor and the employee discuss one-to-one on broad swath of issues pertaining to the latter’s performance out comes. This traditional approach, involving supervisor and employee, is riddled with the problems of subjectivity, biases and halo effect. The traditional top-down approach predicated on single source of feedback (i.e., supervisor) suffers on account of limited knowledge and inaccurate view of the not-so-competent supervisor. Many a time, supervisor also try to avert being on collision course with the subordinates and may obscure the picture by giving inputs that may be entirely untrue. Since supervisors are far removed from the flow of work, they may find it tough to give feedback hinged on actual observation. Even if the supervisor intends to give a positive criticism he may still hold himself in the tracks for want of actual incident to buttress his opinion.

Half the time an individual does not a real picture and gains an actual glimpse into the kind of person one is. An employee’s ability to identify core strengths and quelling weaknesses gets irredeemably impaired. The information asymmetry about our competencies, skills and performance related outcomes strait jackets the development, stultifies the growth and limits the perspectives. The Question that begs an answer is: is there a way forward? Is there a feedback approach where the inputs about an individual’s performance can be sourced from multiple – levels? Will it be possible for the individual to get feedback about his/her managerial and behavioral dimension from multiple sources? The answer to all these questions are deafeningly loud and crystal clear – 360-degree feedback holds the key. In today’s competitive environment, gathering information from all directions to assess one’s standing has become an urgent imperative and compelling necessity. In addition to this, the cooperate culture is on the cusp of profound evolution. There is an increased thrust on team work and delivering a world-class customer service. Employees development needs has become the byword among businesses. In a highly commoditized job market, companies are using everything at the command to attract and retain the best talent. Businesses are helping employees to replenish their skills to stay relevant in the evolving times. Companies are looking to ways and means to optimize and measure employees and company’s performance. The trajectory of these developments has shifted the focus from single – source feedback system to multiple – source feedback system.

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What is 360 degree feed back?

360-degree feedback has taken on the “buzz” status not only in cooperate America but also in India. 360-degree feedback is being touted as a major organization change and leadership developmental tools in recent past. This sudden flurry of interest in 360-degree approach can be ascribed to the current thinking among the corporate honchos that this feedback provides a more conductive environment for continuous learning and the inputs for employees to enhance their performance.

According to a leading HR consultant, 40% of the American Companies used 360 degree feed back in 1995. This percentage is likely to surge to 65% in 2000. American society for training and development reviewed the training practices of more than 750 firms. Out of 750 firms, 55 firms relied heavily on 360 degree feedback for individual development plans and annual performance review. A recent study done in 2006 suggests that an over whelming 90% of fortune 500 companies have joined the “360 degree feedback” bandwagon.

Though 360 degree is hailed as the greatest leadership development tools by western countries, it is yet to make much headway in India. Indian corporate are tad bit slow off the block to embrace 360-degree appraisal system. The reasons are not far to seek. Indian business houses are markedly reluctant to embrace the system for fear of tinkering with traditional hierarchical structures. Nevertheless, top-notch companies like Wipro, Infosys. Maruti are few of them who have gone 360 degree way and make success of it. 360 performance is an extremely formalized process, where an individual or leaner or subject receives feedback from multiple individuals fall in the remit of competencies, behavior and performance out comes. The raters, among others include individual boss, direct reports, colleagues, internal and external customers and suppliers. The subject will also carry out a self-assessment, which will be included in the appraisal.

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The rationale behind involving multiple individuals in the appraisal process

360 degree offers an unprecedented opportunity to the employees than the traditional top- down approach could ever offer, providing as it does, the feedback from the broad swath of people. The purposes of having multiple individuals in the appraisal process differ. Notwithstanding all the negatives associated with supervisor feedback, supervisor is well – poised to conduct a very comprehensive performance appraisal of the subject or an individual. Supervisor has a better understanding of the work requirements of the individual. He can also take a call on matters relating to any changes to be effected in the job requirements. Supervisor can also re-schedule and re-allocate the individuals work as the situation warrants. On the flip side, excessive reliance on supervisor’s feedback is not advisable. Besides supervisor should be able to measure the entire critical incident involved in employee’s job performance so as to make a dispassionate assessment. Supervisors need to be sensitized as to how to conduct this 3600 degree process. Many a time the performance appraisal system fall by the way side as the supervisor have no clue what so ever to conduct the appraisals.

Secondly with traditional hierarchies giving way to flat and lean one, as well as the increased use of teams in the organizations, peer valuation has come to stay. Peers can provide a distinctive take on co-workers good performance or the lack of it for the reason that the behavior of co-workers good performance or the lack of it for the reason that the behavior of co-workers will have a immediate bearing on the work environment. Besides employees may be amenable to idea of appraising each other’s performance.

In this day and age, where the self – directed teams are gaining currency in the organizations, the role of peer appraisal has become the core of formal appraisal system. This is not to say that the peer appraisal is not without its share of pitfalls. In a competitive milieu, peer ratings can raise tension levels and cause a bad blood amongst employees. Co-operation and mutual support will become a catastrophe. Any attempt to tie peer appraisal to pay or promotional decision can have disastrous consequences for the company.

Thirdly sub-ordinates have a distinct perspective to offer in this appraisal exercise. A sub ordinate feedback can help the supervisor gain insights into employee needs and concerns A sub-ordinate feedback will also go a long way in assessing the supervisors interpersonal skills. Sub-ordinate feedback is not free from negatives. In the event of any Sub-ordinate providing feedback about the superior, the whole exercise should be shrouded in anonymity. Fearing with-hunt and backlash sub-ordinates may prefer the line of least resistance and will give a dishonest feedback. If there are less than 5 sub-ordinates in the rating pool, supervisor can really track the sub-ordinates down and go on the witch – hunting. The concept of sub-ordinates actually evaluating the performance is too frightening a concept for the supervisor. Supervisors may perceive it as an attempt to severely undermine their authority. The very fact that sub-ordinates will be chipping away at their “authoritative silos” is bit tough to chew for the supervisors.

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Fourthly Customers will be happy to find their voice resonating in the appraisal process. The customer feedback can supplement the feedback provided by other constituents. On the flip side, customer feedback should be taken into consideration to evaluate group or organizational performance. The feedback should not be considered for evaluating individual performance outcomes. They have a limited understanding of the work processes and a policy frame works which places immense constraints on the employees. Customers, at best are well poised to evaluate the quality of products or services.

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Advantages of 360 degree feed back

360 degree feed back if, implemented properly will bestow many benefits up on the organization.

* Feedback that emanates from various source, leaves little room for any discrimination or bias. In appraisal exercises any discriminative slant of the supervisor can be nullified if the multi – source feedback shows that the supervisor input is not in conjunction with that of co-workers and customers and other constituents.

* Feedback originating from multi source can give a glimpse in to individuals performance improvement needs.

* Enhanced cohesion in the team, better communication and improved productivity levels are the positive fall out of implementing 360 degree feedback.

* Front line employees can hone their customer skills to near perfection owing to the feedback of the customers. This may enhance the customer service levels.

* Subordinates, derive enormous sense of importance and empowerment when asked to provide feedback about their superiors.

* Decisions making percolates down to the lowest and lowest echelons of an organization, making it truly participative.

* Fosters a very open culture when giving and receiving feedback is common place.

* 360 degree helps the organization to zero in on and leverage the overall strengths.

* Increased focus on internal customer satisfaction.

* Brings in more objectivity to the appraisal process and complements the traditional appraisal system

* 360 feedback is an effective tool for identifying development needs.

360 degree can work wonders if it is properly implemented in organization. For 360 degree to work the organization climate should be supportive. In a wrong environment if 360 degree is implemented without providing training to the raters to enable them handle the process effectively, it can have a deleterious effect on the well-being of the organization. If 360 degree is tied to the strategic initiatives of the organization, it may have a winning process on their hands.

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Articles related to 360 Appraisal systems

Understanding 360-degrees

The 360-degree feedback process reduces bias but is not free of pitfalls. That’s why it has to be used judiciously

360-degree appaisal, which are a widespread phenomenon in most IT organization, are hailed as great development tools by many experts. However, an equal number of people pan it as a process that leaves nothing but bad blood in the company. The 360-degrees feedback takes into account what a professional’s superiors, peers, juniors and customers think of him. The aim is to find the gap between one’s own appraisal and the perceptions of others. This will in turn enable a professional to analyse his strengths and shortcomings, and accordingly improve his performance. While it is true that the system serves as an excellent process since it reduces bias, it is not always successful. It is necessary to creat the right culture in the company before introducing the system. If many people are unhappy or their morale is low, the situation can turn disastrous as some staffers will become obvious targets.

360-degree appraisal are beneficial for small and mid-sized organizations, but where the employee strength is large logistics could act a deterrent in evaluating the employees. In such cases, many large organizations conduct the feedback on a section of the top-rung managers. “In most 360-degree feedback processes, key competencies are identified and statements are framed focussing on these. The statements are focussed on 10-12 competencies but can range from 45-75. The individual employee will then provide feedback to himself as well as get feedback from others,” explains Varda Pendse, Director, Cerebrus Consultants.

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“ In most 360-degree processes, the key competencies are identified and statement are framed focussing on them”

- Varda Pendse Director Cerebrus Consultants

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Why appraisal is difficult

Giving effective appraisals is a difficult task. Unless everyone participating in a 360-degree programmed is trained in the art of giving and receiving feedback, the process can lead to uncertainty and conflict among team member.

There may be a gap between an organization’s business objectives and what 360-degree feedback programmed measure. Typical 360-degree feedback programmers assess competencies that are not directly related to business results, or are so broad that they aren’t relevant employee. (Synge uses 360-degree feedback to reinforce the company’s core values).

The time and cost associated with 360-degree feedback also are stumbling blocks. By trying to capture every nuance of worker’s performance, many 360-degree programmers have become so complex that they require a greater investment in time and money than they can return.

Reviewers and those being reviewed fail to follow-up after feedback. When there are no consequences for poor performance-which is often the case with 360-degree reviews-performance does not change. (The results of Synge’s 360-degree reviews are used to determine a major part of an employee’s quarterly bonus, so employees take the review process seriously).

Right reasons

It is necessary that 360-degree be introduced in the company for the right reasons (developmental purposes). MilindJadhav, senior Vice-President and Head, HR, Patni, agrees that many a time organisations introduce such processes since they believe they are getting popular or because they have read about then in the Harvard Business Review. “Organisations need to ask themselves certain questions. What is it that we are looking for? Is this appraisal just for a salary change or other developments? If it is only for the first reason then the answer is certainly ‘no,’ but if it is the second then any appraisal benefits,” asserts jadhav. Patni has 11,000 employees, and only the top 200 managers are appraised through the 360-degree programmed. At least 10 people are involved in each appraisal, which means that almost 2,000 people get covered.

This appraisal system has more to do with understanding, communicating and articulating in the right way; it is what ensures the success of the programmed. “If it is not articulated well-enough, different people will see it differently. For instance, people in leadership may view things in a different manner from subordinates or peer. It is necessary to have some kind of common understandings,” points out Jadhav. Lack of this understanding will spoil relations, create negativism, and have a dampening impact on team morale and productivity.

Confidentiality vital

Confidentiality is the key when it comes to feedback from peers and direct reports. It can often backfire if the right culture does not exist in the organisation. “I believe that the only people who have benefited from the 360-degree appraisal are the software vendors who sell the system. In my organisation I have seen how it has led to a lot of negativity and hard feelings,” says the operations head of a mid-sized IT organisation on the condition of anonymity.

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Adds Ed Steinberg, Vice-President, HR, Synge, “A 360-degree feedback programmed is doomed if HR is its only champion. It needs buy-in from senior management as well. Companies should also train people in giving and receiving feedback. Organisations that implement 360-degree feedback without first checking and developing their managers’ feedback skills serious damage to teamwork and morale.”

He points out that to provide constructive feedback, people need training and practice. According to him, the gains will outweigh the high costs of the training as the feedback delivered to participants becomes focused, targeting the behaviors associated with value creation and destruction, “ultimately, the goal should be to create a culture in which individuals feel comfortable giving and receiving feedback-both positive and negative-on a real-time basis rather than waiting for an annual review,” adds Steinberg.

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“The 360-Degree evaluations can act as an early warning for

potential problems”

-Ed Steinberg

Vice-President, HR Synge

Pendse believes that the process of collecting the 360-degree feedback determines to a large extent whether employees give vent to their feelings. “If open-ended, then the questions are left open for individual interpretation and the answers vary depending on each individual’s experiences. However, in a successful process, statements depicting specific behavioral indicators are given and respondents choose the option that is closest to the behavior of the employee. It is difficult for an employee to be only negative or positive since the statements are specific and focused. The exceptions are few and rare,” she adds.

Feedback should be specific, and it should induce action. At Synge, people are trained to give specific examples in their evaluations, e.g. “Staying late to finish the xyz project was a great example of your sense of ownership.” Steinberg reminds that the deeper the insight into an employee’s performance, the more likely he or she will understand what areas need to be improved-and how. The assessments should be given and received with a sense of professionalism.

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Key factors for 360-degree feedback

* Positioning of the process Employees should be made aware that it is a tool to assess an employee’s leadership competencies.

* Building transparency in the process It is important that all who are involved in 360-degrees-the employees and respondents-are educated about the process and its usage. The peers and direct reports should be made comfortable by promising confidentiality of the feedback. Another important aspect is that the respondent nomination must be done by the employees themselves.

* Helping the employee to understand the feedbackThe 360-degree feedback process will not be impactful and effective unless efforts are made to help the individual employee interpret the results. Many organisations identify of professional counselor who works along with the employee to understand the result and except the feedback.

* Preparing the development planAn employee must prepare a development plan which will need to be monitored and reviewed. Most companies at this stage involve the manager of the employee to ensure that there is by-in of the development plan, and that the employee also has internal organisations support. The development plan should be include aspects such as training, job rotation, additional assignment or agreement by the employee that he will change any undesirable behavior that he demonstrated. Most development plan requires 75% initiative by the employee and 25% by the company.

* Mentorship and coaching supportProviding support either through or internal resource or by outsourcing to an external expert. The expert acts as a friend, philosopher and guide to the individual employee. The employee can go to this expert to discuss whatever he may be embarrassed to discuss with anyone else, or may not know how to deal with.

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Use of the data

And how is the data generated by a 360-degree appraisal useful? Apart from providing employees with feedback on their job performance and work habits-as viewed by their managers, peers and subordinates-it provides another perspective on an employee’s performance to the management. States Steinberg. “Co-workers are often the first to realize that there is a performance problem with a team member, so the 360-degree evaluations can act as an early warning for potential problems. It is necessary to formulate an action plan for each employee, and companies should identify and institute rewards and consequences for individuals related to the outcome of their action plan.”

360-degree is an effective way of understanding the management style in an organisation, and how well it can adapt to change. According to Jadhav, the following factors are necessary: “First, the appraisal should be done by an external agency. Second, the system in place should be able to capture and crunch data. And finally, organisations should engage counselors to train people before appraisal.”

Multi-rater feedback like that of the 360-degree appraisal system is useful from the development point of view. People however need to see that there is action tied to it-that their effort has brought about change in the organisation and improved productivity.

When implement 360* Appraisal system?

Is your organisation ready for 360-degree appraisal?

Vinita Gupta finds out the right time and process for implementing the 360-degree appraisal system.

Appraisal is a development process and also a tool for salary increment or at time punishment (if the appraisal is not good). It is a mechanism using which organization strives to achieve complete development of an individual. Therefore, the organization should make sure that the appraisal process is transparent and bias free to make sure that no justice is done.

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In an IT organization, employees are the biggest asset and hence the 360-degree appraisal system is a widespread phenomenon and is applauded as a great development tool by many experts. 360-degree appraisals are founded on the idea that any employee’s performance is seen by many others-the manager, peers, direct reports, customers, etc.

Evaluation is done combining the feedback received from many people who see different parts of an employee’s performance. Also known as multi-perspective and peer-to-peer feedback, managers, supervisors and employees have found it to be effective in improving their performance.

Right culture is essential

“There should be at least four to six peer level responses and six to ten direct reports responses to be able to implement the process”

-Naresh ShahMD, IDC, BangaloreNovell

Many organizations always speculate on when is the right time to start implementing the 360-degree appraisal system. Any time is perfect; the more important thing is doing it right the first time. If organizations have the scale and size to implement it while preserving the anonymity of the participants, it should consider the same.

Naresh Shah, Managing Director, India Development Center (IDC) in Bangalore, Novell feels that for this kind of an appraisal system, there should be at least four to six peer-level responses and six to ten direct-report responses to be able to implement the process.

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Vikram Shah, President India Operations, NetApp points out that appraisal should not be looked at only from point of view. A good amount of emphasis should be laid on the process too. A matured organization will always take into account the process involved to derive complete learning out of the appraisal for the employee and the organization.

NetApp deploys a development tool based on research done from studying a 360 assessment of 200,000 employees from different industries. This study and subsequent tool was developed by an external agency.

“While it is true that this system serves as an excellent purpose since it reduces biases, however it may not always be successful. Hence it is necessary to create the right culture in the company before introducing the system. If many people at that time in the organization are unhappy or their morale is low the situation can backfire,” says Chetan Shah, Managing Director, and Synge India.

Encourages teamwork

In today’s global world, no objective or a result is delivered individually. Any endeavor towards the achievement of goal Primarily affects and involves team work. The biggest advantageOf 360-degree appraisal is that it creates accountability at all levels.If you know that you will be evaluated by peers and subordinates,It ensures a working culture that respects and encourages team-work. If done properly, the 360-degree appraisal programmed can be a very positive experience for an employee.

Chetan Shah believes that a 360-degree review provides employees with valuable feedback on their job performance and their workHabits, as viewed by their managers, co-workers, and subordinates.From a management perspective, it also provides another perspective on an employee’s performance.

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”A matured organization will always take into account the process involved to derive complete learning out of the appraisal for the employee and the company”

-Vikram ShahPresident India operation NetApp

”While this system serves as an excellent process since it reduces biases, but it is necessary to create the right culture in the company before introducing it”

-Chetan shahMDSynge India

He adds, “Most of the times, it is the co-workers who are the first to realize that there is a performance problem with a team member, so the 360-degree evaluation can help to find that out. In addition, it provides good data about managers too. If you review their evaluations, it will point to the strengths and weakness as perceived by their subordinates/peers.” Synge has a 360-degree appraisal system for all the 500 global employees, including the top management.

Logical CMG’s Global Service Delivery center in India too follows this appraisal system. Prabodh Sirur, the Staff Operation Manager at the center feels that 360-degree appraisal is an effective way of understanding the operational style of the individual being appraised. It is however not a measure of the overall management style. These appraisals are meant for change, to help individuals leverage their strengths and work on their weaknesses. It also helps an organization map its training and development activities for an individual based on feedback. Sirur adds, “360-degree evaluations can act as an early warning for potential problems as when someone gets consistent poor rating from many people, we identify this as a case where training/hand-holding is required for the person.”

This appraisal helps team member learn to work more effectively together. Teams know more about how team members are performing than their supervisor. The feedback makes team members more accountable to each other as they share the knowledge and inputs provided on each member’s performance. A well-planned process can improve communication and team development, believes Naresh Shah.

But for starter, giving effective appraisal is a difficult task. The main disadvantage is misusing of such a system. If co-workers or subordinates are using this system to get back at other co-workers, it will defeat the purpose. Also, if not done in the right way, it could lead to conflict amongst team members.

”It acts as an early arcing-when someone gets consistent poor rating from many people, we identify this as a case where handholding is required”

- Prabodh SirurStaff Operation Manager Global Service Delivery Logical CMG

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The Pitfalls

360-degree appraisal is a little complex process where adherence to process and record-keeping will consume a lot of time. Cost could also be one of the stumbling blocks, especially if the process is conducted through an external agency.

No doubt it reduces biases but is not free pitfalls. Hence a 360-degree feedback programmed is doomed if the HR is its only champion. It needs buy-in from senior management as well. Companies should train people in giving and receiving feedback. Companies that implement 360-degree feedback without first developing good manager who can give feedback correctly risk serious damage to teamwork and morale. Providing constructive feedback calls for instruction, training and practice.

Chetan Shah adds, “While training individuals to give and receive feedback may temporarily increase the expense associated with 360-degree feedback programmed, the gains will outweigh the higher costs as the feedback delivered to participants become more focused, targeting the behaviors most closely associated with value creation and destruction. Ultimately, the goal should be to create a culture in which individuals feel comfortable giving and receiving feedback, both positive and negative, on a real-time basis, rather than waiting for an annual review.”

The right process for implementation

Create awareness about the 360-degree appraisal. Inform the people about importance of 360-degree feedback/how it will be conducted.

Create survey questions. Create the technical environment to capture and report the Source. Communication the steps to be followed for giving the responses. Close the survey on the agreed date. Collate reports and send to the recipient. Meet with employees to discuss results and plan future developments. Provide feedbacks. Conducted a survey again a year or so later, using the same model to determine

the amount if change.

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Presenting the results of the appraisal to managers in a constructive way is critical to the success of the process, reveals Naresh Shah. “The process of 360-degree appraisal has been used by more than 90 6percent of Fortune 1000 companies for the past 10 year. It is a boon to the corporate world though it has its drawbacks. As opposed to the conventional appraisal system, wherein the immediate supervisor provides the employee with unidirectional comments, the 360-degree relies on multi-dimensional feedback. We Novell have a 360-degree appraisal for managers and above, wherein there is scope of getting feedback from more than five peers,” he adds.

Confidentiality is also important because it will ensure that everyone can participate in the process. Some individuals are comfortable writing their names in the comments sections; some are not so, by making it anonymous, one can ensure maximum participation. However, at Synge they have used a blended approach. The managers’ appraisal is not confidential / anonymous. However, all the other appraisals are confidential. The company believes that a manager should have an open relationship with his subordinates and so anything they write, should not be a surprise to the employee.

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RESEARCH AND SURVEY

Statement of the problem:

Performance appraisal is process of assessing, summarizing and developing the work performance of an employee. In order to be effective and constructive, the performance manager should make every effort to obtain as much objective information about the employee’s performance as possible. Low performance can push the organization back in today’s tough competition scenario. The project is aimed at analyzing the performance appraisal in companies.

Aim of the Research

To ascertain the effectiveness of performance appraisal methodology used by the organization.

OBJECTIVE OF THE RESEARCH

The following are the objectives of the study –

To develop my understanding of the subject.

Performance Appraisal system implemented in various Organizations varies according to the need and suitability. Through my research, I have tried to study the kind of appraisal used in the organization and the various pros and cons of this type of system.

To conduct a study on social behavior.

Social behavior is a very unpredictable aspect of human life but social I research is an attempt to acquire knowledge and to use the same for social development.

To enhance the welfare of employees.

The Appraisal system is conceived by the Management but mostly does not take into consideration the opinion of the employees. This can lead to adverse problems in the organization. Therefore by this study I have attempted to put forth the opinion of the employee with respect to the acceptability of the Performance Appraisal System.

To exercise social control and predict changes in behavior.

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The ultimate object of my research is to make it possible to predict the behavior of individual by studying the factors that govern and guide them.

Some other objectives of our research are as follows:

1. To examine why an appraisal system is important.2. To study existing appraisal system in organization.3. To find the expectation of appraiser and appraise.4. To determine the satisfaction level of the appraise.5. To reveal the various loopholes in the appraisal system if any.6. To find the consequences of an inappropriately conducted appraisal system.

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RESEARCH METHODOLOGY

The data source: Primary as well as secondary.

The research approach: Survey Method.

The research instruments: Questionnaire.

The respondents: The Managers & Employees of organizations.

The primary data was collected with the help of survey information. A concise questionnaire was prepared keeping in mind the information specification.

Research Design

A research design is a type of blueprint prepared on various types of blueprints available for the collection, measurement and analysis of data. A research design calls for developing the most efficient plan of gathering the needed information.

The design of a research study is based on the purpose of the study.

A research design is the specification of methods and procedures for acquiring the information needed. It is the overall pattern or framework of the project that stipulates what information is to be collected from which source and by what procedures.

Sampling

An internal component of a research design is the sampling plan. Specifically, it addresses three questions.

Whom to survey (The Sample Unit) How many to Survey (The Sample Size) & How to select them (The Sampling Procedure)

Making a census study of the whole universe will be impossible on the account limitations of time. Hence sampling becomes inevitable. A sample is only a portion of the total employee strength. According to Yule, a famous statistician, the object of sampling to get maximum information about the parent population with minimum effort.

Sample size is 100.

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Methods of sampling

Probability Sampling is also known as random sampling or chance sampling. Under this sampling design every individual in the organization has an equal chance, or probability, of being chosen as a sample. This implies that the section of sample items is independent of the persons making the study that is, the sampling operation is controlled objectively so that the items will be chosenstrictly at random.

Non Probability Sampling is also known as deliberate sampling, purposeful land judgment sampling. Non-Probability Sampling is that which does not provide every individual in the Organization with a known chance of being included in the sample.

Data collection method

Collection of data is the first step in statistics. The data collection process follows the formulation for research design including the sample plan. The data can be secondary or primary.

Collection of Primary Data during the course of the study or research can be through observation or through direct communication with respondents on one another or through personal interviews. I have collected primary data by the means of a Questionnaire was formulated keeping in mind the objectives of the research study.

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Collection of Secondary data means data that is already available i.e., they refer to data, which has already been collected and analyzed by someone else. When a secondary detail used, the researcher has to look into various sources from where he can obtain data. This includes information from various books, periodicals, magazines.

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FINDINGS

A. Findings from Appraise Survey

1. Expectation from Appraisal System :

Salary Administration and Benefits

Determination of promotion or transfer

Decision on layoff

Assistance in goal

Guideline for training plan

An insight into your strengths and weakness

0 50 100 150 200 250 300 350 400

score

Respondents were asked to rank the various options according to their preference. (Rank I being most preferred and rank 6 being least preferred). Then scoring was given on the basis of ranks. I mark was allotted to rank 1, 2 marks for rank 2 and so on.

Particular Score Overall Rank

Salary Administration and Benefits 87 1Determine of promotion or transfer 109 2Assistance in goal 228 3Guideline for training plan 254 4An insight into your strengths and weakness

312 5

Decision to layoff 354 6

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From the above table it can be seen that employees expect “Salary Administration and Benefits” to be the main reason for conducting a Performance Appraisal. “Decision to layoff” is of least importance as per the appraise

2. Awareness about Responsibilities :

Awareness aboutResponsibilities

From the graph it can be seen that majority of employees are aware about their responsibilities, which implies that the appraisal have efficiently communicated to the appraises all the parameters that will be taken into account appraisal.

3. Satisfaction Level among appraise regarding Appraisal System :

38%

42%

Satisfaction Level

Partially DissatisfiedSatisfied

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From graph it can be seen that majority of the respondents are satisfied with the appraisal system. Only a meager 30% were dissatisfied with the Performance Appraisal programs

4. Awareness about performance ratings :

NO66%

Awareness about PerformanceRating

This clearly shows that majority of the employees are not aware about the performance ratings that are taken into account while conducting a performance appraisal.

5. Allowing Self ratings :

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Yes92%

Self Rating Should be allowed

From graph it can be seen that majority of respondent want self rating to be a method of conducting the appraisal.

6. Chance to rate your own performance

Yes

25%

No75%

Rate your own performance

From the graph we can see that majority of the employees are not given a chance to rate their own performance in the organization.

7. Timing of Appraisals

84%

7%

Timing of Appraisals

Immediate SupervisorPeer appraisalRating committee

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This shows that most of the organizations conduct their Performance Appraisal programs annually. A very small percentage of the organizations conduct Performance Appraisal on a half yearly basis. The shares of the quarterly and monthly appraisal are extremely minimal.

8. Credibility of Appraiser

37%

63%

Credibility of Appraiser

.yes

.No

This shows that according to the employees/appraises the credibility of the appraiser is extremely important and it has an effect on the overall Performance appraisal program.

9. Complete channel for employees

Yes

27%

No73%

Complaint Channel for employees

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This shows that is no proper complaint channel existing in the organization for the employees who are dissatisfied with the performance appraisal system.

10. Standards communicated to employees

36%

64%

Standards Communicated to Employees

.yes

.No

From this it can be seen that there is a clear majority among the employees who say that the standards on the basis of which the performance appraisal is carried out is not communicated to the employees beforehand.

11. Performance Appraisal

92%

9%

Timing of Appraisals

Immediate SupervisorPeer appraisalRating committee

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Almost all the performance Appraisal is carried out by the Immediate Supervisor in these organizations. In very few organizations, Rating committees carry out the performance appraisal. None of the

organizations use Peer Appraisal, Appraisal by subordinates and self rating as a method of Performance Appraisal.

12. Clear understanding of Appraises job

77%

23%

Clear understanding of Appraisee's Job

YesNo

This shows that the performance Appraisal programs are successful in giving a clear understanding of the appraise job to both appraiser and appraise.

13. Objectives of Appraisal System

50%50%

Objective of Appraisal System

YesNo

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From the figure we can derive that the objective for conducting the Appraisal system is clear only to half of the employees. The remaining half is not clear about the objective for which the Performance Appraisal is carried out.

14. Good communication between top management and business goals

78%

Good communication between Top man-agement and business goal

YesNo

This shows that the appraisal systems do not provide a good communication flow of the top-management plans and business goals to the staff below.

15. Comments and suggestions to be considered

98%

2%

Comments and suggestion to be considered

YesNo

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Almost all the employees expect that their comments and suggestion should be taken into consideration while conducting the Performance Appraisal.

16. Post Appraisal interview

30%

70%

Post Appraisal Interview

YesNo

As per the response from the employees we can see that there is no interview conducted after the appraisal program for majority of the employees.

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Findings from Appraiser Survey

1. Purpose of Appraisal

Salary Administration and Benefits

Determination of promotion or transfer

Decision on layoff

Assistance in goal

Guideline for training Plan

An insight into your strengths and weakness

Purpose of Appraisal System

Score

81

69

72

42

24

27

Respondents were asked to rank the various options according to their preference. (Rank 1 being most preferred and rank 6 being least preferred). Then scoring was done on the basis of these ranks. 1 mark was allotted to rank 1, 2 marks for rank 2 and so on. Then the total score for each purpose was calculated and overall ranking was given.

Particular Score Overall Rank

Determination of promotion or transfer 24 1Salary Administration and Benefits 27 2Decision to layoff 42 3Guideline for training plan 69 4Assistance in goal 72 5An insight into your strengths and weakness 81 6

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From table it can be seen that appraiser consider “Determination of promotion or transfer” & “Salary administration and Benefits” as two important factors for conducting an Appraisal.

Appraisal System

60%

13%27%

Appraisal System

12345

0% 0%

In this question appraiser was asked to rate how helpful the appraisal system is, from the graph it can be seen that majority of appraisers have rated 5,4 & 3 which implies that Performance Appraisal system is very helpful in planning their work. Also most of the appraisers are satisfied with the appraisal syste.

Support from subordinate

100%

Support from Subordinate

YesNo

0%

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This question was asked to find out how helpful appraisal system is in communicating the support that appraiser needs from appraise. From results it is seen that the performance appraisal system is very helpful in communicating the support and help needed by the appraiser from the appraise.

Type of Appraisal System

73%

14%13%

Type of Appraisal System

Assessment centerMBOBARS360 degree feedbackBalance scorecard

0%0%

From results it’s clear that majority of companies prefer to use “360 degree feedback” system for Performance Appraisal. As 360 degree feedback gives feedback of appraise from everyone interacting with him, it is more reliable and hence most preferred.

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Performance Appraisal criteria

60%

20% 20%

Performance Appraisal criteria

Quantitative outcome criteriaQualitative process criteriaQuantitative process criteria

From results we can see that Qualitative Process is considered as the most important criteria for which the Performance appraisal programs are carried out, which shows that companies consider Quality of product & service and Customer satisfaction as most factor.

Timing of Appraisals

87%

13%

Timing of Appraisal

AnnualQuaterlyHalf Yearly MonthlyAnytime

0%

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0% 0%

From graphs we can see that most of companies conduct appraisal on annual basis. Some companies conduct quarterly also

Effect of poor Appraisal System

73%

27%

Effect of Poor Appraisal System

De-motivationRetentionIneffetive teamwork

It can be seen from results that most of the employees get De-motivated because of a poorly conducted appraisal. To some extent employees don’t coordinate with their team members. Thus resulting in reduction of output.

Communication between top management and staff

100%

Good Communication between Top Man-agement and Staff

Yes

No

0%

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All appraisers totally agree that performance appraisal helps in communicating the top management plans and business goals to staff at lower level.

Insight to Appraises Strength and weakness

It is evident from the results that performance appraisal system doesn’t help the appraiser in understanding strength and weakness of appraise.

Appraise comment and suggestion

87%

13%

Appraisee's comment & suggestion

YesNo

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From the results it can be seen that appraises comments and suggestion are not taken into consideration before Performance Appraisal. Performance Appraisal system is designed by appraiser without consulting appraise.

Performance Appraisal

100%

Performance Appraisal

Immediate supervisorPeer appraisalRating committeesSelf-rating

0%0%

It is evident from the result that performance appraisal is conducted by the Immediate Supervisor in all the companies.

Understanding of Appraiser’s Job

100%

Understanding of Appraisee's Job

yesNo

0%

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From this is clearly seen that according to appraiser there is a clear and joint understanding of the appraises job.

Standards for Performance Appraisal

87%

13%

Standards for Performance Appraisal

YesNo

From results it is evident that Performance appraisal standards are very well communicated to Appraisal is carried out.

Self rating in Performance Appraisal

100%

Self Rating in Performance Appraisal

YesNo

0%

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From results it can be clearly seen that the Appraise is not given a chance to rate his own performance

Action after Performance Appraisal

100%

Action after Performance Appraisal

Yes No

0%

This shows that most of the companies act upon the results of their Performance Appraisal program.

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PERFORMANCE REVIEW & DEVELOPMENT PLAN 2012

(STAFF UPTO SENIOR MANAGER)

PART 1: PERSONAL INFORMATION

NAME :

DOB :

EMPLOYEE CODE :

DEPT :

DATE OF JOINING :

REPORTING TO :

REVIEWER (HOD) :

ACADEMIC / PROFESSIONAL QUALIFICATION & EXPERIENCE

HighestQualification

College/university Passing Year

Experience with EARTH INFRASTRUCTRE:

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INSTRUCTION

The employee is to be rated on the basis of Reporting Officer’s personal knowledge. Performance is to be evaluated objectively on the basis of the standard for specific assignment actually performed during the rating period and on standard of character and conduct by placing tick mark (√) in appropriate block.

S. No Key Leadership Factor 1 2 3 4 5

1. Level of Intelligence

2. Planning Implementation

3. Delegation/Subordinate development

4. Communication and participation skills

5. Leadership skills

6. Problem Analysis/solving Decision Making

7. Interpersonal skills / Team Work

8. Setting & Fulfilling Commitments

9.Potential for Growth/carry higher responsibility

10. Behavior with Colleagues

Total Score

These results should be shared with employee also.

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Performance Rating Factor

Check the appropriate Column as per rating Scale:

1. Unsatisfactory2. Satisfactory3. Above Average4. Superior5. Outstanding

Key Performance Areas

S. No Factor 1 2 3 4 5

1.

QUALITY OF WORK

Out compared to standard desired

2.

QUALITY OF WORK

Accuracy, neatness, conformance to standard

3.

TRADE/JOB KNOWLEDGE

Understanding relationship, utilization of basic methods and techniques, ability to co-ordinate and systematize.

4.

INITIATIVE/INNOVATIVENESS

Independent thinking, improvement in job efficiency, self-reliance, degree of supervision needed in new or unusual circumstances.

5.

INTEGRITY & LOYALITY

Enthusiasm, receptivity to criticism, adjustment to discipline, team work.

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6.

PERSONALITY

Effect on others of appearance, disposition, mannerism, sense of humor, fairness, confidence and respect accorded by others.

7.

ABILITY TO LEARN

Mental alertness, retention power.

8.

PHYSICAL FITNESS

Endurance, energy, strength, handicaps, disabilities, frequency of sickness.

9.SINCERITY/PUNCTUALITY/DISCIPLINE

TOTAL SCORE

Grand Total Score

Please tick in the provided column (1-5 as per the above parameters)

DISCIPLINARY SECTION – to be filled by HRD: If Disciplinary Action taken during the year: Charge Sheet / warning / Suspension / Show Cause Notice

Date of Issuance ofLetter

Type of Letter

Misconduct

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Other Performance Consideration:

Special achievements during the review period

--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Follow-Up Feedback on Improvement in Action identified During Last Review:

Step 3: Career Planning and Training Needs Assessment

Competency and Skill Development Needs listed in order of priority

Explain why development is needed and how this will impact performance and or professional Growth

Proposed completion Date

1.

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2.

3.

Supervisors Recommendation

OVERALL RATINGRecommendation For Promotion/Revised Designation

--------------------------------------------------------------------

For HR Use Only

DATE SENT DATE RECEIVEDSIGNATURE

REPORTING OFFICERREVIEWING OFFICER

(Name, Signature & Date) (Name, Signature & Date)

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.OBJECTIVES:

1. To set individual performance targets in line with organizational goal.2. To provide an opportunity for promoting an atmosphere of trust and openness.3. To reward meritorious performance.4. To develop employees in their present job.5. To develop employees with potential to take on higher responsibilities.6. To serve as a means of increasing organizational effectiveness.

An employee shall be appraised and would be awarded grade points from 5 for outstand contribution to 1 unsatisfactory performance

Rating Scale:

Exceptional :

a. Performance far exceeded expectations due to exceptionally high quality of work performed in all essential areas of responsibility.

b. High quality results achieved in less than required time and cost.c. Requires almost no guidance and assistance in fulfilling assigned responsibilities.d. Individual capacity to assume wider responsibility.

Exceeds expectation :

a. Performance consistently exceeded expectations in all essential areas of responsibility.b. The quality of work overall was excellent, Annual goals were met.c. Requires minimum guidelines and supervision.

Meets expectation :

Performance consistently met expectations in all essential areas of responsibility, at times possibly exceeding expectations, and the quality of work overall was very good. The most critical annual goals were met.

Performance did not consistently meet expectation – performance failed to meet expectations is one or more essential areas of responsibility, and/or one or more of the most critical goals were not met.

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Normalization would be done after getting overall score from the

Normalization(Final Rating)

Grade Rating Scale Remarks

A 95-100 Outstanding

B 75-94 Exceeds Exception

C 60-74 Meets Exception

D 40-59 Improvement Needed

E Below 40 Unsatisfactory

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RECOMMENDATIONS

From the survey results its evident that both the appraises and appraisers expectation from Performance appraisal system are the same i.e. “Determination of Promotion or Transfer” and “Salary Administration and Benefits”. Hence a single performance appraisal system can satisfy needs of both the Appraiser and appraise. Therefore the Performance appraisal program would be designed in such a way that the appraiser would be able to analyses the contribution of the employee to the organization periodically and all the employees who have been performing well would be rewarded suitably either by an increase in the salary or a promotion. Through this the appraiser can also motivate the employees who felt that they had no growth in the organization and serves the purpose of employee development. Thus performance appraisals can be used as a significant tool for career leaning.

Analyzing ones on strengths and weaknesses is the best way of identifying the potential available, rather than the person telling. Self-appraisal is a tool to analyze one self. One of the most important findings was that almost all the employees wanted self-rating to be a part of performance appraisal program carried out by the organization. From the responses of the appraiser we can also see that Self rating is not encouraged by the organizations. This could therefore be an important factor which leads to dissatisfaction among the appraises. At the end of the year of the appraisal period the appraisal process should begin with self-appraisal by every employee. To Appraise ones on self on key performing targets and qualities, the appraise would go through a process of reflection and review. It is an established fact that change is faster when it is self initiated. If any employee has to improve or do better, he must first feel the need to do so. Reflection and review is a process that enables him to feel the need and improve upon his strengths and weaknesses.

Another point to be noticed is that even in the other forms of performance Appraisal also the employees expect that they should be given a chance to rate their own performance. This can allow the employee to analyze one’s own performance which gives new insights on how one is performing and what are critical points where he has to put his best and improve upon.

The existence of a proper complain channel was also of utmost importance to the appraises. They should be given a chance to convey their grievances to the top management.

The appraises also expect that their comments and suggestions should be taken in to accountant while conducting the appraisals. This expectation is not fulfilled as the appraisers do not take their comments and suggestions into consideration. Therefore they should look into this matter before it leads to dissatisfaction among the employees.

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The results also indicate that the there is no communication of top management plans and business goal to the appraise. The appraiser on the other hand feel that the goals and plans have been clearly communicated to the appraises. Communication is very essential for any system to function efficiently. Therefore the appraisers should look onto this matter and see to it that the goals and plans are communicated effectively.

The findings suggest that for success of Appraisal system the credibility of appraiser is of utmost importance.

As per the Appraiser, a poorly conducted appraisal system would lead to de-motivation and ineffective teamwork which will result in inefficient functioning and low productivity in the organization. Therefore, if at all they feel there is dissatisfaction among the appraiser’s they should motivate feel them. Achievement, recognition, involvement, job satisfaction and development can motivate the employees to a large extent. Along with this satisfactory working condition and appropriate awards also play an important role.

Also a majority of employees were satisfied with the current appraisal system although they requested for some changes.

Most of the employees were also not clear about the criteria on which ratings were given to each employee while conducting the performance appraisal. Instead of secrecy there should be openness. Because of lack of communication, employees may not know how they are rated. The standards by which employees think they are being judged are sometimes different from those their superiors actually use. Proper communication of these ratings can help the employers achieve the level of acceptability and commitment which is required from the employ.

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From the survey we can also derive that the appraises expect a post appraisal interview to be conducted wherein they are given a proper feedback on their performance and they can also put forward their complaints if any. The appraisal should also be followed up with a session of counseling which is often neglected in many organizations. Counseling involves helping an employee to identify his strengths and weaknesses to contribute to his growth and development. Purpose is to help an employee improve his performance level, maintain his morale, guide him to identify and develop his strong points, overcome his weak points, develop new capabilities to handle more responsibilities, identify his training needs.

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LIMITATION OF THE STUDY

The followings are the limitations faced by me during the course of the

1. The sample consisted only of employees in the day shift. Employees of the night shift were not considered for the purpose of study.

2. There is no concrete basis to prove the response given is a true measure of the opinion of all the employees as a whole.

3. Convenient sampling was used as the mode of conducting the research.4. The questionnaire contained mostly multiple-choice questions: therefore many respondents

may not have given a proper thought before answering the questions.5. The response of the respondents may not be accurate thinking that the management might

misuse the data.6. Almost all of the questionnaires had the open-ended question no. 11, left unanswered.7. Sensitive company information cannot be displayed in the project report.8. Most respondents might be influenced by their peers in answering the questions.9. Due to the fact that most of the respondents were young, the questions might not have been

answered with due sincerity.

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CONCLUSION

With rewards being directly linked to achievement of objectives, goal setting and Performance Appraisal assumes utmost importance. The Performance Appraisal System has been professionally designed and it is monitored by HRD. The implementation is the responsibility of each and every employee along with their supervisor. There should be adequate training to the evaluator that will go a long way in answering the quality of Performance Appraisal. In conclusion, a Performance Appraisal is a very important tool used to influence employees. A formal Performance review is important as it gives an opportunity to get an overall view of job performance and staff development. It encourages systematic and regular joint-stocking and planning for the future. Good performance reviews therefore don’t just summarize the past they help determine future performance.

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APPENDICES

Questions for Appraise

Name: ___________________________ Contact No: _____________________________

1. What do you expect from a Performance appraisal? (Rank the option from 1 to 6; 1 being most preferred & 6 being least preferred)

Detail Rank

Salary administration and Benefits

Determination of promotion or transfer

Decision on layoff

Assistance in goal

Guideline for training Plan

An insight into your strengths and weakness

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1. Do you know what exactly is expected from you at work?

a. Yes b. No

2. Are you satisfied with the appraisal system?

1 2 3 4 5 (1 = Least satisfied; 5 = most satisfied)

3. Are you aware of performance ratings?

a. Yes b. No

4. Do you think you should be given an opportunity to rate your own performance?

a. Yes b. No

5. Are you given a chance to rate your own performance?

a. Yes b. No

6. Timing of Appraisals?

a. Monthly b. Quarterly c. Half Yearly d. Annual e. Anytime

7. Does the credibility of Appraiser affect the Performance Appraisal System?

a. Yes b. No

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8. Is there a complaint channel for the employees who are dissatisfied with the performance appraisal system?

a. Yes b. No

9. Are the standards on the basis of which performance appraisal is carried out communicated to the employees before hand?

a. Yes b. No

10. Who conducts the performance appraisal”?

a. Immediate supervisor b. Peer appraisal c. Rating committees d. Self-rating e. Appraisal by subordinates

11. Is the performance Appraisal successful in giving a clear understanding of the appraise job to both appraiser and appraise?

a. Yesb. No

12. Are the objectives of appraisal system clear to you?

a. Yesb. No

13. Does the appraisal system provide a good communication between the top management plans and business goals to staff below?

a. Yesb. No

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14. Do you want your comments and suggestions to be taken into consideration during appraisal?

a. Yesb. No

15. Is there a post appraisal interview conducted?

a. Yesb. No

Questions for Appraiser

Name: ________________________Contact No: _____________________________

Purpose of Performance appraisal:(Rank the options from 1 to 6; 1 being main purpose & 6 being last purpose)

Detail Rank

Salary Administration and Benefits

Retain performing employees

Determination of promotion or transfer

Decision on layoff

Assistance in goal

Guide for training Plan

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1. Is the Performance Appraisal helping you to plan your work well?

1 2 3 4 5

1= Least helpful; 5 = Most helpful)

2. Does the system provide you a chance to communicate the support you need from your subordinate to perform the job well.

a. Yesb. No

3. Which appraisal system is being employed in the company?

a. Assessment centerb. MBOc. BARSd. 360 degree feedbacke. Balance scorecard

4. Performance Appraisal criteria

a. Quantitative outcome criteria (Sales volume, Sales price, Productivity, Goal accomplishment rate)

b. Qualitative process criteria (Quality of product or service, Customer satisfaction)

c. Quantitative process criteria (Efficiency, Cost/expenses, Attendance)d. Qualitative process criteria (Judgment, Work attitude, Leadership,

Conduct/Trait)

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5. Timing of Appraisals

a. Monthlyb. Quarterlyc. Half Yearlyd. Annuale. Anytime

6. What do you think is the effect of a poor appraisal system

a. De-motivationb. Retentionc. Ineffective teamwork

7. Does the appraisal system provide a good communication between the top management plans and business goals to staff below?

a. Yesb. No

8. Does it give insight to appraise regarding his strength or weakness?

a. Yesb. No

9. Are employee’s comments and suggestions taken into consideration before the appraisal?

a. Yesb. No

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10. Who conducts the performance appraisal”

a. Immediate supervisorb. Peer appraisalc. Rating committeesd. Self-ratinge. Appraisal by subordinates

11. Is the performance Appraisal Successful in giving a clear understanding of the appraise job to both appraiser and appraise?

a. Yesb. No

12. Are the standards on the basis of which the performance appraisal is carried out communicated to the employees before hand?

a. Yesb. No

13. Do you give an opportunity to the appraise to rate his own performance?

a. Yesb. No

14. Do you act upon the results of your performance appraisal?

a. Yesb. No

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15. If yes, then mention the remedial measures taken?

a. Yesb. No

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BIBLIOGRAPHY

BOOKS

Organizational Behavior by Steve Robbins

The Art of HRD, Reward Management, Volume 9 by Michal Armstrong and Helen Murlis

Performance Management, Concept, practices and Strategies for Organisation success by S.K Bhatia.

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