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CHAPTER I
INTRODUCTION
1.1INTRODUCTION TO THE TOPICPerformance appraisal is a method of evaluating the behaviour of
employees in the work spot, normally it including both the quantitative
and qualitative aspects of job performance. It is a systematic and
objective way of evaluating both work related behaviour and potential of
employees. It is a process that involves determining and communicating
to an employee how he or she is performing the job and ideally,
establishing a plan of improvement.
Performance appraisal has two over arching goals:
To encourage high levels of worker motivation and
performance.
To provide accurate information to be used in managerial
decision making.
These goals are interrelated because one of the principal ways that
managers motivate workers is by making decisions about how to
distribute outcomes to match different levels of performance.
Developing a Performance Appraisal
Managers can use the information gained from performance
appraisal for two main purposes:
1. Developmental purposes such as determining how to
motivate a worker to perform at a high level, evaluating
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which of a worker's weaknesses can be corrected by
additional training, and helping a worker formulate
appropriate career goals.
2. Evaluative, decision-making purposes such as deciding
whom to promote, how to set pay levels, and how to assign
tasks to individual workers.
Methods of Appraisal
The measures managers use to appraise performance can be of two types:
objective or subjective.
Objective measures such as numerical counts are based on
facts. They are used primarily when results are the focus of
Performance appraisal. The number of televisions a factory
worker assembles in a day, the dollar value of the sales a
salesperson makes in a week, the number of patients a
physician treats in a day and the return on capital, profit
margin, and growth in income of a business are all objective
measures of performance.
Subjective measures are based on individuals' perceptions,
and can be used for appraisals based on traits, behaviors, and
results. Because subjective measures are based on
perceptions, they are vulnerable to many of the biases and
problems that can distort person perception. Because there is
no alternative to the use of subjective measures for many
jobs, researchers and managers have focused considerable
attention on the best way to construct subjective measures of
performance.
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360-degree appraisal - a worker's performance is evaluated
by a variety of people who are in a position to evaluate it. A
360-degree appraisal of a manager, for example, may
include evaluations made by peers, subordinates, superiors,
and clients or customers who are familiar with the manager's
performance. The manager would then receive feedback
based on evaluations from each of these sources. When 360-
degree appraisals are used, managers have to be careful that
each evaluator is familiar with the performance of the
individual he or she is evaluating. While 360-degree
appraisals can be used for any different kinds of workers
they are most commonly used for managers.
1.2 STATEMENT OF THE PROBLEM
The performance appraisal of the employees in the organization
should be an effective tool for measuring the employees performance. If
the performance not measured in a real manner it will be a critical issue.
A study on impact of performance appraisal was undertaken to study the
reasons and ways to improve the condition.
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1.3 OBJECTIVES OF THE STUDY
The present study on Impact of Performance Appraisal System
was undertaken with the following objectives:
To study performance appraisal system at Sree
Venkateswara Mills Private Limited.
To find whether the feedback from the appraisal system
assists in the employees training and development.
To determine what type of appraisal did the employees really
looking for.
To find whether there is any opportunities provided for the
employees to improve their performance.
1.4SCOPE OF THE STUDYThe scope of the project is fully dependent upon the objectives of the
project.
This study can be helpful to the company for conducting
any further research.
The study is also helpful in finding out the respondents
opinion towards certain attributes.
It is also helpful in finding out the reach and effectiveness
of the performance appraisal system.
This study also serves as a base for understanding the
perception about the employees regarding their
performance appraisal.
With the results of the study the company can improve their
standards of their appraisal system.
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CHAPTER II
CONCEPTS AND REVIEW
2.1 CONCEPT OF THE STUDY
Definition of performance appraisal
A formal and systematic process, by means of which the job
relevant strength and weakness of the employees are identified, observed,
measured and developed.
Concept of Performance Appraisal
In the best of worlds, employees would love their jobs, like their
co-workers, work hard for their employees, get paid well for their work,
have ample chances for advancement, and flexible schedules so they
could attend to personal or family needs when necessary.
The performance appraisal is to assess a person and let him to
know where he is being standing along with the job. It is to find whether
he is performing with his task or not.
Characteristics of Performance Appraisal
The main characteristics of performance appraisal may be listed thus
The appraisal is a systematic process. It tries to evaluate
performance in the same manner using the same approach.
A number of steps are followed to evaluate an employees
strength and weakness.
It provides an objective description of an employees jobsrelevant strengths and weaknesses.
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It tries to find out how well the employee is performing the
job and tries to establish a plan for further improvement.
The appraisal is carried out periodically, according to a
definite plan. It is certainly not a one-shot deal.
Performance evaluation is not job evaluation. Performance
appraisal refers to how well someone is doing an assigned
job. Job evaluation, on the other hand, determining how
much a job is worth to the organisation, and therefore, what
range of pay should be assigned to the job.
Performance appraisal may be formal or informal. The
informal evaluation is more likely to be subjective and
influenced by personal factors. Some employees are liked
better than others and have, for that reason only, better
chances of receiving various kinds of rewards than others.
The formal system is likely to be more fair and objective,
since it is carried out in a systematic manner, using printed
appraisal forms.
Needs of Performance Appraisal
An Industry has to rely heavily on measuring the performance of
individuals for varied purposes:-
To assess the ability of the individual in order to make the
best use of his talent in the present Job
To find out areas of weakness in order to develop him for
improving his performance
To provide for management succession by judging the
potential of an individual
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To effect changes in the organization by transfers or
promotions so as to fix the individuals according to their
ability and
To help in their training and development by identifying the
strengths and weaknesses of individuals.
2.2 REVIEW OF RELATED LITERATURE
M Bowels and G Coates (1993) expressed that Managers are mostly
appraised by results, but results alone cannot reflect performance because
it is still affected by many other factors. The problems faced by the
organization experiencing some difficulties were measuring performance
and the extra demands made on managers. Management should provide
the enabling conditions through which work is performed. Performance
appraisal should be an opportunistic means to address performance issues
rather than a coherent systematic process.
V.S.P.Rao, in his book Human Resource Management (2005),
indicated that performance appraisal method of evaluation the behaviour
of employee in the work spot normally includes both the quantitative and
qualitative aspects of job performance. It is a systematic and objective
way of evaluating both work-related behaviour and potential of
employees. It is a process that involves determining and communicating
to an employee how he or she is performing the job and ideally,
establishing a plan of improvement.
Udai Pareek and T.V.Rao (2008), expressed that performance appraisal
can be an effective instrument for helping people grow and develop in
organisation setting. It could be used as a mechanism of continuing
education and learning forms one another. Through a well-organised
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appraisal system an employee can create learning spaces for himself in an
organisation. Recent researchers and experiences have shown that
development-oriented performance appraisal and review system, when
effectively practiced, substantially contributes to the organisation health
and facilities multiplication of managerial resources.
D Winstanely and K Stuart-Smith (1996), said that conclusive evidence
that leads to improved performance is lacking because of
Not enough time is given to the process.
It reinforces modes of intrusive control.
The focus must move away from measurement and judgement towards
developing, understanding and building up trust to allow a genuine
dialogue to take place between appraisers and appraise.
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2.3 COMPANY PROFILE
SREE VENKATESA MILLS (P) Ltd. is a partnership concern
started in 1990. The company is engaged in spinning and weavingprocess.
The company manufactures Grey Gada Cloth. Quality is the watch
word of SREE VENKATESA MILLS (P) Ltd., ever since inception.
With an installed capacity of 4968 spindles. Modern machinery and the
latest technology the mill focus how to face the competition.
Historical Sketch of the Company
The partners of this company started the business with a small
investment of four power loom machines. During that time Tamilnadu
government announced palladam Taluk as a backward area where the
industry is existing. Utilizing this opportunity provided by the
government, they purchased six more machines with the installed
capacity of ten machines; they started a small industrial unit.
The cloth manufactured by this textiles unit had a great demand in
the initial stages, because of this increase in demand, they gained profit
and with their hard work they started a big industrial unit. They
purchased 36 power loom machines for the new industrial unit with the
loan provided the bank. It increased to another 12 more machines.
During 1992- 93, there was a great problem, of non availability of
yarn. This is because of high export to foreign countries and lack of yarn.
So they decided to purchase cotton to produce yarn for their own use. For
this purpose they started a spinning mill with the help of the Tamilnadu
Industrial development corporation fund.
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During 1994 they approached Tamilnadu Industrial Investment
Corporation (TIIC).They also got a subsidy of 8032 lakhs. TIIC had
given the same as Bridge Loan through Tamilnadu Industrial Investment
Corporation. In addition to this, the government also provided subsidies
in electricity (i.e.), 40 percentage in the first, second and third year
respectively.
Production Process
Transformation of raw materials into finished goods is the duty of
production department. The various process of production is as follows.
Mixing
Normally the cotton purchased from the parties is in the form of
Bales / Borahs. After purchasing, it is sent to SISPA for testing or it is
tested in the MILL LAB. The mixing is generally for count wise yarn
production. This mixing proportion is most import for every textile, ill at
the primary stage.
Blow Room
In Blow room waste contamination such as seeds, seed coats, leafy
matter and sand/dust are separated from cotton. Blow room function is to
form a compact and uniform sheet of lap form. These laps are rolled in a
lap rod. In this department the mill maintains a lap weight record shows
how many laps are produced in a day.
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Carding
Carding is also called heart of the mill. Carding machines are used
to remove the neaps, which are present in the lap. This Carding machinesoutput is in the form of hanks and is collected in the canes. This hank is
called as CARDING SLIVER.
Drawing
The objective of the draw frame is to align a maximum of eight
slivers into one while parallelizing the combed fibers and evening out thevariation by the doubling of many slivers and to reduce the coefficient of
variation of mass. The delivered sliver is transported to SIMPLEX.
Simplex
The objective of the simplex is to reduce the mass of the sliver by
imparting draft and twisting. To impart twist into the standard and form acompact package suitable for subsequent processing.
Spinning
The objective of the spinning is to spin the yarn of desired count
form a feed simplex bobbin of bulkier mass by adopting drafting through
series of rolls having successively increasing surface speed and windingthe yarn delivered into an empty tube by the variation caused due to lag
of travel to that of spindle speed. The yarn that formed compactly on the
tube is transported for reeling per cone winding section as per
requirements.
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Winding
The objective of winding is to form bigger package from more
number of ring spinning cops of less weight and form a continuous threadfor subsequent operation like knitting wrapping and at times doubling.
The nature of yarn requirement and specification decide the removal of
objectionable faults like slabs, long thick thin place etc. for which
Electronic yarn clearer is utilized.
Packing
In the department the cones are packed. Each cone weights 1.25
kg.
Sizing
The yarn which is coned in cone winding is sent for sizing mills.
They are sizing the yarn into whichever ends they want starch and otherchemicals are used in yarn.
Weaving
The process of weaving simply consists of the interlacing of two
series if threads known as WARP and WEFT. When weaving a piece of
cotton cloth with selvages on the right hand and left hand sides. Thethreads which run length ways or parallel to the selvages are termed the
WARP and that that runs across the cloth or at right tangles to the warp is
termed as WEFT.
The scheme or order in which the weft in interlaced with the warp
is known as WEAVE. Power loom weaving is particularly important
because it influences the production of good cloth.
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Testing and Quality Control
The process of testing for quality is done in two levels one at the
textile mill itself where the lap is equipped with strength tester, countertester, and hank tester. The other at the various independent as well as
Government bodies likes sispa- (small Indian spinners association).
Technological up gradation is done as and when required in order
to keep up the quality standards with the installations and favourable
salubrious climate, known only to that area the quality of the produced is
uniform always.
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Chapter III
RESEARCH METHODOLOGY
3.1 INTRODUCTION
Research is a scientific and systematic search for pertinent
information on a specific topic. Research is an art of scientific
investigation. According to Clifford Woody, Research comprises
defining and redefining problems, formulating hypothesis or suggested
solutions, collecting, organizing and evaluating data, making deductions
and reaching conclusions and at last carefully testing the conclusions to
determine whether they fit the formulating hypothesis.
3.2 RESEARCH DESIGN
Research design aids the researcher in the allocation of limited
resources by posing crucial choices in methodology.
Research design is the plan and structure of investigation so
conceived as to obtain answers to research questions. The plan is the
overall scheme or program of the research. It includes an outline of what
the investigator will do from writing hypothesis and their operational
implications to the final analysis of data.
Descriptive Research Design
The design for this study is descriptive research design. This design
was chosen as it describes accurately the characteristics of a particular
system as well as the views held by individuals about the system. The
views and opinions of employees about the system help to study the
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suitability of the system as well as the constraints that might restrict its
effectiveness
3.3 SAMPLING TECHNIQUES
The sampling technique adopted for the purpose of the study is
convenience sampling.
As the name implies a convenience sample means selecting
particular units of the universe to constitute a sample.
Sample Size
The sample size of the study is 150. This sample is considered as
representative.
3.4 DATA COLLECTION
Primary source:
The primary data are those which are collected as fresh for the first
time and thus happen to be original in character. The Primary data were
collected directly from employees with structured questionnaire.
Secondary Source
The secondary data are those which have already been collected by
someone else and which have already been passed through the statistical
process. The secondary data were collected through company records
and magazines, journals and from internet.
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3.5 TOOLS OF THE STUDY
Tool used for data collection:
The tool used for collecting the data is through the questionnaire.
The main reason for selecting the questionnaire method for the study is:
Respondents have adequate time to give well throughout
answers.
The time of the study was also a limiting factor.
Five pointer scales were use through the Questionnaire.
Statistical tools used
Statistical tools like Tabulation, Graphic representations and, Chi-
Square, are used in the compilation and computation of data.
Chi-Square Test
The Chi-Square test is an important test amongst the several tests
of significance developed by statisticians. Chi-square, symbolically
written as X2 (pronounce at ki-square), is a statistical measure used in the
context of sampling analysis for comparing a variance to a theoretical
variance. As a non-parametric test, it can be used to determine if
categorical data shown dependency or the two classifications are
independent. It can also be used to make comparison between theoretical
populations and actual data when categories are used. Thus, the Chi-
square test is applicable in large number of problems. The test is, in fact,
a technique through the use of which it is possible for all researchers to
Test the significance of association between two attributes, and
Test the homogeneity or the signification of population variance
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Chi-Square = (O-E)2
/ E
Where O = Observed Frequency, E = Expected Frequency
The calculated value of chi-square is compared with the table value
of chi-square for given degrees of freedom of specified level of
significance. If the calculated value of chi-square is greater than the table
value the difference between the theoretical value and the observed is
considered to be significant, i.e., it could not have risen due to
fluctuations of simple sampling. On the other hand if the calculated value
is less than the table value, the difference between the theory and
observation is not considered significant, i.e., it could have risen due to
fluctuations of sampling.
The number of degrees of freedom is described as the number of
observations that are free to vary after certain restrictions have been
imposed on the data. For a uniform distribution, we place one restriction
on the expected distribution - the total of sample observations.
Percentage analysis:
Percentage refers to a special kind of ratio. Percentage is used in
making comparison about two or more series of data. Percentage as also
used to describe relationship. It is also used to compare the relative terms
of two or more series of data.
Number of respondents
Formula= 100Total no. of respondent
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Area of the Study
The study was conducted at SREE VENKATESWARA MILLS
(P) Ltd Palladam.
Closed-Ended Questions
Such questions are also called fixed alternative questions. This
method is also facilitators the respondent to answer in some other way on
other alternative is provided as a choice.
3.6 HYPOTHESIS OF THE STUDY
Null hypothesis is used for testing. It is a statement that no
significance difference exists between the parameter and statistics being
compared to it.
The alternative hypothesis is the logical opposite of the null
hypothesis
The study includes the statement of null hypothesis and alternative
hypothesis by comparing age group of the respondents and preference of
the appraisal system.
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3.7 LIMITATIONS OF THE STUDY
Time and resource were the major constraints during
the execution of the project. Therefore only a limitednumber of employees were included in the sample.
The study was done in single textile unit only, so it
cant be generalised for the entire textile industry.
Some of the respondents find difficult to spare time
with the researcher and hence they did not responded.
There are many respondents who hesitated to answer
the questionnaire.
The human behaviour is quite dynamic and hence the
results may not hold good for a long time.
The results of the survey are totally dependent on the
accuracy and authenticity of the information provided
by the respondents.
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CHAPTERIV
ANALYSIS AND INTERPRETATION
4.1 ANALYSIS OF THE DATA
TABLE 1
TABLE SHOWING GENDER OF THE RESPONDENTS
Gender No. of respondents Simple percentage
Male 132 88
Female 18 12
Inference
From the above table it is inferred that 88% of the respondents are
male and 12% of the respondents are female.
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FIGURE 1
88%
12%
0
10
20
30
40
50
60
70
80
90
100
Male Female
Percentage
Gender of respondents
CHART SHOWING GENDER OF THE
RESPONDENTS
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TABLE 2
TABLE SHOWING AGE GROUP OF THE RESPONDENTS
Age group No. of respondents Simple percentage
19-23 15 10
24-28 42 28
29-33 27 18
34-38 27 18
Above 38 39 26
Inference
The above table shows that 28% of the respondents are between the
age group of 24-28, 26% of the respondents are above 38, 18% of the
respondents are in the age group of 29-33 and 34-38, 10% of the
respondents are in the age group of 19-23.
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FIGURE 2
10%
28%
18% 18%
26%
0
5
10
15
20
25
30
19-23 24-28 29-33 34-38 above 38
Percentage
Age group of respondents
CHART SHOWING AGE GROUP OF THE RESPONDENTS
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TABLE 3
TABLE SHOWING THE EXPERIENCE IN THE PRESENT JOB
Experience in Year No of respondents Simple percentage
1-10 102 68
11-20 30 20
21-30 15 10
31-40 03 02
Inference
The above table shows that 68% of the employees are having 1-10
years of experience, 20% of the employees having 11-20 years of
experience, 10% of the employees having 21-30 years of experience and
02% of the employees having 31-40 years of experience.
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FIGURE 3
2%
10%
20%
68%
0
10
20
30
40
50
60
70
80
1-10 years 11-20 years 21-30 years 31-40 years
percentage
Experience in the present job
CHART SHOWING THE EXPERIENCE IN THE PRESENT
JOB
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TABLE 4
TABLE SHOWING THE BASIS OF THE PERFORMANCE
APPRAISAL
Inference
The above table shows that 80% of the respondents prefer both the
quality and target for their basis of performance appraisal, 12% of the
respondents prefer quality alone and 8% of the respondents prefer target
alone.
Basis of performance appraisal No of respondents Simple percentage
Quality 18 12
Target 12 08
Both 120 80
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FIGURE 4
12%8%
80%
0
10
20
30
40
50
60
7080
90
Quality Target Both
Percentage
Appraisal basis
CHART SHOWING BASIS OF THE PERFORMANCE
APPRAISAL
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TABLE 5
TABLE SHOWING FREQUENCY OF THE APPRAISAL
Frequency of appraisal No of respondents Simple percentage
Monthly 09 06
Half yearly 60 40
Annual 75 50
360 degree 06 04
Inference
The above table shows that 50% of the respondents prefer annual
appraisal, 40% of the respondents prefer half yearly appraisal, 6% of the
respondents prefer monthly appraisal and 4% of the respondents prefer
360 degree appraisal.
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FIGURE 5
6%
40%
50%
4%
0
10
20
30
40
50
60
Monthly Half yearly Annual 360 degree
Percentage
Appraisal frequency
CHART SHOWING FREQUENCY OF THE
APPRAISAL
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TABLE 6
TABLE SHOWING CRITERIA FOR PERFORMANCE
Performance appraisal based on No of respondents Simple percentage
Personality traits 06 04
Behaviour 09 06
Results 15 10
All the above 120 80
Inference
The above table shows that 80% of the respondents agreed that
their appraisal based on personality traits, behaviour and results, 10% of
the respondents agreed it is based on results alone, 6% of the respondents
agreed that it is based on behaviour, 4% of the respondents agreed it is
based on personality trait for their appraisal.
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FIGURE 6
4% 6%10%
80%
0
10
20
30
40
50
6070
80
90
Personality traits Behaviour Result All the above
Percentage
Appraisal criteria
CHART SHOWING CRITERIA FOR
PERFORMANCE
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TABLE 7
TABLE SHOWING TYPES OF APPRAISAL RESPONDENTS
PREFER
Inference
The above table shows that 76% of the respondents prefer both
subjective and objective factors, 12% of the respondents prefer subjective
alone and 12% of the respondents prefer objective alone for their
appraisal.
Types of appraisal No of respondents Simple percentage
Subjective 18 12
Objective 18 12
Both 114 76
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FIGURE 7
12% 12%
76%
0
10
20
30
40
50
60
70
80
Subjective Objective Both
Percentage
Appraisal prefer by respondents
CHART SHOWING TYPE OF APPRAISAL
RESPONDENTS PREFER
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TABLE 8
TABLE SHOWING GENDER DISCRIMINATION-
RESPONDENTS OPENION
Inference
The table shows that 68% of the respondents said that there is no
gender discrimination and 32% said there is gender discrimination for
performance appraisal.
Based on gender, any
discrimination
No of respondents Simple percentage
Yes 48 32
No 102 68
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FIGURE 8
16%
34%
0
5
10
15
20
25
30
35
40
Yes No
Percentage
Gender discrimination
CHART SHOWING GENDER DISCRIMINATION -
RESPONDENTS PREFER
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TABLE 9
TABLE SHOWING THE REPORTING NATURE OF THE
RESPONDENTS
Daily contact at the time
of appraisal
No of
respondents
Simple
percentage
Strongly agree 09 06
Agree 72 48
No Comment 30 20
Disagree 33 22
Strongly Disagree 06 4
Inference
The table shows that 48% of the respondents agree that they are
having daily contact, 22% of the respondents are having no comment,
20% of the respondents are disagree with the daily contact, 3% of the
respondents are strongly agree with the daily contact and 2% of the
respondents are strongly disagree with the daily contact.
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FIGURE 9
6%
48%
20%22%
4%
0
10
20
30
40
50
60
Storogly
agree
Agree No
comments
Disagree Strongly
disagree
Percentage
Opinion-Reporting on daily basis
CHART SHOWING THE REPORTING NATURE OF
THE RESPONDENTS
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TABLE 10
TABLE SHOWING FEEDBACK GIVEN AT THE TIME OF
APPRAISAL
Feedback given at the time of
appraisal
No of respondents Simple percentage
Strongly agree 21 14
Agree 84 56
No Comment 30 20
Disagree 12 08
Strongly Disagree 03 02
Inference
The table shows that 56% of the respondents are agree that the
feedback was given at the time of appraisal, 20% of the respondents dont
want to comment, 14% of the respondents are strongly agree that the
feedback was given, 8% of the respondents are disagree that the feedback
was given, and 2% of the respondents are strongly disagree that the
feedback was given at the time of appraisal.
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FIGURE 10
14%
56%
20%
8%
2%
0
10
20
30
40
50
60
Strongly
agree
Agree No comments Disagree strongly
disagree
percentage
Opinion-Appraisal feed back
CHART SHOWING FEEDBACK GIVEN AT THE TIME OF
APPRAISAL
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TABLE 11
TABLE SHOWING APPRAISAL EVALUATION -STRENGTH
AND WEAKNESSES
Appraisal evaluates
strength and weaknesses
No of
respondents
Simple
percentage
Strongly agree 36 24
Agree 63 42
No Comment 36 24
Disagree 09 06
Strongly Disagree 06 04
Inference
The table shows that 42% of the respondents agree with that
performance appraisal helps to evaluate their strength and weaknesses,
24% of the respondents are strongly agree, 24% of the respondents given
no comment,6% of the respondents are disagree, and 4% of the
respondents are strongly disagree with that performance appraisal helps
to evaluate their strength and weaknesses.
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FIGURE 11
24%
42%
24%
6%4%
0
5
10
15
20
25
30
35
40
45
Strongly
agree
Agree No
comments
Disagree Strongly
agree
Percentage
Opinion-Evalotion of strength and weakness
CHART SHOWING APPRAISAL EVALUATES-
STRENGTH AND WEAKNESSES
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TABLE 12
TABLE SHOWING APPRAISER EVALUATION ON SKILL GAPS
Exactly evaluates the skill gaps No of respondents Simple percentage
Strongly agree 15 10
Agree 84 56
No Comment 39 26
Disagree 12 08
Strongly Disagree 00 00
Inference
The table shows that 56% of the respondents are agree with
evaluation of skill gaps, 26% of the respondents given no comment,10%
of the respondents are strongly agree with evaluation of skill gaps and 8%
of the respondents are disagree with the evaluation of the skill gaps in
their performance appraisal.
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FIGURE 12
10%
56%
26%
8%
00
10
20
30
40
50
60
Strongly
agree
Agree No
Comments
Disagree Strongly
Disagree
Percentage
Opinion-Appraisal evaluation on skill gap
CHART SHOWING APPRAISER EVALUATION
ON SKILL GAPS
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TABLE 13
TABLE SHOWING THE TRAINING ENHANCEMENT
Organization providing
effective training
No of respondents Simple percentage
Strongly agree 36 24
Agree 48 32
No Comment 54 36
Disagree 09 06
Strongly Disagree 03 02
Inference
The table shows that 36% of the respondents given no comment
regarding effective training, 32% of the respondents are agree with the
effective training, 24% of the respondents are strongly agree with the
effective training, 6% of the respondents are disagree with the effective
training and 2% of the respondents are strongly disagree with the
effective training imparted by the organization.
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FIGURE 13
24%
32%
36%
6%
2%
0
5
10
15
20
25
30
35
40
Strongly
agree
Agree No
Comments
Disagree Strongly
disagree
Percentage
Opinion-Traning enhancement
CHART SHOWING THE TRAINING
ENHANCEMENT
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TABLE 14
TABLE SHOWING THE ROLE OF APPRAISAL IN THE
EMPLOYEE GROWTH
Appraisal helps in
personal growth
No of respondents Simple percentage
Strongly agree 36 24
Agree 69 46
No Comment 39 26
Disagree 06 04
Strongly Disagree 00 00
Inference
The table shows that 46% of the respondents are agree with their
personal growth, 26% of the respondents given no comment, 24% of the
respondents are strongly agree with their personal growth and 4% of the
respondents are disagree with their personal growth through performance
appraisal.
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FIGURE 14
24%
46%
26%
4%
00
5
10
15
20
25
30
35
40
45
50
Strongly agree Agree No comments Disagree Strongly
disagree
percentage
Opinion-Appraisal and employee growth
CHART SHOWING THE ROLE OF APPRAISAL IN THE
EMPLOYEE GROWTH
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TABLE 15
TABLE SHOWING ROLE OF APPRAISAL IN PROMOTION
Appraisal helps in
promotion aspects
No of respondents Simple percentage
Strongly agree 45 30
Agree 81 54
No Comment 15 10
Disagree 09 06
Strongly Disagree 00 00
Inference
The table shows that 54% of the respondents are agree with the
promotion aspects in their personal growth, 30% of the respondents are
strongly agree with the promotion aspects in their personal growth, 10%
of the respondents given no comment and 6% of the respondents are
disagree with the promotion aspects in their personal growth.
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FIGURE 15
30%
54%
10%
6%
00
10
20
30
40
50
60
Strongly agree Agree No comments Disagree Strongly
disagree
Percentage
Opinion-Appraisa in employee growth
CHART SHOWING ROLE OF APPRAISAL IN
PROMOTION
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TABLE 16
TABLE SHOWING OPENION ABOUT JOB ROTATION
Recommendation for job
rotation
No of respondents Simple percentage
Yes 120 80
No 30 20
Inference
The table shows that 80% of the respondents recommended for
their job rotation and 20% of the respondents are not recommended for
their job rotation.
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FIGURE 16
80%
20%
0
10
20
30
40
50
60
70
80
90
Yes No
Percentage
Job rotation
CHART SHOWING OPENION ABOUT JOB ROTATION
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TABLE 17
TABLE SHOWING OPENION ABOUT JOB ENLARGEMENT
Recommendation for job
enlargement
No of respondents Simple percentage
Yes 135 90
No 15 10
Inference
The above table shows that 90% of the respondents recommend job
enlargement for their personal development and 10% of the respondents
did not recommend it for their personal development.
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FIGURE 17
90%
10%
0
10
20
30
40
50
60
70
80
90
100
Yes No
Percentage
Job enlargement
CHART SHOWING OPENION ABOUT JOB
ENLARGEMENT
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TABLE 18
TABLE SHOWING RESPONDENCE IDEA FOR THEIR JOB
DEVELOPMENT
Ideas to recommend for their
development
No of respondents Simple percentage
Yes 30 20
No 120 80
Inference
The table shows that 80% of the respondents recommended ideas
for their job development and 20% of the respondents are not
recommended ideas for their job development.
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FIGURE 18
10%
40%
0
5
10
15
20
25
30
35
40
45
Yes No
percentage
Ideas for job development
CHART SHOWING RESPONDENCE IDEAS FOR
THEIR JOB DEVELOPMENT
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TABLE 19
TABLE SHOWING OPENION ABOUT THE FACE TO FACE
CONTACT
Inference
The table shows that 70% of the respondents are agreeing with face
to face interaction with the appraiser and 30% of the respondents are not
agree with the face to face interaction with the appraiser.
Face to face interaction
with supervisor
No of
respondents
Simple
percentage
Yes 105 70
No 45 30
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FIGURE 19
70%
30%
0
10
20
30
40
50
60
70
80
Yes No
percentage
Openion-Face to face contact
CHART SHOWING OPENION ABOUT THE FACE
TO FACE CONTACT
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TABLE 20
TABLE SHOWINGS OPPORTUNITY TO IMPROVE
PERFORMANCE
Opportunities to
improve performance
No of
respondents
Simple
percentage
Yes 129 86
No 21 14
Inference
The table shows that 86% of the respondents are agree with their
opportunities given by the organization to improve their performance and
14% of the respondents are not agree with the opportunities given by the
organization to improve their performance.
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FIGURE 20
86%
14%
0
10
20
30
40
50
60
70
80
90
100
Yes No
Percentage
Opportunity to improve performance
CHART SHOWING OPPORTUNITY TO IMPROVE
PERFORMANCE
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TABLE 21
TABLE SHOWING APPRAISAL AND ATTITUDE CHANGES
Appraisal changes your Attitude and
Behaviour
No of
respondents
Simple
percentage
Yes 105 70
No 45 30
Inference
The above table shows that 70% of the respondents are agree that
there is a change in their attitude and behaviour after appraisal and 30%
of the respondents are disagree for the changes in their attitude and
behaviour after appraisal.
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FIGURE 21
70%
30%
0
10
20
30
40
50
60
70
80
Yes No
P
ercentage
Appraisal attitude change
CHART SHOWING APPRAISAL AND ATTITUDE
CHANGES
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TABLE 22
TABLE SHOWING PERFORMANCE RATING AND SALARY
Performance ratings increase
your salary
No of respondents Simple percentage
Yes 117 78
No 33 22
Inference
The above table shows that 78% of the respondents are satisfied
with the increase of salary through performance ratings 22% of the
respondents are dissatisfied with the salary provided through performance
rating.
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FIGURE 22
78%
22%
0
10
20
30
40
50
60
70
80
90
Yes No
Percentage
Performance rating and salary
CHART SHOWING PERFORMANCE RATING AND
SALARY
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TABLE 23
TABLE SHOWING OPENION ABOUT PRESENT APPRAISAL
SYSTEM
Happy with present
appraisal
No of respondents Simple percentage
Yes 114 76
No 36 24
Inference
The above table shows that 76% of the respondents are happy with
the present appraisal system and 24% of the respondents are unhappy
with the present appraisal system.
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FIGURE 23
76%
24%
0
10
20
30
40
50
60
70
80
Yes No
Percentage
Openion-Present appraisal system
CHART SHOWING OPENION ABOUT PRESENT
APPRAISAL SYSTEM
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4.2 HYPOTHESIS TESTING
Chi-square test to find out the comparison between age group of the
respondents and the preference of performance appraisal types.
Null Hypothesis
There is no relationship between age group of the respondents and
the preference of performance appraisal types.
Alternative Hypothesis
` There is relationship between age group of the respondents and the
preference of performance appraisal types.
Level of Significance
5% level of significance.
Test Statistics
X2
= (Oi- Ei)2
Ei
AGE GROUP SUBJECTIVE OBJECTIVE BOTH TOTAL
19-23 09 06 - 15
24-28 09 06 27 42
29-33 - - 27 27
34-38 - 06 21 27
Above 38 - - 39 39
TOTAL 18 18 114 150
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Calculation
Inference
The calculated value is 49.99 where as the tabulated value for (r-1)
(c-1) i.e., (5-1) (3-1) for 5% level of significance is 15.507. Thus
calculated value is greater than the tabulated value. So the null hypothesis
is rejected and the alternative hypothesis is accepted i.e., There is
relationship between age group of the respondents and the preference of
performance appraisal types is accepted.
Oi Ei (Oi- Ei)2
(Oi- Ei)2/ Ei
9 1.8 51.84 28.8
6 1.8 17.64 9.8
9 5.04 15.68 3.11
6 5.04 0.9216 0.18
27 31.92 24.206 0.75
27 20.52 41.990 2.04
6 3.24 7.617 2.35
21 20.52 0.2304 0.011
39 29.64 87.609 2.95
Total 49.99
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Chapter V
FINDINGS AND SUGGESTIONS
5.1 FINDINGS OF THE STUDY
88% of the respondents were male.
28% of respondents are belongs to the age group of 24-28.
68% of them having the experience of 1-10 years in the
present job.
80% of the respondents prefer both the quality and target for
their basis of performance appraisal.
50% of the respondents prefer the frequency of appraisal as
annual.
80% of the respondents felt that performance appraisal
should be based on personality traits, behaviour and results.
76% of the respondents prefer subjective and objective
appraisal.
68% of the respondents said that there is no gender
discrimination in performance appraisal.
54% of the respondents are agreeing with daily contact with
the appraiser at the time of appraisal.
70% of the respondents are agreeing with feedback given at
the time of appraisal.
66% of the respondents are agreeing with evaluation of their
strength and weaknesses at the time of appraisal.
66% of the respondents are agreeing with evaluation of skill
gaps.
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56% of the respondents are agreeing with the effective
training provided after appraisal review.
70% of the respondents are agreeing that performance
appraisal helps in their personal growth.
84% of the respondents are agreeing with the promotion
prospects through appraisal.
80% of the respondents prefer job rotation.
90% of the respondents prefer job enlargement.
80% of the respondents ready to contribute some ideas for
their development.
70% of the respondents are agreeing with the face to face
interaction with their appraiser.
86% of the respondents are agree that they were provided
with opportunities to improve their performance after
appraisal.
70% of the respondents said that after appraisal there is a
change in their attitude and behaviour.
78% of the respondents are agreeing that there is an increase
in their salary through performance ratings.
76% of the respondents are happy with the present appraisal
system.
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5.2 SUGGESTIONS
Suggestions by the Researcher
The company should conduct effective training after
the performance appraisal for their employees to
improve their performance by identifying the gaps.
The company should give combination of both
subjective and objective appraisal and it should be
conducted twice in a year.
The appraiser should keep in contact with the
employees and motivate them for their growth and also
to achieve the organizational goals.
When an employee is inducted in an organisation,
he/she should be given proper information about
performance appraisal system and its impact towards
his/her job.
Once an employee is evaluated, he/she has to be
informed about their strength and weaknesses. So that
he/she will improve their strengths and weaknesses and
it also helps to increase the productivity of the
organisation.
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5.3 CONCLUSIONS
In this study, Performance Appraisal system of the organization
was evaluated and found to be good. This project work also reveals thegaps in the existing system. By providing suitable training and
development programmes, the organisation can improve the existing
performance appraisal system.
Overall, this project work helps to understand every aspects of
performance appraisal in detail.