CONTENTS
1. INTRODUCTION OF THE PROJECT 2. GROUP PROFILE. 3. COMPANY PROFILE. 4. INDUSTRY PROFILE. 5. CONCEPTUAL FRAME WORK. 6. RESEARCH METHODOLOGY. 7. APPRAISAL SYSTEM. 8. DATA ANALYSIS. 9. FINDINGS& CONCLUSIONS. 10. RECOMMENDATIONS. 11. APPENDIX
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INTRODUCTION OF THE PROJECT
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INTRODUCTION Performance appraisal is the systematic process of measuring and evaluating employees with respect to their performance on the jobs and their potential for development. Performance appraisal is one of the tools for motivating the human resources. It plays a prominent role in determining the strength and weaknesses of the employees and helps them in controlling them. And this will help the employees in overcoming their weaknesses by taking necessary and immediate action.
Functions of Performance appraisal: a. Developing policies, procedures and techniques b. Helping the functional managers c. reviewing the reports and consolidation of reports. d.. evaluating the effectiveness of various programmes. The performance appraisal is that it enables the management to make effective decisions or modify their earlier decisions relating to the following issues of H.R.M. I.
Organizational Planning based on potentialities of its human resources.
II.
Human resource planning based on weakness, strengths and potentialities of human Resources.
III.
Organizational effectiveness through performance improvement.
IV.
Fixation and re-fixation of salary, allowances, incentives and benefits.
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v.
Original placement of placement adjustment decisions.
VI.
Identifying training and developments needs and to evaluate effectiveness of training and development programs.
VII.
Career planning and development and movement of employees.
Performance appraisal is that to evaluate the existing plans, information system, job analysis internal and external environmental factors influencing performance like relations with supervisors, working conditions, personal problems of the worker like family, financial and health
GROUP PROFILE The Mourya Inn is one of the best 3 Star Hotel in Rayalaseema, Established in 1995.The mourya Inn is as part of the T.G.V project and investments (p) Ltd., The company was promoted by Sri. T.G.Venkatesh who is a pioneer in the development of T.G.V group. Sri T.G.Venkatesh has accredited with the distinction of establishing number of companies Sri T.G. Venkatesh has received number of awards from theState and Central Government and other reputed organizations for his meritorious services indifferent walks of life.
Different Number of Companies: Sri Rayalaseema Alkalies and allied Chemicals Ltd., Sri Rayalaseema Hi-Strength Hypo Ltd., Sri Rayalaseema Dutch Kassenbouw Ltd., Sri Rayalaseema Galaxy Projects Ltd., Sri Rayalaseema Agro Chemicals Ltd., T.G.V. Projects and Investments Pvt. Ltd., TGV Infosystems Ltd., NARAYANA INSTITUTE OF MANAGEMENT
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Brilliant Industries Ltd., Brilliant Securities Ltd., Gowri Gopal Apollo Hospital. Sri Maruthi Marine Industries Ltd.,
PRESENT ACTIVITIES: The company is presently engaged in the following activities. Hotel Business Hiring of cylinders Constructions and Development of Real Estates Hire Purchase and Leasing Business
DEVELOPMENT OF REAL ESTATES: Shopping Cum Office Complex: The company acquired the land to an extent of 2.32. Acres in the heart of KurnoolTown and adjacent to Kurnool – Bellary Road and every nearer to Kurnool town Railway Station. We have construction of a huge shopping complex and so far we have completed theconstruction of 160 shops. The company is able to general 1, 50,000 /-P.M. in form of rents.
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COMPANY PROFILE A HOME AWAY FROM HOME The company constructed a Three Star Hotel in its own premises, i.e., adjacent of the shopping complex, Bhagyanagar, KURNOOL. The company could able to complete the construction successfully and inaugurated the Hotel before March 1995. The hotel “The Mourya Inn” has been classified, as Three Star Hotel by the Department of Tourism, Govt. of India and it’s a first Three Star Hotel in Rayalaseema region. The Hotel is consisting of 100 double rooms, including 8 suites, one vegetarian Restaurant – AAHAR, One Non – Vegetarian Restaurant SHAMIANA and a conference Halls- DARBAR & PARINAYA to hold conference. The Hotel is centrally air conditioned with all requisite facilities of a Three Star Hotel. The company has spent nearly Rs.6.00 crores for the construction of the Hotel Project. Out of this, the Vysya Bank Ltd., Abids Branch, Hyderabad sanctioned a term loan of Rs.74.40Lakhs and the company is paying the installments and interest regularly and there is an outstanding loan of Rs.8.41 Lakhs. The balance of the investment has been meant with theinternal generations of the company.Aahar is pure vegetarian restaurant serving authentic Indian & Chinese Cuisines.Vihar, a garden Restaurant and Galaxy, a Non- Veg Restaurant serving the best of Indian, Chinese, Continental and Tan door delicacies. For the Sweet Lovers there is Mourya Sweet Palace with an array of Bengali. South Indian and Regional Sweets. Darbar, an Air-Condition Banquet hall is where seminars, Conferences and get-togethers can be organized. There even are special rooms for mini-conferences. Parinaya, the Airconditioned function hall equipped with PA and CC TV systems cam accommodate up to 400 people. A state of the art cyber café gives access to Internet and E-mail
TGV PROJECT & INVESTMENT Pvt. Ltd., Quality Policy
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TGV Projects & Investments Pvt. Ltd., is committed to consumers satisfaction by manufacturing quality products under safe measures, with the participation of all employees”
The Hotel Mourya Inn Quality Policy “To provide comfortable stay with value added Quality Services to make the guests feel The Mourya Inn, is ‘A Home away from Home’ with continuous improvement & participation of all employees”.
INDUSTRY PROFILE T.G.V group of industries, Kurnool. It was started in the year1995. This group was started with rupees 750 crores. Backed by a rich and varied experience spanning more than two glorious decades, is a rapidly growing, well-diversified one. This group was hospitality, entertainment, Salt & aqua culture etc.
A 3000+strong labor base
strength the group resolves to excel.
THE HUMAN TOUCH The TGV group is headed by the dynamic &versatile personality, Tubalam Gouty Senates (TGV).Since three decades period, he did not get any failures in his achievements. “There is no substitute for handwork” is what this simple man believes in deed during his vibrant career. He is closely associated with national programs for human well being such as immunization, eye camps, family planning measures etc. To safeguard the health of his employees, he has mooted a unique “non-smoking & non-smoking & non-alcoholic allowances”.
AWARDS OF TGV:
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He was honoured as the Jaycees man of the year for his in valuable contribution to social welfare. The best “entrepreneur award”, “FICCI award”, “Vijayshree award ”, “ udyogshree award”,” rajiv ratna award”, and scores of others speak for his deep involvement in whatever he undertakes to do. The best “sales tax payer award” proves this uprightness as a responsible Indian citizen.
CHAIRMAN OF TGV GROUP: The TGV son T.G.Bharath is a new age visionary. Overseas education a post graduation in business istration with international management as elective and work experience, plus a disciplined Indian upbringing have in calculated in him, a deep sense of values and a abiding respect for the state-of-the-art. As the chair and managing director of Sree Rayalaseema Hi-strength Hypo Ltd. In addition, as chairman for TGV info systems ltd., TGV Products and investments Pvt Ltd. Sree Rayalaseema Dutch Kassenbow Ltd and brilliant securities Ltd. He has commandeered the companies to the highest level of achievements with in two years. Turnover has doubled, resulting in phenomenal profit soaring as in the case of Sree Rayalaseema Hi-strength Hypo Ltd. Thanks to the imaginative cost-cutting measures introduced by him. T.G.Bharath aims at making the group efforts to think with in the very Near future, and spares no effort in this direct
THE HOTEL MOURYA INN FACILITIES & SERVICES Located in the heart of the city just 1 Km from RTC Bus Stop and ½ Km from Railway Station. Spacious Parking facilities Inside shopping Complex Inside Cinema Theatres Travel Agency with RTC/Railway Ticket & A.P. Tourism Reservation Safe deposit locker NARAYANA INSTITUTE OF MANAGEMENT
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Doctor on call Swimming pool Separate vegetarian and Non-Vegetarian Restaurant Bar facility, sweet place Function hall Cyber café Foreign currency exchange made available Computerized billing system Credit card acceptance
ORGANIZATIONAL STRUCTURE
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MANAGING DIRECTOR
GENERAL MANAGER
FRONT OFFICE
FOOD&BEV ERAGES
HJOUSE KEEPING
PROJECTS&
Maintenance
ROOM SREVICE
MATERIALS
PERSONNEL DEPARTMENT
SWEET PALACE
SECURITY
FRONT OFFICE DEPARTMENT STRUCTURE
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F.O .EXECUTIVE
RECEPTIONIST (3)
INFORMATION
CASHIER (3)
TELEPHONE OPERATOR (3) BELL BOYS (4)
The most important feature of a Hotel is its reception. As it makes the first impression on the customer therefore this department plays a vital role in the service-oriented organization. TheMourya Inn also has a very beautiful and attractive Front Office rendering its best service to the customer. The wide lounge in the front of the Reception Cabin is marketing the atmosphere pleasure one. From this point the service of the Hotel starts and the customer will be treated as the Guest of the Home.
HOUSE KEEPING The department is indirect representation of the entire Hotel because all the cleanliness and service oriented works is to be maintained by this department and also the guest room cleanliness is also to be maintained.
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Managing Director Chief Public Relations Officer Housekeeping in charge
Line Supervisors (1) Guest Call Attendants (2) Guest Call Supervisors (1) Floor / room Attendants Night Supervisors (1)
Room Attendants (3) Laundry
Boys Public Area Supervisors (1) Public area Attendants (6) NARAYANA INSTITUTE OF MANAGEMENT
Workers (3)
Gender (1)
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DEPARTMENT STRUCTURE The immediate action taken by the organization when a customer enters as a guest. i.e., the room cleanliness, change of items like Bed Sheets, pillow covers etc, checking the entire facilities i.e., water supply functioning of A/C is observed by this department and also the daily works such as sweeping, washing of cloths, laundry, cleaning of toilets with hygiene etc.
Ate strictly
maintained. Apart from the rooms, floors, public areas such as reception lobby restaurant, car parking, garden etc are maintained by the same department.
ROOM SERVICES The only department which works around the clock working 3 shifts 8 hours a day. This department renders all the food & beverage items to the customers/guest in the room.
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The only authorized persons to enter into a guest room in the room service waiter.
Managing Director
Chief Public Relation Officer
Room Services Incharge
A shift (7-3) pm Order taker
Boys (7)
B shift (3-11) pm Order Taker
Boys (7)
C shift (11-7)pm Order Taker
Boys (3)
The entire department staff is well trained and is very obsequious such that the guest satisfaction on the services renders by this department is very high
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This department also works round the clock. The pantry service such as snacks and cool drinks are served. Through which full – fledged services are attained. All the varieties of dishes offered are up making at your choice to choose.
PROJECT & MAINTENANCE DEPARTMENT STRUCTURE Managing Director
Chief Public Relations Officer
General Manager
Electrician
Plumber
A/C Maintainer
D/C Maintainer
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The entire maintenance of the Hotel rests with this department.
All the electrical,
plumbing. Air conditioning operations etc., problems are solved.The immediate response given by this department makes the guest to have the facilities and enjoy the services during his Stay.
MATERIALS This department will supply the necessary utensils, spares, tools etc., for all the department messes and make the machines work properly and also will be the bridge to fill the gap ;between the better and the best way of servicing. The Purchase & Inventory is maintained by this department.
PERSONNAL DEPARTMENT Resources are the means, which can be drawn on. They are the means for Production, , defense as well as source of strength and aid. Human resources are the human wealth or means that can be drawn on. Human capital or man power resources of a company can be treated as its Human Resources .It can otherwise be understood as the resourcefulness of the human beings or people available for an organization.
In the context of changing trends ,a well through out and formulated policy for human resources development and management would be necessary due to various reasons.
Human Resources are developed in this organization in accordance with the thrust of the challenges of technical, and leadership requirements of the contemporary world.
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HUMAN RESOURCE DEPARTMENT –CHART
General Manager
Human Resource Manager
Office H.R
Assistant
Security Officer
Guard
SWEET PALACE A place where a variety of sweets are available i.e..,Bengali,SouthIndian North Indian ,Gujarati,Jain and other Religious sweets are saliva secreting products offered to customer. NARAYANA INSTITUTE OF MANAGEMENT
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SECURITY The security provided by the Organization for cars, money,persons etc through various facilities and a professional team is appointed for the security of the entire organization.
SHIFT TIMINGS A
SHIFT
06.00 A.M
to
02.00P.M
B
SHIFT
02.00 P.M
to
10.00P.M
C
SHIFT
10.00 P.M
to
06.00A.M
A
SHIFT
Providing tea and breakfast
B
SHIFT
Persons who attends for B shift be eligible
C
SHIFT
Providing only Tea
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THE MOURYA INN AND ISO 9002 As the
MOURYA INN is
an
ISO
9002 certified organization it has to give the
following details to the Bureau of Indian Standards.
A) Details of the Company a) Name of the firm b) Address c) Address of the ed office d) Status of the unit e) Whether a part of some larger organization B) C)
Number of employees a) Description of category of products or processes for which license is sought b) Quality system assessment schedule c) Details of assessment d) Details of any quality system documentation.
According to the Bureau of Indian Standards Act 1986 a company seeking ISO 9002 Certification must give the following preliminary information. Name of the company, product, composition of top management, Details of technical personnel employed.
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Phases of ISO 9002 Certification: Phase 1 In phase one the quality team will conduct a pre-audit in the company with the evaluation of the questionnaire given
Phase 2 In phase two the quality team will review the documents produced by the company
Phase 3 In phase three a quality team will go for an audit in the company.
Phase 4 In phase four quality team will make surveillance in the organization. After all the phases complete the certification body will report to the company
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Phase 1 Pre-audit in the company (or) Evaluation of the questionnaire
Report to the company
Phase 2 Document Review
Report to the company
Phase 3 Audit the company
Report to the company
Phase 4 Surveillance By the Certification Body
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Report to the Company
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The Indian of system framed the following instructions for the companies applying for the ISO 9002 Certification. 1. To provide efficient timely services 2. To satisfy the customers needs for quality of goods and services 3. To work and act in such a way that each task, performed as individuals or as corporate entity, lead to excellence and enhances the credibility and image of the organization.
2.1 INTRODUCTION Performance Appraisal is a systematic, Orderly and Objective and method of evaluating the present potential resources of the employees in an organization. It helps the employees and the organization in their growth and development. Virtually all companies have some formal or informal means of appraising their employee’s performance. Performance Appraisal may be defined as any procedure that involves. 1. Setting work standards 2. .Assessing the employee’s actual performance relative to these standards. 3. Providing to the employees with the aim of motivation that person to eliminate performance deficiencies to continue to perform above par. Performance appraisal is one o the tools foe motivating the human resource. It plays a prominent role on determining the strengths and weakness of the employees and helps them in controlling their weaknesses by taking necessary and immediate action. But the process of appraising the performance of organization member is made difficult by the fact that the criteria and ineffective performance are frequently difficult to design. NARAYANA INSTITUTE OF MANAGEMENT
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The area of performance for which a single individual is responsible are often unclear and evaluations tend to be based on measurement of actual performance but on the perception and judgment of an individual’s immediate .Supervisor or boss. Some of these vague ambiguous and judgmental characteristics performance appraisal in organization are unavoidable because the complexity of managerial jobs and the difficulties inherent in Cleary deg concrete criteria of effective performance
2.2 DEFINITIONS OF PERFORMANCE APPRASIAL Performance appraisal is the systematic process of measuring and evaluating employees with respect to their performance on the jobs their potential for development.
There are different definitions given by different authors .They are as follows; In the words of HEYEL,”Performance Appraisal is a process of evaluating the performance and qualifications of the employee in of the requirements of the job for which he is employed .For the purpose of istration including placement selection for promotion providing financial rewards and other actions which require differential treatment among the of a group as distinguished from the actions affecting all equally.”
According to YODER Performance Appraisal refers to all formal procedures used in working organizations to evaluate performance contributions and potential of group of associate.
SCOTT CLOTHIR and SPRIGEL defined Merit Rating Performance Appraisal as a process of evaluating the employee performance on te in of requirements of job.
It is a method of evaluating the behavior of employees in the work spot including both quantitative and qualitative aspects of job performance.
FEATURES OF PERFORMANCE APPRAISAL NARAYANA INSTITUTE OF MANAGEMENT
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Performance
Appraisal is the systematic description of an
employees job relevant strengths &weaknesses The basic purpose is to find out how well the employees are performing the job and establish a plan of improvement. Appraisals are arranged periodically according to a definite plan. Performance Appraisal is a continuous process in every large scale organization.
OBJECTIVES OF PERFORMANCE APPRAISAL Objective of Performance Appraisal focus on together employee and organization development. Some of the objectives are: Role Clarity. Self-Assessment Understanding strengths and weaknesses of the employees. Identifying Training & Development needs Better understanding between appraiser and appraise. Goal Setting Recognizing achievements Improves Organizational Performance Identifying potential and capabilities of employees.
Performance Appraisal System can serve the following purposes, if defined properly. 1. It can help each employee to understand more and more about his role and become clear about his functions. 2. It can be instrumental in helping each employee to understand his/her own strengths and weakness with respect to his role and functions in the company. NARAYANA INSTITUTE OF MANAGEMENT
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3. It can help in identifying the development and training needs of each employee. 4. It can to increase mutual understanding between appraise and appraiser. 5. It can be an instrument to provide an opportunity for the employee for self appraisal and goal setting. 6. It can help and individual to identify himself/herself with the organization. Its objectives and culture. 7. It can help organization to note and recognize achievements. 8. It can help organization to identifying the pot4ential of its employees for future needs. 9. It can help in identifying and analyzing the problems in achieving the objectives and thus finding solutions. 10. Last, but not the least, it can assist in variety of personal decision by generating data for each employee periodically.
Need for Performance Appraisal: Performance appraisal is needed in order to: Provide information about the performance ranks basing on which decision regarding salary fixation, confirmation, promotion transfer etc., Provide information about the level of achievement and behaviors of subordinate. Provide information which helps to counsel the subordinate. To prevent grievances and in disciplinary activities.
Who will Appraise: Supervisors: Who have thorough knowledge about the work of employee and department head or manager. They are superiors etc.
Peers : Who are in equal status or colleagues to the employees in the Organization.
Subordinate: This concept is used by many organizations today. It is useful NARAYANA INSTITUTE OF MANAGEMENT
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in identifying competent superiors.
Self Appraisal: Employees who appraise their own performance and to achieve the goals of organizations.
Challenges to Performance Appraisal: Create a culture of excellence that inspires every employee. Match organizational objectives to individual aspirations. Equip people with the skills necessary to perform their duties. Clear growth paths for specially talented individuals. Empower employees to take decisions without fear of failing
METHODS OF PERFORMANCE APPRAISAL Appraisal methods can be classified into two types. 1. Traditional Methods. 2. Modem Methods
Traditional Methods: Traditional methods of performance appraisal are all based on the judgment of the superior regarding the performance of the subordinates. The later may use different types of methods in judging the rate. Some of the methods are: 1. Graphic rating Scale Method: It is one of the oldest and most popular methods. This method assesses the factor such as quality of work, job knowledge, co-operating, loyalty, dependability and etc the rater will record their opinion indicating the degree on a graph. Rating scale may be exceptional above average.
Average, below graph, poor and
weightage can be assigned as 5, 4,3,2,1.
2. Forced Choice Method: NARAYANA INSTITUTE OF MANAGEMENT
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This is a special type of check lists in this the Statements are grouped. Each group consists of favorable and unfavorable statements. This will reduce the bias and distortion.
3. Paired Comparisons: This method is calculated by taking the total of {n (n-1)}/2 Comparisons. It ranks the individual in relationship to all others on a one-on one basis. But this method is unwieldy when large numbers of employees are being compared.
4. Individual Ranking : In this method the evaluator will list the employees in an order from higher to lower. No ties are allowed in this method. And the advantages and disadvantages are as same as group order ranking.
5. Check list Method: In this method the evaluator uses a list of behavior and applies do the employee. In this the rater and the scorer are different, so bias is reduced. Some drawbacks are there it is possibility to introduce a bias and also it is inefficient if there are number of jobs.
6. Essay Appraisal: In this the later will write a narrative describing employee’s strengths, weaknesses, past performance, potential and suggestions, for improvement. The strength of this methods lies in its simplicity and no complex forms or extensive training to complete weaknesses are it is unstructured, varies widely in of length and con tent, difficult ;to compare individual also the rates writing skills may vary.
7. Critical Incident Appraisal: The raters focus on the critical key behaviors that makes between doing a job effectively. Strength of this appraisal is it desirable and which one’s call for improvement. Drawbacks are Appraisers are required to write regularly and it may be burdensome for managers, critical incidents may suffer from the comparison problem, therefore comparison and ranking of subordinates is difficult.
8. Group Appraisal: NARAYANA INSTITUTE OF MANAGEMENT
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Under this method, an employee is appraised by a group of appraisers. This group consists of the immediate supervisor of employee, to other supervisors who have close with the employees work, manager.
The head of the
department or manager may be the chairman of the group and the immediate supervisor may act as the coordinator for the group activities.
Modern Methods: 1. Behaviorally Anchored Rating Scales[BARS]: The behaviorally anchored rating scales method combine elements of the traditional rating scales and critical incidents- effective and ineffective behaviors are described more objectively. BARS are also referred as Behavioral exception Scales Smith and Kendall first developed there in the year 1963. BARS and graphic rating with a series of dimensions or qualities along which the rater is asked is rate or appraiser the persons being evaluated. However BARS differ dramatically from the Graphic Rating Scale as below.
The way in which the dimensions along which subordinates are to be rated are identified.
The way in which various alternative responses along with the rating scales are described or “anchored”.
The common rating errors to which individuals are proving when making judgment are: 1. Strictness and tendency 2. Central tendency 3. Halo effect 4. Regency 5. Personal bias 6. Contrast effects 7. Attribution errors Behavioral Exception Scales (BES) utilizes behavioral descriptions at various positions on the scales. Each represent a dimension at various position on the scales,. Each represents a dimension consider important to perform. NARAYANA INSTITUTE OF MANAGEMENT
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Behavioral expectation scales (BES) were compared to summated scales for leniency error, discriminating (among raters), inter raters agreement, and constancy of tater individual differences across dimensions,
Less lenience error and inter rater
agreement were found for item- analyzed summated scales. Emphasis also placed on BARS as an observation- rating system that provides date for the assessment of estimates of accuracy for individual rater. A great deal of search work had gone into the effects of rater response biases on using behaviorally anchored rating scales. BARS are advantageous that they reduce rating error by. 1. Job dimensions are clearly defined for the rater and relevant to the job performed. 2. The behavioral anchors clearly define the response categories available to the rater the never less some of other rating errors are still present Leniency error and composite halo error were present in all ratings: there was no evidence of relative or absolute halo errors in any rating. There was some evidence that use of scales for desired dimensions reduced leniency and increased the amount of variances attributable to rate difference. 2. Management By Objectives (MBO) Management by objectives that convert organizational objectives into individual objectives. MBO system can serve as the basis for design of on organization performance appraisal system and is particularly well suited to higher level managerial jobs for which techniques such as BARS may be inappropriate or inapplicable. MBO is an example of result based methods of performance appraisal. Under individuals are evaluated as the basis what they accomplish not how they get the job done. The are four important steps involved in the application of MBO to performance appraisal. They are 1. Goal setting 2. Action Planning 3. Self-control 4. Periodic previews
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In goal setting the organization goals are divided into departmental and individual goals. In individual level manager and subordinate identifies the critical ones in order to fulfill the requirements of the job. These goals then become stands by which the employees result will be evaluated. In action planning, the realistic plans are developed to attain the objectives. This step includes identifying the activities, establishment the critical relationships, estimating the time requirements and determining the resources required to complete each activity. Self-control refers to the systematic monitoring and measuring of performance. MBO philosophy is built on the assumption that individual can be responsible, self-directive but doesn’t require external control and threats of punishment motivate them to work. In periodic program reviews corrective action is taken when behavior deviated standards.
ing to MBO philosophy manage subordinate reviews are
conducted in a constructive rather than punitive manner.
3. Human Resource ing: Human Resource ing deals with cost of and contribution of human resources to the organization. Cost of the employee includes cost of manpower planning, recruitment, selection, placements induction, training, development, wages and benefits etc., Employees contribution is the money value of the employee’s service which can be measured by labor productivity or value added by human resources.
Essential Characteristics of an effective appraisal system:
Appraise on the basis of representative, sufficient and relevant information.
Be honest in assessing all the facts he has obtained.
on appraisal information only to those who have a good reason to want it.
Reliability and validity
Job relatedness.
System of Performance Appraisal NARAYANA INSTITUTE OF MANAGEMENT
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Performance Appraisal is a nine step process Establish Performance standards Communicate standards / expectations to the employees Measure accrual performance by the following the instructions Adjust the actual performance due to environment influence Compare the adjusted performance with the others and previous Compare the actual performance with standards and find out deviations if any Communicate the actual performance to the employees concerned Suggest changes in job analysis and standards if necessary Follow up performance appraisal report In the first stage performance standards are established based on the job description and job specitication.The standards should be clear, objective and incorporate all the factors. The second stage is to inform these standards to all the employees including appraisers. The Third stage is following the instructions given for appraisal, measurement of employee performance by the appraisers through observation, interviews, records and reports. Fourth stage is finding out the influence of various internal and external factors on an actual performance .The influence of these factors may be either including (or) hindering NARAYANA INSTITUTE OF MANAGEMENT
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the employee performance .The measured performance may be adjusted according to the influence of internal and external factors. The performance derived at this stage may be taken as actual performance. Firth stage is comparing the actual performance with that of other employees and previous performance of the employee and others. This gives an idea where the employee stands If the performance of all the employees is ranked either too high (or) low, there may be something wrong with the standards and job analysis. Sixth stage is comparing the actual performance with the standards and finding out deviations. Deviations may be positive (or) negative .If the employee’s performance is more than the standards it is positive deviation and vice-versa is negative deviation. Seventh stage is communication the actual performance of the employee and other employees doing the same job and discuss with him about the reasons (or) negative deviations from the pre-set standards as the case may be. Eight stage is suggesting necessary changes in standards, job analysis, internal and external environment.
RESEARCH DESIGN TITLE: A STUDY ON PERFORMANCE APPRAIASL AT MOURYAI-NN KURNOOL.
NEED FOR STUDY: Organizations today believe that every individual has potential and strengths those human capabilities can be sharpened, developed and utilized better. Performance appraisal can serve very useful purpose towards shaping, developing and utilizing their potential and capabilities of the employees. It is an effective tool for growth of both individual and organization. So there is a need to have better Performance Appraisal system .Hence the study is undertaken.
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OBJECTIVES OF THE STUDY: 1. To find the perception of the employees on Performance Appraisal system. 2. To identify the shortcomings of the existing appraisal system 3. To identify the factors if any, that should be included in the appraisal system. 4. To give appropriate suggestions for the improvement of performance appraisal in the organization,
SCOPE OF THE STUDY: The scope of the study encomes the area of performance appraisal system in Human Resource Management, The study is confined to the Manager and Food &Beverages section only.
LIMITATIONS OF THE STUDY: This is a time bound of twelve weeks study project hence deep study of entities is not possible. Findings of the study are based on the assumptions that the respondents have divulged. Persuading the respondents to answer the questionnaire was not an easy task. METHODOLOGY:
Population:
The total numbers of employees are 200
Sample Size:
Out of the population 100 employees are taken as a sample size. NARAYANA INSTITUTE OF MANAGEMENT
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Sampling Technique:
The sampling technique used is simple random sampling.
Tool for data collection:
The method for data collection used in the study is personal interview with the help of a structured questionnaire. DATA SOURCES: The data is collected from the two sources. 1. Primary Data
2.Secondary Data
Primary Data: Primary data is collected through personal interaction through questionnaire by direct method and through informal meetings and observation.
Secondary Data: To meet the above objectives of the primary data has been collected from a sample of employees. A structured questionnaire is adopted to collect the data form a representative sample. The model questionnaire has been added in the appendix. As a total number of employees are 200, a sample of 100 has choosen which can represent the whole. Sample number 100 has assigned keeping view of the organizers recommendations and a constraint inherent to shift work, on lean situations, part time workers accept. The data has been analyzed by graphical techniques which are taken in analysis part. The interpretations and findings are summarized in findings and conclusion part. At the end suggestions and recommendations are given due considering on all my undertakings and interpretation.
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Appraisal System at Mourya-Inn The performance rating at Mourya-Inn is based on 9 factors
Job Knowledge
Volume of output
Efficiency &Effectiveness.
Quality of output.
Regularity
Punctuality.
Initiative and Co-ordination
Initiative.
Learning aptitude.
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Customer Care.
The total marks of these factors are 100. The most important factors are:
Job Knowledge
Volume of output.
Efficiency of work.
Quality of Output.
Weightage of these factors is 20 .Each factor again divided into categories called as degrees like.
Degree 1
Degree2
Degree 3
Degree 4
Degree 5
Merit rating depends on these degrees
Table - I
Weigh
Degree 1
Degree 2
Degree 3
Degree 4
Degree 5
Knowledge
Knowledge
Knowledge
Very good
Wide
KNOWLED
below
not adequate sufficient
knowledge of
knowledge of
GE
requirement
but tries to
for present
his job and fair
his job and
Makes no
improve
job
knowledge of
related
requirement
related jobs
function
t age JOB
4
effort to
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Points
Factor
improve Very low
Output
Normal
High volume of
Exceptionally
OF
out put
barely
expected
output
high output
OUTPUT EFFICIENC 6
Very low
adequate Efficiency
output Normal
High efficiency
Exceptionally
Y OF
efficiency of hardly
expected
of work
high
work Quality
adequate Quality
efficiency Quality of
High and
efficiency Consistently
OF
below
barely up to
acceptable
accurate quality
thorough and
OUTPUT
standard
the mark
norms
of work
accurate
makes no
needs
quality of
effort to
constant
work
improve
check
VOLUME
WORK QUALITY
6
4
Merit rating below third degree disqualifies the employee fore promotion, rewards and increments. Merit rating below third degree should communicated back to employee immediately, so that the employee can improve his performance during the subsequent period. Remaining other factors weightage is “80”. The maximum Marks for Attendance is “8”
If the attendance is above 280 days the Marks awarded is “8”.
If the attendance is between 271-280 days the Marks awarded is “7”
If the attendance is below 261-270 days the Marks awarded is “4”
If the atte4ndance is lass than 260 days the Marks awarded is “0”.
Maximum Marks for Punctuality is “7” In the punctuality the sub factors are
0-15 Minutes late 3 fides in an appraisal, Here the Marks awarded is “7”
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16-25 minutes late 4 times in an appraisal, the Marks awarded are “4”.
Above 35 minutes late 3 fides in an appraisal period will carry, here the Marks awarded will be”0”.
Maximum Marks for involvement is work is “20” This factor comprises of elements such as
Response Time
Work Planning
Work co-Ordination
Communication and feed back. Marks awarded for every element is”5” The factor is “Initiative”. The maximum Marks for initiative is “15”. The Ninth factor is “learning aptitude” the maximum marks for learning aptitude are “15”.
The elements are:
Number of training programmes attended. The maximum marks awarded are “8”.
Newly acquired skills on the job. The maximum marks awarded are “7”.
Performance appraisal is done based on all there of factors in “Mourya Inn”.
The time schedules for the performance. Appraisal programs are:
Quarterly
Half-yearly
Annually
Annual appraisal programs are conducted for fixations and Re-fixation Of Salary, allowances, incentives, and benefits. The performance rating at “Mourya-Inn” done by 2 raters i.e.,
Rater -I Rater – II Table:-II RATER I
RATER II
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Signature Designation Date First the performance rating would be given be the asst-Manager i.e., Rater-I, depends on Asst. Managers rating the manage i.e., Rater II would be present his own rating to the4; management of further proceedings. When the employee performance is below the standards, the rater should be communicated the employee thought the caution letter called as. Reminder I Reminder II Reminder III Reminder IV After Receiving 3 caution letters if the employee does not improve his performance, with out notice, the employee will be sent out from the organization with reminder IV. Rating should be done every quarterly and personal like and dislikes have a “Hallow effect” on the rater.
1) Do you know about Performance Appraisal
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Inference: From the above table 100% of the employees opined that they know about Performance Appraisal.
Opinion
No of respondents
Percentage
Yes
100
100
Partially
0
0
Known No
0
0
Total
100
100
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2) What do you think is the basic purpose of Performance Assessment
Purpose Training&
No of Respondents 58
Percentage 58
Development Career planning Remuneration H.R requirement All
6 4 0 32
6 4 0 32
Inference: From the above table 58% of the respondents opined the basic purpose of Performance Assessment is Training&Development,6% as career planning, 4% as Remuneration, 32% as all the above.
3) Can you suggest any method for Appraisal of Performance NARAYANA INSTITUTE OF MANAGEMENT
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Method
No of Respondents
Percentage
360
2
2
Appraisal Group
32
32
Appraisal Interview Descriptive
8 58
8 58
Analysis Total 100 100 Inference: In the above table 2% of respondents suggested 360 Appraisal method, 32% Group Appraisal, 8% Interview,58% Descriptive Analysis
4) How frequently is the Performance Appraisal system conducted NARAYANA INSTITUTE OF MANAGEMENT
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Frequency Quarterly Half Yearly Annual Yearly All Total
Inference:
No of Respondents 18 24 14 44 100
Percentage 18 24 14 44 100
From the above table 24% of the respondents said that the appraisal
should be conducted half yearly,44% of the respondents said its houls be conducted all
5).How is the performance appraisal system in your organization
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Opinion Excellent Good Average Bad Total
No. of respondents 00 52 48 00 100
Percentage 00 52 48 00 100
INFERENCE: From the above table 52% of the respondents opined that appraisal system is good.,42% as average
6).what do you think the contents for assessing the performance?
opinion
No. of respondents percentage
Jobandwork performance Regularity in attendance Behavior All the above Total
32 8 20 40 100
NARAYANA INSTITUTE OF MANAGEMENT
32 8 20 40 100 Page 44
INFERENCE:
From the above table 32% of the respondents opined that the
contents for assessing the performance is job and work behavior, and 40% opined that all the above in the table are considered for assessing the performance.
7). who rates your performance? opinion
No. of respondents
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Percentage Page 45
Immediate superior Subordinates Self appraisal All the above Total
58 12 10 20 100
58 12 10 20 100
INFERENCE: he above table 58% of the respondents opined that the performance is rated by Immediate superior, 20% opined suggested all the above.
8).Does the appraisers need training? Opinion Yes No Total
No of respondents 20 80 100
NARAYANA INSTITUTE OF MANAGEMENT
percentage 20 80 100 Page 46
INFERENCE: From the above table 80% of the respondents opined that the appraisers did not need training, 20% opined they need training.
9). Do you think the present appraisal system is effective Opinion Agree Disagree Undecided Total
No of respondents 80 16 4 100
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percentage 80 16 4 100
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Inference: From the above table 80% of the respondents opined that they agree that the present appraisal system is effective.
10).
Do you think the performance appraisal is to identify the
individual level?
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Opinion
No of respondents
percentage
Agree Disagree Undecided Total
84 12 4 100
84 12 4 100
INFERENCE: From the above table 84% of the respondents agree that the performance appraisal is to identified the individual level .
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FINDINGS Majority of employees opine that the basic purpose of Performance Appraisal is training and development. Most of the employees suggested Descriptive Analysis method for performance appraisal. Almost 75% of the employees agreed that performance appraisal in the organization is good. Many of the employees accept that the contents for assessing performance are Job & work Performance, Regularity in attendance and Behavior in the organization. The employees of the organization agreed that the performance appraisal system should conduct Half Yearly. Many of the employees agreed that it is essential to provide training to the appraisers. 84% of the employees agreed that performance appraisal is to identify individual level. 90% of the employees accept that they are receiving regular about their performance. 90% of the employees agreed that performance appraisal system serve as a basic for other H.R activities. 90% of the employees accept that they are satisfied with existing performance appraisal system. 80% of the employees agree that the present appraisal system is effective
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SUGGESTIONS 1. The appraiser should be trained to develop skills required to carry out performance appraisal and to overcome various appraisal errors.
2. Self appraisal of the employees should also be taken into consideration while filling Annual Confidential Reports.
3. The organization should provide ive environment to the appraiser to conduct performance appraisal in a fair and unbiased manner.
4. Performance evaluation should taken place with a close involvement of superiors using a training plan.
5. In the promotion decision the performance of the employee should also taken into consideration along with the experience. The merit-cum-seniority method can be followed.
6. The employee should be given specify, timely, understandable and constructively developed feed back.
7. The company should go for periodic auditing of the appraisal process with the help of an experienced consultant. It is helpful to identify and rectify the shortcomings of the appraisal process.
8. The organization should design Training and Development programmers and Career development programmers on identified shills or knowledge needs.
9. The organization should reorganize achievements of the employees and should reward them.
10. The organization should design an effective performance appraisal system which facilitates mutual goal setting and .An M.B.O system can
be
incorporated to facilitate objective in goals set.
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QUESTIONNARE NAME
:-
GENDER
:-
EDUCATIONAL QUALIFICATION:-a) S.S.C b) Intermediate c) Degree d) P.G e) Diploma f) Any Other Occupation/Designation Date of ing
::-
Department
:-
1) Do you know about Performance Appraisal? a) Yes
b) partially Known
c) No
2) What do you think is the basic purpose of Performance Assessment? a)Training & Development c) Remuneration
b)Career Planning. d) H.R requirement
3) Can you suggest any method for Performance Appraisal? a) 360 0 Appraisal c)Interview
b) Group Appraisal d) Descriptive Analysis
4) How frequently is the performance appraisal system conducted? a) Quarterly
b) Half Yearly
c) Annual Yearly
5) How is the performance appraisal system in your organization? a)Excellent
b)Good
c)Average
d) Bad
6) What do you think the contents for assessing the performance? NARAYANA INSTITUTE OF MANAGEMENT
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a)Job & Work Performance c) Behavior in the Organization
b)Regularity in attendance d) All the above.
7) Who rates your Performance? a)Immediate Superior
b)Subordinates
c) Self Appraisal
d) All the above.
8) Does the appraiser need Training? a) Yes
b) No
BIBLIOGRAPHY
PERSONNEL MANAGEMENT
EDWIN FL IPPO
EVALUATING EMPLOYEE PERFORMANCE
PAUL J.JERONE
PERSONNEL /HUMAN RESOURCE MANAGEMENT PERSONNEL MANAGEMENT AND INDUSTRAIKL RELATIONS
NARAYANA INSTITUTE OF MANAGEMENT
P.SUBBA RAO. TRIPATHI
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