SUMMER TRAINING REPORT

ON
PERFORMANCE AAPRAISAL
AT

BADVE ENGENEERING LTD.

THE PARTIAL FULFILLMENT OF THE DEGREE

OF
BACHELOR OF BUSINESS ADMINISTRATION

Submitted To:

Submitted By:

Miss. Astha bhutani

Rishi kumar

Asst. professor

BBA 5th sem.

Devsthali Vidyapeeth

RollNo.1266250023

Lalpur , Rudrapur

ACKNOWLEDGEMENT
I would like to thanks management Department of college towards the
organization of project of such nature for this successful completion needs
cooperation and support of people. I have been fortunate to get constant
guidance & encouragement from many which helped me a lot to be successful
in any efforts. This formal acknowledgement will hardly be sufficient to
express one deep sense or gratitude to all of them.

I am thankful to Mr.Harsh Saxena (HR & IR), Mr. Sanjay Rai and Mr.
Krishan Mohan Tiwari for their continuous guidance and help through
out the project.
I would like to thank Miss. Astha bhutani

(Asst. Professor) for her guidance.

I would also like to acknowledge those persons who have directly and indirectly
helped me in completing the project.

Rishi kumar
B.B.A. (5th sem.)

STUDENT DECLARATION

I Rishi kumar student of BBA IV sem. Of DEVSTHALI VIDYAPEETH

INSTITUTE hereby declare that this project report on
PERFORMANCE AAPRAISAL
is written and submitted by me under the guidance of Miss. Astha Bhutani
is my original work.
The entire analysis and conclusion of this report are based on the
information which is collected by me during the training period.

The empirical finding in the report are based on the data collected myself
while preparing this project. I have not copied anything from any source or
other project submitted for the similar purpose, if any.

( RISHI KUMAR)

CONTENTS

CHAPTER 1
Introduction

Company profile
CHAPTER 2
Performance aapraisal
Method of performance aapraisal
How Performance Appraisal can contribute to Firm's
CHAPTER 3
Research Methpdplogy
Objective Of The Study

CHAPTER - 4
Data Analysis
CHAPTER 5
Conclusion & Recommendation
Findings
BIBLIOGRAPHY ANNEXURE

CHAPTER 1
INTRODUCTION

COMPANY PROFILE

Badve Engineering Limited was formed in 1995. The Badve Engineering

Limited,Rudrapur is engaged in fabrication of silencer of many companies.

Location & Surrounding of BEL

The plant is situated at a distance of 12 km from Rudrapur Railway Station and
6 km from bus stand in the Sidcul Industrial Area.

The neigbouring features are discussed below:

East side
West side
North side
South side

Open Land
Pricol Industries
Suprajit
Industrial road

Plants operate in shifts.General shift is from 9:00 a.m. to 5:30 p.m...The general
shift is for administrative, technical and accounts staff. All operations are
carried out in shifts.

Valued Customers of BEL (Metal parts) :

Bajaj Auto Ltd.

Tata Motors Ltd.
Royal Enfield
Valco
Gabriel India
Tata Johnson Controls
Lambardini India
Ingersoll Rand

 General Motors
LG Electronics
Facility Available : Fabrication shop
Press Machines
Paint Shop(internal & external)
Shot Blasting
Tool Room
Buffing
Autophoretic Plant

CHAPTER 2
PERFORMANCE AAPRAISAL

MEANING & DEFINATION OF PERFORMANCE APPRAISAL

An organizations goals can be achieved only when people put in their best
efforts. How to ascertain whether an employee has shown his or her best
performance on a given job?
The answer is performance appraisal. Employee assessment is one of the
fundamental jobs of HRM. But not an easy one though. This chapter is devoted
to a detailed discussion of the nature and process of conducting performance
appraisal.
In simple terms, performance appraisal may be understood as the assessment of
an individual's performance in a systematic way, the performance being
measured against such factors as job knowledge, quality and quantity of output,
initiative, leadership abilities, supervision, dependability, co-operation,
judgement, versatility, health, and the like. Assessment should not be confined
to past performance alone. Potentials of the
Employee for future performance must also be assessed.

A formal definition of performance appraisal is:

It is the systematic evaluation of the individual with respect to his or her
performance on the job and his or her potential for development.
A more comprehensive definition is:
Performance Appraisal is a formal structured system of measuring and
evaluating an employees job related behaviors and outcomes to discover how
and why the employee is presently performing on the job and how the employee
can perform more effectively in the future so that the employee organization
and society all benefit.
The second definition includes employees behaviour as part of the assessment.
Behaviour can be active or passive--do something or do nothing. Either way
behaviour affects job results. The other terms used for performance appraisal
arc: performance rating, employee assessment.
performance evaluation employee evaluation and (perhaps the oldest of the
terms used) merit rating. In a formal sense, employee assessment is as old
as, the concept of management and in an informal sense; it is probably as old as
mankind. Nor performance appraisal is done in isolation. It is linked to job
analysis

METHODS OF APPRAISAL

The last to be addressed in the process of designing an appraisal

programme is to determine methods of evaluation. Numerous
methods have been devised to measure the quantity and quality of
employees job performance. Each of the methods discussed could be
effective for some purposes, for some organizations. None should be
dismissed or accepted as appropriate except as they relate to the
particular needs of the organization or of a particular type of
employees. Broadly, all the approaches to appraisal can be
identified into (i) past-oriented methods, and (ii) future-oriented
methods. Each group has several techniques below:
Past-Oriented Methods

Rating Scales: - This is the simplest and most popular technique for
appraising employee performance; the typical rating-scale system
consists of several numerical scales, each representing a job-related
performance criterion such as dependability, initiative, output,
attendance, attitude, co-operation, and the like. Each scale ranges
from excellent to poor.
The rater checks the appropriate performance level on each criterion,
then computes the employees total numerical score. The number of
points scored may be linked to salary increases, whereby so many
points equal a rise of some percentage.

RATING SCALE
Instructions: - For the following performances factors, please
indicate on the rating Scale your evaluation of the employee named
below:
Employees Name: Department
Raters Name Date.
Appraisal
Methods
Excellent Good Acceptable Fair Poor
54321
1. Dependability ------ ------ ------ ----- ----2. Initiative ------ ------ ------ ----- ----3. Overall Output ------ ------ ------ ----- ----4. Attendance ------ ------ ------ ----- ----5. Attitude ------ ------ ------ ----- ----6. Co-Operation ------ ------ ------ ----- ----7. Quality of Work ------ ------ ------ ----- ----TOTAL + + + +

TOTAL SCORE : -

Rating scales offer the advantages of adaptability, relatively easy use

and low cost.
Nearly every type of job can be evaluated in a short time, and the rater
does not need any training to use the scale.
The disadvantages of this method are several. The raters biases are
likely to influence evaluation, and the biases are particularly
pronounced on subjective criteria such as cooperation, attitude and
initiative. Furthermore, numerical scoring gives an illusion of
precision that is really unfounded.

Checklist: Under this method a checklist of statements on the traits of the

employee and
his or her job is prepared in 2 columns viz., a Yes column and a
No column. the rater (immediate superior) should is tick the Yes
column if the answer to the statement is positive and in column No
if the answer is negative. A typical checklist is given in the table
below. After ticking off against each item, the rater forwards the list to
the HR department. The HR department assigns certain points to each
Yes ticked.
Depending upon the number of Yes the total score is arrived at.
When points are allotted to the checklist, the technique becomes a
weighted checklist. The advantages of as checklist are economy, ease
of administration, limited training of rater, and standardization. The
disadvantages include susceptibility to raters biases (especially the
halo effect), use of personality criteria instead of performance criteria,
misinterpretation of checklist items, and the use of improper weights
by the HR department. Another disadvantage of this approach is that
it does not allow the rater to give up relative ratings.

Table: - Checklist for Operators

SR.
NO.
QUESTIONS YES NO
1. Is the employee really interested in the job? - 2. Does he or she possess adequate knowledge about the job - 3. Is his or her attendance satisfactory? - 4. Does he/she maintain his/her equipment in good condition? - 5. Does he/she co-operate with co-workers? - 6. Does he/she keep his/her temper? - 7. Does he/she obey orders? - 8. Does he/she observe safety precautions? - 9. Does he/she complete what he/she commences? - 10. Does he/she evade responsibility? - -

Forced Choice Method: In this, the rater is given a series of

statements about an employee. These statements are arranged in
blocks of 2 or more, and the rater indicates which statement is most or
least descriptive of the employee. Typical statements are :
1. Learns fast _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ works hard
2. Work is reliable_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ performance is a
good example for
3. Absents often_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ others usually tardy.
As in the checklist method, the rater is simply expected to select the
statements that describe the rate. Actual assessment is done by the HR
Department.
This approach is known as the forced choice method because the rater
is forced to select statements, which are readymade. The advantage of
this method is the absence of personal bias in rating. The disadvantage

is that the statements may not be properly framed they may not be
precisely descriptive of the ratees traits.
Forced Distribution Method: - One of the errors in rating is leniency
clustering a large number of employees around a high point on a
rating scale. The forced distribution method seeks to overcome the
problem by compelling the rater to distribute the ratees on all points
on the rating scale.
The method operates under an assumption that the employee
performance level conforms to a normal statistical distribution.
Generally, it is assumed that employee performance levels conform to
a bell shaped curve. For example, the following distribution might be
assumed to exist excellent 10 %, good 20 %, average 40 %, below
average 20 %, and unsatisfactory 10 %.
The major weakness of the forced distribution method lies in the
assumption that the employee performance levels always conform to a
normal distribution. In organizations that have done a good job of
selecting and retaining only the good performers, the use of forced
distribution approach would be unrealistic, as well as possibly
destructive to the employee morale.
The error of central tendency may also occur, as the rater resists from
placing an employee in the lowest or in the highest group. Difficulties
also arise for the rater to explain to the rate why he or she has been
placed in a particular group. One merit of this approach is that it seeks
to eliminate the error of leniency. However, the forced choice method
is not acceptable to raters and ratees, especially, in small groups or
when group members are of high ability.
Critical Incidents Method: The critical incidents method of employee
assessment has generated a lot of interest these days. The approach
focuses on certain critical behaviors of an employee that make all the
difference between effective and non-effective performance of a job.
The supervisors as and when they occur record such incidents.
Behaviorally Anchored Rating Scales: -

Behaviorally Anchored Scales, sometimes called behavioral

expectation scales, are rating scales whose scale points are determined
by statements of effective and ineffective behaviors. They are said to
be behaviorally anchored in that the scales represent a range of
descriptive statements of behavior varying from the least to the most
effective. A rater must indicate which behavior on each scale best
describes an employees performance.
Behaviorally anchored rating scales (BARS) have the following
features:
1. Areas of performance to be evaluated are identified and defined by
people who will use the scales.
2. The scales are anchored by descriptions of actual job behavior that,
supervisors agree, represent specific levels of performance. The result
is a set of rating scales in which both dimensions and anchors are
precisely defined.
3. All dimensions of performance to be evaluated are based on
observable behaviors and are relevant to the job being evaluated since
BARS are tailor-made for the job.
4. Since the raters who will actually use the scales are actively
involved in the development process. They are more likely to be
committed to the final product. BARS were developed to provide
results which subordinates could use to improve performance.
Superiors would feel comfortable to give feedback to the rates.
Further, BARS help overcome rating errors. Unfortunately, this
method too suffers from distortion inherent in most rating techniques.
Field Review Method : This is an appraisal by someone outside the, assessors own
department. Usually someone from the corporate office or the HR
department. The outsider reviews Employee records and holds
interviews with the ratee and his or her superior.
This method is primarily used for making promotional decision at the
managerial level. Field reviews are also useful when comparable

information is needed from employees in different units or locations.

Two disadvantage of this method are:1. An "outsider" is usually not familiar with conditions in an
employees work environment which may affect the employee's
ability or motivation to perform.
2. An 'outsider' review dose not have the opportunity to observe
employee behavior of performance over a period of time and in a
variety of situations. But only in an artificially structured interview
situation which extends over a very short period of time.
Performance Tests and Observations : With limited number of jobs, employee assessment may be based
upon a test of knowledge or skills. The test may he of the paper-andpencil variety or an actual demonstration of skills. The test must he
reliable and validated to be useful. Even then, performance tests are
apt to measure potential more than actual performance. In order for
the test to be job related, observations should he made under
circumstances likely to be encountered. Practicality may suffer if
costs of test development or administration arc high.
Confidential Records : Confidential records are maintained mostly in government
Departments. Though its application in the industry .not ruled out.
ITI. for example. Had followed this method for a long time. Called
the Annual Confidential Report (ACR). the approach had 14 items : (i) attendance. (ii) Self-expression (written or oral). (iii) Ability to
work with others. (iv) Leadership. (v) Initiative. (vi) Technical ability
(job knowledge). (vii) ability to understand
new material. (viii) ability to reason, (ix) originality and
resourcefulness. (x) areas of work that suits the person best. (xi)
judgement. (xii) integrity. (xiii) responsibility and. (xiv) and defectindebtedness. Memo served. etc. Twelve of these were filled on a four
point grade scale (Excellent. Good. Fair and Poor). For integrity. there
were special instructions from the management. Justification was

required for outstanding or poor rating. Over:!!! rating on a five-point

scale was separately given (Outstanding. Very good. Good. Average,
Poor). again with justification for rating as outstanding or poor.
Recommendations for promotion were also given. The ACR
contained recommendations and signature of the rater. the head of the
department and the CMD.
The system was highly secretive and confidential Feedback to the
assessee was given only in case of an adverse entry. The AC'R was
highly subjective. Ratings were easily manipulated because the
evaluation was linked to promotion. Even ITI has discontinued ACR
system for these reasons.
Essay Method : In the essay method the rater must describe the employee within a
number of broad categories such as (i) the rater's overall impression of
the employee's performance. (ii), the promo ability of the employee
(iii) the jobs that the employee is now able or qualified to perform
(.iv) the strengths and weaknesses of the employee. and (v)the
training and the development assistance required by the employee.
Although this method may be used independently, it is most
frequently found in combination with others. It is extremely useful in
filing information gaps about the employees that often occur in the
better structured checklist method.

The strength of the essay method depends on the writing skills and
analytical ability
of the rater.
However many raters do not have good writing skills. They become
confused about what to say. How much they should state and the
depth of the narrative The essay method can consume much time
because the rater must collect the information necessary to develop

the essay and then he or she must write it The essay method also
depends on the memory power of the rater.
A problem with this method is that the rate may be rated on the
quality of the appraisals that they give. The quality standard for the
appraisal may be unduly influenced by appearance rather than
content. Thus. a 'high quality' appraisal may provide little useful
information about the performance of the rate.
Ranking Method : In this, the superior ranks his or her subordinates in the order of their
merit, starting from the best to the worst. All that the HR department
knows is that A is better than B. The, 'how' and 'why' are not
questioned, nor answered. No attempt, is made to fractionalise what is
being appraised into component elements. This method is subject to
the halo and recency effects, although rankings by two or more raters
can be averaged to help reduce biases. Its advantages include ease of
administration and explanation.
MANAGEMENT BY OBJECTIVES : It was Peter F. Drucker who first gave the concept of MBO to the
world way back in 1954 when his The Practice of Management was
first published. The MBO concept, as was conceived by Drucker,
reflects a management philosophy which values and utilizes employee
contributions. Application of MBO in the field of performance
appraisal is a recent thinking.
The MBO process seems to be most useful with managerial personnel
'and employees who have a fairly wide range of flexibility and selfcontrol in their jobs. Besides, when the result of an MBO system are
to be used to allocate organizational rewards, employees may be less
likely to establish challenging goals-goals they are confident that they
can accomplish. Further, the allocation of merit pay on a semi-annual
or annual basis may encourage the setting up of goals with short time
horizons to the disadvantage of important long-term goals. The
performance appraisal presently followed in L&T reflects the
principles of MBO.

360-DEGREE FEEDBACK : As stated earlier, where multiple raters are involved in evaluating
performance, the technique is called 360 degree appraisal. The 360
degree technique is understood as systematic collection of
performance data on an individual or group, derived from a number of
stakeholders--the stakeholders being the immediate supervisors. Team
members, customers, peers, and self. In fact, anyone who has useful
information on how an employee does the job may be one of the
appraisers.
The 360-degree appraisal provides a broader perspective about an
employee's performance. In addition, the technique facilitates greater
self-development of the employees. For one's development, multisource feedback is highly useful. It enables an employee to compare
his or her perceptions about self with perceptions of others.
Besides, the 360-dcgree appraisal provides formalized communication
links between an employee and his or her customers. It makes the
employee feel much more accountable to his or her internal or
external customers. The technique is particularly helpful in assessing
soft skills possessed by employees. By design, the 360-degree
appraisal is effective in identifying and measuring interpersonal skill,
customer satisfaction, and team-building skills.
However, there are drawbacks associated with the 360-degree
feedback. Receiving feedback on performance from multiple sources
can be intimidating. It is essential that the organization create a non threatening environment by emphasizing the positive impact of the
technique on an employee's performance and development. Further,
firms that use the technique take a long time on selecting the rater,
designing questionnaires,
and analyzing the data. In addition; multiple raters are less adept at
providing a balanced and objective feedback than the supervisors who
are sought to be replaced. Raters can have enormous problems
separating honest observations from personal differences and biases.
Pitfalls notwithstanding, more and more number of firms are using the
36O-degree appraisal technique to assess the performance of their
employees.

APPRAISE THE PERFORMANCE : The next step in the appraisal process is to measure the performance.
We revert to the moral of the story narrated in the beginning of this
chapter. The moral taught us that we need to measure the performance
and not mere activities. What then is performance? Performance is
essentially what an employee does or does not do. Employee
performance common to most jobs include the following elements:
Quantity of output
Quality of output
Timeliness of output
Presence at work
Cooperativeness
In addition to these, other elements that deserve assessment are job
knowledge, leadership abilities, judgment, supervision, versatility and
health. Assessment should also include one's potential to perform and
not just actual performance.
Performance measurement needs to be based on the benchmarks listed
above. These benchmarks vary from job to job. The job of a professor
needs to be assessed against parameters that are different to those
used to evaluate the performance of a sales representative.
GUIDELINES FOR EFFECTIVE APPRAISAL INTERVIEW

Select a good time

Minimize interruptions
Welcome, set at ease
Start with something positive
Ask open ended questions to encourage discussion
Listen

 Manage eye contact and body language

Be specific
Rate behavior, not personality
Layout development plan
Encourage subordinate participation
Complete form
Set mutually agreeable goals for improvement
End in a positive, encouraging note
Set time for any follow up meetings
USE OF APPRAISAL DATA: The final step in the evaluation process is the use of evaluation data.
The data and information generated through performance evaluation
must be used by the HR department.
It may be recollected that the most significant rewards employers
offer to employees
are:
1. Money to purchase goods and services required not only for current
and future survival, but also for the luxuries modern life has to offer.
2. The opportunity to use innate and learned skills and talents in a
productive manner that the individual and his or her managers and coworkers recognize as valuable.
3. Opportunities to interact with other people in a favorable working
environment.
4. Opportunities to learn, grow, and make full use of their potential.
5. A sense of performance and stability through the continuing
existence of the organization and the job.
6. The opportunity to perform work assignments within an
environment that not only protects. But promotes physiological,
emotional and psychological health.
In one way or another, data and information outputs of a performanceappraisal programmer can critically influence these coveted

employer-employee reward opportunities. Specifically, the data and

information will be useful in the following areas of HRM:
I. Remuneration administration
2. Validation of selection programmers
3. Employee training and development programmers
4. Promotion, transfer and lay-off decisions
5. Grievance and discipline programmers
6. HR planning

LEGAL ISSUES ASSOCIATED WITH PERFORMANCE

APPRAISAL : Performance appraisal data as stated earlier, are used to make many
important HR decisions (e.g. Pay, promotion, training, transfer and
termination). The appraisal system is a common target of legal
disputes by employees involving charges of unfairness and bias. An
employee may seek the legal recourse to obtain relief from a
discriminatory performance appraisal. One such case goes back to
1980s. In 1981, three junior employees of Williamsons Magor were
promoted superseding 15 of their senior workmen. The basis for
promotion was recommendations of the departmental heads and other
authorities. The 15 workmen challenged the promotion to the three
workmen in the Supreme Court and the court upheld the contention of
the petitioners on the ground that he said recommendations of
departmental heads and authorities were arbitrary and could not be the
main basis for effecting promotions.
There are several recommendations 10 assist employees in conducting
fair performance appraisal and avoiding legal suits. Gleaned from
case laws, these recommendations are intended to be prescriptive
measures that employers should take to develop fair and legally
defensible performance appraisal systems

How Performance Appraisal can contribute to Firm's

Competitive Advantage?
Improving Performance : An effective appraisal system can contribute to competitive advantage
by improving employee job performance in two ways-by directing
employee behavior towards organizational goals, as was done by the
second beekeeper (see opening case), and by monitoring that behavior
to ensure that the goals are met.
Making Correct Decisions : As stated above, appraisal is a critical input in making decisions on
such issues as pay raise, promotion, transfer, training, discharges and
completion of probationary periods. Right decision on each of these
can contribute to competitive strength of an organization. If
promotion, for example, is made on performance, the promote feels
motivated to enhance his or her performance.
Consistency between Organizational Strategy and Behaviour
An organization needs a strategy consistent with the behavior of its
employees if it were to realize its goals. A truism of organizational life
is that people engage themselves in behaviors that they perceive will
be rewarded. As employees want to be rewarded, they tend to occupy
themselves more with those activities on which the organization
emphasizes. For example, if the focus is on service, employees will
behave in ways that
will help them in gaining rewards associated with service delivery. If
the focus is on cost control, employees will seek to control cost and
thus be recognized and rewarded. If the focus is on rewarding
productivity, employees will strive for productivity. The performance
appraisal becomes not only a means of knowing if the employees'
behavior is consistent with the overall strategic focus, but also a way

of bringing to the fore any negative consequence of the strategybehavior fit For example, a single point productivity focus may
include potential negative consequences such as decreased quality and
co-operations. Thus, the performance appraisal system is an important
organizational mechanism to elicit feedback on the consistency of the
strategy- behavior link.
Organizational Strategy and Performance Appraisal
The performance appraisal system serves many organizational
objectives and goals. Besides encouraging high level of performance,
the evaluation system is useful in identifying employees with
potential, rewarding performance equitably. And determining
employees' needs for development. These are all the activities that
should support the organizations strategic orientation. Although these
activities are clearly instrumental in achieving corporate plans and
long-term growth, typical appraisal systems in most organizations
have been focused on short-term goals.
From the strategic management point of view, organizations can be
grouped into three categories defenders, prospectors and analyzers.
Performance appraisal has definite roles in all the three strategies.
Typically, defenders have a narrow and relatively stable productmarket domain. Because of this narrow focus, these organizations
seldom need to make major adjustments in their technology. Structure
or methods of operations. They devote primary attention to improving
the efficiency of their existing operations. Because of the emphasis
011building skills within the organization, successful defenders use
performance appraisal for identifying training needs. Performance
appraisal is usually
more behavior oriented.
Organizations with a prospector strategy continuously search for
different product and market opportunities. In addition, these
organizations regularly experiment with potential responses to new

and emerging environmental trends. Prospectors are often the

harbingers of change. Because of the emphasis on skills identification
and acquisition of human resources from external sources, as opposed
to skills building with the organization, prospectors often use the
performance appraisal as a means of identifying
staffing needs. The emphasis is on results. Finally, the focus is on
division and corporate performance evaluation as they compare with
other companies during the same evaluation period.
Organizations with an analyzer strategy operate in two types of
product-.market domains. One domain is stable while the other is
changing. In their more innovative areas, managers watch their
competitors closely and rapidly adopt the ideas that appear promising.
In general, analyzers use cost effective technologies for stable
products and project or matrix technologies for new product.
Analyzers tend to emphasize both skill building and skill i1cquisilion
and employ extensive training programmers.
Thus, these organizations attempt to identify both training as well as staffing
needs. The appraisal systems are considered at the individual, group and
divisional levels. Finally, successful analyzers have a tendency to examine
current performance with past performance within the organization. Crosssectional comparisons (comparisons among companies) may also occur.
Whatever the category, a performance appraisal system has strategic importance
to a firm in three ways:
1. Feedback mechanism,
2. Consistency between organizational strategy and job behavior, and
3. Consistency between organizational values and job behavior.

CHAPTER 3
RESEARCH METHODOLOGY

RESERCH METHODOLOGY
Research Methodology is a way to systematically solve the research
Problem. The Research Methodology includes the various methods
and techniques for conducting a Research.
This project comes under the head of H.R DEPARTMENT . Its the
systematic design, collection, analysis and reporting of data and
finding relevant solution to a specific marketing situation or
problem.
Sampling Plan Sampling can be defined as the section of some part
of an aggregate or totality on the basis of which judgment or an
inference about aggregate or totality is made. The sampling plan helps
in decision making in the following areas:
Sample

size Sample size refers to the total numbers of

items about which the information is desired. The sample size of
the study is 50.

Data

Collection - Information has been collected from both

Primary and Secondary Data.

Primary Data Primary data are those, which are collected for the
first time, and thus happen to be original in character.
Primary Data has been collected in this study by conducting survey
through Questionnaire.
Secondary Data Secondary Data are those which have already been
collected by someone else and which already had been passed through
the statistical process.
Secondary data has been collected in this study through Magazines,
Web sites, Newspaper and Journals

OBJECTIVES OF THE STUDY

1. To effect promotions based on competence and performance.

2. To confirm the services of probationary employees upon their
completing the probationary period satisfactorily.
3. To assess the training and development needs of employees.
4. To decide upon a pay raise where (as in the unorganized sector)
regular pay scales have not been fixed.
5. To let the employees know where they stand insofar as their
performance is concerned and to assist them with constructive
criticism and guidance for the purpose of their development.
6. To improve communication. Performance appraisal provides a
format for dialogue between the superior and the subordinate, and
improves understanding of personal goals and concerns. This can also
have the effect of increasing the trust between the rater and the ratee.
7. Finally, performance appraisal can be used to determine whether
HR programmers such a selection, training, and transfers have been

effective or not. Broadly, performance appraisal serves four

objectives(i) Developmental uses,
(ii) Administrative uses/decisions,
(iii) Organizational maintenance/objectives, and
(iv) Documentation purposes

CHAPTER 4
DATA ANALYSIS

DATA ANALYSIS
PERFORMANCE APPRAISAL QUESTIONNAIRE

Q-1. Is there a formal appraisal system in your organization?

Yes- 30
No- 0
Total respondents- 30

Q-2. Do you understand the basic objective of performance appraisal?

Fully- 20
Partially-10
No-0
Total responses-30

Q-3. In your view does the performance appraisal system function

fairly/ equitably?
YES- 30
NO-0
TOTAL RESPONSES- 30

Q-4. How is your performance appraised- individually, in a team or

both?
Individually-10
In Team-14
Both-6
Total responses- 30

Q-5. Do you agree that the performance appraisal system adopted by

the firm is able to gauge
the real performance of employee?
Fully agree- 10
Partially- 20
Not at all- 0
Total respondents- 30

Q-6. Is the appraisal system able to show the areas in which a person
needs improvement?
YES- 22
NO-8
Total respondents- 30

Q-7. Is the appraisal system able to show the progess one has made in
order to his/her set target?
YES- 17
PARTIALLY-13
NO-0
Total respondents- 30

Q-8. Performance appraisal helps you in:PROMOTION - 15

CAREER PLANNING-9
GOAL ACHIEVEMNT-6
Total respondents- 30

Q-9.Are you satisfied with the criteria adopted to appraise you?

YES- 22
NO-8
Total respondents- 30

Q-10. Is the performance appraisal system transparent?

YES- 16
NO-14
Total respondents- 30

Q-11. Do you feel that the rewards are given according to your
performance?
YES- 23
NO-7
Total respondents- 30

Q-12. Do you think that the feedback given to you is honest?

YES- 30
NO-0
Total respondents- 30

Q-13. If development or improvement of any skill is required ( after

doing performance
appraisal), is proper training given then?
YES- 20
NO-10
Total respondents- 30

Q-14. Are you satisfied with the current performance appraisal

system?
YES- 24
NO-6
Total respondents- 30

CHAPTER 5
CONCLUSION AND RECOMMENDATION

CONCLUSION

This study was a learning experience where I come to know and feel the
partialities of HR department. Management training give me a lot of practical
knowledge of corporate world and I have got a great opportunity to work in
booming sector.
To sum up,I feel that the company has developed a culture wherein the
deserving are appreciated & rewarded and developing people are motivated.The
people are given challenging situations they explore their hidden potential and
achieve success.They realize that they have capabilities,which they never
realized before.They become aware of their strengths & weaknesses and the
system concentrates on reinforcing their strengths &overcome their
weaknesses.Further tools like self assessment help them to become stronger.

I conclude that almost all the performance appraisal of company are highly
effective & beneficial to the employees in giving their best contribution to their
personal growth & development as well as to meet the organizational objective.

RECOMMENDATIONS
On the basis of survey through questionnaire,I hereby humbly propose my
recommendation to carry out further improvement in existing performance
appraisal activities in BEL.
1. Some special exercise through training programmes be conducted to
generate awareness about the real purpose of the performance appraisal system.
2.External trainers can be invited to deliberate the importance and intricacies of
the performance appraisal.
3.Efforts for making performance appraisal formats user friendly should be kept
continued.
4.The performance appraisal system should take feedback from peers and
subordinates also so as to increase the accuracy and reliability of the data.

5.Efforts to make the employees understand that by knowing their scope of

improvement through performance appraisal system,they are actually enhancing
their own skills should be continued.
6.Employees should be made to understand thjat they become more
productive,efficient and effective in their assignments if they take their
performance appraisal with total positive approach.

FINDINGS

1. Performance appraisal at Badve engineering ltd. is done annually.

2. For the above mentioned appraisal, a self appraisal form is given to
the staff members, so that they can fill it. Simultaneously a form is
given to their colleagues to rate them. A rating is given to the
employee after taking in consideration the self appraisal form as well
as the rating given by the staff members.
3. Promotions and incentives are given to an employee according to
his or her performance rating.
4. At Badve engineering ltd. , majority of the staff submits all the
information regarding appraisal well within time to their supervisors.
5. All officers agree that performance appraisal system helps them to
perform better.

BIBLIOGRAPHY
L.M.PRASAD -Principal and Practice of Management (Chand & Sons)
Memorial C.P. Personnel Management

(Himalya, Mumbai)

Kothari C.R. Research Methodology (Wishwa Pub.)

WEBSITES:
www.workforce.com
WWW.google.com
en.wikipedia.org
www.badve_agd@sancharnet.in

ANNEXURE
Performance Appraisal Questionnaire
Q-1. Is there a formal appraisal system in your organization?

YesNo-

Q-2. Do you understand the basic objective of performance

appraisal?
FullyPartiallyNo-

Q-3. In your view does the performance appraisal system

function fairly/ equitably?
YESNO-

Q-4. How is your performance appraised- individually, in a team

or both?
IndividuallyIn TeamBoth-

Q-5. Do you agree that the performance appraisal system

adopted by the firm is able to gauge the real performance of
employee?
Fully agreePartiallyNot at all-

Q-6. Is the appraisal system able to show the areas in which a

person needs improvement?
YES-

NO-

Q-7. Is the appraisal system able to show the progess one has
made in order to his/her set target?
YESPARTIALLYNO-

Q-8. Performance appraisal helps you in:PROMOTION CAREER PLANNINGGOAL ACHIEVEMNT-

Q-9.Are you satisfied with the criteria adopted to appraise you?

YESNO-

Q-10. Is the performance appraisal system transparent?

YESNO-

Q-11. Do you feel that the rewards are given according to your
performance?
YESNO-

Q-12. Do you think that the feedback given to you is honest?

YESNOQ-13. If development or improvement of any skill is required
( after doing performance appraisal), is proper training given then?
YESNO-

Q-14. Are you satisfied with the current performance appraisal

system?
YESNO-

DEPARTMENT__________________

DESIGNATION__________________
EXPERIENCE __________________

Thank you