A

PROJECT REPORT ON

360 DEGREES APPRAISAL

AT

SUBMITTED TO THE

INTERNAL GUIDE CERTIFICATE

Guide Name
Designation

: Mrs. Sonam Subhadarshini

: Faculty (HR)

This to certify that the project work titled 360 DEGREES

APPRAISALAT ARSS, BHUBANESWAR is a work of Kirty Ranjan Nayak
(Regd. No.0906289022) carried out in partial fulfillment of the requirements for
awarding the degree in Master in Business Administration in Trident Academy of
Technology under Biju Patnaik University of Technology (BPUT) during the
academic year 2009-2011.

Prof. Partha Sarathi Das

HOD, MBA
TAT, BBSR

Prof. J.K.Joshi
Director Academics
TAT, BBSR

Mrs. Sonam Subhadarshini

Faculty in HR, TAT, BBSR

EXAMINER CERTIFICATE
This is to certify that this piece of work entitled 360 DEGREES APPRAISALAT
ARSS Submitted on partial fulfillment for degree of MBA is a record of studies and
bonafied project work carried out by Kirty Ranjan Nayak, student of MBA
programme 2009-2011 of Trident Academy of Technology, Bhubaneswar.

I wish him all success in life.

INTERNAL EXAMINER

EXTERNAL EXAMINER

DECLARATION
I, hereby declare that the report on summer internship training entitled 360 DEGREES
APPRAISALat ARSS submitted by me is of my original research work. It does not
form part of any previous project work, dissertation, thesis, or report submitted to this
university earlier or any other university.

Place: Bhubaneswar
Date:

KIRTY RANJAN NAYAK

(Signature)

ACKNOWLEDGEMENT
Its a privilege to be associated with ARSS Infrastructure Projects Ltd,
Orissas top brand Infrastructure Company. This acknowledgement is not only
the means of formality, but to me, it is a way by which I am getting the
opportunity to show the deep sense of gratitude and obligation to all the people
who have provided me with inspiration, guidance and help during the preparation
of the project. At the very outset, I would like to express my gratitude from
bottom of my heart to Mr. Akhtar Hossain General Manager (HR) ARSS for
giving me the opportunity to do my Summer Internship Project in this esteemed
organization.
I articulate my sincere gratitude to my project guide Mr. Akhtar Hossain,
General Manager (HR) ARSS Infrastructure Projects Ltd. who has spend his
valuable time and guided me throughout the training process in spite his busy
schedule, in shaping of my project. I am also thankful to Mr.A.K. Mishra,
(Senior HR Executive) ARSS and Mr.B.S. Biswal, (Junior HR Executive)
ARSS for guiding me throughout the project providing me with the required
information about Infrastructure.
I also like to thank Prof. J.K. Joshi, Director Academics, Trident Group of
Institutions who helped to provide me the opportunity to undergo my summer
Internship Project in ARSS Infrastructure Projects Ltd. I would also like to
express my indebtedness to my faculty guide Mrs. Sonam Subhadarshini,
Trident Academy of Technology who helped me in preceding my project work,
I am thankful to Head of the Department Prof. Partha Sarathi Das and other faculties
of my department. This ultimately resulted in successful completion of the project.

But last not the least I am thankful to my parents, friends and all well wishers for
blessing me for my success.
Kirty Ranjan Nayak
Regd.no.-0906289022
Trident Academy of Technology

Bhubaneswar

PREFACE
On partial fulfillment of the master degree course in Business Administration in which
an internship programme has been incorporated in the curriculum, during which a study
has to be done in an organisation mainly to extract a practical knowledge and to learn
the application of theoritical knowledge in the real corporate world. The professional
training is an integral part of an MBA programme. It helps the students to understand
the practical aspects of managing business in much better ways.

As a part of my MBA programme at Trident Academy of Technology I was supposed

to work for a period of 45 days or six weeks. I was required to undertake a detailed
study of 360 DEGREES APPRAISALAt ARSS for employees as whole in human
resource department. This part of the MBA has helped me in applying my theoretical
knowledge into practical experience. The 45 days training process has helped me in
getting a sufficient knowledge of how the theories and theorems in various books are
applied in the real world.

ARSS only the renewed infrastructure unit in the state of Orissa, well-known for its rich
qualitative services. Today, ARSS engaged in Rail Works, Road Works, Bridge Works,
and Marine Works. So the services of ARSS are not only for the state, it also reaches
the outside of the state customers as well. The uniqueness in the services of ARSS is
one of the major qualitative aspects.

I conducted a research work at the ARSS Infrastructure Projects Ltd at

Bhubaneswar to get a thorough understanding of the system of 360 APPRAISAL
for the employees that the organization is following. As for the method of data
collection I collected some data directly from the primary sources like the responses
from the employees regarding the system was collected through the questionnaires, the
online appraisal form and the statistical data were collected directly from the sources.
And some other secondary sources collections were also used. For example the
companys official website was used for some deriving some information. The summer

training programme was really a learning experience and I hope this will be useful and
helpful to both ARSS and to me in coming days o my life.

CONTENTS
Page No
Title Page

External Guide Certificate

II

Internal Guide Certificate

III

Examiner Certificate

IV

Declaration

Acknowledgement

VI

Preface

VII

Contents

VIII

Chapter-1

Introduction

Objectives

Scope

Importance

Methodology

Limitation

Chapter-2

Company Profile

Vision

10

Mission

10

Achievements

14

Management

15

Chapter-3

Theoretical Framework

16

Objectives

18

Process

22

Methods

26

Chapter-4

360 DEGREES APPRAISALat ARSS Infrastructure Projects Ltd.

34

Chaptere-5

Data Analysis

38

Swot Analysis

51

Chapter-6

Findings

54

Suggestions

55

Chapter-7

Conclusions

Chapter-8

Bibliography

Annexure

Copy of blank questionnaire

56

CHAPTER -1

INTRODUCTION

INTRODUCTION

There is a human tendency to make judgments about others who are around us
and also about oneself. It seems appraisal is both inevitable and universal. In the
absences of a carefully structured system of appraisal, people will tend to judge the
work performances of other, including subordinates, naturally, informally and
arbitrarily. However the human inclination to judge can create serious motivational,
ethical and legal problems in the work place. Without a structured appraisal system
there is little chance of ensuring that the judgment made will be lawful, fair, defensible
and accurate. Hence there is need for a systematic 360 DEGREES APPRAISALto judge
the 360 of individual in any sector.

360 DEGREES APPRAISALsystems began as simple methods of income

justification. That is, appraisal was used to decide whether or not the salary or wage of
an individual employee was justified. The process was firmly linked to material out
comes. If an employees 360 was found to be less than ideal, a cut in pay would follow.
On the other hand, if their 360 was better than the supervisor expected, a pay rise was in
order.

360 DEGREES APPRAISALis a systematic evaluation of an individual

employee with respect to his 360 on the job and his potential for development. 360 is
carrying out the work entrusted by the employed directly or through his agents. The
management expects all the employees to perform this specified work for the payments
it makes.
Once the work is entrusted to the employee, it is necessary to measure the 360
to see:1)

Whether the employee has done the work entrusted to him in

the way it was expected.

2)

Whether there is any wastage in tears of time, money,

energy, skill etc.

3)

Whether the same work could have been done in a better

way.

4)

In the process, whether the employee has equipped himself

with his responsibilities.

Normally it is measured by a third party or the immediate higher officer.

This method of measuring the work is called appraisal. Unless the work is
carried out in the proper way, the employer will lose the employees. It is a
formal exercise in a documented form in which organisation makes an
evaluation of its employees in terms of his contributions made towards
achieving organisational objectives. It also evaluates further personal strengths
and weaknesses in terms of attributes and behaviors demonstrated for meeting
whatever objectives the organisation may consider relevant.
According to Heyel, 360 DEGREES APPRAISALis the process of
evaluating the 360 and qualification of the employees in terms of
the requirements of the job for which he is employed for the purpose of
administration including placement, selection, promotion providing financial
rewards and other actions

360 APPRAISALs require differential treatments among the members of a

group as distinguished from actions affecting all members equally. Others regard
it as a process of estimating or judging the value, excellence, qualities or status
of some object, person.

Thus, 360 DEGREES APPRAISALis the step where the management

finds out how effective it has been at hiring and placing employees. If any
problems are identified steps are taken to communicate with the employee for
their remedy. 360 DEGREES APPRAISALis a systematic and objective way of
judging the relative worth or ability of an employee in performing his job. The
appraisal is systematic when it evaluates all performances in the same manner,
utilizing the same approaches so that appraisal of different persons is
comparable. Appraisal has objective also. Its essential features are that it
attempts at accurate measurement by trying to eliminate human biases and
prejudices.

Objectives of the Study:

In this research work, the researcher has made an attempt to study the
existing 360 DEGREES APPRAISALsystem in ARSS INFRASSTRUCTURE
PROJECT LTD, BBSR. The main objectives of the study are listed as under:
1.

To have a brief insight into the existing 360 DEGREES

APPRAISALsystem in ARSS INFRASTRUCTURE PROJECT
LTD, BBSR.

2.

To critically assess the appropriateness of the existing 360

DEGREES APPRAISALsystem.

3.

To highlight the perception of appraisers and appraise relating to, the

existing 360 DEGREES APPRAISALsystem.

4.

To examine the strength and weakness of the present 360 DEGREES

APPRAISALsystem in the unit.

5.

To examine the necessities for changes in the appraisal system.

6.

To recommend necessary changes/modifications for making the

appraisal system more objective as well as effective for fulfillment of
organisation goals.

Scope of The Study:

The present research work was undertaken in ARSS Infrastructure
Projects Ltd. (BBSR). The scope of study covers the system of 360 DEGREES
APPRAISALfollowed in ARSS Infrastructure Projects Ltd (BBSR). I had
collected information from

different

divisions

working under

ARSS

Infrastructure Projects Ltd (BBSR). He has also studied different HR related

issues prevailing in ARSS Infrastructure Projects Ltd (BBSR).A brief idea of
ARSS Infrastructure Projects Ltd (BBSR) and its different unit has also been
dealt with in this research work.

Importance of the Study:

360 management and 360 DEGREES APPRAISALcan be a powerful aid
to any organisation change process as it provides for the joint identification by
the superior and the subordinate of the targeted behavior required and the skills

required to reach that target. Therefore more attention needs to be given to the
360 management of the teams as well as that of the individuals. Earlier 360
DEGREES APPRAISALwas associated with a rather basic purpose involving a
line manager completing an annual report on a subordinate's 360 and discussing
it with him or her in an appraisal interview. But now 360 DEGREES
APPRAISALhas become a general heading for a variety of activities through
which organisations seek to assess employees and develop their competence
enhance 360 and distribute rewards. It sometimes becomes a part of a wider
approach to integrating human resource management strategies known as 360
management.

360 DEGREES APPRAISALrecognizes the importance of the way a

person goes about his work, rather than just the result he achieves. What does the
effective performer do; and how does he do it? What are the differences between
the way he behaves and the way a poor performer behaves? The managers receive
regular feedback, through 360 review, and are closely involved in the setting of
their own targets.

360 DEGREES APPRAISALcan be a very useful management tool. A

regular review of each individual's 360 should provide accurate information about
the quality and skills of the workforce-essential for manpower planning. An
appraisal system can also encourage commitment to corporate goals and
conformity with corporate norms. In this connection it becomes very much
necessary to study the existing 360 DEGREES APPRAISALsystem of an
organisation and to find ways in which the organisation can achieve its objectives
in a more effective and efficient ways.

Methodology:
Researcher is a scientific inquiry, and has three essential characteristics
i.e. objectivity, accuracy & continuity. Methodology has an important bearing in
the collection of reliable and pertinent information as weir as on the outcomes of
the study. The categorization of the proposed investigation into a certain type of
research, a corresponding method or methods designed for it and appropriate

techniques for collecting & analyzing data are together known as methodology
of research.

Research design is a complete outline of the conduct of the proposed research study.
The methodology adopted in conducting this study is discussed below:

Research Design:

The study is designed to conduct an enquiry on the 360

DEGREES APPRAISALSystem for executive employees in
ARSS INFRASTRUCTURE PROJECTS LTD (BBSR).

Primary sources:Primary sources of data collection or primary data are those datas which are collected
directly from the respondents. They are collected for the first time from the sources
concerned and are popularly said as the first-hand data collection. They are collected
directly from the sources through observation, questionnaires, and schedules or through
personal interview. And these are the tools which are used particularly in surveys and
descriptive type of research.

Secondary sources:Data Collection:

Data was collected through questionnaires, research, files and

documents of organisation, interview & observation.

Questionnaires:

The data collected through questionnaire becomes primary

data, which is used to test hypothesis. The structured
questionnaire consisted of close-ended objective question.

Secondary Data:

Secondary data on the organisation

was collected from

various secondary sources like records, files, journal &

documents of the organisation.

Interview:

Unstructured interview was conducted to get certain

information about the organisation from some employee.
Observation: Non-participant mode of observation was

adopted by the researcher to collect, some information on the

organisation.

Limitations:
While working in any project we face many types of limitations. In this project I
face some problems like:

The employee of the organisation having heavy work scheduled, so they not able
to provide sufficient time to us.

As it is a big Organisation we face time problem also. At any time we cannot

visit to their office.

Some of their HR policies are confidential; they do not disclose it to the public.
In this time we face problem. It is called biasness problem.

Non availability of resources is also one of the important factors here.

We face sampling error also.

CHAPTER-2

COMPANY PROFILE

HISTORY OF ARSS
The company is engaged in construction activities in India .The
Company undertake construction of railway infrastructure, roads, highways,
bridges and irrigation projects. The company started as a construction company
in the field of railway infrastructure development mainly in the state of Orissa.
Construction project are typically awarded through competitive bidding
process to bidden with certain eligibility requirement in their past experience
technical capabilities & financial strength.

The company came into being as a Private limited one with name and title ARSS
STONES PVT LTD (abbreviated as ARSSSPL) in the year 2000 AD duly registered
with the Registrar of Companies Orissa. Within a span of two years i.e. in 2002 we
ventured into the field of construction of Major Bridges on well foundation.
ARSS Infrastructure Projects Limited (abbreviated as ARSS.) an ISO 9001:2008
company was incorporated on Seventeenth May, Two Thousand (17th May, 2000)
under the jurisdiction of the Registrar of Companies, Orissa. Since then it has
established itself as a leading construction company in the field of Rail Infrastructure
Development mainly in the State of Orissa. Now has expanded its field of activities in
the state of Chhatisgarh under the Zonal jurisdiction of East Coast Railway, South
Eastern Railway, South East Central Railway, Northern Railway and Western Railway
since last two years
The company achieved a turnover of Rs. 312.00 crores within a short period upto
2007-2008 years, due to the determined effort. The turnover increased manifolds
during 2008-09 is Rs 628.24 crores and expected to touch turnover of Rs.1000 crores in
2009-10.

Vision
The Vision is to be a large respected global player in the infrastructure development
sector by creating quality integrated facilities in the country, who will be always
thinking for excellence to satisfy its customer and enhancing shareholder's wealth.
Inspired by the company innovative construction services in the national level and even
across the globe. Innovation and commitment are the two ingredients of ARSS group.
ARSS will attract, develop and sustain best talents in the industry. Will continue to
focus on the culture of trust and provide continuous learning opportunities, while
meeting expectation of employees, stakeholders and social community.

Mission
The mission is to focus the company interest in developing railway infrastructure
through effective use of new ideas & technology to become a major player in this
sector. The company dedicates us for optimum utilization to enrich and enhance the
quality of human life, while seeing the company to conquer new horizon and new
heights. Also it will be our mission to diversify in marine, gas & oil pipelines system
and airport projects. ARSS will no longer remain limited in domestic projects and
aspire to spread our wings for global projects.

Major Projects Completed:

Rail Projects:
The company is associated with Indian Railways since last seven years and had the
opportunity of executing every type of work mentioned above starting from survey
design to final commissioning of rail track even on EPC (Engineering, Procurement,
and Construction) basis as well as for allied infrastructure like electrification, signaling,
service, buildings, etc.

Road Projects:
In rural India the roads are not in a good state of condition the degraded road are not
conducive for transportation. Although the company has developed the managerial

expertise for improvement of the condition of the roads, they also provide solution
to traffic problem for the roads ultimately resulting a change.

Urban Projects:
Urban infrastructure is one area, which for years has not received the due attention from
policymakers. Over the last fifty years, while the countrys population has grown by 2.5
times, in the urban areas it has grown by five times. It is estimated that by the turn of the
millennium 305 million Indians shall be living in nearly 3,700 towns and cities spread
across the length and breadth of the country. This would be nearly 30 per cent of
countrys total population. This likely scenario increases the emphasis on urban
infrastructure. Urban infrastructure consists of drinking water, sanitation, sewage
systems, urban transport, primary health services, and environmental regulation. The
rising urban population is continuing to strain infrastructure services in these areas.

Marine Projects:
ARSS staff members have not gained enough experience in management and 360 of
marine research programs providing services to the clients with quality products
designed specifically for use in environmental decision making. The expertise to
perform computer-intensive analyses encompassing data-management, statistics, marine
geology, physical oceanography, marine acoustics, fluid dynamics, sediment-transport,
modeling, and time.

Bridge Works:
Bridges and Flyovers are an integral part of any Road and Rail Network. But
constructions of Major Bridges are occasionally taken up independently.ARSS has
made contribution in execution of Bridges and Flyovers not only in the State of Orissa
but in Chhattisgarh, Chennai, Kerela and other States.

List of Major Works Completed:

Major Bridges constructed by ARSS:

1. Construction of sub-structure consisting of Pile and open foundation, piers,

abutments

and

other

ancillary

works

for

major

bridges.

CA

No./IRCON/RVNL.RBRP/Major Bridges between Rajathagarh -Barang.

2. Construction of Road Over Bridge of Punamagate Railway level crossing
including the approaches on Bhubaneswar of R.D.
3. Construction of Steel Girder Bridge (30.5m span)in the work "Railway Siding
from Gatora to In plant yard (KM 0.963 to KM 12.880) for NTPC-SIPAT
SSTPP PKG-1"
4. Construction four ROB's in the Railway Siding from Gatora to Inplant for NTPC
Sipat(total 4 nos. of ROB).

Major clients of the company:

It is true that significant portion of the companys business comes from customers who
have been entrusting us repeat business. This is totally due client's satisfaction and
confidence relied on us based on our providing the services.
From time to time, the companys customers have pruned or increased their budgets for
Construction services on a year-on-year basis. The company valued
customers are;

GOVT. OF ORISSA

GOVT. OF HARYANA

RAIL VIKASH NIGAM LIMITED

RITES LIMITED

IRCON INTERNATIONAL LIMITED

NATIONAL THERMAL

POWER

CORPORATION(NTPC)

NATIONAL HIGHWAY AUTHORITY OF INDIA

ESSEL MINING

DAMODAR VALLEY CORPORATION

EAST COAST RAILWAY

TAMIL NADU

INDUSTRIAL

ROAD

INFRASTRUCTURE CORPORATION LTD.

JINDAL STEEL AND POWER LTD.

VISHAKPATNAM STEEL PLANT

ROURKELA STEEL PLANT

Social Responsibilities:
ARSS infrastructure projects ltd a well known name in the state of Orissa in the field of
infrastructure

Development activity

Health-check up & donation

Employee safety programmes & recreational facilities

Creating good & conductive environment

Achievements

Within a short span, ARSS emerged as one of the leading Infrastructure

developer not only in the Eastern India but also in Southern and North-Western
India spreading over in 14 States and executing projects with outstanding
quality, reliability, affordability, eco-friendliness and efficient service.

ARSSS Construction activity is integral to the industrial development and

involves construction of urban infrastructure, townships, highways, bridges,
railroads, river valleys and power connected projects. The infrastructure industry
globally has witnessed tremendous growth in the past few years. A significant
part of the global engineering construction activity is concentrated in the oil and
gas industry, the power sector, roads construction and is dominated by few
industry majors.

The Company is operating in a competitive market but the credential, capability

and decades of experience in construction sector sets it apart from its
competitors. Today our organisation is one of the leading Civil Engineering
Construction Company in Eastern, Southern and North-Western India. Our
credentials are reflected in its project portfolio diverse and successful. Our
company possesses special expertise in constructing Bridges, Rail Roads, and
Highways & Flyovers.

Management
Executive

MR. SUBASH AGARWAL (CHAIRMAN)

MR. RAJESH AGARWAL (MANAGING DIRECTOR)

MR. S. K. PATTANAIK (DIRECTOR FINANCE)

MR. S. S. CHAKRABORTY (DIRECTOR TECHNICAL)

Non-Executive

DR. B. SAMAL (INDEPENDENT DIRECTOR)

MR. S. C. PARIJA (INDEPENDENT DIRECTOR)

MR. S. R. CHAUDHURI (INDEPENDENT DIRECTOR)

MR. DIPAK KUMAR DEY (INDEPENDENT DIRECTOR)

CHAPTER-3

THEORITICAL
FRAMEWORK

THEORITICAL FRAMEWORK
360 DEGREES APPRAISALis one of the important functioning of personnel
department for the systematic evaluation of employee's 360 in a job in terms of its
requirements and his potential for future development. It is the process through which
an individual employee's behavior and accomplishments for a fixed period of time are
measured and evaluated.

Employee appraisal techniques are said to have used for the first time during
the First World War, when, at the instance of Walter Dill Scott. The US Army
adopted the "Man-to-Man" rating system for evaluating military personnel. Those
merit rating programme based on the personality trait, continued up to the mid-fifties.
In the early fifties, however, attention began to be devoted to the 360 DEGREES
APPRAISALof technical, professional and managerial personnel.

In course of time considerable changes had taken place in the philosophy and
technique of appraisal of employees. As time progressed appraisal system developed
from its most restricted scope of rating of hourly paid employees to the top level
personnel of the organisation. With a great deal of study and experiments in various
organisations appraisal system and goal setting are given more importance than the
assessment of personality trait and deficiencies. In this regard, various labels have
been applied to formal process of evaluation such as merit rating, behavioral
assessment, employee evaluation, personnel, review, progress report, staff assessment,
service rating and fitness report. Some personnel authorities use such concepts
interchangeably, while others interpreted some of these appraisal phrases differently.
However the term 360 DEGREES APPRAISALor evaluation is most widely used.

Flipoo says that generally the choice lies among three possible approaches:
1. A casual systematic and often haphazard appraisal. This method was commonly
used in the past.

2. The traditional and highly systematic measurement of

(i) Employee characteristics

(ii) Employee contribution or both.

3. The behavioral approach emphasizes mutual goal setting through management by

objectives (MBO) and appraisal of progress by both appraiser and appraise.

Human behavior is a complex phenomenon and individual differ in the ability

and aptitude. These differences create difference in work performance. A good
appraisal system with regular and periodic evaluation makes the top management
judging the effectiveness of personnel and need management to satisfy the needs and
aspiration of the employees and maintains the desired behavior. A sound appraisal
system is beneficial both for the person do the appraisal and the one being appraised.

Objectives of 360 APPRAISAL:

A good 360 DEGREES APPRAISALprogramme would enable the

management to introduce a highly systematic measurement of an individual
contribution to the organisational effectiveness. Such an accurate evaluation of each
employee's 360 is useful to management in many ways:

1. It enables management to keep track of man's performance.

2. It serves as a guideline in determining who the promising employees and

who are margined performers.
3. It serves as a guideline to determine how much an employee should be
paid and whether or not deserves to be promoted.
4. To determine training and development needs.
5. To give employee feedback and counsel them.
6. To review 360 for salary purposes.

The Purpose of 360 APPRAISAL:

The purpose of appraisal is to make the most effective use of its human
resources by developing them in a systematic way, in the interest of both
organisations and the individuals being appraised.

360 DEGREES APPRAISALis used as an instrument to control employee

behavior for rewards, punishment and threats. The greater intangible asset of any
organisation, Indian or foreign, is its people. In the emerging scenario of rapid
obsolescence, only those corporations will keep pace with the world that is serious
about motivating and adding value to their employees.
Thus, 360 DEGREES APPRAISALsystem helps for:

Improving the employee performance.

Development of the employee professionally.

Taking proper decisions regarding wage and salary.

Validating the personnel record and programs.

Having a proper understanding about their subordinates.

Guiding the job changes with the help of continuous ranking.

Facilitating fair and equitable compensation based on performance.

Ensuring organisational effectiveness through correcting employee for

standard and improved 360 and suggesting the change in employee
behavior.

Needs of 360 APPRAISAL:

360 DEGREES APPRAISALis being practiced in 90% of the organisations
worldwide. Self-appraisal and potential appraisal also form a part of the 360 DEGREES
APPRAISALprocesses.

Typically, 360 DEGREES APPRAISALis aimed at:

1. To review the 360 of the employees over a given period of time.
2. To judge the gap between the actual and the desired performance.
3.

To help the management in exercising organisational control.

4.

To diagnose the training and development needs of the future.

5. Provide information to assist in the HR decisions like promotions, transfers

etc.
6. Provide clarity of the expectations and responsibilities of the functions to be
performed by the employees.
7.

To judge the effectiveness of the other human resource functions of the

organisation such as recruitment, selection, training and development.

8.

To reduce the grievances of the employees.

9.

Helps to strengthen the relationship and communication between superior

subordinates and management employees.

According to a recent survey, the percentage of organisations (out of the total

organisations surveyed i.e. 50) using 360 DEGREES APPRAISALfor the various
purposes are as shown in the diagram below:

The most significant reasons of using 360 DEGREES APPRAISALare:

Making payroll and compensation decisions 80%

Training and development needs 71%

Identifying the gaps in desired and actual 360 and its

cause -76%
Deciding future goals and course of action 42%

Promotions, demotions and transfers 49%

Other purposes 6% (including job analysis and providing superior support,

assistance and counseling).

360 DEGREES APPRAISALis a means of telling a subordinate how he is

doing and a suggesting needed change in his behavior, attitude, skills or job
knowledge letting him know where he stands with the boss and is also being
increasingly used as a basis for the coaching and counseling of the individual by the
supervisors.
The subordinate must
1. Know what is expected of him
2. Have an opportunity to perform.
3. Know how well he is performing.
4. Received assistance as needed and
5. Be rewarded (or penalized) on the basis of results.

PROCESS OF 360 APPRAISAL

Establishing Performance Standards

Communicating the Standards

Measuring the Actual Performance

Comparing the Standards

Discussing Results (Providing

Feedback)

Decision Making Taking

Corrective action

A. Establishing 360 Standards

The first step in the process of 360 DEGREES APPRAISALis the setting up
of the standards which will be used to as the base to compare the actual 360 of the
employees. This step requires setting the criteria to judge the 360 of the employees
as successful or unsuccessful and the degrees of their contribution to the
organisational goals and objectives. The standards set should be clear, easily
understandable and in measurable terms. In case the 360 of the employee cannot be
measured, great care should be taken to describe the standards.

B. Communicating the Standards

Once set, it is the responsibility of the management to communicate the
standards to all the employees of the organisation.
The employees should be informed and the standards should be clearly
explained to the. This will help them to understand their roles and to know what
exactly is expected from them. The standards should also be communicated to the
appraisers or the evaluators and if required, the standards can also be modified at this
stage itself according to the relevant feedback from the employees or the evaluators.

C. Measuring the Actual Performance

The most difficult part of the 360 DEGREES APPRAISALprocess is measuring the actual
360 of the employees that is the work done by the employees during the specified period of
time. It is a continuous process which involves monitoring the 360 throughout the year. This
stage requires the careful selection of the appropriate techniques of measurement, taking care
that personal bias does not affect the outcome of the process and providing assistance rather
than interfering in an employees work.

D. Comparing the Actual with the desired Performance

The actual 360 is compared with the desired or the standard performance. The
comparison tells the deviations in the 360 of the employees from the standards set.
The result can show the actual 360 being more than the desired 360 or, the actual 360
being less than the desired 360 depicting a negative deviation in the organisational
performance. It includes recalling, evaluating and analysis of data related to the
employees performance.

E. Discussing Results
The result of the appraisal is communicated and discussed with the employees on one-toone basis. The focus of this discussion is on communication and listening. The results, the
problems and the possible solutions are discussed with the aim of problem solving and
reaching consensus. The feedback should be given with a positive attitude as this can have
an effect on the employees future performance. The purpose of the meeting should be to
solve the problems faced and motivate the employees to perform better.

F. Decision Making
The last step of the process is to take decisions which can be taken either to
improve the 360 of the employees, take the required corrective actions, or the related
HR decisions like rewards, promotions, demotions, transfers etc.

Challenges of 360 APPRAISAL:

In order to make a 360 DEGREES APPRAISALsystem effective and
successful, an organisation comes across various challenges and problems. The main
challenges involved in the 360 DEGREES APPRAISALprocess are:

1. Determining the evaluation criteria

Identification of the appraisal criteria is one of the biggest problems faced
by the top management. The 360 data to be considered for evaluation should be
carefully selected. For the purpose of evaluation, the criteria selected should be in
quantifiable or measurable terms

2. Create a rating instrument

The purpose of the 360 DEGREES APPRAISALprocess is to judge the
360 of the employees rather than the employee. The focus of the system should be
on the development of the employees of the organisation.

3. Lack of competence
Top management should choose the raters or the evaluators carefully.
They should have the required expertise and the knowledge to decide the criteria
accurately. They should have the experience and the necessary training to carry
out the appraisal process objectively.

4. Errors in rating and evaluation

Many errors based on the personal bias like stereotyping, halo effect (i.e.
one trait influencing the evaluators rating for all other traits) etc. may creep in the
appraisal process. Therefore the rater should exercise objectivity and fairness in
evaluating and rating the 360 of the employees

5. Resistance
The appraisal process may face resistance from the employees and the
trade unions for the fear of negative ratings. Therefore, the employees should be
communicated and clearly explained the purpose as well the process of appraisal.
The standards should be clearly communicated and every employee should be
made aware that what exactly is expected from him/her.

METHODS, TECHNIQUES USED FOR APPRAISING PERFORMANCE

Several method and techniques of appraisal are available for measuring the
360 of an employee. The methods and scales differ for obvious reasons.

First, they differ because of difference in job requirements, statistical requirement and
the opinions of management.
Second, they differ because of different kind of workers who are being rated, viz.,
factory workers, executives and salesman.
Third, the variations may be caused by the degree of precision attempted in an
evaluation.
Finally, they way differ because of the methods used to obtain weightings for various
traits.

Strauss and Sayles have classified 360 DEGREES APPRAISALmethods into

traditional and modern methods. The traditional methods lay emphasis on the rating
of the individual's personality traits such as initiative, dependability, drive,
responsibility etc. On the other hand modern methods place more emphasis on the
evaluation of work methods of job achievements - than on personality traits.

Ranking. - The term ranking has been used to describe an alternative

method of 360 DEGREES APPRAISALwhere the supervisor has been asked to order
his or her employees in terms of 360 from highest to lowest.

Forced Choice Method. - This appraisal method has been developed to

prevent evaluators from rating employees to high. Using this method, the evaluator
has to select from a set of descriptive statements, statements that apply to the
employee. The statements have been weighted and summed to at, effectiveness index.

Forced Distribution. - The term used to describe an appraisal system

similar to grading

on a curve. The evaluator had been asked to rate employees in

some fixed distribution of categories. One way to do this has been to type the name of
each employee on a card and ask the evaluators to sort the cards into piles
corresponding to rating.

Paired Comparison. - The term used to describe an appraisal method for

ranking employees. First, the names of the employees to be evaluated have been
placed on separate sheets in a pre-determined order, so that each person has been
compared with all other employees to be evaluated. The evaluator then checks the
person he or she felt had been the better of the two on the criterion for each
comparison. Typically the criterion has been the employees over all ability to do the
present job. The number of times a person has been preferred is tallied, and the tally
developed is an index of the number of preferences compared to the number being
evaluated.

Graphic Rating Scale. - The term used to define the oldest and most
widely used 360 DEGREES APPRAISALmethod. The evaluators are given a graph
and asked to rate the employees on each of the characteristics. The number of
characteristics can vary from one to one hundred. The rating can be a matrix of boxes
for the evaluator to check off or a bar graph where the evaluator checked off a
location relative to the evaluators rating.

Checklists. - The term used to define a set of adjectives or descriptive

statements. If the rater believed the employee possessed a trait listed, the rater
checked the item; if not, the rater left the item blank. rating score from the checklist
equaled the number of checks.

Behavioral Anchored Rating Scales. - The term used to describe a 360 rating that
focused on specific behaviors or sets as indicators of effective or ineffective performance,
rather than on broadly stated adjectives such as "average, above average, or below average".
Other variations were:

Behavioral observation scales

Behavioral expectations scales
Numerically anchored rating scales

Critical Incident Technique. - The term used to describe a method of 360 DEGREES
APPRAISALthat made lists of statements of very effective and very ineffective behavior for

employees. The lists have been combined into categories, which vary with the job. Once the
categories had been developed and statements of effective and ineffective behavior had been
provided, the evaluator prepared a log for each employee. During the evaluation period, the
evaluator recorded examples of critical behaviors in each of the categories, and the log has
been use to evaluate the employee at the end of the evaluation period.

Management by Objectives. - The management by objectives 360 DEGREES

APPRAISALmethod has the supervisor and employee get together to set objectives in
quantifiable terms. The appraisal method has worked to eliminate communication problems
by the establishment of regular meetings, emphasizing results, and by being an ongoing
process where new objectives have been established and old objectives had been modified as
necessary in light of changed conditions.

BENEFITS OF APPRAISAL:It offers a rare chance for a supervisor and subordinate to have "time out" for a one-on-one
discussion of important work issues that might not otherwise be addressed. Almost
universally, where 360 DEGREES APPRAISALis conducted properly, both supervisors and
subordinates have reported the experience as beneficial and positive.
Appraisal offers a valuable opportunity to focus on work activities and goals, to identify and
correct existing problems, and to encourage better future performance. Thus the 360 of the
whole organisation is enhanced.
For many employees, an "official" appraisal interview may be the only time they get to have
exclusive, uninterrupted access to their supervisor. Said one employee of a large organisation
after his first formal 360 APPRAISAL, "In twenty years of work, that's the first time anyone
has ever bothered to sit down and tell me how I'm doing."

The value of this intense and purposeful interaction between a supervisors and subordinate
should not be underestimated.

360 DEGREES APPRAISALcan have a profound effect on levels of employee motivation

and satisfaction - for better as well as for worse.

360 DEGREES APPRAISALprovides employees with recognition for their work efforts. The
power of social recognition as an incentive has been long noted. In fact, there is evidence that
human beings will even prefer negative recognition in preference to no recognition at all.

If nothing else, the existence of an appraisal program indicates to an employee that the
organisation is genuinely interested in their individual 360 and development. This alone can
have a positive influence on the individual's sense of worth, commitment and belonging.

The strength and prevalence of this natural human desire for individual recognition should
not be overlooked. Absenteeism and turnover rates in some organisations might be greatly
reduced if more attention were paid to it. Regular 360 APPRAISAL, at least, is a good start.

Training and Development

360 DEGREES APPRAISALoffers an excellent opportunity - perhaps the best that will ever
occur - for a supervisor and subordinate to recognize and agree upon individual training and
development needs. During the discussion of an employee's work performance, the presence
or absence of work skills can become very obvious - even to those who habitually reject the
idea of training for them.
360 DEGREES APPRAISALcan make the need for training more pressing and relevant by
linking it clearly to 360 outcomes and future career aspirations.

From the point of view of the organisation as a whole, consolidated appraisal data can form a
picture of the overall demand for training. This data may be analyzed by variables such as
sex, department, etc. In this respect, 360 DEGREES APPRAISALcan provide a regular and
efficient training needs audit for the entire organisation.

Recruitment and Induction

Appraisal data can be used to monitor the success of the organisation's recruitment and
induction practices. For example, how well are the employees performing who were hired in
the past two years. Appraisal data can also be used to monitor the effectiveness of changes in
recruitment strategies. By following the yearly data related to new hires (and given sufficient

numbers on which to base the analysis) it is possible to assess whether the general quality of
the workforce is improving, staying steady, or declining.

Employee Evaluation
Though often understated or even denied evaluation is a legitimate and major objective of
360 APPRAISAL. But the need to evaluate (i.e., to judge) is also an ongoing source of
tension, since evaluative and developmental priorities appear to frequently clash. Yet at its
most basic level, 360 DEGREES APPRAISALis the process of examining and evaluating the
360 of an individual.
Though organisations have a clear right - some would say a duty - to conduct such
evaluations of performance, many still recoil from the idea. To them, the explicit process of
judgment can be dehumanizing and demoralizing and a source of anxiety and distress to
employees.

It is been said by some that appraisal cannot serve the needs of evaluation and development at
the same time; it must be one or the other.

But there may be an acceptable middle ground, where the need to evaluate employees
objectively, and the need to encourage and develop them, can be balanced.

THE PROBLEMS AFFECTING 360 APPRAISAL:

i) The Halo Effect:
The tendency of the evaluators to base assessments of all individual characteristics on the
raters' overall impression of the person being evaluated is termed as the Halo Effect.

ii) Bias:
The appraiser may be biased for several reasons such as regional or religious backgrounds,
social or interpersonal conflicts.

iii) Inflation of Ratings:

There is a tendency to inflated ratings, which at times, happens overtime, or it may even
happen at all times with same raters.

iv) Central Tendency:

This is the tendency to avoid using the extremes of rating scales and to cluster the ratings
around the midpoint.

v) Leniency Error:
This occurs when the rater artificially assigns all or a certain group of employees high 360
ratings and all or certain scores cluster at top levels of the management scales.

vi) Strictness Error:

This occurs when the rater artificially assigns all or certain groups of employees low 360
ratings, and all or certain scores cluster at the button levels of measurement scales.

vii) Horns Effect:

In this case a rater always rates his subordinate lower than their actual performance. If the
expectation of the rater is very high, he expects his subordinates to perform extra-ordinary
and if he is not satisfied with the 360 he rates lower than what the rating should be.

viii) Organisational Leadership:

The style of leadership is an important determinant of an effective 360 DEGREES
APPRAISALsystem. It is the effective leadership, which motivate the entire organisation for
better 360 but of the opposite condition exists, then appraisal system is considered as an
imposition and structure.

GUIDELINES FOR SUCCESSFUL APPRAISAL

If a 360 DEGREES APPRAISALSystem is intended to be successful it is necessary to take

precautions, so that some of the limitations can be eliminated while some other can be
minimized to a great extent.

The success of an appraisal scheme based on the following factors:

i)

Both appraiser and the appraise should understand the scheme that it is for their
growth and development.

ii) Existence of an atmosphere of confidence and trust facilities, interaction for mutual
benefits.
iii) The emphasis should be given on "what he achieved" that "what a man does".
iv) A post appraisal interview and counseling should be arranged so that employees can
know where they stand and increase mutual understanding.
v) Which particular technique is to be adopted for the appraisal should be governed by
such factors as financial resources, philosophy and objectives of an organisation?
vi) To evaluate the appropriateness of any 360 evaluation

system, it would be

necessary to keep in view all the necessary and sufficient condition for such a
system to work effectively after it is evolved. There are several behavioral preconditions which are to be kept in mind.

CHAPTER-4

360 APPRAISAL
AT
ARSS INFRASTRUCTURE
PROJECTS LTD

360 DEGREES APPRAISALAT ARSS

Executive 360 DEGREES APPRAISALsystem of ARSS is done in a booklet
consisting of few forms as detailed below:

FORM-A: Finalizing the key task by the appraise himself.

FORM-B: 360 review by the Reporting Officer in consultation with Appraise to set up key
tasks for the financial year.

FORM-C1: 360 Review for the achievement of set target during 1st week of July.

FORM-C2: 360 Review for the achievement of set target during 1st week of January.
FORM-D1: Review of Appraisees target achievement with reference to form B.C1 & C2 by
the Reporting Officer as well as Reviewing Officer.
FORM-D2: Assessment of Appraisees managerial skill appraisal leading 360 & potential
factor by the Reporting & Reviewing Officer.
FORM-D3: Assessment of Appraisees managerial skill appraisal leading to 360 and
potential factor by Reporting and Reviewing Officer.
FORM-E: Appraisees final assessment by the appraisal cell with reference to the specified
weight age depending upon his grade.
FORM-F: Overall comments on Appraisees 360 by Senior Executives.

#Reporting officer, Reporting officer (F) and Reviewing Officer will independently rate the
managerial skills.
#Reporting officer & Reviewing officer will independently rate the concerned appraise on
achievement of key tasks.

#Percentage of achievement and comments of the Reporting officer are to be shown to the
concerned Appraisee in Form D1.

LEVEL OF REPORTING OFFICER, REVIEWING OFFICER AND

HIGHER AUTHORITY:
The level of reporting officer and higher authority in respect of different levels
of appraise will be as under:

1. Reporting Officer: The executive next higher in rank and grade not below the
level of E4 officer to whom the appraise reports. In case the executive at E3
level, is the sectional head, there concerned executive will be the reporting
officer of EO, E1 & E2 executives.

2. Reporting Officer (F): The Reporting Officer (F) is the head of the functional
area in case of the executives administratively reporting to the authority other
than his/her functional areas.

3. Reviewing Officer: The executive next higher in rank and grade to the
Reporting Officer and to whom the reporting officer reports.
In case of the reporting to the Complex Head at ED level, Reviewing Officer
will be the concerned Functional Director.

4. Higher Authority: The executive next higher in the rank and grade to the
Reviewing Officer and to whom the Reviewing Officer reports.

5. Personal staff & Directly Reporting Staff: The respective controlling officer
will be Reporting Officer of personal staff and directly reporting staff. The
Reviewing Officer and Higher Authority will be as per clause 3 & 4.

6. In case the specified levels of Officers noted above are not in position, the
next higher officer will evaluate in his/her place.

7. Accepting Authority: Appraisal Report after being routed through Higher

Authority, is to be placed before the Accepting Authority, as indicated below,
who in turn is required to pass on the Appraisal Form to the Appraisal Cell at
Corporate Office.

Level of Appraisee

Level of Accepting Authority

1.

E7 and above

CMD

2.

E5 and E6

Director

3.

E3 and E4

Executive Director

4.

E0, E1 and E2

General Manager

For executive reporting to CMD, ratings given by CMD, will be final and carry
100% weightage.

N.B. In case of transfer of Appraise or Reporting Officer, the 360 DEGREES

APPRAISALBooklet is to be handed over to the HOD under intimation to the
Appraisal Cell, Corporate Office.

MANPOWER AT ARSS INFRASTRUCTURE PROJECT LTD.

The manpower of ARSS Infrastructure Projects Ltd. consists of Executives,
Supervisors, Skilled workers and unskilled workers. The total manpower position at
its head office near about 500.Out of that 90 are Executives, 50 are Supervisors, 200
Skilled and 160 are unskilled workers.

CHAPTER-5

DATA ANALYSIS

DATA ANALYSIS
I have developed a questionnaire in consultation with my guide consisting of about 12
questions. The questionnaire has been given to about 60 executives of ARSS at
Bhubaneswar and the opinion has been collected. The data analyses are as under:

1. You think that 360 DEGREES APPRAISALsystem is necessary in organisation.

Question No- 1
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
32
24
0
0
4

Percentages%
53%
40%
0%
0%
75

Figure- 1
Strongly Agree

Agree

Neither Nor

Disagree

Strongly Disagree

0% 0%
7%
40%

53%

Above diagram 53% of employee strongly agree and 40% of the employee agree that 360
DEGREES APPRAISALis necessary in the organisation.7% employee are neither agree
nor disagree that it is necessary in the organisation.

2. You are satisfied with the existing 360 DEGREES APPRAISALsystem.

Question No- 2
Strongly Satisfied
Satisfied
Neither Nor
Dissatisfied
Strongly dissatisfied

Respondents
28
20
0
8
4

Percentages%
54%
38%
0%
0%
8%

Figure 2
Strongly Satisfied

Satisfied

Dissatisfied

Strongly Dissatisfied

Neither Nor

0% 0%
8%
38%

54%

In the above diagram 54% of the employees strongly satisfied and 38% employees are
satisfied with their existing 360 DEGREES APPRAISALsystem, where 8% employees are
strongly dissatisfied with the system.

3. You think that the 360 DEGREES APPRAISALis helpful in reducing relevance among
the employee.
Question No- 3
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
24
20
12
4
0

Percentages%
40%
33%
20%
7%
0%

Figure- 3
Strongly Agree

Agree

Neither Nor

Disagree

Strongly Disagree

0%
7%
20%

40%

33%

Above diagram 40% of employee strongly agree and 33% employee are agree with 360
DEGREES APPRAISALis helpful in reducing relevance among the employee, 20%
employee are stay neutral and 7% employees are disagree with that.

4. You think that the 360 DEGREES APPRAISALis helpful in improving the personal skill.
Question No- 4
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
32
12
12
4
0

Percentages%
53%
20%
20%
7%
0%

Figure- 4
Strongly Agree

Agree

Neither Nor

Disagree

Strongly Disagree

0%
7%
20%
53%
20%

In the above diagram 53% of the employee are strongly agree and 20% agree that 360
DEGREES APPRAISALis helpful in reducing relevance among the employee and 20% are
in neutral where 7% employees are disagree with it.

5. You think that the 360 DEGREES APPRAISALsystem helps to identify the strength and
weakness of the employee.

Question No- 5
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
16
12
8
20
4

Percentages%
47%
20%
13%
33%
7%

Figure-5
Strongly Agree

Agree

Neither Nor

7%

Disagree

Strongly Disagree

27%

33%
20%
13%

In the above diagram 27% employee are strongly agree and 20% agree with it that the 360
DEGREES APPRAISALsystem helps to identify the strength and weakness of the employee,
where as 13% neither agree nor disagree and 33% employees and 7% employees are disagree
and strongly disagree .

6. You think that the 360 rating is helpful for management to provide counseling.

Question No- 6
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
20
24
12
4
0

Percentages%
33%
40%
20%
7%
0%

Figure-6
Strongly Agree

Agree

Neither Nor

Disagree

Strongly Disagree

0%
20%

7%

33%

40%

Above diagram 33% employees are strongly agree and 40% employees are agree that the 360
rating is helpful for management to provide counseling, 20% employees are neutral and 7%
employees are disagree.

7. You think that promotion should be purely based on 360 APPRAISAL.

Question No- 7
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
16
24
12
8
0

Percentages%
27%
40%
20%
13%
0%

Figure- 7
Strongly Agree

Agree

Neither Nor

Disagree

Strongly Disagree

0%
13%

27%

20%

40%

In the above diagram 27% employees are strongly agree and 40% employee are agree with
that promotion should be purely based on 360 APPRAISAL,20% employees are neither agree
nor disagree and 13% employees are disagree with it.

8. You think that pay fixation should be as per 360 rating.

Question No- 8
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
36
16
8
0
0

Percentages%
60%
27%
13%
0%
0%

Figure-8
Strongly Agree

Agree

Neither Nor

Disagree

Strongly Disagree

0%
0%
13%
27%
60%

In the above diagram 60% employees are strongly agree and 27% employees are agree that
pay fixation should be as per 360 rating but 13% employees are neither agree nor disagree.

9. You think that 360 DEGREES APPRAISALincreases employees motivation and morale.

Question No- 9
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
24
16
8
8
4

Percentages%
40%
27%
13%
13%
7%

Figure-9
Strongly Agree

Agree

13%

Neither Nor

Disagree

Strongly Disagree

7%
40%

13%

27%

Above diagram 40% employees are strongly agree and 27% employees are agree that 360
DEGREES APPRAISALincreases employees motivation and morale ,but 13% employees
are in neutral and 13% employees are disagree and 7% employees are strongly disagree.

10. You think that the 360 should assessed by self.

Question No- 10
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
16
8
16
12
8

Percentages%
27%
13%
27%
20%
13%

Figure- 10
Strongly Agree

Agree

Neither Nor

Disagree

13%

27%

Strongly Disagree

20%
13%
27%

Above diagram 27% employees are strongly agree and 13% employees are agree that the 360
should assessed by self, and 27% employees are neutral .20% employees are disagree and
13% employees are strongly disagree with it.

11. You think that the 360 should assessed by superior.

Question No- 11
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
24
16
12
4
4

Percentages%
40%
26%
20%
7%
7%

Figure-11
Strongly Agree

Agree

7%

Neither Nor

Disagree

Strongly Disagree

7%
40%

20%

26%

Above diagram 40% employees are strongly agree and 26% employees are agree that the 360
should assessed by superior but 20% employees are neither agree nor disagree and 7%
employees are disagree another 7% employees are strongly disagree in it.

12. You think that the 360 should assessed by Independent bodies/Consultants.

Question No- 13
Strongly Agree
Agree
Neither Nor
Disagree
Strongly Disagree

Respondents
8
16
8
12
16

Percentages%
13%
27%
13%
20%
27%

Figure-12
Strongly Agree

Agree

27%

Neither Nor

Disagree

Strongly Disagree

13%
27%

20%
13%

In the above diagram 13% employees are strongly agree and 27% employees are agree that
that the 360 should assessed by Independent bodies/Consultants, 13% employees are neutral
but 20% disagree and 27% are strongly disagree in it.

SWOT ANALYSIS
A SWOT analysis must first start with defining a desired end state or objective. A SWOT
analysis may be incorporated into the strategic planning model. Strategic Planning has been
the subject of much research. SWOT analysis is just one method of categorization and has its
own weaknesses. For example, it may tend to persuade companies to compile lists rather than
think about what is actually important in achieving objectives. It also presents the resulting
lists uncritically and without clear prioritization so that, for example, weak opportunities may
appear to balance strong threats.

SWOT is a planning tool used to understand the Strengths, Weaknesses, Opportunities, and
Threats involved in a project or in a business. It involves specifying the objective of the
business or project and identifying the internal and external factors that are supportive or
unfavorable to achieving that objective. SWOT is often used as part of a strategic planning
process.
The SWOT analysis framework has gained widespread acceptance because it is both simple
and powerful for strategy development. However, like any planning tool, SWOT is only as
good as the information it contains. Thorough market research and accurate information
systems are essential for the SWOT analysis to identify key issues in the environment.

Strengths:

The 360 DEGREES APPRAISALsystem strengthens the superior-subordinate

relationship in the organisation.

The online appraisal system is easily accessible from anywhere and also at any
time.

The employees always aware of their weak areas in their performance.

Weakness:

The 360 rating depends on the of the superiors.

A 360-degree appraisal cannot be provided to the employees.

Opportunities:

The appraisal system gives a chance to change the policies by considering the 360
level of the employees.

The employees get a better chance to express their efficiency in front of their
superiors.

Threats:

The appraisal system may sometime make bigger gap between the employees.

A poor 360 of the employees raises questions on the 360 of the appraiser.

CHAPTER-6

FINDINGS
AND
SUGGESTIONS

FINDINGS:

From the survey at ARSS, I have collected some data regarding 360
DEGREES APPRAISALthat it is done on annually basis.

It is also found that employees are generally appraised by their immediate

supervisors.

360 DEGREES APPRAISALis necessary for the employees.

From above data it is found that the 360 DEGREES APPRAISALleads to

identification of hidden potential of the employees.

360 DEGREES APPRAISALhelps to achieve the goals of the organisation.

360 DEGREES APPRAISALhelps to identify the training need.

It is also found that 360 DEGREES APPRAISALis linked with promotion.

It is also found that the 360 DEGREES APPRAISALdoes not help in

increasing the salary or any other incentives.

It is also found that the feedback is given only when it is required.

Generally people agree that 360 DEGREES APPRAISALhelps to motivate

employees.

360 DEGREES APPRAISALhelps in polishing the skills of employee.

A jealousy is one of the obstacles.

360 DEGREES APPRAISALalso helps to create good communication

between appraisers and appraise.

Generally people are satisfied with the evaluation system made in

organisation.

360 DEGREES APPRAISALprocess helps to improve the 360 of the

employees.

Most of the employees said that if they want to review the current 360
DEGREES APPRAISALsystem.

SUGGESTIONS:

Proper judgment about 360 parameter will motivate the employee to lead the
plant productivity.

Proper training should be given to develop the skill of the employee to achieve
the target setting by the employers.

360 DEGREES APPRAISALshould be used for increasing the salary of the

employees.

Individuals should be measured not against targets given to them but their
potential should be measured for which a little better system should be
developed.

360 degree 360 DEGREES APPRAISALshould be given advantage.

CHAPTER-7

CONCLUSION

CONCLUSION:
360 DEGREES APPRAISALrefers to the assessment of an employees actual
performance, behavior on jobs, and his or her potential for future performance.
Appraisal has several objectives but the main purposes are to assess training needs, to
effect promotions, and to give pay increases.
Appraisal of 360 proceeds in a set pattern. The steps involved are defining
appraisal objectives, establishing job expectations, designing the appraisal
programme, conducting 360 interview, and using appraisal data for different HR
activities.
360 DEGREES APPRAISALis systematic and objective way of evaluating
both work related behavior and potential of employees. It should be carried out in an
objective manner. In order to get best result of 360 DEGREES APPRAISALthe CEO
of every organisation should create a culture of excellence that motivates employee at
all level and also encourage team work.
In recent times, leading Indian companies like Philips, Glaxo , Cadbury,
Sandoz have all redesigned their system shifting from a pure 360 orientation to a
potential-cum-360

based

appraisal

system.

Mostly

360

DEGREES

APPRAISALsystem always depends upon a consistent approach.

So, we may conclude that 360 DEGREES APPRAISALis very much essential
for an organisation by which the 360 of the employees can be evaluated and effective
training can be given to them for better performance.

CHAPTER-8

BIBLIOGRAPHY

BOOKS

Kothari C.R., Research Methodology New Age International (P) Ltd, Publishers 7th
edition 2009.

Suba Rao P., Human Resource Management and Industrial Relations Himalaya
Publishing House, Mumbai, 3rd edition 2008.

Dessler Gray, Human Resource Management PHI, New Delhi, 11th edition 2008.

Rao V.S.P, Human Resources Management text and cases Excel Books, New
Delhi, 2nd edition 2005.

Companys Manuals of ARSS.

Web Portals Visited:

www.arss.com

http://www.businessballs.com/performanceappraisals.htm

http://www.humanresources.hrvinet.com/performance-appraisal-methods/

A SURVEY ON 360 DEGREES APPRAISAL OF ARSS INFRASTRUCTURE

PROJECT LTD.
BY
KIRTY RANJAN NAYAK
TRIDENT ACADEMY OF TECHNOLOGY
REGD. NO: 0906289022

Employee Name-................................................................................................................

Sl No-............ Designation............................................... Age............Salary..................

Questionnaire
[Please put tick mark () in appropriate place.]

1. Do you think that 360 DEGREES APPRAISALsystem is necessary in

organisation?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

2. Are you satisfied with the existing 360 DEGREES APPRAISALsystem?

I.
II.

Strongly Satisfied
Satisfied

III.

Neither Satisfied Nor Dissatisfied

IV.

Dissatisfied

V.

Strongly Dissatisfied

3. Do you think that the 360 DEGREES APPRAISALis helpful in reducing relevance
among the employee?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

4. Do you think that the 360 DEGREES APPRAISALis helpful in improving the
personal skill?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

5. Do you think that the 360 DEGREES APPRAISALsystem helps to identify the
strength and weakness of the employee?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

6. Do you think that the 360 rating is helpful for management to provide counselling?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

7. Do you think that promotion should be purely based on 360 APPRAISAL?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

8. Do you think that pay fixation should be as per 360 rating?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

9. Do you think that 360 DEGREES APPRAISALincreases employees motivation and

morale?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

10. Do you think that the 360 should assessed by self?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

11. Do you think that the 360 should assessed by superior?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

12. Do you think that the 360 should assessed by Independent bodies/Consultants?

I.
II.

Strongly Agree
Agree

III.

Neither Nor

IV.

Disagree

V.

Strongly Disagree

13. Suggestion if any:-................................................................................................

................................................................................................

Signature