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Performance appraisal:
o Performance appraisal is a method of evaluating the behaviour of employees
in the
work spot, normally including both the quantitative and qualitative aspects of
job performance.
o Performance here refers to the degree of accomplishment of the tasks that
make up an individual's job. It indicates how will an individual is fulfilling the
job demands.
Importance
o Performance appraisal is the systematic description of an employee's job-
relevant strengths and weaknesses.
o The basic purpose is to find out how well the employee is performing the job
and establish a plan of improvement.
o Appraisals are arranged periodically according to a definite plan.
o Performance appraisal is not job evaluation. Performance appraisal refers to
how well someone is doing the assigned job. Job evaluation determines how
much a job is worth to the organization and, therefore, what range of pay
should be assigned to the job.
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The points given by the rater know performance regarding each
character.
The points given by the rater to each character are added up to find out
the overall performance. Employees are ranked on the basis of total
points assigned to each one of them.
One reason for the popularity of the rating scales is its simplicity,
which permits many employees to be quickly evaluated.
Such scales have relatively low Design cost and high in case of
administration. They can easily pinpoint significant dimensions of the
job.
The major drawback to these scales is their subjectivity and low
reliability. Another limitation is that the descriptive words often used
in such lies may have different meanings to different raters.
o Ranking Method:
Under this method the employees are ranked from best to worst on som
e characteristics.
The rater first finds the employee with the highest performance and th
e employees with the lowest performance in that particular job
category and rates the former as the best and the later as the poorest.
Then the rater selects the next highest and next lowest and so on until
he rates all the employees in that group.
Ranking can be relatively easy and inexpensive, but its reliability and
validity may be open to doubt.
It may be affected by rater bias or varying performance standards.
Ranking also means that somebody would always be in the backbench.
It's possible that the low ranked individual in one group may turn out
to be superstar in another group.
One important limitation of the ranking method is that size of the
different between individuals is not well defined. For instance, there
may be little difference between those ranks third and fourth.
o Checklist Methods:
The Checklist is a simple rating technique in which the supervisor is
given a list
of statement or words and asked to check statements representing the c
haracteristics and performance of each employee.
There are three types of checklist methods:
1. simple checklist
2. weighted checklist
3. forced choice method
o Group Appraisal:
1. Under this method, an employee is appraised by a group of
appraisers.
2. This group consists of the immediate supervisor of the employee,
to other supervisors who have close contact with employee's work,
manager or head of the department and consultants.
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3. The head of the department or manager may be the chairman of the
group and the immediate supervisor may act as the coordinator for
the group activities.
4. The immediate supervisor enlightens others members about the job
characters, demands, standards of performance etc.
5. Then the group appraises the performance of the employee,
compares the actual performance with standards, find out the
deviations, discusses the reasons therefore, suggests ways for
improvement of performance, prepares action plans, studies the
need for change in job analysis and standards and recommends
change, it necessary.
6. This method is widely used for purpose of promotion, demotion
and retrenchment appraisal.
Appraisal Process:
o Each step in the process is crucial and is arranged logically.
o Many organizations make
every effort to approximate the ideal process, resulting in first-
rate appraisal systems.
1. Objectives of Appraisal:
o Objectives of appraisal include effecting promotions and transfers, assessing
training needs, awarding pay increases, and the like. The emphasis in all these
is to correct the problems.
2.Establish job expectations:
o The second step in the appraisal process is to establish job expectations. This
includes informing the employee what is expected of him or her on the job.
3.Design appraisal programme:
o Designing an appraisal programme possess several questions which need
answers. They are -
Formal versus informal appraisal;
Whose performance is to be assessed?
Who are the raters?
What problems are encountered?
o How to solve the problems?
What should be evaluated?
When to evaluate?
What methods of appraisal are to be used?
4.Performance Interview:
o Performance interview is another step in the appraisal process. Once appraisal
has been made of employees, the raters should discuss and review the
performance with the rates, so that they will receive feedback about where
they stand in the eyes of superiors.
5.Use of Appraisal data:
o 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
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BENIFITS OF PERFORMANCE APPRAISAL SYSTEM
o Performance appraisal is helpful in assessing a firms
human resources data must be available that describe the potential of all
employees.
o A well designed appraisal system
provides a profile of the organization's human resource strengths and
weaknesses.
o Performance evaluation ratings
may be helpful in predicting the performance of job applicants.
o Performance appraisal will point out employee specific needs for training and
development.
o Performance appraisal is useful in career planning and development.
o Performance appraisal results provide a basis for rational decisions regarding
compensation programmes.
o Performance appraisal data are also frequently used
for decisions in several areas of internal employee relations, including promoti
on, demotion, termination, lay-off. and transfer.
o Performance appraisal is useful in assessment of employee potential.
o Performance appraisal can be used to determine whether HR programmes suc
h as selection, training, and transfers have been effective or not.
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BANSWARA SYNTEX LIMITED
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VISION
Our vision is to be a:
MISSION
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Objectives of the study
To get deeper understanding of performance standards in Banswara
Syntax
To Understand the performance appraisal techniques in Banswara Syntax
To match perception and expectations of the employees with respect to
performance appraisal
To Observe actual performance due to the environment influences
To suggest, analyze and recommend measures to improve performance
appraisal techniques
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Review of Literature
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Hyderabad based Medium and large-scale industries. The secondary data is derived from
Industrial Directory, websites. There are five different information support levels of HRIS and
the technique used for data analysis for Cumulative weighted average (CWA). The research
indicates that medium-scale textile industries are still behind the most reliable, wise and wide
usage of technology. The conclusion of this research is give importance of HRIS and then
update and install the systems in order to lime light the organization performance. This study
finds that the support levels of medium-scale textile industries towards the HRIS is moderately
average and suggest immediate resolutions of enhancement in HRIS to effectively and
efficiently utilization of the system in order to procure and conquer the opportunities for
continuous lading of organization.
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6. A STUDY ON EFFECTIVENESS OF HR PRACTICES AND POLICIES
ON JOB SATISFACTION WITH REFERENCE TO TEXTILE
INDUSTRIES IN TAMIL NADU, INDIA. (Nov 2015)
C.Loganathan have examined the study on effectiveness of hr practices and policies on job
satisfaction with reference to textile industries in Tamil nadu, India. The main objective is to
identify the impact of HR practices on job satisfaction of employees in Tamil Nadu. The paper
uses descriptive as well as explanatory research design as it describes employees within their
workplace. Primary data was collected from 100 respondents across 10 organizations of
Tamilnadu. Secondary data is collected from different sources, for example, journals, books,
working papers, thesis, report etc. This study’s shows the descriptive statistics of demographic
profile, which includes age, gender, qualification and experience. It also shows a strong
correlation between recruitment practices and its associated factors and with training and its
related factors. It is also shows weak correlation between compensation related factors and job
satisfaction. This study concludes that HR practices are considered as independent variable
where as job satisfaction is considered as dependent variable so the organization should be
focused towards HR practices in order to retain their employees and enhance their skills.
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8. Impact of HRM Practices on Employee’s Performance- January 2016
Saira Hassan have examined the Impact of HRM Practices on Employee’s Performance. The
Major objectives of the study is to determine the impact of HRM practice’s on employee’s
performance in the textile industry. The parameters used to check the impact are Compensation,
Career Planning, Training, Employee Involvement, and Performance Appraisal. The primary
data was collected through questionnaire around 68 target respondents. The use of correlation
and regression analysis to determine the association between HRM practice’s and employee’s
performance. This study found out that the employee’s performance could be increased by
giving employee’s an opportunity make effective decisions. The major finding is that the HRM
practices (compensation, career planning, performance appraisal, and training and employee
involvement) has a positive role in increasing the employee’s performance.
Carolina Klein Padilha and Giancarlo Gomes (2016) have examined the Influence of the
Innovation Culture in Innovation Performance of Products and Processes in The Textile
Industry. The objective of the research study is to analyze the influence of the innovation
culture in innovation performance of products and processes in the textile industry. The data
was analyzed by structural equation modelling. The models used to describe the innovation
culture Strategy, Structure, Support Mechanisms, Behaviors that stimulate innovation,
Communication. The type of Research design is Causal research and descriptive research. The
researcher uses hypothesis test to analyze. The data collection tool consisted of two blocks,
comprising a total of 37 questions .Innovation culture has greater influence on the process than
on the product, and that the size of the organization does influence the performance in product
and processes innovation for the sample studied. With this research, it was found that there is
the presence of innovation culture determinants in the behaviors that encourage innovation with
greater insight and there is an innovation culture influence of performance in product
innovation.
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11. Role of Performance Appraisal System on Employees Motivation (APR-
2013)
Muhammad Faseeh ullah khan have examined Role of Performance Appraisal System on
Employees Motivation. The main objective of this study to examine how performance
appraisals affect the employee's future performance. The Primary Data is collected using
questionnaire method. The secondary data is derived using websites, articles, newspaper
through website such as, Wikipedia, Data collection from library, concerned Management
books and the newspaper, Review of Literature. The steps involved in conducting a systematic
performance appraisal starting by identifying key performance criteria, develop appraisal
measures, collect performance information from different sources, conduct an appraisal
interview, and evaluate the appraisal process. The Null hypothesis is “to motivate the employee
in our organization” the alternate hypothesis is “Don’t motivates the employee in our
organization.” The data collected using Nominal Scale Technique. The study concludes that all
employees should know their Job description / specification so that they can work efficiently
and can measure themselves and 38 % strongly agree, 34% people agree, 18% people disagree,
10% people strongly disagree that in Performance Appraisal system Job description /
specification are the best way to measure the performance.
Dr. Kao Kveng Hong have done an Analysis of Human Resource Performance Appraisal. The
main objective of the study is to assess the effectiveness of that system based on the feedback
provided by the employees and benchmarking against a reputed competitor operating in
Cambodia. The type of Research Design used is Descriptive Research Design. The primary
data has derived using a predesigned and pretested questionnaire were administer to all the 48
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employees (10 officers and 38 staffs) working in the head office and the secondary data derived
from Brochure of the company Human resource management journals and theories Bulletins
Textbooks and websites Performance Appraisal related documents from different types of
organization especially from RHAC and Caltex in Cambodia for the purpose of benchmarking.
The sample size selected is 40. The findings of the study is the researcher would like to
recommend that the company should firstly develop a formal model and system for appraising.
The objectives of the employee appraising should not only focus on the deciding on
compensation and benefits for employees but also make use of it and serve other human
resource functions.
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size selected by the researcher is 150. The primary data derived through structured
questionnaire and the secondary data retrieved from various Journals, websites and magazines.
The tools used to analyze the like Descriptive Statistics, Correlation, one-way ANOVA and
Chi square test. The null hypothesis is there is no significant relationship between experience
and achievement in job and the alternate hypothesis is there is significant relationship between
experience and achievement in job. The study concludes the top management should conduct
some of the performance appraisal so that they can understand the employee and their needs,
behavior better and to find out the loopholes, employees should feedback regarding their
appraisal.
Saman Taha Hamad have studied legal termination and performance appraisal at private firms
in Kurdistan. The main objective of the study is to analyze the relationship between the legal
termination and annual performance appraisal evaluation and at private firms. The primary data
collected through questionnaires. Out of 100 questionnaires, only 68 questionnaires received.
The methods used to analyze data is ANOVA, Coefficients, demography analysis, reliability
analysis. The findings from this study is every firm should document the explanations and
assessment for the termination decision. Integrity improved with documented performance
appraisal assessments and cases of poor performance.
Dr. Daisy Ofosuhene ET Al. have done evaluation of the performance appraisal practices in
the Ghana civil Service. The main objective of this study is to evaluate the performance
appraisal practices in the Ghana Civil Service. The type of Research Design is Descriptive
Research in order to describe the conditions of the current performance appraisal system and
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the prospects. The primary data derived using self-administered questionnaire and semi
structured interview. Organizational reports, journals, newspapers and relevant books used to
derive secondary data the purposive sampling technique used to target only full-time
employees at the Office of the Head of Civil Service and the Ministry of Education. The
findings of this study is the analysis of responses indicated that majority of employees have
negative impression or perceptions about the appraisal system.
Mukesh Kumar have examined Employee’s performance appraisal system and its implication
for individual and organizational growth. The main objective of the study is to ascertain
Employee’s Performance Appraisal System and its Implication for Individual and
Organizational Growth. There is a performance appraisal process starting from Identifying
specific performance appraisal goals , establishing performance criteria and communicate them
to employee , examine the work performed, discuss appraisal with employees. The primary
data derived using questionnaire & informal discussion & it interpreted. Sample Method used
for collection of data. Questionnaires distributed covering various departments such as
Personnel, Marketing, Export, Manufacturing, Finance, Training, Materials etc. Secondary
data collected from past records and manual of the company, books, and internet. In this
research, the secondary sources used are, various files and records maintained by organization,
HR manual, Journals, and Booklets etc. The findings of this research is organizations should
know that performance appraisal is incomplete unless appraisee is told what his strengths are
and weaknesses, his performance cannot improve in the subsequent future, which obviously
defeats the very objective of periodic appraisals.
Mohammad Siraj Ali have analyzes the effect of Performance Appraisal Techniques in
motivating employees in Reliance Jio. The main objective of this study is to analyze the
effectiveness of performance Appraisal in Reliance Jio Infocomm Limited. The type of
research design is Quantitative Research design. The sample size selected is 300. The sample
design selected is convenience sampling. The primary data is derived using Questionnaires and
the secondary data is derived using Newspaper, Internet Resources, Books, Journals, Records
maintained by Human Resource Department, Company websites. The methods of performance
appraisal is traditional methods, modern methods, ranking methods, paired comparison
method, forced distribution method, critical incident method. The modern methods are
Behaviorally Anchored rating scales, assessment center, human resource accounting, and
management by objectives.
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recognition for his dedication and transforming inefficient person in to efficient employee by
giving positive and negative motivation as if required. The primary data collected through
questionnaire. The sample size selected is 60 employees. The tools and techniques used is t
test, correlation, chi square and regression. The types of commitment are Affective
Commitment, Continuance Commitment and Normative Commitment. By the research, it is
that an organization should try their level best to use the better performance appraisal methods
for their employees so that it can maintain high organizational commitment.
Pilavenkatswamy K.ET AL. have did an Empirical Study on Employee Appraisal and Training
Impact with reference to Organized Retail –Stores in Bangalore. The main objective of this
study is to realize the profile of retail employees calls for training for the improvement in their
talents and supply emphasis on the impact of training program. Primary data derived using
questionnaire method, personal discussion and interaction. Data collected through quota-
sampling unit from new and old employees. Four Hundred questionnaires distributed among
the newly appointed and old employees and the overall response rate was 60%. Paired test and
correlation test conducted through software package. The null hypothesis of the research is
Training changes the business focus of the employees and alternative hypothesis is Training
does not change the business focus of the employees. The findings of this research is that there
are four key regions business focus, critical thinking, personal effectiveness and relationship
management and is maximum crucial for all personnel. Designing a proper training program is
more critical for effective development in those key regions.
Getachew Alene Chekol have examined the effect of performance appraisal on employee’s
morale and satisfaction. The main objective of this research is to get the current performance
of employees, performance appraisal problems. The type of research design is Descriptive
Research Design. The population size of the organization was 76. The researcher selected
random sampling technique. The primary data derived through open and close-ended
questionnaires by distributing it to 42 employees. The analysis of data done using table and
percentage, whereas qualitative data analyzed through statement form. The conclusion of this
research is that the organization employees are highly demoralized and affected negatively
when their supervisor gave for those employees who are not able to meet the performance
standards and having a better performance appraisal have a great benefit for the organization
in general and employees in particular.
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process of the employees. The type of research design is Descriptive Research Design. The
primary data derived using questionnaires and secondary data derived using documental
research appraisal, appraisal courses, and sources of appraisal, application of appraisal and
indices and criteria for appraisal. The data analyzed by SPSS (Statistical Package for the Social
Sciences) software at two levels using descriptive and inferential statistics. The finding of this
research is performance appraisal used as a method of providing information for making decision relating
to payment and then archiving in the staff's files.
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performance appraisal data and shows various strategies for increasing employee work
performance. This study concludes that in order to target increased employee performance,
research should focus on employee performance appraisal and on the influence of
organizational context factors on this process. Thus, factors of organizational context such as
organizational objectives, strategy, technology, organizational culture, HR procedures,
employee motivation, etc. influence the design and implementation of employee performance
appraisal in organizations.
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Research methodology
Primary Data
o Questionnaire method- In this method a questionnaire is mailed to the person
concerned with a request to answer the questions and return the questionnaire.
o Experience survey and depth interview- In this method an interview is
conducted of a concern person who performs performance appraisal for the
employees and according to their experience response is noted.
Secondary Data-
o Records of employee performance
o Journals regarding Performance appraisal in textile sector (J-gate plus, Ebsco
host)- includes censuses, information collected by government departments,
organisational records and data that was originally collected for other research
purposes
Sampling:
Sampling has to be done from different Units like:
Administration
Sales
Human Resource
Manufacturing
Marketing
There are total 165 staff members who looks after admin, sales, HR, Marketing and small
scale manufacturing in Mumbai branch and 1342 workers in overall manufacturing unit in
Banswara syntax, Rajasthan.
Type of Sampling: The sampling technique will include the combination of quota
sampling as well as simple random sampling within the quota
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Since there are 5 departments in the selected textile company it is easy to take sample by
quota sampling where the sample will include minimum number of each specified department
from the total number of employees according to their departments and designation.
Sample size
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Analysis and Interpretation
Analysis: In the above mentioned graph it is seen that amongst 50 respondents 28% were
Female and rest were Male.
Inference: There were total 50 employees as a sample size from different departments like
HR, Sales, Manufacturing, Marketing and Administration working in the Mumbai office of
Banswara Syntax Pvt. Ltd
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Analysis: The maximum Respondents belonged to age-group of 18-25 years old
Analysis- The above mentioned graph shows that the major number of respondents were
post-graduate and graduate.
Analysis: According to the above mentioned graph there are 4 departments chosen for the
research, and 10 employee each are selected for the research.
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5.5- Chart depicts the frequency of performance appraisal conducted
Analysis: According to the above mentioned chart all the employees have selected the
frequency of conducting performance appraisal as yearly.
Inference- From the analysis it can be inferred that performance appraisal is conducted yearly
in all the departments,
Analysis: As seen in the above mentioned chart Maximum of the employees agree to all the
benefits of conducting performance appraisal.
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Inference- From the analysis it can be inferred that most of the employees agree that the level
5.7-Chart depicts Different method used for assessment of performance for appraisal
Analysis: In the graph it is seen that only traditional ways of performance appraisal
techniques are used for evaluation of the performance of the employees, methods such as
observation, Checklist, Ranking method and 360 degree appraisal is used for the assessment.
Inference: From the analysis it can be inferred that the company uses only traditional methods
techniques like MBO and Self appraisal for better productivity and assessment of the
performance of the employees.
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5.8-Chart depicts the ranking according to the satisfaction of current assessment
Analysis: As mentioned in the graph all the employees are satisfied with the current
performance appraisal assessment techniques.
Inference: As per the analysis the employees are satisfied with the traditional ways of
assessment of Performance appraisal techniques so there were no extra suggestions given for
any changes in the assessment.
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5.9-Chart depicts the different techniques for management of non-performers
Analysis: The different techniques used for managing the non-performers are training and
development, Counselling and Employee engagement activities by all the departments.
employees are managed by training and development and Counselling which helps the
employees to attain their goals.
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SUMMARY OF FINDINGS AND SUGGESTIONS
From the survey results its evident that both the appraisee’s and appraisers expectation from
Performance appraisal system are the same i.e. “Determination of Promotion or Transfer” and
“Salary Administration and Benefits”. Hence a single performance appraisal system can
satisfy needs of both the Appraiser and appraisee. Therefore the Performance appraisal
program would be designed in such a way that the appraiser would be able to analyse the
contribution of the employee to the organisation periodically and all the employees who have
been performing well would be rewarded suitably either -Strongly Agree, Agree Neither
Through this the appraiser can also motivate the employees who felt that they had no growth
in the organisation and serves the purpose of employee development. Thus performance
appraisals can be used as a significant tool for career Planning. Analysing one’s own
strengths and weaknesses is the best way of identifying the potentials available, rather than
the other person telling. Self-appraisal is a tool to analyse oneself. One of the most important
findings was that almost all the employees wanted self-rating to be a part of performance
appraisal program carried out by the organisation. From the responses of the appraiser we can
also see that Self rating is not encouraged by the organisations. This could therefore be an
important factor which leads to dissatisfaction among the appraisees.
At the end of the year of the appraisal period the appraisal process should begin with self-
appraisal by every employee. To appraise one’s own self on key performing targets and
established fact that change is faster when it is self-initiated. If any employee has to improve
or do better, he must first feel the need to do so. Reflection and review is a process that
enables him to feel the need and improve more upon his strengths and weaknesses Another
point to be noticed is that even in the other forms of Performance Appraisal also the
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employees expect that they should be given a chance to rate their own performance. This can
allow the employee to analyse one’s own Performance which gives new insights on how one
is performing and what are the critical points where he has to put his best and improve upon
The existence of a proper complain channel was also of utmost importance to the appraisees.
They should be given a chance to convey their grievances to the top management. The
appraisees also expect that their comments and suggestions should be taken into account
while conducting the appraisals. This expectation is not fulfilled as the appraisers do not take
their comments and suggestions into consideration. Therefore they should look into this
matter before it leads to dissatisfaction among the employees. The results also indicate that
the there is no communication of top management plans and business goal to the appraisee.
The appraisers on the other hand feel that the goals and plans have been clearly
communicated to the appraisees.
Communication is very essential for any system to function efficiently. Therefore the
appraisers should look into this matter and see to it that the goals and plans are communicated
effectively .The findings suggest that for success of Appraisal system the credibility of
appraiser is of utmost importance. From the survey we can also derive that the appraisee’s
expect a post appraisal interview to be conducted wherein they are given a proper feedback
on their performance and they can also put forward their complaints if any. The appraisal
should also be followed up with a session of counselling which is often neglected in many
improve his performance level, maintain his morale, guide him to identify and develop his
strong points, overcome his weak points, develop new capabilities to handle more
responsibilities, identify his training needs.
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SCOPE FOR FURTHER RESEARCH
Banswara Syntax pvt. ltd was selected for this study in textile sector to study the methods of
performance appraisal techniques implemented for reducing employee turnover ratio and
increase employee productivity. For the research to be carried out further, the researcher may
carry out the survey of performance appraisal techniques in various textile industries and
relate them with each other.
The time given for the survey was less and the sample size selected was 50, the further
research can be carried out by surveying 167 total population by taking more duration of
time.
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CONCLUSION
With reward being directly linked to the achievement of the objectives, goal setting and
performance appraisal assumes utmost importance. The performance appraisal system is been
implementation is the responsibility of each and every employee along with their supervisors.
There should be adequate training to the evaluator that will go a long way in answering the
opportunity to get an overall view of staff development. Good performance review therefore
don't just summarize the past they help determine future performance.
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Limitations of study
Opposition from the employees- The main limitation to the study was opposition from
the employees as they weren’t ready to fill the questionnaire because of their work
reasons.
Time factor-The most important limitation was the time factor as the circulated sheets of
questions came unfilled by many because of the time factor many said they were busy in
their working schedule and couldn’t afford time to fill the questions or to provide any
answers for the information
Management opposition-Not all the departments were readily accepting to let their
employees fill the questionnaire as they thought this might provoke the employees to ask
any personal questions about the department itself and therefore avoided to accept the
questions and make them fill from the employees.
Bias answers-The questionnaires which were circulated within the employees came with
filled answers. But most of the answers came filling with bias responses and not
particularly telling what problems they face as they thought this might affect the image of
the organization or personally. And hence a proper data was not able to be estimated and
only on rough basis
No suggestions provided-Many employees did not provide any suggestions for their own
betterment because of the bias answers and the time factor mentioned. And hence the
main objective of the study to know whether the employees were satisfied or not
remained unknown due to the incomplete information.
31
Bibliography-References
32
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ISSN: 2249-1260 E-ISSN: 2250-1819
18. Dr. Daisy Ofosuhene, Frederick Opoku (2018), Evaluating the Performance Appraisal
Practices in the Ghana Civil Service, Vol 6 Issue 12, ISSN 2321–8916
19. Saman Taha Hamad (2018), Legal Termination and Performance Appraisal at Private
Firms in Kurdistan, Vol-3, Issue-1, and ISSN: 2456-7817
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in innovation of products and processes: a study in companies of textile industry
Webliography-
http://www.banswarasyntex.com/
https://jgateplus.com/search
https://www.managementstudyguide.com/performance-appraisal.htm
http://www.businessdictionary.com/definition/performance-appraisal.html
http://search.ebscohost.com/
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