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NAME ADDRESS STATE YEAR OF ESTD. : KAPSONS INDUSTRIES LIMITED : G.T. Road, Suranussi , Jalandhar-144 027 :( Punjab) - INDIA : Stampings Plant: 1980 Pr. Die Casting Plant: 1997

ISO 9001:9002 CERTIFICATE NO. : 1. QS/L- 004537 BIS/Raad Voor Accreditatie, Netherlands for Stamping 2. QSC/L-008648 BIS/Raad Voor Accreditatie, Netherlands for Die Castings. : 1. Mr.S.K. Sehgal, Chairman 2. Mr. N.K.Sehgal, Managing Director 3. Mr. Nishant Sehgal, Director & Management representative (PRESSURE DIE CASTING DIVISON) 4. Mr. Naresh Sharma (Production MkManager)



: 62568 sqft.(Unit-I & PDC) 29732 sqft. (Unit-II)


: 375(Unit-I&PDC) 200(Unit-II)












At Kapsons every individual is committed to ensure complete customer satisfaction by supplying best quality products at competitive prices.

To install and maintain efficient quality management system as per International standards. Continuously improve quality through up gradation of products, process, design and quality system.these objects are achieved through dedicated teamwork and continuous training of each member of Kapsosns family.

Total customer satisfaction through total quality management.

Kapsons Industries Limited is an IS/ISO 9001:2000 and ISO/TS 16949:2002(Die casting division) cerified company,with a driving force to the crest in the sector of electrical stamping and rotor-die castings.a prosperous empire since 1981,Kapsons is an outstanding pioneer in manufacturing & supplying die-cast automobiles & electrical components,all over India. Diversifying with competitive edge in the domestic as well as in the international market.a firm with a strong endurance, Kapsons Industries operates from Jalandhar with the two eco-friendly gargantum units. Each of the unit is fully euipped with the upgraded technology & sufficient manpower to carry out the detailed & precision production.

Kapsons merchandise is put to use by the big manufacturers large Industrial motors, pumps, windmills, tractionmotors, generators, alternators,fans and transformers. part from this,at the pressure die cast plant,components of electronic motor bodies, motor terminal boxes,automobiles,table fans,ceiling fan covers are also die casted. Kapsons Industries is driven by the forceful magic ethos of quality consciousness, customers satisfaction & assured trust. This is the reason why the company outstands as well known recient in the province offering the best quality products at competitive rates. Hence with holding the distinction of touching various lives through different electrical & automobiles range, Kapsons has a presence felt everyday & everywhere.


Kapsons is having, in addition to our production activities, a well-established Tool Room Infrastructure including Heat Treatment facility. Kapsons is making Stampings and Aluminum components Dies upto the accuracy of 0.02mm in-house. The manufacturing cost of Dies & Tools because of in-house tool room is very economical and development is also completed at a very fast pace. In addition to the in-house facilities available with them, we have also to CAD/CAM & CAM facilities and all complex tools and electrodes are being manufactured on VMC/Turning center using the above facilities.


At present Kapsons is die casting a wide range of electrical and automobile components for leading manufacturers in India. These include Electric Motor bodies upto 100 frame (Stator housing),Motor Terminal Boxes Automobiles components, Table Fan Stands. The unit has been set up using HTML Bhuller Die Casting Machines And Eco-Friendly oil fired furnaces. We have also established alloy making facilities and for alloy analysis we have assess to spectro-analyzers.

Product range Annual Capacity

Max. COMPONENTS Wts.Upto 6 kg. 1000 MT 660 MT

Max.Machine Tonnage -

Kapsons will keep on developing strategies and plans capable of giving them the competitive edge needed to meet their business objectives. To grow and to become really big not only on the domestic front but would also like to touch the international scenario.


Marketing Research is the systematic design, collection, analysis and reporting of data and findings relevant to a specific marketing situation or problem.
This project is based on information collected from both primary and secondary data.After a detailed study, an attempt has been made to report the proper functioning of personnel department in the company.The data used under the study covers the various aspects of the performance appraisal being undertaken by the KAPSONS INDUSTRIES.


Sample method has been chosen because of the following reasons: Time available for the project was limited. It was decided to extrapolate the data that will be obtained from the sample for the entire population.

A research design is the arrangement of conditions for collection and analysis of data in a manner that aims to combine relevance to the research purpose with economy in procedure. My research is exploratory in nature. The major emphasis in the study is on the discovery of ideas and insight Random Sampling method is followed. SAMPLE SIZE

The sample size is 100. i.e. 100 workers from different departments in the organization have been selected to serve as sample for the project.

The method to be used to collect data/information is broadly classified as under:a)Primary Sources b) Secondary Sources (a).Primary Sources:-

The primary sources included regular visits to the factory, direct personal interviews, investigations and first hand information from employees an management officials. Here, Questionnaires played the most important part. One questionnaire was framed keeping in mind the view point of the workers. The workers acting as the respondents for the project were asked to fill it. With the help of the answers provided by them, I was able to know their about the performance appraisal method followed at Kapsons Limited.

(b).Secondary Method:-

The secondary sources included the records available with the firm, brochures, pamphlets, manuals, magazines, printout, articles, books on the Personnel Management, internet, etc.


To study the performance appraisal method followed in the Kapsons Industries Ltd. To study the attitude of the respondents towards the performance appraisal methods. To collect, maintain and meaningfully interpret relevant information on Performance appraisal. To study the impact of Performance appraisal on employees. To analyze the various problems relating to Performance appraisal at kapsons Industries Ltd. To have a feedback survey of performance appraisal methods.

Though it is useful technique of efficiency rating but there are certain personal characteristics which cannot be expressed either in figures or in any other measure.


However, systematic and objectives system of Performance appraisal is used in the organization, it is impossible to eliminate and subjective element from it.

Generally, there is an appearance of halo effect, which leads to the tendency to roll the same individual first whose name once stood first.

Some people are more distinct while some are very liberal in assigning the factors, points or number to the employees. They are unable to maintain a fair distinction between two individuals. It also nullifies the unity of this system.


Sometimes the result of Performance appraisal is not confirmed by other techniques of motivation, incentive usage plans and so on. Factors are introduced in managerial appraisal because of a fact or bias in the person concerned, conducting the appraisal.

The utility of appraisal system will depend upon the skills of the user. Their system will depend upon the psychological characteristics of the manager, no matter which method is being used. There are many psychological blocks working against this system. Managers consider appraisal as an extra burden.


In a work group, members consciously or unconsciously, make opinion about others. The opinion may be about their quality, Behaviour , way of working, etc. Such an opinion becomes the basis for interpersonal interaction. In the same way, superiors form some opinion about subordinates for determing many things like salary increase, Promotion, Transfer, etc. In large organization, this process is formalized and takes the form of performance appraisal. Performance appraisal in the some form has existed in old days also.


Appraisal is the evaluation of worth, quality or merit. In the organization context, performance appraisal is a systematic evaluation of personnel by superiors or others familiar with their performance. Performance appraisal is also described as merit rating in which one is ranked as better or worse in comparison to others. The basic purpose in this merit rating is to ascertain an employees eligibility for promotion. However, performance appraisal is more comprehensive term for such activities because its use extends beyond ascertaining eligibility for performance. Such activities may be training and development, salary increase , transfer, discharge, etc. besides promotion. A formal definition of performance appraisal is as followed: It is the process of evaluation the performance and qualification of the employees in terms of the requirements of the jobs for which he is employed, for the purpose of administration including placement, selection for promotion, providing financial rewards and other actions which requires differential treatment among the members of group as distinguished from actions affecting all members equally

Performance appraisal is also described as merit rating in which one individual is ranked as better or worse in comparisons to others. Therefore, conceptually, both


merit rating and performance appraisals are same though they differ in terms of objectives and coverage of activities during appraisal process which we shall see later. Fllipo has defined merit rating as follows: Merit rating is a systematic, Periodic and, so far as humanly possible, an impartial rating of an employees excellence in matters pertaining to his present job and to his potentialities for better job. From the above definition, it appears that merit rating has some elements common to performance appraisal. It uses many of the techniques which are used in performance appraisal such as man-to-man comparision, grading system, checklist method, critical incident method, and so on. Therefore, it is desirable to see how merit rating differ performance appraisal.


Before making comparision between merit rating and performance appraisal, let us briefly see how the concept pf appraisal emerged and changed over the period of time. Appraisal has undergone a sea change emerged and changed over the period of time. Appraisal has undergone a sea change in terms of objectives and methods since it was introduced in the formal way in 1920s. During the first World War, appraisal concept was adopted by US army which in the form of merit rating and involved man-toman comparison for the evaluation of military personnel. From the army, this concept entered the business field and was restricted to hourly- paid workers.



Performance appraisal practices show that organization undertaken performance appraisal to meet certain objectives which are in the form of salary increase, promotion, identifying training and devolpment needs, providing feedback to employees and putting on employees for better performance.

1) SALARY INCREASE. Performance appraisal plays a role in making decision about salary increase. Normally salary increase of an employee depends on how he is performing his job. There is continuous evaluation of his performance either formally or informally. In a small organization, since there is a direct contact between the employee and the one who makes decisions about salary increase, performance appraisal can be an informal process. However, in a large organization where such contact hardly exists, formal performance appraisal has to be undertaken. This may disclose how well an employee is performing and how much he should be compensated by way of salary increase.

2) PROMOTION. Performance appraisal plays a significant role where promotion is based on merit. Most of the organizations often use a combination of merit and seniority for promotion. Performance appraisal discloses how an employee is working in his present job and what his strong and weak points are. In the light of these, it can be decided whether he can be performed to the next higher position and what additional will be necessary for him. Similarly performance appraisal can be used to transfer, demotion and discharge of employees.

3) TRAINING AND DEVELOPMENT. Performance appraisal tries to identify the strengths and weakness of an employee on his present job. This information can be used for devising training and development programmes appropriate for


overcoming weakness of the employees. In fact, many organization use performance appraisal as mean for identifying training needs of employees.

4) FEEDBACK. Performance appraisal provides feedback to employees about their performance. It tells them where they stand. A person works better when he knows how he is working; how his efforts are contributing to the achievement of organizational objectives. This works in two ways. Firstly, the person gets feedback about his performance and he may try to overcome his deficiencies which will lead to better performance. Second, when the person gets feedback about his performance, he can relate his work to the organizational objectives. This provides him satisfaction that his best to contribute maximum to the organization. 5) PRESSURE ON EMPLOYEES. Performance appraisal puts a sort of pressure on employees for better performance. If the employees are conscious that they are being appraised in respect of certain factors and their future largely depends on such appraisal, they tend to have positive and acceptable behavior in this respect. Thus, appraisal can work automatically as control device. These roles of performance appraisal are quite important. However, these roles can be performed only when there is systematic performance appraisal, and various relevant decisions are made objectively in the light of result of performance appraisal. To be systematic and objectives in performance appraisal, managers require an understanding of various intricacies involved in performance appraisal like methods of performance appraisal, problem in performance appraisal and how these problem can be overcome.



These are various methods of performance appraisal. In fact, each organization may have its own unique system and method of appraisal. I n one organization, it may be continuing and informal where personal pinion of a superior about his subordinates may be the basis of appraisal. In another, it may be well- defined and a particular system and method may be followed by all managers. Whatever system may be adopted, usually performance appraisal has two bases: (I) (II) appraisal of employees according to traits, attribute and general behaviour on the job, commonly known as trait approach; appraisal of results, work and goals achieved by the employees, know as appraisal by results. These two approaches however are not mutually exclusive and can used in combination. Either trait approach, or results approach, or combination of both of these may be adopted in different forms resulting into different methods of appraisal which may be adopted in different forms resulting into different methods of appraisal which can be classified in different ways. For example, Decenzo and Rebbins have classified these into three categories: single- trait, single subject in which an appraisal is not compared with any other person and each of his traits is measuredina absolute form; single- trait, multiple subject, in which an appraisee is compared with others, and multiple trait, single subject, in which the process of the first classification is adopted but with multiple traits. Beatty and Schneier have categorized various methods of appraisal into four gropus: comparative method, in which an appraisal is compared with standards fixed for him, goal setting, in which goals for the appraise are set through mutul participation between appraiser and appraise and the performance is measured against those standards, and direct indices, in which the appraise is appraised in terms of various outcomes such as, productivity, absenteeism, tardiness, etc..



Appraisal based on traits and behavioural patterns shown in job performance emphasizes various traits which the appraisee possesses and the behavior he adopts in performing his job. It does not take into account the outcomes of those behavior , that is performance achieved. There are various methods of performance appraisal based on traits as:-

RANKING METHOD Ranking is the oldest and simple method of appraisal in which a person is ranked against others on the basis of certain traits and characteristics. This is just like preparing ranks of various examinees in an examination. In the ranking method, various persons are given ranks on the basis of their traits. This is very method when the number of persons to be ranked is small because ranking has to be given on the basis of traits which are not easily determinable, not like marks in an examination. Moreover, since differences in ranks do not indicate absolute or equal differences of ability between individuals, the method has limited value for performance appraisal.

PAIRED METHOD Paired comparison method is a slight variation of ranking system designed to increase its value for use in the large groups. In this method, each person is compared with other persons taking only one at a time. Usually only one trait, overall suitability to perform the job,is considered. The rater is provided with a bunch of slips each containing a pair of names. The rater puts a tick mark against the person whom he considers better of the two, and final ranking is determined by the number of times that person is judged better than others. This method provides better comparison of persons. However, this increases the work because of large number of comparisons. For example, to rank 50 persons through paired comparison, there will be 1,225 comparisons. This can be calculated by a formula N (N 1)/2 where N is the total number of persons to be compared. GRADING


In this method, certain categories of abilities or performance are defined well in advance and persons are put in particular category depending on their traits and characteristics. Such categories may be definitional like outstanding, good, average, poor, very poor, or may be in terms of letters like A, B, C, D, etc. with A indicating the best and D indicating the worst. The actual performance of the employees is measured against these grades. This method is generally useful for promotion based on performance. This method, however, suffers from one basis limitation that the rater may rate most of the employees at higher grades.

FORCED DISTRIBUTION METHOD In order to check the tendency of rating most of the appraises around high point in a rating scale, forced distribution method has been adopted. In this method, the appraiser is forced to appraise the appraises according to the pattern of a normal curve. The basic assumption in this method is that employees. Performance level conforms to a normal statistical distribution. This method is useful to rate job performance. The basic advantage of this method is that it overcomes the problem of adopting a central tendency of rating most of the employees to a point, particularly high or near high to appease them.

FORCED CHOICE METHOD The forced choice rating method contain a series of group of statements and the rater checks how effectively describes each individual being evaluated. There may be some variations in t he method and statements used, but the most common method of forcedchoice contains two statements both of which may be positive or negative. Though both of them describes the characteristics of an employee, the rater is forced to tick only one statements which appears to be more descriptive of the employee. Out of these statement, only one statement is considered for final analysis of rating. This method may be more objective but it involves lot of problems in constructing such sets of statements.


CHECK LIST METHOD In the check list method of appraisal, the rater provides appraisal report by answering a series of questions related to the appraise. These questions are prepared by a series of questions related to the behavior of the appraise concern. Each question has two alternatives, yes or no. An organization may prepare a series of questions relevant to various categories of its personnel. The rater concerned has to tick appropriate answers relevant to the appraises. When the check list is completed, it is sent to the personnel department for further processing. Various questions in the checklist may have either equal weight age or more weight age may be given to those questions which are more important. The personal department, then, calculates the total scores which show the appraisal result of an employee. This method appears to be easy to handle if proper questions are framed for different categories of employees.

GRAPHIC SCALE METHOD It is also known as Linear Rating scale, is the most commonly used method of performance appraisal. In this method, a printed appraisal form is used for each appraisee. The form contains various employee characteristics and his job performance. The rating is done on the basis of scale is in continuum. This method is good one in measuring various job behaviour of an employee. However, it is not free from raters biases. Problems may be emerge in defining various traits and judging these. ESSAY METHOD Instead of using structured forms for performance appraisal, some companies use free essay method, or sometimes, combine this with other methods. In essay method, the rater assesses the employees on certain parameters in his own words. The essay method is useful in providing useful information about an employee on the basis of which he can be appraised. However, there may be problems in free essay method. Each rater use own style and perception in describing a person which produces difficulty in analysis.


ASSESSMENT CENTER METHOD Under this method, many evaluators join together to judge employee performance in several situations with use of a variety. It is used mostly to help select employees for the first level supervisiory positions. Assessments are made to determine employee potential for purposes of promotion. The assessment is done generally with the help of a couple of employees and involves a paper- pencil test, interviews and situational exercises.






The process of the performance appraisal has set patterns, viz; his superior periodically appraises a mans performance. The process of evaluation begins with establishment of performance standards. At the time of designing a job and formulating job description, performance standards should be clear and objectives enough to understood and measured. These standards should be discussed with supervisors to find out which different factors are to incorporated, weights and points given to each factors and these should be indicated on the appraisal form, and later on used for appraising the performance of the employee. The next step is to communicate these standards to the employees. To make communication effective feedback is necessary from the subordinates to the manager. The third step is the measurement the performance to determine what actual performance is, it is necessary to acquire information about it. We should be concerned with how we measure and what we measure. Four source of information are frequently used to measure actual performance personal observation, statistical report, oral report and written reports. The fourt step is the comparison of actual performance with standards. The employee is appraised and judges his potential for growth and advancement. In the next stage the results of appraisal are discussed periodically with the employees, where good points, weak points and difficulties are indicated and discussed so that performance is improved. The final step is the initiation of corrective action where necessary. Coaching and counseling may be done or special assignment and projects may be set; persons may be deputed for formal training courses. Attempts may be made to recommend salary increases or promotion, if these decision become possible in the light of appraisals.










Annual confidential report system is followed at Kapsons ltd. This is traditional way of appraising an employee, performance at the job. The annual process of performance appraisal is commands only to the supervisor, class and personnel having rank above the supervisor. Lower level employeed that is, worker class is not subject to this formal system of performing evalution as their performance can be assured on daily basis depending upon output given to them. Like most of the concerns, this confidential report is considered as a major determinate for subordinates promotions, wage incetives , etc. The performance appraisal report of Kapsons Ltd. Is known as: ANNUAL CONFIDENTIAL REPORT




1. Every employee rightfully expects to be assessed in a fair and objective manner on the basis of his performance. 2. Performance appraisal enables the organization to assess the strengths of employees and to identify their training needs.

Following are the salient features of the system:

1. Appraisal system in Kapson Ltd. does rely heavily on the supervisors evaluation.


2. Wherever possible targets are fixed and communicated to employers. 3. The appraisal is based on the actual performance and behaviour on the job. An attempt is made to reduce the subjective elements to a minimum. 4. His immediate superior assesses every employee and if the employees performance, only after then case is referred to executive director.

Annual confidential report is divided into three parts:

The first part of the Annual Report includes personal data, service, records and authenticated data. In this part of the report various other particulars like card no., date of joining service, designation, etc. the initiating officer of every department, who is generally the immediate superior of every employee, fills this part. The second part of the report describes the efficiency in performing the job and behaviour of an employee while performing a job. This part is kept confidential. The third part of the report includes the final comments of initiating officer, reviewing officer and executive director. Immediate superior who is known as initiating officer completes ACR. Brief comments about the individual are given in the form of cumulative grades. i.e. A, B and C. A employee rated as A is given two increaments and is considered as above average. Satisfaction job performance is considered if employee is awarded B grade in overall rating alone with one and half increment. Personal given C grade is referred to reviewing officers if he doesnot improves his performance inspite of giving warnings. Appraisal is done in this company by two assessors, one of whom is required to complete the appraisal form and other one is to review the form completed by the former assessor. The ratings are not based on the performance of recent two or three months but on the performance of full previous year. The form records how successfully the assesse has discharged his general responsibility and has achieved his objectives throughout the period.

Seven factors or traits of an employee are taken into consideration while assessing his performance on the job. Every factor is divided into grades A, B and C for the purpose of 24

performance rating. A standard of performance is fixed against which the superior compares the actual performance of their subordinates. Just some of the factors can be objectively determined, in order factors judgement skill of superior is relied upon. Following are the appraisal factors used in Kapsons ltd: 1. 2. 3. 4. 5. 6. 7. Attendance Devotion of duty Quantity of work Personality Knowledge of work Dependability Quality of performance

ATTENDANCE Attendance records are sort out from attendance registers. The criterion for attendance is easy to define in measurable or even in terms. We can set a standard of 97% for grade A, 90 for B grade performance and below 85% for C grade performance in the area of attendance and punctuality excluding casual and earned leaves. There awoe 7 casual leaves and 10 earned leaves in Kapsons ltd. If maximum working days are 306 in a year then 97% i.e. 290 days or above attendance may be taken for A grade. Similarly, 90% i.e. 276 days may be considered satisfactory.

DEVOTION OF DUTY Rating and dividing the qualities into three categories measure devotion to duty: A. B. Steadfast on duty, never waste time. Has an average speed.



Wastes time, never completes his work before giving reminder.

QUALITY OF WORK This factor is considered on the basis of whole years performance, i.e. whether he has done his part of job in less time or has done extra work in the scheduled time. An employee who completes work in shortest possible time along with maintaining the qaulity is given a grade. QUALITY OF PERFORMANCE If a person does work accurately and is doing work without being checked then he might be given a grade. But an employee who requires more than normal checking is given C grade. PERSONALITY An employee who co- operates with his peers, subordinates and superiors is given A rating in this trait. However, this factor is quite subjective which needs close consideration by the assessing officer. KNOWLEDGE OF WORK An employee who has knowledge of all spheres of the job and is always well informed about the requirement of the job is considered as Above Average in this trait. DEPENDABILITY While assuming personnel with regard to this factor, it is seen by assessing officer that whether a particular employee can be relied upon to solve normal level problems. OVERALL RATING PROCESS Overall rating process goes through three persons. One is initiating officer who prepares the rating report and gives brief comments on the individuals performance. Then he submits this


report to the reviewing officer who reviews the report card and accepts it after incorporating suggestions.

One questionnaire was asked to be filled by 30 workers and following conclusion was drawn from the answers received.



Satisfaction with ACR system Table.1 PERCENTAGE 80% 20% 100% OBSERVATION 80 20 100


Fig. 1.1 Interpretation From the following data it is clear that out of 20% managerial personnel contacted 80% are highly satisfied with ACR system.


Time period for which the report should be prepared. Table. 2 PERCENTAGE 34% 17% 49% 100%

OPTIONS Annually Quarterly Half yearly Total

OBSERVATIONS 34 17 49 100


Fig. 2.2 Interpretation Thus performance appraisal report should be prepared half yearly. It is opined from the above that 49% persons at managerial level are in favour of half yearly confidential report. They think that performance appraisal in between the year motivates the employees to perform better.


Partiality while assessment Table .3 PERCENTAGE 67% 33% 100%




Fig 3.1

Interpretation It is opined from the above data that 67% persons interviewed are of the view that three are chances of partiality while assessment. It is thus clear that rating is influenced by personal factors like prejudice, favoritisms, etc. Superiors tend to give high rating to persons whom they like.


Salaries are sufficient. Table .4 PERCENTAGE 80% 20% 100% OBSERVATION 80 20 100



Fig 4.1

Interpretation The one of the aspect can be viewed that 80 of the employees feel that salaries are satisfactory whereas 20% of the employee feel that the salaries given are not satisfactory.


Increments given are sufficient. Table. 5 PERCENTAGE 87% 13% 100% OBSERVATIONS 87 13 100



Fig 5.5

Interpretation The one of another aspect can be viewed that 87% of the employees feel that increments are satisfactory whereas 13% of the employees feel that the increments given are not satisfactory.


Time given to improve performance.

TIME PERIOD One- Month 2 3 month 3 6 months 6 months 1 year

Table. 6 PERCENTAGE 10% 25% 46% 19% 32

OBSERVATION 10 25 46 19




Fig 6.1

Interpretation The study reveals that in most of the cases 3 6 months time is given to a person to improve his performance. Minimum two reminders are given personally to improve his performance.

7. not.

Having same pattern of confidential report for all departments is adequate or


Table. 7 PERCENTAGE 16% 70% 14% 100%

OBSERVATIONS 16 70 14 100


Fig 7.1

Interpretation From the result concluded one can clearly make out that most of the employees want to have different patterns of confidential report in different departments.

8. Periodical training is beneficial


Table. 8 PERCENTAGE 91% 9% 100% 34


Fig 8.1

Interpretation The one of another aspect can be viewed that 91 % of the employee feel that periodical training is beneficial whereas 9% of the employee feel that the periodical training is not beneficial.

9. Behaviour of the immediate superior is satisfactory.


Table. 8 PERCENTAGE 57% 43% 100% 35


Fig. 9.1

Interpretation The one of the aspect can be viewed that 57% of the employees find the behaviour of their immediate superior satisfactory whereas 43% of the employees find the behaviour of their immediate superior not satisfactory.


Work environment of the company is satisfactory. Table 9.1 PERCENTAGE 76% 24% 100% 36



Fig 10.1

Interpretation The one of the another aspect can be viewed that 76% of the employee find the working environment of the company satisfactory whereas 24% of the employee find the working environment of the company not satisfactory.


The study reveals that employers are given proper increments according to the hard work they put in. The award in form of increments and incentives are at all appealing.



An annual confidential report method is used for performance appraisal of all departments and divisions. However, it is observed that using same appraisal form all departments become a matter of difficulty.


The employees do not recognize the importance of performance appraisal in an organization and they feel pressure on them as they are always being watched and further do not like to change their way of working.


The organization prepares annual performance appraisal reports whereas employee of the organization are of view half- yearly reports are more helpful to improve their performance.


In the Kapsons Ltd. the employee is assessed by immediate superior and dealing of the employer is influenced by his likes and dislikes towards employees. So there is partiality in the industry. .

Since the performance appraisal is carried out annually the feed back to employees regarding their performance is given after whole year is over. It helps them in improving their performance. It is, however, a positive approach towards the employees.



The previous performance reports that are the past records of an employee are used while assessing this performance and this hampers his present good performance.



However different departments of an organization should use different Performance appraisal forms according to the specifications of the job concurred.


Other suggestions are that sufficient incentives or increments should be given to the employee to motivate him to perform better and match his hard work.



The employee should be made aware of the important of performance appraisal in an organization and a position approach should be developed.


Self appraisal system should be introduced. The employees should assess themselves and find out where out where they are lacking in their performance. This leads to proper interaction and participation of employees. An employee can better judge him and fix out his strengths and weaknesses and improves his performance.

There need to be proper interaction between employee and the assessing officer. There should be mutual understanding between the two and the assessing officer should inform the employee as to what is expected from him.



There are numerous factors which should be considered while assessing the performance like qualification, quantity of work done, sense of responsibility, confidence level, honesty towards work, control over subordinates, etc. all these factors are the basis of performance appraisal.


Unlike done in Kapsons Ltd. where performance appraisal is done annually. Performance appraisal should be done half yearly which is more helpful in improving the perforamance.


The employee should be rated according to present work done and not according to his previous performance reports. Past record may be used but should not be followed blindly.


The performance appraisal system depends upon reliability of assessing officer. The assessing officer should be capable of rating employees.

This factory training proved useful to me as it provided an insight into the annual process of the performance appraisal in Kapsons Industries Ltd. It aquatinted me with the knowledge of the problems faced during this process. To point out the problems in the process of easy job,


but it is very difficult to solve them. There should be loyalty, professionalism in management and no prejudices. Now the situation is different from the last few year and therefore frequent meetings of directors and managers. There are no delays in information to the top management. Management is well informed about where their employees stand. Where there is direct communication between top management and middle level management, Performance appraisal system cannot suffer from personal factors and prejudices. The company should follow the different techniques of assessment in different cases. It becomes clear that due to the use of same appraisal form personal factors and prejudices. The company should follow the techniques of assessment in different cases. It becomes clear that due to the use of same appraisal form various problems arise, therefore, if the management and employees are not satisfied with the present performance appraisal system, then its remedial steps are also clear. Managements expectation gets a satisfied vision.


BOOKS AND JOURNALS Flipo Edwin B.; Personnel Management; Tata McGrew Hill Publishing C0. Ltd; sixth



Kapoor, B.M.;Human Resource Manegement, Indian Management;Prentice- Hall of Mamoria, C.B.; Personnel Manegement; Himalaya Publishing House; third edition. Monoppa Arun & Saiyandain Mirza S;Presonnel Management; Tata Mc.Grew Hill Prasad, L.M;Principal and practice of Management; Sultan Chand & Sons;sixth Singh, B.P.,T.N. Chhabra,PL. Taneja; Personnel Management & Industrial Relations;

India Pvt. Ltd;2008.

publishing Co. Ltd.;second edition. edition. Dhanpat Rai & Co.(P) Ltd. third edition

WEBSITES CONSULTED www.google.com www.kapsonsindustries.com