TO ANALYZE THE PRESENT PERFORMANCE APPRAISAL SYSTEM OF MANUFACTURING COMPANIES

REPORT SUBMITTED BY Tanmay Rajesh Shimpi

FOR THE PARTIAL FULFILLMENT OF THE DEGREE OF PGDHRM (II SEM) at Under the Guidance of Dr. Pradnya Chitrao
SYMBIOSIS INSTITUTE OF MANAGEMENT STUDIES

Table of Contents
SR.NO 1 2 3 4 5 DESCRIPTION Introduction and Objectives Research Methodology Data Analysis Findings Conclusions

Definition:It is the systematic evaluation of the individual with respect to his or her performance on the job and his or her potential for development. OR

Performance appraisal is a formal, structured system of measuring and evaluating an employees job related behaviors and outcomes to discover how and why the employee is presently performing on the job and how the employee can perform more effectively in the future so that the employee, organization, and society all benefit.

Objective of the project

Primary objective:To understand the Performance Appraisal Process Secondary Objective: To Compare Theoretical knowledge of Syllabus with Practical Knowledge To Understand the Importance of the Process from Head HRs View Pointing out loopholes and providing suggestions to improve the same

OBJECTIVES OF PERFORMANCE APPRAISAL

Salary Increase Promotion Training and development Feedback Pressure on Employees

Research Methodology
The Research Methodology adopted here was combination of exploratory and casual questionnaire for gathering more data. Sampling:-

Data Analysis
1. Is Performance Appraisal Necessary ? 2. Are Performance Appraisal Methods Different for Different Class of Employees 3. Should performance appraisal be Linked to Incentives, Promotions and Rewards 4. Is Performance Appraisal used for Goal Setting?

Findings
1. Every organization has an appraisal system for its employees. This implies the performance appraisal has become an indispensable activity in any organization.

2.

Most of the companies have separate appraisal system for each level of
employees. These appraisal systems differ on the factors on which a person is rated and the nature of duties handled by him.

3.

The Problems in Performance Appraisal are mainly: implementation problems,

organizational climate, and commitment from top management.

4.

All organizations have goal setting as part of appraisal. The performance is

evaluated against these targets.

5. On an average 85% of the employees in an organization are motivated by performance appraisal.

Conclusions and Suggestions

1. Performance appraisal should not be perceived just as a regular activity but its importance should be recognized and communicated down the line to all the employees.

2.
3.

It should bring more clarity to the goal and vision of the organization.
Employees should be given feedback regarding their appraisal. This will help them to improve on their weak areas.

4.

Financial and non-financial incentives should be linked to the annual appraisal system so that employees would be motivated to perform better.

5.

New mechanisms should be evolved to reduce the time factor involved in the procedure of appraisal. Introducing online-appraisal can do this.

6.

Combining the different methods of appraisal can minimize the element of biasness
in an appraisal

7.

Performance appraisal should be effectively link to the performance management system of the organization.

Questions?