CHAPTER-I

INTRODUCTION

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 INTRODUCTION OF THE STUDY

A performance appraisal is a systematic and periodic process that assesses an individual

employee’s job performance and productivity in relation to certain pre-established criteria
and organizational objectives. Other aspects of individual employees are considered as well,
such as organizational citizenship behavior, accomplishments, potential for future
improvement, strengths and weaknesses, etc. To collect PA data, there are three main
methods: objective production, personnel, and judgmental evaluation. Judgmental evaluations
are the most commonly used with a large variety of evaluation methods. A PA is typically
conducted annually. The interview could function as “providing feedback to employees,
counseling and developing employees, and conveying and discussing compensation, job
status, or disciplinary decisions”. PA is often included in performance management systems.
Performance management systems are employed “to manage and align" all of an
organization's resources in order to achieve highest possible performance. “How performance
is managed in an organization determines to a large extent the success or failure of the
organization. Therefore, improving PA for everyone should be among the highest priorities of
contemporary” organizations.

Some applications of PA are performance improvement, promotions, termination, test

validation, and more. While there are many potential benefits of PA, there are also some
potential drawbacks. For example, PA can help facilitate management-employee
communication; however, PA may result in legal issues if not executed appropriately as many
employees tend to be unsatisfied with the PA process. PAs created in and determined as
useful in the United States are not necessarily able to be transferable cross-culturally.

A major concern of every organization should be to contribute positively towards the

achievement of its objective. Organizational effectiveness is often equated with managerial
efficiency. A manager can ensure organizational effectiveness only by guaranteeing the full
utilization of human resource available through individual employees under his guidance.
Hence, it is always required for a manager to monitor and measure the performance of
employees.
Moreover, since the organization exists to achieve the goals,
the PA of success that individual employees have in reaching this individual goal is
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 important in determining organizational effectiveness. The assessment of how successful
employees have been at meeting their individual goal to come a critical part of human
resource management. This leads to concept of performance appraisal.
A performance appraisal system functions as definitions of
performance.

Assessment can be used to:

 Provide a 'gap analysis' between personal perception and others' perceptions of
individual and team performance.
 Focus managers and staff on performance areas that need development.
 Recognize and maintain areas of individual and team strength.
 Approach performance issues in a non-confrontational, constructive manner (due to
the confidentiality and anonymity of the process).
 Develop performance improvement plans for individuals and teams.
 Develop individual or team based training needs analysis programmers.
Performance appraisal is a method of evaluating the behavior
of employees in the work spot, including both qualitative and quantitative aspects of job
performance indicates how an individual is fulfilling the job demands and it is always in
terms of results. Under performance appraisal not only the performance of an employee but
also his potential for development is evaluated.

“Performance Appraisal is a systematic description of an employee’s job relevant strengths

and weaknesses”.

In performance appraisal or merit rating refers to all the formal

procedures used in working organizations to evaluate the personalities and contributions
and potential group members. In appraisal system the employee’s merits like initiatives,
dependability, personality etc., are compared with others and ranked two rated. Appraisals
might be based on the criteria of employee’s skills, educational
Qualifications, knowledge, abilities to delegate plans, supervise; assume responsibility,
exercise leadership, personal qualities, creativity, decision making and interpersonal skills.

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 An appraisal motivates an employee into increased effort aimed
at enhancing the outcome of the assessment. It tells an employee what set of activities or
what qualities are considered desirable by the organization.
It is the systematic method of obtaining, analyzing & recording information about an
employee that is needed:
 For effective management of business.
 By the manager to help him improve the jobholders performance and plan his career.
 By the jobholder to assist him to evaluate his own performance and develop himself.
In performance planning and review, the Reporting Manager is
expected to set targets or tasks for the appraise in the beginning of the year. In the middle of
the year, the appraise fills the self-appraisal form, indicating the extent which the target or
task has been completed, the difficulties faced and the suggestions for improvement. At the
end of the year, there is the annual review and targets/tasks set for the next year. Both in the
mid-year review and annual review, the self-appraisal is supplemented by a performance
review, discussion, the problems are discussed and the appraiser is given feedback on how
he is doing.
The appraisal system is an instrument for improving the work
culture by convincing employees that their career growth is linked with the performance of
the company.

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NEED FOR THE STUDY:
The need of the study of performance appraisal is to determine
what aspects of performance are required to be evaluated.
 To identify those who are performing their assigned task well and those who are
not and the reason for such performance.

 To provide information about the performance ranks basing on which decisions

regarded salary fixation, conformation, promotion, demotion and transfer are
taken.

 To provide feedback information about the level of achievements and behavior of

an employee.
 To provide information and counsel the employee.
 To compare actual performance with the standards and in out deviations (positive
and negative)
 To create and maintain satisfactory level of performance.
 To prevent grievance and in disciplinary activity.
 To facilitate fair and equitable compensation.
 To ensure organizational effectiveness.
 It guarantees useful information about employees and the nature of their duties.

We can briefly say that performance appraisal systems are

necessities to assess performance at regular intervals with consistency to study
improvements, deviation and to take corrective actions to bride gaps and improve
performance over a period of time.

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OBJECTIVES OF THE STUDY:
The objective is to know how effective is the execution of
appraisal system in HIGH NOON CONSULTING PVT LTD. Hyderabad.

The aim of most performance appraisal programming is to

encourage the employees to set his own objective for the next time period following the
review of his past performance. It enables the management to make effective decisions/ to
modify earlier decisions based on the evaluation of the existing plans, information system,
job analysis, and internal and external environment factors influencing employee
performance.
The objectives is to identify the common goals of the
organization, define each individuals major areas of responsibility in terms results expected
of him, review the individual performance progress in a job and his potential for future
improvement. It aims at providing data to managers with whom they may judge future job
assignments and compensation.

To establish an objective basis from the different levels of

performance and to identify executives with potential to grow in the organization.

To counsel the employees appropriately regarding their

strengths and weaknesses and asses in developing them to realize they are full potential in
line with the company’s objectives and goals. Always emphasize that the role of a manager
is to offer constructive support and not condemn. Give the employees many opportunities to
ask guidance to air grievances and discuss anxieties

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RESEARCH METHODOLOGY:

The research methodology is a systematic way to solve the

problem and it is an important component of the study without which researcher may not be
able to obtain the facts and figures from the employees.

SOURCE OF DATA:
The study is based on primary as well as secondary data
collected from different sources:
A). Primary Data:
The primary data is collected with the help of questionnaires,
which consists of twenty questions each. The questionnaires are chosen because of its
simplicity and liability. Researcher can expect straight answers to the questions. The
respondents are informed about the significant of the study and requested to give their fair
opinions.

B). Secondary Data:

Secondary data is collected through the documents provided by
the personnel department of HIGH NOON CONSULTING PVT LTD. (Formerly HIGH
NOON CONSULTING PVT LTD. The documents include personnel manuals, books,
reports, journal, etc.
SAMPLING PROCESS:
A). Sample Unit:
The executives and employed at HIGH NOON CONSULTING PVT
LTD. Hyderabad constitute ‘universe’ of the present study. A part of it is taken as sample
unit for the resent study. It includes JGMS, AGMS, manager and other employees of HIGH
NOON CONSULTING PVT LTD. Hyderabad.
B). Sample Size:
The sample size consists of 100 respondents employed in
HIGH NOON CONSULTING PVT LTD, Hyderabad. Of these 30 are executives, 20 are
senior executives and the remaining 50 are employees.

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Statistical tools used

Percentage method:

Percentage method is used in making comparison between two or

more series of data. This is used to describe relationship.
Percentage of respondents = No of respondents x 100
Total respondents

The method of study followed in this project (in brief):

Sample size : 100

Data collection method : Primary and Secondary.
Duration of study : 45 days.
Analysis : Through percentage method.

SCOPE OF THE STUDY:

In the present study an attempt has been made to know the
actual implementation of performance appraisal techniques in general and some other
aspects such as awareness of the workers, effectiveness of the performance appraisal system
in particular.
Human resource projections are valid on appraisals. By
improving job skills, the employees have lot of scope for development and prepare
themselves for higher responsibilities.
A thorough analysis of the performance appraisal system will
help the management to know the short comings, if any. It also help the company in
knowing whether the performance appraisal techniques are used to full extent or not, there
by the researcher can understand the effective implement of the performance appraisal
system.

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LIMITATIONS:

 Due to time constraints the study was limited only for 45days.

 Random sampling method has been adopted and all limitations applicable to that method
are applicable here also.

 The authenticity of information provided by the New Entrant Manager cannot be assured.

 Analysis of the data has been done based on the assumptions that the information
provided by the respondents is genuine.

 The sample size is small when compared to total universe, Hence the capability of study
to the whole universe is constraint.

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 CHAPTER-II

REVIEW OF THE LITERATURE

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 PERFORMANCE APPRAISAL

Once the employee has been selected, trained and motivated, he

is then appraised for his performance. Performance appraisal is the step where the
management finds out how effective it has been hiring and placing employees. If any
problems are identified, steps are taken to communicate with the employee and remedy
them.
Performance appraisal or merit rating is one of the oldest and
most universal practices of management. Performance appraisal often provides the rational
foundation for the payment of piecework wages, bonus etc. the estimates of the relative
contributions of employees help to determine the rewards and privileges rationally.

Performance appraisal serves as means for evaluating the

effectiveness of devices used for the selection and classification of workers.
Performance appraisal has been considered as a most
significant and indispensable tool for an organization, for the information it provides is
highly useful in making decisions regarding various personal aspects such as promotions
and increases.
According to Ronald Benjamin, “performance appraisal
determines who shall receive merit increases, counsel’s employee’s ob their improvement
determines training needs, determines promotability, identifies those who should be
transferred”.
performance appraisal appraisal has four integral components:

1. Self appraisal
2. Superior’s appraisal
3. Subordinate’s appraisal
4. Peer appraisal.

Self appraisal gives a chance to the employee to look at his/her strengths and weaknesses, his
achievements, and judge his own performance. Superior’s appraisal forms the traditional part
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of the performance appraisal performance appraisal where the employees’
responsibilities and actual performance is rated by the superior.
Subordinates appraisal gives a chance to judge the employee on the parameters like
communication and motivating abilities, superior’s ability to delegate the work, leadership
qualities etc. Also known as internal customers, the correct feedback given by peers can help
to find employees’ abilities to work in a team, co-operation and sensitivity towards others.

Self assessment is an indispensable part of performance appraisal appraisals and therefore

performance appraisal Performance appraisal have high employee involvement and also have
the strongest impact on behavior and performance. It provides a "360-degree review" of the
employees’ performance and is considered to be one of the most credible performance
appraisal methods.

performance appraisal performance appraisal is also a powerful developmental tool

because when conducted at regular intervals (say yearly) it helps to keep a track of the
changes others’ perceptions about the employees. A performance appraisal appraisal is
generally found more suitable for the managers as it helps to assess their leadership and
managing styles. This technique is being effectively used across the globe for performance
appraisals. Some of the organizations following it are Wipro, Infosys, and Reliance Industries
etc.

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 Once a Year Overview

Self Appraisal Performance appraisal feedback

Performance Review - Preparation Performance Consulting: Moving
Performance Review - The Meeting Beyond Training

How to Complete a Performance Writing performance appraisal

Appraisal Form Performance Appraisal Training
Analysis for Improving Performance How to Measure Employee
Active performance appraisal Performance
conversation FAQ about Performance Appraisal

The basic concept in 360 Performance Appraisal makes obvious sense -- soliciting
performance feedback not only from our supervisor but also from our customers, employees,
peers and all whom we interrelate with in the course of doing our job. We all should do this
as a matter of course to ensure that we're living up to the expectations others have of us (the
psychological contract) and to see that we are playing the right role in the minds of our
associates. There is much to be learned from the opinions of those we serve and work with.
This "full circle" of feedback results in the 360 (degree) name.

But I have concerns about the 360 feedback concept in the context of a performance
appraisal. Many people have jumped on this bandwagon without sufficient consideration. In
no particular order my concerns are:

[1] Performance "appraisal" is better called performance "review" since it is the closing stage
of a performance management process which begins with the clarification of performance
direction and expectations. A Performance Review is a review or comparison of actual
performance during the review period, with the past direction, and an opportunity to set
future direction (reviews are also used for formal documentation and for use in employee
development, promotion and compensation decisions). A Performance Review is never the
occasion for the employee to discover how well he's performed or to find out what was

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expected of him during the review period. The employee should be aware of that (his
individual performance related to the performance expectations) continually throughout the
review period.

A Performance Review is principally between the employee and whomever the employee is
responsible and accountable to. Realistically, in most organizations this is the "boss." At the
review it would be insightful, and for some jobs essential, to review how the employee met
client and/or peer expectations.

But, the degree to which an employee meets client, supplier, peer or subordinate expectations
is not what an employee comes to a Performance Review to discover. It's too late to learn that
information at the end of the review period. That feedback should be solicited continually by
the employee throughout the review period, and then the results of this feedback activity
reviewed at Performance Review time.

If knowing how others perceive you is important for the performance of your job, then
measuring that and taking appropriate action on that feedback should be part of your job and
included in your job's performance requirements. It seems irresponsible to abdicate that to a
third party, like an HR department or a survey company to do for you. Do effective
salespeople rely on someone else to tell them, at year's end, whether their customers were
pleased with the service? And if relationships are so horrid that management can't get honest
feedback directly from its employees, then the real problem won't be solved by implementing
a 360 Appraisal process.

[2] A common approach to 360 Appraisal is to administer confidential surveys, especially so

people can rate their peers and supervisor. Anonymity is ensured and employees can
comment in confidence about the performance of another employee or the boss. Aggregate
data is then given to the employee in question and used as input to the appraisal and eventual
rating of that employee. Notwithstanding the substantial research evidence warning of the
dangers associated with peer evaluations and their low validity, my basic concern about this
process can be summed up with these questions. Do you really want to have a company with
a culture that promotes the use of secret reports to assess and judge its employees? How can
your organization pretend to be open, honest and forthright when it uses secrecy and
anonymity to measure the value of employees? Is this the way you want your business to run?

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I have met many employees who resent being asked to judge their peers anonymously,
wondering all the while, who is writing things about them, and is it any of their business.
Supervisors are also frustrated not knowing the actual source of employee concerns so that
they can attend to the problem effectively. When we set up a system which assumes it must
protect against deceit and retribution, it can become self fulfilling. And as with suggestion
boxes, the anonymous survey unfortunately symbolizes that not only do employees take a
risk if they raise problems or concerns directly with the supervisor; but also that it's not the
supervisor's job to solicit such information. Essentially, any employee feedback process
which requires secrecy risks damaging healthy working relationships, especially between
employees and their supervisors

[3] The most common rationale used to justify the use of the 360 Appraisal process is that
everyone else is doing it! There isn't much research showing the usefulness and validity of
the concept as part of performance appraisal. Sales literature from many 360 Appraisal
vendors essentially promotes the idea as the thing to do. I would hope potential users of the
concept do a little deeper analysis, especially since for many, the process becomes an
administrative nightmare and an unnecessary expense.

[4] If you really want your employees to get performance feedback from the circle of people
they work with, including their customers, peers and subordinates, try the following simple
process:

(a) make "soliciting performance feedback from significant others" a part of all employee
jobs and therefore a performance requirement;

(b) determine what sort of feedback is required, and if possible develop tools to capture this
information;

(c) teach employees how to use the tools (or questions) to get feedback from their
subordinates, customers, peers, etc.;

(d) teach employees how to give performance feedback to their supervisors, peers or
suppliers, etc.

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(e) teach employees how to make use of the feedback they receive, and, for example how to
follow-up on their subordinates and customer concerns;

(f) require employees to regularly review (perhaps monthly) the results of getting feedback
from others, with their own supervisor, so that the process becomes a priority and so that
employees are held accountable for doing so.

Many organizations that go out shopping for performance appraisals, 360 or other versions,
have already taken a step in the wrong direction. They typically have forgotten to diagnose
their real needs. If your business has a desire for the 360 Appraisal process make sure you ask
yourself "Why?" What is your organization's or management's real need? Don't do it because
everyone else seems to be doing it. Make sure the process and philosophy are appropriate to
your organization and its values

METHODS,TECHNIQUES FOR APPRAISING PERFORMANCE

Several methods and techniques of appraisal are available for

measuring the performance of an employee. They are:
1. Straight rank method
2. Man to man comparison method
3. Grading
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 4. Graphic rating method
5. Forced choice description method
6. Forced distribution method
7. Checklists
8. Free from easy method
9. Critical incidents
10. Group appraisal
11. Field review method
Modern Methods:
1.Assessment center
2.Appraisal by results or management by objectives
3.Human asset accounting method
4.Behaviorally anchored rating sales

TRADITIONAL METHODS

1. Straight Rank Method:

It is the oldest & simplest method of performance appraisal,
by which the man and his performance are considered as an entity by the rater. Then
ranking of a man in work group is done against may also do that of another member of a
competitive group by placing him as one or two or three in total group, i.e. persons are
tested in order of merit and place in a simple grouping.

2. Man –To-man Comparison Method:

The USA army during the FIRST WORLD WAR used this
technique. By this method, certain factors are selected for the purpose of analysis and a
scale is designed by the rater for each factor. A scale of man is also created for each selected
factor. The each man to be rated is compared with in the scale, and certain scores for each
factor are awarded to him. This method is used in job evaluation, and is known as the factor
comparison method.

3. Grading Method:

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 Under this system, the rater considers certain features and
marks them accordingly to a scale. The selected features may be analytical ability,
cooperativeness, dependability, self-expression, job knowledge, judgment, leadership and
organizing ability, etc. they may be

A – Outstanding,
B – Very good,
C – Good or average,
D – Fair,
E – Poor,
-B (or B-) very poor or hopeless.
The actual performance of an employee is then compared with
these grade definitions; such type of grading is done in semester examinations and also in
the selection of candidates by the public service commissions.

4. Graphic or Linear Rating scale:

This is most commonly used method of performance appraisal.
Under it, a printed forms one of each person to be rated. According to juices, these factors
are employee characteristics ad employee contribution. In employee characteristics are
included such qualities and initiative, leadership, cooperativeness, dependability, industry,
attitude, enthusiasm, loyalty, creative ability, decisiveness, analytical ability, emotional
ability and co-ordination. In the employee contribution are quantity and quality of work, the
responsibility assumed specific goals achieved regularity of attendance, leadership offered,
attitude towards supervisors and associates, versatility etc.
The rating scale method is easy to understand and easy to use,
and permits a statistical tabulation of scores. A ready comparison of scores among the
employees is possible.

5. Forced Choice Description Method:

This method was evolved after great deal of research
conducted for military services during World War II. It attempts to correct a rater’s
tendency to give consistently high or consistently low ratings to all employees. The use of
this method calls for objective reporting and minimum subjective judgment. Under this

18
 method the rating elements are several sets of pair phrases or adjectives (usually sets of
four phrases two of which are positive, two negative) relating to job proficiency
Or personal qualifications. The rater is asked to indicate which of the four phrases is most
and least descriptive of the employee.
6. Forced Description Method:
Joseph Tiffin evolved this method after statistical work. This
system is used to eliminate or minimize rater’s bias, so that all personnel may not

be placed at the higher end or at the lower end of the scale. It requires the rater to appraise
an employee according to a predetermined distribution scale. Under this
system, it is assumed that it is possible and desirable to rate only to factors, viz., job
performance and promotability. For this purpose, a five point performance scale is used
without any descriptive statement. Employees are placed between the two extremes of
‘good’ and ‘bad’ job performance.

7. Check List:
Under this method, the rater does not evaluate employee
performance; he supplies report about it and the personnel department does the final rating.
A series of questions are presented concerning an employee to his behaviour. The rater, the
checks to indicate if the answer to a question about an employee is positive or negative. An
example of check list is given below:

1. Is the employee really interested in his job? Yes/No

2. Is regular on his job? Yes/No
3. Does he follow instructions properly? Yes/No
4. Is he always wiling to help other employees? Yes/No
5. Does he ever make mistakes? Yes/No

8. Free Easy Method:

Under this method, the supervisor makes a free from, open-
ended appraisal of an employee in his own words and puts down his impressions about the
employee. He takes not of these factors.
a. General Organization and planning ability.

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 b.Job knowledge and potential.
c. Employee characteristics and attitudes.
d.Understanding and application of company policies and procedures.
e. Production, quality and cost control.
f. Physical conditions.
g.Development needs for future.
9. Critical Incident Method:
The essence of this system is that I attempts to measure
workers performance of certain ‘events’ or ‘episodes’ that occur in the performance of the
rate’s job. The supervisor keeps a written record of the events that can easily be recalled and
used in the course of periodical of formal appraisal. Feedback is provided about the
incidents during performance review session. Various behaviors are recorded under such
categories as the type of job, requirements for employees, judgment, learning ability,
productivity and precision in work, responsibility and initiative.

10. Group Appraisal Method:

Under this method, an appraisal group rates employees,
Consisting of their supervisor and three or four other supervisors who have knowledge of
their performance. The supervisor explains to the group the nature of his subordinates
duties. The group then discusses the standards of performance for that job, the actual
performance of the job holder, and the causes of their particular level of performance, and
offers suggestions for future improvement, if any.

11.Field Review Method:

Under this method, trainer employees from the personnel
department interview line supervisors to evaluate their respective subordinates. The appraiser
is fully equipped with definite test questions, usually memorized in advance, which he puts to
the supervisors. The supervisor is required to give his opinion about the progress of his
subordinates, the level of the performance of each subordinate, his weakness, good points,
outstanding ability, and promotability, and the possible plans of action in cases requiring
further consideration.

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 MODERN METHOD OF APPRAISAL:
1) Appraisal by Results Management by Objectives(MBO):
Peter ducker has evolved this method. MBO is potentially a
powerful philosophy of managing and an effective way for operationlising the evaluation
process. It seeks to minimize external controls and maximize internal motivation through
joint goal setting between the managers and subordinate and increasing the subordinate’s
own control of the work. It strongly reinforces the importance of allowing the subordinate
to participate actively in the decisions that affect him directly. Management by objectives
can be described as a process where by the supervisor and subordinate managers of an
organization jointly identify its common goals, define each individuals major areas of
responsibility in terms of results expected of him and use these measures as guides for
operating the unit and assessing the contributions of each of its members.

Objectives of MBO:
MBO has an objective in itself. The objective is to change
behaviour and attitudes towards the affecting getting the job done. In other words, it is
result oriented; it is performance that counts. It is a management system and philosophy that
stresses goals rather has methods. It provides responsibility and accountability and
recognizes that employees have needs for achievement and self-fulfillment. It meets
These needs by providing opportunities for participation goals setting process. Sub
ordinates become involved in planning their own careers.

MBO Process:
This method emphasizes the value of the present and the future
instead of that of the past, and focuses attention on the results that are accomplished and not
on personal traits or operational methodology. An employee is not judged in terms of
operational methodology, or in terms of initiative, cooperativeness, attitude, emotional
stability, or any other human quality, but on the basis of the achievement of the targets that
have been set. This method is largely applied to technical, professional, supervisory or
execute personnel and not to the hourly paid workers because their jobs are usually too
restricted.

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 Under MBO programme, an employee and his supervisory
meet and together define, establish and set certain goals or objectives which the employee
would attempt to achieve within the period of, prescribed time.
It consists of five basic steps:
 Set organizational goals i.e., establishment of an organization wide strategy
and goals.
 Joint goals setting i.e., establishment of short term performance targets
between the management and the subordinate in a conference between them.
 Performance review i.e., frequent performance review meetings between the
manager and the subordinate.
 Set check points i.e., establishment of major check points to measure progress.
 Feed back.

1) Benefits of MBO Programme:

The benefits of MBO programme are:
 MBO helps and increases employee motivation because it reveals overall
goals to the individual goals and help to increase an employees understanding
of where the organization is and where it is heading.
 MBO reduces role conflict and ambiguity. Role conflict exists when a person
is faced with conflicting demands from two or more. Supervisors and role
ambiguity exists when a person is uncertain as how he will be evaluated, or
what he has to achieve. Since MBO aims at providing clear targets and their
order of priority, it reduces both these situations.
 MBO identifies problems better and early. Frequent performance review
sessions make this possible.
 MBO forces and aids in planning. By forcing top management to establish a
strategy and goals for the entire organization and by requiring other managers
to set their targets and plan how to reach them.
 MBO helps he individual manager to develop personal leadership especially
the skills of listening, planning, counseling, motivating and evaluating.
2) Assessment Center Method:
Under this method, many evaluations join together to judge
employee performance in several situations with the use of a variety of criteria. The purpose
22
of this method was end is to test the candidates in a social situation using a number of
assessors and a variety of procedures. The most important feature of this is job related
simulations.

3). Human Asset Accounting Method:

This method refers to activity devoted to attaching money estimates
to the value of a firm’s internal human organization and its external customer goodwill. If
able, well trained personnel leave a firm, the human organization is worthless if they join it,
its human assets are increased. If distrust and conflict prevail, the human enterprise
devalued. If team work and high moral prevail, the human organization is a very valuable
asset.

4) Behaviorally Anchored Rating Scales(BARS):

This is a new technique for appraisals. It provides better, more
equitable appraisals as compared to other techniques. Though bars technique is more time
consuming and expensive than other appraisal tools. Since bars is done by person’s expert
in the technique, the results are sufficiently accurate. It has got certain advantages:
 More accurate
 It clearly clarifies what we extremely good performance, average
performance & so forth.
 More useful in providing feedback to the people being appraised.
 Helps in making dimensions more independent if one another.
 The technique is not biased by the experience and evaluation of the
rater.

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 CHAPTER-II

COMPANY PROFILE

24
ABOUT US
Adept in Functional Business Needs and Technical Design.
HIGH NOON CORP. is a leading provider in professional technology
consulting and software development services. We provide high quality and
cost effective strategic solutions to our clients.

We offer a wide range of services in the areas of analysis, design, development

and maintenance of various information systems. We excel in providing
solutions to the clients through dedicated and knowledgeable professionals with
proven industry experience. We are committed to building long term
relationships with our clients through quality service and concrete results, so
that our clients are able to achieve greater excellence. Total customer focus,
commitment to quality, and multi-technology expertise are our key focus to
satisfy our customers. Superior project management skills, extensive experience
in managing multi-location development combined with continuous process
improvement efforts, are the traits of our delivery methodology.

HIGH NOON CORP. started its operations in the year 2005, with its focus on
becoming a complete Custom Software Solutions provider for growth oriented
businesses world over. With its global head quarters in Hyderabad – India and
Sales & Support offices in Kingdom of Saudi Arabia.

High Noon Consulting Private Limited is a Private incorporated on 20 October

2015. It is classified as Non-govt company and is registered at Registrar of
Companies, Hyderabad. Its authorized share capital is Rs. 1,000,000 and its paid
up capital is Rs. 100,000. It is inolved in Business activities n.e.c.

High Noon Consulting Private Limited's Annual General Meeting (AGM) was
last held on 29 September 2018 and as per records from Ministry of Corporate
25
 Affairs (MCA), its balance sheet was last filed on 31 March 2018.

Directors of High Noon Consulting Private Limited are Sitwat Rauf and Syed
Samiuddin Quadri.

High Noon Consulting Private Limited's Corporate Identification Number is

(CIN) U74900TG2015PTC101296 and its registration number is 101296.Its
Email address is syed.quadri@highnooncorp.com and its registered address is 8-
1-21/A/2, 2nd floor, Sana Chambers Complex Surya Nagar, Tolichowki Main
Road HYDERABAD Hyderabad TG 500008 IN , - , .

Current status of High Noon Consulting Private Limited is - Active.

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28
 CHAPTER-IV
DATA ANALYSIS
&
INTERPRETATION

29
1. AGE
Table 4.1
Sr. No. Category No. of Respondents Percentage
1 25-35 years 25 25%
2 36-45 yeras 10 10%
3 46-55 years 10 10%

4 56 above 5 5%

Total 50 50%

CHART-4.1

60

50

40

30
Percentage
20 No. of Respondents
10

0
25-35 36-45 46-55 56 Total
years yeras years above
1 2 3 4

Interpretation
 About 20% of employees comes under 25-35 years of age group, Where as 35%
comes under 36-45 years of category, 30% under 46-55 years category,& 15% comes
under 56 & above.

30
2, GENDER
Table 4.2
Sr. No. Category No. of Respondents Percentage
1 Male 30 30%
2 Female 20 20%
Total 50 50%
Base 100 respondents
CHART-4.2

60

50

40

30 Percentage
No. of Respondents
20

10

0
Male Female Total
1 2

Interpretation
From the table and graph above it can be seen that
 30% respondent’s are married.
 20% respondent’s are unmarried.

31
3. QUALIFICATION
Table 4.3
Sr. No. Category No. of Respondents Percentage
1 UG 25 25%
2 PG 15 10%
3 Other 10 10%

Total 50 50%

CHART-4.3

100%
100%
100%
99%
99% Percentage
99% No. of Respondents
99%
99%
98%
UG PG Other Total
1 2 3

Interpretation
 In this 35% of employees are non- metric, 35% have done only metric, where as 25%
are intermediate
 e, and only 15 % are graduate ..

32
4. DESIGNATION

TABLE 4.4
Sr. No. Category No. of Respondents Percentage
1 executive 25 25%
2 supervisor 15 15%
3 manager 10 10%

Total 50 50%

CHART-4.4

100%
100%
100%
99%
99%
99% Percentage
99% No. of Respondents
99%
98%
manager
executive

supervisor

Total

1 2 3

Interpretation
30% of employees are operator, where as only 10% are auto electrician, 25% are over
man and supervisor and 35% includes explosive carrier, general majdoor, and greaser
helper.

33
 5. YEARS OF EXPERIENCE.

TABLE: 4.5

S.NO FACTORS No. of Respondents Percentage

1 0-5 years 5 5%
2 6-10 years 10 10%
3 11-15 years 15 15%
4 >15 years 20 20%
TOTAL 50 50%

CHART:4.5

Interpretation:
From the graph shows that 5% of respondents says that they have an 0-5 years Experience

in that organisation, 10%of respondents says that they have an6-10 Years of experience

in the organisation,15% of respondents says that they have an 11-15 years experience in

their organisation.20%.15 years above.

34
Data analysis has been done by arranging the data in a simple table form and percentages are
calculated. The quantitative data has been represented by drawing out the charts where ever
necessary.

1. Do you think performance appraisal is needed in a company?

(a ) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 100 100
2 NO 0 0
TOTAL 100 100

% of respondents

120

100

80

60 Percentage
100
40

20

0 0
1 2
yes no

Interpretation:
To above question, almost 100% of the employees thought that the performance
appraisal is needed in a company.

35
2. Performance appraisal rating is used to
(a) Identify areas of improvement
(b) Identifying quality for unit of work
(c) Set performance target
(d) All the above

s.no Options No. of Responses Percentage

Identify areas of
1 improvement 32 32
Identify areas of training
2 & development 48 48
3 Set performance target 10 10
4 All the above 10 10
Total 100 100

% OF RESPONDENTS

4
10% 1
32%
3
10%

2
48%

Interpretation:
About the useful of Performance appraisal system, 32% have said that
appraisal system helped them to identify areas of improvement, to 48% it helped in
identifying training & development needs, to 10% it helped in setting performance targets
and to 10% it was helpful in all the above areas. By this we can say that P.A is helpful in
one way or the other for the employees.

36
 3. In your experience the outstanding Performance of an employee is due to:
(a) Actual Performance (b) Qualification
(c) Experience (d) All the above

s.no Options No. of Responses Percentage

1 Actual Performance 28 28
2 Qualification 0 0
3 Experience 52 52
4 All the above 20 20
total 100 100

% OF RESPONDENTS

4
20% 1
28%

2
0%

3
52%

Interpretation:
Above 28% of the employees responded that the outstanding Performance
appraisal is due to Actual Performance, 52% of the employees is due to Experience and 20%
of the employees is due to all the above.

37
4. Do you think that a good workman gets motivated with frequent Performance
Appraisal? Is conducted?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 84 84
2 NO 16 16
TOTAL 100 100

% of respondents

16% NO

84% YES

Interpretation:

A majority of 84% of the employees said that a good workman gets motivated
with frequent Performance Appraisal and 16% of the employees are not satisfied with above.

38
5. What are the factors taken into consideration while appraising an individual?
(a) Interpersonal effectiveness (b) Team building skills
(c) Self motivate skills (d) leadership

s.no Options No. of Responses Percentage

1 Interpersonal effectiveness 20 20
2 Teambuilding skills 24 24
3 Self motivate skills 44 44
4 Leadership 8 8
Total 100 100

% of respondents

4 8

3 44

2 24

1 20

0 10 20 30 40 50

Interpretation:
About 20% of employees considered interpersonal effectiveness while
appraising an individual, 24% of employees considered Teambuilding skills, 22% of
employees considered self motivate skills and 8% of employees considered Leadership. By
this we can say that these are the factors taken into consideration while appraising an
individual.

39
6. In your opinion an employee should be:
(a) Effective (b) Moderate (c) Both A & B

s.no Options No. of Responses Percentage

1 Effective 80 80
2 Moderate 0 0
3 Both A & B 20 20
Total 100 100

% of respondents

90
80
70
60
50
Series1
40 80
30
20
10 20
0 0
1 2 3
effective moderative both A&B

Interpretation:
About 80% of the employees opinion is that the employee should be
effective and rest 20% of the employees opinion is that the employee should be
effective and moderate.

40
7. Which method you are using for evaluating Performance?
(a) performance appraisal appraisal (b) MBO (c) Assessment centre
(d) BARS (e) Any other

s.no Options No. of Responses Percentage

performance appraisal
1 appraisal 48 48
2 Mgmt By Objects 24 24
3 Assessment centre 8 8
4 BARS 12 12
5 Any other 8 8
Total 100 100

% of respondents

5
4 8%
12%
3 1
8% 48%

2
24%

Interpretation:
About 48% of the employees using performance appraisal appraisal method
for
evaluating Performance, 24% of the employees using Mgmt By Objects, 8% of the
employees using Assessment centre, 12% of the employees using BARS, 8% of the
employees using other method.

41
8. Is Appraisal process expensive and time consuming?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 64 64
2 NO 36 36
Total 100 100

% of respondents

No
36%

yes

64%

Interpretation:
About 64% of the respondents said that the performance appraisal is expensive
and time consuming. And 36% of the respondents said that the Performance appraisal is not
expensive and time consuming.

42
9. Do you agree with the assessment of your reviewing/reporting officers?
(a) Agree (b) Disagree

s.no Options No. of Responses Percentage

1 Agree 92 92
2 Disagree 8 8
Total 100 100

% of respondents

Disagree
8%

Agree 92%

Interpretation:
Majority of 92% of the employees responded that reporting officer was good
at grading the performance. Nearly 8% were disagreeing his duties as per the guidelines laid
down.

43
10. Do you want any change in frequent between the appraisals?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 72 72
2 NO 28 28
Total 100 100

% of respondents

80
70
60
50
40 72
30 Percentage
20 28
10
0
1 2
yes no

Interpretation:

About 72% of the employees want to change in frequent between the

appraisals. And 28% of the employees don’t want to change between the appraisals.

44
11. Have you been able to express all difficulties & problems which you have been facing
Regarding your job & achievement of your performance area?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 100 100
2 NO 0 0
Total 100 100

% of respondents

120

100

80

60 Percentage
100
40

20

0 0
1 2
yes no

Interpretation:

About 100% of the employees are able to express all difficulties &
problems which they have been facing regarding their job.

45
12. Frequency at which merit rating/Performance appraisal is conducted?
(a) 1year (b) 2years (c) half yearly (d) Quarterly

s.no Options No. of Responses Percentage

1 1YEAR 36 36
2 2YEARS 0 0
3 HALF YEARLY 52 52
4 QUATERTLY 12 12
TOTAL 100 100

% of respondents

4
12%
1
36% 1
2
3
4
3 2
52% 0%

Interpretation:
About 36% of the employees conducted merit rating/performance appraisal at
the frequency 1year, 52% of the employees conducted at half yearly,12% of the employees
conducted at quarterly.

46
13. Are you satisfied with present Performance appraisal system?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 64 64
2 NO 36 36
TOTAL 100 100

% of respondents

2
36%
1
2
1
64%

Interpretation:

About 64% of the employees were satisfied with present Performance

appraisal system. Rest 36% of the employees was not satisfied with present system.

47
14. The appraisal is an opportunity for self review & reflection?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 80 80
2 NO 20 20
TOTAL 100 100

% of respondents

No
2 20

Percentage

yes
1 80

0 20 40 60 80 100

Interpretation:
About 80% of the respondents have agreed that its an opportunity to
review themselves. About 20% of them said that it does not help them in reviewing
themselves.

48
15. Do you think the reward system is fair and adequate?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 72 72
2 NO 28 28
TOTAL 100 100

% of respondents

80 72
70
60
50
40
28
30 Percentage
20
10
0
1 2
yes no

Interpretation:

About 72% said that the reward system is fair and adequate and 28%
responded that it is not fair.

49
16. Do you have a good relationship with appraiser after Performance appraisal?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 96 96
2 NO 4 4
TOTAL 100 100

% of respondents

No
4%

1
2

96%
yes

Interpretation:

A Majority 96% of the respondents have the good relationship with

appraiser after Performance appraisal. Rest 4% of the respondents is not having a good
relationship with appraiser after Performance appraisal.

50
17. Do you feel Performance appraisal promote you?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 76 76
2 NO 24 24
TOTAL 100 100

% of respondents

80
70
60
50
40 76 Percentage
30
20
10 24
0
1 2
yes No

Interpretation:

About 76% of the respondents feel that the Performance appraisal can
promote the employee. Remaining 24% of the respondents are not agreed with the above
sentence.

51
18. In your opinion PIDS is necessary?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 96 96
2 NO 4 4
TOTAL 100 100

% of respondents

4%
No

yes
96%

Interpretation:
Majority of 96% of the respondents opinion is that the PIDS is necessary.
About 4% of the respondents opinion is that PIDS is not necessary

52
19. By which way you are consistent for Performance appraisal in organization?
(a) Individual (b) Group (c) Both A & B

s.no Options No. of Responses Percentage

1 Individual 8 8
2 Group 56 56
3 Both A & B 36 36
Total 100 100

% of respondents

60

50

40

30 56 Series1

20 36
10
8
0
1 2 3
Individual Group both A&B

Interpretation:

About 8% of the respondents were consistent as a Individual for

Performance appraisal, about 56% of the respondents were consistent as a group for
Performing appraisal and 36% of the respondents were consistent as both individual and
group for Performance appraisal.

53
20. Is Balance Score Card helps in improving the Performance?
(a) YES (b) NO

s.no Options No. of Responses Percentage

1 YES 88 88
2 NO 12 12
Total 100 100

% of respondents

No
12%

yes
88%

Interpretation:

About 88% of the respondents agrees that the Balance Score Card helps in
improving the Performance. About 12% of the respondents disagrees that the BSC helps in
improving the Performance.

54
 CHAPTER-V
 FINDING AND CONCLUSIONS
 SUGGESTIONS
 QUESTIONNAIRE
 BIBLIOGRAPHY

55
 FINDING
1. It is revealed that the executive are getting feedback on their performance though
which they can review their performance. Sort on the problems and can overcome the
difficulties.
2. The management has a clear understanding about the problem that the workers are the
best with moreover, they are eager to solve the problems of the workers as and when
they arise.
3. The management was giving requisite training to workers in the areas where they are
weak.
4. Workers awareness about the fact that the appraisal is one of the factors for
promotion was cent percent.
5. Performance appraisal system is considered as a means that aim at identifying the
areas of improvement, identifying areas of training and development setting
performance target for future.
6. The management desire having cordial relations with the work to hold mutual
discussions.
7. The performance appraisal system it exists as it exists now is properly worked out
and appropriately evolved. This revealed from the opinion given by the majority of
the employees.

56
 SUGGESTIONS

Based on the findings of the study and personal discussions held with
various executives and employees at HIGH NOON CONSULTING PRIVATE
LIMITED(HIGH NOON)., Hyderabad possible suggestions and recommendations are given:
 It is recommended that employees should be immediately communicated.
 The result of the appraisal particularly when they are negative.
 It is recommended that the supervisor should try to analyze the strengths and
weaknesses of an employee and advise him on correcting the weakness.
 It is commended to counsel the employees appropriately regarding their strength and
weaknesses and assist in developing them to realize their full potential in line with the
company’s goals.
 The top management is very much committed in implementing the performance
appraisal system as it is. The performance appraisal system is consider as an essential
tool for bridging gap between the top management and the executives it thus helps
them to develop cordial relations and mutual understanding.
 It is recommended that the employees should be communicated information about his
performance, again his acceptance of it and draw up a plan for future improvement, if
necessary.
 It is recommended that the rater must be thoroughly well versed in the philosophy and
of the rating system. Factor sales must be thoroughly defined, analyzed and discussed.
To conclude, it is imperative to immunize of the problems or hindrances to
strengthen the system.

57
 CONCLUSIONS
 Because of lack of communication, employees may not know how they are rated.
The standards by which employees think they are being judged are sometimes
different from those their superiors actually use.
 Proper communication of these ratings can help the employers achieve the level of
acceptability and commitment which is required from the employ.
 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 counseling which is
often neglected in many organizations.
 Counseling involves helping an employee to identify his strengths and weaknesses
to contribute to his growth and development.
 Purpose is to help an employee 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.

58
 QUESTIONNAIRE

PERSONAL DATA

1. Name:

2. Age:
a) 25-35( )
b) 36-45( )
c) 46-55 ( )
d) Above 56 ( )

3. Gender:

a) Female ( )

b) Male( )

4. Qualification

a) Ug( )

b) Pg ( )

c) Others( )

5. Designation: Executive

a) Supervisor( )

b) Manager ( )

6. Years of experience
a) 0-5 years ( )
b) 6-10 years ( )
c) 11-15 years ( )
d) 15 years ( )
1. Do you think Performance appraisal is needed in a Company?
(a) YES (b) NO

59
2. Performance appraisal rating is used to
(a) Identify areas of improvement
(b) Identify areas of training and development
(c) Set performance target
(d) All the above

3. In your experience the outstanding Performance of an employee is due to :

(a) Actual Performance (b) Qualification
(c) Experience (d) All the above

4. Do you think that a good workmen gets motivated with frequent Performance appraisal is
conducted?
(a) YES (b) NO

5. What are the factors taken into consideration while appraising an individual?
(a) Interpersonal effectiveness (b) Teambuilding skills
(c) Self motivate skills (d) Leadership

6. In your opinion an employee should be:

(a) Effective (b) Ineffective (c) Both A & B
7. Which method you are using for evaluating Performance?
(a) performance appraisal appraisal (b) MBO (c) Assessment centre
(d) BARS (e) Any other

8. Is it expensive and time consuming?

(a) YES (b) NO

9. Do you agree with the assessment of your reviewing/reporting officers?

(a) Agree (b) Disagree

10. Do you want any change frequency between the appraisals?

(a) YES (b) NO

60
11. Have you been able to express all difficulties & problems which you have been
Facing regarding your job & achievement of your performance area ?
(a) YES (b) NO
12. Frequency at which Performance appraisal is conducted
(a) 1year (b) 2years (c) half yearly (d) Quarterly

13. Are you satisfied with present Performance appraisal system?

(a) YES (b) NO

14. The appraisal is an opportunity for self review & reflection

(a) YES (b) NO

15. Do you think the reward system is fair and adequate?

(a) YES (b) NO

16. Do you have a good relationship with appraiser after Performance appraisal?
(a) YES (b) NO

17. DO you feel Performance appraisal promote you?

(a) YES (b) NO

18. In your opinion PIDS(Project Initiation Document) is necessary?

(a) YES (b) NO

19. By which way you are consistent for Performance appraisal in

(a) Individual (b) Group (c) Both A & B

20. Is Balance score card (BSC) helps in improving the performance?

(a) YES (b) NO

(SIGNATURE)

61
 BIBLIOGRAPHY

S.NO AUTHOR NAME OF THE BOOK

1. SUBBA RAO.P : Personnel/Human resource Management.

2. ASWATAPPA : Human Resource Management

3. T.V.RAO : Appraising Performance

4. C.B.MAMORIA : Human Resource Management.

HIGH NOON CONSULTING PRIVATE LIMITED

WEBSITES:
www.highnoon.com
WWW.hrindia.com
www.heroindia.com
www.autolindia.com
www.hrcouncil.org

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