SUMMER INTERNSHIP PROJECT REPORT

On
‘PERFORMANCE MANAGEMENT SYSTEM’
At
IDEX INDIA PVT. LTD.

Submitted to
Institute Code: 705
CK SHAH VIJAPURWALA INSTITUTE OF MANAGEMENT

Under the Guidance of

Dr. Stuti Trivedi Mrs. Chiragi Thakor
Associate Professor Director - HR
(CKSVIM) (Idex India Pvt. Ltd.)
In the partial fulfilment of the Requirement of the award of the degree of
Master of Business Administration (MBA)
Offered By
Gujarat Technological University
Ahmedabad

Prepared by:
Krutika Shah
207050592022
MBA (Semester – III)
Oct 2021
 DECLARATION

I hereby declare that the Summer Internship Project Report titled “Performance
management system” in “Idex India Pvt. Ltd.” is a result of my own work and my
indebtedness to other work publications, references, if any, have been duly
acknowledged. If I am found guilty of copying from any other report or published
information and showing as my original work, or extending plagiarism limit, I
understand that I shall be liable and punishable by the university, which may include
‘Fail’ in examination or any other punishment that university may decide.

Enrollment No. Name Signature

207050592022 Krutika Shah

Place: Vadodara Date:

2
 CERTIFICATE OF EXAMINER

This is to certify that project work embodied in this report entitled “Training &
Development” was carried out by Krutika Shah (207050592022) of CK Shah
Vijapurwala Institute of Management (705).

Comments of Examiner:

This report is for the partial fulfilment of the requirement of the award of the degree
of Master of Business Administration offered by Gujarat Technological University.

(Examiner’s Sign)

Name of Examiner:

Institute Name:

Institute Code:

Date:

Place:

3
 PREFACE

The main objective of any management student is to get as much of practical

knowledge as possible. The summer internship program gives an opportunity to get a
hands-on training in a company. It also gives a chance to apply the theoretical
concepts learnt in the curriculum in real world problems.

It has completely been my privilege to be a part of Idex India Pvt. Ltd. Savli,
Vadodara. As a management student, I got a chance to have insight in various aspects
of business management. It was an experience of knowledge gaining through study,
hard work and commitment.

Globally, governments and companies spend huge money yearly on employee

performance evaluation as it has become a critical component of the overall human
resource management function. It is observed that performance/productivity of an
employee is somehow dependent on the appraisal culture of the company. In this
study the aim is to identify tools and methods for performance management system.

The report which is depicted here is part of the research study carried out for the
subject, “Performance management system” The report focuses on the main three
parameters of the study of tools, benefits, and elements of PMS.

The purpose of the report is to provide information on the above subject. In case of
any queries feel free to contact me.

4
 ACKNOWLEDGEMENT

The research study on “Training & Development” has been a golden opportunity for
me to acquire knowledge on the topic. Many people have given important contribution
in this research study and the effective completion of the project report. Therefore, I
would like to take this opportunity to thank all those people who have guided me
towards the accomplishment of my research topic.

I would like to express my sincere thanks to Ms. Chiragi Thakor (Director – HR, Idex
India Pvt. Ltd.) for giving me the chance to study this important subject. I’d also like
to thank her for giving me her precious time and shared of knowledge and experience.

I would also like to express my sincere thanks to Ms. Meghna Tiwary (Executive -
Idex India Pvt. Ltd.) who has supported and shared knowledge to me throughout my
internship.

I am greatly grateful to my faculty guide Dr. Rima Parikh (Assistant Professor,

CKSVIM) who was always there to guide me in the project. She is extremely co-
operative and helped me in all the possible ways.

I would like to thank Dr. Kerav Pandya (Director, CKSVIM) and all the faculties of
CKSVIM, Vadodara for their motivation and continuous guidance.

Finally, I would like to acknowledge my fellow students who helped me in every

practicable way by reviewing my project and offering me suggestions and ideas to
make this project better.

5
 EXECUTIVE SUMMARY

A performance management system helps HR managers establish clear performance

expectations through which employees can easily understand what is expected of their
job. It allows managers to reinforce on their employees, the individual accountability
to meet their goals and evaluate their own performance.

Performance management is a communication process by which managers and

employees work together to plan, monitor, and review an employee's work objectives
and overall contribution to the organization.

Performance management is a continuous process of planning, coaching, and

reviewing employee performance.

I have carried out performance management study in Idex India Pvt. Ltd. Located at
Savli, Vadodara. And really it was great learning!!!

6
 TABLE OF CONTENTS

Chapter 1: Idex India Pvt. Ltd.

1.1 About Idex India Pvt. Ltd.……............................................................... 9
Chapter 2: Performance Management System in IDEX
2.1 Performance Management System in IDEX…………………………… 13
2.1.1 9 Blocks………………………………………………................... 14

2.1.2 Understanding the PM System.…………………………………… 16

2.1.3 PM Process & Timing.……………………………….................... 17

2.1.4 Goals……………………….……………………………………. 20

2.1.5 Organization & Talent Cycle……………………………………... 25

Chapter 3: Review of Literature

3.1 Review of Literature................................................................................ 34
Chapter 4: Research Methodology
4.1 Research Objectives................................................................................ 42
4.2 Research Hypothesis…............................................................................ 42
4.3 Research Methodology............................................................................ 42
4.4 Research Questions….............................................................................. 42
Chapter 5: Data Analysis and Interpretation
5.2 Swot Analysis…………………………………………………………. 45
5.3 Pestel Analysis………………………………………………………… 46

5.4 Result of Analysis………………………………………………………… 47

Chapter 6: Summary of Results & Findings, Suggestions, Limitations

and Scope for Future Research

Bibliography............................................................................................ 48

7
CHAPTER 1: IDEX INDIA PVT. LTD.

8
1.1 Idex India Pvt. Ltd.

IDEX CORPORATION
IDEX Corporation was founded in 1987 and has since been a global leader in applied solutions. Specializing in fluid and metering technologies, health and science
technologies, fire and safety, and other diversified products in high growth markets, the company stands for Innovation, Diversity and Excellence! IDEX trades
under the abbreviation “IDEX” on the New York Stock Exchange and Chicago Stock Exchange. Headquartered in Lake Forest, IL, USA, our operating facilities are
spread across five continents with more than 6,800 dedicated employees worldwide.

We are best known for our expertise in highly engineered fluids systems and components, as well for our expertise in fire and safety products, including the Jaws of
Life ® family of rescue and recovery tools.

Our products touch lives every day. Whether it’s a life-saving rescue operation, dispensing fresh juice to a first-grader or fueling aircraft, IDEX is a leader in creating
enabling technology used in many of the most common everyday activities.

9
IDEX INDIA
IDEX India is a leading global manufacturer of highly engineered industrial products and technologies such as industrial pumps & valves, compressors, flow meters,
milling equipment, dispensers, firefighting tools and rescue equipment, spare parts, services and accessories.

Our corporate office is at Mumbai, India and our world-class facility spans across 1,50,000 sq. ft. area @ Savli in Vadodara, India.

The facility incorporates a highly effective, team-oriented environment that integrates design, engineering, manufacturing, administration, and the industry’s latest
technology. It provides a shared manufacturing platform for all IDEX Business Units to carry out production.

At IDEX India factory, we focus on designing, developing and delivering local products to the local markets based on the local customer requirements and market
demands.
Our front-end sales, technical and service team is a group of highly qualified, globally networked professionals working passionately from different places of the
country, closely associated with our channel partners and counterparts across the world, with easy local accessibility.

10
 ABOUT INDIA
1000+ customer base within top industry segments:
 Pharma
 Fire & Safety
 Paints & Coatings
 Oil & Gas
 Chemicals
 Infrastructure
 Petrochemicals
Strong Distribution network across all four zones of India – North, East, West and South

11
CHAPTER 2: PERFORMANCE MANAGEMENT SYSTEM IN IDEX

12
2.1 Performance Management System in IDEX

 Provides clear direction on the critical few priorities,

results in accurate feedback and it is proven that when
done well the performance of the organization
improves.

13
2.1.1 9 Blocks

14
15
2.1.2 Understanding the PM System

Processes
Feedback mechanism (OIS Feedback)
Outcomes of performance management system

16
Two main components of the PMS :
 Continuous process:
- It is ongoing, future-oriented, and participative system
- Never ending process of setting goals and objectives
- Observing performance constantly/regularly
- Giving and receive ongoing coaching & feedback
- Aimed at improving employee performance

 Alignment with strategic goals:

- Ensure that employee activities & outputs are aligned with organizational goals/objectives
- To help organizational gain competitive advantage
- Create direct link between employee performance and organizational goals
- and makes employee contribution to organization explicit.
17
 2.1.3 PM - Process & Timing

Februar Apri Jun Augus Octobe December

Januar Marc Ma Jul Septembe Novembe

Mid-Year Year-End
Establish Goals & Org & Talent
Performance Performance
Objectives Cycle
Check-in Discussion

IDEX Integrated Performance Management and

Organization & Talent Cycle

18
 Launch goal process in
Human Workday. Educate
Resources employees on process
and SMART goals
Develop 3-5 Critical Goals
in Workday linked to role
Employee and IDEX and BU key
priorities
Review and discuss goals
Manager with employees.
Ensure focus on critical few
Launch process & participate
in the OTC reviews. Drive
actions as a result of OTC
discussions
Update the Employee
Profile in Workday
Complete Talent Summary
and prepare for Org &
Talent Cycle (OTC)
19
Launch Mid-Year
process in Workday
Review and provide
accurate status update on
Goals
Review & discuss progress
against goals. Utilize meeting
to share feedback as output
of OTC
Launch Workday form
and provide necessary
training
Opportunity to discuss full
year results, strengths &
development areas, and have
a career discussion
Review and discuss year end
results and provide candid
feedback on the employees
strengths, development areas,
and career aspirations
 2.1.4 Goals

Purpose

Process to align IDEX key priorities through-out the organization to ensure each employee has clear
understanding of top 3-5 priorities for their role. Provides clear direction on the critical few priorities.

How

Input goals into Workday tool and gain agreement with your manager on critical few priorities.

When

Annual process that begins in January and all discussions should be completed by March.

20
Goal Alignment

 Goal deployment tool can be used to

determine organization and business unit key CORPORATE Strategy
goals
 Goals are cascaded throughout the
organization
 Employee goals are tied to business priorities Segment Strategic Objectives
and objectives

Platform’s Strategic Objectives

Business Line or Department’s Objectives

Department’s Objectives

Employee’s Objectives

21
Establish Clear Goals and Objectives
Individual performance goals are linked to business objectives at all levels and
consist of the critical few priorities you are committing to accomplish.

Business Unit Leader

Business Unit or Department
Leader

Manager/
Supervisor

Employee

Goals should capture the point of impact that you make in the organization.

22
What Are SMART Goals?
Critical Must Do’s
• Goals are aligned to the organization’s critical few
priorities
• Managers should cascade goals to their team
• Limit the number of goals to 3-5 that you commit to
with your manager
• Goals are SMART (Specific, Measurable,
Attainable, Relevant, Time bound)
• Invest the time - Set aside an appropriate amount of
time between the employee and manager to have a
meaningful conversation
• Collaborative process between manager and the
employee
• Update progress against goals regularly in
Workday tool
• Change goals if role or priorities changes after a
discussion with your manager
Mistakes to Avoid
• Use the goal process to list job responsibilities and
everything you do
• Committing to more than 5 goals
• Avoid generalizations or High Level goals that
can’t be measured or you don’t directly influence
• Spelling errors and being unprepared for
discussion around goals
• Only reviewing goals when setting them and
during performance discussions
• Keeping your goals static if major change
occurs
23
What Are
SMART
Goals?
S - SPECIFIC

M- MEASURABLE

A- ACHIEVABLE

R-

RELEVANT T-

TIME BOUND

24
 2.1.5 Organization & Talent Cycle

A structured process to assess the needs of the business strategy against the current organizational
structure and employee’s capability which results in a plan to leverage strengths and address gaps.

To ensure we have the right organization and talent capability in order to meet our business strategies and
proactively plan for the career development of our employees. This is the foundational component of
building great global teams at all levels.

Technology: Employee Profile / Talent Summary Scorecard / 9-block

Org & Talent Review: Iterative group discussions leading to formal OTR

Talent Planning Process: Generate written talent plan with follow up actions into regular business review cadence
a. Development plans and other actions are reviewed throughout the year
b. Final review complete in next year OTR

25
 Effective Mid-Year Check-in

Components of an Effective Mid-Year Check-In:

• Summary of performance to date and goal alignment

• Reflection of employee’s learnings from the first half of the year
• What is needed to ensure achievement of goals

26
Mid-Year Discussion: Workday Process

2021
July August End August
Employee Manager DISCUSS Employee
Updates Goal Status Reviews employee’s Employee & Acknowledges Mid-
& inputs Overall updates, provides Year Discussion has
Comments into coaching and
Manager have a been completed in
Workday; includes feedback that is Mid-Year Workday Check-In
future planning for forward looking and Discussion Completed
ongoing goal success focused on ongoing
goal success

27
Importance of Feedback OIS Feedback Structure

Describe what was the specific action/behavior that was observed?

What impact did the behavior have on the business/individual? What was the result? Why was it positive or
negative?

*Don’t assume what the motives were- focus on the impact.

What suggestion(s) could be offered to continue or improve the behavior? What action/behavior could have
made a more positive impact?

*Should be used for positive28and consecutive feedback

 Feedback – Why so important?
 Feedback is base to improve performance.

If no feedback – don’t expect improvement or development

Effective feedback has benefits for the giver, the receiver, and the wider organization

As a manager, need to ensure that whatever feedback conversation that has happened is captured in
workday so that there is no surprise in year end.

29
Year End Performance Discussions

Employee Manager Performance

Self-Assessment Evaluation Discussion

• Asses progress against • Review employee’s • Conduct formal

Goals and objectives goals and performance performance discussion
objective plan and notes between Manager and
• Complete accurate self from progress checks Employee
assessment of strengths
and development needs • Review behavior and • Conversation should be
result rating definitions an open dialogue and a
• Capture specific balance of performance
work/projects achieved, • Gather feedback from strengths and
impact of actions, and others that interact with Development areas
behaviors/competencies the employee (the Clear Understanding of feedback
that were demonstrated employee’s direct • This should be a recap & agreed upon next steps
reports, peers, secondary of the previous
• Review competency and managers, internal feedback that the
result rating definitions customers, etc.) Employee has received
prior to completing the from the Manager
self-assessment • Complete the manager through the year
evaluation within
• Complete self- Workday
assessment in Workday
and send to Manager • Comment on employees
prior to performance strengths and
discussion development needs

• Comment on Career
Interests

30
Out come

Performance Employee
Performance
improvement development
Matrix
plans plan

Competency Organization
Strategic
Development Development
inputs
Plans plan

31
AS PART OF PERFORMANCE MANAGEMENT

32
CHAPTER 3: REVIEW OF LITERATURE

33
3.1 REVIEW OF LITERATURE

Kalra J. (2017), highlighted the importance, role and characteristics of PMS in Indian
Banking sector, and to study the scope and effectiveness of PMS and its impact on
employees’ performance. The author had collected secondary data from various
newspaper, journals and magazines to discover the weakness of current PMS. All the
employees of the bank concluded that they feel that PMS plays an important role and
accomplish a number of objectives vital to the organizational effectiveness.12

Mwema, N. W. & Gachunga, H. G. (2014) did a primary research using

questionnaire method with the objective to measure the effect of PA on employee
productivity in the WHO in Kenya. The organization concluded that they should
appraise their employees through utilized targets so employees are motivated and
productivity is increased.21

Kephas, O. B. (2016), did the study through survey approach which includes the
objective to establish, assess and determine the extent of appraisal rewards in Ministry
of Agriculture and finally to determine the relationship between PA and employee
productivity. The findings of the study say that employee’s productivity was found to
be dependent on adopting of appraisal criteria, appraisal feedback and appraisal
reward. Thus, concluded that PA affects employee’s productivity.22

Khan, Z., Khan, A.S. and Khan, I. (2017) studied by doing primary research
through questionnaire method with the objective to determine the vision of bank
authorities and to study the impact of Performance examination system on
performance and motivation of the bank authorities. They lastly found that the
employee performance was increased through financial emoluments, by which
employees are motivated. The conclusion was there is a strong relationship between
PA and Employee’s Productivity.23

21
Mwema, N. W. & Gachunga, H. G. (2014). The influence of performance appraisal on employee
productivity in organizations: A case study of selected WHO offices in East Africa. International
Journal of Social Sciences and Entrepreneurship, 1 (11), 324-337.
22
Kephas, O. B. (2016). Effect of Performance Appraisal on Employee Productivity in the Ministry of
Agriculture Homa Bay County, Kenya. International Journal of Advanced Research, 4(3), 488–495.
23
Khan, Z., Khan, A.S. and Khan, I. (2017). Impact of performance appraisal on employee’s
34
performance including the moderating role of motivation: A survey of commercial banks in Dera
Ismail Khan Khyber Pakhtunkhwa Pakistan. Universal journal of industrial and business management.
5(1), 1-9.
12
Kalra, J. (2017). Performance Management System in Banks of India. An International Journal of
Advanced Studies, 2(3), 1–6.

35
Yaseen, A. (2015), studied by adopting primary research from questionnaires and
semi- structured interviews for middle management according to needs and
performance which has the objective 1) To analyze different performance
management practices and exploring to best implementation which leads to increase
employee performance. 2) To recommend suggestive solutions that can increase
effectiveness of employees. 3) To study PMS and to determine whether the
outstanding performance is rewarded. 4) To explore either staff members believe and
support current performance process. 5) To know the connection between PA system
and employee’s motivation and loyalty which can lead to organizational success. The
research findings show that there is a positive relationship between appraisal and
performance and vice versa.14

Muralikrishna, & Kameswari. (2015), studied by doing primary research by

collecting data through questionnaires have the objective to find out the impact of
different factors which influence performance evaluation process and to analyze the
effect of performance on employee satisfaction. They concluded that there is a
significant relationship between PA and employee’s motivation to work.24

Ehsan, H. (2018), adopted primary research through questionnaire method for the
study with the objective 1) To assess the impact of HRM practices on employees’
performance. 2) To assess the status of HRM practices in telecom sector. 3) To assess
the association between HRM practices and employee’s performance. The result
shows that HR practices have an impact on employees’ performance so organizations
need to improve their HR practices to improve performance.11

Banerjee, S. (2018), did a survey and made a primary research through questionnaire
with the objective to assess PA practice and its impact on employee’s motivation. The
result shows that the weak PA leads to negative employee productivity by the
employees getting de-motivated.17

24
Muralikrishna, & Kameswari. (2015). An Analytical Study on the Influence of Performance
Appraisal on Pharma Sales Force Job Satisfaction. IOSR Journal of Business and Management, 17(1),
42–44.
11
Ehsan, H. (2018). Impact of Performance Appraisal, Work Design and Compensation on Employee
Performance: A Study of Telecom Sector. Journal of Global Economics, 6(3).
https://doi.org/10.4172/2375-4389.1000301
36
14
Yaseen, A. (2016). Performance management practices and its impact on Banks’ performance in
Pakistan. International Journal of Human Resource Studies, 5(4), 110.
https://doi.org/10.5296/ijhrs.v5i4.8821

37
Sharma, N. A., & Rao, B. K. Surya Prakasha. (2018), did a survey by collecting
primary data through questionnaires, schedules interviews and secondary data through
books, articles, etc. They concluded that PA system plays a vital role in improving
and evaluating performance and link with monetary incentive schemes.25

Tag-Eldeen, Ashraf & Abdien, Mohamed. (2012), had adopted survey approach by
interacting with people and collecting data through questionnaires having objective to
1) To measure the extent of applying the four dimensions of effective EPAS. 2) to
identify the discrepancy between managers’ and employees’ perception of the
application of these dimensions. The study results that the effective EPAS can yield
more favorable outcomes such as achieving the quality of customer service in hotel
operations such as employees ‘satisfaction, retention & loyalty of the employer.26

FLOREA, M. (2016), collected data through self-administered questionnaire with

objective 1) to establish whether employees have a clear understanding of the purpose
of PA. 2) To examine the effects of justice perceptions on employee satisfaction. 3)
To study whether employees are satisfied with the PA and impact on their
performance. 4) To analyze the relationship between appraisal satisfaction and
employee motivation to work related behavior. The study concluded that appraisal
directly affects employee satisfaction and their trust and commitment to the
employer.27

Ullah, S. (2016), did a survey through collecting data by questionnaire method with
the objective 1) to identify the association of appraisal and employee productivity. 2)
To better understand the value of the employee and to focus more on increasing their
commitment and make them more efficient and productive. 3) To increase employee’s
satisfaction and loyalty and decrease their intentions to switch their jobs. 4) To
recommend the ways which can help organizations to increase productivity at

25
Sharma, N. A., & Rao, B. K. Surya Prakasha. (2018). Impact of Performance Appraisal on Employee
Motivation (With Special Reference to Indian Steel Industry). IOSR Journal of Business and
Management, 20(2), 44–47. https://doi.org/10.9790/487X-2002024447
26
Tag-Eldeen, Ashraf & Abdien, Mohamed. (2012). The impact of effective employee performance
appraisal system (EEPAS) on quality of customer service in hotel operations.
27
FLOREA, M. (2016). A Study Exploring Employee Performance Appraisal Satisfaction and Its
Impact on The Motivation to Improve
Performance. Retrieved from
https://trap.ncirl.ie/2317/1/marianaflorea.pdf
38
17
Banerjee, S. (2018). Performance Appraisal Practice and its Effect on Employees’ Motivation: A
Study of an Argo-Based Organization. International Journal of Management Studies, V (3(4)), 43.
https://doi.org/10.18843/ijms/v5i3(4)/05

39
individual level. The result of this study indicates that the PA system is positively
related to the productivity of employees in an organization.28

Raja, V. A. J., & Kumar, R. A. R. (2016), had done a primary research by collecting
data through questionnaire approach with the objective 1) To understand the
effectiveness of PA System. 2) To examine PA system by diagnosing strengths and
weaknesses of the existing system. 3) To find out opinion of employees about current
system. 4) To ascertain the awareness level among employees about system. 5) To
know the ways to improve the PA system. This study comes to a conclusion that PA
system is effective but there exist certain criteria like seniority merits. Based on the
findings, some of the valuable suggestions have been offered which is then result into
improving the existing PA system.29

CHAPONDA, N. C. (2014), did a research by collecting primary data through

questionnaires with the objective 1) To establish the extent to which PA process
affects employee motivation. 2) To determine the extent to which appraisers affect
employee motivation. 3) To determine the challenges in appraising employee
performance. The result of this study says that PA rating can be considered as a
technique that has a positive effect on work performance and employee motivation.30

Abbas, M. Z. (2014), did a survey by collecting primary data through questionnaire

with the objective 1) To understand effectiveness of PA in the Pakistani
Organizations.
2) To elaborate the influence of appraisal on employee performance. And the study
concludes that PA affects the performance of employees.31

Khan, I., Dongping, H., & Ghauri, T. A. (2014), studied and collected primary data
through questionnaires with the objective to probe the association among employee
consideration of job characteristics and shows the performance and their attitude. The

28
Ullah, S. (2016). Impact of Performance Appraisal System on Employee’s Productivity in A Telecom
Sector of Pakistan. Retrieved from https://www.scribd.com/document/353827405/Impact-of-
Performance-Appraisal-System-on-Employee-s-Productivity-in-a-Telecom-Sector-of-Pakistan-HR
29
Raja, V. A. J., & Kumar, R. A. R. (2016). A Study on Effectiveness of Performance Appraisal
System in Manufacturing Industries in India. International Journal of Advanced Research in
Management, 7(1), 44–50.
30
CHAPONDA, N. C. (2014). The Effect of Performance Appraisal on Employee Motivation: A
Survey of Slum Based Non-Governmental Organizations in Nairobi. Retrieved from
http://erepo.usiu.ac.ke/bitstream/handle/11732/198/NATALIE%20.pdf?sequence=1&isAllowed=y
31
Abbas, M. Z. (2014). Effectiveness of performance appraisal on performance of employees. IOSR
40
Journal of Business and Management, 16(6), 173–178.

41
result of this study proved that all the factors of PA are been affected on the
performance of employees in the aspect of job satisfaction. Job commitment which
leads to increase the employee motivation. 32

GICHUHI, A. W., & OCHIENG, ISAAC. (2013), did a survey by collecting

primary data through questionnaire with the objective 1) To establish the effect of PA
criteria used in supermarkets on employee productivity. 2) To determine the effect of
PA feedbacks and PA rewards used in supermarkets. 3) To determine the relationship
between frequency of PA and employee productivity. The study concludes that
organization have PA rewards affect the employee motivation which finally leads to
better employee productivity.33

Iqbal, N., Ahmad, N., Haider, Z., Batool, Y., & ul-ain, Q. (2013), did a research
and collected data by questionnaire method with the objective to determine the impact
of PA, motivation and employee performance. The findings of the study conducted
says that the bank is interested in improving their PA system and will enhance the
employee’s motivation so that they become satisfied towards the appraisal system.34

Girma, T., Lodesso, S. L., & Sorsa, G. (2016), had studied by collecting primary
data through questionnaires with the objective 1) To evaluate whether established
performance standards will lead to better employee performance or not. 2) To assess
how communicating performance expectation to employee has effect on better
employee performance. 3) To identify how measuring actual performance based on
established standard performance has effect on employee performance. 4) To assess
the discussion on appraisal result and giving feedback has relation to better employee
performance. 5) To identify the relation between indicating corrective actions and

32
Khan, I., Dongping, H., & Ghauri, T. A. (2014). Impact of Attitude on Employees Performance: A
Study of Textile Industry in Punjab, Pakistan. World Applied Sciences Journal 30 (Innovation
Challenges in Multidisciplinary Research & Practice), 191–197.
https://doi.org/10.5829/idosi.wasj.2014.30.icmrp.25
33
GICHUHI, A. W., & OCHIENG, ISAAC. (2013). Effect of Performance Appraisal on Employee
Productivity: A case study of supermarkets in Nakuru Town, Kenya. Asian Journal of Business and
Management Sciences, 2(11), 42–58. Retrieved from
http://www.ajbms.org/articlepdf/4ajbms20132112745.pdf
34
Iqbal, N., Ahmad, N., Haider, Z., Batool, Y., & ul-ain, Q. (2013). Impact of performance appraisal on
employee’s performance involving the Moderating Role of Motivation. Oman Chapter of Arabian
Journal of Business and Management Review, 3(1), 37–56. https://doi.org/10.12816/0002354

42
employee performance. The result shows that the objectives decided can leads to a
better employee performance.35

Musi, Y. W. (2015), did a survey by collecting primary data through questionnaires

with the objective to determine the influence of training, promotion, remuneration and
discipline on employees’ productivity. And the findings say that employee
productivity is influenced by four variables including: training, promotion,
remuneration and discipline.36

Poursafar, A., Rajaeepour, Saeed, Seyada, Sayeed Ali, & Oreiz, H. R. (2014), had
collected primary data through questionnaire with the objective to examine how the
organizational support and organizational commitment influence the relationship
between developmental PA and the OCB. The conclusion of this study says that the
direct relationship between developmental PA and employees’ OCB not being
supported.37

Rahman, Md & Karim, Dewan. (2018), had collected primary data through
questionnaires with the objective to examine the impact of PA on OCB in the Islamic
Banks in Bangladesh. The study finally concludes that there is a positive and fair
relationship between PA and OCB in Bangladesh.38

Lu, H., Yue, A., Han, Y., & Chen, H. (2018), did a primary study by collecting data
through questionnaires with the objective to explore the relationship between PA
purposes and OCB. The study concluded that evaluation of PA will significantly
affect overall OCB.39

35
Girma, T., Lodesso, S. L., & Sorsa, G. (2016). The Effect of Performance Appraisal on Employee
Performance: A Survey on Administrative Staff of Hawassa University. IOSR Journal of Business and
Management, 18(3), 36–44.
36
Musi, Y. W. (2015). Influence of performance appraisal system on employee productivity in public
sector: a case of ministry of agriculture Ruiru Kenya. International Journal of Multidisciplinary
Research and Development, 2(5), 235–240.
37
Poursafar, A., Rajaeepour, Saeed, Seyada, Sayeed Ali, & Oreiz, H. R. (2014). Developmental
performance appraisal and organizational citizenship behavior: testing a mediation model. Journal of
Education and Practice, 5(16), 184–193. Retrieved from
https://pdfs.semanticscholar.org/0c37/0f38ae80a6b1a04342acedc21a8f9a1c53da.pdf
38
Rahman, Md & Karim, Dewan. (2018). The effect of performance appraisal on organizational
citizenship behaviour (OCB): a study on the Islamic Banks in Bangladesh. 25. 17-43.
39
Lu, H., Yue, A., Han, Y., & Chen, H. (2018). Exploring the Effect of Different Performance
Appraisal Purposes on Miners’ Organizational Citizenship Behavior: The Mediating Role of
Organization Identification. Sustainability, 10(11), 4254. https://doi.org/10.3390/su10114254
43
Chelagat, L., Chepkwony, P. K., & Kemboi, A. (2015), did primary study by
collecting data through questionnaires with the objective to determine the effects of
OCB on employee performance in banking sector. The study concluded that OCB do
affect the performance of the employees as they will share their knowledge with other
employees working there to support the problems at work.40

Basu, E., Pradhan, R. K., & Tewari, H. R. (2017), had collected primary data
through questionnaires with the objective to explore the relationship between OCB
and job performance. The result concludes that the because of OCB, ability of workers
or the manager to do their work more efficiently can be improved and thus it has a
strong relationship between OCB and employees’ performance.41

NJAGE, F. M. (2017), had collected data by primary research through questionnaire

with the objective to investigate the effect of loyalty, personal initiative and self-
development on employee performance at Rattansi Educational Trust. The findings
say that the organization should include all those factors of loyalty, personal initiatives
and self-development as to increase the motivation of the employees and
simultaneously will improve their performance.42

40
Chelagat, L., Chepkwony, P. K., & Kemboi, A. (2015). Effect of organizational citizenship behavior
on employee performance in banking sector, Nairobi County, Kenya. International Journal of
Business, Humanities and Technology, 5(4), 55-61.
41
Basu, E., Pradhan, R. K., & Tewari, H. R. (2017). Impact of organizational citizenship behavior on
job performance in Indian healthcare industries. International Journal of Productivity and Performance
Management, 66(6), 780–796. https://doi.org/10.1108/ijppm-02-2016-0048
42
NJAGE, F. M. (2017). Effect of Organizational Citizenship Behavior on Employee Performance: A
Case of Rattansi Educational Trust, Kenya. Retrieved from
http://erepo.usiu.ac.ke/bitstream/handle/11732/3305/FRANCESCA%20M.%20NJAGE%20MBA%202

44
017.pdf?sequence=1&isAllowed=y

CHAPTER 4: RESEARCH METHODOLOGY

45
4.1 OBJECTIVES OF THE STUDY

1. To study employee’s perception towards PMS in Idex India

Pvt. Ltd.

2. To study more in detail about swot analysis.

3. Study the impact of PMS on employee’s productivity in Idex

India Pvt. Ltd.

4. To study the inter-relationship between PMS and employee’s productivity.

4.2 HYPOTHESIS
1. Relation between Organizational Citizenship Behavior with Performance
Management System.
2. Relation between Employee Productivity with Performance Management
System.

4.3 RESEARCH METHODOLOGY

Table 4.1: Research Methodology

Research Design Descriptive Research Design
Sources of Data Primary Source
Data Collection Method Survey Method
Population Size 250
Sample Size 10
Sampling Method Non-Probabilistic Convenience Sampling Method
Data Collection Instrument Email

46
 4.4 RESEARCH QUESTIONS

Questions about PESTLE Analysis

1. What trading policies impact business?

2. How much does globalization affect your market share?

3. What technology is critical for your day-to-day operations? 

4. Do you depend on 3rd parties for any tech support or solutions?

5. Is the economy stable, unstable, or growing for your industry?

Questions about SWOT Analysis

1. What unique knowledge, talent or resources do we have in IDEX?

2. What are the strengths and weaknesses of employees?

3. What could HR team can improve?

4. How can HR team can turn strength of employees into opportunities?

5. How can HR team can turn weakness of employees into opportunities?

47
CHAPTER 5: DATA ANALYSIS AND INTERPRETATION

48
 5.1 PESTLE Analysis

 A PESTLE analysis is a framework to analyse the key factors (Political, Economic,
Sociological, Technological, Legal and Environmental) influencing an organisation
from the outside. It offers people professional’s insight into the external factors
impacting their organisation.
 A PESTLE analysis is a tool used to gain a macro picture of an industry environment.
  It allows a company to form an impression of the factors that might impact a new
business or industry.
 PESTLE analysis, which is sometimes referred to as PEST analysis, is a concept in
marketing principles. Moreover, this concept is used as a tool by companies to track
the environment they’re operating in or are planning to launch a new
project/product/service, etc.

49
5.2 SWOT Analysis

 SWOT Analysis is a simple but useful framework for analyzing your organization's
strengths, weaknesses, opportunities, and threats. It helps you to build on what you do
well, to address what you're lacking, to minimize risks, and to take the greatest
possible advantage of chances for success.
 SWOT (strengths, weaknesses, opportunities, and threats) analysis is a method for
identifying and analyzing internal strengths and weaknesses and external
opportunities and threats that shape current and future operations and help develop
strategic goals.
 The primary objective of a SWOT analysis is to help organizations develop a full
awareness of all the factors involved in making a business decision.

Benefits of SWOT analysis

 understand your business better.
 address weaknesses.
 deter threats.
 capitalise on opportunities.
 take advantage of your strengths.
 develop business goals and strategies for achieving them.

50
51
Result of analysis

PESTLE Analysis

1. What trading policies impact business? – Import and export policies in corona pandemic impact

business.

2. How much does globalization affect your market share? – Globalization leads to increase

competition and affect each and every business. Because it may be related to product and service cost

and price, target market, technological adaptation, quick response, quick production by companies

etc.

3. What technology is critical for your day-to-day operations? – Pneumatic technology is more

critical than power technology when we think about safety. Also Battery operated tools are easy to

handle and also we can use it in mobile place where pneumatic line is not possible.

4. Do you depend on 3rd parties for any tech support or solutions? – No

5. Is the economy stable, unstable, or growing for your industry? - Growing

SWOT Analysis

1. What unique knowledge, talent or resources do we have in IDEX? – We have different

employees from different fields and having firm knowledge in their respective field. Also all are one
team in Idex is unique.

2. What are the strengths and weaknesses of employees? – We in Idex having trust, team and
excellence that is our strength.

3. What could HR team can improve? - With more time, HR can focus on big-picture plans for
people and processes such as: Developing training programs so employees reach and exceed their
potentials.

4. How can HR team can turn strength of employees into opportunities? - If you give your
employees a purpose, it will be easier to motivate them, and they will become more successful. With
a clear purpose, they will easily understand the company's vision and they will be more eager to
execute their tasks and bring happiness to everyone.

5. How can HR team can turn weakness of employees into opportunities? – By understanding
problem and proper plan we can improve employee’s weakness.

52
 BIBLIOGRAPHY

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