PERFORMANCE APPRAISAL SYSTEM PERFORMANCE APPRAISAL SYSTEM INTRODUCTION TO HRM: Human Resource Management is basically concerned with the

peoples dimension in the organization. Here, people are treated as assets to be use for benefit of the organization. It refers to the set of programs, functions and activities designed ad carried out in order to maximize both employees as well as organizational effectiveness. HRM is the management of employees, skills, knowledge, talent, aptitudes, creative abilities etc. Here employees are treated as profit centers. Personnel Management is the planning, organization, and controlling of the procurement, development, compensation, integration, maintenance and separation of human resources to the end those individual, organizational and social objectives is accomplished. Human resource is considered to be the most valuable assets in any organization. It is the sum total of inherent abilities, acquired knowledge and skills represented by the talents and attitudes of the employed persons who comprise executives, supervisors, and the rank and file employees. It may be noted here that Human Resource should be utilized to the maximum possible extent in order to achieve individual and organization goals. Importance of HRM: HRM has a significant role in todays organization. It takes lead in assisting management with the peoples component of organization. It provides healthy work environment, it promotes teamwork in the employees, and provides maximum opportunities for personnel development. Human resource covers the following items: 1. Determining the competence need of personnel performing work

affecting product quality.

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2.

Identification of training needs of all personnel involved in production,

testing distribution and marketing belonging to different cadres of the organization and relevant documentation. 3. Heads of Department / Functional in-charge shall ensure that

personnel with the respective department performing work affecting product quality shell be competent on the basis of appropriate education, training, skill and experience and provide necessary human resource. 4. The Heads of Department shell asses the competence of personnel

before assigning a specific job to persons. 5. If required, the Heads of Department shall provide training or other

actions and evaluate the effectiveness of actions taken. 6. The Heads of Department shall ensure that the personnel are aware of

the importance of the assigned work to them and its contribution to the quality objectives.

7.

Manager-HRD shall maintain appropriate records of education, training, skills

and experience of personnel. INTRODUCTION TO PERFORMANCE APPRAISAL:

Once the employee has been selected, trained and motivated he is then apprised of his performance. Performance appraisal is the steps where the management finds out how effective it has been top communicated with the employee and rectify them. Employee appraisal techniques are said to have been used for the first time in the First World War when at the instance of Waller dill Scot the U.S army adopted man-to-man rating system for evaluating military personnel.

During the 1920-30 periods relational wage PERFORMANCE APPRAISAL structures for hourly paid workers SYSTEM were adopted in industrial units under this system the policy of giving grade wise increments on the basis of merit were accepted. These early employee plans were called merit rating program which continued up to the fifties however attention began to be devoted to the performance appraisal of the technical professional and managerial personnel.

DEFINITION: The term performance appraisal has defined by various authors, of these the widely accepted definitions are as follows: EDWIN B.FLIPPO defines performance appraisal as A systematic, periodic and as far as humanly possible an impartial rating of an employees excellence in matters pertaining to his present job and his potentialities for a better job. DALE S.BEACH defines performance appraisal, as It is a systematic evaluation of the individual with respect to his performance on the job and his potential for development. According to M.W.CUMMINGS performance appraisal or merit rating attempts to recognize and reward the personal abilities that an individual brings to the job, measured by the extent to which his output or quality of his work exceed the minimum that even reasonably be expected for his basic rate of pay. So it can be said that performance appraisal is the process of evaluating the employees performance on the job in terms of requirements of the job APPRAISAL PROCESS: STEP 1: Establishment of performance standards STEP 2: Communications of these expectations

STEP 3: Measurement of performance PERFORMANCE APPRAISAL SYSTEM STEP 4: Comparison of actual performance with standards STEP 5: STEP 6: Discussion of the appraisal with the employee Initiation of corrective action when necessary

Sub-ordinate and then have the subordinate accept the appraisal in constructive manner; appraising performances touches on one of the most emotionally changed activities the assessment of another individuals contribution and ability. The impression that subordinates

receive about their assessment has a strong input on their self-esteem and very important on considerably less difficult for the manager

and the subordinates than conveying the bad news that performance has been below expectations . In this context, the discussions of the appraisal this can have negatives as &the for well positives or motivational potentially the quality to for consequences, it provides a clear understanding to the superior about subordinates contribution as a capability improving contribute. It serves basis

performance of the executives in their present work. It helps to identify the strength to overcome weakness. Enables to locate the may stand on the problems which way of performance so that corrective action can

be taken to improve the performance. Enables the concerned executive to know, where he stands and to know his worth. Provides the basis for the superior to it direct enables his the subordinate subordinates to to accomplish understand the their performance, while

superiors expectations. THE BASIC PERFORMANCE APPRAISAL PROCESS: The basic appraisal process begins with the establishment of

performance standards i.e., objectives or goals which are the end points or the specific targets-qualitative, to be achieved by the individuals during the period of review. These standards are necessarily to be evolved based on the job analysis be and clear job description. As important already to set discussed; these goals should and

performance standards; rest the entire process may turnAPPRAISAL PERFORMANCE to be a futile SYSTEM exercise. care, therefore, should be taken to set challenging yet achievable goals keeping in view the overall corporate objectives and specific needs of the each business segments of the organization. Once the performance standards are established ,it is essential to

communicate these expectations to the concerned individuals, as the subordinates should not be left their wisdom the performance standards are properly to guess as to what is that the communicated to expected of them. While doing so, it should always be ensured

subordinates with due clarity and the subordinate has understood them with the purpose and intent with which such standards are set.

Therefore, feedback should be obtained invariably; or the very purpose of setting of goals will be defeated. Job rotation, which is an effective tool for enriching the knowledge base of the employees and making them versatile in all functional areas of the organizational activities, should be carried out synchronizing with the setting of goals at the with the half yearly review of the performance. Having set the performance standards and properly communicating them to the employees in clear terms, the next step is to measure the actual performance, it is necessary to acquire detailed information through various sources like personal observation, statistical report, oral report and written report. Although each of these sources of information has its own limitations. The culmination effect of all these sources increases the portable reliability of the information. Once the actual performance is compared with the set goals and derived the deviations if any, the next step is to discuss the appraisal with the concerned employee. This task is very crucial and equally sensitive to the appraiser, in as much as one of the most challenging tasks facing todays managers is to frankly present the actual performance to the subordinate and then have the subordinate accept beginning of the year or

the appraisal in its true spirit. The PERFORMANCE APPRAISAL the impression received by SYSTEM subordinates about their assessment has a strong impact on their selfesteem and thus is very important for their subsequent performance. of course, conveying news about the excellent performance is a welcome feature than to convey the news about the low performance appraisal document as privileged and confidential are thereby leading to avoidable gap between superiors expectations and subordinates actual

performance as perceived by the superior. This sort of practice would not serve the real purpose, which the system has been devised for. Hence, it is imperative on the part of the management to create on atmosphere of Openness and transparency in the system, which drives the superior to judge the performance, based purely on the actual and not only by subjective factors such as individuals likes and dislikes.

OBJECTIVES OF THE STUDY: The following are the specific objectives behind taking up of the study in this organization:

To study and analyze the performance appraisal method prevailing in the organization.

To study the effectiveness of the performance appraisal methods used in Organization

To know how best these methods help the organization in achieving the goals.

To suggest if any, to enhance the performance appraisal methods in Organization.

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SCOPE OF THE STUDY: The study enables me to understand the practical way of implementing the performance appraisal system. This study helps the organization to identify the areas to improve their performance appraisal system in tune with the employee requirements. The present study makes a comparison of the old performance appraisal with the new performance system and how the new performance system is a best fit for the present industry trends. The study covers the employees who are in the arena of the new performance appraisal system. The departments included such as personnel, administration, finance, nursing and other associated departments of global hospitals.

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IMPORTANCE: Performance appraisal has been considered as the most important and significant tool for the information it provides is highly useful in making decisions regarding personal aspects such as promotions and merit increases. Performance measures also link information gathering and decision making process, which provide a basis for judging the effectiveness of the personnel sub-divisions such as recruiting, selection, training and compensation. Accurate information plays an important role in the organization as a whole. They help pinpoint weak areas in the primary areas. It is easy for managers to see which employ needs training or counseling because jobs are grouped by categories. These performance data is available management can maintain consistent promotion and compensation policies throughout the system. Below are given reasons why the experts think performance appraisal is important: 1. They provide systematic judgments to back up the salary increases, transfers, demotions or terminations.

2. There are means of telling a subordinate how he is doing and PERFORMANCE APPRAISAL SYSTEM suggesting needed changes in his behavior, attitude, skills or job knowledge. They let him know where he stands with the boss. 3. The superior uses them as a base line for catching and counseling the individual. According to Cummins the objective of performance appraisal is to improve the efficiency of the enterprise by attempting to mobilize the best possible efforts from individuals employed in it. Such appraisal has four objectives including salary reviews, the developments and training of individuals, planning job rotation and promotions. On the basis of merit rating or appraisal procedures of various companies in India, the main objectives of performance appraisal are: 1. To enable an organization to maintain inventory of the number and quality of all managers and to identify and meet their training needs and Aspiration.

2. To determine increments and to provide a reliable index for promotions and transfer to greater responsibility. 3. To maintain individual and group development by informing the

employees of their performance standard.

4. To suggest ways of improving employees performance when he is not

found to be up to the mark.

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LIMITATIONS: Accuracy of the report is completely dependent on the employees respondents. The study is limited to only Hyderabad branch. An in depth study couldnt be conducted because of the limited time period.

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COMPANY PROFILE Zestwings group started with an objective to discover innovation in addressing the technological needs. Our first innovation ZestU made us close to many undiscovered horizons in the field of information technology. Our product ZestU is a sms innovation started in the view of serving the growing popularity of the mobile publicity. With our unbending quality of service, vivacious marketing strategies supported by sheer technical brass we could, in no time acquired a larger market share within Andhra Pradesh. Presently we proudly serve sms needs of more than one thousand corporate and many more individuals across the country. We started adding creative brains to our technical ground and diversified our presence into web development & maintenance, ERP solutions, custom application rendering and API management. At zestwings we give every opportunity for nurturing innovation. We cultivate passion for excellence and always strive for the best possible outcome.

We cross our Hearts saying: PERFORMANCE APPRAISAL SYSTEM Live your Idea. Endeavor is ours. Rationale - Why we are here: We endeavor to technovate the process of conducting regular business & profession. We aspire to add unique touches of technology and make our clients job much easier than ever. Vision - Our anthem of Motivation: Zestwings wishes... Let our Thoughts go Blue... Let our Aims be at Great heights...

Let our Brains keep Innovating... Let our Creativity show Difference... & Let our Passion be Unending... Strengths and core Competencies: At zestwings we anticipate the technological needs of organizations of every scale and individuals as well. We are proficient in latest web technologies and our core skills can be listed under design, web application development, API development and integration, Dynamic websites, PHP, JavaScript, Ajax, .NET. We contemplate our technical expertise and creativity in creating exquisite applications for our clients. We deliver spotless products while maintaining from our end - product the industry standards. We encourage feedback to the clients always. Verticalisation of IT services is a definitive emerging trend and users are demanding services tailored to their needs. Mature IT customers are

clients for further improvisations in the product; our support team is at service

today looking for total solutions that can solve their business challenges PERFORMANCE APPRAISAL SYSTEM rather than at IT hardware, software, and services as discrete elements. At zestwings we offer to develop new or customize existing offerings to address the specific needs of each vertical / market segment. Such an based on solution-orientation, is enables zestwings team sustainable value to customers. Future Projection: There was a strong perception among a majority of the CIOs that domestic customers were not a focus area for IT service providers and that the IT service providers rarely offer Indian customers the kind of commitment and expertise that they provide their large (and necessarily more lucrative) innovations global customers. Zestwings strongly believes in the potential of domestic market which forms the main target for the technological offered by us. While adding value its regular services in existing market zestwings is looking to venture into new verticals as well. Our team is putting its efforts approach, to offer

to introduce propitious and economical products in the domestic market. We would India in near future. Services The below listed are the services we have been offering so far. We are in a process to ascent the zenith in these fields while advancing our presence in various services. Web Solutions: End-to-end website development and maintenance solutions blended with logo design, database integration, API integration and hosting solutions. We provide these services on PHP, SQL, .NET platforms. other like to represent ourselves in the frontlines of technology market in and from

Application Development: SYSTEM

PERFORMANCE APPRAISAL

We deliver value to our customers by building web applications and integrating databases for a variety of corporate clients, using the .NET and PHP platforms. We are as well proficient in developing custom application as per the customers needs. Bulk SMS Solutions: We are one of the leading bulk SMS aggregators across the country serving more than one thousand Corporates. We support a long chain of SMS resellers apart from direct clients through our SMS gateway.

METHODOLOGY Data is collected in the form of survey method with the help of questionnaire. Taking the sample size as 100 employees. Sample technique: convenience sampling. Questionnaire: open ended and closed ended questions.

SAMPLE SIZE: SYSTEM The well-structured employees. SAMPLE UNIT:

PERFORMANCE APPRAISAL questionnaire with a sample size of 100

The sample unit i.e., total employees in the organization were 600 of which was taken as the sample size. So that it would confine to 40% of the total sample unit. SAMPLE METHOD: The primary data was collected through the opinions of the employees and the questionnaire method and the findings are made by the percentage method. The research was conducted through various statistic tools and techniques.

PERIOD OF THE STUDY:

This study was done within 45 days of period. done. FIELD WORK:

This study an indication about the accuracy with which the investigation was

FRAME WORK OF STUDY: Percentage method has been used to analyses the collected data based on the convinces of the available sample the percentage has been evaluated.

SOURCES OF DATA PRIMARY DATA: Data collected from employees through questionnaires, Interviews and discussions with staff with open ended and close ended questions.

SECONDARY DATA: PERFORMANCE APPRAISAL SYSTEM The data include information obtains from the other external sources like magazines, other publications and internet, annual reports, circulars, journals, information brochures and other literature of the company

QUESTIONNAIRE 1) Are you aware of the New Performance Appraisal System in your Organization. A) Agree B) Partly agree C) Partly disagree D) Disagree

2) Are you clear about the policies, procedures involved in the New Appraisal PERFORMANCE APPRAISAL System. SYSTEM A) Agree B) Partly agree C) Partly disagree D) Disagree

3) The New Performance Appraisal system is Good but depends on how it is implemented. A) Agree B) Partly agree C) Partly disagree D) Disagree

4) The New Performance Appraisal System identifies even the small factors of performance which were not included in the previous format. A) Agree B) Partly agree C) Partly disagree D) Disagree

5) The New Performance Appraisal system is helps in identifying our performance and to analyze our work effectively. A) Agree B) Partly agree C) Partly disagree D) Disagree

6) The New Performance Appraisal system is definitely an improvement over the previous systems in terms of co-ordination from the supervisor for facilitation of work. A) Agree B) Partly agree C) Partly disagree D) Disagree

7) The performance appraisal system is not desirable for the company. A) Agree B) Partly agree C) Partly disagree D) Disagree

8) The new appraisal system offers an opportunity for you to discover your strength and weakness. A) Agree B) Partly agree C) Partly disagree D) Disagree

9) What Problems did you experience during self appraisal? APPRAISAL PERFORMANCE SYSTEM Found self appraisal easy or had no problems. A) Agree B) Partly agree C) Partly disagree D) Disagree

10) Is the New Performance Appraisal System Motivates. To improve your performance A) Agree B) Partly agree C) Partly disagree D) Disagree

11) The appraiser is the right person to appraise your performance. A) Agree B) Partly agree C) Partly disagree D) Disagree

12) The new appraisal system provides for a frank discussion between the appraiser and the appraise A) Agree B) Partly agree C) Partly disagree D) Disagree

13) The new method is giving regular feedback about their potential for higher level of jobs. A) Agree B) Partly agree C) Partly disagree D) Disagree

14) This system is identifying training & development systems. A) Agree B) Partly agree C) Partly disagree D) Disagree

15) The organization has got effective communication for execution of the New Performance Appraisal. A) Agree B) Partly agree C) Partly disagree D) Disagree

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BIBLIOGRAPHY BOOKS: TEXR BOOK APPRAISING AND DEVELOPING MANAGERIAL PERFORMANCE HUMAN K.ASWANTHAPPA TATA McGraw-Hill 1992 AUTHOR NAME T.V.RAO PUBLISHER EXCEL YEAR 1998

RESOURCE AND SYSTEM PERSONNEL MANAGEMENT WEBSITES:

PERFORMANCE APPRAISAL

www.performanceappraisal.com www.hrd.com www.google.com www.wikipedia.com