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Ambarish Final

Apr 06, 2018

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Vikas Nidhi
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    ABSTRACT

    It is a well-established fact the people differ in their abilities and

    aptitudes. These differences are natural to a great extent and cannot be eliminated

    completely by giving them education and training. There will always be some difference

    in quality and quantity of work done by different employees. Therefore it is necessary for

    the management to know these differences so that it may develop certain programs in the

    organization for those employees who posses better potentials so that they may be

    developed to accept the challenges of higher jobs or wrong placement of employees may

    be rectified .The individual employee may also like to know his capability in terms of his

    performance on his capability in terms of his performance on the job qualitatively and

    quantitatively in comparison to his fellow employees so that he improve upon it.

    No firm has a choice as to whether or not it should appraise its personnel

    and their performance but the choice lies between the systematic and the unsystematic or

    casual appraisal. The system of appraising the man is not new but the systematic

    approach of evaluating the man is by any means a new development .The technique of

    appraising the man by supervisors or others is widely known as Performance Appraisal

    .It is also sometimes termed as Personnel Performance Evaluation, Merit Rating.

    Thus main objective of the project is to study the Performance Appraisal

    process being practiced in United Breweries Limited and evaluate its effectiveness. This

    project aimed at finding out effectiveness in terms of familiarity, and satisfaction level of

    performance appraisal among the employees United Breweries Limited. The project

    also focuses on finding out how performance appraisal is matching in meeting the

    companys goals and objectives.

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    METHODOLOGY

    The research methodology used in the project is the descriptive

    approach and it is done among 200 employees .The main sources through which data is

    collected are

    1.Primary data

    2.Secondary data

    The data collected for this research is through primary data collection method.

    The instrument used for collecting primary data isstructuredquestionnairefilled up

    by the employees

    Statistical tools were used to find inferences between the

    variables and analyzing the results. The following are the tools used.

    1) Kalmograv Smirnov Test2)

    Chi Square test (

    2

    )3) Spearmans Rank correlation

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    INTRODUCTION

    An organizations goals can be achieved only when people put in

    their best efforts .How to ascertain whether an employee has shown his or her best

    performance on a given job?. The answer is Performance Appraisal. Employee

    assessment is the fundamental job of HRM, but not easy one though.

    Thus Performance Appraisal is the systematic evaluation of the

    individual with respect to his or her performance on the job and his or her potential

    for development .The performance is being measured against such factors as Job

    Knowledge, quality, initiative, leadership abilities, supervision, co-operation, versatility

    etc.

    It is systematic in that it evaluates all performance in the same manner

    utilizing the same approach so that the ratings obtained to separate personnel are

    comparable. It is undertaken periodically according to plan .The essential purpose is the

    accurate measurement of human performance It attempts to reduce, if not eliminate

    human bias and prejudice, by means of a system that is subject to impartial review and

    check.

    Often such personnel performance appraisal are labeled as ratings wherean individual employee, after comparison with another, is rated or ranked as Excellent,

    normal or average and are commonly used for determining an employees eligibility for

    promotion or transfer and widely being used for the development of the individual.

    Any appraisal program will involve time and money .The

    wise manager should plan up a program with the minimum cost to give maximum benefit

    .The rationale for using any particular method should be determined by the size ,financial

    resources ,and philosophy of the organization .

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    Appraisal can be made by one or more superiors or subordinates or

    by the peers .There can also be committee of members from various related departments

    to appraise an employee. There may even be a system of self appraisal in which each

    employee evaluates his own performance and potential.

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    STATEMENT OF THE PROBLEM

    To evaluate is to assess the worth or value. In social life, we generally

    evaluate or appraise the behavior of others in relations to our own needs or goals.

    Appraisals are judgments of the characteristics ,traits and performance of others. On the

    basis of these judgments, we assess the worth or value of others, and identify what is

    good and bad.

    In industry, performance appraisal is a systematic evaluation of personnel

    by supervisors or others familiar with their performance because employers are interested

    in knowing about employee performance. Employees also wish to know their position in

    the organization. Appraisals are essential for making many administrative decisions:

    selection, training ,promotion ,transfer ,wage and salary administration ,etc .Besides ,they

    aid personnel research .Performance appraisal thus is a systematic and objective way of

    judging the relative worth or ability of an employee in performing his task .Performance

    appraisal helps to identify those who are performing their assigned tasks well and those

    who are not and the reasons for such performance .

    Differentiating between individuals is easy provided one knows what

    aspects to take into account. Identifying performance measures is easy if job is clearlydefined but difficult if it is broad. At the lower levels of an organization, there are

    specific jobs and certain tangible and objective standards of performance can be

    identified. Further up in the hierarchy, jobs become more complex and clearcut, tangible

    standards of performance are difficult to specify.

    Irrespective of the level by and large, most companies use various

    parameters for measuring the performance like quality of work, quantity of work, job

    Knowledge, meeting the job requirements, initiative, team working, communicative etc.

    And they would be rated in accordingly quarterly, half yearly or annually depending on

    companys policies.

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    Many companies would have a standard format for appraising the

    performance. Ironically many of the employees would not know the norms of the

    appraisal and to the surprise many of them may not be fully familiar with contents of the

    appraisal form. This would be great hazel for the company as well as to the employeesbecause if the employee is not aware of what basis he is appraised, he may not put up all

    his efforts for better improvement which indirectly effects the companies profits by not

    meeting the companies objectives and targets.

    Thus this project A Study On Effectiveness of Performance System

    aims at complete study on performance appraisal system and finding out effectiveness of

    the system in terms of familiarity and satisfaction level of the employees in UNITED

    BREWERIES LIMITED,Bangalore.

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    OBJECTIVES OF STUDY

    To find out the effectiveness of PA system

    To Know employee satisfaction on PA system

    To suggest improve the employee satisfaction on PA system

    To find the opinion of employees on various factors involved in PA system

    To find out the openness of personal department in PA

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    REVIEWOF LITERATURE

    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 at hiring and placing employees .If any problems are identified steps

    are taken to communicate with the employee and to remedy them. A Performance

    Appraisal is a process of evaluating an employees performance of a job in terms of its

    requirements.

    It is the process of evaluating the performance and qualifications of the

    employees in terms of the requirements of the job for which he is employed, for purposes

    of administration including placement, selection for promotion, providing financial

    rewards and other actions which require different treatment among the members of a

    group as distinguished from actions affecting all members equally.

    _ Heyel

    Performance Appraisal seeks to provide an adequate feedback to each individual

    for his or her performance. It purports to serve as a basis for improving or changing

    behavior toward some more effective working habits .It also aims aat providing data tomanagers with which they may judge future job assignments and compensation

    -Levinso

    Performance Appraisal determines who shall receive merit increases; counsels employees

    on their improvement ,determines training needs ,determines promo ability, identifies

    those who should be transferred

    -Ronald Benjamin

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    PURPOSE OF APPRAISAL

    y It can serve as a basis for job change or promotion

    y By identifying the strengths and weakness of an employee it serves as a guide for

    formulating a suitable training and development program

    y It serves as a feedback to the employee

    y It serves as an important incentive to all employees

    y The existence of regular appraisal system tends to make the supervisors and

    executives more observant of their subordinates

    y Performance appraisal often provides the rational foundation for payment of

    salaries and bonus

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    ESSENTIALS OF GOOD APPRAISAL SYSTEM

    It must be easily understandable An appraisal plan must be integrated into the

    organization so as to have clear cut relationships between the appraisal plan and

    organization policies relating to performance of the employees.

    It must have the support of all line people who administer it The system should fit the

    organizations operations and structure The system should be both valid and reliable

    The system should have built in incentives that is a reward should follow satisfactory

    performance

    The system should periodically evaluated to be sure that it is continuing to meet its

    goals

    What should be Rated?

    The seven criteria for assessing performance are:

    1. Quality

    2. Quantity

    3. Timeliness

    4. Cost Effectiveness

    5. Need for supervision

    6. Interpersonal impact

    7. Training

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    Trends in employee Appraisal

    ITEM FORMEREMPASIS PRESENT EMPHASIS

    Terminology Merit Rating Performance Appraisal

    PurposeDetermine qualifications for

    wage increase, transfer,

    promotion, lay- off

    Development of the individual,

    improved performance on the job,

    and provide emotional security

    Application For hourly paid workersFor technical, professional and

    managerial employees

    Factors RelatedHeavy emphasis on

    personal traits

    Results, accomplishments,

    performance

    TechniquesRating scales, Statistical

    manipulation of data for

    comparison purpose

    Mutual goalsetting, critical

    incidents, group appraisal,

    performance standards, less

    quantitative

    Post Appraisal

    Interview

    Superior communication his

    rating to employees and tries

    to sell his evaluation to him;

    seeks to have employee

    conform to his view

    Superior stimulates employee to

    analyze himself and set own

    objectives in line with job

    requirements superior is helper

    and councilor

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    Approaches to Performance Appraisal:

    1. A casual ,unsystematic and haphazard appraisal: This method was commonly used

    in the past .The basis of this method are seniority or quantitative measures quantity andquality of output for the rank and file personnel

    2. The traditional and highly systematic measurement: This measures the employees

    characteristic and employee contributions or both. It evaluates all the performances in

    the same manner ,utilizing the same approach so that the ratings obtained of separate

    personnel are comparable

    3. The behavioral approach ,emphasizing mutual goal setting: here emphasizes has

    been laid upon providing mutual goal setting and appraisal of progress by both the

    appraiser and the appraise .This approach is based on the behavioral value of

    fundamental trust in the goodness ,capability and responsibility of human beings.

    The Evaluating Process

    The process of performance appraisal follows a set pattern viz, a mans performance is

    periodically appraised by his superiors. Questions are raised .Is his potential the greatest as

    a manager or as a staff specialist? What are his strengths and weakness? Where can he

    make his great contribution? Next sometimes in consultation with the man himself,tentative decisions are made on what might be done to advance his development.

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    Thus the process would involve following steps

    ESTABLISH PERFORMANCE STANDARDS

    COMMUNICATE PERFORMANCE EXPECTATIONS TO EMPLOYEES

    MEASURE ACTUAL PERFORMANCE

    COMPARE ACTUAL PERFORMANCE WITH STANDARDS

    DISCUSS THE APPRAISAL WITH THE EMPLOYEE

    IF NECESSARY, INITIATE CORRECTIVE ACTION

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    TOOLS/METHODS FOR APPRAISING PERFORMANCE:

    Several methods and techniques of appraisal are available for the measurement of theperformance of the employee .The methods and scales differ for obvious reasons

    1. They differ in the sources of traits or qualities to be appraised.

    2. The variations may be caused by the degree of precision attempted in an

    evaluation.

    3. They may differ because of the methods used to obtain weightings for various

    traits.

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    Methods of Performance appraisal

    TraditionalMethods ModernMethod

    Straight Ranking Assessment Centres

    Man-to-man Comparison Behaviorally Anchored

    Grading Rating Scale

    Force choice Description

    Graphic Rating Scales

    Forced distribution Method

    Check Lists

    Free Form Essay Method

    Critical Incidents

    Group Appraisal

    Field Review Method

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    COMPONENTS OF APPRAISAL EVALUATION

    Who of the Appraisal

    What of Appraisal

    The Why of Appraisal

    The When of Appraisal

    The where of Appreciation

    Common Pitfalls in Appraisal:

    There is often tendency to rate not only the employee but also the job

    Errors are introduced in the appraisal because of a defect or bias in the person

    conducting the appraisal

    As Appraisal are in fact opinions ,it is difficult to remove from the subjective element

    whilst making the judgment

    Performance appraisal do require a lot from the supervisor as they require periodic

    observation of subordinates performance by them which becomes difficult in case of a

    first line superior have a large number of subordinates

    There is often a large variations in the standards and ratings because some raters are

    toughwhere as others are lenient

    There is often lack of communicationwhere by the employee does not know how he

    is rated

    Often Superiors are reluctant to give a low rating to ineffective subordinate and gives

    him an average rating

    Sometimes communication of the rating of the employee if done properly would be

    taken as criticism and may even result in his performing more poorly

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    LIMITATIONS OF THE STUDY

    The researcher has made efforts for an errorless study but the following limitations were

    occurred

    The survey was restricted to only in United Breweries Limited and the sample

    size was 200

    There may be some changes if the sample size and the geographical

    segmentationwere increased

    Time was a handicap for a detailed study

    A few respondents might have been given biased information,which may affect

    the reliability of the results

    Unwillingness and inability of the respondent to provide information

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    COMPANY PROFILE

    History of UB & recent developments:

    On March 5I1 9 5 Mr. Thomas Leishman purchased 5breweries in South India (the oldest of

    which is Caste Breweries, dated back to 1857) to form United Breweries Ltd & its

    registered office was at Chennai . Immediately the brew from UB became a favorite,

    especially with the British troops around Madras, Bangalore and the Nilgiris. So began the

    history of Beer in India and the history of Beer Division of United Breweries. The company

    was bought by late Mr.Vittal Mallya in 1947, and since then has never looked back. In 1952

    the Company shifted its registered office from Madras to Bangalore In 1988 the name of the

    Company was changed from United Breweries Ltd. to UB Ltd. In 1989 a a measure ofdiversification, the Company started manufacture of bulk drug, and pharmaccuticals on a

    priority basis. In 1992. II different breweries were amalgamated with the parent company.

    Today each one of the 32,000 Beer outlets in India sells one brand or the other from United

    Breweries.

    UB is the market leader in the Indian beer market with a 40% market share. Its flagship

    Kingfisher brand alone commands 25% market share. UB is in the process of strengthening its

    core brands. UB has formed as new subsidiary. Millenium Alcobev, to develop strong

    regional markets for its beer brands. It launched a new brand King Fisher Gold during the

    year. The company has also tied up with some of the breweries of Mohan Meakins for beer

    manufacturing. Recently it has also acquired 31% stake in Inertia industries manufactures of

    Sandpiper beer.

    Background & inception of the company:

    KBIL as established in January 21st 1986 by acquiring a sick unit & an IMFL unit located in

    9th

    mile Peenya Industrial estate. It had a share capital of Rs 15 Cr divided into 5,00,000

    equity shares. Its reiste1ed Head Office was located at 9 th mile Tumkur Road, by additional

    funds it started manufacturing reputed brands like MC Dowell, DSP in the country. The

    company set up a most modern brewery in the South Asia at 20th

    mile ,Tumkur Road

    Bangalore . Until 1994 the concern was restricted to hot drinks only In 1994 when UB group

    took bottling Unit on lease for kingfisher beer the capacity ot the plant was 3,00,000-3,50,000

    cases Imonth.

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    Expansion occurred in three phases to become one of the largest Beer manufacturing unit in

    India

    In 2002 11cm 3,5O.OOO to 5,50,OOO cases / month

    In 2003 from 5.5OOOO to 7,50,000 cases /month.

    In 2006 From 7,50,000 to 9,5O,OOO cases Imonth.

    UB group has taken over the K.B.D.L plant in January 2007 from Mr. Adikeshaw and after

    amalgamation in the April 2007, Brewery section name is retained as Karnataka Breweries &

    Distilleries Pvt Ltd., whereas IMFL section in called KBD Sugars & Distilleries Pvt Ltd.,

    This acquisition of K.B.D.L funded from the each raised through the strategic alliance with

    Scottish & New castle Ple., UK & City Bank.

    Also approved unanimously was the special resolution on the issuance of 3,779,522 equity

    shares of Rs. 10 each to Scottish & New castle India Limited (SNIL) constituting 17.5% of

    the post issue equity share capital. In addition, the company was also authorised to issue

    Warrants convertible into a maximum of

    5,109.198 equity shares at Rs. 575 per share within a period of 18 months from the date of

    issue. Pursuant to SNIL agreeing to subscribe to these equity shares. SNIL would make an

    open offer to the public to acquire up to 20% of the total post issue, paid up equity share

    capital.

    UB Limited would also allot Preference Shares of Rs.100 each to SNIL as follows:

    a) 17.283.000.3% Cumulative Redeemable Preference Shares- Series A of Rs. 100 eachat a price of Rs. 100 each and.

    b) 7,407.000.3% Cumulative Redeemable Preference Shares- Series B of Rs. 100 each at

    Rs.1000 each.

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    Nature of business carried out

    Business description

    U.B Holdings (UBH) the holding company of the Rs 45bn Group,

    UB Networks (Bangalore)

    The Asian Age (South) Ltd

    UB Global Corporation Ltd

    M.C.F Agro Chemicals Mangalore.

    UB Information & Consultancy Services

    UB Transit Systems Ltd

    UB General Investments Ltd

    UB Pharmaceutici1s Ltd. MWP Ltd

    UB Publications Ltd

    Low cost Kingfisher Airline

    The Company is accredited with following internationally acclaimed

    standards

    UB Ltd., is a ISO 9001-2000 ISO 1400 OSHAS 18001 certified company. . It is one of the

    largest plant is India which has further capacity for expansion up to 10.11 kh cases/ month.

    The Groups principal activity is the production & sale of Beer.

    Continual improvement in Environmental Management Systems to protect our natural

    environmental and control pollution.

    Promotion of activities of conservation of resources by Environmental Management

    Enhancement of Environmental awareness amongst our employees, customers and

    suppliers.

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    Assist and co-operate with concerned Government agencies I Regulatory bodies

    engaged in environmental activities offering BHELs capabilities to the field

    QHSAS 18001 :

    Occupational Health and Safety Policy

    UB Ltd., is committed to provide safe and healthy working environment to all

    employees as an integral part of business performance through setting objectives and

    targets to eliminate! control! minimize risks due to occupational and safety hazards

    VisionMission & Quality policy

    Vision

    To create 1 FORCE Ic.. to build a integrated , committed, competent team of work force to

    perform and there by retain the leadership position iii the business by meeting the

    consumer expectations.

    Mission

    We are a large, international group based in India. We operate a broad spectrum of

    business in association with world leaders.

    We will be the recognized leader in our target markets.

    We will be the preferred employer wherever we operate.

    We recognize that people are our most valuable asset.

    We will he the partners of choice for customers, suppliers, and other creators of

    innovative concepts

    We will be a major contributor to our National Economy and take full advantage of

    the strong resource base that we have.

    We will continually increase the long-term value of our group for the benefit of our

    shareholders.

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    We will operate in a decentralized manner, allowing each business to develop

    within our values.

    We commit ourselves to the ongoing mission of achieving scientific Excellence.

    Quality policy

    Quality leadership is vital to the long-term success of the UB group in an

    increasingly competitive market place.

    Building Quality into our work place, products and services is essential to a

    successful future for our customers, suppliers, communities, and shareholders.

    The UB Group will work to provide products and services that always meet or

    exceed expectation.

    Management will commit resources and create environment in which each

    employee can contribute skills. talents and ideas to a never-ending of improvement

    and investment in all aspects of our business.

    Philosophy

    United Breweries Ltd. believes in the Japanese 5s Philosophy. They are

    SEIRI SORTING

    SEITON SYSTEMATIZING

    SEISO CLEANING

    SEIKETSU STANDARDISING

    SITSHUKE SELF DISCIPLINE

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    Product profile

    1 King fisher 650 ml Brown

    2 London Pilsner (S) 330 ml

    3 KFPL 330 ml Brown

    4 KF (S) 330 ml

    5 KF (S) Brown 650 ml

    6 Sand Piper 650 ml

    7 KF (S) Super 330 ml

    8 Jaguar 330 ml

    9 UBEL 650 ml

    10 Charger 650 ml

    11 KBL (S) 650 ml

    12 KF (P) 650 ml diet

    13 KBL (P) 650 ml

    14 Ice Premium -

    15 Zingaro -

    Competitors information

    South African Breweries India Ltd (5th

    largest in world)- Knock-Out, Continental and

    Three Lions

    Shaw Wallace- Royal Challenge Premium Lager, Lal Toofan, Hi- Five, Haywards

    2000 Premium Lager Haywards 5000 Super Strong.

    Australian- Fosters Beer.

    Other Local brands in the country- Golden Eagle, Carling Black Label, and Maharaja

    Premium Lager etc

    Infrastructure facilities

    Head Office (Marketing & Finance Departments) in Bangalore

    Plant is located neat Highway (NH- 4 )

    Layout total area measurement 42 acres

    Well maintained Tenp1e, Garden & Plantation

    High speed intranet facility called Navision ( Microsoft )

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    R & D facility.

    State of art automated Plant

    Capacity plant 9.6 lakh cases /month

    Highly automated Bottling & Packing unit.

    Large Ware house facility.

    Utilities -Boiler -16 T/hr . Refrigeration unit-600 TR, WTP-60m3

    /hr, D.M.P-25m3/hr.

    Achievements

    The largest selling Beer in India & Commands a 30% market share in the country.

    Availablein 52 countries across the globe.

    6 bottles of Kingfisher arc sold every second in India

    The first among Indian brands to lunch its own range of designer wear.

    The only Beer in India that can be purchased online.

    First to launch ready todrink low alcoholic beverages.

    AWARDS

    Won the Worlds best Lite Lager Award at the Stockholm Beer Festival in 1994.

    Won the Worlds best Lite Lager Award at the Stockholm Beer Festival in 1995.

    Won the Gold medal at the World Beer Championship held in Chicago in 1997.

    Won the first prize for the label work category at the Asian Grand Prix Cyrel 2000

    Label award.

    Won Prize in the International Beer Awards organised by the New Zealand Hop

    Marketing Board.

    Won the Bronze award at the Australian International Beer Awards in the

    International Packaged Beer Section for the year 2000.

    Future growth & progress

    There is a proposal [or the expansion by the end of the year from the existing 9.5 lakh

    cases /month to 1 0. 1 lakh cases month. There is ample of opportunity to adapt new

    technology which will increase the efficiency of the plant & helps to manufacture quality

    product to meet the future market trend. They are also into R & D work to increase the

    shelf life of the Beer ,so that it could be easier to store for a I anger period & able to

    market it properly in different places

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    RESEARCH METHODOLOGY

    The following points are considered in carrying out the research.

    A. RESEARCHMETHODOLOGY:

    A research design is purely ad simply the framework a plan for a study

    that guides the collection and analysis of the data.

    Descriptive Research

    Here the research is been done on 200 members through a media of

    questionnaire

    B. DATACOLLECTIONMETHOD:

    The main sources through which data is collected are

    1.Primary data

    2.Secondary data

    The data collected for this research is through primary data collection method.

    The instrument used for collecting primary data is questionnaire from the

    employees.

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    E.SAMPLINGTECHNIQUE

    Non probability (non random ) sampling method is used in this project.

    F. STATISTICAL TOOLS USED:

    Statistical tools were used to find inferences between the variables and

    analyzing the results. The following are the tools used.

    1)spearmans rankCorrelation 2)

    Kalmograv Smirnov Test 3) Chi

    Square test (2)

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    DATA ANALYSIS&

    INTERPRETATION

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    TOOLS USED FOR ANALYSIS

    KALMOGROV SMIRNOV TEST

    The Kalmogrov Smirnov Test (KS Test) tries to determine if two data sets

    significantly. The KS test has the advantage of making no assumption

    about the distribution of data. (Technically speaking it is non-parametric and

    distribution free).

    It is a goodness of fit used to examine the distribution function of the random

    variable (X).

    Test statistics T = Sup | F (x) S (x) |

    = Supremum of the absolute value of the difference between

    F (x) and S (X)

    H0 is rejected if T exceeds the 1 quantile (W1 - ) of the Kalmogrov Smirnovs

    Statistic.

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    TO FIND OUT THEDISTRIBUTION OF RESPONDENTS

    RATING PATTERN ABOUT WHETHER PRESENT PA

    SYSTEMIS TO BEIMPROVED

    H0: Response Pattern obtained is uniformly

    distributed

    H1: Response Pattern is not uniformly

    distributed

    Opinion F (x)Cumulative

    Percentage

    Null

    Hypothesis S(x)

    Cumulative

    Percentage

    Differe

    F(x) S

    STRONGLY AGREE 0.18 0.18 1/5 0.2 -0.02

    AGREE 0.34 0.52 2/5 0.4 0.12

    NEITHER 0.24 0.76 3/5 0.6 0.16

    DISAGREE 0.16 0.92 4/5 0.8 0.12

    STRONGLY DISAGREE 0.08 1 5/5 1 -

    TEST OF UNIFORM DISTRIBUTION

    Calculated Value is:

    T (F (x) S (x)) = 0.16

    Tabulated Value is

    T (tab) = 1.22 / "n for 5 % significance level.

    When n = 5, T (tab) = 0.5456

    Calculated value is less than tabulated value. H0 is accepted.

    INFERENCE: Response pattern obtained is uniformly distributed.

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    CHI SQUARE TEST

    Chi Square is an importance non parametric test and as such no test are

    necessary in respect of the type of population. We require only the degree of freedom(implicity of course the size of the sample) for using this test. As a non parametric test,

    Chi square can be used (i) as a test of goodness of fit and (ii) as a test of independence.

    Since the researcher used test of independence only the details about test of

    independence is given below.

    TEST OF INDEPENDENCE

    2

    test enables us to explain whether or not two attributes are associated. In order

    that we may apply the chi square test either as a test to judge the significance of

    association between attributes, it is necessary that the observed as well as theoretical or

    expected frequencies must be grouped in the same way and theoretical distribution must

    be adjusted to give the same total frequency as we find in case of observed distribution.

    Karl Pearson developed a test for testing the significance of discrepancy between

    experimental values and the theoretical values obtained under some theory or hypothesis.

    This test is known as 2

    test of goodness of fit. Karl Pearson proved that the statistic

    2

    = (O E)2

    / E

    O Observed Frequency

    E Expected Frequency

    2

    is used to test whether difference between observed & expected frequencies are

    frequent.

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    To find 2

    table value degree of freedom should be calculated. Degree of freedom

    is calculated using the formula (r 1)(c 1). The table value for this degree of freedom is

    seen using 5% or 1% of significant level. If 2

    table value is greater than 2

    calculated

    value, Null Hypothesis is accepted or Null Hypothesis is rejected.

    To determine whether there is significant difference between gender & whether PA

    is inherently unfair

    Ho: There is no significant difference between gender & whether PA is inherently unfair

    H1: There is significant difference between gender & whether PA is inherently unfair

    GENDER

    CHOICE

    MALE

    FEMALE

    TOTAL

    NO OF RESPONDENTS

    YES NO

    28 104

    20 48

    48 152

    TOTAL

    132

    68

    200

    Expected Frequencies are:

    (48 * 132) / 200 = 31.68 (152 * 132) / 200 = 100.32

    (48* 68) / 200 = 16.32 (152 * 68) / 200 = 51.61

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    SUMMARY

    &

    CONCLUSION

    FINDINGS OF THE STUDY.

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    y All the respondents feel that PA is conducted every year in the company.

    y Majority of the respondents feel that job increments and promotions are strictly

    based on PA and whereas few of them feel that it is not strictly based on PA.

    y Majority of the respondents feel that PA objectives are partially informed, some of

    them feel it is clearly informed and whereas few of them feel that it is not informed at

    all.

    y Majority of the respondents feel that purpose ofPA is for promotion, some of them

    feel it is for salary increase and whereas few of them feel it is for training and

    development.

    y From the table it is seen that the ranking of methods employed in PA is give below:

    FACTORS RANK

    GRADING II

    RANKING METHOD I

    CHECKLIST METHOD III

    FORCED CHOICE METHOD IV

    y 58% of the respondent feel that feedback on PA is not collected and whereas

    some of them feel that feedback on PA is collected.

    y Majority of the respondents opinion regarding present PA system in the company

    is good, some of the respondents opinion is average and whereas few of the

    respondents opinion is poor. ! Majority of the respondents opinion regarding the

    factors covered in PA is good, some of them feel it is average andwhereas few of

    them feel it is poor.

    y M

    ajority of the respondents agree that improvements has to be made inP

    A,some of them neither agree nor disagree ad whereas few of them disagree that

    improvements has to be made in PA.

    y Majority% of the respondents prefers PA by the HR department, some of them

    prefer by third party and whereas few of them prefer through top level

    management.

    y Majority of the respondents agree that present PA system is to improved, some

    of them neither agree nor disagree ad whereas few of them disagree.

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    y Majority of the respondents suggest 360 degree appraisal for PA, some of them

    suggest appraisal by result and whereas few of them suggest essay method.

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    SUGGESTIONS

    The top management should take up periodic programs to explain the objectives and the

    related issues to the executives and queries should be thoroughly cleared

    It is necessary to improve the performance analysis and review system in following areas

    y There should be clear definition of rewards basing performance

    y PAS should have direct bearing in promotions

    y PA should be incident specific & productivity linked & not as per personal linking.

    y Self-appraisal discussion with the assessing officer & then the officer recording his

    appraisal will be ideal. Awareness is less in catering department

    y Employees to work hard to achieve & a panel of officers withwhich interaction

    happens during the course of your job should be appraising officer

    y Every year a appraisal letter should be given to employee because that can make a

    employee to show great affection to their job ascertained ! Subordinate & peers also

    should have a role in individuals assessment

    y Before or during PA, the reporting officer may discuss with the employee about his

    plus or minus points in order to educate & improved the employees performance in

    future

    y Most of the assessment is based on personal interaction with evaluating officer

    y Instead of giving overall rating in the paper good workers should be appreciated by

    the way of given extra perks or increment

    y The decision obtained at performance analysis should be implemented.

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    CONCLUSION

    The effectiveness of a system is to be determined by the people in it, the

    system cannot become effective automatically. Simply by basing upon few

    assumptions about the people involved in it. The same is the case with the executive

    appraisal system of United Breweries LImited a considerable number of them have

    come under Halo effect and stereotyping

    Objectives of the appraisal system are not clear to most of the employees and

    behavioral dimensions are not clearly understood

    Unsatisfactory opinion in respect of existing system and self-assessment

    Wide gap between formal appraisal system and self-assessment

    Training needs are not met by the organisation inspite of doing serious

    exercise in identifying them

    There is lot of paper work in this system of appraisal by which the appraisal

    is time consuming

    The analysis has shown that most of the executives are in favour of a better

    appraisal system, which is more transparent and has provisions for unbiased

    assessment of performance

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    BIBLIOGRAPHY

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    BIBLIOGRAPHY

    PERSONNEL MANAGEMENT - C.B.MAMORLA, S.V.GANKAR

    STATISTICAL METHODS - S.P.GUPTHA

    MANAGING HUMAN RESOURCES - BOHLANDER

    HUMAN RESORCE MANAGEMENT - ASHWATHAPPA

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    QUESTIONNAIRE

    1. Gender : Male Female

    2. Employee Category:

    3. Age Group:

    4. Experience:

    5. Is every year PA is conducted by the company?

    Yes No

    6. Job increments and promotions are strictly based on PA?

    Yes No

    7. PA objectives are

    Clearly informed

    Partially informed

    Not informed at all

    8. Is PA inherently unfair

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    Yes No

    9. PA serves the purpose

    of

    Salary increase

    Promotion

    Training anddevelopment

    Feedback

    10. What methods are employed in PA

    Grading

    Ranking method

    Checklist method

    Forced choice method

    11. PA forms/proceduresare

    Management oriented

    Employee oriented

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    12. After PA, Feedback on PA is collected

    Yes No

    13. The opinion on

    Very good

    Good

    Average

    Poor

    present PA system in the company?

    14. Your opinion on the following factors covered in PA?

    FACTORSVERY

    GOOD

    GOOD AVERAGE POORVERY

    POOR

    Job knowledge

    Quality of work

    Quantity of work

    Ability of work

    Hard work

    Manner & obedience

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    15. What is to be improved in PA?

    FACTORSStrongly

    agree

    AgreeNeither

    Agree nor

    disagree

    DisagreeStrongly

    disagree

    Appraisal by result

    Confidentiality

    Critical attributes

    Role related attributes

    Post appraisal actions

    Feedback on PA

    16. Among the following which one

    PA by the HR department

    PA by the third party

    PA by top level management

    Assessment center

    do you prefer?