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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?