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PERFORMANCE APPRAISAL OF STATE BANK OF INDIA INTRODUCTION The process of Human Resource Development (HRD) helps the employee’s to acquire and develop technical, managerial and behavioral knowledge, skills & abilities and the values , beliefs &attitudes necessary to perform present and future roles. The process of Performance Appraisal helps the employees and management to know the level of employees Performance compared to the standard or predetermined level. Performance Appraisal is important to understand and improve the employee’s performance through HRD. In fact, Performance Appraisal is the basis of HRD. It was viewed that Performance Appraisal was useful decide employee’s promotion or transfer, salary determination. But the recent developments in HRD indicate that Performance Appraisal is the basis for employee development. Performance Appraisal indicates the level of desired performance level and actual performance and the gap between these two. This gap should be bridged through training, counseling and motivation etc. In every organization, the process of HRD helps the employee’s to 1 T.Y.B.COM (BANKING & INSURANCE) SEM: 5
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Page 1: Final Project performance appraisal

PERFORMANCE APPRAISAL OF STATE BANK OF INDIA

INTRODUCTION

The process of Human Resource Development (HRD) helps the employee’s

to acquire and develop technical, managerial and behavioral knowledge, skills &

abilities and the values , beliefs &attitudes necessary to perform present and future

roles. The process of Performance Appraisal helps the employees and management to

know the level of employees Performance compared to the standard or predetermined

level. Performance Appraisal is important to understand and improve the employee’s

performance through HRD. In fact, Performance Appraisal is the basis of HRD. It

was viewed that Performance Appraisal was useful decide employee’s promotion or

transfer, salary determination. But the recent developments in HRD indicate that

Performance Appraisal is the basis for employee development. Performance

Appraisal indicates the level of desired performance level and actual performance

and the gap between these two. This gap should be bridged through training,

counseling and motivation etc. In every organization, the process of HRD helps the

employee’s to acquire and development technical, managerial and behavioral

knowledge, skill, and abilities, belief and attitudes necessary exists to achieve goals;

the degree of success obtained by the individual employee in achieving individuals

goals directly determines the organizational effectiveness. The assessment of the

degree of success of an individual employee is an important part of HRM

that leads to the Performance Appraisal.

In American business, the Performance Appraisal is done to determine wage

increase, promotion, transfer, regarding the emphasis for the feedback to the

employee’s and assessing the need for their training is very less or we can

say it’s little.

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In contrast, Indian companies use Performance Appraisal for training and

development, providing feedback to the employee’s and personal research. They also

use it in determining wages and transfers as they do it in the American companies.

The purpose of Performance Appraisal to make a distinction between performer and

non performer on the job. The aim of the project is to focus on the Performance

Appraisal system undergone in State Bank of India. This project aim to study the

need for Performance Appraisal; how it helps the employees of the Organization

to improve their abilities so as to meet both the personal and organizational present

and future requirements. Whether the organization is reaching its standards by

Performance Appraisal resulting in increase in quality and productivity of the

employees observed.

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SBI PROFILE

The State Bank of India, the country‘s oldest Bank and a premier in terms of Balance

sheet size, number of branches, market capitalization and profits is today going

through a momentous phase of Change and Transformation the two hundred year old

Public sector behemoth is today stirring out of its Public Sector legacy and moving

with an ability to give the Private and Foreign Banks a run for their money. The bank

is entering into many new businesses with strategic tie ups

Pension Funds, General Insurance, Custodial Services, Private Equity, Mobile

Banking, Point of Sale Merchant Acquisition, Advisory Services, structured products

etc. each one of these initiatives having a huge potential for growth. The Bank is

forging ahead with cutting edge technology and innovative new banking models, to

expand its Rural Banking base, looking at the vast untapped potential in the

hinterland and proposes to cover 100,000 villages in the next two years. It is also

focusing at the top end of the market, on whole sale banking capabilities to provide

India‘s growing mid large Corporate with a complete array Of products and services.

It is consolidating its global treasury operations and entering into structured products

and derivative instruments. Today, the Bank is the largest provider of infrastructure

debt and the largest arranger of external commercial borrowings in the country. It is

the only Indian bank to feature in the Fortune 500 list.

The Bank is changing outdated front and back end processes to modern customer

friendly processes to help improve the total customer experience. With about 8500 of

its own 10000 branches and another 5100 branches of its Associate Banks already

networked, today it offers the largest banking network to the Indian customer.

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The Bank is also in the process of providing complete payment solution to its

clientele with its over 21000 ATMs, and other electronic channels such as Internet

banking, debit cards, mobile banking, etc. With four national level Apex Training

Colleges and 54 learning Centre spread all over the country the Bank is continuously

engaged in skill enhancement of its employees. Some of the training programs are

attended by bankers from banks in other countries.

 

The bank is also looking at opportunities to grow in size in India as well as

internationally. It presently has 82 foreign offices in 32 countries across the globe. It

has also 7 Subsidiaries in India.SBI Capital Markets, SBICAP Securities, SBIDFHI,

SBI Factors, SBI Life and SBI Cards - forming a formidable group in the Indian

banking scenario. It is in the process of raising capital for its growth and also

consolidating its various holdings. Throughout all this change, the Bank is also

attempting to change old mindsets, attitudes and take all employees together on this

exciting road to Transformation. In a recently concluded mass internal

communication programmed Termed Parivartan ‘the Bank rolled out over 3300 two

day workshops across the Country and covered over 130,000 employees in a period

of 100 days using about400 Trainers, to drive home the message of Change and

inclusiveness. The workshops fired the imagination of the employees with some other

banks in India as well as other Public Sector Organizations seeking to emulate the

programmed. The CNN IBN, Network 18 recognized this momentous

transformation journey, the State Bank of India is undertaking, and has awarded the

prestigious Indian of the Year Business, to its Chairman, Mr. O. P. Bhatt in January

2008.The elephant has indeed started to dance.

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The origin of the State Bank of India Goes back to the first decade of the nineteenth

century with the establishment of the Bank of Calcutta in Calcutta on 2June 1806.

Three years later the bank received its charter and was re-designed as the Bank of

Bengal (2 January 1809). A unique institution, it was the first joint-stock bank of

British India sponsored by the Government of Bengal. The Bank of Bombay (15

April 1840) and the Bank of Madras (1 July 1843) followed the Bank of Bengal.

These three banks remained at the apex of modern banking in India till their

amalgamation as the Imperial Bank of India on 27 January 1921.Primarily Anglo-

Indian creations, the three presidency banks came into existence either as a result of

the compulsions of imperial finance or by the felt needs of local European commerce

and were not imposed from outside in an arbitrary manner to modernize India's

economy. Their evolution was, however, shaped by ideas culled from similar

developments in Europe and England, and was influenced by changes occurring in

the structure of both the local trading environment and those in the relations of the

Indian economy to the economy of Europe and the global economic framework.

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HISTORY OF SBI

The roots of the State Bank of India lie in the first decade of 19th century, when the

Bank of Calcutta, later renamed the Bank of Bengal, was established on 2 June 1806.

The Bank of Bengal was one of three Presidency banks, the other two being the Bank

of Bombay (incorporated on 15 April 1840) and the Bank of Madras (incorporated on

1 July 1843). All three Presidency banks were incorporated as joint stock companies

and were the result of the royal charters. These three banks received the exclusive

right to issue paper currency till 1861 when with the Paper Currency Act; the right

was taken over by the Government of India. The Presidency banks amalgamated on

27 January 1921, and the re-organized banking entity took as its name Imperial Bank

of India. The Imperial Bank of India remained a joint stock company but without

Government participation.

Pursuant to the provisions of the State Bank of India Act of 1955, the Reserve Bank

of India, which is India's central bank, acquired a controlling interest in the Imperial

Bank of India. On 1 July 1955, the Imperial Bank of India became the State Bank of

India. The government of India recently acquired the Reserve Bank of India's stake in

SBI so as to remove any conflict of interest because the RBI is the country's banking

regulatory authority.

In 1959, the government passed the State Bank of India (Subsidiary Banks) Act,

which made eight state banks associates of SBI. A process of consolidation began on

13 September 2008, when the State Bank of Saurashtra merged with SBI.

SBI has acquired local banks in rescues. The first was the Bank of Behar (est. 1911),

which SBI acquired in 1969, together with its 28 branches. The next year SBI

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acquired National Bank of Lahore (est. 1942), which had 24 branches. Five years

later, in 1975, SBI acquired Krishna ram Baldeo Bank, which had been established in

1916 in Gwalior State, under the patronage of Maharaja Madho Rao Scindia. The

bank had been the Dukan Pichadi, a small moneylender, owned by the Maharaja. The

new banks first manager was Jall N. Broacha, a Parsi. In 1985, SBI acquired the

Bank of Cochin in Kerala, which had 120 branches. SBI was the acquirer as its

affiliate, the State Bank of Travancore, already had an extensive network in Kerala.

The State Bank of India and all its associate banks are identified by the same blue

keyhole logo. The State Bank of India word mark usually has one standard typeface,

but also utilizes other typefaces.

On October 7, 2013, Arundhati Bhattacharya became the first woman to be appointed

Chairperson of the bank.

IMPORTANCE OF PERFORMANCE APPRAISAL

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1. Performance Feedback:

Most employees are very interested in knowing how well they are doing at present and how they can do better in a future. They want this information to improve their performance in order to get promotions and merit pay. Proper performance feedback can improve the employee's future performance. It also gives him satisfaction and motivation.

2. Employee Training and Development Decisions:

Performance Appraisal information is used to find out whether an employee requires additional training and development. Deficiencies in performance may be due to inadequate knowledge or skills. For e.g. A professor may improve his efficiency by attending workshops or seminars about his subject. Performance appraisal helps a manager to find out whether he needs additional training for improving his current job performance. Similarly, if the performance appraisal results show that he can perform well in a higher position, then he is given training for the higher level position.

3. Validation of Selection Process:

Performance appraisal is a means of validating both internal (promotions and

transfers) and external (hiring new employees from outside) sources. Organizations

spend a lot of time and money for recruiting and selecting employees.

Various tools used in the selection process are application blanks, interviews,

psychological tests, etc. These tools are used to predict (guess) the candidate's

performance on the job. A proper performance appraisal finds out the validity of the

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various selection tools and so the company can follow suitable steps for selecting

employees in future.

4. Promotions:

Performance appraisal is a way of finding out which employee should be given a

promotion. Past appraisals, together with other background data, will enable

management to select proper persons for promotion.

5. Transfers:

Performance appraisal is also useful for taking transfer decisions. Transfers often

involve changes in job responsibilities, and it is important to find out the employees

who can take these responsibilities. Such identification of employees who can be

transferred is possible through the performance appraisal.

6. Layoff Decisions:

Performance appraisal is a good way of taking layoff decisions. Employees may be

asked to lay off, if the need arises. The weakest performers are the first to be laid off.

If there is no performance appraisal, then there are chances that the best men in the

department may be laid off.

7. Compensation Decisions:

Performance appraisal can be used to compensate the employees by increasing their

pay and other incentives. This is truer in the case of managerial jobs and also in the

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case of employees in non-unionized organizations. The better performances are

rewarded with merit pay.

8. Human Resource Planning (HRP):

The appraisal process helps (HRP). Accurate and current appraisal data regarding

certain employees helps the management in talking decisions for future employment.

Without the knowledge of who is capable of being promoted, demoted, transferred,

laid off or terminated, management cannot make employment plans for the future.

9. Career Development:

Performance appraisal also enables managers to coach and counsel employees in

their career development.

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USES OF PERFORMANCE APPRAISAL

Performance appraisal is crucial tool in the hands of the management to

bring about greater agility and responsiveness in human resources of an organization.

Performance appraisal is the foundation of much human resource decision. Therefore,

it has multifarious uses as depicted below:

The above figure is explained in detail below:

1. PERFORMANCE IMPROVEMENT:

Performance feedback allows the employee, manager and personnel specialists to

intervene with appropriate actions to improve performance.

2. COMPENSATION ADJUSTMENTS:

Performance evaluations help decision-makers determine who should receive pay

raises. Many firms grant part or all pay increases and bonuses based upon merit,

which is determined mostly through performance appraisals.

3. PLACEMENT DECISIONS:

Promotions, transfers and demotions are usually based on past or anticipated

performance. Often promotions are a reward for past performance.

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4. TRAINING AND DEVELOPMENT NEEDS:

Poor performance may indicate the need for retraining. Likewise, good performance

may indicate untapped potential that should be developed.

5. CAREER PLANNING AND DEVELOPMENT:

Performance feedback guides career decisions about specific career paths one should

investigate.

6. STAFFING PROCESS DEFICIENCIES:

Good or bad performance implies strengths or weakness in the personnel

department’s staffing procedures.

7. INFORMATIONAL INACCURACIES:

Poor performance may indicate errors in job analysis information, human resource

plans, or other parts of the personnel management information system. Reliance on

inaccurate information may have led to inappropriate hiring, training, or counseling

decisions.

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8. JOB DESIGN ERRORS:

Poor performance may be a symptom of ill-conceived job designs. Appraisals help

diagnose these errors.

9. EQUAL EMPLOYMENT OPPURTUNITY:

Accurate performance appraisals that actually measure job related performance

ensure that internal placement decisions are not discriminatory

10. EXTERNAL CHALLENGES:

Sometimes performance is influenced by factors outside the work environment such

as family, financial, health or other personal matters. If uncovered through appraisals,

the human resource department may be able to provide assistance.

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METHODS OF PERFORMANCE APPRAISAL

 

1. Critical Incident Method:

The critical incidents for performance appraisal are a method in which the

manager writes down positive and negative performance behavior of employees

throughout the performance period

2. Weighted Checklist:

This method describes a performance appraisal method where the rater is familiar

with the jobs being evaluated. He prepares a large list of descriptive statements

about effective and ineffective behavior on jobs

3. Paired Comparison Analysis:

Paired comparison analysis is a good way of weighing up the relative importance

of options. A range of plausible options are listed. Each option is compared

against each of the other options. The results are tallied and the option with the

highest score is the preferred option.

4. Graphic Rating Scales:

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The Rating Scale is a form on which the manager simply checks off the

employee’s level of performance. This is the oldest and most widely method used

for performance appraisal.

5. Essay Evaluation:

This method asked managers / supervisors to describe strengths and weaknesses

of an employee’s behavior. Essay evaluation is a non-quantitative technique. This

method usually use with the graphic rating scale method.

6. Behaviorally Anchored Rating Scales:

This method used to describe a performance rating that focused on specific

behaviors or sets as indicators of effective or ineffective performance. It is a

combination of the rating scale and critical incident techniques of employee

performance evaluation.

7. Performance Ranking Method:

Ranking is a performance appraisal method that is used to evaluate employee

performance from best to worst. Manager will compare an employee to another

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employee, rather than comparing each one to a standard measurement.

8. Management by Objectives (MBO):

MBO is a process in which managers / employees set objectives for the employee,

periodically evaluate the performance, and reward according to the result.

MBO focuses attention on what must be accomplished (goals) rather than how it

is to be accomplished (methods).

9. 360 degree Performance Appraisal:

360 Degree Feedback is a system or process in which employees receive

confidential, anonymous feedback from the people who work around them.

10. Forced Ranking (Forced Distribution):

Forced ranking is a method of performance appraisal to rank employee but in

order of forced distribution.

For example, the distribution requested with 10 or 20 percent in the top category,

70 or 80 percent in the middle, and 10 percent in the bottom.

11. Behavioral Observation Scales:

Behavioral Observation Scales is frequency rating of critical incidents that worker

has performed.

Advantages of Performance Appraisal

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1. It helps the supervisors to chalk out the promotion programs for efficient

employees. In this regards, inefficient workers can be dismissed or demoted in

case.

2. It helps in chalking out compensation packages for employees. Merit rating is

possible through performance appraisal. PA tries to give worth to a

performance. Compensation packages which include bonus, high salary rates,

extra benefits, allowances and pre-requisites are dependent on performance

appraisal. The criteria should be merit rather than seniority.

3. The systematic procedure of PA helps the supervisors to frame training policies

and programs. It helps to analyze strengths and weaknesses of employees so

that new jobs can be designed for efficient employees. It also helps in framing

future development programs.

4. It helps the supervisors to understand the validity and importance of the

selection procedure. The supervisors come to know the validity and thereby the

strengths and weaknesses of selection procedure. Future changes in selection

methods can be made in this regard.

5. For an organization, effective communication between employees and

employers is very important.

6. It serves as a motivation tool. Through evaluating performance of employees, a

person's efficiency can be determined if the targets are achieved. This very well

motivates a person for better job and helps him to improve his performance in

the future.

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Disadvantages of Performance Appraisal

1. If Performance appraisals are very time consuming and can be

overwhelming to managers with many employees.

2. They are based on human assessment and are subject to rater errors and

biases.

3. Can be a waste of time if not done appropriately.

4. They can create a very stressful environment for everyone involved.

5. Not done right, they can create a negative experience.

OBJECTIVE OF THE STUDY

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To examine why performance appraisal is required.

To know the performance of SBI bank employee.

To assess the training and development of employee.

To effect promotion based on competence need of employee.

SCOPE OF THE STUDY

The project entitled “A Study on the performance appraisal of SBI based

questionnaire method” will enable from the investors point of view to refer

the performance of the Employee, their relative growth and thereby decide on to buy

or sell the particular slab. This study will also help to identify the employee that is

lagging behind in its performance.

LIMITATION OF THE STUDY

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The study is limited to State bank of India of virar &vasai branch.

Study is limited to selected group from the main stream of the

organization.

Sample size is limited to 50 respondents, Problems with confidential

information.

RESEARCH METHODOLOGY

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Methodology is said to be the procedure or way in which the project work has been

done. In the project work, the methodology adopted i s data collection and sample

plan.

Source of data:

The data for the study has been collected from various primary and secondary

sources.

Primary data:

Primary data is collected of facts on the subject of the study by the researcher. It can

be collected through questionnaires.

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Questionnaire:

It is formalized set of question, with are logically and systematically arranged to

collect the information useful for the proposed study. The questionnaire in this study

is structured containing a limited number of questions which are easy and to

understand. The layout of their questionnaire is farmed in such a way that confusing

and rerecording error are minimized.

Secondary data:

Secondary data reface to the use of information already collected and published or

unpublished. The sources are books, journals, reports etc.

DATA ANALYSIS & INTERPRETATION

1. Are you aware about the organization performance appraisal system?

a) YES B) NO

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OPINION NO.OF RESPOND PERCENTAGE

YES 50 100

NO 0 0

TOTAL 50 100

NO. OF RESPOND

YESNO

From the above it is evident that 100% of the employees feel that performance

appraisal is quit essential for any organization.

2. Do you think that performance appraisal is essential?

a) YES B) NO

OPINION NO.OF RESPOND PERCENTAGE

YES 48 96

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NO 2 4

TOTAL 50 100

NO.OF RESPOND

YESNO

From the above data it is evident that 96% of the respondents feel that performance

appraisal is very essential in the organization, where as 45employees feel it is not

essential in organization.

3. Which performance appraisal method does SBI use?

A) Ranking B) grading scale C) critical incident D) Essay evaluation

OPINION NO.OF RESPOND PERCENTAGE

A 50 100

B 0 0

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C 0 0

D 0 0

TOTAL 50 100

Performance appraisal Method

Ranking Grading scaleCritical incidentEassy Evaluation

4. Does appraisal system of your organization facilities career growth

&learning?

a) YES B) NO

OPINION NO.OF RESPOND PERCENTAGE

YES 42 84

NO 8 16

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TOTAL 50 100

NO.OF RESPOND

YESNO

From the above data it shows that 84% of employees feel that organization facilitate

growth & learning due to performance appraisal, where as 16% of employees feel

that organization does not provides growth & learning of employees.

5. Performance appraisal system really assesses the quality of an employee. Do

you agree?

a) YES B) NO

OPINION NO.OF RESPOND PERCENTAGE

YES 46 92

NO 4 8

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TOTAL 50 100

NO.OF RESPOND

1st Qtr2nd Qtr

From the above data it is evident that 92% of the employees feel that

the performance appraisal system really assesses the quality of an employee, where

as 85 feel that it does not assesses the quality of an employee.

6. Periodicity of performance appraisal should be on.

a) Quarterly basis

 b) Half-yearly basis

c) Annual basis

OPINION NO.OF RESPOND PERCENTAGE

A 8 8

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B 12 12

C 30 60

TOTAL 50 100

NO.OF RESPOND

ABC

 From the above data it is evident that 60%of the employees feel that performance ap

praisal should be done on annual basis & 24% of the employees feel should be in

done on half yearly basis 8 % of the employees feel should be done in quarterly basis.

7. The present performance appraisal of your organization

distinguishes the performers & non performers.

a) Strongly agree

 b) Agree

c) Disagree

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 d) Strongly disagree

OPINION NO.OF RESPOND PERCENTAGE

A 5 10

B 37 74

C 8 16

D 0 0

TOTAL 50 100

NO.OF RESPOND

1st Qtr2nd Qtr3rd Qtr4th Qtr

From the above data it is evident that 74% of the employees ‘agree’

that performance appraisal system of the organization distinguishes performs & non

performers, where as 105 strongly agree and 16% disagree doesn’t distinguishes

performers & non-performers.

8. Are you aware of the basis or attributes on which your performance is appraised?

A) YES B) NO

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OPINION NO.OF RESPOND PERCENTAGE

YES 48 96

NO 2 4

TOTAL 50 100

NO.OF RESPOND

YESNO

From them above data it shows that 82% of the employees are aware on which their

performance is appraised but 16% of the respondents feel that they are not

aware of the basis on which their performance is appraised.

9. Performance appraisal is useful to the contributor to encourage people

to perform better on their jobs?

A) YES B) NO

OPINION NO.OF RESPOND PERCENTAGE

YES 46 92

NO 4 8

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TOTAL 50 100

NO.OF RESPOND

YESNO

From the above data it shows that 92%of the employees feel that  performance appraisal

is contributor to encourage better job, but 8% of the employees feel that it is not

a contributor for job.

10. Training & development programs improve the quality of the employees.

a) Strongly agree

 b) Agree

c) Disagree

d) Strongly disagree

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OPINION NO.OF RESPOND PERCENTAGE

A 25 50

B 0 0

C 25 50

D 0 0

TOTAL 50 100

NO.OF RESPOND

ABCD

From the above data it’s evident that 50% of the employees are

stronglyagree and 50% agree that training & development the quality of the

employees in the organization.

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11. What kind of counseling should occur in an organization?

A) FORMAL B) INFORMAL

OPINION NO.OF RESPOND PERCENTAGE

YES 29 58

NO 21 42

TOTAL 50 100

NO. OF RESPOND

FORMALINFORMAL

From the above data it’s evident that 58% feel of the employees feel that

counseling in an organization should be of formal kind and 42% of employees feel

counseling should of informal kind.

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12. How often did you speak, or discuss about your performance with

your superiors?

a) Frequently

b) Sometimes

c) Rarely

d) Never

OPINION NO.OF RESPOND PERCENTAGE

A 16 32

B 19 38

C 9 18

D 6 12

TOTAL 50 100

NO. OF RESPOND

FREQUENTLYSOMETIMESRARELYNEVER

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From the above data it’s evident that 38% of the employees said that they

sometimes and 32% frequently speak with their superiors about performance.

13. How do you want tour performance to be communicated to you?

a) Written Form

b) Oral Form

c) Open Communication

d) No Need

OPINION NO.OF RESPOND PERCENTAGE

A 30 60

B 10 20

C 4 8

D 6 12

TOTAL 50 100

NO. OF RESPOND

WRITTEN FORMORAL FORMOPEN COMMUNICATIONNO NEED

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From the above data it is evident that most of the employees feel that

their performance should be communicated to them in a written form.

14. Has your performance increased as a result of performance

appraisal system?

a) To a large extent

b) Moderate extent

c) Less extent

d) Not at all

OPINION NO.OF RESPOND PERCENTAGE

A 16 32

B 32 64

C 1 2

D 1 2

TOTAL 50 100

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NO. OF RESPOND

TO A LARGE EXTENTMODERATE EXTENTLESS EXTENTNOT AT ALL

From the above data it’s evident that 64% of the employees are feel that to

moderate extent and 32% to large extent think that performance increased as a result

of performance appraisal system.

FINDING

1. It has been found that most of the employees think that the performance

appraisal is essential and they think it is used as a tool to improve

performance, to determine organization needs, and to  basis for pay

increase, promotions, and transfer.

2. The appraisal system facilitates growth & learning of employees and it

is used to distinguish performers.

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3. The existing appraisal system helps the management to

identify potentiality of employees as well as useful for 

maintainingefficiency of the individual & organization.

4. Some employees that they do not know which basis their  performance

is appraised and most of the employees feel that it help them discover

their potential and enables to know their shortcoming.

5. Organization provides training & development programs to overcome the short

comings identified in performance appraisal.

6. The employees that their promotions match their contributions and new

performance appraisal technique should be adopted in the organization and the

short comings are informed to them.

7. The performance appraisal supports to experiment with new ideas as basis for

promotion.

RECOMMONDATION

1. The short coming of employees should be informed to them after performance

appraisal.

2. Performance appraisal should be appraised by granting awards/ merit

certificate.

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3. New performance appraisal techniques such as 360 degree performance

appraisal system should be used.

4. The performance appraisal should not be assessed by biased mind and personal

grudge.

5. Feedback should not be given to the employees more frequently.

CONCLUSION

Performance appraisals are one of the most effective supervisory tools to communicate expectations, provide feedback, plan work, acknowledge contributions, and help employees gain the skills to be successful. As SIBL is committed to do away with disparity and establish justice in the economy, trade, commerce and industry, build socio economic infrastructure and create employment opportunities. So SIBL should do justice with the employees while

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appraising them perfectly on the basis of their performance. The appraisal system has to be reliable and consistent, and should include both objective and subjective ratings. The appraisal format should be practical and simple. The process should be participatory and open. It should be linked with rewards. Feedback is an important part of appraisal, and has to be timely, impersonal and noticeable. It should be noted that an appraisal system can be effective only if it is accepted by employees and if management is fully committed.

BIBLIOGRAPHY

WEBLINK

http://www.scribd.com/doc/99520995/ Performance - Appraisal-of-Sbi

http://www.investopedia.com/articles/08/performance-measure.asp#axzz2NiaesRaZ

http://www.indianmba.com/Faculty_Column/FC1431/FC1431a/fc1431a.html

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http://www.SBI.com/

http://www.investopedia.com/university/performance apprisal/

http://www.youtube.com/watch?v=S4Z0KJJ2UfE

http://www.managementparadise.com/forums/human-resources-management-h-r/

206357-uses-performance-appraisal.html.

http://www.jethr.com/magazine/human-resource-management/performance-

appraisal-advantages-and-disadvantages/article.html.

REFERENCE BOOKS

ORGANISATION BEHAVIOUR-BY STEPHAN ROBBIN.

PERFORMANCE APPRAISAL PHRASE BOOK-BY COREY SANDLER

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