PERFORMANCE APPRAISAL EFFECTIVENESS ANALYSIS - Admissions In India

Performance Appraisal EffectivenessMBA (Human Resources)Summary of the Performance Analysis SystemSetting performance standards, observing and providing feedback, and conductingappraisals enables the Team Leader to achieve the best results through managingemployee performance.To begin the process, the Team Leader and the employee collaborates on thedevelopment of performance standards. The Team Leader then develops a performanceplan that directs the employee's efforts toward achieving specific results, to supportorganizational growth as well as the employee's professional growth. Discussion of goalsand objectives throughout the year provides a framework to ensure that employeesachieve results through One on One and mutual feedback. At the end of the rating period,the Team Leader appraises the employee's performance against existing standards, andestablishes new goals together for the next rating period.As the immediate supervisor, the Team Leader plays an important role; his closestinteraction with the employee occurs at this level.There are four key elements in the appraisal system:1. Set objectives - Decide what the Team Leader wants from the employees andagree these objectives with them.2. Manage performance - Give employees the tools, resources and training theyneed to perform well.3. Carry out the appraisal - monitor and assess the employees' performance,discuss those assessments with them and agree on future objectives.4. Provide rewards/remedies - Consider pay awards and/or promotion based on theappraisal and decide how to tackle poor performance.17

Performance Appraisal EffectivenessMBA (Human Resources)Performance StandardsHow does the Team Leader decide what's acceptable and what's unacceptableperformance? The answer to this question is the first step in establishing writtenstandards.Performance expectations are the basis for appraising employee performance. Writtenperformance standards let the Team Leader to compare the employee's performance withmutually understood expectations and minimize ambiguity in providing feedback.Having performance standards is not a new concept; standards exist whether or not theyare discussed or put in writing. When the Team Leader observes an employee'sperformance, he usually makes a judgment about whether that performance is acceptable.Standards identify a baseline for measuring performance. From performance standards,the Team Leader can provide specific feedback describing the gap between expected andactual performance.Guiding PrinciplesEffective performance standards:Serve as an objective basis for communicating about performance.Enables the employee to differentiate between acceptable and unacceptableresults.Increase job satisfaction because employees know when tasks are performed well.Inform new employees of your expectations about job performance.18

Performance Appraisal EffectivenessMBA (Human Resources)Key Responsibility Areas (KRA)The Team Leaders in association with the Project Manager write performance standardsfor each key area of responsibility on the employee's job description. The employeeactively participates in its development. Standards are usually established when anassignment is made, and they are reviewed if the employee's job description is updated.The discussions of standards include the criteria for achieving satisfactory performanceand the proof of performance (methods the Team Leader will use to gather informationabout work performance).19

Performance Appraisal EffectivenessMBA (Human Resources)Characteristics of Performance StandardsStandards describe the conditions that must exist before the performance can be ratedsatisfactory. A performance standard should:Be realistic, in other words, attainable by any qualified, competent, and fullytrained person who has the authority and resources to achieve the desired resultDescribe the conditions that exist when performance meets expectationsBe expressed in terms of quantity, quality, time, cost, effect, manner ofperformance, or method of doingBe measurable, with specified method(s) of gathering performance data andmeasuring performance against standards20

Performance Appraisal EffectivenessMBA (Human Resources)Expressing StandardsThe terms for expressing performance standards are outlined below:Quantity: Specifies how much work must be completed within a certain period oftime.Quality: Describes how well the work must be accomplished. Specifies accuracy,precision, appearance, or effectiveness.Timeliness: Answers the questions, by when? , How soon? , Or within whatperiod?Effective Use of Resources: Used when performance can be assessed in terms ofutilization of resources: money saved, waste reduced.Effects of Effort: Addresses the ultimate effect to be obtained; expandsstatements of effectiveness by using phrases such as: so that, in order to, or asshown by.Manner of Performance: Describes conditions in which an individual's personalbehavior has an effect on performance, e.g., assists other employees in the workunit in accomplishing assignments.Method of Performing Assignments: Describes requirements; used when onlythe officially prescribed policy, procedure, or rule for accomplishing the work isacceptable.21

Performance Appraisal EffectivenessMBA (Human Resources)Performance MeasurementsSince one of the characteristics of a performance standard is that it can be measured, theTeam Leader identifies how and where evidence about the employee's performance willbe gathered. Specifying the performance measurements when the responsibility isassigned will help the employee keep track of his progress, as well as helping the TeamLeader in the future performance discussions.There are many effective ways to monitor and verify performance, the most common ofwhich are:Direct observationSpecific work results (tangible evidence that can be reviewed without theemployee being present)Reports and records, such as attendance, safety, inventory, financial records, etc.Commendations or constructive or critical comments received about theemployee's work.22

Performance Appraisal EffectivenessMBA (Human Resources)Observation and Feedback (One on One)Once performance objectives and standards are established, the Team Leader observesthe employees' performance and provides feedback. The Team Leader has aresponsibility to recognize and reinforce strong performance by an employee, andidentify and encourage improvement where it is needed. The Team Leader providesinformal feedback almost every day.By observing and providing detailed feedback, the Team Leader plays a critical role inthe employee's continued success and motivation to meet performance expectations.One On One SessionsOne on One is a method of strengthening communication between the Team Leader andthe employee. It helps to shape performance and increase the likelihood that theemployee's results will meet expectations. One on One sessions provide the Team Leaderand the employee the opportunity to discuss her progress toward meeting mutuallyestablished standards and goals. A One on One session focuses on one or two aspects ofperformance, rather than the total review that takes place in a performance evaluation.Guiding PrinciplesEffective One on One can:Strengthen communication between the Team Leader and the employeeHelp the employee attain performance objectivesIncrease employee motivation and commitmentMaintain and increase the employee's self-esteemProvide support23

Performance Appraisal EffectivenessMBA (Human Resources)Key Elements of One on OneTo make One on One sessions effective, the Team Leader keeps the following keyelements of One on One in mind while conducting such a session:Observe the employee's work and solicit feedback from others.When performance is successful, take the time to understand why.Advise the employee ahead of time on issues to be discussed.Discuss alternative solutions.Agree on action to be taken.Schedule follow-up meeting(s) to measure results.Recognize successes and improvements.Document key elements of One on One session.Questions to Consider during One on OneTo provide effective feedback the Team Leader must understand the elements ofperformance and analyze marginal performance. These questions are kept in mind:How is the employee expected to perform?Does the employee understand these expectations? If not, why not?Does the employee know what successful results look like? How does the TeamLeader know?Does the employee know the performance is marginal? How does the TeamLeader know?Are there obstacles beyond the employee's control? Can the Team Leader removethem?Has the employee ever performed this task satisfactorily?Is the employee willing and able to learn?Does satisfactory performance result in excessive work being assigned?24

Performance Appraisal EffectivenessMBA (Human Resources)Does unsatisfactory performance result in positive consequences such as anundesirable task being reassigned?During the One on One SessionWhen the Team Leader conducts a One on One session to provide positive feedback tothe employee, he keeps the following points in mind:Describe the positive performance result or work habit using specific details.Ask the employee's opinion of the same product or behavior.Ask the employee to identify elements that contributed to success (adequate timeor resources, support from management or other employees, the employee's talentand interest in the project).Discuss ways in which the Team Leader and the employee can support continuedpositive results.Reinforce for the employee the value of the work and how it fits in with the goalsof the work unit or department.Show your appreciation of the positive results and your confidence that theemployee will continue to perform satisfactorily.If appropriate, document your discussion for the employee's file.When the Team Leader conducts a One on One session to improve performance, he usesthe following format:Describe the issue or problem, referring to specific behaviors.Involve the employee in the problem-solving process.Discuss causes of the problem.Identify and write down possible solutions.Decide on specific actions to be taken by each of the Team Leader.Agree on a follow-up date.Document key elements of the session.25

Performance Appraisal EffectivenessMBA (Human Resources)Follow-Up DiscussionDuring a follow-up discussion, the following steps are followed:Review the previous discussion(s).Discuss insufficient improvement and ask for reasons why.Indicate consequence of continued lack of improvement.Agree on action to be taken and set a follow-up date, if appropriate.Convey confidence in the employee.Document the discussion.26

Performance Appraisal EffectivenessMBA (Human Resources)RESEARCH STUDY27

Performance Appraisal EffectivenessMBA (Human Resources)Aim of the ResearchTo ascertain the effectiveness of Performance Appraisal methodology used by theOrganization.Objectives of the studyThe following are the objectives of the study To develop my understanding of the subject.o Performance Appraisal System implemented in various Organizationsvaries according to the need and suitability. Through my research, I havetried to study the kind of Appraisal used in the Organization and thevarious pros and cons of this type of system.To conduct a study on social behavior.o Social behavior is a very unpredictable aspect of human life but socialresearch is an attempt to acquire knowledge and to use the same for socialdevelopment.To enhance the welfare of employees.o The Appraisal system is conceived by the Management but mostly doesnot take into consideration the opinion of the employees. This can lead toadverse problems in the Organization. Therefore by this study I haveattempted to put forth the opinion of the employee with respect to theacceptability of the Performance Appraisal System.To exercise social control and predict changes in behavior.o The ultimate object of my research is to make it possible to predict thebehavior of individuals by studying the factors that govern and guidethem.28

Performance Appraisal EffectivenessMBA (Human Resources)Research DesignA research design is a type of blueprint prepared on various types of blueprints availablefor the collection, measurement and analysis of data. A research design calls fordeveloping the most efficient plan of gathering the needed information. The design of aresearch study is based on the purpose of the study.A research design is the specification of methods and procedures for acquiring theinformation needed. It is the overall pattern or framework of the project that stipulateswhat information is to be collected from which source and by what procedures.29

Performance Appraisal EffectivenessMBA (Human Resources)SamplingAn integral component of a research design is the sampling plan. Specifically, itaddresses three questionsWhom to survey (The Sample Unit)How many to Survey (The Sample Size) &How to select them (The Sampling Procedure)Making a census study of the whole universe will be impossible on the account oflimitations of time. Hence sampling becomes inevitable. A sample is only a portion of thetotal employee strength. According to Yule, a famous statistician, the object of samplingis to get maximum information about the parent population with minimum effort.Methods of SamplingProbability Sampling is also known as random sampling or chance sampling .Under this sampling design every individual in the organization has an equalchance, or probability, of being chosen as a sample. This implies that the sectionof sample items is independent of he persons making the studythat is, thesampling operation is controlled objectively so that the items will be chosenstrictly at random.Non Probability Sampling is also known as deliberate sampling , purposefuland judgmental sampling. Non-Probability Sampling is that which does notprovide every individual in the Organization with a known chance of beingincluded in the sample.30

Performance Appraisal EffectivenessMBA (Human Resources)Data collection methodCollection of data is the first step in statistics. The data collection process follows theformulation for research design including the sample plan. The data can be secondary orprimary.Collection of Primary Data during the course of the study or research can bethrough observations or through direct communication with respondents on oneform or another or through personal interviews. I have collected primary data bythe means of a Questionnaire. The Questionnaire was formulated keeping in mindthe objectives of the research study.Secondary data means data that is already available i.e., they refer to data, whichhas already been collected and analyzed by someone else. When a secondary datais used, the researcher has to look into various sources from where he can obtaindata. This includes information from various books, periodicals, magazines etc.31

Performance Appraisal EffectivenessMBA (Human Resources)Research Methodology AdoptedResearch Design:Descriptive researchResearch Instrument:Structured Questionnaire:Non-Probability SamplingSampling Plani) Sample Method(Convenience Sampling)ii) Sample Size:50iii) Sample Unit:Employees who do not hold asupervisory positionSampling DesignConvenience Sampling, as the name implies, is based on the convenience of theresearcher who is to select a sample. Respondents in the sample are included in it merelyon account of their being available on the spot where the survey was in progress.Source of Dataa) Primary Data:Structured Questionnaireb) Secondary Data:Journals, Booklets, Company Data, etc.32

Performance Appraisal EffectivenessMBA (Human Resources)DATA ANALYSIS33

Performance Appraisal EffectivenessMBA (Human Resources)Median Age Analysis0.350.30.250.20.150.10.0501357911 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49The above graph is a logarithmic representation of the employee age data and clearlyshows the median age of the sample population taken for the survey as 29. This is mainlydue the expansion policy of the company that has taken on board a large number of newand young employees to fuel its growth plans.Due to this a large group of creative employees have been inducted into the Organization.This helps in maintaining the creative talent in the Organization, as the job profilerequires them to be creative.Champion Voyagers Designers Pvt Ltd will be continuing their expansion plans in thecoming months and this will lead to a further decease in the average age of the employeesin the Organization.34

Performance Appraisal EffectivenessMBA (Human Resources)Male / Female ratio within the selected sampleFemaleMaleDataMales24Females 26AnalysisThere is equality in terms of the ratio between males and females in Champion VoyagerDesigners Pvt Ltd. This can also be ascertained from the fact that the same ratio ispresent among the total strength of 350 employees in the company. The sample wascarefully chosen to ensure that the study gave an equal opportunity to both the sections tovoice their opinion and there gain a truer picture of the conclusions derived by the study.The balance of both the genders in the Organization also gives rise to a good workatmosphere and better understanding between the employees. This trend can also bewitnessed in the supervisory ranks of Champion Voyager Designers Pvt Ltd. This helpsto remove many barriers that may exist due to various reasons.The Management of Champion Voyager Designers Pvt Ltd strives to be an equalopportunity employer and therefore does not try to discriminate on the basis of Gender.35

Performance Appraisal EffectivenessMBA (Human Resources)Years of Experience within the Organization2018161412108642012345YrsData1) Less than a Year4) Three Years552) One Year195) Four Years3) Two Years147AnalysisMost of the employees in the Organization are relatively new because a majority of them(i.e. 66%) have between one and two years of experience in the Organization. This ismainly due to the fact that the Organization is in a constant mode of growth and istherefore recruiting in a big way. The expansion plans are done keeping in mind theproposed growth in business in the near future.Another reason is the fact that finding new talent for the required skills

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