A

SUMMER TRAINING REPORT

ON

SATISFACTION LEVEL OF EMPLOYEES TOWARDS

PERFORMANCE APPRAISAL

AT

HARYANA FOILS LIMITED

IN THE PARTIAL FULFILLMENT OF 2YEAR MBA PROGRAMME(Awarded by MDU Rohtak)

(SESSION 2009-11)

SUBMITTED TO: SUBMITTED BY: MAHARSHI DAYANAND Sandeep Aggarwal UNIVERSITY, ROHTAK MBA 3rd Sem

ROLL NO: 9093

KEDARNATH AGGARWAL INSTITUTE OF MANAGEMENT(Affiliated to MDU Rohtak)

Charkhi Dadri

1

PREFACE

The MBA course is well structured and integrated course of business studies. The main objective of practical

training at MBA level is to develop skill in student by supplement to the theoretical study of business

management in general. Industrial training helps to gain real life knowledge about the industrial environment

and business practices. The MBA programme provides student with a fundamental knowledge of business and

organizational functions and activities as well as an exposure to strategic thinking of management.

In every professional course, training is an important factor. Professors give us theoretical knowledge of

various subjects in the college but we are practically exposed of such subjects when we get the training in the

organization. It is only the training through which I come to know that what an industry is and how it works. I

can learn about various departmental operations being performed in the industry, which would, in return, help

me in the future when I will enter the practical field.

During this whole training in HARYANA FOILS LIMITED I got lot of experience and came

to know about the management practices in real that how it differs from those of theoretical knowledge and the

practically in the real life.

2

ACKNOWLEDGEMENT

With immense pleasure, I would like to present this project report on SATISFACTION LEVEL OF

EMPLOYEES TOWARDS PERFORMANCE APPRAISAL at HARYANA FOILS LIMITED. It has

been an enriching experience for me to undergo my summer training at HARYANA FOILS LIMITED, which

would not have possible without the goodwill and support of the people around. As a student of

KEDARNATH AGGARWAL INSTITUTE OF MANAGEMENT, I would like to express my sincere

thanks to all those who helped me during my practical training programme.

Words are insufficient to express my gratitude toward Mr. PAWAN GUPTA. I would like to give my

heartily thanks to Mrs. Supriya Dhilon (Add. Dir.) and Promila Suhag (TPO) for permitted me to get

training at HFL. I am very thankful to Mrs. Supriya Dhilon , Mr. Sachin Suhag and Mrs. Promila Suhag

who helped me at every step whenever needed.

Lastly, I convey my regards to the whole staff, which made my stay at H.F.L., A memorandum part of

life.

(Sandeep Aggarwal)

3

CONTENTS

Topic Page No:-

1) Significance of the study 5

2) Review of existing literature 6

3) Company Profile 9

4) Conceptualization 18

4) Focus of the problem 32

5) Objectives 33

6) Research Methodology 34

A) Research Design

B) Universe and Survey Population

C) Sample

D) Collection of Data

E) Analysis Pattern

7) Limitation of the Study 53

8) Organization of Study 54

9) Conclusion 55

10)References 56

4

SIGNIFICANCE OF THE STUDY

FOR THE COMPANY:-

1) With the help of this report they can find out lack point comes during evaluating performance of the

employees.

2) The another significance of this study is to providing information regarding lack points behind

performance appraisal at HARYANA FOILS LIMITED. So that they can improve their techniques to

evaluate performance appraisal of employees more effective.

FOR THE RESEARCHER:-

3) The main significance of this study is to help those students who want to go for further research on

satisfaction level of employees toward performance appraisal. They can collect secondary data from this

report.

4) It provides the Real picture of corporate world.

5) This study helps researcher to find out job in future in corporate world.

5

Review of Existing Literature

Mallikarjunam K (2005):- States performance appraisal system has assumed a new shape and nature in the

form of a two-way communication link between the employees and the employers. Proper communication

between the assessing authority and the employees under appraisal is essential for gathering all the required

information from the employee. A performance appraisal system that is based on a free and unrestrained

approach would generate the preferred data and help to increase organizational productivity.

Gupta Samita (2006):- This States the concept, goals and also explores several others aspects of performance

management. The literature focuses on the concept of effective performance management system in the

organization. Researchers have argued in an article that performance management represents twin dimensions

of rationalization. The pursuits of reason in human affairs, that is the process of bringing policies are pursued

and rationalization as the increasing dominance of a means- end instrumental rationality.

Raju and Jena (2006):- This literature provides the background and description of performance appraisal

system of ONGC. A good review system can help improve communication, while allowing people to increase

their own effectiveness and clarify their own jobs and responsibilities. An innovative system will not only

increase the performance of the staff, but also help them work together with common goals and fewer obstacles.

The current system adopted by ONGC coupled with an aggressive communication campaign has resulted in the

creation of a positive work culture with a successful implementation of the new appraisal system; ONGC is

setting an example for others.

Gupta and Aggerwal (2007):- Examined the relationship between managerial perception of the climate of

participation and the perceived effectiveness of performance appraisal system in a private sector organization in

North India. It was expected that the patterns of relationship between the variable under study would be positive

6

in the organization. The result focused on the importance of climate of participation for increasing

organizational commitment with the help of better performance appraisal system among managerial personnel

in Indian organization.

Geetika And Pandey Neeraj(2007) :-Deals with benchmarking, which involves a search for its genesis in the

basis human instinct of comparison and judgmental reasoning, Three parameters of performance are identified,

namely profitability, customer service and human resource satisfaction. Using these parameters, the power

sector in India is studied.

Ravichandran K and DJE (2007):-This literature focused on the means to improve the performance of the

individual employee, which result in the overall improvement of the organization. Recently, organizations are

being faced with challenges like never before. Increasing competition from business across the world has meant

that all business must be much more careful about the choice of strategies to remain competitive. Organization

have a better understanding of the importance of the human resource and so their focus on improving the

process, the implementation skills of the appraisers as well as the appraises for successful performance

7rganizati, which means improving the performance of the individual employees which results in the overall

improvement of the organization’s performance.

Joshi Rashmi (2008):- This article focused on various component- goal setting, regular reviews, annual

appraisal, development process, linkage to reward system of performance management system. And consider

issues for successfully implementation of performance appraisal system with the help of current issues and best

practices in performance management system like performance management as a strategies workforce tool,

adopting year round performance management, alignment of goals with performance management, aligning

business objective with other areas, adopting performance management system software. She stated well

defined performance management system will enhanced the image of the organization in the mind of employees

while improving its performance in terms of productivity and profitability.

Ramana PVL (2008):- In this article performance management relates cleanliness at workplace with

performance improvement taking cues from 5’S philosophy: - Seiri,Seiton, Seiro, Seikestuand shitsuke. It

7

advocates self-discipline among employees, better living, improved work life balance and demonstrates a strong

relation between physical environment at workplaces and productivity.

Kumar T kiran (2008):- This article focused on the following aspects of performance management system:-

need for performance appraisal system, performance management system in company, Setting up performance

management system, Designing performance management system, setting up problem is performance

management, Use of technology in performance management.

Chkarborty Manishankar (2008):- This literature focused on the human resource factor within an

organization. Human resource manager across the globe are finding it very difficult to attract and retain talent,

In such a scenario, the need for a proper performance management system has become all the more important.

Companies from knowledge sectors have devised novel performance management system, which are considered

benchmarks by organization across sectors.

8

COMPANY PROFILE

HARYANA FOILS LIMITED

AN INTRODUCTION

Haryana Foils Limited, established in 1980 by Mr. Pawan Kumar Gupta   and became a closely held limited

Company on 13.04.1989 as Pvt. Limited Company, has been a great successor,strated its journey  with brass

sheets and has been engaged in manufacture, export and supply of Cold Rolled Strips and Coils.  It was

converted into Public Limited Company in Jan. 1995. The unit started its operation in 1982 concern as SSI unit

by manufacturing brass sheets and stainless steel. In 1987 ,It had emerged as a vast conglomerate with the C.R.

Strips manufacturing unit by the modification of the mill. 

During the the past two decades  the unit undertook massive modernization of the plant in 1991-92 with

increase in production capacity.  The Company had increased its production capacity from 12000 MT to 24000

MT per annum in 1997-98 with installation of one more mill.Company again increased its production capacity

from  24000 MT to 50,000 MT per annum in the year 2009-10. Thus the company has current production

capacity of 50,000 MT per annum. Today 2009…….The organization is on the way of expanding and growing.

In pursuance of its objectives, it is committed to maintain world-class quality standards, efficient delivery

schedules, competitive price and excellent after sales.

HARYANA FOILS LIMITED  has been playing a remarkable role not only in the growth of production , but

also leads in the customer satisfaction and the timely deliveries. It is having pre-eminent position in the narrow

cold rolled segment in northen organ  since 28 years and is on its way to be a global player, with its strategic

manufacturing and marketing.

9

We are the complete solution provider for all types of cold rolled Strips and

Coils, With an experience of about three decades, we have gained expertise and understanding of this industry

and have set benchmarks for others to follow in this field . It is having the turnover of 80 crores with capacity to

produce 36000MT narrow width cold rolled products.

The Company has good team of production, maintenance and electrical staff for smooth running of the unit. 

The Mat finish and cut to length production of CR sheets have been introduced which has application in rubber

industry, building construction besides other industrial use in automobiles and infrastructure products. The

manufacturing process utilizes the latest technology and the most modern equipment for cold rolling, for

producing high quality cold rolled steel coils& sheets.

The process includes judicious selection of H. R. Coils, that

are sourced from best in country or from imports and then providing them cold reductions which are suited to

develop. Abiding by the principle of “quality first and customer first”, keeping promise and being initiative and

innovative, we apply ourselves to develop the new products and have been seeking the first class technology

and management. We would like to provide excellent products and satisfactory services for the customers.

10

Contact Address:

Works Office Corporate Office

HARYANA FOILS LIMITED HARYANA FOILS LIMITED

PLOT NO:15 90 VIDYA VIHAR SOCIETY

INDUSTRIAL AREA OUTER RING ROAD

SECTOR-21 PITAM PURA WEST

BHIWANI-127021 (HARYANA) OPP.MANGOLPURI CHOWK

INDIA NEW DELHI34 -110034

PHONE-+91-1664242933 INDIA

+91-1664243157 PHONE- +91-11-27010450

FAX-+91-1664241556 FAX- +91-11-27018419

E-mail- chander@haryanafoils.com E-mail- marketing@haryanafoils .com

11

MISSION

To be a reckoning force in steel Manufacturing industry through adoption of better Quality material

and Modernized techniques.

VISION

To produce the best quality steel at an affordable price through technology upgradation, value

proposition and deep concern for customer satisfaction while running all social & environmental

responsibilities.

12

TOP MANAGEMENT

Company is efficiently managed by Mr. Pawan Kumar Gupta ; He is the founder members of former Haryana

Rolling Mill, which was later converted in a Limited Company. As unit was started in 1982, so they have seen

ups and down of the industry very closely. Now, they have matured knowledge about the industry and had

successfully managed the Company during the recessionary phase of three to four years during 1999-2000 to

2003-04 in the country.

TOP MANAGEMENT

• Mr. Deepak Gupta (Marketing)

• Mr. Chander Gupta (International Business)

• S.N. Aggarwal (Head of Production Dept.)

• Mr. Praveen Jain (Head of Finance and Accounts Dept)

• Mr. Maman Chand (Head of HR department)

13

GROUP COMPANIES

A. Haryana Foils Limited     (Manufacturing CR Coils and Strips)

B. Suma Fibres and allies limited (Manufacturing Varnish Coated CR Coils and Strips)

C. Quantum Metallics Private Ltd     (Trading company dealing into Flat Steel products)

D. BMB Finvest Private Ltd     (Non Banking Financial Company )

14

RAW MATERIALS

Haryana Foils has association / MOUs with India’s Largest Steel Manufacturers and currently sourcing its

raw material from the following companies / Countries.

Steel Authority of India Limited

Essar Steel Limited

Tata Steel Limited

Ispat Industries Limited

Jindal South West

Lloyd Steel Limited

Orient Steel Limited

Imports from China, Russia, Ukraine, Canada

15

MAIN PRODUCTS   OF HARYANA FOILS LIMITED

Haryana Foils Limited offers a very comprehensive product mix. Most of the products are tailor made

to cater the need of various industrial / commercial / OEM segments.

 

(A) MILD STEEL

 

COILS/STRIPS/SHEETS WIDTHS UP TO 0.1000mm THICKNESS BETWEEN 0.14mm & 2.0mm

CUT LENGTH RANGE MAX. 5000 mm MIN. 300mm

COIL WEIGHT & SIZE Max. 10kg & 508mm

SPECIFICATIONASTM A568, BS 1149 DIN 1623, IS: 513, JISG 3141 or equivalent , SAE 1006,

SAE 1008, Q-195, SPCC

GRADE Ordinary  Drawing ,Deep Drawing (DD), Extra Deep Drawing (EDD)

FINISH Bright (For electroplating etc.) Matte (For Painting)

B. HIGH CARBON STEEL

 

STRIPSWIDTHS FROM 10MM TO MAXIMUM UP TO 600mm THICKNESS

BETWEEN 0.30 mm & 2.0mm

COIL WEIGHT APPROX 100 KG TO 5000 KG MAX.

SPECIFICATION SAE 1040 / SAE 1050 / SAE 1060 / SAE 1080

GRADEFULL HARD FOR CUTTERS ETC AND, Drawing(D) FOR AUTOMOBILE

INDUSTRY AND SHOE SHANK APPLICATIONS

FINISH Bright

16

MARKETS

Haryana Foils Limited is a leading producer of Cold Rolled Steel Strips for several engineering based

applications.

Furniture industry(35%)

Automobile industries(40%)

Others(25%)

 

Others:- Home appliance Cutters / blades industry Paint chemicals /drum industry

17

18

CONCEPTUALIZATION

INTRODUCTION:-

Appraisal of performance is widely used in society. Parents evaluate their children, teachers evaluate their

students and Officers evaluate their employees. However, formal evaluation of employees is believed to have

been adopted for the first time during the First World War.

CONCEPT OF PERFORMANCE APPRAISAL:-

Performance evaluation or performance appraisal is the process of assessing the performance and the progress

of an employee or of a group of employees on a given job and his potential for future development. It consists

of all formal procedures used in working organizations to evaluate personalities, contributions and potentials of

employees.

Performance appraisal is a method of evaluating the behavior of employees in the work spot, normally

including the both qualitative and quantitative aspects of job performance. It is a systematic and objective way

of evaluating both work-related behavior and potential of employees. It is a process that involves determining

and communicating to an employee how he or she is performing the job and ideally, establishing a plan of

improvement.

According to Flippo:-“Performance appraisal is the systematic, periodic and impartial rating of an

employee’s to his present job and his potential for a better job”

It is the process of obtaining, analyzing and recording information about the relative worth of an employee.

Performance appraisal and merit rating are used synonymously. But performance appraisal is wider than merit

rating. Actually performance appraisal focuses on the performance and future potential of employee.

19

FEATURES:-

The main characteristics of performance may be listed thus:

o It is a systematic process involving three steps:(a) Setting work standards.

(b) Assessing employee’s actual performance. I Providing feedback to the employees so that they can remove their deficiencies and improve their performance in course of time.

(9) It tries to find out how well the employee is performing the job and tries to establish a plan for further improvement.

o The appraisal is carried out periodically, according to a definite plan. It is certainly not a shot deal.

o Performance appraisal is not a past oriented activity, with the intention of putting poor performers in a spot. Rather it is a future oriented activity showing employees where things have gone wrong, how to set everything in order and deliver results using their potential evaluation. On the other hand, determine how much a job is worth to the organization and therefore, what range of pay should be assigned to the job.

o Performance appraisal may be formal or informal. The informal evaluation is more likely to be subjective and influenced by personal factors. Some employees are liked well than others. The formal system is more likely to be more fair and objective, since it is carried out in a systematic manner, using printed appraisal forms.

o Performance appraisal is not limited to fouls. Its focus is on employee development. It forces managers to become coaches than judges. It provides an opportunity to find issues for discussion eliminate any potential problems and set new goals for achieving higher performance.

.

20

THE PERFORMANCE APPRAISAL PROCESS

21

PerformanceStandards

ComparingWith

StandardsStandards

DiscussingResult

MeasuringPerformanc

e

CommunicatingThe

Standards

TakingCorrective

Action

The performance appraisal process follows a set pattern and it consists of the following steps:

(1)Establishing performance standards: The appraisal system begins with the setting up of criteria to be

used for appraising the performance of employees. The criterion is specified with the help of job analysis which

reveals the contents of the job. The criteria should be clear, objective and in writing.

If work performance cannot be measured, the personnel characteristics which

contribute to employee performance must be determined. These characteristics include work quality, honesty,

reliability, cooperation and team-work, job knowledge, initiative, leadership, safety consciousness, attendance,

learning ability, adaptability, judgment, sense of responsibility, health and physical condition etc.

Who is doing the appraisal and how frequently appraisal is to be done should also be decided. It

mainly depends on the objectives of the appraisal i.e. to appraise actual performance on the present job or to

judge potential for higher jobs.

2) Communicating the standards: The performance standards specified in the first step are communicated

and explained to the employees so that they come to know what is expected of them. The standards should be

conveyed to the evaluators. If necessary, the standards may be revised or modified in the light of feedback

obtained from the employees and the evaluators.

3) Measuring performance: Once the performance standards are specified and accepted, the next stage is

the measurement of actual performance. This requires choosing the right technique of measurement, identifying

the internal and external factors influencing performance and collecting information on results achieved.

Personal observations, written reports and face to face contacts are the means of collecting data on performance.

What is measured is more important than how it is measured.

22

(4) Comparing with Standards: After measuring the actual performance, the measured performance is

compared with the predetermined standards to carry out the deviations between predetermined standards and the

actual performance of the employees.

5) Discussing Results: After comparison of actual performance with standards the results are discussed with

various members of the organization because a decision regarding an employee is taken by various

organizational members then a report is prepared and thus report is sent to executives then if there is deviation

because of organizational resources then this deviation will be removed by top management executives. In this

the reasons due to which the deviation is taking place are identified.

6) Taking Corrective action: In the above step the deviation is discussed and is ordered to remove but the

implementation of removal of deviation is taken at the last step in the reasons due to which the deviation is

taking place are removed to reduce the difference between the predetermined standards and the actual

performance.

23

OBJECTIVES OF PERFORMANCE APPRAISAL:-

This would include how they:

· did;

· could do better in future;

· could obtain a larger share of rewards; and

· could achieve their life goals through their position.

Therefore an employee would desire that the appraisal system should aim at:

· their personal development;

· their work satisfaction; and

· their involvement in the organization.

From the point of view of the organization, performance appraisal serves the purpose of:

· providing information about human resources and their development;

· measuring the efficiency with which human resources are being used and improved ;

· providing compensation packages to employees; and

· maintaining organizational control.

Performance appraisal should also aim at the mutual goals of the employees and the organization. This is

essential because employees can develop only when the organization’s interests are fulfilled. The organization’s

main resources are its employees, and their interest cannot be neglected. Mutual goals simultaneously provide

for growth and development of the organization as well as of the human resources. They increase harmony and

enhance effectiveness of human resources in the organization.

24

SCOPE OF PERFORMANCE APPRAISAL

· To help each employee understand more about their role and become clear about their functions;

· To be instrumental in helping employees to better understand their strengths and weaknesses with

respect to their role and functions in the organization;

· To help in identifying the developmental needs of employees, given their role and function;

· To increase mutuality between employees and their supervisors so that every employee feels happy to

work with their supervisor and thereby contributes their maximum to the organization;

· To provide an opportunity to each employee for self-reflection and individual goalsetting, so that

individually planned and monitored development takes place;

· To help employees internalize the culture, norms and values of the organization, thus developing an

identity and commitment throughout the organization;

· To help prepare employees for higher responsibilities in the future by continuously reinforcing the

development of the behavior and qualities required for higher-level positions in the organization;

· To be instrumental in creating a positive and healthy climate in the organization that drives employees to

give their best while enjoying doing so; and

· To assist in a variety of personnel decisions by periodically generating data regarding each employee.

25

Essentials of an Effective appraisal System

Mutual Trust

Clear Objective

Standardization

Training

Job Relatedness

Documentation

Feedback and Participation

Individual Differences

Post Appraisal Review

26

Methods and Techniques of the Performance Appraisal

1 Traditional method

I Confidential report: - A confidential report is a report prepared by employee’s immediate superior. It

covers the strength and weakness main achievements and failure, personality and behavior of the

employees.

II. Free from or essay method: - under this evaluator writes a short essay on the employee’s performance

on the basis of overall impression.

III. Strategic Ranking Method :- In this technique, the evaluator assigns relative ranks to all the employees

in the same work unit doing the same job. Employees are ranked from the best to the poorest on the

basis of overall performance.

IV. Paired Comparison Method:- This is a modified form of man to man ranking. Each employees is

compared with all the others in pairs one at a time.

V. Forced Distribution Method:- Under this the rater is required to distribution his rating in the form of a

normal frequency distribution.

27

VI. Graphic Rating Scale:- It is a numerical scale indicating different degrees of a particular trait.

VII. Checklist Method:- A checklist method is a list of statements that describes the characteristics and

performance of employees on the job.

VIII. Critical Incident method:- The supervisor keeps a written record of critical events and how different

employees behaved during such events.

IX. Group Appraisal method:- A group of evaluator assesses employees. This group consists of the

immediate supervisor having the employee, other supervisor having close contact with the employees

work.

X. Field Review Method:- In this method, a training officer from the human resource department

interviews line supervisors to evaluate their respective subordinates.

28

1. Confidential Report 1. Assessment Center method

2. Free from or Essay method 2. Human Resource accounting

method

3. Strategic and ranking method 3.Behaviour anchored rating method

4. Paired Comparison 4.Appraised Through MBO

5. Forced Distribution Method 5.360 Degree Appraisal Technique

6. Graphic Scale

7. Checklist Method

8. Critical Incident Method

9. Group Appraisal method

10. Field Review method

29

Techniques of Performance Appraisal

Traditional Techniques Modern Techniques

MODERN TECHNIQUES:-

I. Assessment Center method: -

Assessment center is a group of employees drawn from different work units. These employees work

together on an assignment similar to the one they would be handling when promoted. Evaluators observe

and rank the performance of all the participants.

II. Human Re source Accounting Method: -

Under this method, performance is judge in term of costs and contribution of employees.

III. Behavioral Anchored Rating Scale ( BARS ):- This method combines graphic rating scale with critical

incident method. BARS are descriptions of various degrees of behaviors relating to specific performance

dimension.

IV. Appraised Through MBO:- MBO has been defined as “a process whereby the superior and

subordinate managers of an organization jointly identify its common goals, define each individual’s

major areas of responsibility in term of result expected of him and use these measure as guides for

operating the unit and assessing the contribution of each of its member.

V. 360 Degree Appraisal Technique:- 360-degree system involves evaluation of a manager by every one

above, alongside and below him. Structured questionnaires are used to collect responses about a

30

manager from his bosses, peers and subordinates.

USES OF PERFORMANCE APPRAISAL

1. Performance appraisal provides valuable information for personal decisions such as pay increases, demotions, transfers and terminations.

2. It helps to judge the effectiveness of recruitment, selection, placement and orientation system of the organization.

3. It is useful in analyzing training and development needs. These needs can be assessed because performance appraisal reveals people who recruit further training to remove their weaknesses.

4. Performance appraisal can be used to improve performance through appropriate feedback, working and counseling to employees.

5. Performance appraisal facilitates human resources planning, career planning and succession planning.

6. Systematic appraisal of performance helps to develop confidence among employees.

7. It promotes a positive work environment which contributes to productivity.

8. A competitive spirit is created and employees are motivated to improve their performance.

31

PROBLEMS IN PERFORMANCE APPRAISAL

(A) HALLO EFFECT:

It is tendency to rate an employee consistency high or low on the basis of overall impression. One trait of the employee influences the rater’s appraisal on all other traits.

(b) STEREOTYPING:

This amplifies forming a mental picture of a person on the basis of his age, gender, caste or religion.

(C) CENTRAL TENDENCY:

It means assigning average ratings to all the employees to avoid commitment. This is adopted because the rater has not to justify or clarify the average ratings.

(d) CONSTANT ERROR:

Some evaluator tends to be lenient while others are strict in assessing performance.

(e) PERSONAL BIAS:

Personal appraisal may become invalid because the rater dislikes an employee. Such bias may arise on the basis of regional or religious beliefs.

32

FOCUS OF THE PROBLEM

There is a slight difference between focus and the objective. As objective can be many in number but the

focus concentrate on one thing or in simple way you can say that focus means primary thing you want to

find out and objectives are secondary.

In this particular report, my focus is on to find out the satisfaction level of employees towards company’s

performance appraisal system applied in the organization.

  

  

  

  

33

  

OBJECTIVES OF THE STUDY

The main objective of any kind of research is to understand the reality behind a phenomenon. It

involves a systematic investigation involved to add to the available information through scientific

procedures.

The main objective of this study was to know employees satisfaction regarding performance

appraisal system of HARYANA FOILS LIMITED. The sub objectives that we wanted

to achieve are as follows:-

o To find out the satisfaction level of employees regarding companies appraisal system.

o To know whether the employees are aware of the appraisal technique followed by the company.

o To ascertain factors, considered while appraising the performance of employees.

o To know that whether there is any biasness in the performance appraisal system of the organization.

o To analyze the various factors that can motivate employees in their work.

o To invite suggestions for the Satisfaction level of the employees.

34

RESEARCH METHODOLOGY

Meaning of Research:

Research is defined as “A scientific and systematic search for pertinent information on a specific topic.

Research is an art of scientific investigation. Research is a systematized effort to gain new knowledge. It is a

careful investigation or inquiry especially through search for new facts in any branch of knowledge. The search

for knowledge through objective and systematic method of finding solution to a problem is research.

Research Methodology:

It is a way to systematically study & solve the research problems. If a researcher wants to claim his study as a

good study; he must clearly state the methodology adopted in conducting the research so that it may be judged

by the reader whether the methodology of work done is sound or not.

The Research methodology here includes:-

1) Research Design

2) Universe and Survey Population

3) Sample

4) Collection of Data

5) Analysis of Pattern

35

Research Design:

A research design is the arrangement of conditions for collection and analysis of data in a manner that aims to

combine relevance to the research purpose with combine in procedure.The current study is exploratory cum

descriptive in nature.

Exploratory Research Design:

The main purpose of such studies is that of formulating a problem for more precise investigation or of

developing the working hypotheses from an operational point of view. The major emphasis in such studies is on

the discovery of ideas and insights.

Descriptive Research Design:

Descriptive research studies are those studies, which are concerned with describing the characteristics of a

particular individual or of a group.

Sample design:

A sample design is a definite plan for obtaining a sample from a given population.

A representative part of a total population is called sample. The selection process is called Sampling Technique. The survey so conducted is called Sampling Survey.

In this sampling, area is BHIWANI (HARYANA) and the sampling unit is HARYANA FOILS LIMITED. The size of sample is 20 staff members in the HARYANA FOILS LIMITED. The sampling technique used is Convenient sampling.

HYPOTHESIS:-

36

NULL HYPOTHESIS:- Employees are satisfied with the techniques adopted by their top management.

ALTERNATIVE:- Employees are not satisfied with the techniques adopted by their top management.

Universe:

Universe refers to the entire population taken understudy. Here, the universe consists of foils manufacturing

companies.

Population:

Population refers to the Total number of employee’s works in HARYANA FOILS LIMITED . The numbers of

Employees works in HFL are 40.

.

Sampling Procedure:

In sampling procedure the decision regarding technique to be used in selecting the items for the sample is taken.

Here the technique used is convenient sampling, area sampling .

Data Collection:

Data is of two type –

1) Primary Data

2) Secondary Data

Primary data:-

Primary data are those, which are collected afresh and for the first time and it is original in correct. Primary

data are collected with the help of questionnaire.

Secondary Data:

37

Secondary data is that data which someone else has already collected and which have already been passed

through the statistical process. Here, secondary data is collected from internet, annual reports and publications.

Data Analysis:

After collecting the data it has to be processed and analyzed. The term analysis refers to the computation of

certain measure along with searching for patterns of relationship that exist among data groups. This study

involves percentage ,graphs.

Data Interpretation:

Interpretation refers to the task of drawing inferences from the collected facts after at analytical study.

38

39

Questionnaire

Name:Age:Gender: Marital Status:Post:Contact No:

Q1. Does your organization have performance appraisal system in practice regularly?

Yes. No

Q 2. Are you satisfied with the performance appraisal technique adopted by your organization?

Yes No Can’t Say

Q.3 What kind of performance appraisal Technique used in your organization?

360 Degree Other Can’t Say

Q 4 Does performance appraisal contributes in any way to your career enhancement?

Job Enrichment Promotion Pay Hike Others

Q 5. How much time does it take to put the results of performance appraisal into practice?

0-2months 2-4months 4-6months

Q 6.Do you think that rewards given to you as per your performance is adequate?

Yes No Can’t says

40

Q 7. If the performance is negative, then which of the following measures is taken in your organization?

Demotion Incentive Reduction Training Programme

Q.8 Do you think that you are appraised as per your performance?

Always Sometime Rarely Never

Q.9 Have the results of last Performance Appraisal been executed?

Yes No

Q 9. What steps should be taken by your organization to make Performance Appraisal System more effective?

Suggestion:-

(Signature)

41

ANALYSIS AND INTERPRETATION

Q1. Does your organization have performance appraisal system in practice regularly?

TABLE:-

YES NO

40% 60%

INTERPRETATION:

The objective of this question is to find out that whether the performance appraisal is on regular time period or

not. This graph shows that Only 40% employees says that performance appraisal is on regular basis and 60%

employees says that performance appraisal is on irregular basis.

42

Q 2. Are you satisfied with the performance appraisal technique adopted by your organization?

TABLE:-

YES NO CAN’T SAYS

60% 30% 10%

INTERPRETATION:

The objective of this question is to find out that whether the employees are Satisfied with the technique

followed in their organization or not. This graph shows that Only 60% employees are satisfied with the

techniques used for evaluating their performance.

43

Q.3 What kind of performance appraisal Technique used in your organization?

TABLE:-

360 Degree Other Don’t know

80% 15% 5%

GRAPH:-

INTERPRETATION:

The objective of this question is to find out that whether employees know the technique followed in their

organization or not. This graph shows that 80% employees know the techniques used for evaluating their

performance.

44

Q 4 Does performance appraisal contributes in any way to your career enhancement?

TABLE

Job Enrichment Promotion Pay hike Other

15% 20% 60% 5%

GRAPH

INTERPRETATION:

This graph shows that performance and promotions are 60% considered in the organization and 20% employees

consider promotion and 15% employees consider job enrichment.

45

Q 5. How much time does it take to put the results of performance appraisal into practice?

TABLE:-

0-2 months 2-4 months 4-6 months

0% 80% 20%

INTERPRETATION:-

This graph indicates that 80% employees says that company takes 2—4 months to put the results and 20% says

that 4-6 months...So according To employees they are not happy with the time period taken by the company to

put the result.

46

Q 6.Do you think that rewards given to you as per your performance is adequate?

TABLE:-

YES NO CAN’T SAYS

50% 40% 10%

INTERPRETATION:-

This graph indicates that only 50% employees happy with the reward given to him/her as per their

Performance and 40% employees are not happy with the reward given to him/her as per their performance.

Q 7. If the performance is negative, then which of the following measures is taken in your organization?47

TABLE

DEMOTION INCENTIVE REDUCTION TRAINING PROGRAMME

70% 20% 10%

GRAPH

INTERPRETATION:

This graph signifies that 70% employees when ever their performance is negative then they go for demotion..

Their should be training programme for improving their performance efficiency..

48

Q.7 Do you think that you are appraised as per your performance?

TABLE

GRAPH

INTERPRETATION:

In this graph it defines that 60% employees think that they are appraised as per your performance while 30%

employees think that they are sometimes appraised as per their performance and 10% think that they are rarely

appraised according to their performance. This graph signifies that 40% employees are not satisfied with their

appraised performance.

ALWAYS SOMETIMES RARELY NEVER60% 30% 10% 0%

49

Q8 Have the results of last Performance Appraisal been executed?

TABLE

YES NO

0% 100%

INTERPRETATION:-

This graph shows that 100% employees says that result of last appraisal have been not executed.

50

Q. 9 How much you are satisfied with appraisal of your performance this year?

TABLE

HIGHLYSATISFIED

40%

SATISFIED 50%

DISSATISFIED 10%

HIGHLYDISSATISFIED

0%

GRAPH

INTERPRETATION:

We can see that 40% employees are highly satisfied with their performance, 50% are satisfied and only 10%

employees are dissatisfied with their performance of this year which means employees needs little

improvement.

51

Q.10 How many of employees feel that there is biasness in their performance appraisal system?

TABLE

NO 70%

YES 30%

GRAPH

INTERPRETATION:

We can see that 70% employees think that performance work achievement of task can be the basis for the

appraisal of performance..

52

Q.10 Any suggestions or comment would you like to share?

TABLE

YES 20%

NO 80%

GRAPH

INTERPRETATION:

This graph shows that 80% employees are satisfied with their performance appraisal system while only 20%

have their suggestions regarding the betterment of performance appraisal system.

53

SUGGESTIONS:

1) Goal achievement should also be weighted according to the percentage achieved

of predetermined target in a specified time period.

(2) Instead of following only one techniques other techniques should also be followed and weightage of all

methods should be taken into consideration while appraising performance.

54

LIMITATIONS OF THE STUDY

Every survey has some sort of limitations and this survey also has some limitations:

(1)Lack of Interest:

The employees do not show any interest in filling the questionnaire because they thought that it is not

beneficial for them.

(2)Small sample size:

The sample size was very small so it is difficult to conclude for the whole employee’s satisfaction level on

the basis of sample data.

(3)Fear in employees mind:

All the randomly selected employees were afraid of giving the proper information.

(4)Lack of Cooperation: Our guiders confuses us because of difference in their thoughts and working criteria.

55

ORGANISATION OF THE STUDY

(1) This chapter includes what is the importance of the study, means how it is beneficial to other persons

includes employees of the company, for top management of the company, and for the person after me who is

going to study the respective topic as secondary data.

(2) This chapter contains how much study has been taken place on the same topic before me. Which secondary

data I use for my project?

(3) The Chapter three contain all the information regarding ‘HARYANA FOILS LIMITED’

(4)This chapter contains all the information regarding the topic “performance appraisal” its uses, methods,

objectives, problems means all the detail of the complete topic.

(5) This chapter contains what is my main aim to do the study of the topic performance appraisal, on which

point I concentrate more means what is my project’s primary aim.

(6) This chapter contains objectives and hypothesis. Hypothesis means the presumptions that I assume before

doing my study.

(7) This chapter contains all the information about the research methodology used for doing the entire study.

Research methodology includes research design, universe and survey population, sample design, collection of

data, analysis and interpretations.

(8) This chapter contains limitations which I faced in the study.

(9) This chapter contains all the information’s means how I organize my study.

(10) The Chapter 10 Contain conclusion of the Study.

(11) This chapter includes from where I collect all the data, which I use in the project.

56

CONCLUSION

As the project helps to understand the very basic things regarding appraisal system, I felt some requirements to

make appraisal systems more efficient.

Few suggestions are:

Only one techniques should not be used.

Appraisal must base on performance and efficiency of employees without any biasness, which helps to

remove the conflicts between the employees.

After performance appraisal of employees proper training should be given to them so that they can

remove their deviations.

Several steps for personal development of employees should also be taken so that the reasons behind the

good or bad performance can be known and can be removed.

Time interval to put the Result is very large. it should be maximum 20 days.

57

REFERENCES

BOOKS:-

Kothari C.R. (2004), “Research Methodology: Methods and Technology”, Second Edition, New Age

International Publishers, New Delhi.

Rao V S P,” Human Resource Management” second Edition 2006, Published by Anurag Jain for Excel

Book, New Delhi.

C.B GUPTA

WEBSITES:-

www.google.com

www.haryanafoils.com   

www.hrmguide.com    

58

59

60

61

62

63

64

.

65

66

.

67