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Satisfaction of managerial employees on performance appraisal system in Apollo Tyres Limited, Kalamassery

Project Report submitted in partial fulfillment for the award of degree of Master of Business Administration of Cochin University of Science and Technology

by

JOB THOMAS
Reg !o "#$%&%&&

under the guidance of Prof 'r Se(astian R)pet Mampilly

School of Management Studies *oc+in ,ni-ersity of Science and Tec+nology Cochin, Kerala, India PIN 682 022
Marc+ .%&$

'/*LARAT0O!
I, ob !homas do hereby declare that this "ro#ect re"ort entitled $Satisfaction of managerial em"loyees on "erformance a""raisal system in %"ollo !yres &imited, Kalamassery' is a bonafied record of the (or) done by me under the guidance of Prof* +r* Sebastian ,u"et Mam"illy in "artial fulfillment for the a(ard of degree of Masters of -usiness %dministration of Cochin .ni/ersity of Science and !echnology* I also declare that this thesis re"ort has not been submitted by me fully or "artially for the a(ard of any degree, di"loma or title or recognition before*

Place0 Kochi122 +ate0 23th %"ril 2024 JOB THOMAS

A*K!O1L/'2/M/!T

5irst and foremost, I than) the almighty 6od for besto(ing me (ith good health and confidence to com"lete the "ro#ect on time* I (ould li)e to e7"ress my hearty gratitude to +r* M* -hasi, +irector, School of Management Studies for introducing me to the organi8ation %"ollo !yre &imited, Kalamassery* I (hole heartedly record my sincere gratitude to my su"er/isor Prof* +r* Sebastian ,u"et Mam"illy of SMS for guiding me on the research as"ects of the thesis* I am e7tremely than)ful to +r* ,a#itha Kumar, M-% 9P!: Coordinator of SMS for guiding me on "ractical sam"ling techni;ues of ;uestionnaire sur/ey method* I e7"ress sincere than)s to +r* Sam !homas, M-% 9P!: 2020124 batch mentor of SMS for guiding me on organi8ational certificate re;uirements of the thesis* I record my gratitude to Mr* Shefin Salam, <7ecuti/e of =uman ,esource +e"artment, %"ollo !yres &imited, Kalamassery for facilitating to carryout this research (or) in the organi8ation*

JOB THOMAS Place0 Kochi122 +ate0 23th %"ril 2024

*/RT030*AT/ !his is to certify that "ro#ect re"ort entitled $Satisfaction of managerial em"loyees on "erformance a""raisal system in %"ollo !yres &imited, Kalamassery' is a bonafied record of the (or) done by Mr Jo( T+omas, si7th semester M-% 9P!: student of this school submitted in "artial fulfillment of the re;uirement of a(ard of degree of Mater of -usiness %""lication of Cochin .ni/ersity of Science and !echnology during %"ril 2024*

'r Se(astian R)pet Mampilly Pro#ect guide

'r M B+asi +irector

*O!T/!TS
!itle *+apter & 0ntrod)ction 2*2* >/er/ie( 2*2* Performance a""raisal and em"loyee satisfaction 2*4* Summary *+apter . 0nd)stry and company profile 2*2* Industry structure and de/elo"ment 2*2* International scenario 2*4* 6lobal com"etitors 2*3* Indian scenario 2*?* Com"eting Indian tyre com"anies 2*6* =ighlights of Indian tyre industry 2*@* %"ollo tyres limited 2*8* Cor"orate o/er/ie( 2*A* Bision and /alues 2*20* Presence 20 2*22* -rands 2*22* Sustainability 2*24* Summary 23 *+apter $ T+eoretical frame 4or5 4*2* Introduction 4*2* +efinition of Performance a""raisal 4*4* =istory of Performance a""raisal 4*3* Pur"oses of "erformance a""raisal 4*?* .ses of "erformance a""raisal 4*6* %""roaches of Performance a""raisal 4*@* !iming of a""raisal 4*8* >b#ecti/es of "erformance a""raisal 4*A* Process of "erformance a""raisal 4*20* Performance %""raisal for different (or)grou"s 4*22* Performance %""raisal Methods 4*22* <m"loyee satisfaction 4*24* +efinition of <m"loyees satisfaction 4*23* Meaning of em"loyee satisfaction 4*2?* =istorical de/elo"ment of measurement of <m"loyee satisfaction 4*26* Sources of em"loyee satisfaction 4*2@* Performance a""raisal at %"ollo !yre &imited, Kalamassery 43 4*28* Summary 46 Page number 2 2 4 3 ? 6 @ @ 8 A A 20 22 24

2? 2? 26 2@ 20 20 22 22 22 23 26 2A 40 40 42 42

*+apter 6 Researc+ met+odology 3*2* Introduction 3*2* Need for study 3*4* Statement of the "roblem 3*3* ,esearch ob#ecti/es 3*?* Sur/ey method 3*6* Sam"ling 3*@* +ata collection 3*8* Method of data analysis 3*A* >rgani8ation of research re"ort 3*20* Summary 32 *+apter # 'ata analysis and interpretations ?*2* Introduction ?*2* +emogra"hic details of the res"ondents ?*4* 5re;uency of res"onse ?*3* +escri"ti/e statistics ?*?* Performance a""raisal C satisfaction inde7 9P%SI: ?*6* !esting of hy"othesis ?*@* Influence of age of em"loyee on "erformance a""raisal satisfaction ?*8* Influence of formal education on satisfaction of "erformance a""raisal ?*A* Influence of com"any e7"erience on satisfaction of "erformance a""raisal ?*20* Summary A@ *+apter 7 S)mmary, 3inding, *oncl)sions and Recommendations 6*2* Summary 6*2* 5indings 6*4* Conclusions 6*3* ,ecommendations Bi(liograp+y Appendi8 A9 :)estionnaire

4@ 4@ 4@ 4@ 48 48 4A 30 32

34 34 36 ?3 ?@ ?@ 62 @2 8?

AA AA 202 202 202 203

List of Ta(les
!itle Page number 32 34 33 3? 3? 3@ ?? ?8 ?A 60 62 6A @2 @2 @4 82 83 83 8? A4 A6 A@

!able 3*2* %N>B% com"utation !able ?*2* 6ender statistics !able ?*2* %ge statistics !able ?*4* 5ormal education statistics !able ?*3* <7"erience statistics !able ?*?* 5re;uency of res"onse for statements !able ?*6* Statistics of score of res"onse for statements in ;uestionnaire !able ?*@* Statistical e/aluation of the o/erall res"onses !able ?*8* Correlation coefficient matri7 of factors influencing em"loyee satisfaction and "erformance a""raisal !able ?*A* ,esults of %N>B% using MicrosoftD e7cel "rogram !able ?*20 Com"arison of fre;uency of res"onse of statements by em"loyees of different age grou"s !able ?*22* +escri"ti/e statistical analysis of influence of age on res"onse of scores for statements in ;uestionnaire !able ?*22* !he correlation of mean of scores of statements by different age grou"s !able ?*24* ,esults of %N>B% of mean scores of res"onses of different age grou"s !able ?*23 Com"arison of fre;uency of res"onse of statements by em"loyees ha/ing different education !able ?*2?* +escri"ti/e statistical analysis of influence of formal education on res"onse of scores for statements in ;uestionnaire !able ?*26* !he correlation of mean of scores of statements by different em"loyees grou"s differ in formal education !able ?*2@* ,esults of %N>B% of mean scores of res"onses of em"loyees grou"s differ in formal education !able ?*28 Com"arison of fre;uency of res"onse of statements by em"loyees differ in e7"erience !able ?*2A* +escri"ti/e statistical analysis of influence of com"any e7"erience on res"onse of scores for statements in ;uestionnaire !able ?*20* !he correlation of mean of scores of statements by different em"loyees grou"s differ in com"any e7"erience !able ?*22* ,esults of %N>B% of mean scores of res"onses of em"loyees grou"s differ in com"any e7"erience

List of 3ig)res
!itle Page number 6 @ 8 20 26 22 44 33 33 3? 36 38 38 3A 3A ?0 ?2 ?2 ?2 ?4 ?4 ?3 ?@ 64 63 63 6? 6? 66 6@ 6@ 68 68 @2 @? @6 @6 @@ @@ @8 @A @A 80 80

5ig* 2*2* ,ubber consum"tion in India 5ig* 2*2* ,an)ing of !yre com"anies based on re/enue in global mar)et 5ig* 2*4* ,an)ing of tyre com"anies based on "roduction in India 5ig 2*3* +etails sho(ing the (orld1(ide "resence of %"ollo 5ig 4*2* Pur"oses of "erformance a""raisal 5ig 4*2 Performance a""raisal "rocess 5ig 4*4 5actors influencing em"loyee satisfaction 5ig ?*2* 6ender statistics of res"ondents 5ig ?*2* %ge statistics of the res"ondents 5ig ?*4* <ducation statistics of the res"ondents 5ig ?*3* !he %"ollo !yres &td e7"erience statistics of res"ondents 5ig* ?*?* !he fre;uency of res"onse for statement no*2 5ig* ?*6* !he fre;uency of res"onse for statement no*2 5ig* ?*@* !he fre;uency of res"onse for statement no*4 5ig* ?*8* !he fre;uency of res"onse for statement no*3 5ig* ?*A* !he fre;uency of res"onse for statement no*? 5ig ?*20* !he fre;uency of res"onse for statement no*6 5ig ?*22* !he fre;uency of res"onse for statement no*@ 5ig ?*22* !he fre;uency of res"onse for statement no*8 5ig ?*24* !he fre;uency of res"onse for statement no*A 5ig ?*23* !he fre;uency of res"onse for statement no*20 5ig ?*2?* !he range and mean of the scores of the statements 5ig ?*26* P%SI of res"ondents 5ig ?*2@* Influence of age on res"onse of statement number 2 5ig ?*28* Influence of age on res"onse of statement number 2 5ig ?*2A* Influence of age on res"onse of statement number 4 5ig ?*20* Influence of age on res"onse of statement number 3 5ig ?*22* Influence of age on res"onse of statement number ? 5ig ?*22* Influence of age on res"onse of statement number 6 5ig ?*24* Influence of age on res"onse of statement number @ 5ig ?*23* Influence of age on res"onse of statement number 8 5ig ?*2?* Influence of age on res"onse of statement number A 5ig ?*26* Influence of age on res"onse of statement number 20 5ig ?*2@* Influence of age of em"loyees on the mean score of res"onses for the statements 2 to 20 5ig ?*28* Influence of formal education on res"onse of statement number 2 5ig ?*2A* Influence of formal education on res"onse of statement number 2 5ig ?*40* Influence of formal education on res"onse of statement number 4 5ig ?*42* Influence of formal education on res"onse of statement number 3 5ig ?*42* Influence of formal education on res"onse of statement number ? 5ig ?*44* Influence of formal education on res"onse of statement number 6 5ig ?*43* Influence of formal education on res"onse of statement number @ 5ig ?*4?* Influence of formal education on res"onse of statement number 8 5ig ?*46* Influence of formal education on res"onse of statement number A 5ig ?*4@* Influence of formal education on res"onse of statement number 20

5ig ?*48* Influence of formal education of em"loyees on the mean score of res"onses for the statements 2 to 20 5ig ?*4A* Influence of com"any e7"erience on res"onse of statement number 2 5ig ?*30* Influence of com"any e7"erience on res"onse of statement number 2 5ig ?*32* Influence of com"any e7"erience on res"onse of statement number 4 5ig ?*32* Influence of com"any e7"erience on res"onse of statement number 3 5ig ?*34* Influence of com"any e7"erience on res"onse of statement number ? 5ig ?*33* Influence of com"any e7"erience on res"onse of statement number 6 5ig ?*3?* Influence of com"any e7"erience on res"onse of statement number @ 5ig ?*36* Influence of com"any e7"erience on res"onse of statement number 8 5ig ?*3@* Influence of com"any e7"erience on res"onse of statement number A 5ig ?*38* Influence of com"any e7"erience on res"onse of statement number 20 5ig ?*3A* Influence of com"any e7"erience of em"loyees on the mean score of res"onses for the statements 2 to 20

84 8@ 88 8A 8A A0 A0 A2 A2 A2 A4 A6

/;/*,T0</ S,MMAR=
Performance a""raisal is an essential management techni;ue* !he study aims to measure the satisfaction of the managerial em"loyees on the "erformance a""raisal system in %"ollo !yres &imited, Kalamassery* !he ;uestionnaire sur/ey method is ado"ted for e/aluating the satisfaction of the em"loyees* %"ollo is a leading tyre factory ha/ing (orld (ide "resence* In India, %"ollo stands first based on re/enue and second based on "roduction* Performance a""raisal is an im"ortant management tool to audit human ca"ital* In many organi8ations, a""raisal results are used as a tool to fi7 the re(ard* !he a""raisal results are used to identify better "erforming em"loyees for "lacement to higher "ost in the hierarchy of organi8ational structure* !he satisfaction of em"loyee to(ards the a""raisal system of the com"any de"ends on many factors such as communication, measurement "olicies and "ost re/ie( "olicies* !he total out"ut of the organi8ation de"ends on satisfaction le/el of em"loyees* !he "erformance a""raisal is an im"ortant tool to many human resource functions* =ence, relationshi" bet(een em"loyee satisfaction and "erformance a""raisal is an im"ortant area of research* !he ;uestionnaire method is ado"ted for the collection of data* !he le/el of agreement to the ten statements are allo(ed to mar) in ? "oint score &i)ert1scale* !he sam"le has been dra(n from the "o"ulation based on the #udgment method* !he duly filled ;uestionnaire is collected from the res"ondents* !he fre;uency and descri"ti/e statistical analysis of res"onses are carried out* !he influence of age, formalE education and com"any e7"erience is studied* !he statistical a""roach %N>B% is used for the analysis of res"onses* % fair "erformance a""raisal "rocess hel"s to im"ro/e the satisfaction in em"loyees* !he (illingness to in/est additional effort of to(ards enhancing "roduction and there by mar)et and financial "osition increases (ith em"loyee satisfaction* !he "erformance a""raisal accounting for the indi/idual and team "erformance of the members (ill hel" to increase the "lant out"ut* -ased on the ;uestionnaire sur/ey conducted, it can be concluded that em"loyees of %"ollo !yre &imited, Kalamassery are satisfied (ith the "erformance a""raisal "rocess* <m"loyees satisfaction de"ends on the many as"ects of "erformance analysis and com"any ha/e to loo) into the balanced blend of im"ortant as"ects li)e communication, measurement "olicies and "ost1re/ie( decisions* FFFFF

Chapter 1 1.
3.1. Overview
</ery organi8ation is struggling to remain sustainable and com"etiti/e* !o im"lement this as"ect, strategic "lanners and human resource "rofessionals collaborate more intensi/ely in designing strategies that are "roducti/e and humane* Mar;uardt 92003: "ointed out that the organi8ations aiming at ma7imum "roducti/ity and ;uality ha/e ne/er encountered so many challenges* =o(e/er, the situations are changed and challenges are identified as the o""ortunities to gro(* In 22st century, the success of the organi8ation lies in im"lementing focused and integrated human resource "rocesses and systems*

Introduction

!he enormous transformations "rocesses that ta)e "lace in social, "olitical and economic regime dri/e the need for organi8ation to become more res"onsi/e to the ra"id de/elo"ment of global strategies and local o"erational le/els* ,eid and =ubbell 9200?: stated that culture in the organi8ation ma)es the "eo"le to engage more in the business acti/ities* =uman resource management focuses on "ersonnel related areas such as #ob design, resource "lanning "erformance management system, recruitment, selection, and com"ensation and em"loyee relations* %mong the /arious formal intentions, "erformance e/aluation and management system is the one of the im"ortant as"ects that relates to the satisfaction of em"loyee* -uilding bloc) of enhancing "erformance is creating a "erformance culture* !he satisfaction of em"loyees on "erformance e/aluation increases (hen the ga" bet(een e7ce"tions and outcome con/erges* !o ha/e the right e7"ectations, )no(ledge about the "erformance measurement system is essential* !he /arious as"ects of "erformance a""raisal system in a "ri/ate limited com"any is studied in this thesis

(or)* !he organi8ation selected for the study is %"ollo !yres &imited at Kalamassery, Cochin*

3.2. performance apprisal and Employee satisfaction


Performance a""raisal is the "rocess of obtaining, analy8ing and recording information about the relati/e (orth of an em"loyee* !he focus of the "erformance a""raisal is measuring and im"ro/ing the actual "erformance of the em"loyee and also the future "otential of the em"loyee* %ccording to 5li""o, a "rominent "ersonality in the field of =uman resources, G"erformance a""raisal is the systematic, "eriodic and an im"artial rating of an em"loyeeHs e7cellence in the matters "ertaining to his "resent #ob and his "otential for a better #ob*G Performance a""raisal is a systematic (ay of re/ie(ing and assessing the "erformance of an em"loyee during a gi/en "eriod of time and "lanning for his future* Performance a""raisal is a "o(erful tool to calibrate, refine and re(ard the "erformance of the em"loyee* Performance a""raisal hel"s to analy8e his achie/ements and e/aluate his contribution to(ards the achie/ements of the o/erall organi8ational goals*

<m"loyee satisfaction is the terminology used to describe (hether em"loyees are ha""y and contented and fulfilling their desires and needs at (or)* Many measures "ur"ort that em"loyee satisfaction is a factor in em"loyee moti/ation, em"loyee goal achie/ement, and "ositi/e em"loyee morale in the (or)"lace* 5actors contributing to em"loyee satisfaction include treating em"loyees (ith res"ect, "ro/iding regular em"loyee recognition, em"o(ering em"loyees, offering abo/e industry1a/erage benefits and com"ensation, "ro/iding em"loyee "er)s and com"any acti/ities, and "ositi/e management (ithin a success frame(or) of goals, measurements, and e7"ectations*

<m"loyee satisfaction is often measured by anonymous em"loyee satisfaction sur/eys administered "eriodically that gauge em"loyee satisfaction*

Performance a""raisal in an organi8ation is aimed at imbibing information to the em"loyees about their #ob and amount of effort and beha/iour e7"ected from them* >n the other hand, satisfaction of em"loyees is meeting e7"ectations* !he "erformance a""raisal is a tool for "romotion and "ay fi7ation in the com"any* =ence satisfaction of the em"loyee on "erformance a""raisal "lays and im"ortant role in the "roducti/ity* !he "erformance a""raisal is the creation of shared /ersion of organi8ational ob#ecti/es, occasionally through mission statements communicated to the em"loyees* Performance re/ie( measures the indi/idual targets relating to target of the o"erating units (ithin the organi8ation* !he satisfied em"loyee (ill sho( "rogress to(ards the targets of the organi8ation* Performance re/ie( hel"s to identify training needs among em"loyee* =ence study on the satisfaction of the em"loyees (ith the "erformance a""raisal "rocess in an organi8ation is im"ortant area of human resource management*

3.3. SUMMARY
Performance a""raisal is an essential management techni;ue* !he study aims to measure the satisfaction of the managerial em"loyees on the "erformance a""raisal system in %"ollo !yres &imited, Kalamassery* !he ;uestionnaire sur/ey method is ado"ted for e/aluating the satisfaction of the em"loyees* !he res"onses indicated that the em"loyees are satisfied (ith the "erformance a""raisal system in %"ollo !yres &imited, Kalamassery*

Chapter 2 2. The INDUSTRY AND Company Profile


3.4. !"US#RY S#RU$#URE A!" "E%E&O'ME!#

!he Indian tyre industry, in com"arison to its (estern counter"arts, lags behind in radial trends* .se of radial tyres for "assenger /ehicle tyres (ere maintained at A8I, (hile for commercial /ehicle segment it (as "egged at 22I C a significant gro(th (as obser/ed in the last year* !he to" ? "layers C %"ollo, -irla, Ceat, K !yres and M,5 C command o/er @0I of the mar)et, (ith "roduct offerings across all ma#or categories* India continues to be dri/en by the commercial /ehicle tyre segment, (here truc) and bus tyres contribute as much as ??I of the industryHs re/enue* !he re"lacement mar)et accounts for @0I of the re/enues, though the original e;ui"ment segment continues to "lay a crucial role in terms of /olumes and ensuring "roduct acce"tability in the consumersH mind* %mongst those (ho set u" ne( manufacturing units in the country (ere -ridgestone, K !yres and M,5* -ridgestoneHs ,s 3*4 billion "lant in central India (as com"leted in uly 2022* !he unit is geared to "roduce 22,000 truc)1bus radials and 220,000 "assenger car radials e/ery month* -oth K !yres and M,5, li)e %"ollo, chose the southern Indian state of !amil Nadu as their "referred manufacturing location* K !yresH facility, (hich (as com"leted in 5ebruary 2022 (ith an in/estment of ,s 20 billion, is e;ui""ed to manufacture around 208,000 "assenger car radials and 44,000 truc)1bus radials each month* M,5Hs facility, built (ith an in/estment of ,s A billion, has a ca"acity of 4?0,000 "assenger car radials and 60,000 truc)1bus radials "er month* Ceat also ram"ed u" ca"acity at its unit in Jestern India (ith a radial ca"acity of 2?0 tonnes "er day* !he Michelin facility in !amil Nadu (ith a ca"acity of 2 million truc)1bus radial tyres "er

year, is currently under construction and e7"ected to begin "roduction later in the year* %"olloHs manufacturing unit in !amil Nadu, (hich (ill attain full ca"acity in +ecember 2022, has been constructed to accommodate a manufacturing ca"ability of 380,000 "assenger car radials and 280,000 truc)1bus radials each month* %"ollo, -irla, -K!, 5alcon, K !yres and M,5 also sought to e7"and ca"acities in their e7isting facilities C (ith combined in/estment to the tune of ,s 4? billion* In financial year 22, (hile "roduction of truc)1bus and "assenger car tyres (ent u" by a marginal 4I and 3I res"ecti/ely, light commercial /ehicle and industrial tyre "roduction #um"ed 22I* !he total "roduction in the industry gre( by around ?I C a trend (hich is e7"ected to continue in the near future* <7"orts out of India gre( in most categories and registered the highest gro(th of 6?I in the off1the road tyre segment* In "olicy de/elo"ments, legislation on tyre labeling is scheduled to be im"lemented in <uro"e in No/ember 2022E most manufacturers are (or)ing to(ards achie/ing com"liance for the same* Jith the ne( tyre labeling system, consumers (ill be informed u"front on (here each tyre stac)s u" on the 4 )ey areas of rolling resistance, (et gri" and e7terior noise* In South %frica, the 3 local manufacturers C %"ollo, -ridgestone, Continental and 6oodyear C continue to com"ete in a mar)et (hich is dominated by im"orts* 6ro(th "lans (ere mostly "ut on hold due to "olitical and economic concerns in /arious %frican countries* In year 2022, for domestic manufacturers, (hile the "assenger car tyre category gre( marginally, truc) bus tyres had a flat year in South %frica*

3.(.

!#ER!A# O!A& S$E!AR O

!he automobile industry is the single largest consumer of natural rubber in the form of auto tyres and tubes and certain other "arts and accessories* 5or instances -ridgestone Cor"oration in a"an is the (orldHs largest "roducer of tyres* -ridgestone consumes 4 la)h tones of natural rubber annually to "roduce 68 different ty"es of tyre* Pirelli S"%

from Italy consumes 2*2 la)h tones of natural rubber in the "roduction of tyres* <conomic recession any(here in (orld generally hit first on this industry "rior to other industry* Jorld "roduction has been fairly stable in the last fi/e years* Jherein, the "roduction in India is found to be consistently increasing (ith an a/erage gro(th rate of 6 "ercent during the last 20 years* !he gro(th of the consum"tion of tyres in Indian mar)et is steady* !he /ariation in (orldHs "roduction and consum"tion is the ma#or sources of concern on the "rice front for Indian rubber sector in the free mar)et regime, (here global "ressure of im"orts and e7"orts could ma)e the rubber "rices more /olatile* %bout 3@ "ercent of the natural rubber consumed in the country goes into the "roduction of auto tyres and tubes and the details of rubber consum"tion in India are gi/en in 5igure 6* !his fairly establishes the diffused nature of consum"tion of natural rubber*

RUBBER CONSUMPTION IN INDIA Auto tyre a ! tu"e 47% 5% 4% 6% 7% 10% 13% 8% 47% Cy#$e tyre a ! tu"e%&13% 'oot(ear%&10% Be$t% a ! )o%e%&7% Ca*e$ "$a#+&6% ,ate- .oa*&5% D/00e! ru""er 1oo!&4% Ot)er ru""er 0ro!u#t%&8%

5ig* 2*2* ,ubber consum"tion in India

3.). *&O+A& $OM'E# #ORS


!he global com"etitors are -ridgestone, Michelin etc* -ased on the re/enue generated, %"ollo is in 2?th "osition* In Bision 2026, %"ollo aims to become in 20th "osition in global mar)et*

@* =an)oo)

2@* M,5

A* 6iti

28* No)ian

22* =ang8hou1 Lhongce

2A* Shandong &ingoy

4* 6ood Kear

2* -ridgestone

8* Ko)ohama

20* Ma77is

22* Coo"er

?* P/relli

26* !riangle

2* Michelin

24* Kumho

&# Apollo

5ig* 2*2* ,an)ing of !yre com"anies based on re/enue in global mar)et

3.,.

!" A! S$E!AR O

!he annual "roduction of rubber from India is about 6 la)h tones and o/er A0 "ercent of the "roduction is from southern "art of Kerala* Indian rubber industry com"rises of 42 tyre factories, about 2?0 medium scale units and 6000 small1scale units* Small scale units are "roducing e/ery concei/able rubber "roduct from toy, balloons etc* !he annual turn o/er of the industry is IN, 20,000 crores* Salient 5eatures of Indian !yre Industry

%da"tability and absor"tion <7"orts Inno/ations Indigenous and ready a/ailability !echnology "rogression Jide "roduct range for di/erse use Self efficiency and /ibrant mar)eting setu"

3.-. $OM'E# !* !" A! #YRE $OM'A! ES


!he Indian com"etitors are M,5, K etc* -ased on the "roduction, %"ollo is in second "osition*

20* Ming Kuan

3* Continental

6* Sumitomo

23* !oyo

2* M,5 . Apollo 4* K 3* C<%! ?* Modi 6* -irla @* 6ood Kear 8* Bi)rant 5ig* 2*4* ,an)ing of tyre com"anies based on "roduction in India

3... / */& */#S O0 !" A! #YRE !"US#RY


!he tyre industry is doing business (orth ,s* 20,000 cores !he e7"ort by tyre industry is ,s*4,000 cores !he future of this industry de"ends on the agricultural and industrial "erformance of the economy, the trans"ortation needs and "roduction of /ehicles !yre industry in India is fairy concentrated, (ith the to" eight com"anies accounting for more than 80 "ercent of the total "roduction of tyres !he entry barriers are high in tyre industry in India* It is highly ca"ital intensi/e industry* % "lant (ith annual ca"acity of 2*? million cross1"ly tyres cost bet(een ,s*3000 and ,s*?000 million* % similar "lant "roducing radial tyres costs ,s* 8000 million* !he automobile tyre industry is dominated by organi8ed sector and the bicycle tyre industry is hold by unorgani8ed sector* Natural rubber constitutes 2? "ercent of the total ra( material cost in tyre manufacture* !he ratio of natural rubber content to synthetic rubber content is 80020 in Indian tyres, (hereas it is 400@0 abroad* !he tyre industry consumes nearly ?0 "ercent of natural rubber "roduced in the country*

3.11. A'O&&O #YRES & M #E"


S"ecialty of %"ollo !yres &td* is the 5astest gro(ing global tyre "roducers* 5irst Indian tyre com"any to cross .SN2*? billion of net sales* &eading tyre "roducers in India (ith (ell balanced "roduct "ortfolio* &argest radial tyre manufactures in India* .=P and (inter tyre ca"abilities* Manufacturing "lant across three continents (ith global "roduction ca"acity of 263A M!O+ay* Strong "ortfolio of global and regional brands* Consistent "erformance amidst /olatile mar)et* o 6ro(th in net sales is 26*A "ercent C%6, o/er the last fi/e years* o <-I!+% gre( at 28*2 "ercent C%6, o/er last fi/e years <7tensi/e distribution net(or) o 3000 retail dealers in India o 4200 outlet in <uro"e >/er 2?000 em"loyees globally

3.11. $orporate Overview


%"ollo !yres &td, (ith its cor"orate head;uarters in 6urgaon, India, is in the business of manufacture and sale of tyres since its ince"tion in 2A@2* >/er the years, the com"any has gro(n manifold, establishing its foot"rint across the globe* !he com"any has manufacturing "resence in %sia, <uro"e and %frica, (ith A modern tyre facilities and e7"orts to o/er 228 countries* Po(ered by its )ey brands 1 %"ollo,

+unlo" 9brand rights for 42 %frican countries: and Bredestein, the com"any offers a com"rehensi/e "roduct "ortfolio s"read across "assenger car, light truc), truc)1bus, off high(ay and bicycle tyres, re1treading material and re1treaded tyres* %t the end of its financial year on March 42, 2022, %"ollo !yres had cloc)ed a turno/er of .SN 2*? billion, bac)ed by a global (or)force of a""ro7imately 26000 em"loyees* %"ollo !yres &td is traded in India on the -ombay, National and Kochi Stoc) <7changes, (ith ?4*06I of shares held by the "ublic, go/ernment entities, ban)s and financial institutions as on une 40, 2022*

3.12. %ision and val2es


<ision > % significant "layer in the global tyre industry and a brand of choice, "ro/iding customer delight and continuously enhancing sta)eholder /alue*

<al)es > !he /alues are Customer 5irst -usiness <thics Care for Society <m"o(erment Communicate >"enly >ne 5amily

3.13. 'resence
!he (orld1(ide "resence is the s"ecialty of com"any and is gi/en in 5ig* 2*3*

Cor"orate =ead;uarter Manufacturing &ocations 5ocus Mar)ets Mar)ets a/ailable in <stablished mar)ets

5ig 2*3* +etails sho(ing the (orld1(ide "resence of %"ollo !yres &imited

3.14. +rands
Jhen %"ollo !yres (as established in 2A@2, it (as a single brand enter"rise* >/er the years, as the organi8ation gre( and e7"anded its foot"rint across geogra"hies, se/eral brands either #oined or (ere born into its fold* !oday, the com"any o(ns 6 )ey brands P Apollo, ')nlop 9brand rights for 42 %frican countries:, Kai?en, Maloya, Regal and <redestein*

Jhile brands %"ollo, +unlo" and Bredestein com"rise of tyres across categories P from "assenger andcommercial /ehicles to off high(ay tyres, the remaining 4 brands are more "roduct category s"ecific* ,egal and Kai8en focus on the truc)1 bus tyre segment (hile Maloya continues to o"erate (ithin the "assenger /ehicle tyre category* <ach brand from the com"any is e;ui""ed (ith its o(n distincti/e /isual language and targeted at a s"ecific customer need* !his a""roach has enabled %"ollo !yres to "ro/ide a (ide range of "roducts for /arious a""lications, across geogra"hies P ending (ith a delighted customer*

Apollo> +ri/en by attention to safety, %"ollo tyres are manufactured in India and are a/ailable across almost all categories, including commercial and "assenger /ehicles, farm and industrial* !he core idea behind brand %"ollo is safety* %t all times %"ollo is (illing to tra/el that e7tra mile to deli/er (hat its sta)eholders need* %"ollo enables indi/iduals to ma7imise their o(n "otential, as reflected in its tagline "go the distance"* %"ollo tyres, manufactured in India, are a/ailable across almost all categories, including commercial and "assenger /ehicles, farm and industrial* -rand %"ollo !yresQ genesis dates bac) to the mid 2A@0s, (hen the first cor"orate identity (as un/eiled* It stood for "assion, aggression and determination to achie/e e7cellence in all s"heres* Po"ularly )no(n as the unending road, the logo mirrored the long #ourney the com"any (ould ma)e for its e/olution as a dynamic, multi1cultural and multi1location entity* !his identity ser/ed %"olloQs dreams and ambitions for o/er 40 years*

')nlop> %n established name in "assenger /ehicle segment, +unlo" also manufactures commercial /ehicle and off high(ay tyresE (ith 2 facilities in +urban and &adysmith* % brand centered on attention to detail and ;uality in all as"ects of its e7istence P suitably reflected in its tagline "Driven By Precision"* %"ollo !yres &td o(ns right to brand +unlo" for 42 %frican countries* +unlo"Qs history is arguably the most im"ressi/e in the (orld of tyres* In 2888, Scottish /eterinarian ohn -oyd +unlo" created the first "ractical "neumatic tyre for his sonQs tricycle, to hel" it go faster and smoother o/er cobblestones* ust one year after it (as "atented, ohn -oydQs tyres (as fitted to a bicycle and (on its first race* Soon - +unlo"

became one of the founders of the +unlo" Pneumatic !yre Com"anyE beginning of a re/olution in the automobile industry and start of +unlo" !yresQ #ourney from strength to strength, (ith a succession of "roduct inno/ations achie/ed o/er 224 years*

<R/'/ST/0!> Jith a heritage older than 200 years, brand BredesteinQs uni;ue story is best ca"tured through its tagline G+esigned !o Protect KouG, (hich is also its brand "romise* % (inning combination of +utch dedication and Italian elegance, Bredestein is best )no(n for its "remium high "erformance "assenger /ehicle tyres, es"ecially in the (inter tyre segment* Moreo/er, it offers a (ide array of e;ually e7clusi/e and "erformance dri/en tyres for the agriculture, industrial and bicycle categories* Manufactured out of a state1of1the1art facility in <nschede, in !he Netherlands, its "roducts are sold largely in the aftermar)et* Bredestein tyres can be found adorning a (hole range of lu7ury /ehicles across the <uro"ean .nion, the .nited States, the Middle <ast and China*

3.1(. S2staina3ility
%s an organi8ation, %"ollo !yres is committed to(ards creating /alues for its sta)eholder* %nd the crucial lin) here is building a sustainable business, dri/en by strategic gro(th and res"onsible actions* %"ollo !yres belie/es that to truly mo/e u" the /alue chain, it is critical to use fe(er natural resources to "roduce more* 5or a gro(ing organi8ation, (ith a long1term focus and commitment, it is critical to safeguard resources for the future e/en as it creates /alue today* %t %"ollo, em"hasis is laid on using natural resources cautiously and (ith care*

In 2022, the com"any "ublished its 2st Sustainability ,e"ort as "er 6lobal ,e"orting Initiati/e Bersion 4* !he disclosures and identified ga"s ha/e further enabled the com"any to better define and e/ol/e its internal systems relating to en/ironmental and social as"ects* -ul) of this (or) "ertains to energy, (ater, health and safety issues across o"erations* !he com"anyHs systems and "rocesses ha/e made it "ossible for it to re"ort at &e/el and the com"any is "ositi/e about achie/ing &e/el % across its o"erations in the ne7t 2 years* !he com"any undertoo) a com"lete audit for all o"erations globally and our offices on critical en/ironmental factors and stri/ing to achie/e the $green com"any' status* !he efforts to health,, =IB1%I+S a(areness and "re/ention is strengthened (ith 22 health care centres across the country catering to commercial truc)ing community* !he com"any embar)ed Pro#ect1. (hich educates trains and underta)es li/elihood for young unem"loyed*

3.1). SUMMARY
!yre industry consumes ma#or "art of natural rubber* !he re/enue in the tyre industry is affected by recession or decrease in hand to month of citi8ens* %"ollo is a leading tyre factory ha/ing (orld (ide "resence* %mong the India com"etitors, %"ollo stands first based on re/enue and second based on "roduction* !his indicates that %"ollo has a strong and dedicated mar)eting net(or)*

Chapter . T!"#RITICA$ %RA&" '#R(


3.1,. introd2ction
In sim"le terms, a""raisal is the assessment of an indi/idual "erformance in a systematic (ay* !he "erformance are generally measured against such factors as )no(ledge about #ob, ;uality and ;uantity of out"ut, initiati/es, leadershi" abilities, su"er/ision, de"endability, co1o"eration, #udgment, /ersatility, health etc* !he assessment of an em"loyee is e7"ected to co/er both "ast "erformance and "otentials that can be dra(n in future* %lternate terms used for "erformance a""raisal 9P%: are "erformance

re/ie(, "erformance e/aluation, 9career: de/elo"ment discussion, or em"loyee a""raisal*

<m"loyee satisfaction is a measure of ho( ha""y (or)ers are (ith their #ob and (or)ing en/ironment* Kee"ing morale high among (or)ers can be of tremendous benefit to any com"any, as ha""y (or)ers (ill be more li)ely to "roduce more, ta)e fe(er days off, and stay loyal to the com"any* !here are many factors in im"ro/ing or maintaining high em"loyee satisfaction, (hich (ise em"loyers (ould do (ell to im"lement*

<m"loyee satisfaction is related to the "erformance a""raisal system in the com"any* In the a""raisal system, strengths of the em"loyee shall be recogni8ed and re(arded to im"ro/e the satisfaction* Similarly, the (ea)nesses shall be "ointed out in the a""raisal system for education and career de/elo"ment*

3.1-. "efinition of 'erformance appraisal


Performance a""raisal is the systematic e/aluation of the indi/idual (ith res"ect to his or her "erformance on #ob and his or her "otential for de/elo"ment*

Performance a""raisal is the formal, structured system of measuring and e/aluating the em"loyees #ob related beha/iors and outcomes to disco/er ho( and (hy the em"loyee is "resently "erforming on the #ob and ho( the em"loyee can "erform more effecti/ely in the future so that em"loyee, organi8ation and society all benefit* 9%s(atha""a, 200?:*

Performance a""raisal is the "rocess of identifying, obser/ing, measuring and de/elo"ing human "erformance in organi8ation 9Carrol and Scheider, 2A82:

3.1.. /istory of 'erformance appraisal

Performance a""raisal

%dministrati/e "ur"ose

Self1de/elo"ment of em"loyees

Promotion and "lacement !ransfer and demotions Jages and salary fi7ation !raining and man"o(er "lanning Personnel research Creating fa/ourable im"act on em"loyees Miscellaneous administrati/e "ur"oses 5ig 4*2* Pur"ose of "erformance a""raisal

Identification of strength (ea)ness future training needs

Sash)in 92A33: suggests that "erformance a""raisal has been (ith us for all human history and it sho( no "ros"ects of being ready for the rubbish hea"* Scotts et al* 92A32: cited that the "erformance a""raisal (as first used by army in Jorld (ar one to assess the "erformance of officers* Mur"hy and Cle/eland 92AA?: "ointed out that "erformance a""raisal "robably began in .nited States in 2824 (hen .S %rmy 6eneral &e(is Cass submitted an e/aluation of men in the cre( to Jar de"artment* In the late 2A60Hs, "erformance a""raisal (as used by many com"anies that e7"erienced outbac) in go/ernment contracts to ma)e layoff and retention decisions* North 9200?: stated that "erformance a""raisal can be claimed to be the (orldHs second oldest "rofession*

3.21. '2rposes of performance appraisal


%""raisal of the "erformance of the em"loyees is carried out for t(o ma#or "ur"oses, namely, administrati/e "ur"ose and self im"ro/ement and self de/elo"ment of em"loyees and is sho(n in 5ig* 4*2*

Promotion and placement of employees >ne of the ma#or administrati/e "ur"oses of "erformance a""raisal is to "romote the em"loyees ta)ing into account of their com"etence and "erformance o/er certain "eriod of ser/ice* Ruality and ;uantum of (or) "erformed ser/es as the basis for "romotion in cases (hen "romotions are gi/ing by merits* %""raisal system identifies (hether the em"loyee can be assigned higher "ositions in the organi8ation* !he "romotion on the basis of a""raisal is in the interest of both the management an em"loyee* Performance a""raisal is useful for "osting the right candidate (ithin the organi8ation* !he "erformance a""raisal is not useful for the initial "lacement but is useful for the subse;uent "lacements*

Transfers and demotions In organi8ation, certain "ersonnel actions, namely, transfer, demotions, disci"linary actions and discharges are re;uired to be ta)en by the management* Such actions need to be ta)en in a fair and im"artial manner* !he "erformance a""raisal re"orts can be used for ta)ing final decisions on such acti/ities* !he suitable em"loyee can be identified for ne( assignments or de"utation by e/aluating the "erformance a""raisal*

1ages and salary payment Jage or salary "ayment is normally lin)ed (ith "erformance a""raisal* Jage increase is based on the "erformance a""raisal re"orts* -etter "erformance in the managerial le/el is normally re(arded by additional salary "ayment* 5or #udging the "erformance of e7ecuti/es, "eriodical a""raisal is essential* It is also useful for allocating re(ards to deser/ing em"loyees*

Training and manpo4er de-elopment Performance a""raisal is useful for /alidating the selection for s"eciali8ed training and de/elo"ment "rogrammes* %""raisal hel"s to identify the s)ills and com"etences and also the (ea)ness in the em"loyee* !he a""raisal enables management to identify the areas of training "rogramme to be organi8ed in future* !he need for e7ecuti/e training for managers in the ne( "lacements is organi8ed after e/aluation of "erformance a""raisal* !he a""raisal hel"s to identify re;uirement of in1house or institutional training* Performance a""raisal is a useful tool of e/aluating training and de/elo"ment needs of the organi8ation*

Personnel researc+ Performance a""raisal ser/es as a feedbac) to management in the area of "ersonnel research* !he human ca"ital in the organi8ation can be measured and forecasted based on

the a""raisal* !he man"o(er re"lacement "rocedure can be initiated for the retiring "ersonnel in the organi8ation* !he a""raisal is one of the com"onents used for the man"o(er demand forecast* !he /aluable information in the a""raisal can be used to measure moti/ation and satisfaction in em"loyees*

3a-ora(le impact on employees !he "erformance a""raisal creates a fa/ourable im"act on em"loyees* !he a""raisal is a tool for identifying talented "ersons, "romotions, training and salary fi7ation* !he em"loyees (ill be moti/ated to score high in the a""raisal system for recei/ing incenti/es or better "lacement* !he, a""raisal (ill hel" to ta)e a meaningful decision in transfer and "romotions* In brief, "erformance a""raisal gi/es fa/ourable im"act on em"loyees* Performance a""raisal im"ro/es the morale and offers o""ortunities of career de/elo"ment*

Miscellaneo)s administrati-e p)rposes of appraisal !he miscellaneous administrati/e "ur"oses are 9i: to confirm the ser/ice "robationary of the em"loyees after the com"letion of "robationary "eriod successfully, 9ii: to im"ro/e communication and coo"eration bet(een su"erior and subordinates and 9iii: to determine (hether =, "rogrammes, namely, selection, training and transfers are effecti/e or not*

Self impro-ement of employees In addition to administrati/e "ur"ose, "erformance a""raisal facilitates self im"ro/ement and de/elo"ment of em"loyee* %""raisal suggests the (ea)ness and shortcomings of the em"loyee* It ser/es as feed bac) to the em"loyee* %""raisal is follo(ed by discussion bet(een the rater and em"loyee in a s"irit of coo"eration and mutual understanding* Counseling of em"loyees for im"ro/ing their "erformance is conducted by "ost a""raisal inter/ie(s* Performance a""raisal is im"ortant and useful for the organi8ation to achie/e

long term goals* Performance a""raisal hel"s to im"ro/e, gro( and de/elo" for higher "ositions in the organi8ation*

3.21. Uses of performance appraisal


!he uses of "erformance a""raisal are administrati/e, maintenance use and documentation* %dministrati/e use of "erformance a""raisal is to measure "erformance for administrati/e decisions of em"loyees* !he "ur"oses include re(arding, "romotion, layoff, training etc* !he a""raisal is a tool for measuring indi/idual "erformance in the organi8ation* In this case, manager is featured more as counselor than a #udge* !he em"hasis is gi/en for identifying "otential and "lanning gro(th o""ortunities of em"loyee*

Maintenance use of "erformance a""raisal is to carry functions such as human resource "lanning, determining training needs etc* for the smooth functioning of sub1systems* +ocumentation of "erformance a""raisal is used for the "ur"ose of recording the de/elo"ment of em"loyee throughout the career in the organi8ation*

3.22. Approac4es of 'erformance appraisal


!here are t(o a""roaches in "erformance a""raisal, namely, informal a""roach and systematic a""roach* Informal a""roach is conducted (hene/er the su"er/isor feels it is necessary* !he day1to1day (or)ing relationshi" bet(een a manager and em"loyee offers an o""ortunity for the #udgment of em"loyee "erformance* !he #udgment of informal a""roach is communicated on #ob or on coffee time con/ersation* 5re;uent internal feedbac) to em"loyees can a/oid sur"rises (hen the formal e/aluation is communicated* Systematic a""raisal is used (hen the contact bet(een the manager and the em"loyee is formal and system is in "lace to re"ort managerial im"ressions and obser/ations on em"loyee "erformance* Its aim is to su""ort administrati/e and de/elo"mental decisions*

3.23. #imin5 of appraisal


% regular time inter/al is a feature of systematic a""raisals that distinguishes them from informal a""raisals* !he a""raisals are conducted once or t(ice in an year* !he com"anies in high technology or soft(are field conduct a""raisal in e/ery si7 months so that the em"loyees are "romoted more fre;uently* !his results in reduction in turno/er of em"loyees* In %"ollo, the a""raisal is conducted in e/ery year*

3.24. O36ectives of performance appraisal


!o re/ie( the "erformance of the em"loyees o/er a "eriod of time !o #udge the ga" bet(een actual and desired "erformance !o hel" the management in e7ercising organi8ational control* =el"s to strengthen the relationshi" and communication bet(een su"erior and subordinates !o diagnose the strengths and (ea)ness of the indi/iduals so as to identify the training and de/elo"ment needs in the future !o "ro/ide feedbac) to the em"loyees regarding their "ast "erformance Pro/ide information to assist in the other "ersonal decisions in the orgnaisation* Pro/ide information to assist in other "ersonal decisions in the organi8ations* !o "ro/ide clarity of e7"ectations and res"onsibilities of the functions to be "erformed by em"loyees !o #udge the effecti/eness of the human resource functions, namely, recruitment, selection, training and de/elo"ment* !o reduce the grie/ances of the em"loyees !o calibrate, refine and re(ard the "erformance of the em"loyee*

!o focus the "rogress in "erformance of em"loyees*

3.2(. 'rocess of performance appraisal


/sta(lis+ing performance standards </aluation (ithout standards is meaningless* %s such, a""raisal "rocess starts (ith the search of standards* !he right standards are to be selected, defined and established for ma)ing a""raisal meaningful and clear* !he standards established by careful analysis should be used as the base for rating the actual "erformance of em"loyees* !he standards set should be com"rehensi/e, integrating all as"ects of the desired "erformance and they should also clear, easily understandable and measurable*

<stablishing "erformance a""raisal

Communicating standards and e7"ectations

Measuring actual "erformance

Com"aring (ith standards

+iscussing results

+ecision ma)ing and correcti/e action 5ig 4*2 "erformance a""raisal "rocess

*omm)nicating standards 5or better (or)ing of the a""raisal system, all the em"loyees should be a(are of the "rocess and methods* !he information about the standards and usefulness to a""raise the

"erformance should be communicated to the em"loyees of the organi8ation* !he em"loyee should also see) to )no( the standards and the a""lication in a""raisal "rocess* Jell1informed em"loyees (ill be clear about the roles and "erformance e7"ectations* Su"er/isors (ill be clear about the roles of the e/aluators* 6ood communication hel"s in meaningful discussions, clarifications and commitment* It gi/es an o""ortunity to modify standards at the initial stage itself based on rele/ant feedbac) from the em"loyees or e/aluators*

Meas)ring t+e act)al performance !he most difficult "art of the "erformance a""raisal "rocess is measuring the actual "erformance or the (or) done by the em"loyee o/er a s"ecific "eriod of time* It is continuous "rocess (hich in/ol/es monitoring the "erformance through the year* !his stage re;uires careful selection of a""ro"riate techni;ue of measurement, ta)ing care that "ersonal bias does not affect the outcome of the "rocess and "ro/iding assistance rather than inferring in em"loyeeHs (or)*

*omparing t+e act)al performance 4it+ standards !he actual "erformance is com"ared (ith standard "erformance* !he com"arison tells the de/iations in the "erformance of the em"loyee from the established standard* !he results can bring out the actual "erformance being less than the desired "erformance de"icting a negati/e de/iation in the organi8ational "erformance* It induces recalling, e/aluating and analysis of data related to the em"loyee "erformance*

'isc)ssing res)lts

!he result of the a""raisal is communicated and discussed (ith the em"loyee on one1to1 one basis* !he focus of the discussion is on communication and listening* !he result, the "roblems and the "ossible solution are discussed (ith the aim of "roblem sol/ing and reaching consensus* !he feedbac) should be gi/en (ith a "ositi/e attitude as this can ha/e an effect on the em"loyee future "erformance* !he "ur"ose of the meeting is to sol/e the "roblems faced and moti/ate the em"loyees to" "erform better

'ecision ma5ing !he last ste" of the "erformance a""raisal "rocess is to ta)e decisions in order to im"ro/e "erformance, identify correcti/e actions or im"lement =, decisions such as re(ards, "romotions, transfers etc* % better "erformance a""raisal system should focus on the indi/iduals and his de/elo"ment so as to ma)e1u" the em"loyee to "erform the desired "erformance* Performance a""raisal is ha/ing direct lin)age (ith "ersonnel management in the areas of selection, mobility, training etc*

3.2). 'erformance Appraisal for different wor75ro2ps


Jor)force alignment em"o(ers managers and em"loyees by creating o(nershi" and commitment in the organisationQs success by aligning goals and de/elo"ment to o/erall strategy and ob#ecti/es* 5urthermore, organisations ta)ing a com"etence1based Performance %""raisal a""roach achie/e better business results, get more engaged em"loyees and increased retention*

Performance %""raisal "ermits to build, streamline, and deli/er strategic initiati/es across recruiting, on1boarding, "erformance a""raisals, com"etence assessments, learning and de/elo"ment, succession "lanning and more* 6oal alignment S Performance %""raisal

5eedbac) and recognition +e/elo"ment "lanning ,e"orts and %nalytics 5le7ible forms

6oal management functionality sho(s each em"loyee ho( their indi/idual "erformance goals align and su""ort the organisationQs strategy* -y setting SM%,! goals 9S"ecific C Measurable C %chie/able C ,ealistic C !imely: and acti/ities to achie/e these, managers and em"loyees get a "ractical and concrete tool to ensure they are on the right course* Performance %""raisal sim"lifies and streamlines the entire em"loyee "erformance e/aluation and can be used standalone or integrated (ith any of the other modules to deli/er a com"lete cloud1based, "erformance dri/en human ca"ital management solution*

HR professionals0 6et the most con/enient and cost1effecti/e (ay to conduct "erformance e/aluations, align and trac) goals, trac) em"loyee "rofiles, de/elo" critical com"etence and more* No(, =, can "lay a strategic role in hel"ing the organisation build a (orld1class (or)force that is aligned and deli/ering on the business strategy*

Management0 6et a single system that )ee"s the organisation aligned* !hey can see ho( em"loyee goals are aligned (ith those of the organisation, )no( (here "erformance ga"s e7ist and ho( theyQre being addressed, and ensure the organisation has the s)ills it needs to succeed*

Managers0 6et a con/enient and "o(erful tool for aligning and trac)ing goals, managing em"loyee "erformance, "ro/iding meaningful feedbac) and coaching, and su""orting em"loyee de/elo"ment*

/mployees0 6et their o(n "ersonali8ed "age (here they can access their a""raisals, goals, de/elo"ment "lans and more, in #ust a fe( clic)s* <m"loyees feel more connected and engaged because they )no( (hatQs e7"ected of them and can see ho( theyQre hel"ing the organisation succeed*

3.2,. 'erformance Appraisal Met4ods


!he a""raisal method is one com"onent of the o/erall a""raisal system* Most "erformance a""raisals fall broadly into three categories0 traditional "erformance a""raisal 9em"hasis on traits of the indi/idual:E use of beha/ioral criteriaE and ob#ecti/e1 setting 9results oriented: "erformance a""raisal* !here are /arious methods used to assess the "erformance of em"loyees* Such methods include trait chec)list, res"onsibility

rating, Management by >b#ecti/e 9M->:, free form, essay, gra"hic rating scale, forced choice, critical incident and (or) standards*

!rait chec)list features standardi8ed rating forms for broad grou"s of em"loyees* 5or each grou", ;ualities or GtraitsG of em"loyee "erformance are listed* <7am"les are as follo(s0 ;uantity of (or), ;uality of (or), de"endability, effort, initiati/e, #ob )no(ledge, coo"erati/eness, "lanning, timeliness, and attitude* !he ad/antage of the trait chec)list method is that it is easy to install and administrate* %ll em"loyees are ran)ed on the same traits* !here are some disad/antages to this method* !he traits are general and do not s"ecifically relate to #ob "erformance* !here is a tendency to focus on "ersonal characteristics rather than #ob "erformance* ,es"onsibility rating in/ol/es the

de/elo"ment of and use of "osition descri"tions for each "osition to include all ma#or res"onsibilities and, (here a""ro"riate, standards of "erformance* Su"er/isors rate em"loyees on res"onsibilities identified on the "osition descri"tion* !he ad/antage of res"onsibility rating is that rating factors are s"ecific to the #ob and rating scales are the same for all em"loyees* <m"loyees see a direct relation bet(een su"erior "erformance and su"erior rating* !he disad/antages of res"onsibility rating is that it may lead to "roliferation of "osition descri"tions 9to ma)e duties and "erformance standards a""ly s"ecifically to each em"loyee:

!he )ey features of Management by >b#ecti/e 9M->: are that the em"loyee suggests and the su"er/isor agrees on the em"loyeeQs "erformance ob#ecti/es for corning year* M-> focuses directly on the achie/ement of business results and not on the "ersonal characteristics that may contribute to the results* !he disad/antage of M-> is that each em"loyee is rated on different factors and on different scales* !his could lead em"loyees to "ercei/e ine;uity in the system* M-> is also /ery time1consuming because e7tensi/e goal setting is re;uired* !he free form rating method has little or no "rescribed format* !he ad/antage to free form is that su"er/isors are free to rate "erformance directly (ithout being forced to rate s"ecific as"ects and attributes* !he disad/antage to free form is that it is totally

susce"tible to /arying standards of "roblems associated (ith rating em"loyees because em"loyees are rated (ithout either common rating factors or rating scales* !hus, it is difficult to reach an o/erall rating needed for salary administration (hen the free form method is used* In addition to the four commonly used "erformance a""raisal methods, there are si7 techni;ues that can be a""lied to most of these* <ssay a""raisal is the sim"lest form and is easily by most raters* ,aters are as)ed to (rite a "aragra"h or more

co/ering an indi/idualQs strengths, (ea)nesses, "otential, and so on* !he dra(bac) is the /ariability in length and content and the difficulty in combining or com"aring ratings* % gra"hic rating scale does not yield the de"th of essay a""raisal but is more consistent and reliable* 6ra"hic rating assesses a "erson on the ;uality and ;uantity of (or) 9outstanding, abo/e a/erage, etc*: and on a /ariety of other factors that /ary (ith the #ob 9reliability, oral and (ritten communication:*

5orced1choice rating (as de/elo"ed to reduce bias and establish ob#ecti/e standards of com"arison bet(een indi/iduals* ,aters choose from among grou"s of statements those (hich best fit the indi/idual being rated and those (hich least fit him* !he statements are then (eighted or scored*

Critical incident a""raisal gi/es su"er/isor actual, factual incidents to discuss (ith an em"loyee* Su"er/isors )ee" a record on each em"loyee and record actual incidents of "ositi/e or negati/e beha/ior* !he discussion deals (ith actual beha/ior of the em"loyee* .sing the (or)1standards a""roach, organi8ations set measured daily (or) standards* !hese standards establish (or) and satisfying targets aimed at im"ro/ing "roducti/ity* !his method is most commonly used in manufacturing and "roduction organi8ations* 460 degree feedbac), also )no(n as Qmulti1rater feedbac)Q, is the most com"rehensi/e a""raisal (here the feedbac) about the em"loyeesH "erformance comes from all the sources that come in contact (ith the em"loyee on his #ob*

460 degree res"ondents for an em"loyee can be hisOher "eers, managers 9i*e* su"erior:, subordinates, team members, customers, su""liersO /endors 1 anyone (ho comes into contact (ith the em"loyee and can "ro/ide /aluable insights and information or feedbac)

regarding the Gon1the1#obG "erformance of the em"loyee* 460 degree a""raisal has four integral com"onents, namely, self a""raisal, su"eriorHs a""raisal, subordinateHs a""raisal and "eer a""raisal* Self a""raisal gi/es a chance to the em"loyee to loo) at hisOher strengths and (ea)nesses, his achie/ements, and #udge his o(n "erformance* Su"eriorHs a""raisal forms the traditional "art of the 460 degree "erformance a""raisal (here the em"loyeesH res"onsibilities and actual "erformance is rated by the su"erior* Subordinates a""raisal gi/es a chance to #udge the em"loyee on the "arameters li)e communication and moti/ating abilities, su"eriorHs ability to delegate the (or), leadershi" ;ualities etc* %lso )no(n as internal customers, the correct feedbac) gi/en by "eers can hel" to find em"loyeesH abilities to (or) in a team, co1o"eration and sensiti/ity to(ards others*

3.2-. Employee satisfaction


=uman resource is /ital com"onent of com"any* !hey are the (ealth of the organi8ation utili8ed for achie/ing goals* In the "resent com"le7 business en/ironment, no business and organi8ation sur/i/e and gro( (ithout healthy human resources* !he success of an enter"rise de"ends on the caliber of "erson (or)ing in the com"any* !he human resource management refers to systematic a""roach to the "roblem of selecting, training, moti/ating and retaining "ersonnel in an organi8ation* <m"loyee is the most im"ortant asset of the organi8ation* Planning for human resource is an im"ortant managerial function* It ensures ade;uate su""ly, "ro"er ;uantity and ;uality, as (ell as effecti/e utili8ation of human resource* %n organi8ation (ill determine its man"o(er resource from (hich re;uirements are met* If sufficient man"o(er is not a/ailable, the (or) in com"any (ill suffer* .nder de/elo"ed countries are suffering from shortage of trained managers* ob o""ortunities are a/ailable in these countries but "ro"er "ersonnel are not a/ailable* !hese countries im"orts s)ills from other countries* !herefore in order to meet

human resource needs, organi8ation (ill ha/e to "lan in ad/ance about the re;uirements and resources*

3.2.. "efinition of Employees satisfaction


<m"loyee satisfaction is defines as a "leasurable and "ositi/e emotional state resulting from a""raisal of oneHs #ob or #ob e7"eriences 9&oc)e 2A@6:*

<m"loyee satisfaction is nothing but customer satisfaction, since em"loyee is the internal customers to the organi8ation, customer feel satisfaction (hen they "ercei/e goods and ser/ices that meet e7ceed their e7"ectations and needs 9%nderson and Sulli/an, 2AA4:

3.31. Meanin5 of employee satisfaction


In sim"le (ords, em"loyee satisfaction can be defined as the e7tent of "ositi/e feelings or attitudes that indi/iduals ha/e to(ards the #ob* =igh em"loyee satisfaction mans that em"loyee really li)es the #ob, feels good about it and /alues the #ob highly* !here are three im"ortant dimensions to em"loyee satisfaction

<m"loyee satisfaction can not be seen, it can only be inferred* It relates to oneHs feeling to(ards the #ob*

<m"loyee satisfaction is often determined by e7tent of outcome meet the re;uirement* If the em"loyee (or)ing in the organi8ation feels that they are (or)ing much more than others in the de"artment, but recei/es only lo(er re(ards, they (ill be dissatisfied and ha/e negati/e attitudes to(ards #ob, su"erior and co1(or)ers* >n the other hand, if they feel that they are being "aid fairly and treated (ell by the organi8ation, they (ill be satisfied (ith the #obs and (ill ha/e "ositi/e attitude to(ards the #ob*

<m"loyee satisfaction and #ob attitudes are ty"ically used inter1changeably* Positi/e attitude to(ards the #obs are conce"tually e;ui/alent to em"loyee satisfaction and negati/e attitude to(ards the #ob indicate #ob dissatisfaction*

<m"loyee satisfaction is /ery im"ortant because most of these em"loyees s"end their ma#or "ortion of the life at the (or)ing "lace* Moreo/er, em"loyee satisfaction creates im"act on general life of the em"loyee also, because a satisfied em"loyee is a ha""y human being* % highly satisfied (or)er is a better "hysical and mental (ell being* <m"loyee satisfaction is influenced by "sychological, "hysiological and en/ironmental factors*

3.31. /istorical development of meas2rement of Employee satisfaction


>ne of the biggest "reludes to the study of em"loyee satisfaction (as the =a(thorne studies* !hese studies 92A23C2A44:, "rimarily credited to <lton Mayo of the =ar/ard -usiness School, sought to find the effects of /arious conditions 9most notably illumination: on (or)ersH "roducti/ity* !hese studies ultimately sho(ed that no/el changes in (or) conditions tem"orarily increase "roducti/ity 9called the =a(thorne <ffect:* It (as later found that this increase resulted, not from the ne( conditions, but from the )no(ledge of being obser/ed* !his finding "ro/ided strong e/idence that "eo"le (or) for "ur"oses other than "ay, (hich "a/ed the (ay for researchers to in/estigate other factors in em"loyee satisfaction*

Scientific management or !aylorism had a significant im"act on the study of em"loyee satisfaction* 5rederic) Jinslo( !aylorHs 2A22 boo), Princi"les of Scientific

Management, argued that there (as a single best (ay to "erform any gi/en (or) tas)* !his boo) contributed to a change in industrial "roduction "hiloso"hies, causing a shift from s)illed labor and "iece(or) to(ards the more modern of assembly lines and hourly (ages* !he initial use of scientific management by industries greatly increased "roducti/ity because (or)ers (ere forced to (or) at a faster "ace* =o(e/er, (or)ers became e7hausted and dissatisfied, thus lea/ing researchers (ith ne( ;uestions to ans(er regarding em"loyee satisfaction* It should also be noted that the (or) of J*&* -ryan, Jalter +ill Scott, and =ugo Munsterberg set the tone for !aylorHs (or)*

Maslo(Hs hierarchy of needs theory, a moti/ation theory, laid the foundation for em"loyee satisfaction theory* !his theory e7"lains that "eo"le see) to satisfy fi/e s"ecific needs in life C "hysiological needs, safety needs, social needs, self1esteem needs, and self1actuali8ation* !his model ser/ed as a good basis from (hich early researchers could de/elo" em"loyee satisfaction theories*

<m"loyee satisfaction can also be seen (ithin the broader conte7t of the range of issues (hich affect an indi/idualQs e7"erience of (or), or their ;uality of (or)ing life* <m"loyee satisfaction can be understood in terms of its relationshi"s (ith other )ey factors, such as general (ell1being, stress at (or), control at (or), home1(or) interface, and (or)ing conditions*

3.32. So2rces of employee satisfaction


Salaries and (ages are the most im"ortant /ariable that influences the em"loyee satisfaction* <m"loyees shall be "ro/ided (ith com"etiti/e salary "ac)ages (hen com"ared to in1house co1(or)ers and outsiders of same industry* 5air and e;uitable re(ards are e7"ected to im"ro/e em"loyee satisfaction* %ll em"loyees (ill ha/e the

desire to get "osted in higher "osition in the organi8ation* !he em"loyee satisfaction increases (ith more chances of getting "romotion in the com"any* 5a/ourable com"any "olicies on timing, transfer, medical co/erage, trans"ortation facility, bonus, safety as"ects etc* im"ro/e the em"loyee satisfaction* !he im"artial beha/iour of su"er/isors, coo"eration of the co1(or)ers and subordinates "lay an im"ortant role in the em"loyee satisfaction* <m"loyee satisfaction

>rgani8ational factors

Jor) en/ironmental factors

Jor) itself

Personal factors

Salaries and (ages Promotion chances Com"any "olicies

Su"er/ision Jor) grou" Jor)ing condition

ob sco"e Bariety %utonomy ,ole certainty

%ge S seniority !enure Personality

5ig 4*4 5actors influencing em"loyee satisfaction

!he em"loyee satisfaction increases in clean (or)ing en/ironment* ob sco"e includes res"onsibly, achie/ements and recognition* !he change in #ob e7ecution rather than monotonous (ay of "erforming (ould hel" to im"ro/e the em"loyee satisfaction* %utonomy in decision ma)ing and e7ecution of the #ob and certainty in the role to be "layed (ould hel" to increase the #ob "erfection and satisfaction* %ged and senior em"loyee may e7"ect more from the com"any and hence generally seems to be dissatisfied* !he tenure and "ersonality of the em"loyee influences "erce"tion, attitude and learning* !he em"loyee ha/ing longer tenure and "ersonality (ill be ambitious and (ill be satisfied in com"anies ha/ing greater "romotion chances and #ob content*

>utcome of em"loyee satisfaction are "roducti/ity, em"loyee turno/er and absenteeism* <m"loyee "roducti/ity (ill be higher in com"any ha/ing more number of satisfied em"loyees* !he turno/er or absenteeism (ill be minimum among satisfied em"loyees in an organi8ation* =ighly satisfied em"loyee tend to ha/e better "hysical and mental health, learn tas)s ;uic)ly, more co1o"erati/e and maintain less #ob stress*

3.33. 'erformance appraisal at Apollo #yre &imited8 9alamAssery


!he self a""raisal of officer managers at %"ollo is recei/ed in standard re/ie( forms* !he a""raisal is being e/aluated once in e/ery year* !he a""raisal in the year 2022 (as conducted in the month of une* !he details of employee de-elopment re-ie4 9<+,: "rocedure are gi/en belo(*

/'R cycle>9 !he <+, cycle is from %"ril 2st to March 42st of each financial year %ll confirmed em"loyees as on 42st March are eligible fro <+, !he <+, recommendations (ill be effecti/e from 2st %"ril

Rating design >9 !he a""raise has to be rated on a four "oint scale >utstanding 6ood %/erage -elo( a/erage

Areas of meas)rement Contribution to organi8ational goals 9J=%!: o ,e/ie( of Key research area 9K,%: "erformance o ,e/ie( of functionalO organi8ational initiati/es ta)en a"art from K,%s Measurement of critical attributes C s)ills and com"etencies 9=>J: Career "rogression o ob rotation

o Potential assessment >/erall rating

3orm design>9 !he <+, forms consists of follo(ing sections Contribution to organi8ational goals o +emonstrated "erformance o Key initiati/es o S)ills and com"etences Career "romotions Performance summary !raining and de/elo"ment

/-al)ation proced)re>9

!he employee de-elopment re-ie4 9<+,: "rocess is three fold* !he <+, forms shall be filled by appraise, discussed (ith appraiser and finally a""ro/ed by reviewer* !he recommendation of re/ie(er is considered as final*

3.34. SUMMARY
Performance a""raisal is an im"ortant management tool to audit human ca"ital* In many organi8ations, a""raisal results are used to fi7 the re(ard* !he a""raisal results are used to identify better "erforming em"loyees* =o(e/er, satisfaction of em"loyee to(ards the a""raisal system of the com"any de"ends on many factors* !he total out"ut of the organi8ation de"ends on satisfaction le/el of em"loyees* !he "erformance a""raisal is an im"ortant tool to many human resource functions* =ence, relationshi" bet(een em"loyee satisfaction and "erformance a""raisal is an im"ortant area of research*

Chapter ) ). re*earch methodolo+y


3.3(. introd2ction
Jor) "erformance a""raisal systems assess the em"loyeeQs effecti/eness, (or) habits and also the ;uality of the (or) "roduced* !he research methodology used is to e/aluate the accuracy and effecti/eness of the a""raisal instrument and its influence on em"loyee satisfaction* !he ;uantitati/e data is collected by ;uestionnaire method from a con/enience sam"le* !he res"onses are analy8ed and arri/ed at conclusions*

3.3). !eed for st2dy


%"ollo !yre &imited is a /ery large organi8ation ha/ing (orld (ide "resence* %ccording to the statistics "ublished for the month of >ctober 2022, the daily "roduction at %"ollo

!yre &imited, Kalamassery is ?@*63 M! against the target of A3*A4M!* !he ga" bet(een the reali8ed and target daily "roduction is attributed not only to the technical reasons, but also to the le/el of satisfaction of em"loyees* !he "erformance a""raisal system is one of the com"onents that influence the em"loyee satisfaction* !he influence of "erformance a""raisal system of %"ollo !yre &imited, Kalamassery on em"loyee satisfaction is not being studied earlier in the com"any* Present study attem"ts to fill this lacuna*

3.3,. Statement of t4e pro3lem


!he study is aimed at to e/aluate (hether the em"loyee is satisfied in the "resent "erformance a""raisal system at %"ollo !yre &imited, Kalamassery*

3.3-. Researc4 o36ectives


!he ob#ecti/es are to study01 2* 2* 4* 3* ?* 6* @* 8* !he effecti/eness of the communication describing "ur"ose of "erformance a""raisal 9P%:* !he fairness in "resent "erformance a""raisal* !he ca"ability of a""raisal system for reflecting strengths of em"loyee !he "ur"ose of "erformance a""raisal 9"romotionO "ay fi7ationO re(ardO career de/elo"mentO education:* !he usefulness of "erformance a""raisal system as a management tool* !he "otentiality of the "erformance a""raisal system to build team s"irit and coo"eration !he effecti/eness of con/eying correcti/e actionsO feed bac)* !he em"loyee satisfaction on the "erformance a""raisal "rocedure and

3.3.. SUR%EY ME#/O"


!he ;uestionnaire based sur/ey is used in this study* !he data collection and analysis is carried1out based on statistical theories* !he ;uestionnaire is com"osed of ten ;uestions to e/aluate the res"onse of the em"loyees* !he ;uestionnaire (as issued in "erson* <m"loyee (ere allo(ed to fill the ;uestionnaire anonymously and allo(ed to "ut in the collection bo7* !he ;uestionnaire consists of different ty"es of ;uestions* !he information about demogra"hic data of the "artici"ants is gathered using multi"le choice ;uestions

9closed:, for (hich the res"ondents are re;uired to tic) the right ans(ers* +emogra"hic ;uestions are used to correlate the res"onse bet(een different ty"es of grou"s* !his is /ery im"ortant to find (hether the res"onses are consistent across the grou"* !he main "art of the ;uestionnaire, (hich is related to the hy"othesis of the thesis, consists of li)ert1scale ;uestions* %ns(er to these ;uestions hel"s to find ho( strongly the res"ondents agree (ith the "articular statement* !he ans(ers of the ;uestions are based on the fi/e1le/el scale and o"tions are strongly agree, agree, neither agree nor disagree, disagree, strongly disagree* !he ;uestionnaire is gi/en in %""endi7 %

3.41. samplin5
In statistics and sur/ey methodology, sam"ling is concerned (ith the selection of a subset of indi/iduals from (ithin a statistical "o"ulation to estimate characteristics of the (hole "o"ulation* !(o ad/antages of sam"ling are that the cost is lo(er and data collection is faster* !he ty"es of sam"ling are gi/en in 5ig* 3*2* Probability sam"les are selected from the "o"ulation and are considered as the re"resentati/e of the "o"ulation* !hey "ro/ide the most /alid or credible results because they reflect the characteristics of the "o"ulation from (hich they are selected* Non1 "robability sam"les are not truly re"resentati/e and less desirable than "robability sam"les* Non1"robability sam"les are used (hen a researcher may not be able to obtain a random or stratified sam"le, or it may be too e7"ensi/e* % researcher may not care about generali8ing to a larger "o"ulation* !he /alidity of non1"robability sam"les can be increased by trying to a""ro7imate random selection, and by eliminating as many sources of bias as "ossible* In this study, #udgment sam"ling is used* udgment sam"ling is a non1"robability sam"ling techni;ue (here the researcher selects the sam"le based on #udgment* In this method, the researcher may decide to dra( the entire sam"le from one Gre"resentati/eG grou" identified, e/en though the "o"ulation includes all such grou"s* Jhen using this method, the researcher must be confident that the chosen sam"le is truly re"resentati/e of the entire "o"ulation* In the "resent study, the researcher collected the res"onse of the em"loyees of managerial cadre (ho #oined in the afternoon shift in the %"ollo !yre &imited, Kalamassery .nit on 3th 5ebruary 2024* !he si8e of the "o"ulation is the members in managerial cadre and is ninety at %"ollo !yre &imited, Kalamassery .nit*

>ut of the A0 managerial staff, 42 staffs (ere "resent on the day of data collection* !he res"onse of 42 staffs (as collected (ith the aid of ;uestionnaire*

3.41. "ata collection


!he information in the thesis is collected by ;uestionnaire method* !he ;uestionnaire (as com"osed of ten ;uestions relating to the "arameters, namely, communication, e;uality, ob#ecti/ity, social beha/iour, recognition, monetary benefits and career de/elo"ment* !he list of manager le/el em"loyees a/ailable in the scheduled data is collected from human resource office* !he "a"er co"y of ;uestionnaire (ere gi/en in hand to these em"loyees and re;uested to fill u"* %fter one hour, the duly filled ;uestionnaires (ere collected bac) by allo(ing the em"loyees to dro" in the sealed co/er to maintain the confidentiality* !he ;uestionnaire consists of different ty"es of ;uestions* !he information about demogra"hic data of the "artici"ants is gathered from the multi"le choice ;uestion 9closed:, for (hich #ust re;uired that right ans(ers be tic)ed by the res"ondents* !he demogra"hic details hel" to get the status of the (or) grou" in terms of gender, age, education and e7"erience in the com"any* !he main "art of the ;uestionnaire, (hich is focused to e/aluate the "ostulates gi/en in the hy"othesis, consists of &i)ert1scale ;uestions* !hese ;uestions hel" to find ho( strongly the res"ondents agree (ith the "articular statement* !he ans(ers to the ;uestions are based on the fi/e1le/el scale and the o"tions are strongly agree, agree, nether agree nor disagree, disagree and strongly disagree*

3.42. Met4od of data analysis


!he statistical analysis of the data collected based on the ;uestionnaire is carried out* !he fre;uency of the res"onses is determined and com"ared* !he score (as assigned to the o"tions strongly agree, agree, nether agree nor disagree, disagree and strongly disagree are ? to 2* !he minimum, ma7imum, mean, standard de/iation and /ariance of the scores of the res"onses corres"onding to each statement is com"uted and re"orted in this thesis* !he descri"ti/e statistical analysis is carried out* !he "erformance a""raisal satisfaction inde7 9P%SI: of the em"loyee is com"uted based on the scores assigned to the res"onses* P%SI is gi/en by
P"#$ ( ! = X 100 5

(here the denominator ? re"resents the highest magnitude of the score, X is the mean score and is gi/en by
10

X =

X
i =1

10

the testing of hy"othesis is carried out* CronbachQs al"ha 9+e/llis 2AA2: is a measure of internal consistency, that is, ho( closely related a set of items are as a grou"* CronbachQs al"ha is coefficient or reliability* CronbachQs al"ha is gi/en by
& ' i % & = 1 i =1 % & 1 X

(here & is the number of com"onents or statements and e;ual to 42 "ersons in the "resent study* X
%
% is the /ariance of obser/ed test score and ' i is the com"onent i

in the sam"le of "ersons* PearsonHs correlation coefficient 9r: is gi/en by

r=

1 n Xi X & 1 i =1 X

'i ' '

Xi X (here X

, X and X are the standard score, sam"le mean, and sam"le

standard de/iation, res"ecti/ely* %N>B% is use to test the hy"othesis the com"utation details of %N>B% is gi/en in !able 3*2* !able 3*2* %N>B% com"utation Source -et(een Sam"les Jithin Sam"les !otal Sum of S;uares 9SS: ##B ##+ ##-. +egree of 5reedom 9df: )*1 n*) n*1 Mean S;uare
(# = ## df

51Statistics
,= (#B (#+

P1/alue Balue from !able 11 11

##B ) 1 ##+ (#+ = n ) (#B =

11 11

11

3.43. Or5ani:ation of researc4 report


!he re"ort is organi8ed in the follo(ing headings*

Cha"ter 2 Introduction Cha"ter 2 Industry and com"any "rofile Cha"ter 4 !heoretical frame (or) Cha"ter 3 ,esearch methodology Cha"ter ? +ata analysis and inter"retations Cha"ter 6 Conclusions In Cha"ter 2, brief introduction on o/er/ie( of the "resent scenario of "erformance a""raisal is mentioned* !he relationshi" bet(een "erformance a""raisal and satisfaction of em"loyees is discussed in Cha"ter 2*!he details on the /arious cha"ters are discussed in Cha"ter 2*

Cha"ter 2 contains the "rofile of tyre industry and %"ollo tyres limited* !he global com"etitors and Indian scenario of the tyre mar)et is "ro/ided in Cha"ter 2* !he brands of %"ollo tyres limited in /arious country is mentioned in Cha"ter 2*

!he theoretical bac)ground on the "erformance a""raisal and em"loyee satisfaction is discussed in Cha"ter 4* !he history of de/elo"ment and "ur"oses of "erformance a""raisal are discussed in Cha"ter 4* !he method and timing of "erformance a""raisal is discussed in Cha"ter 4* !he sources of em"loyee satisfaction are discussed in Cha"ter 4* !he "erformance a""raisal "rocedure at %"ollo !yres limited, Kalamassery is discussed in Cha"ter 4*

!he research methodology is discussed in Cha"ter 3* !he method of data collection and sam"ling is discussed in Cha"ter 3* !he ob#ecti/es of research are gi/en in Cha"ter 3* !he data collection and the theoretical details of the data analysis is gi/en in Cha"ter 3*

!he analysis of collected data based on ;uestionnaire sur/ey and inter"retation of analysis results is discussed in Cha"ter ?* !he fre;uency of the res"onse and descri"ti/e statistical analysis of data is carried out and the results are discussed in Cha"ter ?*

!he summary, finding and conclusions of the study are discussed in Cha"ter 6*

3.44. SUMMARY
!he /arious as"ects of design of e7"eriments are described* !he ;uestionnaire method is ado"ted for the collection of data* !he le/el of agreement to the ten statements are allo(ed to mar) in ? "oint score &i)ert1scale* !he sam"le has been dra(n from the "o"ulation based on the #udgment method* !he duly filled ;uestionnaire is collected from the res"ondents* !he fre;uency and descri"ti/e statistical analysis of res"onses are carried out*

Chapter , ,. DATA ANA$YSIS AND INT"RPR"TATI#NS


3.4(. introd2ction
!he duly filled1u" ;uestionnaire (as collected from 42 managerial cadre em"loyees of %"ollo !yre &imited, Kalamassery* !he data of res"onse is analy8ed using Microsoft e7cel soft(are* !he ratio of the res"onse to the total number of res"ondents is com"uted and e7"ressed in "ercentage* !he res"onse for the ;uestions related to the sub#ect area of the studty is collected in &i)ert1scale* !he descri"ti/e statistical method is also used to analy8e the data* !he minimum, ma7imum, mean, standard de/iation and /ariance ha/e been com"uted based on the fi/e "oint scale res"onse of the em"loyees

3.4). demo5rap4ic details of t4e respondents


!he first "art of the ;uestionnaire (as designed to collect the demogra"hic details of the res"ondents* !he demogra"hic information gi/es the details of gender, age, education and e7"erience at %"ollo !yre &imited, Kalamassery of em"loyees of managerial cadre* !he demogra"hic information of the res"ondents are gi/en in !able ?*2* 6ender statistics 6ender Male 5emale !otal ,es"ondents 2A 2 42 Percentage A3I 6I 200I

-ender Stati*tic*
100% Re*podent* 80% 60% 40% 20% 0% Ma$e 'e*a$e

5ig ?*2* 6ender statistics of res"ondents !he gender statistics of the res"ondents are gi/en in 5ig ?*2* !he male res"ondents are found to be A3 "ercent* %"ollo !yres &imited, Kalamassery is a manufacturing firm and ma#ority of the (or)ers are males* !he managers are re;uired to attend the "roduction "lant issues* =ence males are more a""ro"riate and being em"loyed in the com"any* !able ?*2* %ge statistics %ge 2? to 4? years 4? to 3? years 3? to ?? years !otal ,es"ondents 2? 20 6 42
A+e *tati*tic*
100% Re*podent* 80% 60% 40% 20% 0% 25&35 35&45
A+e .year*/

Percentage 3AI 42I 2AI 200I

45&55

5ig ?*2* %ge statistics of the res"ondents

!he age statistics of the res"ondents is gi/en in 5ig ?*2* !he managers ha/ing formal age less than 4? years is found to 3A "ercent* It is found the ma#ority of em"loyees in the managerial cadre are young and in the age grou" of 2? to 4? years* !able ?*4* 5ormal education statistics <ducation T -achelor degree -achelor degree U -achelor degree !otal ,es"ondents 2 22 2@ 42 Percentage 6I 4AI ??I 200I

Stati*tic* of formal education


100% Re*podent* 80% 60% 40% 20% 0% 3Ba#)e$or !e1ree Ba#)e$or !e1ree 4Ba#)e$or !e1ree

5ig ?*4* <ducation statistics of the res"ondents !he education statistics of res"ondents is gi/en in 5ig ?*4* !he managers ha/ing formal education greater than bachelors degree is found to ?? "ercent* !he ma#ority of the em"loyees in the managerial cadre are (ell educated* !able ?*3* <7"erience statistics <7"erience 0 to 2 years 2 to ? years U ? years !otal ,es"ondents 2 6 24 42 Percentage 6I 2AI @?I 200I

Company e0perience *tati*tic*


100% Re*podent* 80% 60% 40% 20% 0% 0&2 2&5
"0perience .year*/

45

5ig ?*3* !he %"ollo !yres &td e7"erience statistics of res"ondents !he e7"erience of the res"ondents in %"ollo !yres &td is gi/en in 5ig ?*2* !he res"ondents ha/ing e7"erience greater than ? years is found to be @? "ercent* !he ma#ority of the res"ondents is (ell e7"erienced and hence might ha/e undergone em"loyee de/elo"ment re/ie( cycle in many occasions*

3.4,. 0RE;UE!$Y O0 response


!he second "art of the ;uestionnaire is connected (ith hy"othesis of the research* !here (ere 20 statements on /arious as"ects of "erformance a""raisal and the res"ondents are re;uested to tic) the le/el of agreement or disagreement in a &i)ert scale* !he fre;uency of the res"onses of the em"loyees is gi/en in !able ?*?*

!he highest magnitude of the fre;uency is found to be @3I against the o"tion VagreeH for the statement clarifying the use of "erformance a""raisal as "romotion and "ay fi7ation* No res"ondents ha/e o"ted Vstrongly disagreeH for any of the ;uestions "osted in the ;uestionnaire* 5or all ;uestions, the highest fre;uency of res"onse is found to be corres"onding to the o"tion VagreeH* !he highest magnitude of the fre;uency for /arious statements is found to be bet(een ?2 to @3 "ercent* !his indicates that the /arious as"ects of "erformance a""raisal stated in the ;uestionnaire are "ositi/ely correlated to the

satisfaction of the em"loyee* !he result of fre;uency analysis of the em"loyees is gi/en in !able ?*?* !able ?*?* 5re;uency of res"onse for statements Statement 2* I clearly understand the "ur"ose of "erformance a""raisal 2* Performance a""raisal in my com"any is fair 4* Performance a""raisal reflects ob#ecti/ely my "erformance 3* Performance a""raisal is a tool for "romotion and "ay fi7ation ?* Performance a""raisal "rocess hel"s my su"erior to manage "eo"le better 6* Performance a""raisal "rocess encourages co1o"eration and team s"irit @* Performance a""raisal influences indi/idual "erformance "ositi/ely 8* Present a""raisal system recogni8es im"ro/ed "erformance of indi/idual A* Performance a""raisal is a career de/elo"mental and educational tool 20* Performance a""raisal feedbac) (ill be con/eyed to me Strongly agree 38I 26I 24I 24I %gree Neither agree Strongly +isagree nor disagree disagree 0I 6I 26I 4I 0I 0I 0I 0I 0I 0I 0I 0I

?2I 68I @2I @3I

20I

62I

24I

6I

0I

24I

??I

26I

6I

0I

2AI

@2I

4I

6I

0I

26I

6?I

24I

6I

0I

26I

?2I

2AI

4I

0I

24I

62I

6I

2AI

0I

15 I #$ear$y u !er%ta ! t)e 0ur0o%e o. 0er.or*a #e a00ra/%a$ 100% Re*pondent* 80% 60% 40% 20% 0% Stro 1$y a1ree A1ree 0% 0% 0% 48% 52%

Ne/t)er D/%a1ree Stro 1$y a1ree !/%a1ree or !/%a1ree Re*pon*e

5ig* ?*?* !he fre;uency of res"onse for statement no*2

!he fre;uency of the res"onse of ;uestion on )no(ledge of the em"loyee on "erformance a""raisal is gi/en in 5ig* ?*?* It is found that 38 "ercent res"ondents o"ted Vstrongly agreeH and ?2 "ercent res"ondents o"ted VagreeH* !his indicates that communication regarding the "ur"ose of "erformance a""raisal is satisfactory*
25 Per.or*a #e a00ra/%a$ / *y #o*0a y /% .a/r 100% Re*pondent* 80% 60% 40% 20% 0% Stro 1$y a1ree A1ree 26% 6% 0% 0% 68%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig* ?*6* !he fre;uency of res"onse for statement no*2

!he fre;uency of the res"onse on the o"inion about the "resent a""raisal system in %"ollo !yres &td*, Kalamassery is gi/en in 5ig ?*6* It is found that 26 "ercent res"ondents o"ted Vstrongly agreeH, 68 "ercent res"ondents o"ted VagreeH and 6 "ercent

o"ted Vneither agree nor disagreeH* !his indicates that ma#ority of the res"ondents "ositi/ely agrees on the fact that the "erformance a""raisal in the com"any is fair*

35 Per.or*a #e a00ra/%a$ re.$e#t% o"6e#t/7e$y *y 0er.or*a #e 100% Re*pondent* 80% 60% 40% 20% 0% Stro 1$y a1ree A1ree 13% 16% 0% 0% 71%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*@* !he fre;uency of res"onse for statement no*4 !he fre;uency of res"onse on the ca"ability of the "resent "erformance a""raisal system to reflect the em"loyee "erformance is gi/en in 5ig* ?*@* It is found that 24 "ercent res"ondents o"ted Vstrongly agreeH, @2 "ercent res"ondents o"ted VagreeH and 26 "ercent o"ted Vneither agree nor disagreeH* !his indicates that ma#ority of the em"loyees are con/inced (ith the fact that the "reset system for "erformance a""raisal ob#ecti/ely reflects the em"loyeeHs "erformance*
45 Per.or*a #e a00ra/%a$ /% a too$ .or 0ro*ot/o a ! 0ay ./-at/o 100% 74% 80% 60% 40% 20% 0% Stro 1$y a1ree A1ree 23% 3% 0% 0%

Re*pondent*

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig* ?*8* !he fre;uency of res"onse for statement no*3

!he fre;uency of the res"onse on the statement that "erformance a""raisal is a tool for "romotion and "ay fi7ation is gi/en in 5ig* ?*8* It is found that 24 "ercent res"ondents o"ted Vstrongly agreeH, @3 "ercent res"ondents o"ted VagreeH and 4 "ercent o"ted Vneither agree nor disagreeH* !his indicates that ma#ority of the res"ondents acce"t the fact that as found in other com"anies, "erformance a""raisal in %"ollo !yres &td*, Kalamassery is a tool for "romotion and "ay fi7ation*
55 Per.or*a #e a00ra/%a$ 0ro#e%% )e$0% *y %u0er/or to *a a1e 0eo0$e "etter 100% Re*pondent* 80% 60% 40% 20% 0% Stro 1$y a1ree A1ree 10% 23% 6% 0% 61%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig* ?*A* !he fre;uency of res"onse for statement no*?

!he fre;uency of the res"onse on the statement that "erformance a""raisal hel"s to su"erior to manage subordinates is gi/en in 5ig* ?*A* It is found that 20 "ercent res"ondents o"ted Vstrongly agreeH, 62 "ercent res"ondents o"ted VagreeH, 24 "ercent o"ted Vneither agree nor disagreeH and 6 "ercent o"ted disagree* !his indicates that ma#ority of the res"ondents acce"t the fact that "erformance a""raisal in %"ollo !yres &td*, Kalamassery is tool for effecti/e management*

65 Per.or*a #e a00ra/%a$ 0ro#e%% e #oura1e% #o& o0erat/o a ! tea* %0/r/t 100% Re*pondent* 80% 60% 40% 20% 0% Stro 1$y a1ree A1ree 13% 55% 26% 6% 0%

Ne/t)er D/%a1ree Stro 1$y a1ree !/%a1ree or !/%a1ree Re*pon*e

5ig ?*20* !he fre;uency of res"onse for statement no*6 !he fre;uency o the res"onse of the statement on the benefits of "erformance a""raisal to(ards generating co1o"eration and team s"irit is gi/en in !able ?*20* !hirteen "ercent of the res"ondents o"ted Vstrongly agreeH, fifty fi/e "ercent o"ted VagreeH, t(enty si7 "ercent o"ted Vneither agree nor disagreeH, si7 "ercent o"ted VdisagreeH* !hough there is a general o"inion that the "erformance a""raisal encourages co1o"eration and team s"irit, it seems that there is a sco"e for im"ro/ement in this as"ect*
75 Per.or*a #e a00ra/%a$ / .$ue #e% / !/7/!ua$ 0er.or*a #e 0o%/t/7e$y 100% Re*pondent* 80% 60% 40% 20% 0% Stro 1$y a1ree A1ree 18% 3% 6% 0% 72%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*22* !he fre;uency of res"onse for statement no*@

!he fre;uency of the res"onse on as"ect that indi/idual "erformance is being e7"licitly accounted for in the "erformance a""raisal "rocess is gi/en in 5ig* ?*20* It is found that 2A "ercent res"ondents o"ted Vstrongly agreeH, @2 "ercent res"ondents o"ted VagreeH, 4 "ercent o"ted Vneither agree nor disagreeH and 6 "ercent o"ted disagree* !his indicates that ma#ority of the res"ondents acce"t the fact that indi/idual "erformance is "ositi/ely accounted for in "erformance a""raisal in %"ollo !yres &td*, Kalamassery*
85 Pre%e t a00ra/%a$ %y%te* re#o1 /9e% /*0ro7e! 0er.or*a #e o. / !/7/!ua$ 100% Re*pondent* 80% 60% 40% 20% 0% Stro 1$y a1ree A1ree 16% 13% 6% 0% 65%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*22 !he fre;uency of res"onse for statement no*8 !he fre;uency of the res"onse on as"ect that im"ro/ed "erformance of indi/idual is being e7"licitly accounted for in the "erformance a""raisal "rocess is gi/en in 5ig* ?*22* It is found that 26 "ercent res"ondents o"ted Vstrongly agreeH, 6? "ercent res"ondents o"ted VagreeH, 24 "ercent o"ted Vneither agree nor disagreeH and 6 "ercent o"ted disagree* !his indicates that ma#ority of the res"ondents acce"t the fact that im"ro/ed "erformance of indi/idual is accounted for in "erformance a""raisal in %"ollo !yres &td*, Kalamassery*

85 Per.or*a #e a00ra/%a$ /% a #areer !e7e$o0*e ta$ a ! e!u#at/o a$ too$ 100% Re*pondent* 80% 60% 40% 20% 0% Stro 1$y a1ree A1ree 16% 3% 0% 52% 28%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*24 !he fre;uency of res"onse for statement no*A

!he fre;uency of the res"onse on as"ect that "erformance a""raisal is a de/elo"mental and educational tool is gi/en in 5ig* ?*24* It is found that 26 "ercent res"ondents o"ted Vstrongly agreeH, ?2 "ercent res"ondents o"ted VagreeH, 2A "ercent o"ted Vneither agree nor disagreeH and 4 "ercent o"ted disagree* !hough there is a general o"inion that the "erformance a""raisal is a career de/elo"ment and education tool, it seems that there is a sco"e for im"ro/ement in this as"ect*
105 Per.or*a #e a00ra/%a$ .ee!"a#+ (/$$ "e #o 7eye! to *e 100% Re*pondent* 80% 60% 40% 20% 0% Stro 1$y a1ree A1ree 13% 6% 18% 0% 62%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*23 !he fre;uency of res"onse for statement no*20

!he fre;uency of the res"onse on as"ect that feedbac) of "erformance a""raisal is con/eyed to em"loyee is gi/en in 5ig* ?*23* It is found that 24 "ercent res"ondents o"ted Vstrongly agreeH, 62 "ercent res"ondents o"ted VagreeH, 6 "ercent o"ted Vneither agree nor disagreeH and 2A "ercent o"ted disagree* !hough there is a general o"inion that the feedbac) is communicated after conducting the "erformance a""raisal, it seems that there is a sco"e for im"ro/ement in this as"ect*

3.4-. descriptive statistics

!he statements in the ;uestionnaire ha/e been re/ie(ed statistically* +escri"ti/e statistics ;uantitati/ely describes the main features of a collected data* 5or this "ur"ose, the scores assigned to /arious o"tions are as follo(s01 ? to Vstrongly agreeH, 3 to VagreeH, 4 to Vneither agree or disagreeH, 2 to VdisagreeH and 2 to Vstrongly agreeH* .ni/ariate analysis is carried out, (hich in/ol/es describing the distribution of a single /ariable, including its central tendency and dis"ersion* !he central tendency of the data com"uted is mean and dis"ersion of score is re"resented by ma7imum, minimum, standard de/iation and /ariance* !he descri"ti/e statistics of the score data is gi/en in !able ?*?* !he minimum, ma7imum and mean of scores is "resented in 5ig* ?*2?*
5 4 Score 3 2 Mea 1 1 2 3 4 5 6 7 8 8 10 1ue*tion num2er M/ /*u* Ma-/*u*

5ig ?*2?* !he range and mean of the scores of the statements

!able ?*6* Statistics of scores of res"onse for statements in ;uestionnaire Standard Statement Minimum Ma7imum MeanF Bariance de/iation 2* I clearly understand the "ur"ose of "erformance a""raisal 2* Performance a""raisal in my com"any is fair 4* Performance a""raisal reflects ob#ecti/ely my "erformance 3* Performance a""raisal is a tool for "romotion and "ay fi7ation ?* Performance a""raisal "rocess hel"s my su"erior to manage "eo"le better 6* Performance a""raisal "rocess encourages co1 o"eration and team s"irit @* Performance a""raisal influences indi/idual "erformance "ositi/ely 8* Present a""raisal system recogni8es im"ro/ed "erformance of indi/idual A* Performance a""raisal is a career de/elo"mental and educational tool 20* Performance a""raisal feedbac) (ill be con/eyed to me F!otal number of res"ondents W 42 !he minimum score for e/ery statement in the ;uestionnaire is gi/en in second column of !able ?*?* !he highest score in second column is 3, (hich corres"onds to the res"onse VagreeH and is for statement no* 2* !he lo(est score in the second column is 2, (hich 3 ? 3*38 0*?2 0*26

3*2A

0*?3

0*2A

4*A@

0*??

0*40

3*2A

0*38

0*24

4*@3

0*@4

0*?4

4*@3

0*@@

0*60

3*04

0*@2

0*?0

4*A0

0*@?

0*?6

4*82

0*@?

0*?6

4*68

0*A3

0*8A

corres"onds to the res"onse VdisagreeH, and is for statement number ? to 20* !his indicates that there is sco"e for im"ro/ement for the "arameters "ointed out in statement number ? to 20* !he ma7imum score of the statements are gi/en in third column of !able ?*6* !he ma7imum score for all statements is ?, (hich corres"onds to the res"onse Vstrongly agreeH*

!he mean of score is gi/en in fourth column of !able ?*?* =igher the magnitude of mean indicates that higher is the le/el of agreement on the statement and /ice /ersa* =ighest magnitude of means is found to be 3*38 and is for statement number 2* !his indicates that the "ur"ose of "erformance a""raisal is clear among em"loyees* !he lo(est magnitude of mean is found to be 4*68 and is found to be for statement number 20* !his indicates that there is sco"e for im"ro/ement in the communication of feedbac) in the "erformance a""raisal "rocess*

!he standard de/iation and /ariance of the score data indicate the s"read of the data from the mean and is gi/en in !able ?*6* !he de/iation is 0*38 for statement number 3* !his indicates that the "ay fi7ation and "romotion based on the "erformance a""raisal is effecti/ely communicated and it reaches to all the members* !he de/iation is 0*A3 for statement number 20* !his indicates that communication regarding the feedbac) is not reaching to all the em"loyees e;ually* It is suggested that mechanism shall be im"lemented to confirm that feedbac) of "erformance a""raisal is reached to the em"loyees* !he /ariance is indicati/e of /ariation from the mean* !he /ariance is correlated standard de/iation, the arguments for "laced for standard de/iation can be e7tended to /ariance also*

3.4.. performance appriasal < satisfaction inde= >pasi?

!he "erformance a""raisal satisfaction inde7 9P%SI: of the em"loyee is com"uted based on the scores assigned to the res"onses in section ?*3* !he "erformance a""raisal satisfaction inde7 9P%SI: of res"ondents is "lotted in 5ig* ?*26*
100% Performance appri*al *ati*faction inde0 80% 60% 40% 20% 1 4 7 10 13 16 18 22 25 28 31 Re*pondent num2er Mea : 78% SD : 8%

5ig ?*26* P%SI of res"ondents

!he ma7imum magnitude of P%SI is found to be 200 "ercent and lo(est magnitude of P%SI is found to ?6 "ercent* ,es"ondent number 2@ and 2A scored P%SI of ?6 "ercent* !he commonality of the demogra"hic details among t(o res"ondents (as, they (ere males ha/ing bachelor degree and e7"erience more than ? years* =ence it is recommended that the s"ecial attention shall be considered to accommodate the needs of e7"erienced em"loyee ha/ing more than fi/e years of e7"erience in the "erformance a""raisal*

3.(1. testin5 of 4ypot4esis

!he details of o/erall satisfaction are gi/en in !able ?*@* !he hy"othesis of the research (or) (as $The employees in Apollo Tyres Limited, Kalamassery are satisfied with the

performance appraisal ' !he range of scores of the res"onses is 2 to ?* !he magnitude of mean of scores is an indication to the o/erall satisfaction le/el of em"loyees* !he mean of scores is 4*A@, (hich is greater than mid /alue of ma7imum score 9e;ual to 2*?:* !his indicates that, in general, em"loyees are satisfied (ith the "erformance a""raisal "rocess in %"ollo !yre &imited, Kalamassery* !he standard de/iation is 0*@A, (hich is less than the increment in magnitude of score 9e;ual to 2: considered for different o"tions in the ;uestionnaire* !his indicates that the de/iation of collected data from the mean is lo( and hence the inter"retation based on mean is can be acce"table* !he /ariance is 0*?2* CronbahHs al"ha is 0*@8@, a magnitude greater than 0*@ indicates that the data is reliable for testing the hy"othesis 9Nunnaly, 2A@8:* !able ?*@* Statistical e/aluation of the o/erall res"onses Statements under Minimum Ma7imum Mean Standard Bariance CronbachHs consideration de/iation al"ha verall (statement number ! " #$%& '$&! '$"! '$&(& 1 to 10!

!he research hy"othesis is to study the le/el of satisfaction of em"loyees on the "erformance a""raisal of the com"any* !he as"ect of satisfaction is e7"licitly stated in the ;uestionnaire* Statement in ;uestionnaire0 %/ Performance appraisal in my company is fair !he relationshi" of res"onse of statement no*2 (ith the ma#or "arameters of satisfaction, namely, communication, measurement "olicy and "ost1re/ie( decision are analy8ed statistically* !he statements corres"onding to these "arameters are gi/en belo(* Parameter 20 0ommunication 2* I clearly understand the "ur"ose of "erformance a""raisal 20* Performance a""raisal feedbac) (ill be con/eyed to me

Parameter 20 (easurement policies 4* Performance a""raisal reflects ob#ecti/ely my "erformance @* Performance a""raisal influences indi/idual "erformance "ositi/ely 8* Present a""raisal system recogni8es im"ro/ed "erformance of indi/idual Parameter 40 Post*review decisions 3* Performance a""raisal is a tool for "romotion and "ay fi7ation ?* Performance a""raisal "rocess hel"s my su"erior to manage "eo"le better 6* Performance a""raisal "rocess encourages co1o"eration and team s"irit A* Performance a""raisal is a career de/elo"mental and educational tool !he res"onses of the /arious statements in the ;uestionnaire are combined to e/aluate each "arameter* !he sum of the scores of res"onses of statements is assumed to be the res"onse of each of three "arameters* !he statistical analysis, namely, correlation coefficient and 51test are carried out* !he correlation matri7 bet(een the "arameter 2 to 4 and satisfaction is com"uted and is gi/en in !able ?*8* !he correlation study indicates that the o/erall satisfaction is strongly related to the communication 9"arameter 2:, measurement "olicies 9"arameter 2: and "ost1re/ie( decisions 9"arameter 4:* It may be also noted that the "arameters communication, measurement "olicies and "ost1re/ie( decisions are interde"endent*

!able ?*8* Correlation coefficient matri7 of factors influencing em"loyee satisfaction and "erformance a""raisal Satisfaction Parameter 2 Parameter 2 Parameter 4 Satisfaction 2 0*?360 0*?4?@ 0*486@ Parameter 2 0*?360 2 0*@3A4 0*3202 Parameter 2 0*?4?@ 0*@3A4 2 0*6A3? Parameter 4 0*486@ 0*3202 0*6A3? 2 %nalysis of /ariance is carried out for testing the hy"othesis* 51statistics of the res"onses for satisfaction and "aratemeters2 to 4 is com"uted for testing hy"othesis* !he details of %N>B% are gi/en in !able ?*A*

!he null hy"othesis is01 !he satisfaction of em"loyee is unrelated to communication 9"arameter 2: in "erformance a""raisal* !he satisfaction of em"loyee is unrelated to measurement policies 9"arameter 2: in "erformance a""raisal* !he satisfaction of em"loyee is unrelated to post*review decisions 9"arameter 4: in "erformance a""raisal

!able ?*A* ,esults of %N>B% using MicrosoftD e7cel "rogram %N>B% Satisfaction Satisfaction Satisfaction Parameter2 0ommunication Parameter2 (easurement policies Parameter4 Post*review decisions 5 /alue 9df2W2, df2W40, X W 0*0?: 51calculated 51critical 422*2A64 2?@*A866 8??*336A 3*0022 3*0022 3*0022 "1/alue 2*00<12? 2*22<124 4*42<14@

!he calculated and critical 51/alue of %N>B% is gi/en in !able ?*8* It may be noted that the calculated 51/alue is greater than critical 51/alue, (hich indicate that notion that /ariance are e;ual shall be re#ected* =ence, the null hy"othesis is re#ected and it may be concluded that the "arameters, namely, communication, measurement "olicies and "ost1 re/ie( decisions are strongly related to the satisfaction* !he magnitude of "1/alue is /ery small for all "arameters, (hich indicate that it is more certain to conclude that null hy"othesis is false*

3.(1. nfl2ence of a5e O0 EM'&OYEE O! 'ER0ORMA!$E A''RA SA& SA# S0A$# O!


!he influence of age on the satisfaction of em"loyees is studied* !he res"onse of em"loyees of age grou" 2? to 4? and abo/e 4? is com"ared* !he fre;uency res"onse of the t(o age grou"s is gi/en in !able ?*20* !able ?*20 Com"arison of fre;uency of res"onse of statements by em"loyees of different age grou"s Strongly %gree Neither agree +isagree Strongly agree nor disagree disagree Statement %62F %62Y %62F %62Y %62F %62Y %62F %62Y %62F %62Y 2* I clearly understand the "ur"ose of "erformance a""raisal 2* Performance a""raisal in my com"any is fair 4* Performance a""raisal reflects ob#ecti/ely my "erformance 3* Performance a""raisal is a tool for "romotion and "ay fi7ation ?* Performance a""raisal "rocess hel"s my su"erior to manage "eo"le better

18%

28%

28%

23%

0%

0%

0%

0%

0%

0%

10%

16%

38%

28%

0%

6%

0%

0%

0%

0%

3%

10%

42%

28%

3%

13%

0%

0%

0%

0%

13%

10%

35%

38%

0%

3%

0%

0%

0%

0%

3%

7%

32%

28%

13%

10%

0%

6%

0%

0%

Statement 6* Performance a""raisal "rocess encourages co1o"eration and team s"irit @* Performance a""raisal influences indi/idual "erformance "ositi/ely 8* Present a""raisal system recogni8es im"ro/ed "erformance of indi/idual A* Performance a""raisal is a career de/elo"mental and educational tool 20* Performance a""raisal feedbac) (ill be con/eyed to me
F Y

Strongly %gree Neither agree +isagree Strongly agree nor disagree disagree %62F %62Y %62F %62Y %62F %62Y %62F %62Y %62F %62Y

3%

10%

32%

23%

10%

16%

3%

3%

0%

0%

6%

13%

38%

33%

3%

0%

0%

6%

0%

0%

6%

10%

35%

30%

6%

7%

0%

6%

0%

0%

6%

10%

26%

26%

16%

13%

0%

3%

0%

0%

6%

7%

35%

27%

3%

3%

3%

16%

0%

0%

%62 W %ge grou" 2? to 4? years S number of res"ondents W 2? %62 W %ge grou" greater than 4? years S number of res"ondents W 26 !he magnitude of fre;uency of res"onse gi/en in !able ?*20 indicates that res"onse of em"loyees ha/ing age of 2? to 4? and greater than 4? years is com"arable* =ence it may

be concluded that the satisfaction le/el on the "erformance a""raisal bet(een the different age grou" of em"loyees is almost same* !he highest magnitude of the fre;uency of res"onse of em"loyees of age 2? to 4? years is found to be 32 "ercent and is for statement number 4* !he highest magnitude of the fre;uency of res"onse of em"loyees of age greater than 4? years is found to be 4A "ercent and is corres"onding to the statement number ?* =ence it may be concluded that the statement number 3 is acce"ted by ma#ority of the (or)ers of age grou" 2? to 4? and statement number ? by age grou" greater than ?*
15 I #$ear$y u !er%ta ! t)e 0ur0o%e o. 0er.or*a #e a00ra/%a$ 100 A+e 80 25&35 year% 60 435 year% 28 28 40 23 18 20 0 0 0 0 0 0 0 Stro 1$y A1ree Ne/t)er D/%a1ree Stro 1$y a1ree a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*2@* Influence of age on res"onse of statement number 2 !he influence of age of the em"loyees on the res"onse of the statement number 2 is gi/en in 5ig ?*2@* !he fre;uency of the res"onse of the statement on a(areness of the "ur"ose of "erformance a""raisal is e/aluated in statement number 2* !(enty nine "ercent of the em"loyees of age grou" greater than 4? years are o"ted Vstrongly agreeH and t(enty nine "ercent of the em"loyees of age grou" bet(een 2? and 4? o"ted VagreeH*

Re*pondent* .3/

25 Per.or*a #e a00ra/%a$ / *y #o*0a y /% .a/r 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 10 16 0 38

A+e 25&35 year% 435 year% 28 6 0 0 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*28* Influence of age on res"onse of statement number 2 !he influence of age of the em"loyees on the res"onse of the statement number 2 is gi/en in 5ig ?*28* !he fre;uency of the res"onse of the statement on the fair e7ecution of the "erformance a""raisal is e/aluated in statement number 2* !(enty nine "ercent of the em"loyees of age grou" greater than 4? years are o"ted VagreeH and thirty nine "ercent of the em"loyees of age grou" bet(een 2? and 4? o"ted VagreeH*
35 Per.or*a #e a00ra/%a$ re.$e#t% o"6e#t/7e$y *y 0er.or*a #e 100 A+e 80 25&35 year% 60 42 435 year% 40 28 20 0 Stro 1$y a1ree A1ree 3 10 3 13 0 0 0 0

Re*pondent* .3/

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*2A* Influence of age on res"onse of statement number 4 !he influence of age of the em"loyees on the res"onse of the statement number 4 is gi/en in 5ig ?*2A* !he fre;uency of the res"onse of the statement on the satisfaction le/el on ob#ecti/eness of "erformance a""raisal is e/aluated in statement number 4* !(enty nine

"ercent of the em"loyees of age grou" greater than 4? years are o"ted VagreeH and forty t(o "ercent of the em"loyees of age grou" bet(een 2? and 4? o"ted VagreeH*
45 Per.or*a #e a00ra/%a$ /% a too$ .or 0ro*ot/o a ! 0ay ./-at/o 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 13 10 35 38 0 3 A+e 25&35 year% 435 year% 0 0 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*20* Influence of age on res"onse of statement number 3 !he influence of age of the em"loyees on the res"onse of the statement number 3 is gi/en in 5ig ?*20* !he fre;uency of the res"onse of the statement on the "ur"ose of "erformance a""raisal as "romotion and "ay fi7ation tool is e/aluated in statement number 3* !hirty nine "ercent of the em"loyees of age grou" greater than 4? years are o"ted VagreeH and thirty fi/e "ercent of the em"loyees of age grou" bet(een 2? and 4? o"ted VagreeH*
55 Per.or*a #e a00ra/%a$ 0ro#e%% )e$0% *y %u0er/or to *a a1e 0eo0$e "etter 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 3 7 32 28 13 10 0 6 A+e 25&35 year% 4 35 year% 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*22* Influence of age on res"onse of statement number ?

!he influence of age of the em"loyees on the res"onse of the statement number ? is gi/en in 5ig ?*22* !he fre;uency of the res"onse of the statement on the "ur"ose of "erformance a""raisal as management tool is e/aluated in statement number ?* !(enty nine "ercent of the em"loyees of age grou" greater than 4? years are o"ted VagreeH and thirty t(o "ercent of the em"loyees of age grou" bet(een 2? and 4? o"ted VagreeH*
65 Per.or*a #e a00ra/%a$ 0ro#e%% e #oura1e% #o& o0erat/o a ! tea* %0/r/t 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 3 10 32 23 10 16 3 3 0 0 A+e 25&35 year% 435 year%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*22* Influence of age on res"onse of statement number 6 !he influence of age of the em"loyees on the res"onse of the statement number 6 is gi/en in 5ig ?*22* !he fre;uency of the res"onse of the statement on the "ur"ose of "erformance a""raisal as tool to im"ro/e coo"eration and team s"rit is e/aluated in statement number 6* !(enty three "ercent of the em"loyees of age grou" greater than 4? years are o"ted VagreeH and thirty t(o "ercent of the em"loyees of age grou" bet(een 2? and 4? o"ted VagreeH*

75 Per.or*a #e a00ra/%a$ / .$ue #e% / !/7/!ua$ 0er.or*a #e 0o%/t/7e$y 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 6 13 38 33 3 0 0 A+e 25&35 year% 435 year% 6 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*24* Influence of age on res"onse of statement number @ !he influence of age of the em"loyees on the res"onse of the statement number @ is gi/en in 5ig ?*24* !he fre;uency of the res"onse of the statement on ca"ability of "erformance a""raisal to indi/idual "erformance is e/aluated in statement number @* !hirty three "ercent of the em"loyees of age grou" greater than 4? years are o"ted VagreeH and thirty nine "ercent of the em"loyees of age grou" bet(een 2? and 4? o"ted VagreeH*
85 Pre%e t a00ra/%a$ %y%te* re#o1 /9e% /*0ro7e! 0er.or*a #e o. / !/7/!ua$ 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 6 10 35 30 6 7 0 A+e 25&35 year% 435 year% 6 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*23* Influence of age on res"onse of statement number 8 !he influence of age of the em"loyees on the res"onse of the statement number 8 is gi/en in 5ig ?*23* !he fre;uency of the res"onse of the statement on ca"ability of "erformance a""raisal to im"ro/ed "erformance of an indi/idual is e/aluated in statement number 8*

!hirty "ercent of the em"loyees of age grou" greater than 4? years are o"ted VagreeH and thirty fi/e "ercent of the em"loyees of age grou" bet(een 2? and 4? o"ted VagreeH*
85 Per.or*a #e a00ra/%a$ /% a #areer !e7e$o0*e ta$ a ! e!u#at/o a$ too$ 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 6 10 26 26 16 13 A+e 25&35 year% 435 year% 0 3 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*2?* Influence of age on res"onse of statement number A !he influence of age of the em"loyees on the res"onse of the statement number A is gi/en in 5ig ?*2?* !he fre;uency of the res"onse of the statement on "ur"ose of "erformance a""raisal as career de/elo"ment and education 9training: tool is e/aluated in statement number A* !(enty si7 "ercent of the em"loyees of age grou" greater than 4? years are o"ted VagreeH and t(enty si7 "ercent of the em"loyees of age grou" bet(een 2? and 4? o"ted VagreeH*
105 Per.or*a #e a00ra/%a$ .ee!"a#+ (/$$ "e #o 7eye! to *e 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 6 7 35 27 3 3 3 A+e 25&35 year% 435 year% 16 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*26* Influence of age on res"onse of statement number 20

!he influence of age of the em"loyees on the res"onse of the statement number 20 is gi/en in 5ig ?*26* !he fre;uency of the res"onse of the statement on communication of feedbac) of "erformance a""raisal is e/aluated in statement number 20* !(enty se/en "ercent of the em"loyees of age grou" greater than 4? years are o"ted VagreeH and thirty fi/e "ercent of the em"loyees of age grou" bet(een 2? and 4? o"ted VagreeH* !able ?*22* +escri"ti/e statistical analysis of influence of age on res"onse of scores for statements in ;uestionnaire Minimum Ma7imum Mean Standard Bariance de/iation Statement %62F %62Y %62F %62Y %62F %62Y %62F %62Y %62F %62Y
2* I clearly understand the "ur"ose of "erformance a""raisal 2* Performance a""raisal in my com"any is fair 4* Performance a""raisal reflects ob#ecti/ely my "erformance 3* Performance a""raisal is a tool for "romotion and "ay fi7ation ?* Performance a""raisal "rocess hel"s my su"erior to manage "eo"le better

3*30

3*?6

0*?2

0*?2

0*26

0*26

3*20

3*2A

0*32

0*66

0*2@

0*34

3*00

4*A3

0*48

0*68

0*23

0*36

3*2@

3*24

0*36

0*?0

0*22

0*2?

4*80

4*6A

0*?6

0*8@

0*42

0*@6

Minimum
Statement

Ma7imum

Mean

%62F %62Y %62F %62Y %62F %62Y


6* Performance a""raisal "rocess encourages co1 o"eration and team s"irit @* Performance a""raisal influences indi/idual "erformance "ositi/ely 8* Present a""raisal system recogni8es im"ro/ed "erformance of indi/idual A* Performance a""raisal is a career de/elo"mental and educational tool 20* Performance a""raisal feedbac) (ill be con/eyed to me >/erall 9statement number 2 to 20:
F Y

Standard Bariance de/iation %62F %62Y %62F %62Y

4*@4

4*@?

0*@0

0*86

0*?0

0*@4

3*0@

3*00

0*36

0*8A

0*22

0*80

3*00

4*82

0*?4

0*A2

0*2A

0*84

4*80

4*82

0*68

0*84

0*36

0*@0

4*A4

4*33

0*@0

2*0A

0*?0

2*20

3*02

4*A4

0*?@

0*84

0*44

0*6A

%62 W %ge grou" 2? to 4? years S number of res"ondents W 2? %62 W %ge grou" greater than 4? years S number of res"ondents W 26

!he score based com"arati/e study of scores of res"onses of the em"loyees is gi/en in !able ?*22* !he ran) of ? to 2 is gi/en corres"onding to the o"tion Vstrongly agreeH to

Vstrongly disagreeH* !he minimum score o"ted by age grou" bet(een 2? and 4? years is found to be 2 and is corres"onding to the statement 6 and 20* !he ma7imum score o"ted for all statements by age grou" bet(een 2? and 4? years is found to be ?* !he minimum score o"ted by age grou" greater than 4? years is found to be 2 and is corres"onding to the statement ? to 20* !he ma7imum score o"ted for all statements by age grou" greater than 4? years is found to be ?* !he mean, standard de/iation and /ariance of score of the res"onses o"ted by different age grou" is com"ared in !able ?*22*
5 4 &ean Score 3 2 1 1 2 3 4 5 6 7 8 8 10 Statement Num2er A+e 25&35 year% 435 year%

5ig ?*2@* Influence of age of em"loyees on the mean score of res"onses for the statements 2 to 20* !he mean of the scores o"ted by age grou" bet(een 2? and 4? years is com"ared (ith the corres"onding data of age grou" greater tan 4? years and is also gi/en in 5ig ?*2@* !he magnitude of mean of score o"ted by the t(o age grou"s is found to be com"arable and hence it may be concluded that age of em"loyees does not influence the satisfaction le/el of em"loyees on "erformance a""raisal system significantly* !able ?*22* !he correlation of mean of scores of statements by different age grou"s %ge 2? to 4? years %ge U4? years %ge 2? to 4? years 2 0*8323 %ge U 4? years 0*8323 2 !he correlation coefficient of mean of scores for the statements in the ;uestionnaire o"ted by the t(o age grou"s namely 2?to 4? years and greater than 4? years is found to be

0*8323 and is gi/en in !able ?*22* !his indicates that the mean of the scores of t(o age grou"s is correlated* !he null hy"othesis of this "art of the study is t he response of employees of age group between %5 and 15 years is unrelated to the response of the employees of age group greater than 15 years on the performance appraisal system in "pollo -yres 2imited3 4alamassery* !he %N>B% is carried out to test the null hy"othesis and the results are gi/en in !able ?*24* !able ?*24* ,esults of %N>B% of mean scores of res"onses of different age grou"s %N>B% %ge grou" bet(een 2? and 4? years %ge grou" greater 4? years 5 /alue 9df2W2, df2W28, X W 0*0?: 51calculated 51critical 0*?362 3*3248 "1/alue 0*36A4

!he results of the %N>B% indicate that the null hy"othesis is false* !he mean of the score of res"onses of t(o age grou"s namely 2?to 4? years and greater than 4? years is not mutually e7clusi/e*

3.(2. nfl2ence of 0ORMA& E"U$A# O! O! SA# S0A$# O! O0 'ER0ORMA!$E A''RA SA&


!he influence of education on the satisfaction of em"loyees is studied* !he res"onse of em"loyees of education grou" u" to bachelor degree and abo/e bachelor degree is com"ared* !he fre;uency res"onse of the em"loyee grou"s differ in formal education is gi/en in !able ?*23*

!able ?*23 Com"arison of fre;uency of res"onse of statements by em"loyees ha/ing different education Strongly %gree Neither agree +isagree Strongly agree nor disagree disagree Statement <+2F <+2Y <+2F <+2Y <+2F <+2Y <+2F <+2Y <+2F <+2Y 2* I clearly understand the "ur"ose of "erformance a""raisal 2* Performance a""raisal in my com"any is fair 4* Performance a""raisal reflects ob#ecti/ely my "erformance 3* Performance a""raisal is a tool for "romotion and "ay fi7ation ?* Performance a""raisal "rocess hel"s my su"erior to manage "eo"le better 6* Performance a""raisal "rocess encourages co1o"eration and team s"irit

26I

42I

2AI

24I

0I

0I

0I

0I

0I

0I

24I

24I

2AI

4AI

4I

4I

0I

0I

0I

0I

6I

@I

42I

4AI

6I

20I

0I

0I

0I

0I

26I

@I

26I

38I

4I

0I

0I

0I

0I

0I

20I

0I

2AI

32I

20I

24I

6I

0I

0I

0I

20I

4I

2AI

46I

24I

24I

4I

4I

0I

0I

Statement @* Performance a""raisal influences indi/idual "erformance "ositi/ely 8* Present a""raisal system recogni8es im"ro/ed "erformance of indi/idual A* Performance a""raisal is a career de/elo"mental and educational tool 20* Performance a""raisal feedbac) (ill be con/eyed to me
F

Strongly agree <+2F <+2Y

%gree <+2F <+2Y

Neither agree nor disagree <+2F <+2Y

+isagree <+2F <+2Y

Strongly disagree <+2F <+2Y

4I

26I

4?I

4@I

0I

4I

6I

0I

0I

0I

24I

4I

24I

32I

4I

20I

6I

0I

0I

0I

24I

4I

20I

32I

2AI

20I

4I

0I

0I

0I

24I

0I

24I

4AI

0I

6I

20I

AI

0I

0I

<+2 W 6rou" of em"loyees ha/ing formal education u" to -achelor degree S number of res"ondents W 23 Y <+2 W 6rou" of em"loyees ha/ing formal education greater than -achelor degree S number of res"ondents W 2@ !he magnitude of fre;uency of res"onse gi/en in !able ?*23 indicates that res"onse of em"loyees ha/ing formal education u" to bachelor degree and greater than bachelor degree is com"arable* =ence it may be concluded that the satisfaction le/el on the "erformance a""raisal bet(een em"loyees differ in e7"erience is almost same* !he highest magnitude of the fre;uency of res"onse of em"loyees ha/ing formal education u"

to bachelor degree is found to be 38 "ercent and is for statement number 3* !he highest magnitude of the fre;uency of res"onse of em"loyees ha/ing formal education greater than bachelor degree is found to be 4? "ercent and is corres"onding to the statement number @* =ence it may be concluded that the statement number 3 is acce"ted by ma#ority of em"loyees ha/ing formal education u" to bachelor degree and statement number @ by em"loyees ha/ing education greater than bachelor degree*
15 I #$ear$y u !er%ta ! t)e 0ur0o%e o. 0er.or*a #e a00ra/%a$ 100 "ducation 80 ; B5 De1ree 60 4B5 De1ree 32 28 40 23 16 20 0 0 0 0 0 0 0 Stro 1$y A1ree Ne/t)er D/%a1ree Stro 1$y a1ree a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*28* Influence of formal education on res"onse of statement number 2 !he influence of formal education of the em"loyees on the res"onse of the statement number 2 is gi/en in 5ig ?*28* !he fre;uency of the res"onse of the communication of the "ur"ose of "erformance a""raisal is e/aluated in statement number 2* !hirty t(o "ercent of the em"loyees ha/ing formal education greater than bachelor degree are o"ted Vstrongly agreeH and t(enty nine "ercent of the em"loyees ha/ing formal education u" to bachelor degree o"ted VagreeH*

Re*pondent* .3/

25 Per.or*a #e a00ra/%a$ / *y #o*0a y /% .a/r 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 13 13 28 38 3 3

"ducation ; B5 De1ree 4B5 De1ree

0 0

0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*2A* Influence of formal education on res"onse of statement number 2 !he influence of formal education of the em"loyees on the res"onse of the statement number 2 is gi/en in 5ig ?*2A* !he o/erall satisfaction on the "erformance a""raisal is e/aluated using statement number 2* !hirty nine "ercent of the em"loyees ha/ing formal education greater than bachelor degree are o"ted VagreeH and t(enty nine "ercent of the em"loyees ha/ing formal education u" to bachelor degree o"ted VagreeH*
35 Per.or*a #e a00ra/%a$ re.$e#t% o"6e#t/7e$y *y 0er.or*a #e 100 "ducation 80 ; B5 De1ree 60 4B5 De1ree 38 32 40 20 0 Stro 1$y a1ree A1ree 6 7 6 10 0 0 0 0

Re*pondent* .3/

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*40* Influence of formal education on res"onse of statement number 4 !he influence of formal education of the em"loyees on the res"onse of the statement number 4 is gi/en in 5ig ?*40* Jhether the a""raisal system ob#ecti/ely e/aluates indi/idualHs "erformance is studied using statement number 4* !hirty nine "ercent of the em"loyees ha/ing formal education greater than bachelor degree are o"ted VagreeH and

thirty t(o "ercent of the em"loyees ha/ing formal education u" to bachelor degree o"ted VagreeH*
45 Per.or*a #e a00ra/%a$ /% a too$ .or 0ro*ot/o a ! 0ay ./-at/o 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 16 7 26 3 0 48 "ducation ; B5 De1ree 4B5 De1ree 0 0 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*42* Influence of formal education on res"onse of statement number 3 !he influence of formal education of the em"loyees on the res"onse of the statement number 3 is gi/en in 5ig ?*42* !he fre;uency of the res"onse of the statement on the "ur"ose of "erformance a""raisal as "romotion and "ay fi7ation tool is e/aluated in statement number 3* 5orty eight "ercent of the em"loyees ha/ing formal education greater than bachelor degree are o"ted VagreeH and t(enty si7 "ercent of the em"loyees ha/ing formal education u" to bachelor degree o"ted VagreeH*
55 Per.or*a #e a00ra/%a$ 0ro#e%% )e$0% *y %u0er/or to *a a1e 0eo0$e "etter 100 Re*pondent* .3/ 80 60 40 20 0 10 0 A1ree 18 42 10 13 6 "ducation ; B5 De1ree 4 B5 De1ree 0 0 0

Stro 1$y a1ree

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*42* Influence of formal education on res"onse of statement number ?

!he influence of formal education of the em"loyees on the res"onse of the statement number ? is gi/en in 5ig ?*42* !he fre;uency of the res"onse of the statement on the "ur"ose of "erformance a""raisal as management tool is e/aluated in statement number ?* 5orty t(o "ercent of the em"loyees ha/ing formal education greater than bachelor degree are o"ted VagreeH and nineteen "ercent of the em"loyees ha/ing formal education u" to bachelor degree o"ted VagreeH*
65 Per.or*a #e a00ra/%a$ 0ro#e%% e #oura1e% #o& o0erat/o a ! tea* %0/r/t 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 10 3 36 18 13 13 "ducation ; B5 De1ree 4B5 De1ree 3 3 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*44* Influence of formal education on res"onse of statement number 6 !he influence of formal education of the em"loyees on the res"onse of the statement number 6 is gi/en in 5ig ?*44* !he fre;uency of the res"onse of the statement on the "ur"ose of "erformance a""raisal as tool to im"ro/e coo"eration and team s"rit is e/aluated in statement number 6* !hirty si7 "ercent of the em"loyees ha/ing formal education greater than bachelor degree are o"ted VagreeH and nineteen "ercent of the em"loyees ha/ing formal education u" to bachelor degree o"ted VagreeH*

75 Per.or*a #e a00ra/%a$ / .$ue #e% / !/7/!ua$ 0er.or*a #e 0o%/t/7e$y 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 16 3 0 3 35 37 6 "ducation ; B5 De1ree 4 B5 De1ree 0 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*43* Influence of formal education on res"onse of statement number @ !he influence of formal education of the em"loyees on the res"onse of the statement number @ is gi/en in 5ig ?*43* !he fre;uency of the res"onse of the statement on ca"ability of "erformance a""raisal to indi/idual "erformance is e/aluated in statement number @* !hirty se/en "ercent of the em"loyees ha/ing formal education greater than bachelor degree are o"ted VagreeH and thirty fi/e "ercent of the em"loyees ha/ing formal education u" to bachelor degree o"ted VagreeH*
85 Pre%e t a00ra/%a$ %y%te* re#o1 /9e% /*0ro7e! 0er.or*a #e o. / !/7/!ua$ 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 13 3 23 3 10 6 42 "ducation ; B5 De1ree 4 B5 De1ree 0 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*4?* Influence of formal education on res"onse of statement number 8 !he influence of formal education of the em"loyees on the res"onse of the statement number 8 is gi/en in 5ig ?*4?* !he fre;uency of the res"onse of the statement on ca"ability of "erformance a""raisal to im"ro/ed "erformance of an indi/idual is

e/aluated in statement number 8* 5orty t(o "ercent of the em"loyees ha/ing formal education greater than bachelor degree are o"ted VagreeH and t(enty three "ercent of the em"loyees ha/ing formal education u" to bachelor degree o"ted VagreeH*
85 Per.or*a #e a00ra/%a$ /% a #areer !e7e$o0*e ta$ a ! e!u#at/o a$ too$ 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 13 3 10 42 18 10 "ducation ; B5 De1ree 4 B5 De1ree 3 0 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*46* Influence of formal education on res"onse of statement number A !he influence of formal education of the em"loyees on the res"onse of the statement number A is gi/en in 5ig ?*46* !he fre;uency of the res"onse of the statement on "ur"ose of "erformance a""raisal as career de/elo"ment and education 9training: tool is e/aluated in statement number A* 5orty t(o "ercent of the em"loyees ha/ing formal education greater than bachelor degree are o"ted VagreeH and nineteen "ercent of the em"loyees ha/ing formal education u" to bachelor degree o"ted V neither agree nor disagreeH*
105 Per.or*a #e a00ra/%a$ .ee!"a#+ (/$$ "e #o 7eye! to *e 100 Re*pondent* .3/ 80 60 40 20 0 13 0 Stro 1$y a1ree A1ree 23 0 6 38 "ducation ; B5 De1ree 4 B5 De1ree 10 8 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*4@* Influence of formal education on res"onse of statement number 20

!he influence of formal education of the em"loyees on the res"onse of the statement number 20 is gi/en in 5ig ?*4@* !he fre;uency of the res"onse of the statement on communication of feedbac) of "erformance a""raisal is e/aluated in statement number 20* !hirty nine "ercent of the em"loyees ha/ing formal education greater than bachelor degree are o"ted VagreeH and t(enty three "ercent of the em"loyees ha/ing formal education u" to bachelor degree o"ted VagreeH* !able ?*2?* +escri"ti/e statistical analysis of influence of formal education on res"onse of scores for statements in ;uestionnaire Minimum Ma7imum Mean Standard Bariance de/iation Statement <+2F <+2Y <+2F <+2Y <+2F <+2Y <+2F <+2Y <+2F <+2Y
2* I clearly understand the "ur"ose of "erformance a""raisal 2* Performance a""raisal in my com"any is fair 4* Performance a""raisal reflects ob#ecti/ely my "erformance 3* Performance a""raisal is a tool for "romotion and "ay fi7ation ?* Performance a""raisal "rocess hel"s my su"erior to manage "eo"le better

3*46

3*?A

0*?0

0*?2

0*2?

0*26

3*22

3*28

0*?8

0*?4

0*43

0*28

3*00

4*A3

0*??

0*?6

0*42

0*42

3*2A

3*22

0*62

0*44

0*4@

0*22

4*@2

4*@6

0*AA

0*33

0*AA

0*2A

Minimum
Statement

Ma7imum <+2F <+2Y

Mean <+2F <+2Y

<+2F
6* Performance a""raisal "rocess encourages co1 o"eration and team s"irit @* Performance a""raisal influences indi/idual "erformance "ositi/ely 8* Present a""raisal system recogni8es im"ro/ed "erformance of indi/idual A* Performance a""raisal is a career de/elo"mental and educational tool 20* Performance a""raisal feedbac) (ill be con/eyed to me >/erall 9statement number 2 to 20:
F

<+2Y

Standard de/iation <+2F <+2Y

Bariance <+2F <+2Y

4*@A

4*@2

0*8A

0*6A

0*80

0*3@

4*@A

3*23

0*80

0*?6

0*63

0*42

4*A4

4*88

2*00

0*3A

0*AA

0*23

4*@2

4*88

0*AA

0*3A

0*AA

0*23

4*86

4*?4

2*20

0*80

2*22

0*63

4*A6

4*A8

0*84

0*62

0*@0

0*4@

<+2 W 6rou" of em"loyees ha/ing formal education u" to -achelor degree S number of res"ondents W 23 Y <+2 W 6rou" of em"loyees ha/ing formal education greater than -achelor degree S number of res"ondents W 2@

!he score based com"arati/e study of scores of res"onses of the em"loyees is gi/en in !able ?*2?* !he ran) of ? to 2 is gi/en corres"onding to the o"tion Vstrongly agreeH to Vstrongly disagreeH in the ;uestionnaire* !he minimum score o"ted by em"loyees ha/ing formal education u" to bachelor degree is found to be 2 and is corres"onding to the statement ? and 20* !he ma7imum score o"ted for all statements by em"loyees ha/ing formal education u" to bachelor degree is found to be ?* !he minimum score o"ted by em"loyees ha/ing formal education greater than bachelor degree is found to be 2 and is corres"onding to the statement ? to 20* !he ma7imum score o"ted for all statements by em"loyees ha/ing formal education greater than bachelor degree is found to be ?* !he mean, standard de/iation and /ariance of score of the res"onses o"ted by different age grou" is com"ared in !able ?*2?*
5 4 &ean Score 3 2 1 1 2 3 4 5 6 7 8 8 10 Statement Num2er "ducation ; B5 De1ree 4 B5 De1ree

5ig ?*48* Influence of formal education of em"loyees on the mean score of res"onses for the statements 2 to 20* !he mean of the scores o"ted by em"loyees ha/ing formal education u" to bachelor degree is com"ared (ith the corres"onding data of em"loyees ha/ing formal education greater than bachelor degree and is also gi/en in 5ig ?*48* !he magnitude of mean of score o"ted by the t(o age grou"s is found to be com"arable and hence it may be concluded that formal education of em"loyees does not influence the satisfaction le/el of em"loyees on "erformance a""raisal system significantly*

!able ?*26* !he correlation of mean of scores of statements by different em"loyees grou"s differ in formal education <ducation u" to <ducation greater than -achelor degree bachelor degree <ducation u" to 2 0*@023 -achelor degree <ducation greater than 0*@023 2 bachelor degree !he correlation coefficient of mean of scores for the statements in the ;uestionnaire o"ted by the t(o em"loyees grou"s differ in formal education namely education u" to -achelor degree and education greater than bachelor degree is found to be 0*@023 and is gi/en in !able ?*26* !his indicates that the mean of the scores of t(o age grou"s is correlated*

!he null hy"othesis of this "art of the study is the response of employees having formal education up to bachelor degree is unrelated to the response of the employees having formal education greater than bachelor degree on the performance appraisal system in "pollo -yres 2imited3 4alamassery* !he %N>B% is carried out to test the null hy"othesis and the results are gi/en in !able ?*2@* !able ?*2@* ,esults of %N>B% of mean scores of res"onses of em"loyees grou"s differ in formal education 5 /alue 9df2W2, df2W28, X W 0*0?: %N>B% "1/alue 51calculated 51critical 5ormal 5ormal education u" to education 0*022? 3*3248 0*8838 -achelor greater than degree bachelor degree !he results of the %N>B% indicate that the null hy"othesis is false* !he mean of the score of res"onses of t(o em"loyees grou"s differ in formal education namely u" to bachelor degree and greater than bachelor degree is not mutually e7clusi/e*

3.(3. nfl2ence of $OM'A!Y E@'ER E!$E O! SA# S0A$# O! O0 'ER0ORMA!$E A''RA SA&
!he influence of com"any e7"erience on the satisfaction of em"loyees is studied* !he res"onse of em"loyees of e7"erience u" to ? years and abo/e ? years is com"ared* !he fre;uency res"onse of the t(o em"loyee grou"s differ in e7"erience is gi/en in !able ?*28* !able ?*28 Com"arison of fre;uency of res"onse of statements by em"loyees differ in e7"erience Strongly %gree Neither agree +isagree Strongly agree nor disagree disagree Statement F Y F Y F Y F Y <M2 <M2 <M2 <M2 <M2 <M2 <M2 <M2 <M2F <M2Y 2* I clearly understand the "ur"ose of "erformance a""raisal 2* Performance a""raisal in my com"any is fair 4* Performance a""raisal reflects ob#ecti/ely my "erformance 3* Performance a""raisal is a tool for "romotion and "ay fi7ation

20I

48I

26I

46I

0I

0I

0I

0I

0I

0I

20I

26I

26I

?2I

0I

6I

0I

0I

0I

0I

4I

20I

2AI

?2I

4I

24I

0I

0I

0I

0I

6I

2@I

2AI

??I

0I

4I

0I

0I

0I

0I

Statement ?* Performance a""raisal "rocess hel"s my su"erior to manage "eo"le better 6* Performance a""raisal "rocess encourages co1o"eration and team s"irit @* Performance a""raisal influences indi/idual "erformance "ositi/ely 8* Present a""raisal system recogni8es im"ro/ed "erformance of indi/idual A* Performance a""raisal is a career de/elo"mental and educational tool

Strongly agree <M2F <M2Y

%gree <M2F <M2Y

Neither agree nor disagree <M2F <M2Y

+isagree <M2F <M2Y

Strongly disagree <M2F <M2Y

4I

@I

26I

3?I

6I

2@I

0I

6I

0I

0I

4I

20I

20I

3?I

20I

26I

4I

4I

0I

0I

0I

2AI

24I

3AI

4I

0I

0I

6I

0I

0I

4I

24I

24I

32I

0I

24I

0I

6I

0I

0I

6I

20I

20I

32I

20I

2AI

0I

4I

0I

0I

Statement 20* Performance a""raisal feedbac) (ill be con/eyed to me


F Y

Strongly agree <M2F <M2Y

%gree <M2F <M2Y

Neither agree nor disagree <M2F <M2Y

+isagree <M2F <M2Y

Strongly disagree <M2F <M2Y

6I

@I

26I

36I

4I

4I

0I

2AI

0I

0I

<M2 W 6rou" of em"loyees ha/ing e7"erience u" to ? years S number of res"ondents W 8 <M2 W 6rou" of em"loyees ha/ing e7"erience greater than ? years S number of res"ondents W 24 !he magnitude of fre;uency of res"onse is gi/en in !able ?*28* !he res"onse of em"loyees ha/ing com"any e7"erience greater than ? years is be greater in magnitude than those u" to ? years* !he highest magnitude of the fre;uency of res"onse of

em"loyees ha/ing com"any e7"erience u" to ? years is found to be 24 "ercent and is for statement number @ and A* !he highest magnitude of the fre;uency of res"onse of em"loyees ha/ing e7"erience greater than ? years is found to be ?? "ercent and is corres"onding to the statement number 3* =ence it may be concluded that the statement number 3 is acce"ted by ma#ority of em"loyees ha/ing e7"erience greater than ? years* !he fre;uency of res"onse of the em"loyees ha/ing e7"erience greater than ? years is found to be greater in magnitude (hen com"ared to corres"onding data of em"loyees ha/ing e7"erience u" to ? years*

15 I #$ear$y u !er%ta ! t)e 0ur0o%e o. 0er.or*a #e a00ra/%a$ 100 "0perience 80 0&5 year% 60 45 year% 38 36 40 16 10 20 0 0 0 0 0 0 0 Stro 1$y A1ree Ne/t)er D/%a1ree Stro 1$y a1ree a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*4A* Influence of com"any e7"erience on res"onse of statement number 2

Re*pondent* .3/

!he influence of com"any e7"erience on the res"onse of the statement number 2 is gi/en in 5ig ?*4A* !he fre;uency of the res"onse of the communication of the "ur"ose of "erformance a""raisal is e/aluated in statement number 2* !hirty si7 "ercent of the em"loyees ha/ing com"any e7"erience greater than ? years are o"ted VagreeH and thirty eight "ercent of the em"loyees ha/ing com"any e7"erience u" to ? years o"ted V strongly agreeH*
25 Per.or*a #e a00ra/%a$ / *y #o*0a y /% .a/r 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 10 16 16 0 6 0 0 0 0 52

"0perience 0&5 year% 45 year%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*30* Influence of com"any e7"erience on res"onse of statement number 2 !he influence of com"any e7"erience of the em"loyees on the res"onse of the statement number 2 is gi/en in 5ig ?*30* !he o/erall satisfaction on the "erformance a""raisal is e/aluated using statement number 2* 5ifty t(o "ercent of the em"loyees ha/ing com"any e7"erience greater than ? years are o"ted VagreeH and si7teen "ercent of the em"loyees ha/ing com"any e7"erience u" to ? years o"ted VagreeH*

35 Per.or*a #e a00ra/%a$ re.$e#t% o"6e#t/7e$y *y 0er.or*a #e 100 "0perience 80 0&5 year% 52 60 45 year% 40 18 13 10 20 3 3 0 0 0 0 0 Stro 1$y A1ree Ne/t)er D/%a1ree Stro 1$y a1ree a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*32* Influence of com"any e7"erience on res"onse of statement number 4 !he influence of com"any e7"erience of the em"loyees on the res"onse of the statement number 4 is gi/en in 5ig ?*32* Jhether the a""raisal system ob#ecti/ely e/aluates indi/idualHs "erformance is studied using statement number 4* 5ifty t(o "ercent of the em"loyees ha/ing com"any e7"erience greater than ? years are o"ted VagreeH and ninteen "ercent of the em"loyees ha/ing com"any e7"erience u" to ? years o"ted VagreeH*
45 Per.or*a #e a00ra/%a$ /% a too$ .or 0ro*ot/o a ! 0ay ./-at/o 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 6 17 18 0 3 0 0 55 "0perience 0&5 year% 45 year% 0 0

Re*pondent* .3/

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*32* Influence of com"any e7"erience on res"onse of statement number 3 !he influence of com"any e7"erience of the em"loyees on the res"onse of the statement number 3 is gi/en in 5ig ?*32* !he fre;uency of the res"onse of the statement on the "ur"ose of "erformance a""raisal as "romotion and "ay fi7ation tool is e/aluated in statement number 3* 5ifty fi/e "ercent of the em"loyees ha/ing com"any e7"erience

greater than ? years are o"ted VagreeH and nineteen "ercent of the em"loyees ha/ing com"any e7"erience u" to ? years o"ted VagreeH*
55 Per.or*a #e a00ra/%a$ 0ro#e%% )e$0% *y %u0er/or to *a a1e 0eo0$e "etter 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 3 7 16 6 17 0 6 45 "0perience 0&5 year% 4 5 year% 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*34* Influence of com"any e7"erience on res"onse of statement number ? !he influence of com"any e7"erience of the em"loyees on the res"onse of the statement number ? is gi/en in 5ig ?*34* !he fre;uency of the res"onse of the statement on the "ur"ose of "erformance a""raisal as management tool is e/aluated in statement number ?* 5orty fi/e "ercent of the em"loyees ha/ing com"any e7"erience greater than ? years are o"ted VagreeH and si7teen "ercent of the em"loyees ha/ing com"any e7"erience u" to ? years o"ted VagreeH*
65 Per.or*a #e a00ra/%a$ 0ro#e%% e #oura1e% #o& o0erat/o a ! tea* %0/r/t 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 3 10 10 10 16 3 3 0 0 45 "0perience 0&5 year% 45 year%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*33* Influence of com"any e7"erience on res"onse of statement number 6

!he influence of com"any e7"erience of the em"loyees on the res"onse of the statement number 6 is gi/en in 5ig ?*33* !he fre;uency of the res"onse of the statement on the "ur"ose of "erformance a""raisal as tool to im"ro/e coo"eration and team s"rit is e/aluated in statement number 6* 5orty fi/e "ercent of the em"loyees ha/ing com"any e7"erience greater than ? years are o"ted VagreeH* !en "ercent of the em"loyees ha/ing com"any e7"erience u" to ? years o"ted VagreeH*
75 Per.or*a #e a00ra/%a$ / .$ue #e% / !/7/!ua$ 0er.or*a #e 0o%/t/7e$y 100 Re*pondent* .3/ 80 60 40 20 0 0 Stro 1$y a1ree A1ree 18 23 3 0 0 6 48 "0perience 0&5 year% 45 year% 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*3?* Influence of com"any e7"erience on res"onse of statement number @ !he influence of com"any e7"erience of the em"loyees on the res"onse of the statement number @ is gi/en in 5ig ?*3?* !he fre;uency of the res"onse of the statement on ca"ability of "erformance a""raisal to indi/idual "erformance is e/aluated in statement number @* 5orty nine "ercent of the em"loyees ha/ing com"any e7"erience greater than ? years are o"ted VagreeH and t(enty three "ercent of the em"loyees ha/ing com"any e7"erience u" to ? years o"ted VagreeH*

85 Pre%e t a00ra/%a$ %y%te* re#o1 /9e% /*0ro7e! 0er.or*a #e o. / !/7/!ua$ 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 3 13 23 0 42 13 0 6 "0perience 0&5 year% 45 year% 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*36* Influence of com"any e7"erience on res"onse of statement number 8 !he influence of com"any e7"erience of the em"loyees on the res"onse of the statement number 8 is gi/en in 5ig ?*36* !he fre;uency of the res"onse of the statement on ca"ability of "erformance a""raisal to im"ro/ed "erformance of an indi/idual is e/aluated in statement number 8* 5orty t(o "ercent of the em"loyees ha/ing com"any e7"erience greater than ? years are o"ted VagreeH and t(enty three "ercent of the em"loyees ha/ing com"any e7"erience u" to ? years o"ted VagreeH*
85 Per.or*a #e a00ra/%a$ /% a #areer !e7e$o0*e ta$ a ! e!u#at/o a$ too$ 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 6 10 10 10 42 18 0 3 "0perience 0&5 year% 45 year% 0 0

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*3@* Influence of com"any e7"erience on res"onse of statement number A !he influence of com"any e7"erience of the em"loyees on the res"onse of the statement number A is gi/en in 5ig ?*3@* !he fre;uency of the res"onse of the statement on "ur"ose of "erformance a""raisal as career de/elo"ment and education 9training: tool is e/aluated

in statement number A* 5orty t(o "ercent of the em"loyees ha/ing com"any e7"erience greater than ? years are o"ted VagreeH and ten "ercent of the em"loyees ha/ing com"any e7"erience u" to ? years o"ted V neither agree nor disagreeH*
105 Per.or*a #e a00ra/%a$ .ee!"a#+ (/$$ "e #o 7eye! to *e 100 Re*pondent* .3/ 80 60 40 20 0 Stro 1$y a1ree A1ree 6 7 16 3 3 0 46 18 0 0 "0perience 0&5 year% 45 year%

Ne/t)er D/%a1ree Stro 1$y a1ree or !/%a1ree !/%a1ree Re*pon*e

5ig ?*38* Influence of com"any e7"erience on res"onse of statement number 20 !he influence of com"any e7"erience of the em"loyees on the res"onse of the statement number 20 is gi/en in 5ig ?*38* !he fre;uency of the res"onse of the statement on communication of feedbac) of "erformance a""raisal is e/aluated in statement number 20* 5orty si7 "ercent of the em"loyees ha/ing com"any e7"erience greater than ? years are o"ted VagreeH and si7teen "ercent of the em"loyees ha/ing com"any e7"erience u" to ? years o"ted VagreeH* !able ?*2A* +escri"ti/e statistical analysis of influence of com"any e7"erience on res"onse of scores for statements in ;uestionnaire Minimum Ma7imum Mean Standard Bariance Statement de/iation <M2F <M2Y <M2F <M2Y <M2F <M2Y <M2F <M2Y <M2F <M2Y
2* I clearly understand the "ur"ose of "erformance a""raisal

3*48

3*?2

0*?2

0*?2

0*2@

0*26

Minimum
Statement

Ma7imum <M2F ? <M2Y ?

Mean <M2F 3*48 <M2Y 3*24

<M2F
2* Performance a""raisal in my com"any is fair 4* Performance a""raisal reflects ob#ecti/ely my "erformance 3* Performance a""raisal is a tool for "romotion and "ay fi7ation ?* Performance a""raisal "rocess hel"s my su"erior to manage "eo"le better 6* Performance a""raisal "rocess encourages co1 o"eration and team s"irit @* Performance a""raisal influences indi/idual "erformance "ositi/ely 8* Present a""raisal system recogni8es im"ro/ed "erformance of indi/idual

<M2Y 4

Standard de/iation <M2F <M2Y 0*?2 0*??

Bariance <M2F 0*2@ <M2Y 0*40

3*00

4*A6

0*?4

0*?6

0*2A

0*42

3*2?

3*2@

0*36

0*3A

0*22

0*23

4*88

4*@0

0*63

0*@6

0*32

0*?8

4*?0

4*84

0*A4

0*@2

0*86

0*?2

4*88

3*0A

0*4?

0*@A

0*24

0*64

3*24

4*84

0*4?

0*84

0*24

0*@0

Minimum
Statement

Ma7imum <M2F <M2Y

Mean <M2F <M2Y

<M2F
A* Performance a""raisal is a career de/elo"mental and educational tool 20* Performance a""raisal feedbac) (ill be con/eyed to me >/erall 9statement number 2 to 20:
F Y

<M2Y

Standard de/iation <M2F <M2Y

Bariance <M2F <M2Y

4*88

4*@8

0*84

0*@3

0*@0

0*?3

3*24

4*?2

0*63

0*AA

0*32

0*AA

3*03

4*A?

0*64

0*@?

0*4A

0*?6

<M2 W 6rou" of em"loyees ha/ing e7"erience u" to ? years S number of res"ondents W 8 <M2 W 6rou" of em"loyees ha/ing e7"erience greater than ? years S number of res"ondents W 24 !he score based com"arati/e study of scores of res"onses of the em"loyees is gi/en in !able ?*2A* !he ran) of ? to 2 is assigned to the o"tion Vstrongly agreeH to Vstrongly disagreeH in the ;uestionnaire* !he minimum score o"ted by em"loyees ha/ing com"any e7"erience u" to ? years is found to be 2 and is corres"onding to the statement 6 and 20* !he ma7imum score o"ted for all statements by em"loyees ha/ing com"any e7"erience u" to ? years is found to be ?* !he minimum score o"ted by em"loyees ha/ing com"any e7"erience greater than ? years is found to be 2 and is corres"onding to the statement ? to 20* !he ma7imum score o"ted for all statements by em"loyees ha/ing com"any e7"erience greater than ? years is found to be ?* !he mean, standard de/iation and /ariance of score of the res"onses o"ted by different age grou" is com"ared in !able ?*2?*

5 4 &ean Score 3 2 1 1 2 3 4 5 6 7 8 8 10 Statement Num2er "0perience 0&5 year% 4 5 year%

5ig ?*3A* Influence of com"any e7"erience of em"loyees on the mean score of res"onses for the statements 2 to 20* !he mean of the scores o"ted by em"loyees ha/ing com"any e7"erience u" to ? years is com"ared (ith the corres"onding data of em"loyees ha/ing com"any e7"erience greater than ? years and is also gi/en in 5ig ?*3A* !he magnitude of mean of score o"ted by the t(o age grou"s is found to be com"arable and hence it may be concluded that com"any e7"erience of em"loyees does not influence the satisfaction le/el of em"loyees on "erformance a""raisal system significantly* !able ?*20* !he correlation of mean of scores of statements by different em"loyees grou"s differ in com"any e7"erience Com"any e7"erience Com"any e7"erience u" to ? years greater than ? years Com"any e7"erience u" 2 0*?2?A to ? years Com"any e7"erience 0*?2?A 2 greater than ? years !he correlation coefficient of mean of scores for the statements in the ;uestionnaire o"ted by the t(o em"loyees grou"s differ in com"any e7"erience namely u" to ? years and greater than ? years is found to be 0*?2?A and is gi/en in !able ?*20* !his indicates that the mean of the scores of t(o age grou"s is correlated*

!he null hy"othesis of this "art of the study is t he response of employees having company e5perience up to 5 years is unrelated to the response of the employees having company e5perience greater than 5 years on the performance appraisal system in "pollo -yres 2imited3 4alamassery* !he %N>B% is carried out to test the null hy"othesis and the results are gi/en in !able ?*22* !able ?*22* ,esults of %N>B% of mean scores of res"onses of em"loyees grou"s differ in com"any e7"erience 5 /alue 9df2W2, df2W28, X W 0*0?: %N>B% "1/alue 51calculated 51critical Com"any Com"any e7"erience e7"erience u" 0*3@04 3*3248 0*?02? greater than ? to ? years years !he results of the %N>B% indicate that the null hy"othesis is false* !he mean of the score of res"onses of t(o em"loyees grou"s differ in com"any e7"erience namely u" to ? years and greater than ? years is not mutually e7clusi/e*

3.(4. s2mmary
!he demogra"hic details of the manager res"ondents, namely, gender, age, educational ;ualification and e7"erience in the com"any (ere analy8ed statistically* It is found that the ma#ority of res"ondents are male in the age grou" of 2? to 4? years ha/ing educational ;ualification greater than bachelor degree and e7"erience more than fi/e years* !he fre;uency of res"onse to the 20 statements related to the hy"othesis of the thesis is determined* It is found that the highest magnitude of the fre;uency for /arious statements is found to be bet(een ?2 to @3 "ercent* !he descri"ti/e statistics terms ha/e been e/aluated* !he descri"ti/e statistics of res"onses, namely, range, mean, standard de/iation and /ariance is determined based on the ? "oint scale* !he highest magnitude of score for all the statements (as found to be ? and lo(est magnitude of score is found to

be /arying bet(een 2 and 3* !he "erformance a""raisal satisfaction 9P%SI: inde7 of the res"ondent is com"uted and is found to be bet(een ?6 to 200 "ercent* !he testing of null hy"othesis is carried out* It is found that, in general, the em"loyees of %"ollo !yres &imited, Kalamassery are satisfied (ith the "erformance a""raisal "rocess* !he influence of "arameters such as age, formal education and com"any e7"erience on the res"onse of the em"loyees of %"ollo !yres &imited, Kalamassery is e7amined* It is found that the influence of age, formal education and com"any e7"erience of em"loyees on res"onse on the satisfaction of "erformance a""raisal system is insignificant*

Chapter 4 2. Summary5 findin+*5 C#NC$USI#NS AND R"C#&&"NDATI#NS


).1. S2mmary
!he satisfaction of managerial cadre em"loyees of %"ollo !yre &imited, Kalamassery on the "erformance a""raisal system of the com"any is studied* !he "erformance a""raisal system in %"ollo !yre &imited, Kalamassery is studied* !he factors influencing the satisfaction of "erformance a""raisal is identified* !he "arameters, namely, communication, measurement "olicies and "ost re/ie( decisions of the "erformance a""raisal system are considered for the analysis* % ;uestionnaire containing ten statements is "re"ared and the res"onse of em"loyees is collected* !he managers attended one shift of com"any is ta)en as the sam"le of "o"ulation* !he fre;uency of the res"onses is analy8ed* !he res"onses of the mangers are ma""ed to a ? "oint score &i)ertHs scale* !he descri"ti/e statistical analysis of the score of the res"onses is carried out* !he influence of the "arameters such as age, formal education and e7"erience on the res"onses is statistically analy8ed using correlation and %N>B% a""roaches*

).2. 0 !" !*S


!he findings of the ;uestionnaire based research on the satisfaction of the em"loyees in the managerial cadre on "erformance a""raisal system in %"ollo !yre &imited, Kalamassery are01 2* Ma#ority of the em"loyees in the managerial cadre is males* 2* Ma#ority of the em"loyees in the managerial cadre is in the age grou" of 2? to 4? years 4* Ma#ority of the em"loyees in the managerial cadre is ha/ing formal education more than bachelors degree 3* Ma#ority of the em"loyees in the managerial cadre is ha/ing a com"any e7"erience more than ? years* ?* !he analysis of the fre;uency of the res"onses indicated that the em"loyees are satisfied (ith the "erformance a""raisal system of the com"any*

6* %bout ?2 "ercent of the sam"le agreed to the fact that )no(ledge about the "erformance a""raisal is clear* @* %bout 68 "ercent of the managers agreed that the "erformance a""raisal system of the com"any is fair* 8* %bout @2 "ercent of the managers o"ted VagreeH for the statement that the "erformance a""raisal reflects ob#ecti/ely on indi/idualHs "erformance* A* %bout @3 "ercent of the managers agreed to the fact that the "erformance a""raisal is a tool for "romotion and "ay fi7ation* 20* %bout 62 "ercent of the managers agreed that the "erformance a""raisal is a management tool and hel"s to manage "eo"le better* 22* %bout ?? "ercent of the res"ondents o"ted VagreeH for the statement that the "erformance a""raisal "rocess encourages coo"eration and team s"irit* 22* %bout @2 "ercent of the managers agreed that the "erformance a""raisal influences indi/idual "erformance "ositi/ely* 24* %bout 6? "ercent of managers o"ted VagreeH for statement that the "erformance a""raisal system recogni8es im"ro/ed "erformance of indi/idual* 23* %bout ?2 "ercent of res"ondents agreed that "erformance a""raisal is a career de/elo"mental and educational tool* 2?* %bout 62 "ercent of the managers agreed that the "erformance a""raisal feedbac) is con/eyed to the indi/idual* 26* !he descri"ti/e statistical analysis indicated that the mean of the score is greater than 4*0 for all ten statements in the ;uestionnaire 2@* !he standard de/iation of the score is less than 2*0 for all ten statements in the ;uestionnaire* 28* !he mean "erformance satisfaction inde7 is found to be @A "ercent 2A* !he mean score of satisfaction of "erformance a""raisal system accounting for all the ;uestions and all the res"ondents is found to 4* A@* 20* !he %N>B% indicated that the communication and satisfaction of "erformance a""raisal are strongly correlated* 22* !he %N>B% indicated that the measurement "olicies and satisfaction of "erformance a""raisal system are strongly correlated* 22* !he %N>B% indicated that the "ost1re/ie( decisions and satisfaction of "erformance a""raisal system are strongly correlated*

24* !he %N>B% indicated that the age of em"loyees and satisfaction of "erformance a""raisal system are unrelated* 23* !he %N>B% indicated that the formal education of em"loyees and satisfaction of "erformance a""raisal system are unrelated* 2?* !he %N>B% indicated that the com"any e7"erience of em"loyees and satisfaction of "erformance a""raisal system are unrelated*

).3. $O!$&US O!S


% fair "erformance a""raisal "rocess hel"s to im"ro/e the satisfaction in em"loyees* !he (illingness to in/est additional effort of to(ards enhancing "roduction and there by mar)et and financial "osition increases (ith em"loyee satisfaction* !he "erformance a""raisal accounting for the indi/idual and team "erformance of the members (ill hel" to increase the "lant out"ut* -ased on the ;uestionnaire sur/ey conducted, it can be concluded that em"loyees of %"ollo !yre &imited, Kalamassery are satisfied (ith the "erformance a""raisal "rocess* <m"loyees satisfaction de"ends on the many as"ects of "erformance analysis and com"any ha/e to loo) into the balanced blend of im"ortant as"ects li)e communication, measurement "olicies and "ost1re/ie( decisions*

7 6 R/*OMM/!'AT0O!S
It is recommended that the com"any may loo) into the follo(ing as"ects of "erformance a""raisal that are being re/ie(ed in this research in &i)ert1scale, to im"ro/e the score of em"loyee satisfaction* >b#ecti/ely reflecting indi/idualHs "erformance %s managerial tool Im"ro/ement in coo"eration and team s"irit ,ecognition for im"ro/ed "erformance %s a educational 9training: and career de/elo"ment tool Communication of feedbac)

6I6$I#-RAP!Y
%guinis, =* oo, =* and 6ottfredson, ,*K* 92022: $Performance management uni/ersals0 !hin) globally and act locally' -usiness =ori8ons, Bol* ??, No*3, ulyC%ugust, ""* 48?14A2* %guinis, =*, oo, =* and 6ottfredson, ,*K* 92022: $Jhy (e hate "erformance managementP%nd (hy (e should lo/e it' -usiness =ori8ons, Bol* ?3, No* 6, No/emberC+ecember, ""* ?041?0@* %nderson, <*J* and 5ornell, C* 92AA4: G% Customer Satisfaction ,esearch Pros"ectusG In ,ichard >li/er and ,oland ,ust 9eds*:, 5rontiers in Ser/ices Mar)eting* C%0 Sage, Ne(bury Par)* %ndrZs, ,*+*, 6arc[a1&a"resta, *&* and 6on8\le81Pach]n, * 92020: $Performance a""raisal based on distance function methods' <uro"ean ournal of >"erational ,esearch, Bol* 20@, No* 4, +ecember , ""* 2?AA1260@* %s(atha""a, K* 9200?: $=uman resources "ersonnel management', 3e, !ata Mc6ra( =ill, Ne( +elhi -hattacharyya, +*K* 92022: $Performance management system and strategies' Pearson <ducation, Ne( +elhi* -ous)ila1Kam, >* and Kluger, %* N* 92022: $Strength1based "erformance a""raisal and goal setting' =uman ,esource Management ,e/ie(, Bol* 22, No* 2, une, ""* 24@123@* -riec, J* and Kerstens, K* 9200A: $Multi1hori8on Mar)o(it8 "ortfolio "erformance a""raisals0 % general a""roach' >mega, Bol* 4@, No* 2, 5ebruary, ""* ?0162* -rutus S* 92020: $Jords /ersus numbers0 % theoretical e7"loration of gi/ing and recei/ing narrati/e comments in "erformance a""raisal' =uman ,esource Management ,e/ie(, Bol* 20, No*2, une, ""*23312?@* Carrol, S* and Schneir, C* 92A82: $Performance a""raisal and re/ie( system0 !he identification, measurement and de/elo"ment of "erformance in organi8ations' Scott 5oresman and Co*, 6len/ie(, Illinois* Choon, &*K* and <mbi, M*%* 92022: $Sub#ecti/ity, >rgani8ational ustice and Performance %""raisal0 .nderstanding the Conce"t of Sub#ecti/ity in &eading !o(ards <m"loyeesH Perce"tion of 5airness in the Performance %""raisal' Procedia 1 Social and -eha/ioral Sciences, Bol*e 62, >ctober, ""*28A12A4*

+elPo, %* %* 9200?: $!he "erformance a""raisal handboo) C &egal S "ractical tools for managers' Nolo Publications, Canada* +e/ellis, ,*5* 92AA2:* $Scale +e/elo"ment', Sage Publications, Canada* <s"inilla, M*, de %ndrZs, ,*, Mart[ne8, 5* * and Mart[ne8, &* 92024: $% 4601degree "erformance a""raisal model dealing (ith heterogeneous information and de"endent criteria' Information Sciences, Bol* 222, 5ebruary, ""*3?A13@2* &oc)e, <* 92A@6: !he nature and causes of em"loyee satisfaction' In M* +* +unnette 9<d*:* =andboo) of industrial and organi8ational "sychology, ,and McNally, Chicago* Mar;uardt, M* 92003: $>"timi8ing "o(er of action learning' +a/ies -lac) Publications, Cannada* Nunnally, * 92A@8: $Psychometric theory', 2nd edition, Mc6ra( =ill, Ne( Kor)* Porter, &*J*, %ngle, =*&* and %llen, ,*J* 92004: $>rgani8ational influence "rocess' 2e, M*<* Shar"e Inc*, Ne( Kor)* ,ao, !*B* 92003: $Performance management and a""raisal systems =, tools for global com"etiti/eness' ,es"onse -oo)s, Ne( +elhi* ,eid, * and =ubbell, B* 9200?: $Creating "erformance culture' I/ey management Ser/ices, Bol* 6A, No*3, ""*213 Sahu, ,*K*, 9200@:, $Performance management system' 3e, <7cel boo)s, Ne( +elhi* Sash)in, M* 92A33: $% managerHs guide to "erformance management' %M% Publication +i/ision, Ne( Kor)* Se"ehrirad, ,* , %8ar, %* and Sadeghi, %* 92022: $+e/elo"ing a =ybrid Mathematical Model for 4601+egree Performance %""raisal0 % Case Study' Procedia 1 Social and -eha/ioral Sciences, Bol* 62, >ctober , ""* 8331838* S"ence, *,* and Kee"ing, &* 92022: $Conscious rating distortion in "erformance a""raisal0 % re/ie(, commentary, and "ro"osed frame(or) for research' =uman ,esource Management ,e/ie(, Bol* 22, No* 2, une , ""* 8?1A? Barma, %*, -udh(ar, P*S* and +eNisi, %*S* 92008: $Performance management systems C % global "ers"ecti/e' !aylor S 5rancis, Ne( Kor)*

Appendi8 A 9 :)estionnaire
+e"artment 0^^^^^^^^^^^^^^ +esignation 0^^^^^^^^^^^^^^
Please indicate your preference among alternate answers for each 6uestion by tic)ing in the appropriate bo5 6ender 0 Male 5emale %ge0 2?14? 4?13? 3?1?? <ducation0 T -achelor degree -achelor degree U-achelor degree I (or) in %"ollo for0 0 to 2 years 2 to ? years U ? years

a b c d

No* Statement

Strongly %gree Neither +isagree Strongly agree agree disagree nor disagree

2 2 4 3 ? 6 @ 8 A 20

I clearly understand the "ur"ose of "erformance a""raisal Performance a""raisal in my com"any is fair Performance a""raisal reflects ob#ecti/ely my "erformance Performance a""raisal is a tool for "romotion and "ay fi7ation Performance a""raisal "rocess hel"s my su"erior to manage "eo"le better Performance a""raisal "rocess encourages co1 o"eration and team s"irit Performance a""raisal influences indi/idual "erformance "ositi/ely Present a""raisal system recogni8es im"ro/ed "erformance of indi/idual Performance a""raisal is a career de/elo"mental and educational tool Performance a""raisal feedbac) (ill be con/eyed to me

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