20-10-2016, 10:08 AM
A STUDY ON PERFORMANCE APPRAISAL IN SARVANA GLOBAL ENERGY LTD, PEDDUNAICKEN KUPPAM, KURINJIPADI
1460016935-ASTUDYONEFFECTIVENESSOFTHEPERFORMANCEAPPRAISALINPUDUCHERRYPOWERCORPORATIONLIMITED.docx (Size: 193.01 KB / Downloads: 5)
INTRODUCTION
Performance management is a holistic process bringing together many of elements which go to make up the successful practices of people management including in particular learning and development. But for this very reason, it is complex and capable of being misunderstood
‘Performance management is not achievable unless there are effective processes of continuous development. This addresses the core competencies of the organization and the capabilities of individuals and teams. ‘Performance management’ should really be called ‘performance and development and management.’
Performance appraisal is one element of performance management which involves different measurements throughout the organizations are to take the advantage of their most important asset, employees, and gain human capital advantage.
Simply put, it is the observation and evaluation of a school employee’s work behavior and accomplishments for the purpose of making decisions about the staff member. These decisions may include wage, salary, and benefit determinations promotion, demotion, transfer, or termination actions; and coaching and counseling, training, or career development options.
There are three basic functions of an effective performance appraisal:
1. To provide adequate feedback to staff members on their performance
2. To serve as an opportunity to communicate face-to-face modifications or changes to existing performance objectives
3. To provide data to administrators so they can evaluate a staff member and judge future job assignments and compensation
The notion of performance appraisal has become an almost universally accepted fact of life in most organizations. It often serves as the basis for other human resource systems, such as salary management, career development, and selection processes. Because of all of these uses for the performance appraisal process, it is increasingly important that school leaders more than ever need to improve their managerial and supervisory skills in such areas as creating individual performance standards, getting employee commitment to performance standards, and conducting interim and end-of-year performance appraisal meetings.
This book was written to help school leaders not only improve their ability in managing their employees’ performance. But also to provide staff members with coaching tools that will target their performance deficits. As the first step in any performance review process is to identify the knowledge, skills, and abilities that are required in a specific position, this book provides administrators with unique job descriptions for most support staff and teaching positions. This is not only beneficial for the administrator, but it is enormously important to the employee, as specific performance outcomes are outlined and presented. Clear, stated behaviors and outcomes for workplace performance must be outlined and discussed if the administrator and the support staff member or teacher can possibly have success in this process. Both parties must have the same mental picture of their performance expectations.
Self-appraisal forms are also presented for the job-specific responsibilities, as well as self-appraisal forms for more general, interpersonal skill areas that affect how employees interact with colleagues, students, parents, administrators, and others.
After comparing the staff member’s expected with his or her actual performance, the school administrator can select relevant coaching from the book that the staff member can immediately use to help “close the performance gap”. These coaching tools provide background information on each performance area, individual development plan forms, and a suggest dreading list. The information present in each area is not designed to be over whelm in, but rather to be practical and ready to use an employee who needs help in closing a performance gap.
The book also provides school leader s with clear directions on how to conduct initial, interim, and formative coaching and summative performance appraisal meetings, as well as presents templates that immediately provide the employee with beneficial feedback and direction for improvement.
OBJECTIVES OF THE STUDY:
PRIMARY OBJECTIVE
SECONDARY OBJECTIVE
PRIMARY OBJECTIVE:
To study on the OF A STUDY ON PERFORMANCE APPRAISAL IN SARVANA GLOBAL ENERGY LTD, PEDDUNAICKEN KUPPAM, KURINJIPADI for their employees.
SECONDARY OBJECTIVE:
• To find out skill and capacity of employees
• To identify training methods to improve the performance employees.
• To analyses the management quality through the performance appraisal.
• To improve ways and effectiveness of the existing performance appraisal
NEED FOR THE STUDY:
The management was in the position to know whether the existing performance appraisal is effective or not.
To measure the satisfaction level of the employees.
To get suggestion from the employees for further improvements in existing performance appraisal.
SCOPE OF THE STUDY:
The study aims at analyzing the issues related to performance appraisal. A questionnaire was farmed to get the details from the employees include the following categories of information contains the name, age previous experience of the employees.
LIMITATIONS OF THE STUDY:
Most of the respondents did not answer the questionnaire truly due to fear.
Most of the employees were busy with their job and they don’t want to be disturbed.
Due to many restrictions cannot meet many employees on time.
Few respondents reluctant to answer the questionnaire.
METHODS OF STUDY:
In everyday life, every human being has to face many problems viz. Social, economical, financial problems. These problems in life call for acceptable and effective solutions and for this purpose, research is required and a methodology applied for the solutions can be found out.
Research was carried out at t A STUDY ON PERFORMANCE APPRAISAL IN SARVANA GLOBAL ENERGY LTD, PEDDUNAICKEN KUPPAM found out the “effectiveness of performance appraisal”.
RESEARCH METHODS
• To find out the satisfaction of the employees with the performance appraisal.
• To identify areas of improvement in design of performance appraisal.
Data collection methods:
Primary data
Tool for collecting primary data are as follows:-
• Structured questionnaire
Sample plan
• The sample plan is a distinct phase of the research process.
• It refers to the technique or the procedure a research would adopt in selecting items for sample.
Sample population
• Population consists of the total respondents.
• The research population consists of all the employees at
• Sampling techniques
• In the research random-cum-convenient sampling techniques are being used sample size.
To find out the effectiveness of performance appraisal of Global Energy Ltd peddunaicken kuppam, kurinjipadi certain step has been taken which are as follows:-
A. Initial research
Sample size of 50 employees was selected
Parameters for performance appraisal were listed
B. Preparing a structure questionnaire
Based on the initial research findings, structure questionnaire was prepared
Data was collected from employee with the help of questionnaire
RESEARCH METHODOLOGY
Methodology is the backbone of the project work. It means the way one researcher selects and sample size, methods of data collection, various tools used for studying and analyzing the problems with certain objectives.
AIM OF THE STUDY
Aim of the study is to measure the performance appraisal among employees with special reference to
OBJECTIVES OF THE STUDY
• To find out awareness of performance appraisal inside the organization.
• To find out the benefit of appraisal system to the appraise and appraiser.
• To identify the level of satisfaction between workers and staff.
• To analyze the attitude of workers towards management.
SCOPE OF THE STUDY
This research study is useful for understand the exception and requirements of employees to serve them in a better ways.
RESEARCH DESIGN
The type of research is descriptive research. Descriptive research is the description of the state of affairs that exists at present. It includes surveys, facts findings and enquires at different level. The major characteristics of this method is that the research has not control over the variables; he can only report what has happened or what is happening the researcher followed descriptive research.
SAMPLING DESIGN
The design used for sampling is non probability sampling based on the convenience of the research.
When population elements are selected for inclusion in the sample based on the case of access, it can be called convenience sampling.
SAMPLING UNIT
Present employees is Global Energy Ltd. 100 Employees.
SAMPLING SIZE
A sample size is 50 respondents.
HYPOTHESIS OF THE STUDY
There is no association between professional competence and knowledge wise.
There is association between Education Qualification and job satisfaction.
There is association between education qualification and dependent.
DATA COLLECTION
Primary data and secondary data were used to collect the data for these study.
PRIMARY DATA
The primary data are those, Which are collected a fresh and for the first time, and thus happen to be original in character. Primary data was collected in the form of direct contact method with the employees in the organization. A questionnaire was provided to the employees in order to record the response for analyzing the employee performance appraisal.
SECONDARY DATA
The secondary data are those which have already been collected by some one else which have already been passed through the statistical process. Secondary data was collected for various books. Text books, website, magazines, etc.,
TOOLS USED FOR DATA ANALYSIS
Percentage Analysis
Chi-Square
PERCENTAGE ANALYSIS
It refers to a special kind of ratio. This is used for making comparison between two or more series of data, it is denoted by%.
%= (number of respondents/total respondents)*100 percentage are measure of central tendency. Percentage are often used in the data presentation; the data are reduced in the standard form with base equal to 100, Which facilitate relative comparison. Percentage Analysis = (No.of Respondents/Total Respondents)*50
CHI-SQUARE
Chi-square is an important test amongst the several test of Significance developed by statisticians. Chi-square symbolically written as x^2. x^2 is a statistical measure used in the context of sampling analysis for comparing a variance to a theoretical variance.
It can be used to determine if categorical data shows dependency or the two classifications are independent. It can also be used to make comparisons between theoretical population and actual data when categories are used.
LIMITATIONS OF THE STUDY
This study is not generalized because it is restricted only to 50 respondents.
Time was not sufficient to conduct detail study.
The study has been conducted in only one industry. Hence the result may vary from one industry to another.
The study has been conducted for a specified period hence the result may not be same throughout.
CHAPTER II
COMPANY PROFILE
Saravana Global Energy Limited Instrument Amount (Rs. Crore) Rating Action December 2014 Long-term, term loans 28.7 [ICRA]C- reaffirmed Long-term, cash credit facilities 25.0
[ICRA]C- reaffirmed Long-term, proposed facilities 3.8 [ICRA]C- reaffirmed Short-term, bills discounting facilities 10.0 [ICRA]A4 reaffirmed Short-term, letters of credit/bank guarantees 12.5 [ICRA]A4 reaffirmed ICRA has reaffirmed the [ICRA]C- (pronounced as ICRA C minus) rating to the Rs 57.5 crore* term loans and fund based long term facilities of Saravana Global Energy Limited (SGEL)† . ICRA has also reaffirmed the short term rating of [ICRA]A4 (pronounced as ICRA A four) to the Rs 22.5 crore fund based and non-fund based limits of the company.
The rating reaffirmation considers the weak financial profile of the company with poor cash flows and the continued default in the repayment of loans (that remain unrated) owing to the delay in raising funds through the sale of assets/divestment of stake which was proposed to be applied towards the One Time Settlement of foreign currency borrowings. The ratings are also constrained by the insulator industry remaining vulnerable to cyclicality in the end-user industry and the weak credit profile of SEBs who remain the principal buyers; and, the intense competition in the insulator industry from domestic organized players with threat from Chinese imports expected to recede only gradually.
The ratings, nevertheless, factor in the organized and well established presence of the company in the domestic insulator manufacturing business; reputed clientele and supplies to major power transmission companies including SEBs; favorable long term opportunities for the insulator industry despite slowdown in the recent past on account of market disruptive imports from China; and, the current duty protection to the domestic industry in the form of imposition of safeguard duty.
The company reported an operating income of Rs. 46.3 crore, operating profit of Rs. 2.8 crore and net loss of Rs. 33.1 crore in FY 2014 (October 2012- March 2014; 18 months) as against an operating income of Rs 48.3 crore, operating loss of Rs 14 crore and net loss of Rs 38.5 crore in FY 2012 (September-ended).
Company Profile
Saravana Global Energy Limited (SGEL, formerly known as Saravana Insulators Limited) was incorporated in 2003 by acquiring the assets of Seshasayee Industries Limited, a sick unit. SGEL manufactures alumina porcelain insulators in Unit I located at Cuddalore, Tamil Nadu, with capacity of 15,000 tons per annum (mtpa) and, polymer insulators in Unit II located in Madhurandhakam, Tamil Nadu, with capacity of ~27,000 pieces per annum for application in transmission lines, power equipment manufactures, and railway electrification projects. The company also has a separate division, Global Power Research Institute, a National Accreditation Bureau of Laboratories (NABL) recognized extra high voltage (EHV) testing lab in Cuddalore. The promoters hold ~80% of the stake in the company in their personal capacity while the remaining is held by a private equity investor. December 2014
SARAVANA GLOBAL ENERGY LIMITED (SGEL) is a reputed manufacturer of Alumina porcelain and Composite Insulators for all applications from 11kV to 1200kV for supply to all customers such as SEBs, EPCs, OEMs, Power Grid Corporation of India, NTPC, Railway Electrification and Export customers.
The promoters of SGEL have been successful in other businesses in Tamilnadu for more than four decades and took over the total assets of Seshasayee Industries Limited (SIL) in 2002 and commenced commercial production in 2004.
Building on the core strength of SIL as one of the first plants in India to produce high strength Alumina porcelain and provide import substitute to Solid Core and Hollow Insulators, the promoters combined the expertise of SIL personnel in Production Techniques and added modern machinery and management approach to enhance Quality, Productivity and Efficiency. In short span of 6 years the company has emerged as the leading supplier in India, over taking many existing players.
LITERATURE REVIEW
INTRODUTION:
Performance evaluation reflects on employees actual job performance levels, but in order to get a true picture, the rating must be accurate. Accuracy is the primary goal of any appraisal system. Employment Decisions that are based on inaccurate rating are not valid and would be difficult to justify if legally challenged. Moreover, employees tend to lose their trust in the system when rating do not accurately reflect their performance levels, and this cause morale and turnover problems, it also hinders on their opportunity for advancement.
3.1 Outgoing Performance Evaluation
Performance appraisals are only effective if it is ongoing. Periodic observation, monitoring, coaching, counseling, feedback and record keeping by rater and crucial. Hence in this way performance problems are caught early and corrected before they have costly consequences. The results of performance appraisal must be given frequently to an employee if they are to bring about a change in an employee’s behavior or maintain a high standard of excellence. Employees need feedback on how well they are doing. The must accurately perceive the consequences of their efforts and be able to set goals on the basis of this feedback (LATHAMAND WEXLEY,1981)
Performance appraisals are most commonly undertaken to let an employee know how his/her performance compares with the supervisor’s expectations, whether they are working objective/goals, and to identify areas that requires training or development. Without adequate communication between the employee and supervisor, undesirable work habits may be formed or good work habits may be viewed by the employee as approval of their current work habits and performance.
Poor performance should not remain unchallenged because a performance review is not due, it should be dealt with and at the same time objective can be clarified and revised. This practice would lead to better informed employees who are better equipped to perform their job satisfactorily.
CRANE (1991) also believes that as a part of ongoing performance evaluation and to ensure the effective use or performance appraisal scheme, it is necessary to keep and maintain accurate records of employees performance. Careful reviews of these records at the time of the appraisal would help to eliminate selective memory.
According to SAHI (1990), frequent reviews give supervisors opportunity to assure that progress is being made in developmental objective. Job demands can frequently prevent employees from achieving specified objectives. Supervisors in these instances must re-assign work to allow the completion of this objective or modify the objective to reflect the changing condition of job. However these shortcomings can only be identified if supervisors are constantly monitoring employees.
There is evidence in literature that annual appraisal does not meet all the objective of employees and curtails effectiveness. It does not allow employee to prepare themselves for responsibility and goals are not completed (LEE, 1996) Alternatively, they are poorly completed and the appraisal results in ineffectiveness, poor communication and feedback (DAY, 1989).
Halo / Horns Effect
Behavioral Observation Scale (BOS) is one of the best techniques utilized by the managers to arte the employees. The dilemma was on the peak in the 1960s and 1970s. in the same period couple of new innovated rating scales were introduced, which was Behaviorally Anchored Rating Scale (BARS) and the Mixed Standard Scale (MSS). The innovations were dominant one which condensed the errors and improved the observations skills from the performance appraisal practice.
According to the research of ARVEY AND MURPHY (1998), there were hundreds of thousands of researches had been taken place between the periods of 1950 to 1980, which merely focused on the different type of rating scales. LANDY AND FARR (1980) reviewed and researched the method of performance appraisal in totally a different manner, in which they understand the rater and process in the organizational context. Other performance appraisal reports include the rater characteristics in their report like race, gender and likeability.
According to a number of researchers, the enhanced and upgraded performance appraisal procedure and method will enhance the satisfaction level of the employees and definitely will improve the process of goal setting within the organization.