PERFORMANCE REVIEW SYSTEM

PROJECT SUBMITTED IN PARTIAL FULFILLMENT FOR THE

AWARD OF DEGREE

MASTER OF BUSINESS ADMINISTRATION

DECLARATION

I hereby declare that this project report titled Performance Review System
for submitted by me to the department of Business Management of XXXX is
a bonafide work undertaken by me and it is not submitted to any other
University or Institute for the Award of any degree diploma/certificate or
published any time before.
Name:

Date: (Signature)
 ACKNOWLEDGEMENT

A Good start leads to a Fine end. The ideal way to begin documenting this
project work would be to extend my earnest gratitude to everyone who has
encouraged, motivated and guided me to make a fine effort for successful
completion of this project.

I would like to thank XXXX, Director of Halcyon technologies for giving

me an opportunity by taking me as an internee in their organization. This
proved to be a very good learning experience for me, where I could get an
exposure to all the aspects of real time Core HR activities.

I am very thankful to XXX, faculty of business management for guiding me

throughout the project. My sincere Gratitude to the College Management for
extending their co-operation for successful completion of my project.

I acknowledge with pleasure and owe my special thanks to XXXX, HR

Manager, Halcyon Technologies for his continuous guidance and support
throughout the project.

A final word of thanks goes to my Parents, Friends and everyone else who
made this project possible. Your contributions have been most appreciated.
 INDEX

Table of Contents: Page No.

1. Abstract i

2. Objective of the study ii

3. Introduction 2

4. Company Profile 19

5. Methodology / Approach 24

6. Limitations of the Study 26

7. Data Analysis 27

8. Findings 32

9. Recommendations 34

10. Annexure-1 (Questionnaire) 36

11. Annexure-2 (Self Review Form) 39

12. Annexure-3 (Peer Feedback Form) 43

13. Bibliography 44
 ABSTRACT

Halcyon Technologies has given me an excellent opportunity of designing a

new Performance Appraisal System for their company. It was designed after
understanding the Halcyon Environment at whole.

Since my internship was for four months, I could not be a part of the entire
Appraisal System but only the Review system.

A customized and relevant Review System was prepared which would fulfill
both the needs of Management and Employees. The Self Review Form and
Peer Feedback form was designed and then sessions were conducted to make
the employees understand the Process and importance of Performance
Review. Then as scheduled the one-one meeting between the employee and
their respective Team Leader was conducted and the final report was given
to HR Manager.

This Review would help Employees in their upcoming Performance

Appraisal where the hikes, incentives etc would be based on their targets set
at the time of Review.

i
 Objectives of the Study
Halcyon being a start - up company I got the opportunity to design a new
Performance Review System under the guidance of HR Manager. The
secondary objectives of my study were:

1. To develop an effective Performance Appraisal system.

2. To know the Requirements of management regarding the designing of
new Appraisal system and Review System.
3. To help the Employee in understanding the Process of Performance
Review.

ii
at
 INTRODUCTION

Performance Appraisal is a formal, structured system that compares

employee performance to established standards. Assessment of job
performance is shared with employees being appraised through one of
several primary methods of performance appraisals. Elements in
performance appraisal methods are tailored to the organization's employees,
jobs, and structure.

 Performance appraisals, also known as employee appraisal are

essential for the effective management and evaluation of staff.
Appraisals help develop individuals, improve organizational
performance, and feed into business planning. Each staff member
is appraised by their line manager. Directors are appraised by the
CEO, who is appraised by the chairman or company owners,
depending on the size and structure of the organization.
Performance appraisal is a part of career development and regular
review of employee performance within organizations.
 Annual performance appraisals enable management and
monitoring of standards, agreeing expectations and objectives, and
delegation of responsibilities and tasks. Staff performance
appraisals also establish individual training needs and enable
organizational training needs analysis and planning.
 Performance appraisal should also be viewed as a system of highly
interactive processes which involve personnel at all levels in
differing degrees in determining job expectations, writing job
descriptions, selecting relevant appraisal criteria, developing
assessment tools and procedures, and collecting interpreting, and
reporting results
 Performance appraisals are important for staff motivation, aligning
individual and organizational aims, and fostering positive
relationships between management and staff.
 Appraisals must address 'whole person' development - not just job
skills or the skills required for the next promotion. Appraisals must

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 not discriminate against anyone on the grounds of age, gender,
sexual orientation, race, religion, disability, etc.
 Performance appraisals should be positive experiences. The
appraisals process provides the platform for development and
motivation, so organizations should foster a feeling that
performance appraisals are positive opportunities, in order to get
the best out of the people and the process.

Requirements for effective performance management system:

1. Effective performance management requires a good deal of face-

to-face supervisor-employee interaction. By knowing the
subordinates, a supervisor can steer them onto a path of greater
productivity and optimized output. Long-term successful business
owners view performance appraisal as a process of getting to know
the people who work for them. It is the most significant and
indispensable tool for an organization. It provides information,
which helps in taking important decisions for the development of
an individual and the organization.

2. Thus, one phase of the annual performance management cycle is

performance appraisal, the process of reviewing employee
performance vis-à-vis the set expectations in a realistic manner,
documenting the review, and delivering the review verbally in a
face-to-face meeting, to raise performance standards year over
year through honest and constructive feedback. In the process
management expects to reinforce the employee’s strengths,
identify improvement areas so that one can work on them and also
set stretched goals for the coming year.

An effective review process helps organizations in three areas:

1. Evaluation and improving personnel selection and training systems;

2. Preventing wrongful termination; and

3. Increasing real employee diversity

Some Basic Concepts:

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  Performance refers to an employee’s accomplishment of assigned
tasks.
 Performance Appraisal is the systematic description of the job-
relevant strengths and weaknesses of an individual or a group.
 Appraisal period is the length of time during which an employee’s
job performance is observed in order to make a formal report of it.
 Performance Management is the total process of observing an
employee’s performance in relation to job requirements over a period
of time (I.e. clarifying expectations, setting goals, providing on-the-
job coaching, storing and recalling information about performance)
and then making an appraisal of it. Information gained from the
process may be fed back via an appraisal interview to determine the
relevance of individual and work-group performance to organizational
purposes, improve the effectiveness of unit and improve work
performance of employees.

Performance and Development Planning (PDP):

PDP is a process for managers that aligns individual performance with

company goals and ensures focus on the development of talent company-
wide. PDP is an important step in their corporate effort to engage and enable
employees to deliver their contribution to their business. Also, PDP serves to
enable employees to identify and realize personal opportunities for
development that are aligned to current and future business challenges.

Objectives of Performance Appraisal:

 Let the employees know where they stand in so far as their

performance is concerned and to assist them with constructive
criticism and guidance for the purpose of their development.

 Assessment of skills within an organization.

 Set targets for future performance.

 Effect promotions based on competence and performance.

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 Strengthen relationship between superior and subordinate.

 Assess the training and development needs of employees.

 Identify the strengths and weaknesses of employees.

 Decide upon a pay raise (increments).

 Determine whether human resource programs such, as selection,

training and transfers have been effective or not.

 Form a basis for personnel decisions-salary (merit) increases,

promotions, disciplinary actions, etc.

 Provide the opportunity for organizational diagnosis and development.

 Facilitate communication between employee and administrator.

 Increase motivation to perform effectively.

 Better clarify and define job functions and responsibilities.

 Clarify organizational goals so they can be more readily accepted.

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Performance Appraisal Process

• Prepare - prepare all materials, notes agreed tasks and records of

performance, achievements, incidents, reports etc - anything
pertaining to performance and achievement
• Inform - ensure the appraisee is informed of a suitable time and
place and clarify purpose and type of appraisal
• Venue - ensure a suitable venue is planned and available - private
and free from interruptions
• Introduction - relax the appraisee - open with a positive statement,
smile, be warm and friendly
• Review and measure - review the activities, tasks, objectives and
achievements one by one
• Agree an action plan - An overall plan should be agreed with the
appraisee, which should take account of the job responsibilities, the
appraisee's career aspirations, the departmental and whole
organization's priorities .
• Agree necessary support - This is the support required for the
appraisee to achieve the objectives, and can include training and
anything relevant and helpful that will help the person develop
towards the standard and agreed task.
Also consider training and development that relates to 'whole-
person development' outside of job skills. Developing the whole
person in this way will bring benefits to their role, and will increase
motivation and loyalty.
• Invite any other points or questions - make sure you capture any
other concerns.
• Close positively- Thank the appraisee for their contribution to the
meeting and their effort through the year, and commit to helping in
any way you can.
• Record main points, agreed actions and follow-up - Swiftly
follow-up the meeting with all necessary copies and confirmations,
and ensure documents are filed and copied to relevant departments.

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Designing an appraisal program poses several questions, which need
answers. They are:

1. Whose performance is to be assessed?

2. Who are the appraisers?

3. What should be evaluated?

4. When to appraise?

5. What problems are encountered?

6. How to solve the problems?

7. What methods of appraisal are to be used?

Discussion points in the appraisal:

1. Has the past year been good/bad/satisfactory or otherwise for you,

and why?

2. What do you consider to be your most important achievements of

the past year?

3. What do you like and dislike about working for this organization?

4. What elements of your job do you find most difficult?

5. What elements of your job interest you the most, and least?

6. What do you consider to be your most important tasks in the next

year?

Benefits:
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The following are the benefits of a successful appraisal system:

1. For the Organization:

 Improved performance throughout the organization due to:

- Effective communication of organization’s objectives and values

- Increased sense of cohesiveness and loyalty.
- Managers are better equipped to use their leadership skills and to
develop their staff.

 Improved overview of tasks performed by each member of a group.

 Identification of ideas for improvement.

 Communication to people that they are valued.

2. For the Appraiser:

 Opportunity to develop an overview of individual jobs.

 Opportunity to identify strengths and weaknesses of appraisees.

 Increased job satisfaction.

 Opportunity to link team and individual objectives with department &

organizational objectives.

 Opportunity to clarify expectations that the manager has from teams

and individuals.

 Opportunity to re-prioritize targets

 Means of forming a more productive relationship with staff based on

mutual trust and understanding.

 Due to all above Increased sense of personal value

3. For the Appraisee:

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  Increased motivation and job satisfaction.

 Clear understanding of what is expected and what needs to be done to

meet expectations.

 Opportunity to discuss aspirations and any guidance, support or

training needed to fulfill these aspirations.

 Improved working relationships with the superior.

 Opportunity to overcome the weaknesses by way of counseling and

guidance from the superior

Performance appraisal drawbacks:

 Performance appraisal program demands and depends too much on

supervisors.
 Sometimes certain standard ratings tend to vary widely and unfairly.
 Some raters can be tough, and some lenient. Some departments have
highly competent people whereas others have less competent people.
 Personal bias can replace organizational standards. Because of the
bias, some non competent employees may get a favored treatment.
 Sometimes there tends to be lack of communication. The employees
may not even know they are being judged. No performance appraisal
system can be effective if the appraised do not know the criteria under
which they have been appraised and judged.

Biases in
Performance
Appraisal

Types
Explanation
Example

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10
Performance Appraisal Techniques:
Traditional Methods of Appraisals:

1. Ranking

In this, the superior ranks his/her subordinates in order of their merit, from
best to worst.

- It is done in a competitive group.

- It is done by placing the appraisee on numerical scales I.e. 1st, 2nd, 3rd etc.
in the total group.

- Ranking of an appraisee on his job performance/traits against that of

another member.

2. Person-to-Person/Paired Comparison

Under this method the appraiser compares each employee with every other
employee, one at a time.

- Certain key performance areas/traits are developed. E.g.: Leadership,

Creativity, Initiative etc.

- A scale for each factor is designed.

- A scale of people is also created for each factor.

- Each Appraisee is compared to every other person on the scale.

- Certain scores for each factor are awarded to the appraisee.

3. Grading

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- Certain categories of traits/performance criteria, which are worth of
appraising, are established. E.g. cooperativeness, self-expression,
dependability, job knowledge etc.

- The actual performance (Key performance area) of an employee is then

compared to the predetermined grade definitions.

- Appraisee is allotted with the grade, which describes his performance in the
best possible manner.

- Any grade that is selected should be well defined.

4. Graphic Scales

- A printed form, one for each person to be rated is used.

- The factors included in the form are Employee characteristics such as

leadership, cooperativeness, enthusiasm, loyalty etc. or Employee
contribution which includes quantity and quality of work, specific goals
achieved, regularity of attendance, responsibility assumed etc.

- The traits can be evaluated on continuous scale – the appraiser places a

mark along a continuum (range).

5. Checklist

- A series of questions are presented concerning an appraisee’s behavior.

- The appraiser has to reply to the questions in either negative or positive

tone- (Yes/No).

- The value of each question may be weighted I.e. one can have
predetermined scale and scoring to those questions.

6. Essay

- A blank form is given to the appraiser.

- The form contains main heading such as employees’ characteristics,

attitudes, job knowledge, potential etc.

- The appraiser is asked to put in words his impressions about the employee..
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- It gives specific information about the employee.

7. Confidential Reporting

- It is the most traditional way of appraising employee’s performance. The

basic assumption here is that since the superior is in direct contact he knows
his subordinates better than any other and hence his appraisal would be more
appropriate.

- The superior writes a paragraph or so about his subordinate’s strengths,

weaknesses, intelligence, attitude to work, attendance, conduct and
character, work efficiency, etc.

8. Critical Incident Method

- Initially a set of noteworthy (good or bad) on-the-job behaviours is

prepared. This is usually in the form of incidents.

- These incidents are given to a group of experts who assign scale values
depending upon the degree of desirability for the job.

- This checklist is used by superiors for evaluating the employees.

- This method helps in identifying the key areas where the employees are
weak or strong.

- It emphasizes rating on objective evidence and helps in counseling.

9. Forced Choice Technique

- In forced choice system the appraiser is forced to choose one from among a
group of 4 statements that best fits the individual being rated and one which
least fits him.

- Each statement is given a value or a score.

- The evaluator does not know the score value of statements; hence he
cannot show any favor towards the appraisee.

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- The method of arranging the traits involves a long process from getting the
description of “good” or “bad” employees to establishing their validity and
reliability.

Modern Methods of Appraisal:

1. Behaviorally Anchored Rating Scales:

Behaviorally Anchored Rating Scales (BARS) is a relatively new

technique which combines the graphic rating scale and critical
incidents method. It consists of predetermined critical areas of job
performance or sets of behavioral statements describing important job
performance qualities as good or bad (for eg. the qualities like inter-
personal relationships, adaptability and reliability, job knowledge etc).
In this method, an employee’s actual job behaviour is judged against
the desired behaviour by recording and comparing the behaviour with
BARS. Developing and practicing BARS requires expert knowledge.

2. Human Resource Accounting Method

Human resources are valuable assets for every organization. Human

resource accounting method tries to find the relative worth of these
assets in the terms of money. In this method the performance of the
employees is judged in terms of cost and contribution of the
employees. The cost of employees include all the expenses incurred
on them like their compensation, recruitment and selection costs,
induction and training costs etc whereas their contribution includes
the total value added (in monetary terms). The difference between the
cost and the contribution will be the performance of the employees.
Ideally, the contribution of the employees should be greater than the
cost incurred on them.

3. Assessment Centres

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 An assessment centre typically involves the use of methods like
social/informal events, tests and exercises, assignments being given to
a group of employees to assess their competencies to take higher
responsibilities in the future. Generally, employees are given an
assignment similar to the job they would be expected to perform if
promoted. The trained evaluators observe and evaluate employees as
they perform the assigned jobs and are evaluated on job related
characteristics.

The major competencies that are judged in assessment centres are

interpersonal skills, intellectual capability, planning and organizing
capabilities, motivation, career orientation etc. assessment centres are
also an effective way to determine the training and development needs
of the targeted employees.

4. Management by Objectives

The concept of ‘Management by Objectives’ (MBO) was first given

by Peter Drucker in 1954.
Management by Objectives is basically a process whereby the
superior and the subordinate managers of an enterprise jointly
identify its common goals, define each individual’s major areas of
responsibility in terms of the results expected of him and use these
measures as guides for operating the unit and assessing the
contribution of each of its members. Management by Objectives is
primarily to change the behaviour and attitude towards getting an
activity or assignment completed in a manner that it is beneficial for
the organization. Management by objectives is a result-oriented
process, wherein emphasis is on results and goals rather than a
prescribed method. A number of companies have had significant
success in broadening individual responsibility and involvement in
work planning at the lowest organizational levels.
Management by Objectives is a process having following basic steps:

I. Set Organizational Goals

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 II. Joint Goal Setting
III. Performance Reviews
IV. Set check posts
V. Feedback

5. 360º Feedback

The 360º Feedback process is called multi-source assessment, taps

the collective wisdom of those who work most closely with the
employee, superiors, colleagues (peers), direct reports and possibly
internal and often external customers. The collective intelligence
these people provide on critical competencies or specific behaviours
and skills gives the employee a clear understanding of personal
strengths and areas ripe for development. Employees also view this
performance information from multiple perspectives as fair, accurate,
credible, and motivating.

As the 360º Feedback process better serves the needs of employees, it

serves the changing needs of their organizations too. Organizations
are reducing hierarchy by removing layers of management and
putting more emphasis on empowerment, teamwork, continuous
learning, individual development, and self-responsibility. The 360º
Feedback Model aligns with these organizational goals to create
opportunities for personal and career development.

360 degree appraisal has four integral components:

1. Self appraisal

2. Superior’s appraisal

3. Subordinate’s appraisal

4. Peer appraisal.

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Electronic Appraisal System (eAPPRAISAL)

eAppraisal is a recently introduced method of performance appraisal that

eliminates paper work. eAppraisal simplifies and enhances the employee
performance appraisal process. It provides an organization with a powerful
tool to help develop organization’s critical talent all year round. It is easier to
conduct eAppraisals by automating the time-consuming process of
administrating employee performance reviews. It is flexible and can be
customized to suit an organization’s needs. The comprehensive workflow
makes it easy for human resource professionals to manage the process by
approving appraisal forms, monitoring the status and sending automatic
email notifications to managers..

I. Features:

 intranet-based
 Ease of use
 Sophisticated workflow
 Centralized
 User customizable performance appraisal forms
 Automated email notification and reminder notice
 Comprehensive status and action view for HR manager
 Competency-based text answers and/or range scale
 Self-rating capabilities

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II. Benefits:
 Appraisals are processed more quickly and efficiently.
 Appraisal data is received by concerned superior/manager in virtual
real-time when the appraisal is uploaded into eAppraisal system..
 Appraisals cannot be misplaced or lost, as is possible with
hardcopies. Appraisals can be stored electronically and available
online

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 Company Profile

HALCYON Technologies is an Application Development and

Business Process Outsourcing solutions provider. HALCYON
Technologies offers a range of services from outsourced application
development and managed services to professional services. All
Their services are enabled by experienced, knowledge, proven
methodologies, global talent and innovation. Their portfolio includes
Application Development, consulting, maintenance & support,
Business Process Outsourcing, and Testing services. HALCYON
provides services to clients from their network of offices across US,
UK and state-of-the-art Global Solutions Development center in
Hyderabad, India.

Their experience with working on and managing outsourced IT

projects of large magnitude and BPO solutions gives us a leading
edge over their competitors. Their commitment is to produce
superior quality deliverables using the industry specified standards.
HALCYON achieve this by maintaining an effective and open
communication channel across clients in automotive retail industry
and have also worked with fortune 500 clients in the Healthcare,
Banking, Telecom, Manufacturing, Insurance, Utilities and Financial
verticals. Their in-depth understanding of various industry verticals
enables us to provide innovative and end-to-end technology
solutions.

With HALCYON Technologies, the clients can rest assured of

transport fair working partnership and quality work processes.
HALCYON Technologies offers cutting-edge technologies that help

19
the client business improve, and more well ahead of their
competitors in the market.

HALCYON helps clients:

 Create an adaptive technologies infrastructure
 Streamline the business processes
 Raise the market value
 Increase the competitive advantage, and
 Support the cost-effective sources of productivity and
growth.

HALCYON Technologies evolves client-specific strategic initiatives

with a dual aim to achieve cost savings, and to improve on quality of
services offered.

Services

HALCYON delivers a wide-range of value added services adopting

a unique approach of integrating people, processes and technology.
HALCYON creates solutions for its clients by leveraging its domain
and business expertise along with a range of services.

HALCYON Technologies range of services includes:

 Application development
 Business Process Outsourcing
 Consulting
 Maintenance & support
 QA and testing

Technologies

As a technology company, HALCYON proactively gains insights

into leading and emerging technologies.

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HALCYON Technologies has expertise in:
 Microsoft .NET Technologies
 J2EE Technologies
 IBM Mainframe Technologies
 EAI technologies like Tibco, Web Methods MQ and
Seebeyond
 Report generation using Business Objects, Crystal Reports
and Infragistics

BPO Solutions

HALCYON Technologies Business Process Outsourcing (BPO)

services aim at leveraging technologies to provide and manage an
organization’s critical and/or non-critical enterprise processes and
applications. HALCYON Technologies holistic BPO services
integrate software, process management, and people to operate the
services.

BPO Solutions provided by HALCYON for Automotive industry

include:
 Data analysis and processing of Rate and Residuals for Car
Dealerships

BPO Solutions provided by HALCYON for others Industries

include:
 Information Capture
 Data Entry & Correction
 Document Conversation

Products

HALCYON offer product development services enriched with their

experience and technology expertise. HALCYON has developed
products on leading technologies with a strong orientation toward
standards-driven architecture.

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 Products developed by HALCYON for Automotive Retail industry
are:

 Vehicle Comparison Search Engine and Market Analyzer

 RFID based Vehicle Management Solutions
 CRM & ERP Solutions for Car Dealerships
 F & I Menu and Desking Application Solutions

Why HALCYON?

HALCYON have a vast practical experience of developing and

supporting critical applications with high quality and within
scheduled time. Their offshore development model id devised to act
as an extension of the client, providing them with excellent outputs
when needed. By outsourcing your work to HALCYON
Technologies, you have powerful advantage like cost saving, quality,
time to market and flexibility to adapt to client’s market and
customer’s demands.

HALCYON Advantage:

 Vast experience in working on number of software

projects/solutions
 Mature onsite-offshore development model with high record
of matching deliverables within clients’ expectations
 Strong Domain experience which has been gained over the
years by providing IT Solutions to clients
 In-depth understanding of clients’ business
 Enviable ability to deliver innovative, reliable and high
quality solutions
 Cost effective pricing and flexible approach

The company-wide mindset of co-ownership and co-responsibility is what

differentiates them from any of other players.

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 Methodology / Approach

As per the requirement of the management to design a new

policy for performance Review system, I basically analyzed the
questionnaire given to employees to know their perception regarding the
Review System and collected information on websites regarding the various
methods of appraisals, the process of Performance Appraisals etc and also
referred to books to get the idea of the concepts. The practical approach was
by –

 Understanding the perspective of Management.

 Studying the kind of Appraisal suitable for Halcyon environment.
 The time period required for the Review to be completed.
.

The following procedure was adopted:-

1. Before starting up the process and coming up with new policy we

thought of taking up the overall outlook with respect to
Performance Review. We designed a Questionnaire to analyze the
Perception of Employees.
2. The management was approached to discuss the contents of
Review policy so that an effective policy can be designed which
will be useful hence forth.
3. A customized Performance Review Policy was designed which was
a combination of two methods of Appraisal I.e. Self Review method
and Peer Feedback method.
4. Self Review method is a method were the employee is asked to give
a self rating for himself on the tasks done by him. Later on these
same tasks will be appraised by the appraiser and he gives his rating
on the same tasks. Peer feedback is the feedback given by the other
employees to his/her colleague on his technical knowledge as well
as the behavioral aspect in the organization.
5. A Presentation on the Performance Review Process as well as the
Criteria to give Ratings was given to team members and the Team
Leaders so that they have a clear understanding about it.
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6. Then the team members were asked to fill up the Self Review Form
and submit it to the HR department which in turn passed it to the
team leaders.
7. A one to one meeting was fixed with the team leader by the team
members accordingly. This was to discuss various aspects of
performance of the employee like discussing the ratings given by
the appraise and to evaluate his overall performance and set new
goals.
8. Then the appraiser gives his own rating to the employee after the
one – one discussion and then the report is submitted to the
reviewer and a final discussion takes place with the HR Manager to
proceed with the next course of action like setting of goals, hike in
salaries, performance linked incentives, etc..

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 Limitations:

 The Appraisal Process was designed but I could be a part of only

Review Process which was conducted in the month of November.
 Due to time constraint the Post Feedback of Employees regarding the
Review Process could not be taken.

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Data Analysis:

26
27
28
29
Findings

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As the whole Process was designed by the HR department, I was also
involved in it from the designing stage to the implementation part of the
Review system. In this process I could recognize the benefits derived out of
this system as well as observed some drawbacks.

My Findings from the questionnaire were:

1. The perception of employees regarding performance Review was a

hike in Salary, which is not the case in reality.
2. After knowing the requirements of employees a training session was
conducted to help the employees understand the need and process of
Performance Review and Criteria to give Self Rating.
3. They were aware of the fact that the General Work Behavior would
play a major role in their Review but were unaware of all the
Standards and Aspects used to Evaluate their Performance

Other Findings:

4. The process did not take place in the exact time frame as planned
and scheduled.
5. A good improvement was seen in the inter-personal relationship
between the team leader and subordinates.
6. Many employees could not justify the ratings given by them in the
Self Review Form.
7. It helped the employees in understanding their past performance and
setting up of targets and goals for future.
8. They got to understand the organizational needs and it helped in
developing a sense of belongingness towards the company.
9. It helped the management in identifying the Caliber of employees
and encourage the same.
10.The employer and employees got a platform to understand each
other in a better manner.
11. The management was too much dependent on team leaders for
conducting
Reviews.

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12. When the Peer Feedback Form was given employees were too
hesitant in giving ratings to their colleagues.

32
 Recommendations

After the successful completion of the whole Process of Performance

Review under the supervision of the HR Manager I.e. by recognizing the
need for Review policy, designing the policy, taking up a presentation to
explain the importance and process of Review, attending the meetings with
the team leader, being a part in discussions by the management regarding
appraisals and analysis of the feedback given by employees helped me to
evaluate the benefits and shortcomings of the Performance Review Process
and recommend the measures to improve the same.

The recommendations are as follows:

1. Identify the KRA’s (Key Resource Areas) and communicate the same to
the employees so that he can be judged appropriately based upon it.
2. The employees must be motivated to fill in the self review form
appropriately.
3. They must be appreciated for their individual achievements during the
period and training/guidance must be given if they lack in some areas.
4. The review must be conducted informally once in every month so that the
desired result can be achieved at the time of actual review.
5. The team leader should treat everyone equally without any bias and give
appropriate ratings to each member depending upon their performance.
6. The employees must be educated regarding the importance of Peer
feedback that the true rating, be it positive or negative will help his
colleague in understanding his abilities and drawbacks and he can
develop himself on those aspects.
7. To motivate employees for their extra ordinary performance apart from
the PLI’s there must be some token of appreciation given for him in the
form of promotions or a simple gift voucher etc.,
8. The token of appreciation should be given to those employees whose
performance was extra ordinary as well as who have been in the
organization for a longer period of time.
9. The feedback from employees must also be taken regarding the working
style of management so that the management functions can also be
improved. They must be given the freedom to express their concerns.

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10.While conducting the Performance Review the team member must also
be given the right to rate his team leader or provide him the feedback
because a cordial relation between the team lead and members of the
team is very important and the lack of good understanding may hamper
the team work.
11. The problems or hindrances which are faced by employees should be
taken care of, so that the employee is satisfied and works enthusiastically.
12. The employees must be informed before – hand that he needs to provide
a proper justification for the ratings given by him and it will ultimately
help him to recognize his accomplishments and drawbacks.
13. The one to one meeting should be conducted in a peaceful manner so
that it does not lead to any argument and the desired objective is
achieved.
14. Measures must be taken for effective time management because the
delay in the process will lead to distractions.
15. Suggestions must be taken from employees after the review process in
order to make it more effective.
16. The career goals and career prospects of an employee must be taken into
consideration so that they stay committed to the organization.
17. The negative feedback should be given and taken in a constructive
manner.
18. There must be delegation of authority so that one individual doesn’t feel
the pressure of handling all the responsibilities.
19. Efforts must be taken to reduce the communication gap between the
employees and management.
20. All the employees of the organization must maintain a personal diary to
record their day to day achievements as well as the problems they faced
during performing a particular task so that he has a record of all the
things and it can be reproduced in front of the team leader or
management as and when the need arises.

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 Performance Review Questionnaire

1. My self-assessment result contributes to my final appraisal result.

a. Strongly agree
b. Neutral
c. Strongly disagree

2. The Review will help me to improve my future working performance

a. Strongly agree
b. Neutral
c. Strongly Disagree

3. I know all the aspects and standards that are used to evaluate my
performance.

a. Strongly agree
b. Neutral
c. Strongly Disagree

4. Do you feel confident that you will be able to benefit as an

appraisee in the review sessions with your team lead?

a. Strongly agree
b. Neutral

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 c. Strongly Disagree

5. Do you think you need a training program in relation to Clarity of

Procedures?

a. To an Extent
b. Totally
c. Not at all

6. Do you think you need a training program in relation to Process of

Performance Review?

a. To an Extent
b. Totally
c. Not at all

7. Do you think you need a training program in relation to Self

Rating?

a. To an Extent
b. Totally
c. Not at all

8. What are you looking forward to change Post Review?

a. Salary
b. Responsibility
c. Team Structure

9. How do you rate the importance of General Work Behavior in your

Review Process?

a. Not Important

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 b. Some What Important
c. Most Important

10. Are you aware of the concept of Peer Feedback ?

a. To an Extent
b. Totally
c. Not at all

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 Self Review Form

Name Reviewer DOJ

Designation DOR

Location Period

I. OBJECTIVE REVIEW & FEEDBACK

(To be filled in by the Employee and discussed with the Director/ Person reporting to)
Rating 1: Poor Performance, 2: Below Par, 3: At Par, 4: Above Par, 5: Excellent

No Tasks Self Review Rating Reporting head Review Rating

1.

2.

3.

4.

5.

6.

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II. Other assignments/tasks /achievements that you would like to mention other than those
stated in Section I.
No Assignments /Achievements Remarks

III. Specify the most important factors affecting your work

Facilitating Hindering

IV. Notes: (Write here a brief description about your work at Halcyon)

Signature of the Employee

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V. Reviewer’s Feedback

SECTION VI - “General Rating”

(To be filled in by the reviewer)

Technical Skills Comments Rating Soft Skills Comments Rating

Technical Communications
Knowledge

Coding Skills Team playing

Analytical and Attitude

Logical Skills

Standards Proactive

Learn ability Bottom line

responsibility

Signature of the Reviewer

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SECTION VII - “OBJECTIVE SETTING”

(To be filled in by the Employee after discussion with the Director/ Person reporting to)

No Objectives Target Date Comments of Director/ Reporting Head

1.

2.

3.

4.

5.

6.

Signature of the Employee Signature of the Director/Reporting Head

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 Peer Feedback Form

Your Name ---> Anna

Your Feedback on the Skills of the Team Member

Team Member
Pradeep Sundeep

Rating Remarks Rating Remarks Rating

Communication skills
Technical skills
Bottomline Responsibility
Proactiveness
Job Knowledge
Leadership Skills
Learnability
Team Player
Process adherence
Quality of the work product
Timeliness
Any other Feedback points

Worst 0
Bad 1
Ok 2
Good 3
Very Good 4
Excellent 5

Bibliography

Human Resource Management : Gary Desler

Appraising and Developing Managerial Performance : T.V.Rao

Websites:

www.citehr.com

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www.google.com

www.custominsight.com

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