INTRODUCTION

Efftronics systems Pvt. ltd provides Software and Hardware

solutions that helps companies to develop better Electronic products and cater
the needs of their customers. It acts as a technology leader for product
innovation in the field of IT product development.

The history of product innovation can be divided into three stages,

beginning with the product-oriented or technology-pushed stage. In the post-
World War-II era, Americans were coming off wartime shortages and were in
the mood to buy the many goods that manufacturers produced. Engineers,
who were more product-oriented than consumer oriented, designed new
products that might or might not find places in consumers' hearts and minds.
This was a product-oriented process in which the market was considered the
receptacle for products that emerged from the firm's research and
development efforts.

However, competition escalated and consumers became more skeptical

and selective about the types of products they purchased. Marketers found it
increasingly difficult to rely on persuasive sales techniques to move products.
Retailers grew restless when these products did not move off shelves as
quickly as planned. Companies had to know more about their target markets.
What were the wants and needs of the people who were buying their products?
How could their firm satisfy these wants and needs?

The second stage was marked by the emergence of the market as the
driver of innovation. Instead of being technology-driven, new product
development evolved into a market-led process in which new products
emerged from well-researched customer needs. The new product development
process was placed in the hands of marketers who knew consumers' wants and

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needs. Customer demand "pulled" the product through the development
process.

Modern new product development is a blending of these two

orientations into a "dual-drive" approach to innovation. Companies recognize
that innovation is a complex process that requires sound investment in
research and development, as well as significant marketing expertise that
focuses on satisfying consumers' wants and needs.

The rapid pace of change that engulfed businesses toward the end of the
twentieth century put an even greater burden on companies to build adaptive
capabilities into their organizations. Global competition means there are more
competitors capable of world-class performance. This has made competition
more intense, rigorous, and aggressive than ever before. Fragmenting and
more sophisticated markets mean that consumers demand more from
products in terms of quality, differentiation, and "meaningfulness."

New technologies have had two important outcomes in regards to

innovation. First, new technologies are responsible for this new market
sophistication in which consumers have more choices and are thus more
demanding. Secondly, new technology has increased manufacturers'
capabilities for rapid response to shifting market needs.

Finally, product life cycles have become more compressed as the skills
required for developing new products increase in complexity. For this,
Human Resources are very useful. Thus the company requires skilful and
talented human resources for product innovation.

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 Human resources are the most precious of all resources. In a general way,
human resources are the people and their characteristics at work either at the
national level or organizational level.

 From the national point of view, human resources are knowledge, skills,
creative abilities, talents and attitudes obtained in the populations.

 From the organisation point of view, human resources represent the

people at work. They are the sum total of the inherent abilities, acquired
knowledge and skills as exemplified in the talents and aptitudes of its
employees.

Thus human resources represent the qualitative and quantitative

measurement of the workforce required in an organisation. For any
organization, Human Resource Management is necessary for the effective and
efficient utilization of human resources.

Human resource management is a process of bringing people and

organizations together so that the goals of each are met. It is the part of the
management process which is concerned with the management of human
resources in an organisation. It tries to secure the best from people by winning
their whole hearted cooperation. HRM is an art of procuring, developing and
maintaining competent work force to achieve the goals of an organisation in
an effective and efficient manner. And it is the management of employees’
skills, knowledge, talents, aptitudes, creative abilities.

At this juncture, I throw light on Performance Appraisal Systems of

employees in Efftronics Systems Pvt Ltd. Performance Appraisal is a
powerful tool to calibrate, refine and reward the performance of the employee.
It helps to analyze his achievements and evaluate his contribution towards the
achievements of the overall organizational goals i.e. product innovation. By
focusing the attention on performance, performance appraisal goes to the

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heart of personnel management and reflects the management's interest in
the progress of the employees.

NEED OF THE STUDY

Performance appraisal may be used as a structured formal interaction

between a subordinate and supervisor, that usually takes the form of a
periodic interview(annual / semi-annual), in which the work performance of
the subordinate is examined and discussed with a view to identifying
weaknesses and strengths and also examine the opportunities for
improvement and skills development. The study is being made for the
following purposes:

• To enhance the employer performance by periodic appraisals and also

by providing incentives, bonuses and rewards to them.

• To measure the subordinate and supervisor performance.

• To improve the commitment among them.

• To motivate the employees for achieving organizational and individual

goals.

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 OBJECTIVES OF THE STUDY

The overall objective of taking up of performance appraisal is to

evaluate the growing importance of human element in the corporate sector.
The performance appraisal is a tool for predicting the growth and
development of both the employees and the organization.

It is now been realized that simply having a good system in place, does
not make successful. Therefore it has given a need for integrating the strategic
concerns of a firm with its performance monitoring system.

The following are the specific objectives behind taking up of the study in
this organization.

 Primary Objective:

The primary objective of the study is to analyze the process of

performance appraisal system in EFTRONICS

 Secondary Objectives:

To carry out the study of EFTRONICS, we framed the following

objectives

• Identification of the technique of performance appraisal system

followed in EFTRONICS.

• To know the Employee attitude towards the present appraisal system

in EFTRONICS.

• Review of the current appraisal system in order to

a) Enhance productivity

b) Attain global standards

• Give feedback on performance to employees.

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 • To provide the opportunity for organizational diagnosis and

development.

• To provide suggestions & recommendations from the study conducted.

RESEARCH METHODOLOGY

METHODOLOGY OF STUDY:

The first and foremost step in the research process consists of problem
identification. Once the problem is defined, the next step is the research
design becomes easier. The research design is the basic frame work, which
provides guideline for the rest of the research process. The research design
specifies the methods of data collection and analysis.

Methodology of the study is classified into following steps:

• Defining the objective of the study

• Collection of primary data

• Collection of secondary data

• Sampling procedure

• Analysis of data

Statement of the Research:

This is concern with the study of performance appraisal in

Efftronics,Vijayawada.

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Universe of the study:

The universe of the investigation is the employees in Efftronics,

Vijayawada.

Collection of primary data:

Primary data is the data, which has to be collected by the concerned

person with relevant to his problem chosen. It is original in nature.
Communication and observation are the two basic means used for collecting
primary data. Communication involves questioning the respondents to secure
the desired information by using data collection instrument called
‘Questionnaire’.

Primary data can be collected by any of the following methods. They are

• Questionnaire method

• Observation method

• Interview

• Schedule method

The primary data required for my project work is collected through

questionnaire method involving the employees of Efftronics.

As I have taken only a limited number of employees in different

departments who are scattered in different places of the plant. Even the
working time also differs among them. So could not get the opinions in the
personal or through other methods. More over the time was also another
constraint which was forced me to adopt this questionnaire technique, as it is
the best technique which can facilitate the employees to answers when they
free or out of work place. So that they can feel free of work tension and give the
appropriate answers

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and the employees working time is also not waste because there is no need to
spend their working hours (time) for filling the questionnaire.

Collection of secondary data:

It is the data, which already existed and has got through various
statistical analysis in order to establish relations among variables in the data.

The secondary data for my project work is collected from

• Journals

• Profile booklets

• Web sites

• Academic Text Books

• Company vision and mission statements

Profile booklets:

From the company profile the data collection was about the company
i.e., about Efftronics Systems Pvt Ltd.

Websites:

The data collected from websites was about the electrical transformers
industries in India. The websites used for project are

www.google.com

www.wikipedia.com

Sample size:

The sample size of the project is 150 employees of Efftronics.

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Sample element:

Sampling elements are the employees and workers in different

departments in Efftronics.

Sampling Technique:

The sampling technique used in the study is simple random sampling.

In this technique the population is divided into sub-groups and a sample
random is selected within each subgroup. Since there is a limited period of
time i.e., 45 days couldn’t make study on all employees hence this sampling
technique was adopted.

LIMITATIONS OF THE STUDY

Though adequate care has been taken while doing the project. This
project suffers from certain limitations. They are

• Within 45 days studying the whole Performance Appraisal System is not

possible i.e., Time constraint.
• On the grounds of confidentiality unable to get most relevant data.
• The office staff due to busy of the company employees, they reluctant
(refuse) to provide appropriate data.
• There is a chance (or) scope for biased information.
• The Study of Performance Appraisal System is only confined to
performance appraisal system.

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 INDUSTRY PROFILE

-IT PRODUCT DEVELOPMENT

A Product:

“A product is nothing but a bundle of benefits.”

What is Product Development:

Product development is the process of designing, creating, and

marketing an idea or product. The product can either be one that is new to the
marketplace or one that is new to the particular company or an existing
product that has been improved. In many instances a product will be labeled
new and improved when substantial changes have been made.

The Product Development Process:

All product development goes through a similar planning process.

Although the process is a continuous one, it is crucial that companies stand
back after each step and evaluate whether the new product is worth the
investment to continue. That evaluation should be based on a specific set of
objective criteria, not someone’s get feeling. Even if the product is wonderful,
if no one buys it the company will not make a profit.

Brainstorming and developing a concept is the first step in product

development. Once an idea is generated, it is important to determine whether
there is a market for the product, what is the target market is, and whether the
idea will be profitable as well as whether it is feasible from an engineering and
financial standpoint. Once the product is determined to be feasible, the idea or
concept is tested on a sample of customers within the target market to see
what their reactions are.

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Product Development can be accomplished in following stages:

Documentation:

Simply having an idea is worthless – you need to have proof of when you
came up with the idea for your invention. Write down everything you can
think of that relates to your invention, from what it is and how it works and
how it make and market it. This is the first step to patenting your idea and
keeping it from being stolen. You’ve probably heard about the “poor man’s
patent”- writing your idea down and mailing it to yourself in a sealed envelope
so you have dated proof of your invention’s conception. This is unreliable and
unlikely to hold up in court. Write your idea down in an investor’s journal and
have it signed by a witness. This journal will become your bible throughout the
patent process. An investor’s journal can be any bound notebook whose pages
are numbered consequently and can’t be removed or reinserted. You can find
specially designed inventor’s journals at bookstores or you can save money
and purchase a generic notebook anywhere they’re sold, such as the grocery
store, office supply store, and stationary store etc. just make the it meets the
requirements.

Research:

You will need to research your idea from a legal and business
standpoint. Before you file a patent, you should:

• Complete an initial patent search, just because you haven’t seen your
invention doesn’t mean it doesn’t already exist. Before you hire a patent
attorney or agent, complete a rudimentary to make sure no one else has
patented your idea. You should also complete a non-patent “prior art”
search. If you find any sort of network or design related to your idea,

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 you cannot patent it—regardless of whether a prior patent has been
filed.

• Research your market, just because more than 95 % of all patents never
make money for the inventor. Before you invest too much time and
money into patenting your invention, do some preliminary research of
your target market. Once you know there is a market, make sure your
product can be manufactured and distributed at a low enough cost so
that your retail price is reasonable. You can determine these costs by
comparing those of similar products currently on the market. This will
also help you size up your competition—which you will have, no matter
how unique you think your invention is.

Marketing your Invention:

Now it’s time to figure out how you’re going to bring your product to
market. Create a business plan: How will you get the money? Where will you
manufacture the product? How will you sell it? Now is a good time to decide if
you will manufacture and sell the product yourself, or license it for sale
through another company. When license your product you probably receive
only 2 % to 5% in royalty fees. This often scares away inventors who feel they
deserve more. But consider the upside: you will not have the financial burden
associated with maintaining a business. This could end up making you more
money in the long run.

Following from the above steps will ensure an easy road to patenting
your invention. Just remember that an easy road doesn’t necessarily mean a
short one. From the time you conceive your idea to the time you see your
product in the self is a long process. Most inventions take years to come to
fruition. Have patience and follow due diligence in your steps to patenting
your invention and your years of hard work will finally pay off.

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 The Indian software industry has grown from a mere US $ 150 million
in 1991-92 to a staggering US $ 5.7 billion (including over $4 billion worth of
software exports) in 1990-2000. No other Indian industry has performed so
well against the global competition.

The annual growth rate of India’s software exports has been consistently
over 50 % since 1991. As per the projections made by the National Association
of Software and Services Companies (NASSCOM) for 2000-2001 (April 1,
2000- March 31, 2001), India’s software exports would be around $ 6.3
billion, in addition to $ 2.5 billion in domestic sale.

Indian Software Industry 1995-2000 (US $ million):

1995- 1996- 1997- 1998- 1999- 2000-

96 97 98 99 2000 01*
Domestic
Software
Market 490 670 920 1250 1700 2450
Software
Exports 734 1085 1750 2650 4000 6300
Indian Software
Industry 1224 1755 2670 3900 5700 8750
(* Source: NASSCOM report)

Today, India exports software and services to nearly 95 countries

around the world. The share of North America (U.S. & Canada) in India’s
software exports is about 61%. In 1999-2000, more than a third of fortune 500
companies outsourced their software requirements to India.

NASSCOM’s survey during 1999-2000 indicates a reversal in the mode

of services offered by India. In 1991-92, offshore accounted 5 % and on-site
services 95% of the total exports. However, during 1999-2000 offshore
services contributed over 40% of the total exports.

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The NASSCOM –McKinsey report on India’s IT industry:

According to a NASSCOM –McKinsey report, annual revenue

projections for India’s IT industry in 2008 are US $ 87 billion and market
openings are emerging across four broad sectors, IT services, software
products, IT enabled services, and e-businesses thus creating a number of
opportunities for Indian companies. In addition to the export market, all of
these segments have a domestic market component as well.

Other key findings of this report are:

• Software & services will contribute over 7.5 % of the overall GDP growth
of India.

• IT Exports will account for 35 % of the total exports from India.

• Potential for 2.2 million jobs in IT by 2008.

• IT industry will attract Foreign Direct Investment (FDI) of U.S. $ 4-5

billion.

• Market capitalization of IT shares will be around U.S. $ 225 billion.

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Projected revenues-2008($US billion):

India India Subtotal

based centric (International) Domestic Total 1998

IT services 23 7* 30 8.5 38.5 2.1

Software
products 8 2 10 9.5** 19.5 0.6
IT-enabled
Service 15 2 17 2 19 0.4

E-business 4 1 5 5 10 0.2

Total 50 12 62 25 87 3.3

(* legacy/client server, ERP and package work and Internet all have different
proportions of work outside India where revenues are not export revenues.

** Resale of imported products included.)

Promotion of IT – governmental incentives:

With the formation of a new ministry for IT, Governmental of India

(GOI) has taken a major step towards promoting the domestic industry and
achieving the full potential of the Indian IT entrepreneurs. Constraints have
been comprehensively identified and steps taken to overcome them and also to
provide incentives. Thus for example, venture capital has been the main
source of finance for software industry around the world. However, majority of
the software units in India is in the small and medium enterprise sector and
there is a critical shortage of venture capital kind of support. In order to
alleviate this situation and to promote Indian IT industry, the Government of
India has set up a National Task Force on IT and software development to

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examine the feasibility of strengthening the industry. The Task Force has
already submitted its recommendations, which are under active consideration.
Norms for the operations of venture capital funds have also been liberalized to
boost the industry. The government of India is also actively providing fiscal
incentives and liberalizing norms for FDI and raising capital abroad.

Recently, an IT committee was set up by the Ministry of Information

Technology, Government of India, comprising Non Resident Indian (NRI)
from the United States to seek expertise and advice and also to step up U.S.
investments in India’s IT sector. The committee is chaired by Minister of
Information Technology, Government of India, and the members include
Secretary, Minister of Information Technology and a large number of
important Indian American IT entrepreneurs.

The group will:

• Monitor global IT developments and refine Indian IT policy to meet

global requirements. Specifically, this will help investors, venture
creators and incubation.

• Promote the growth of human resource development in the IT sector

with the aim of creating quality-based education.

• Promote R&D in the sector by identifying thrust areas and drawing up a

blueprint for action.

India’s most prized resource in today’s knowledge economy is its readily

available technical work force. India has the second largest English-speaking
scientific professionals in the world, second only to the U.S. it is estimated that
India has over 4 million technical workers, over 1,832 educational institutions
and polytechnics, which train more than 67,785 computer software
professionals every year. Government of India is stepping up the number and
quality of training facilities in the country to capitalize on this extraordinary

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human resource. It is the knowledge industry that will help take the Indian
economy to a sustained higher rate of growth and the policy makers are fully
aware of this.

Competitors:

In the field of IT product development the following companies plays

major roles.

 Efftronics Systems Pvt Ltd:

Efftronics systems Private Limited is an ISO 9001-2000 Certified

Company started by Dasari Rama Krishna in the year 1985. It has emerged as
a technology leader in Data Acquisition systems, Data Dissemination
Systems, Multilingual Graphics and engineering solutions, providing
software and hardware design solutions that enable companies to develop
better electronic products faster and more cost-effectively.
Efftronics systems Pvt. ltd provides Software and Hardware
solutions that helps companies to develop better Electronic products and
cater the needs of their customers. With employee strength of over 500+,
Efftronics Systems Pvt. Ltd has the broadest industry portfolio of state-
of-the-art products.

 Crompton Greaves:

Crompton Greaves (CG) is an Indian multinational engaged in design,

manufacturing, and marketing of products related to power generation,
transmission, and distribution based in Mumbai.

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History:

Col. R.E.B. Crompton founded R.E.B. Crompton & Company in 1878.

The company was merged with F.A Parkinson in 1927 to form Crompton
Parkinson Ltd. Greaves Cotton and Company, established by James Greaves in
1859, was appointed as their concessionaire in India.

In 1937, Crompton Parkinson established Crompton Parkinson Works

Ltd. in Bombay as a wholly-owned Indian subsidiary. In collaboration with
Greaves Cotton, it also established a sales organization, Greaves Cotton &
Crompton Parkinson Ltd. In 1947, just before India's Independence, Lala
Karam Chand Thapar, an eminent Indian industrialist, bought Greaves
Cotton, when the company was put up for sale. With this acquisition, Karam
Chand Thapar gained control of several associated companies such as
Crompton Parkison Works, Greaves Cotton and Crompton Parkinson
Company.

The name Crompton Greaves Limited was adopted on 2 August 1966,

following a court-directed amalgamation of Greaves Cotton and Cromption
Parkinson Ltd. Over the years, the company has evolved into one of India's
largest private sector enterprises.

After the acquisition of the Belgium-based Pauwels Trafo/Pauwels

Group in May 2005, Crompton Greaves was ranked amongst the world's top
ten electrical transformer manufacturers. The company subsequently acquired
a host of companies outside India. These include Ganz (Hungary), Microsol
(Ireland), Sonomatra (France) and MSE Power Systems (USA).

Crompton Greaves is a part of the US$ 3bn Avantha Group, and is

headquartered in a self-owned landmark building at Worli, Mumbai.

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Avantha Group:

The group was started by Lala Karam Chand Thapar, and after his death
in 1963 run by third son, L.M. Thapar. From Independence till the 1980s the
Thapar Group was one of the top 10 business houses in India. Avantha is a
thriving offshoot of the old conglomerate and Gautam Thapar represents the
third generation of this illustrious business family, the baton having been
passed on to him by his uncle, L.M. Thapar and his father, B.M. Thapar. The
new identity, Avantha, was launched worldwide on 15 November 2007.

Logo for Crompton Greaves:

Type : Public company

Industry : Electrical

Founded : 1978

Headquarters : Mumbai, India

Key people : G. Thapar (Chairman)

Products : Transformers, HT&LT Motors, DC Motors, Railway

Signaling

Website : www.cglonline.com

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  HBL:

HBL Power Systems Ltd. is the pioneer in the design, development and
manufacture of specialized batteries and DC systems in India. With over 3
decades of experience in this field, the company offers a wide range of
batteries and associated electronics providing its customers, custom built
solutions to meet critical requirements.

HBL & HBL Rail:

HBL Power Systems Limited is the established market leader in India

for batteries & standby power solutions in Railways, Defence, Industry &
Telecom market segments.

HBL has diversified into electronics with an objective of providing end

to end solutions in niche market segments. To meet the mass production
demands and high levels of quality, HBL has set up a state-of-the-art
electronics manufacturing unit for assembly of all types of components and is
equipped with automated, semi-automated assembly and test facilities. To
ensure quick and high quality service, HBL has set up a service network
spanning the entire country.

HBL Rail is a division of HBL that develops products & solutions for the
Railways, with focus on Interlocking and Collision Prevention applications.
Having gathered adequate domain knowledge and product / service skills,
HBL Rail has established internally, necessary processes to be a long term
player in the Railway segment.

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Products and Solutions:

The Products & solutions offered fall in to the following categories.

• Signaling works contracts

• Electronics interlocking systems

• Track proving systems

• Collision avoidance systems

• Power Backup & Monitoring Systems

The goal is to help Indian Railways achieve its objective of providing

safe & efficient transport at optimum levels of asset utilization. We aim to
achieve this through development of reliable products and solutions and
provide timely installation and support.

 MIC ELECTRONICS :

MIC Electronics Limited. is a global leader in the design,

development & manufacturing of LED Video Displays, high-end Electronic
and Telecommunication equipment and development of Telecom software
since 1988. An ISO 9001: 2008 certified, it has marked presence in the
highly dynamic domains of:

• LED Video, Graphics and Text Displays

• LED Lighting Solutions
• Embedded, System and Telecom software
• Communication and Electronic Products

Today, MIC's flagship products are LED Video Displays (indoor /

outdoor / mobile), that have become an integral part of Sports Stadiums,
Transportation Hubs, Digital Theatres and Theme Parks, Advertisements and
Public Information Displays. Headquartered at one of the fastest emerging IT

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a)Indoor Displays:
• Indoor Video Screens

• Digital Posters cities, Hyderabad

b)Outdoor Displays:
(India), it has nation
• Outdoor Video Walls
wide presence in the
• Mobile Video Displays
form of a vast network
• Digital Billboards
of marketing, sales and
• Digital Posters
service support centres
• Perimeter Displays in all metros of India.
c)End-to-End Display solutions: To meet the demand of
• Networked Displays its products
• Interactive Displays worldwide, it has
offices in
d)Application Specific Displays: Australia,Korea and
• Passenger Information Displays USA. Now the
• Digital Theme Parks company is gradually
• 3-D Displays setting up operations
in other international
LED-LIGHTING PRODUCTS:
markets.

a)Commercial & Industrial Lighting: PRODUCTS:

• Rural & Urban Street Lights
There are two types of
• High Mast Lights
products
• Mini Mast Lights
• High Bay Lights • LED-DISPLAY
PRODUCTS
• Low Bay Lights • LED-LIGHTING
b)Railway Lighting:
• Coach Lighting
PRODUCTS

• Signal Lighting
LED-DISPLAY

• Emergency Lighting PRODUCTS:

c)Solar Lighting:
• Street Lighting

• Home Lighting

• Lantern 22
23
  Medha electronics:

Medha Servo Drives Pvt. Ltd., founded in 1984, is focused on rail

transportation. Since inception, Medha has used Research and Development
as a tool for success and today we are proud to be known for our product
range, domain knowledge, design expertise, quality and manufacturing
capabilities. Starting from humble beginning, over the last 25 years our
company has grown to employ over 1100 talented people.

At Medha, our products, our people and our approach to business are held
to only the highest standards. We build quality into our products by following
well designed processes and implementing end-to-end manufacturing. We
profoundly believe in professional management at all levels and strictly follow
Quality Assurance System as per ISO 9001:2000 standard. Medha was
awarded ISO 9001:2000 certificate by American Quality Assessors accredited
by ANAB and established a reputation for quality products and excellent after
sales service. Since our foundation, our quality policy has been, ‘To provide
products meeting customer satisfaction with excellence in performance and
cost effectiveness through a continually improving Quality Management
System’.

Products:

Medha electronics, Hyderabad is a major competitor for Efftronics in

the case of Data loggers. The data loggers manufactured by Medha electronics
are as follows

• Uniscan3200(Universal Input Datalogger)

• Falcon 1600 DL (Fixed Input Data logger)
• DLC 001 M (Single Channel Logger):

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a)Uniscan3200(Universal Input Datalogger) :

Fig 2.1 :Universal Input Data logger

Features:

No of Channels : Eight to Thirty Two channels

Type. Of Inputs : RTD Pt100 (3 wire), mA, Thermocouples (J, K, R, S, T, B
&E) or Volt. Input type is field settable.
Features : LCD display, Settings through Keyboard, Data logging &
Printer port, Serial port RS232/ RS485 with Modbus,
Alarms output with indication
Application : Standalone recording / SCADA

b)Falcon 1600 DL (Fixed Input Data logger):

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 Fig 2.2: Fixed Input Data logger

Features:

No of Channels : Four to Sixteen channels.

Type. Of Inputs : RTD Pt100 (3 wire), mA, Thermocouples (J, K, R, S,
T, B &E) or Volt factory set.
Features : LED display, Settings through Keyboard, Data
logging, Printer port, Serial port RS232/ RS485 with
Modbus.
Application : Standalone recording / SCADA

c)DLC 001 M (Single Channel Logger):

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 Fig 2.3: Single Channel Logger

Features:

No of Channels : One.
Type. of Inputs : 4-20mA DC Linear
Features : LED display, Settings through Keyboard, Data
logging, Printer port, Serial port RS232/ RS485 with
Modbus.
Application : Standalone recording.

COMPANY PROFILE

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 Efftronics systems Private Limited is an ISO 9001-2000 Certified
Company started by Dasari Rama Krishna in the year 1985. It has emerged as
a technology leader in Data Acquisition systems, Data Dissemination
Systems, Multilingual Graphics and Engineering solutions, providing
software and hardware design solutions that enable companies to develop
better electronic products faster and more cost-effectively.
Efftronics systems Pvt. ltd provides Software and Hardware
solutions that helps companies to develop better Electronic products and
cater the needs of their customers. With employee strength of over 500+,
Efftronics Systems Pvt. Ltd has the broadest industry portfolio of state-
of-the-art products.

VISION:

“To provide insight for enhancing wealth”

MISSION:

“To provide freedom to creativity/Innovation in exploiting the

potential of Information Technology.”

QUALITY POLICY:

The main objective of Efftronics Systems Pvt. Ltd is to provide

Information Technology products/services that exceed customer
expectations in their “Functionality, Usability, Reliability,
Performance, Adaptability and Supportability” to achieve Market
Leadership and for the continual improvement of business performance.
For this, the Organization has established and reviews its Quality
Objectives to focus on ….

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 Technology management for building competence
 Quality improvement
 Customer education
 Human Resource Development
 Customer Support
 Design and Implementation

QUALITY MANAGEMENT:
This International Standard specifies requirements for a quality
management system.

General Requirements:
Determine the processes needed for the quality management system
and their application throughout the Organization. Determine the sequence
and interaction of these processes. Determine criteria and methods needed to
ensure that both the operation and control of these processes are effective.
Ensure the availability of resources and information necessary to support the
operation and monitoring of these processes, Monitor, measure (where
applicable), and analyze these processes, and Implement actions necessary to
achieve planned results and continual improvement of these processes.
Documentation Requirements:
Documented statements of a quality policy and quality objectives, a
quality manual, documented procedures and records required by this
International Standard, and documents, including records, determined by the
organization to be necessary to ensure the effective planning, operation and
control of its processes.

QUALITY OBJECTIVES:

29
 Establishment of technology cell for identification, understanding, and
effective implementation of technology for development of products/services.
1. Achieved MTBF of one year
2.Improve Quality from percentages to PPM* levels
3.Establishment of HRD process to train and nature of employees to
realize their intrinsic talent
4. 100% increase in turn over every year
5.Improve response time to customer requests.

Functionality - Fulfill the designed purpose

Usability - Use of all functions / options provided to that product

Reliability - Acceptance for long period

Performance - How accurately it functions

INFRASTRUCTURE:

Efftronics systems Pvt. Ltd was started as an SSI unit and now the
company is continuously broadening its perspective in the area of research
R&D facility located at Vijayawada to a nationwide acclaimed organization.
The company infrastructure facility comprises of:
• 1500 square feet modern facility for Planning and Production
• 1000 square feet facility for Software & Embedded Systems Development.
• 5000 square feet facility for Administration, Training centre & other
utilities.

RESEARCH AND DEVELOPMENT:

30
 Efftronics systems pvt.ltd is a knowledge driven company. Their
continuous investment in R&D activities has enabled them to develop
innovative Products and Technologies. The company has vast expertise in
comprehensive design, development, assembly and Testing of
Microprocessor/Micro Controller systems for diverse interfaces and
applications from the concept

BUSINESS PROCESS:

Business process begins with a Customer’s need and ends with a

Customer’s need fulfillment. Efftronics systems Pvt. Ltd is a process
oriented organization it breaks down the barriers of structural departments
and try to avoid functional soils.
The business process is decomposed into several sub-processes, which
have their own attributes, but also contribute to achieving the goal of the
super-processes. The analysis of business processes typically includes the
mapping of processes and sub-processes down to activity level.
The Sales department identifies the needs of the related sector and
discusses with the management whether to provide or not based on their
budgetary constraints. Management takes the decision and proceeds further
with the R&D department. If the project is being taken up then the HR
department will forecast the future needs like manpower, infrastructure and
reports them to the management.
The budget will be sent to the finance department and the finance
department will further analyze the optimal cost of the project. Bill of
material is prepared and after the approval of the management it will be send
to the purchase department. The purchase department will place the order
and its duty is to collect the raw material in time and then production plan
analysis will be done. The customer support department will install the

31
product and supports the customer’s problems by charging annual
maintenance cost.
The business process is designed to add value for the customer and not
supposed to include unnecessary activities. The outcome of this well designed
business process is increased effectiveness (value for the customer) and
increased efficiency ions(less costs for the company)

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Fig 3.1:Process in Efftronics

33
SERVICE:
The company offerings are built around the core technology
competencies gained by them through clear focus on high-end
communication software development initiatives for more than 20 years
now. The competencies include
 Wireless Communication
 Railway signaling
 Embedded systems
 Software development
An Efftronics system Pvt. Ltd develops the most effective combination
of Services and Resources, to meet Customer needs.

EFFTRONICS SYSTEMS PVT LTD products have a global

presence in 10 countries all over the World. The technological needs in the
respective areas are customized for various business needs. Entire Software,
Hardware, Firmware, in every project is developed from the scratch thus
getting the command in every aspect of the products/projects. Usability,
Expandability in every product make their products value for money.

PRODUCT PROFILE:
Some of the major products of Efftronics Systems Pvt. Ltd. are
illustrated below.
1. Network Data Loggers

2. LED display systems

3. Integrated Passenger Information and Announcement System (IPIS)

4. Railway LED Signaling Lamps

5. Solid State Block Proving by Axle Counter(SSBPAC)

34
 6. Train Charter Software (TC)

7. SCADA for Electrical and Water

8. Battery Monitoring Unit (BMU)

9. Point Machine Health Monitoring Unit (PM-HMU)

10.Ultra Sonic Flaw Detector (USFD)

11. GPS based Master-Slave Clocks

12. Wrong Operation Indication System (WOIS)

13. Intelligent Distributed Light Controller System (IDLCS)

 Network Data Loggers:

The status of various Railway Signal Control and interlocking relays are
essentially to be logged in order to verify, diagnose its operation,
maintenance and faults. Data logger logs the change of status of every relay
connected to it. Logged data transmitted upon to the central place to
generate various exceptions, reports and other information by application
software.

35
 Fig 3.2: Micro Processor Based Data Logger

Front End Processor: It buffers Data between server and data logger
network and sends data to CMU.

Network Management of Data Loggers (NMDL) : Using NMDL

software they send data from data logger to CMU.

36
 Fig 3.3: Data loggers connection in Network

 LED display systems:

37
 LED signal Lamps are designed to meet the requirements of Railway
signaling systems. LED signals are high safety, low maintenance solutions
to the age-old reliability problems afflicting incandescent lamps. LED units
accept wide voltage range and provide constant brightness over it.

Fig 3.4: LED display systems

 Integrated Passenger Information and Announcement System

(IPIS):

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Integrated Passenger Information System is a single system control providing
audio and visual information to passengers, via multiple displays spanning
over the entire station.

Includes:

• Redundant control console system loaded with Application software

• LED Display boards of different sizes and serial communication
HUB’s
• CCTV
• PC based Announcement system

Fig 3.5 : Integrated Passenger Information and Announcement System

 Solid State Block Proving by Axle Counter(SSBPAC):

39
 SSBPAC is a solid state system used for controlling the coordinated
movement of the train in the block section working on absolute block working
principle. The system has been developed as per RDSO/SPN/175/2005 both
for single line working and double line working.

Features :

• Safe shutdown if the output is less restrictive.

• Mine field in the non-program area for trapping the CPU.
• Inputs and Outputs are exchanged and validated among 3 CPUs in Inter
Processor communication before delivering to independent voter module.
• Continuous monitoring of system cycle time. In case of deviation safe
shutdown of system.
• 2 Bit bi-state control for all the vital output relays.
• Continuous monitoring of output for every 50ms.
• Online Hardware diagnosis and self checking.

Fig 3.6 : Solid State Block Proving by Axle Counter(SSBPAC)

 Train Charter Software (TC):

40
 A software for Tracking Station-wise Train Arrival-Departures, by
considering sequential operations of Tracks, Points and Signals, recorded by
Data-loggers, by the way graphical representation (Time v/s Stations) of
Actual and predicted train movements.

• Tracking and predicting the Entire train movements.

• Enables the controller to spend more time on planning instead of
manual charting.
• Accuracy in train arrival/departure timings up to seconds.

 Point Machine Health Monitoring Unit (PM-HMU):

This system indicates the point machine’s health by monitoring

its current, common power supply and DC Earth Leakage Detection
(ELD) voltage supplies along with operations (Relay status) there by
allowing railway operators to perform preventive maintenance.

Fig 3.7 : Point Machine Health Monitoring Unit

ORGANIZATION HIRARCHY:

a. R&D (Research and Development)

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 b. Production

c. Quality Assurance

d. Purchases

e. Stores

f. Sales & Marketing

g. Human Resources Department

h. System Administration

i. Customer Support

j. General Administration

k. Finance & Accounts

l. ISO
a)Research and Development:

New product design and development is more often than not a crucial
factor in the survival of a company. In an industry that is fast changing, firms
must continually revise their design and range of products. This is necessary
due to continuous technology change and development as well as other
competitors and the changing preference of customers. A system driven by
marketing is one that puts the customer needs first, and only produces goods
that are known to sell. Market research is carried out, which establishes what
is needed. If the development is technology driven then it is a matter of selling
what it is possible to make. The product range is developed so that production
processes are as efficient as possible and the products are technically superior,
hence possessing a natural advantage in the market place.

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R&D at Efftronics:
Product development is done in R&D. They start developing a product
based on their own idea after getting it approved from management.

R&D at Efftronics is divided into two stages

Research Research
&Development &Development
(Firmware) (Software)

Fig 3.8 :Division of R&d at Efftronics Systems Pvt Ltd

1.Research & Development (Firm ware)

 To explore new Technologies of embedded systems with timely
completion & to
 implement design, conduct review of products with existing
technologies from
 Modular approach.

2.Research & Development (Soft ware)

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  To develop, review, and validate s/w applications for effective
functionality,
 usability, adaptability & performance by using modular or object
oriented
 approach to provide usable, user-friendly and reliable application
software.

Designs and Implements:

 Distributed systems, in different hardware configuration, over network

in real time control applications.
 Data Communication and networking of the systems over the span of
350 Km distance for around 40 numbers of real time data acquisition
systems for front-end 24/7 application.
 Systems design with types and combination of networking topologies.
 CPUs, Data communication and other drivers for different
environments like Railway Electrified area, along the tracks with high
temperature and induced electromagnetic noise levels, industrial, high
density traffic roads etc.
 Designs with many interfaces like different type memories, peripheral
ICs, Real Time Clock ICs, ADC, DAC etc.
 Logic families and IC packages for power consumption, speed and other
considerations.
 Glue circuits and stand alone combinational and sequential machine
designs with PALs, PLDs etc.
 User interfaces with numeric and alphanumeric keypads, PC keyboards,
LED and LCD MODEMS.
 The R&D proceeds after getting the resources either from the marketing

interface regarding project requirements or if necessary directly from

44
 the customer or through the strategic level in the organization. All these
approaches leads to the confirmation of required technology/
modification of existing products that were proposed by the customer
after sufficient discussions so that specifications are prepared and
finalized.
 After that, defining objectives and estimating time to complete the
project as per the project requirements.
 Study of specifications and features for the required technology will be
done if necessary.
 Scheduling and identification of entry and exit criteria for each stage of
project Development life cycle.
 Optimizing the required process mechanism based on the project
requirements through the angle specified. Identifying overall technical
feasibilities and risks through simulative studies.
 Representing the internal logics, data structures and test plan for each
module of the system to balance the criticality in the project.
 Action plan for the project requirements will be prepared depending up
on the various configurations that refer to corresponding deliverables.
 After that prepared logics will be converted to the application specific
code, 9 Software modules are tested individually for proper functioning.
After this, an integrated testing of total system, along with the hardware
modules if any, is tested with specifications defined. Any site conditions
that are possible in the work site are simulated while testing. Any
critical site conditions that are not possible to simulate and test at work
site are taken care of, by testing the system / particular module that is
exposed to the real site conditions, at real site or similar.

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b)Production:
They manufacture all the products required by the customer. The
requirements of customer are known by them from Sales department. To
achieve PPM levels by optimizing time in assembling, soldering and
preliminary testing of modules by adopting new techniques. The employee’s
contribution towards achieving organizational goals.

Product Realization:
a) The Production manager will make an entire production plan regarding
the order that is received.
b) Ensure that the machine soldering plan and material request should be
two days before the manual soldering plan
c) The solder paste should always be stored at temperature of 4-10C.

 Assembling:
They do soldering of cards and later given for cleaning and heat test.
 Testing:
Here the assembled cards are tested module wise and after few activities of
Shop floor, entire product will be tested.
 Shop floor:
Fixings and Wiring is done in Shop floor. To implement structural designs and
ensure design reviews to improve aesthetics.
 Dispatch:
Packing of finished goods in safe & secure mode is done in dispatch. To
safeguard the finished product with appropriate packing before handing over
to customer.

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c)Quality Assurance:
QA is been divided into four wings. Where the Inward material is tested
Assemble cards are tested in the Process. This is called INPROCESS Finished
Product QA, where the final product is tested Calibration; Where the
Quality Assurance of measuring equipment is done.

d)Purchases:

Purchasing department is concerned with the procurement of various

materials like stores and spares stationary items, office equipment etc., which
are necessary to carry out the day to day activities. It is only if the purchase of
various items is made by right time, right quantity, and quality price timely
production and other activities can be carried out. Efftronics systems have a
well organized purchasing system to take care of all purchasing aspects of
enterprise as a whole. The material is bought from Vendors/Suppliers based
on the requisitions of Stores.

Purchasing procedure:

Initially the list of purchase from various departments are received,

based on requirement budget estimate for the overall industry is prepared
once a year on the receipt of quotation price indenting department initiates for
floating enquires. The vendors are classified in to two types: 1.) Manufacturer
2.)Trader. Under trader category list of components are classified in to
“Preferred v/s non-preferred list. Material list are prepared and called for
quotations. Quotations are called from vendors based on the vendor database
with required specifications.

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e)Stores:

The material required in the entire organization is maintained safely and

issued when ever any one needs it. To establish and implement new
techniques for inventory handling, recording, Protecting, controlling, and
analyzing.

Stores process:
Main stores

Material planning

Inward

Inward Quality
assurance

Material
Storage/Protection

Issues & Receipts

Minimum Stock
Levels

Auditing

Fig 3.9 : Stores Process

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f)Sales & Marketing:

Philip Kotler defines marketing as 'satisfying needs and wants

through an exchange process’. Within this exchange transaction
customers will only exchange what they value (money) if they feel that their
needs are being fully satisfied; clearly the greater the benefit provided the
higher transactional value an organization can charge. Marketing is the social
process by which individuals and groups obtain what they need and want
through creating and exchanging products and value with others.

Marketing Process in Efftronics:

 The products developed in R&D are marketed and sold and the
requirements from customers are given to R&D for development.
Exploiting the strengths & technologies/products/services to
explore, identify, nurture various customer requirements and
enhance our market share well ahead by supplying quality products
in domestic and international market and to double the turnover.
 Educate the customer in Functionality, usability, future adaptability
and strengths of the company. Improve response time to customer
requests. Coordinating with CS department for supportability and
performance. Understand the product, technology and competency
of the organization with inputs from Design section.
 Identification of market segment and potential customers for the
existing products.
 Attracting the customers by educating the customers regarding
products / technologies / competence of the organization.

49
Enquiry Handling:

Identifying the customer through intensive searching in websites, registers,

Journals etc

 Providing potential customers’ information to Executives for follow-up.

 On receipt of product enquiry from customers, Study of customer
requirements in coordination with R&D dept and our executives and
listing out the detailed requirements and solutions provided
 Providing Budgetary quotations with necessary technical and
commercial terms.
1. Tendering process:

 Collecting Tender information from Websites, News papers etc.

 Collecting necessary documents required to be submitted while bidding.
 Involved in quoting the tender and maintaining the quoted information.
 Analyzing the Competitor quoted prices and retrieving the same
information while quoting new tenders.
Order Handling:

 Listing out the expected orders for the coming months coordinating with

executives to speed up the production process and updating regularly.

Order review with concerned depts. on receipt of order and releasing to
production through ERP software for carrying out the manufacturing of the
product. Fulfilling the statuary requirements like Bank guarantee etc in
case of government orders. Regular follow up with the customers for
necessary transit documents. Involving in inspection of material by
external agency before delivery with necessary documents. Follow-up for
payments and coordinate in delivering the material. Regularly tracking the

50
 turnover and generating reports like planned Vs actual. Analyzing the data
with targeted turnover for that year and for next year sales projections
tracking the requisite forms like form D/C, Tax deduction certificates etc
and follow-up with the customers for timely receipt of documents. Tracking
the payments due Vs actual received and follow-up with customers for
clearance of dues. Updating the status of project online.

g)Human Resource Development

Human Resource Development (HRD) is the framework for Employees

in developing their personal and organizational skills. Human Resource
Development include Employee Training, Employee career development,
Performance management and Development, Coaching, Succession planning,
Key employee identification, Tuition assistance, and Organization
development. The focus of all aspects of Human Resource Development is on
developing the most superior workforce so that the organization and
individual employees can accomplish their work goals in service to customers.
Human Resource Development can be formal such as in classroom training, a
college course, or an organizational planned change effort. Human Resource
Development can be informal as in employee coaching by a manager. Healthy
Organizations believe in Human Resource Development.

Objective:

Maximize the Return on Investment (ROI) from the organization’s

human capital. This is done through aligning various HR functions with the
Efftronics Objective. The various functions include: Man Power Planning
Recruitment & Selection Training & Development General Employee
Management The fundamental objective of the HRD department in

51
EFFTRONICS is to train employees at the required time that will employ their
skills and abilities effectively to help achieving its Organizational goals.

EFFTRONICS HRD PHILOSOPHIES:

All employees ARE EQUAL: In order to provide equal employment and

advancement opportunities to all employees, all decisions at Efftronics will be
based on merit, qualifications and abilities. · Efftronics does not discriminate
in employment opportunities or practices because of race, color, religion, sex,
age or disability. · This policy governs all aspects of employment, including
selection, job assignment, compensation, discipline, termination, and access
to benefits and training.

EMPLOYEE WELFARE:

Efftronics primarily focuses on the welfare of the employee through: ·

Regular Medical Check-ups · Periodical Yoga Classes. · Health counseling for
all the employees. · Inculcating a sense of Fitness by providing time in the
office hours for Stretching Exercises.

52
Organization’s Structured Hierarchy:

53
 Fig 3.10 : Efftronics Organisation Structure

h)CS (Customer Support):

54
 To provide quick and reliable service to the customer. Here the
complaints from customers are logged and solved by the site engineers with
the help.

 Educate the customers in regard to functionality and usability of

products /

 Customer satisfaction & improve response time to customer

requests.
Process:

Understanding the project

requirements before

Signing the

Pre-site Inspection

Completion of procurement of materials and

other work not related to the product.

Installation Action
Plan

Installation Activities

Complaints
Customer Training Handling &
Analysis
Customer
Satisfaction Measurement of
Process
Analysis

Fig 3.11 : CS process

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Primary duties of customer support department are the following:

A Call from the customer is received by Fax, letter, phone or e-mail.

1. Responding to the customer regarding planned complaint resolution
date within 1.5 days and call should be closed in 7 days
2. If the customer is under AMC or warranty free service is given to
him during that period.
3. If any material is required then it will be sent to the service engineer
from office to the site while attending the problem.
4. The Service engineer after resolving the problem will submit the
service report to the Dept Manager
5. Details of complaint are logged in to the complaint register.

i)System Administration:

All the systems in the organization are maintained by this department.

If any problem is logged, it will be solved.

1. Applicability:

It applies to all computer and communication facilities owned, operated

by the Efftronics. This includes networking devices, personal digital assistants,
wireless devices, personal computers, workstations, mainframes,
minicomputers, and any associated peripherals and software, regardless of
whether used for administration, research, teaching or other purposes.

2. POLICIES
Copyrights and Licenses:
Computer users must respect copyrights and licenses to Software,
entertainment materials, published and unpublished documents, and any
other legally protected digital information.

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Copying :
Any material protected by copyright must not be copied except as
Specifically stipulated by the owner of the copyright or otherwise permitted by
Copyright law.

Copyrights:
All copyrighted information (text, images, icons, programs, video,
audio, etc.) Retrieved from computer or network resources must be used in
conformance with applicable copyright and other law. Copied material must
be properly attributed. Copying of digital information is subject to the same
sanctions as apply to copying in any other media.

Integrity of Information Resources:

Computer users must respect the integrity of computer-based
information resources.

Unauthorized Access:
Computer users must refrain from seeking to gain unauthorized access
to information resources or enabling unauthorized access.

Usage:
Computer users must respect the rights of other computer users.
Attempts to circumvent mechanisms private information from others in order
to gain unauthorized access to the system or to another person’s information
are a violation of Efftronics policy and may violate applicable law. Authorized
system administrators may access computer users' files at any time for
maintenance purposes. System administrators will report suspected unlawful
or improper activities to the proper authorities.

57
Prohibited Use:
Use of the Efftronics computers, network or electronic communication
facilities (such as electronic mail or instant messaging, or systems with similar
functions) to send, view or download fraudulent, harassing, obscene (i.e.,
pornographic), threatening, or other messages or material that are a violation
of applicable law or Efftronics policy, such as under circumstances that might
contribute to the creation of a hostile work environment, is prohibited.

j)General Administration:

All the reception activities, provision of food, tea, snacks for the
employees etc. is done by General Admin, department f technical team as soon
as possible. General administration of the organization contains the services
for smooth functioning of the organization. These functions are of supporting
nature and help the other departments in the organization for their efficient
functioning.

Following are various services included in the GAD.

1. Reception services: Ensuring all the services required for Front Office of
the Organization.

2. Executive secretary services: Ensuring all the required services for

MANAGING DIRECTOR.

3. Inward and outward services: Ensuring all the services required for
Inward and outward of the documents and material of the Organization.

4. Time and attendance monitoring services: Ensuring all the services

required for the keeping up of Timings/Attendance of the personal of the
organization and submitting the required reports.

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5. Other supportive services like arrangements for traveling stay for the
visitors etc.

k)Finance & Accounts:

Finance is a very important function in every organization. Finance is

the life line of all transactions finance is the important service department in
the company, which interacts with all other departments. All the budgetary
and accounting is done and expenditures of each department are maintained.

Functions of Finance department:

 To determine the financial need of various departments and sub

departments.

 To facilitate review of financial position.

 To comply with statutory returns and records relating to taxes.

Arrangement of payment to creditors for suppliers’ works and

profits:

After the receipt and acceptance of intended items MRR will be

prepared and original value sent to accounts and the same is valued for invoice
and purchase order.

AUDIT:

 Statutory Audit: Statutory auditors are appointed by the shareholders at

the annual general meeting and will hold office until next AGM.

 Tax auditors: The board appoints tax auditors after the tax audit.

59
  Cost audit: Basing on the recommendations made by the board and the

central government will appoint cost auditors.

l) QMS-ISO:

ISO (the International Organization for Standardization) is a worldwide

federation of national standards bodies. (ISO Member Bodies). The work of
preparing International Standards is normally carried out through ISO
technical committees. Each member body interested in a subject for whom a
technical committee has been established has the right to be represented on
that committee. International organizations, governmental and non-
governmental, in liaison with ISO, also take part in the work. ISO collaborates
closely with the International Electro technical Commission (IEC) on all
matters of electro technical standardization.

Coming to gather is beginning, keeping together is a progress, and

working together is a success. Everything can be achieved through team work.
The strength of QMS (ISO) is the team work in an organization. Being in a
team doesn’t mean that the work is left for the other persons in a team. In fact
it leads to the work undone. So check back your work and assure that what you
have planned to achieve through team work. Say (plan) what you do, do
(implement) what you say (plan), and prove it (Record) and that is what QMS.

Procedure:
Assigning responsibility to a specified person(s) by the process owner
for Collection and maintenance of database to analyze and measure the

60
Effectiveness of each process and take necessary action for improvement
within a specified time period.

Company Policies and Rules:

Duties and tasks:

Personnel shall, at all times during the period of their service, conduct
themselves soberly and carryout diligently and faithfully all orders and
directions given to them by all persons in authority over them. They shall
observe and confirm to all rules and regulations of the organization for the
time being in force and improves further the interests of the organization to
the best of their power, skill and ability.s Personnel shall devote their whole
time and attention exclusively to the duties entrusted to them and will not
engage to work for any other persons or company in any capacity what so ever.
All staff and management should meet their immediate boss daily and explain
the works done for that day. All the works should be completed in time with
proper coordination.

Working hours:

The general working of the organization is from 9.00 am to 5.45 pm.

everybody should report at 9.00am without fail. In case of work beyond
regular working hours, authorization from concerned section in-charge should

61
be obtained well in advance. A lunch break of 45 minutes can be availed
between 1:00 to 1.45 P.M.

Identity cards:

All the personnel joining in the organization will be issued ID cards,

which they should swipe invariably during their movement (i.e. coming in and
going out of the organization). In failing to bring the ID card, they must write
in the movement register else it would be considered as loss of pay. The
receptionist is authorized to question regarding the non-swiping of ID cards.
In case of loss of ID cards an amount of Rs.25/- will be deducted from the
salary for the issue of new card.

Transfer:
Employee services are liable to be transferred on a temporary or
permanent basis to any section anywhere in India. Particularly the personnel
of CS section should be ready to render their services at any time and can be
posted to any outstation on company's work.

The following acts and omissions shall be treated as misconduct:

a) Willful disobedience whether alone or in combination with others to any
lawful and reasonable order of a supervisor.

b)Theft or dishonesty in connection with organization's activities or

properties.
c) Willful damage / loss of the organization goods or property.
d) Taking or giving bribes or any other illegal gratification.
e) Habitual absences without leave (or) absences without leave for more than
10days.

62
f) Habitual late attendance, Early goes. (More than 5 a month)
g) Habitual breaking of rules applicable to the organization.

Notice period for resignation or termination:

The personnel under probation shall be given a notice period of one

month applicable on either side. For permanent personnel, a notice period of
three months shall be given from either side. Personnel joined under bond will
be given one month prior notice by the organization, if their work is not
satisfactory. In case of employees taken under negative category, no prior
notice be given by the organization for termination

Medical checkup:

All the Personnel must undergo medical checkup regularly. All the CS
section personnel who return from their O.Ds should invariably undergo
checkup from the company doctor.

Training:
In this fast developing world, technology is changing day by day. We
need to keep ourselves competing with changes of the world, updating
ourselves to the latest technology trends. For this purpose management
whenever necessary will be providing up gradation programs and training
sessions.

All the personnel both staff and management should invariably attend
the training and self developmental programs conducted by the organization,
without fail and utilize the opportunity.

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 THEORITICAL FRAME WORK

PERFORMANCE APPRAISAL SYSTEM:

INTRODUCTION:

Performance appraisal is the process of obtaining, analyzing and

recording information about the relative worth of an employee. The focus of
the performance appraisal is measuring and improving the actual
performance of the employee and also the future potential of the employee. Its
aim is to measure what an employee does.
It is a powerful tool to calibrate, refine and reward the
performance of the employee. It helps to analyze his achievements and
evaluate his contribution towards the achievements of the overall
organizational goals.By focusing the attention on performance, performance
appraisal goes to the heart of personnel management and reflects the
management's interest in the progress of the employees.

64
 After an employee has been selected for a job, has been trained to
do it and has worked on it for a period of time, his performance should be
evaluated. Performance Evaluation or Appraisal is the process of deciding how
employees do their jobs. Performance here refers to the degree of
accomplishment of the tasks that make up an individual’s job. It indicates how
well an individual is fulfilling the job requirements. Often the term is confused
with efforts, which means energy expended and used in a wrong sense.
Performance is always measured in terms of results. A bank employee, for
example, may exert a great deal of effort while preparing for the CAIIB
examination but manages to get a poor grade. In this case the effort expended
is high but performance is low.

Performance appraisal is broader term than Merit Rating. In the past

managers used to focus on the traits of an employee while ranking people for
promotions and salary increases. Employee’s traits such as honesty,
dependability, drive, personality, etc., were compared with others and ranked
or rated. The attempt was to find what the person has (traits) rather than what
he does (performance); the focus was on the input and not on the output. This
kind of evaluation was open to criticism because of the doubtful relationship
between performance and mere possession of certain traits.

DEFINITIONS:

"Performance appraisal is the systematic, periodic and an impartial rating of

an employee’s excellence in the matters pertaining to his present job and his
potential for a better job." Performance appraisal is a systematic way of
reviewing and assessing the performance of an employee during a given period
of time and planning for his future.

65
 -------------------Edwin.B.Flippo

-------------------------------------------------------------------------------------------
----Edwin. B.Flippo, Personnel Management, sixth ed, Mc.Graw
Hill,1990

OBJECTIVES OF PERFORMANCE APPRAISAL SYSTEM:

• To review the performance of the employees over a given

period of time.

• To judge the gap between the actual and the desired performance.

• To help the management in exercising organizational control.

• Helps to strengthen the relationship and communication between

superior – subordinates and management – employees.

• To diagnose the strengths and weaknesses of the individuals so as to

identify the training and development needs of the future.

• To provide feedback to the employees regarding their past

performance.

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• Provide information to assist in the other personal decisions in the
organization.

• Provide clarity of the expectations and responsibilities of the

functions to be performed by the employees.

• To judge the effectiveness of the other human resource functions of

the organization such as recruitment, selection, training and development.

• To reduce the grievances of the employees.

Features:

The main characteristics of performance appraisal may be listed thus:

• The appraisal is a systematic process. It tries to evaluate

performance in the same manner using the same approach. A number of
steps are followed to evaluate an employee’s strength and weaknesses.

• It provides an objective description of an employee’s job’s relevant

strengths and weaknesses.

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

• The appraisal is carried out periodically, according to a definite plan.

It is certainly not a one-shot deal.

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• Performance evaluation is not job evaluation. Performance appraisal
refers to how well someone is doing an assigned job. Job evaluation, on the
other hand, determines how much a job is worth to the organization, and
therefore, what range of pay should be assigned to the job.

• Performance appraisal may be formal or informal. The informal

evaluation is more likely to be subjective and influenced by personal
factors. Some employees are liked better than others and have, for that
reason only, better chances of receiving various kinds of rewards than
others. The formal system is likely to be more fair and objective, since it is
carried out in a systematic manner, using printed appraisal form

AIMS OF PERFORMANCE APPRAISAL SYSTEM:

Generally, the aims of a performance appraisal are to:

• Give employees feedback on performance

• Identify employee training needs

• Document criteria used to allocate organizational rewards

• Form a basis for personnel decisions: salary increases, promotions,

disciplinary actions, bonuses, etc.

• Provide the opportunity for organizational diagnosis and development

• Facilitate communication between employee and administration

• Validate selection techniques and human resource policies to meet

federal Equal Employment Opportunity requirements.

What is to be appraised?

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 Every organization has to decide upon the content to be appraised
before the programme is approved. Generally, the content to be appraised is
determined on the basis of job analysis. The content to be appraised may be in
the form of contribution to organizational objectives (measures) like
production, savings in terms of cost, return on capital, etc.

Who will appraise?

The appraiser may be any person who has thorough knowledge about the job
content, contents to be appraised, standards of contents and who observes the
employee while performing a job. The appraiser should be capable of
determining what is more important and what is relatively less important. He
should prepare reports and make judgments without bias. Typical appraisers
are: supervisors, peers, subordinates, employees themselves and users of
services and consultants.

Supervisors:
Supervisors include superiors of the employee, other superiors having
knowledge about the work of the employee and departmental head or
manager. The general practice is that immediate superiors appraise the
performance, which in turn, is reviewed by the departmental head/manager.
This is because supervisors are responsible for managing their subordinates
and they have the opportunity to observe, direct and control the subordinates
continuously. Moreover, they are accountable for the successful performance
of their subordinates. Sometimes other supervisors, who have close contact
with employee work also appraise with a view to provide additional

69
information.
On the negative side, immediate supervisors may emphasize certain
aspects of employee performance to the neglect of others. Also, managers have
been known to manipulate evaluations to justify their decisions on pay
increases and promotions. However, the immediate supervisor will continue
to evaluate employee performance till a better alternative is available.
Organizations, no doubt, will seek alternatives because of the weaknesses
mentioned above and a desire to broaden the perspective of the appraisal.

Peers:
Peer appraisal may be reliable if the work group is stable over a
reasonably long period of time and performs tasks that require interaction.
However, little research has been conducted to determine how peers establish
standards for evaluating others or the overall effect of peer appraisal on the
group’s attitude. Whatever research was done on this topic was mostly done
on military personnel at the management or pre-management level (officers or
officer candidates) rather than on employees in business organizations. More
often than not in business organizations if employees were to be evaluated by
their peers, the whole exercise may degenerate into a popularity contest,
paving the way for the impairment of work relationships.

Subordinates:
The concept of having superiors rated by subordinates is being used in
most organizations today, especially in developed countries. For instance in
most US universities students evaluate a professor’s performance in the
classroom. Such a novel method can be useful in other organizational settings
too provided the relationships between superiors and subordinates are cordial.
Subordinates’ ratings in such cases can be quite useful in identifying
competent superiors. The rating of leaders by combat soldiers is an example.
However, the fear of reprisal often compels a subordinate to be dishonest in

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his ratings. Though useful in universities and research institutions, this
approach may not gain acceptance in traditional organizations where
subordinates practically do not enjoy much discretion.

Self-appraisal:
If individuals understand the objectives they are expected to achieve
and the standards by which they are to be evaluated, they are to a great extent,
in the best position to appraise their own performance. Also, since employee
development means self-development, employees who appraise their own
performance may become highly motivated

PROCESS OF PERFORMANCE APPRAISAL SYSTEM:

The process of performance appraisal includes 6steps which are

clearly explained below

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 Fig 4.1 : Process of performance appraisal system

1)Establishing performance standards:

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 The first step in the process of performance appraisal is the
setting up of the standards which will be used to as the base to compare the
actual performance of the employees. This step requires setting the criteria to
judge the performance of the employees as successful or unsuccessful and the
degrees of their contribution to the organizational goals and objectives. The
standards set should be clear, easily understandable and in measurable terms.
In case the performance of the employee cannot be measured, great care
should be taken to describe the standards.

2)Communicating standards and expectations:

Once set, it is the responsibility of the management to communicate the

standards to all the employees of the organization. The employees should be
informed and the standards should be clearly explained to the. This will help
them to understand their roles and to know what exactly is expected from
them. The standards should also be communicated to the appraisers or the
evaluators and if required, the standards can also be modified at this stage
itself according to the relevant feedback from the employees or the evaluators.

3)Measuring the actual performance:

The most difficult part of the Performance appraisal process is

measuring the actual performance of the employees that is the work done by
the employees during the specified period of time. It is a continuous process
which involves monitoring the performance throughout the year. This stage
requires the careful selection of the appropriate techniques of measurement,
taking care that personal bias does not affect the outcome of the process and
providing assistance rather than interfering in an employees work.

4)Comparing the standards:

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 The actual performance is compared with the desired or the standard
performance. The comparison tells the deviations in the performance of the
employees from the standards set. The result can show the actual performance
being more than the desired performance or, the actual performance being
less than the desired performance depicting a negative deviation in the
organizational performance. It includes recalling, evaluating and analysis of
data related to the employees’ performance.

5)Discussing the results:

The result of the appraisal is communicated and discussed with the

employees on one-to-one basis. The focus of this discussion is on
communication and listening. The results, the problems and the possible
solutions are discussed with the aim of problem solving and reaching
consensus. The feedback should be given with a positive attitude as this can
have an effect on the employees’ future performance. The purpose of the
meeting should be to solve the problems faced and motivate the employees to
perform better.

6)Decision making:

The last step of the process is to take decisions which can be taken either
to improve the performance of the employees, take the required corrective
actions, or the related HR decisions like rewards, promotions, demotions,
transfers etc.

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Methods of performance appraisal system:

The various methods and techniques used for Performance appraisal

can be categorized as the following traditional and modern methods:

Methods of performance Appraisal

• Ranking Method
• Grading Method • Management By
• Paired Comparison Objectives(MBO)
Method • Behaviorally
• Forced choice Anchored Rating
Method Scales(BARS)
• Forced • Assessment
Distributi0on Centers
Method • 360 degree
• Check List Method Appraisal
• Critical Incidents
Method

Fig 4.2 : Methods of performance Appraisal

(A)Traditional methods:

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 Traditionally, performance appraisal has been used as just a method
for determining and justifying the salaries of the employees. Than it began to
be used a tool for determining rewards (a rise in the pay) and punishments (a
cut in the pay) for the past performance of the employees.

This approach was a past oriented approach which focused only on the
past performance of the employees i.e. during a past specified period of time.
This approach did not consider the developmental aspects of the employee
performance i.e. his training and development needs or career
developmental possibilities.

Some of the Traditional methods are

 Ranking Method

 Grading Method

 Paired Comparison Method

 Forced-Choice Method

 Forced Distribution Method

 Check- List Method

 Critical Incidents Method

1) Ranking Method:

It is the oldest and the simplest method of performance appraisal. It is

systematic in nature. In this method, each individual employee is concerned
with all others and is placed in simple rank order of worth. The employees are
ranked from the highest to the lowest or from the best to worst.

The main limitations of this methods are:

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 • It does not specify how much one individual is better then the other.

• This method is difficult when there are large number of employees.

2) Grading Method:

In this method, certain well defined grades are established in advance.

Generally, three different grades are used_ Outstanding, Satisfactory and
Unsatisfactory. Employee performance is compared with the defined grades
and each employee is allotted a grade that best describes his/her performance.
The main limitation of this method is that the rater may rate most of the
employees on the higher side of their performance.

3) Paired Comparison method:

In this method, each individual employee is compared with other

employees on one-on-one basis i.e., usually based on the trait only. The rater is
given a much of slips each containing a pair of names, the rater ticks against
the employee whom he considers the better of the two. The number of times
this employee is compared as better that determines his/her final rankings.

4) Forced choice Method:

J.P. Guilford developed this method. This method contains a series of

statements and the rater rates how effectively a statement describes each
individual being evaluated. The main limitation of this method is that it takes
a lot of time and effort to construct several evaluating statements.

5) Forced Distribution Method:

Tiffen developed this method. In this method, it is assumed that

employee performance level confirms to a normal statistical distribution.

The advantages of this method are:

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 • It is simple to understand and easy to apply.

• It is useful for rating large number of employees.

• It tends to eliminate and reduce bias.

6) Check List Method:

In this method, a series of questions with their answers ‘Yes’ or ‘No’ are
prepared by the HR department and are given to the rater to tick appropriate
answer relevant to the appraise. Each question carries a weightage in
relationship to the importance. After the checklist is completed, HR
department prepares the final scores for all appraises based on all questions.
The main drawback of this method is that it is difficult to assemble, analyze
and weight a number of statements about employee characteristics and
contributions.

7) Critical Incidents Method:

In this method, the rater emphasizes on those key behaviors that make
the difference between performing a job in net worthy manner . in this
method, the employees performance is appraised in three basic steps.

Preparing a list of net worthy on-the-job behavior of specific incidents

Group of experts assigning weightage to these incidents, depending on their

degree of desirability to perform a job. Finally, constructing a check list
indicating incidents describing workers as ‘Good’ or “Bad’. Then, the check-list
is given to the rater to evaluate the worker.

Finally, The primary concern of the traditional approach is to judge the

performance of the organization as a whole by the past performances of its
employees. Therefore, this approach is also called as the overall approach. In

78
1950s the performance appraisal was recognized as a complete system in
itself and the Modern Approach to performance appraisal was developed.

(B)Modern methods:

The modern approach to performance development has made the

performance appraisal process more formal and structured. Now, the
performance appraisal is taken as a tool to identify better performing
employees from others, employees’ training needs, career development paths,
rewards and bonuses and their promotions to the next levels.

Appraisals have become a continuous and periodic activity in the

organizations. The results of performance appraisals are used to take various
other HR decisions like promotions, demotions, transfers, training and
development, reward outcomes. The modern approach to performance
appraisals includes a feedback process that helps to strengthen the
relationships between superiors and subordinates and improve
communication throughout the organization.

The modern approach to Performance appraisal is a future oriented

approach and is developmental in nature. This recognizes employees as
individuals and focuses on their development. Some of the modern methods
are

 Management By Objectives(MBO)

 Behaviorally Anchored Rating Scales(BARS)

 Assessment Centers

 360- Degree Appraisal

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1) Management By Objectives(MBO):

Management By Objectives method was developed by Peter. F.

Drucker in 1954. According to him MBO is a process whereby the superiors
and subordinate managers of an organization jointly identifies its common
goals, define each individual’s major areas of responsibility in terms of results
expected from him and use these measures as guides for operating the unit
and assessing the contributions of each of its members. An MBO programme
mainly involves four steps. Goal setting, Performance Standard, comparison
and period reviews.

2) Behaviorally Anchored Rating Scales(BARS):

It is developed during 1960’s. These are descriptions of various

degrees of behavior with regard to a specific performance dimension. It
contains the functions of narratives, critical incidents and quantified rating by
anchoring a quantified scale with specific behavioral examples of good or poor
performance.

The following steps are followed in developing Behaviorally Anchored Rating

Scales(BARS).

• Generating the critical incidents

• Developing performance dimensions

• Reallocating the incidents

• Scaling the incidents

• Finally, developing the BARS instrument.

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The advantages of BARS method when compared to traditional methods is
that it is accurate, clearer standard, better feedback and consistency in
evaluation.

3) Assessment Centers:

The concept of Assessment centre is of recent origin in India. The

assessment canters are mainly used for evaluating the performance and
potentials of executives and supervisors. In this method, the executives and
supervisors are come together to participate in a well-designed stimulated
exercises. They are assessed by the senior managers, Psychologists and HR
specialists for 2-3 days. After recording the employee’s behavior, the raters
communicate the information with them. At the end of the process, feedback
in terms of strengths and weaknesses is also provided to the employee.

4) 360-degree Appraisal:

The 360-degree appraisal method was first developed and used by

General Electric Company of USA in 1992. Today, the Indian companies like
wipro corporation, Infosys, Reliance industries ,Thermax, etc., follow his
method. in this method, an employee is appraised by his supervisors, sub-
ordinates, peers and customers with whom he interacts in the course of his
job performance.

Purpose of performance appraisal system:

Performance Appraisal is being practiced in 90% of the

organisations worldwide. Self-appraisal and potential appraisal also form a
part of the performance appraisal processes.

Typically, Performance Appraisal is aimed at:

 To review the performance of the employees over a given period of time.

81
  To judge the gap between the actual and the desired performance.

 To help the management in exercising organizational control.

 To diagnose the training and development needs of the future.

 Provide information to assist in the HR decisions like promotions,

transfers etc.

 Provide clarity of the expectations and responsibilities of the functions

to be performed by the employees.
 To judge the effectiveness of the other human resource functions of the

organization such as recruitment, selection, training and development.

 To reduce the grievances of the employees.

 Helps to strengthen the relationship and communication between

superior – subordinates and management – employees.

According to a recent survey, the percentage of organisations (out of

the total organisations surveyed i.e. 50) using performance appraisal for the
various purposes are as shown in the diagram below:

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 Fig 4.3 : purpose of performance appraisal system

The most significant reasons of using Performance appraisal are:

• Making payroll and compensation decisions – 80%

• Training and development needs – 71%

• Identifying the gaps in desired and actual performance and its cause –
76%

• Deciding future goals and course of action – 42%

• Promotions, demotions and transfers – 49%

• Other purposes – 6% (including job analysis and providing superior

support, assistance and counseling)

Challenges of performance appraisal system:

An organization comes across various problems and challenges Of

Performance Appraisal in order to make a performance appraisal system
effective and successful. The main Performance Appraisal challenges
involved in the performance appraisal process are:

83
Determining the evaluation criteria:

Identification of the appraisal criteria is one of the biggest problems

faced by the top management. The performance data to be considered for
evaluation should be carefully selected. For the purpose of evaluation, the
criteria selected should be in quantifiable or measurable terms

Create a rating instrument :

The purpose of the Performance appraisal process is to judge the
performance of the employees rather than the employee. The focus of the
system should be on the development of the employees of the organization.

Lack of competence :
Top management should choose the raters or the evaluators carefully.
They should have the required expertise and the knowledge to decide the
criteria accurately. They should have the experience and the necessary training
to carry out the appraisal process objectively.

 Errors in rating and evaluation :

Many errors based on the personal bias like stereotyping, halo effect (i.e.
one trait influencing the evaluator’s rating for all other traits) etc. may creep in
the appraisal process. Therefore the rater should exercise objectivity and
fairness in evaluating and rating the performance of the employees.

Resistance:
The appraisal process may face resistance from the employees and the
trade unions for the fear of negative ratings. Therefore, the employees should
be communicated and clearly explained the purpose as well the process of
appraisal. The standards should be clearly communicated and every
employee should be made aware that what exactly is expected from him/her.

84
Effects of Performance Appraisal system:

There seems to be an ongoing debate as to the value of doing employee

performance appraisals. Anyone who has given or received a performance
appraisal could argue vehemently as to the effectiveness and sensibility of
doing them.

So what is a performance appraisal?

A performance appraisal is an evaluation of job performance over a

period of time. It is basically an annual report card on an employee and how
they performed over the prior year.

Unfortunately not all performance appraisal processes are the same and
some are designed to not only fail, but to create a negative experience for both
the employee and the manager.

So why do organizations do performance appraisals?

There are different schools of thought on this. Some organizations do

performance appraisals out of their understanding of obligation to perform
the dreaded task. Some do it so they have a piece of paper in the file. But
successful organizations have learned to do them strategically as part of a
larger performance management process.

Advantages of doing performance appraisals:

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  As Performance appraisal is an objective, systematic and periodical
evaluation of staff performance, it therefore enhance the reliability of
the company’ staff selection/ assessment procedure and policy
 Staff is more motivated to learn and grow under this performance
appraisal methodology.
 Enable the assessment of the present and future potential of staff and
determines the training and development needs
 Enable management in better decision making and planning of
manpower ensure the effective and judicious use of resources.
 It acts a tool for job enrichment, promotion, salary increment, career
planning, training and development and manpower planning.
 They provide a record of performance over a period of time.
 They provide an opportunity for a manager to meet and discuss
performance with an employee.
 Provide the employee with feedback about their performance and
how they completed their goals.
 Provide an opportunity for an employee to discuss issues and to
clarify expectations with their manager.
 Offer an opportunity to think about the upcoming year and develop
employee goals.
 Can be motivational with the support of a good reward and
compensation system.

Disadvantages of performance appraisal system:

• If not done appropriately, can be a negative experience.

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 • Are very time consuming, especially for a manager with many
employees.
• Are based on human assessment and are subject to rater errors and
biases.
• If not done right can be a complete waste of time.
• Can be stressful for all involved.

Finally a performance appraisal is only as good as the performance

management system it is part of. If an organization merely does performance
appraisals for the sake of doing them, they are wasting their time. But if they
strategically incorporate performance management into their strategic plan to
implement business goals, they will provide a process to accomplish those
goals.

History of Performance Appraisal system:

The history of performance appraisal is quite brief. Its roots in the early
20th century can be traced to Taylor's pioneering Time and Motion studies.
But this is not very helpful, for the same may be said about almost everything
in the field of modern human resources management.

As a distinct and formal management procedure used in the evaluation

of work performance, appraisal really dates from the time of the Second World
War - not more than 60 years ago.

Yet in a broader sense, the practice of appraisal is a very ancient art. In

the scale of things historical, it might well lay claim to being the world's second
oldest profession!

There is, says Dulewicz (1989), "... a basic human tendency to make
judgements about those one is working with, as well as about oneself."

87
Appraisal, it seems, is both inevitable and universal. In the absence of a
carefully structured system of appraisal, people will tend to judge the work
performance of others, including subordinates, naturally, informally and
arbitrarily.

The human inclination to judge can create serious motivational, ethical

and legal problems in the workplace. Without a structured appraisal system,
there is little chance of ensuring that the judgements made will be lawful, fair,
defensible and accurate.

Performance appraisal systems began as simple methods of income

justification. That is, appraisal was used to decide whether or not the salary or
wage of an individual employee was justified.

The process was firmly linked to material outcomes. If an employee's

performance was found to be less than ideal, a cut in pay would follow. On the
other hand, if their performance was better than the supervisor expected, a
pay rise was in order.

Little consideration, if any, was given to the developmental possibilities

of appraisal. If was felt that a cut in pay, or a rise, should provide the only
required impetus for an employee to either improve or continue to perform
well.

Sometimes this basic system succeeded in getting the results that were
intended; but more often than not, it failed.

For example, early motivational researchers were aware that different

people with roughly equal work abilities could be paid the same amount of
money and yet have quite different levels of motivation and performance.

88
 These observations were confirmed in empirical studies. Pay rates were
important, yes; but they were not the only element that had an impact on
employee performance. It was found that other issues, such as morale and
self-esteem, could also have a major influence.

As a result, the traditional emphasis on reward outcomes was

progressively rejected. In the 1950s in the United States, the potential
usefulness of appraisal as tool for motivation and development was gradually
recognized. The general model of performance appraisal, as it is known today,
began from that time.

Modern Appraisal:

Performance appraisal may be defined as a structured formal

interaction between a subordinate and supervisor, that usually takes the form
of a periodic interview (annual or semi-annual), in which the work
performance of the subordinate is examined and discussed, with a view to
identifying weaknesses and strengths as well as opportunities for
improvement and skills development.
In many organizations - but not all - appraisal results are used, either
directly or indirectly, to help determine reward outcomes. That is, the
appraisal results are used to identify the better performing employees who
should get the majority of available merit pay increases, bonuses, and
promotions.

89
 By the same token, appraisal results are used to identify the poorer
performers who may require some form of counseling, or in extreme cases,
demotion, dismissal or decreases in pay. (Organizations need to be aware of
laws in their country that might restrict their capacity to dismiss employees or
decrease pay.)
Whether this is an appropriate use of performance appraisal - the
assignment and justification of rewards and penalties - is a very uncertain and
contentious matter.

HR activities in Efftronics Systems Pvt Ltd.

CONTINOUS LEARNING:

Efftronics follows the principle “Learning Never Ends”. For the same, it
is ensured that. Knowledge flows across the organization and every employee
has access to it. Every Employee can develop his knowledge by participating in
the training programs. Experimenting their own ideas under supervision.

HRD at Efftronics

HR General HR HR Training
Recruitment

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 Fig 4.4 : HRD at Efftronics

HRD at Efftronics:

HR General:

The activities of this department are promotion and transfer of

employee scheme and social security measure, payroll, grievance handling and
maintaining good industry relations. Where all the general requirements of
Employees like food, Uniform, Salary, Leaves, and Grievances if any are dealt.

HR Recruitment:

Handles recruitment for new, vacant or both positions. Also includes

placement and probation. Where the man power is given to the concerned
required departments when in need by the recruitment team.

CONCEPT OF RECRUITMENT

Byers & Rue define recruitment as “the process of seeking and

attracting a pool of people from which qualified candidates for job vacancies
can be chosen”. According to Edwin B. Flippo, “Recruitment is the process of
searching for prospective employees and stimulating them to apply for jobs
in the organizations”. Effectively, recruitment is the process of getting the
right kind of people to apply for the vacancies in an organization.

Though employment, recruitment and selection are used

interchangeably, technically all the three have different meanings. In fact,
recruitment and selection together constitute employment. Recruitment, as a

91
process, starts with identification of the need for human resources and ends
with getting the prospective employees to apply for the vacancies available.
Figure describes the process of recruitment. Selection starts where
recruitment ends and deals with choosing the right candidates and getting
the best job-fit.

The recruitment efforts and the costs involved are generally in

proportion to the criticality of the vacant position and the urgency of the
need.

FACTORS AFFECTING RECRUITMENT

All organizations, whether large or small, do engage in recruiting

activity, though not to the same extent. This differs with: (I) the size of the
organization; (ii) the employment conditions in the community where the
organization is located; (iii) the effects of past recruiting efforts which show
the organization’s ability to located and keep good performing people; (iv)
working conditions and salary and benefit packages offered by the
organization ---which may influence turnover and necessitate future
recruiting; (v) the rate of growth of organization; (vi) the level of seasonality of
operations and future expansion and production programmers and (vii)
cultural, economic and legal factors, etc.Factors governing recruitment may
broadly be divided as internal and external factors.

The internal factors are:

(i) Recruiting policy of the organization;

(ii) Human resource planning strategy of the company;
(iii) Size of the organization and the number of employees employed;
(iv) Cost involved in recruiting employees, and finally;
(v) Growth and expansion plans of the organization.
The external factors are:

92
 (i) Supply and demand of specific skills in the labor market;
(ii) Political and legal considerations such as reservation of jobs for SCs,
STs, and so on.
(iii) Company’s image-perception of the job seekers about the company.
SELECTION:

CONCEPT OF SELECTION:

The process of choosing the most suitable candidate for a job from
among the available applicants is called selection. It is the process of
ascertaining the qualifications, experience, skill, knowledge, etc, of an
applicant with the purpose of determining his suitability for a job. The
selection process starts with gathering complete information about applicant
from his application form and ends with inducting the candidate into the job.

SELECTION PROCESS:

Resumes/CVs Review

Initial Screening
Interview

Analyze the
Application Blank

Conducting Tests and

Evaluating Performance

Initial Screening
Interview

Core and Departmental

Interview

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 Reference Checks

Job Offer

Medical Examination

Placement

Fig 4.5 :Selection Process

 HR Training:

The competencies of a newly joined person should be in that way that

he could be able to do his best to the job allotted to him. For that training
department is responsible. Also to improve the competencies of the existing
employees, training department is necessary.

HR Training Process:

 Assessing the competencies of personnel at periodical intervals.

 Identifying the method of Training

a. Classroom/Participative

b. Self Learning

c. On the Job Training

d. External Training

94
  Preparation of Training plan for the training to be imparted to the
personnel identified after assessing the competencies and also for the
new recruits to fulfill the assigned tasks effectively.

 Communicating the Training plan to concerned In-charges, Trainers,

Trainees.

 Training is imparted to the personnel.

 Maintain employee attendance and employee feedback for the training

imparted.

 Preparation of consolidation training report for every completed

training program after completion of all the assessments.

 If the results of training are found ineffective, then identify the causes
and take necessary corrective and preventive action after consulting
with top management.

Performance Appraisal in Efftronics:

The section in-charges of respective sections should build a record on

the overall performance of the personnel of their section and submit remarks
to HRD. The Employees also should keep details and present a self appraisal
at half yearly intervals.

• To judge the gap between the actual and the desired performance.

• To help the management in exercising organizational control.

95
• Helps to strengthen the relationship and communication between
superior – subordinates and management – employees.

• To diagnose the strengths and weaknesses of the individuals so as to

identify the training and development needs of the future.

• To provide feedback to the employees regarding their past

performance.

• Provide information to assist in the other personal decisions in the

organization.

• Provide clarity of the expectations and responsibilities of the

functions to be performed by the employees.

• To judge the effectiveness of the other human resource functions of

the organization such as recruitment, selection, training and development.

• To reduce the grievances of the employees.

DATA ANALYSIS
1. Salary details

No of % of
S.No Particulars Respondents Respondents
1 Less than Rs.5000 33 22
2 Rs.5000-Rs.10000 63 42
3 Rs.10000-Rs.15000 42 28
4 More than Rs.25000 12 8
Total 150 100

96
Interpretation:

From the above diagram, it is clear that out of 150 employees 22% of
employees are having salaries below 5000, 42% of employees are having
salaries between 5000 to 10000, 28% of employees are having between 10000to
15000 and remaining are having above 25000. Totally 36% of the employees
are above Rs.10000 salary.

It means the company has been giving the appropriate salaries to its
employees according to their performances.

2. Is there any performance appraisal system and

practices in your Organization?

S.No Particulars No of Respondents % of Respondents

1 Yes 132 88
2 No 9 6
3 Not sure 9 6
Total 150 100

97
Interpretation:

From the above diagram, it is clear that Efftronics is following

performance appraisal system for improving employees work towards in
achieving organization goals and objectives because 88% of employees feel that
their organization must follow performance appraisal system and practices in
their organization.

3. When performance appraisal is made in your organization?

No of % of
S.No Particulars Respondents Respondents
1 Monthly 6 4
2 Quarterly 9 6
3 Yearly 135 90
4 Others 0 0
Total 150 100

98
Interpretation:

From the above diagram, it is clear that out of 150 employees 90% of
employees agreed that the appraisal system is done annually in Efftronics. Due
to complexity of this process it is conducted yearly.

4. What is the objective of performance appraisal?

No of
S.No Particulars Respondents % of Respondents
1 Promotion 18 12
For training and
2 developmental needs 3 2
3 Pay rise 69 46
4 All the above 60 40

99
 Total 150 100

Interpretation:

From the above diagram, it is evident that out of 150 employees 46% of
employees agreed that performance appraisal is for pay rise and 12% is for
promotion and 2% is for training and developmental needs and remaining are
agreed for all the above. Like all the companies, Efftronics also implementing
the performance appraisal for the pay rise.

5. Who rates the performances?

S.No Particulars No of Respondents % of Respondents

1 Superiors 138 92
2 Subordinates 12 8
3 Clients 0 0
4 All 0 0
Total 150 100

100
Interpretation:

From the above diagram, it is evident that out of 150 employees 92% of
employees agreed that superiors are rating performance of employees and 8%
are agreed that subordinates are only rating.

It means that superiors are rating the employees performance, feedback is

given to them and motivating them towards work if necessary.

6. On what basis performance appraisal is made?

S.No Particulars No of Respondents % of Respondents

1 Total output 66 44
2 Behavioural efficiency 15 10
3 Both 69 46
Total 150 100

101
Interpretation:

From the above diagram, it is clear that out of 150 employees, 44% of
employees feel that only total output is necessary for evaluation, 10% of the
employees are for only behavioral efficiency and 46% of the employees feel
that both are important for evaluation of performance.

It means that both total output and behavioral efficiency are essential for
evaluating the performance of an individual in Efftronics.

7.Are you satisfied with the appraisal process of the organization?

S.No Particulars No of Respondents % of Respondents

1 Yes 117 78
2 No 33 22
Total 150 100

102
Interpretation:

From the above diagram, out of 150 employees 78% of the employees are
satisfied with the appraisal process of the organization and remaining 22% of
employees are not satisfied.

Hence it is clear that performance appraisal system is conducted

successfully in Efftronics because majority of employees are satisfied with this.

8. Is there any conflict arise between employees after

performance appraisal is Made?

No of
S.No Particulars Respondents % of Respondents
1 Frequently 9 6
2 Often 27 18
3 Sometimes 51 34
4 Never 63 42
Total 150 100

103
Interpretation:

From the above diagram, it is clear that out of 150 employees, 6% of the
employees are agreed that conflicts arises frequently between employees after
performance appraisal system is made, 18% of the employees feel that the
conflicts arises often and 34% of the employees feel that conflicts arises
sometimes and finally the remaining 42% of the employees feel that there are
no conflicts.

It means that performance appraisal system is conducted successfully in

the Efftronics because majority of the employees agreed that there are no
conflicts between the employees after performance appraisal is made.

9. Are there any job expectations established before

performance appraisal?

No of
S.No Particulars Respondents % of Respondents
1 Frequently 3 2
2 Often 30 20
3 Sometimes 60 40
4 Never 57 38
Total 150 100

104
Interpretation:

From the above diagram, it is clear that out of 150 employees, 2% of the
employees feel that job expectations are established frequently before
performance appraisal, 20% are feel that job expectations are established often,
40% are feel that sometimes the job expectations are established and remaining
38% feel that there are no job expectations established before performance
appraisal.

It means that in Efftronics the job expectations are established sometimes

before performance appraisal for motivating the employees towards
organization goals and objectives.

10.Which of the following appraisal system is suitable

for your organization?

S.No Particulars No of Respondents % of Respondents

Performance and Potential
1 Appraisal System 72 48
2 Team appraisal 24 16
3 Self appraisal 30 20
4 360 degrees appraisal 24 16
Total 150 100

105
Interpretation:

From the above diagram, it is clear that the appraisal system in Efftronics
is a performance and potential appraisal system.

Because 48% of the employees are agreed this. In this the manager
appraise the performances and potentials of the manages.performance is nothing
but achievement. The manager check whether they achieve their goals or not by
the appraisal mechanism.and the potential is the capability or ability of an
individual. The manager recognizes his/her potential through the appraisal
process and utilize that potential in special and developmental assignments.

11. Is 360 degree appraisal process undertaken in the

organization?

S.No Particulars No of Respondents % of Respondents

1 Yes 0 0
2 No 150 100
Total 150 100

106
Interpretation:

From the above diagram, it is clear that there is no 360 degree appraisal
in Efftronics because 100% of the employees agreed that only.

12.Does any change arise after appraising the

performances of

employees?

No of
S.No Particulars Respondents % of Respondents

107
 1 Yes 105 70
2 No 45 30
Total 150 100

Interpretation:

From the above diagram, it is clear that out of 150 employees, 70% of
the employees are agreed that there is a change happens after appraising the
performance of the employees and remaining 30% of the employees are not
agreed for that. The results of the change are shown in below graph.

If yes, how is it?

S.No Particulars No of Respondents % of Respondents

1 Positive 42 40
2 Negative 15 14
3 Both 48 46
Total 105 100

108
Interpretation:

From the above diagram, it is clear that out of 105 employees, 40% of the
employees agreed that change results positively,14% of the employees feel that
the change results negatively and remaining are agreed for both.

It means that performance appraisal system in Efftronics results as both

positively and negatively effects the employees.

13..Does performance appraisal process help to raise

organization’s total output?

S.No Particulars No of Respondents % of Respondents

1 Yes 108 72
2 No 42 28
Total 150 100

109
Interpretation:

From the above diagram, it is clear that out of 150 employees 72% of the
employees feel that the performance appraisal process help to raise
organization’s total output and remaining 28% of the
employees are not agreed for that.

The satisfaction levels of the employees towards

organizational total output are shown in below graph.

If yes, to what extend?

S.No Particulars No of Respondents % of Respondents

1 poor 0 0
2 So so 3 3
3 Moderate 42 39
4 Good 54 50
5 Best 9 8
Total 108 100

110
Interpretation:

From the above diagram, it is clear that out of 105 employees 3%of the
employees agreed that the satisfaction levels are so so, 39% of the employees
feel that the satisfaction levels are moderate,50% of the employees feel it is
good and remaining of the employees feel it is best.

Finally, It means that the satisfaction levels towards total output is good.

14. Do you feel performance appraisal process is

sufficient in appraising the performances of employees
or you need some alternatives to it?

S.No Particulars No of Respondents % of Respondents

1 Sufficient 126 84
2 Alternative 24 16
Total 150 100

111
Interpretation:

From the above diagram, it is clear that out of 150 employees 84% of the
employees agreed that the process of performance appraisal system is sufficient
for appraising the performance of employees and remaining of the employees
need some alternatives for the performance appraisal process.

15. Do you think Performance Counseling is an effective method for

improving Performance?

No of
S.No Particulars Respondents % of Respondents
1 Strongly Agree 6 4
2 Agree 72 48
3 Disagree 63 42
4 Strongly Disagree 9 6
Total 150 100

112
Interpretation:

From the above diagram, it is clear that out of 150 employees 4% of the
employees strongly agreed that performance counseling is an effective method
for improving performance, 48% of the employees agreed that it is an effective
method where as 42% of the employees disagreed and remaining 6% of the
employees strongly disagreed for that.

It is clear that majority of the employees agreed that performance

counseling is an effective method for improving performance.

16. Does Performance Appraisal help in creating an effective work

environment and create positive relationship?

No of
S.No Particulars Respondents % of Respondents
1 Strongly Agree 51 34
2 Agree 87 58
3 Disagree 12 8
4 Strongly Disagree 0 0
Total 150 100

113
Interpretation:

From the above diagram, it is clear that out of 150 employees58% of the
employees agreed that performance appraisal help in creating effective work
environment and create positive relationship , 34% of the employees strongly
agreed for that and remaining 8% of the employees disagreed for that.

Hence, it is clear that in Efftronics there is an effective work environment

and positive relationships between the employees by conducting performance
appraisal successfully.

17.Awareness programs regarding performance appraisal system should be

conducted periodically?

S.No Particulars No of Respondents % of Respondents

1 Strongly Agree 45 30
2 Agree 96 64
3 Disagree 9 6
4 Strongly Disagree 0 0
Total 150 100

114
Interpretation:

From the above diagram, it is clear that out of 150 employees 64 % of

the employees agreed that the awareness programs regarding performance
appraisal system are conducted periodically, 30% of the employees are strongly
agreed for that an remaining 6% of the employees are disagreed for that.

It is clear that awareness programs regarding performance appraisal

system should be conducted periodically in Efftronics which leads to increasing
performance of the employees for their organization goals and objectives.

18.Does performance appraisal system help to management to identify

strengths and weaknesses of individuals?

S.No Particulars No of Respondents % of Respondents

1 Yes 96 64
2 No 54 36
Total 150 100

115
Interpretation:

From the above diagram, it is clear that out of 150 employees 64% of the
employees agreed that the performance appraisal system help to management to
identify strengths and weaknesses of individuals and remaining 36% of the
employees are not agreed for that. During the process of performance appraisal
the management know about the strengths and weakness of the employees.
These are helpful to them to identify the training needs and also for recognizing
the potentials of the employees.

19)Is the present appraisal system helpful in achieving your organization

goals and objectives?

S.No Particulars No of Respondents % of Respondents

1 Yes 111 74
2 No 39 26
Total 150 100

116
Interpretation:

From the above diagram, it is clear that out of 150 employees 74% of the
employees agreed that present appraisal system helpful in achieving
organization goals and objectives and remaining 26% of the employees are not
agreed for that. The appraisal system helps to provide proper communication for
communicating the goals and objectives of an organization.

20)Give your opinion on the overall performance appraisal system followed

in your organization

S.No Particulars No of Respondents % of Respondents

1 Excellent 0 0
2 Good 45 30
3 Average 102 68
4 Poor 3 2
Total 150 100

117
Interpretation:

From the above diagram, it is clear that out of 150 employees 68% of
the employees opined that the performance appraisal system is average and
remaining 30% of the employees opined that the system is good, remaining of
the employees agreed that it is poor..

It means that the performance appraisal system followed in Efftronics is

average.

FINDINGS AND SUGGESTIONS

In this chapter an attempt is made to present the findings of the study.
In addition to these findings some suggestions are also offered to make the
“Performance Appraisal System” more meaningful in the organisation under
study.

FINDINGS OF THE STUDY:

• It is clear that the management is giving the appropriate salaries to its

employees according to their performances.

118
• It is identified from the study that the company is following
performance appraisal system for improving employees work towards in
achieving organization goals and objectives.

• It is clear from the study that the performance appraisal system is

done annually in Efftronics, Vijayawada.

• It is found that like all the companies, Efftronics also implementing

the performance appraisal for the pay rise.

• The results of the study revealed that in Efftronics, superiors are

rating the employees performance, feedback is given to them and
motivating them towards work if necessary.

• The study disclosed that the evaluation of performance should be

based on both total output and behavioral efficiency.

• From the study it is clear that performance appraisal system is

conducted successfully in Efftronics because the employees in the
organization are satisfied with the appraisal process of the organization.

• It is found from the study that there are no conflicts between the
employees after performance appraisal is made.

• It is also found from the study that the job expectations are
established sometimes before performance appraisal for motivating the
employees towards organization goals and objectives.

• The study indicated that the present appraisal system in Efftronics is

a performance and potential appraisal system.

• From the study it is clear that 360 degree appraisal system are not
undertaken in the organization.

119
• It is evident from the study that the appraising of the performances of
the individuals leads to some changes in the organization. The changes are
both positive and negative which will effect the employees.

• The survey identified that the process of performance appraisal

system helps in raising organization total output.

• It is also found that the satisfaction levels of employees towards

organization total output is good.

• The study disclosed that the process of performance appraisal system

is sufficient for appraising the performance of employees.

• The survey also stated that the employees are need some alternatives
for appraising the employees performance i.e., the employees of the
company requires some standard formats for appraising and they stated
that overall output has to be considered for appraising the performance.

• It is clear from the study that performance counseling is an effective

method for improving performance.

• The study disclosed that performance appraisal system helps to build

positive relationships between the employees and also create an effective
work environment.

• It is found from the study that awareness programs regarding

performance appraisal system should be conducted periodically in
Efftronics which leads to increasing performance of the employees for their
organization goals and objectives.

• It is found from the study that the performance appraisal system

helps the management to identify the strengths and weakness of the
individuals.

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• It is clear from the study that the present appraisal system is helpful
in achieving organization goals and objectives.

• It is found from the study that the organization having an excellent

performance appraisal system.

SUGGESTIONS:

The strength of any organization is its “Human Resources”, so in order

to change human resources into valuable assets; performance appraisal
system is helping so much to the organization.

Organization goals can be achieved when people put in their best efforts.
Employee assessment is one of the fundamental jobs of HRM, but it is not an
easy task, unless we know the strength and weakness of the employee. And
also specify the areas of the growth, but it is difficult to predict the executive
programs. An effective performance appraisal system reduced the change
happening and introduces rationality into the management.

The appraisal in whatever form carried at various levels, with a view to identify
the areas that can be improved, removed any determines and irritants, identify

121
training needs, recognize individual potentials/strengths, weaknesses,
promotions or transfers. Keeping in view of the above findings, the following
suggestions are made for the improvement of the performance appraisal
system in the organization under study.

• The organization should provide dyadic communication between the

superior and subordinate why because the communication acts as a key role
in every organization without that no one can work efficiently and
effectively. With this dyadic communication the managee expresses their
feelings and emotions freely and openly with the manager. It ultimately
leads to solve the problems of the employees and improve their
performance.

• A necessary feedback after the appraisal process should be provided

to the employees so that they would know the areas in which they need
development. In this process more training programs should be conducted
to produce trained employee for better performance.

• Since it is observed that the self appraisal system is applicable to

higher level employees only but it must be introduced to the lower level
employees, workman supervisor and for other coders also. Due to that they
know their potential, strength and weakness and try to overcome those
weaknesses if they found otherwise they improve their potential to get
promotions, rewards, incentives etc.

• The organization should motivate the employees, by providing

monetary and non-monetary benefits.

• Behavioral efficiency also has to be considered for apparising.

• Arranging a team for appraisal system is better.

122
• The appraisal system should be updated, since long back the same
checklist method is followed.

• The appraisal system are not up to the mark. It is better to adopt

some other method rather than checklist method.

• The appraisal process should be different according to the

department requirements.

• The organization should conduct formal or official meetings

frequently and give a chance to the managees to express their views, ideas
and suggestions.

• The organization should involve employees in goal setting process

and it must communicate the vision, mission, goals and objectives of the
organization to the employees. With that they work for the fulfillment of
those aspects.

• The organization should avoid the conflicts with the discussions

which are raised in performance appraisal process. These must be solved at
the initial state itself otherwise leads to strikes and lockouts.

• The appraisal system should recognize the potential of the employees

and provide career planning opportunities and also provide training and
developmental programmes for utilizing those opportunities.

• The organization should mentor the employees with the counseling; if

it finds the employee is not up to the mark as per the ratings of the
appraisal.

• Finally, the organsation should provide necessary resources to the

employees for achieving the goals of an organization.

123
 BIBLIOGRAPHY

Title of the books:

 Personnel Management, C.B.Memoria, Himalaya Publishing House

 Essentials of Human Resource Management & Industrial

Relations, P.Subba Rao, Himalaya Publishing House

124
  Human Resource and Personnel Management, K.Ashwattappa,

Tata McGraw Hill Publishing Co.limited

 Personnel Management, Arun Monappa, Tata McGraw Hill

Publishing Co.limited

Web sites:

 www.google.com
 www.wikipedia.com
 www.efftronics.com

QUESTIONNAIRE

Project Researcher Project Guide

K.Kiranmayi P. Rama Devi

Student of MBA (HR) Asst. Professor

(Reg No: 08s21E0013) MBA, B.tech.

P G Department of Business Administration

Nova college of Engineering and
Technology for women, Jupudi
Ibrahimpatnam-521456

125
 For the purpose of project this questionnaire is designed to collect from
employees of Efftronics, Vijayawada. Information which will be kept
confidential. Your cooperation is sought by provision of accurate information.

SECTION-A: IDENTIFICATION AND PROFILE OF THE EMPLOYEE

Name:

Designation:

Age:

Experience in EFTRONICS:

Department:

SECTION-B: PROCESS OF PERFORMANCE APPRAISAL

SYSTEM

1. Salary

a) Less than Rs.5000 b) Rs.5000-Rs.10000

c) Rs.10000-15000 d) More than Rs.25000

2. Is there any performance appraisal system and practices in your

Organization?

a) Yes b) No c) Not sure

126
3. When performance appraisal is made in your organization?

a) Monthly b) Quarterly c) Yearly d) Others

4. What is the objective of performance appraisal?

a) Promotion b) Assessing training and development needs

c).Pay rise d) others

5. Who rates the performances?

a) Superiors b) Subordinates c) Clients d) All

6. On what basis performance appraisal is made?

a) Total output b) Behavioral efficiency c) Both

7. Are you satisfied with the appraisal process of the organization?

a) Yes b) No

8. Is there any conflict arise between employees after

performance appraisal is Made?

a) Frequently b) Often c) Sometimes d) Never

9. Are there any job expectations established before

performance appraisal?

a) Frequently b) Often c) Sometimes d) Never

127
10. Which of the following appraisal system is suitable
for your organization?

a) Performance and Potential Appraisal System

b) Team appraisal

c) Self appraisal

d) 360 degrees appraisal

11. Is 360 degree appraisal process undertaken in the

organization?

a) Yes b) No

If yes, from when?

a) Recently b) More than one year

c) Less than one year d) since t he inception of 360 degree

process.

12. Does any change arise after appraising the

performances of

Employees?

a) Yes b) No

If yes, how is it?

a) Positive b) Negative c) Both

13. Does performance appraisal process help to raise

organization’s total output?

a) Yes b) No

128
 If yes, to what extend?

Satisfaction level

a) Poor b)so so c)moderate d)good e)best

If no, give reasons and your suggestions to make it

better?

………………………………………………………………………………
……..

…………………………………………………………………………………
…..

…………………………………………………………………………………
…..

14. Do you feel performance appraisal process is

sufficient in appraising the

Performances of employees or you need some

alternatives to it?

a) Sufficient b) Alternative

If you need some alternatives, what kind of

alternative should be adopted?

Give your comments

.
……………………………………………………………………………………

………………………………………………………………………………
…….

………………………………………………………………………………
……..

129
15. Do you think Performance Counseling is an effective method for
improving Performance?

a) Strongly Agree b) Agree c) Disagree d) Strongly Disagree

16. Does Performance Appraisal help in creating an effective work

environment and create positive relationship?

a) Strongly Agree b) Agree c) Disagree d) Strongly Disagree

17. Awareness programs regarding performance apprialsal system should

be conducted periodically?

a) Strongly Agree b) Agree c) Disagree d) Strongly Disagree

18. Does performance appraisal system help to management to identify

strengths and weaknesses of individuals?

a) Yes b) No

19) Is the present appraisal system helpful in achieving your organization

goals and objectives?

a) Yes b) No

20) Give your opinion on the overall performance appraisal system

followed in your organization

a) Excellent b) Good c) Average d) Poor

130