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Effectiveness Of PAS Bal Pharma Ltd
M P Birla Institute Of Management
1
EFFECTIVENESS OF PERFORMANCE APPRAISAL IN
BAL PHARMA LTD
A DISSERTATION SUBMITTED IN PARTIAL
FULFILLMENT OF THE REQUIREMENTS FOR THE AWARD OF
MBA DEGREE OF
BANGALORE UNIVERSITY
SUBMITTED BY
SAROJA BHIMAYYA
Reg. No 04XQCM6079
UNDER THE GUIDANCE
OF
Prof. NANDINI VAIDYANATHAN
SENIOR PROFESSOR, MPBIM BANGALORE
M. P. BIRLA INSTITUTE OF MANAGEMENT
(ASSOCIATE BHARATIYA VIDYA BHAVAN)
#43, Race Course Road, BANGALORE 560001 (2006)
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DECLARATION
I hereby declare that, this Dissertation is entitled EFFECTIVENESS OF
PERFORMANCE APPRAISAL IN BAL PHARMA LTDis the result
of project work undertaken by me under the guidance and supervision of
Prof. Nandini Vaidyanathan, Professor, MPBIM, Bangalore, in partial
fulfillment of the requirements for the award of Degree of Master of
BusinessAdministration.
I further declare that this dissertation has not been submitted to any
University/Institute for the award of any degree/diploma or any other similar
title.
Place: Bangalore (SAROJA BHIMAYYA)
Date: 14th June, 2006
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ACKNOWLEDGMENT
I would like to express my sincere gratitude to my research guide Prof.
Nandini Vaidyanathan, Professor, M. P. Birla Institute of Management,Bangalore for her constant encouragement and guidance in the course of the
research investigation.
Further, I would also like to thank Prof. K V PRABHAKAR for his help in
completing the project. I have gained a lot of knowledge through out the
course of carrying out this project.
And also, I would like to thank Maj. Kulwant Singh GM HR & Admin and
Mrs. Mahalaxmi Asst. Manager HR (External Guide) in Bal Pharma Ltd for
their support and guidance for successfully completing the project. I have
gained a lot of knowledge through out the course.
I would also like to sincerely thank my family and friends and my colleagues
who have helped me in completing this project by providing me with the
academic support.
SAROJA BHIMAYYA
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CONTENT
ChapterTitle
Page
No
Executive Summary 2
1 Introduction
Background of the study
Performance Appraisal and its importance6
2 Company Profile
Performance Appraisal process in Bal Pharma
Ltd.20
3 Review of literature
Purpose of the review of literature
Methodology of the review of literature
Summary of Review of Literature
27
4 Research methodology
Problem Statement
Objectives of the Research
Type of Research
Sampling TechniqueSample size
Instrumentation techniques
Actual collection of data
Interpretation and analysis
Limitations of the research
34
5 Data Analysis and Interpretation38
6 Major Findings of Research 54
7 Recommendations57
8 Annexure61
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List of Tables
Table No Table Description Page No
1
Table showing employee service in the
company 38
2Table showing the responses for purpose of
PAS40
3 Table showing the rating officer for the PAS 41
4 Table showing coverage of parameters in PAS 42
5 Table showing coverage of parameters in PAS 43
6 Table showing coverage of parameters in PAS 447 Table showing coverage of parameters in PAS 45
8Table showing accurate evaluation of
Performance46
9Table showing preference of present rating
system47
10
Table showing assistance of the performance
parameters 48
11Table showing dependence of appraisal
system50
12Table showing scope of individual
development in the organization51
13 Table showing opinion about the suggestions 52
14 Table showing satisfaction of PAS 53
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List of Graphs
Table No Graph Description Page No
1 Graph showing employee service in the
company 38
2 Graph showing the responses for purpose of
PAS40
3 Graph showing the rating officer for the PAS 41
4 Graph showing coverage of parameters in
PAS42
5 Graph showing coverage of parameters inPAS
43
6 Graph showing coverage of parameters in
PAS44
7 Graph showing coverage of parameters in
PAS45
8 Graph showing accurate evaluation of
Performance 46
9 Graph showing preference of present rating
system47
10 Graph showing assistance of the performance
parameters48
11 Graph showing dependence of appraisal
system
50
12 Graph showing scope of individual
development in the organization51
13 Graph showing opinion about the suggestions 52
14 Graph showing satisfaction of PAS 53
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EXECUTIVE SUMMARY
The Indian Pharmaceutical Industry today is in the front rank of science-based industries
with wide ranging capabilities in the complex field of drug manufacture and technology.
A highly organized sector, the Indian Pharma Industry is estimated to be worth $ 4.5
billion, growing at about 12 to 18 percent annually. It ranks very high in the third world,
in terms of technology, quality and range of medicines manufactured. From simple
headache pills to sophisticated antibiotics and complex compounds, almost every type of
medicine is now made indigenously.
Bal pharma was incorporated on 19th May 1987 as a private limited company and it
commenced commercial production from 1992. Bangalore based pharmaceuticalcompany engaged in manufacturing and R&D of pharmaceutical products Also quoted on
BSE. Mr.Shailesh Siroya, heads the company by playing an active role as the Managing
Director of the company and steering it to better levels of profitability, quality, and
perfection..
Human Resource Management is a management function that helps managers to Recruit,
Select, Train and Develop members for an organization. Performance appraisal may be
understood as the assessment of an individuals performance being measured against
such factors as job knowledge, quality and quantity of output, initiative, leadership
abilities, supervision, dependability, co-operation, judgment, versatility, health and the
like.
The Performance Appraisal System needs to be very transparent and helpful both to the
employees and to the organization. The need is to get a feedback from appraisers andappraisee, working in the organization, about the current state of the PAS. Only after
analyzing the current state of PAS, the human resource managers can go to the next step
of improvements in PAS. A survey is therefore required.
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A study was undertaken to ascertain the views/opinions of the Raters and Ratees working
in the company and to suggest appropriate modifications about the existing PAS.
Structured questionnaire was prepared and discussed personally with the respondents to
get their responses. The sample size will be restricted to 50 executives chosen on random
sampling method.
The findings indicate that the executives in general, the raters and the ratees are very well
aware of the appraisal system followed in the company. The knowledge about the
appraisal system is also found to be satisfactory. But there exists a performance related
communication gap between the appraiser and the appraisee. The responses of the raters
show that they encounter problems with the standards of evaluation. It was also found
that appraisees dont get timely feedback from their appraisers. Training/counseling was
provided occasionally to the ratees to improve their performance.
A suitable recommendation needs to be provided in this front. Incorporating a suitable
modification in the existing performance appraisal system can reduce the problems faced
by the raters and ratees. The following recommendations are made:
The training interventions should be more frequent, there should be system for more
frequent feed back on employee performance and appraisal process and Introduction of
360-degree appraisal system.
.
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INTRODUCTION
Background of the Study
Human Resource Management is a management function that helps managers to Recruit,
Select, Train and Develop members for an organization. HRM is concerned with the
peoples dimension in organizations. HRM is a series of integrated decisions that form
the employment relationship, their quality contributes to the ability of the organizations
and the employees to achieve their objective. Since every organization is made up of
people, acquiring their services, developing their skills, motivating them to higher levels
of performance and ensuring that they continue to maintain their commitment to the
organizational objectives. This is true, regardless of the type of organization whether
government, business, education, health, recreation, or social organization. Thus, HRM
refers to a set of programme; functions and activities designed and carried out in order to
maximize both employees as well as organizational effectiveness.
Objectives of HRM
The primary objective of HRM is to ensure the availability of a competent and willing
workforce to an organization. Beyond this, there are other objectives, too.
Specifically, HRM objectives are of four fold:
1. Societal
2. Functional
3. Organizational
4. Personal
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HRM objectives - Supporting Functions
1. Societal Objectives Legal Compliance
BenefitsUnion Management relations
2. Organizational Objectives Human resource planning
Employee relations
Selection
Training and Development
Appraisal
Placement
Assessment
3. Functional Objectives Recruitment and selection
Appraisal
Placement
Assessment
Training and Development
4. Personal Objectives Personal growth
Learning
Placement
Compensation
Assessment
Job-Satisfaction
Recognition
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PERFORMANCE APPRAISAL
The History of Performance Appraisal
Its roots in the early 20th century can be traced to Taylor's pioneering Time and Motion
studies. But that was 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 judgments about
those one is working with, as well as about oneself." 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 judgments made will be lawful, fair, defensible and accurate.
Performance appraisal systems began as a simple method 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 were
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.
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Little consideration, if any, was given to the developmental possibilities of appraisal. It
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.
Objectives of performance Appraisal
Data relating to performance assessment of employees are recorded, stored, and used for
several purposes. The main purposes of employee assessment are:
To effect promotions based on competence and performance To confirm the services of probationary employees upon their completing the
probationary period satisfactorily.
To assess the training and developmental needs of employees. To decide upon a pay raise where (as in the unorganized sector) regular pay scales
have not been fixed.
To let the employees know where they stand in so far as their performance isconcerned and to assist them with constructive criticism and guidance for the
purpose of their development.
To improve communication. Performance appraisal provides a format fordialogue between the Superior and the subordinate, and improves understanding
of personal goals and concerns. This can also have the effect of increasing the
trust between the rater and the ratee.
Finally, performance appraisal can be used to determine whether HR programmessuch, as selection, training and transfers have been effective or not.
Modern Appraisal
Performance appraisal may be defined as a structured formal interaction between asubordinate 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.
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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.
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. Whether this is an appropriate use of performance appraisal - the assignment and
justification of rewards and penalties - is a very uncertain and contentious matter.
Basic Purposes
Effective performance appraisal systems contain two basic systems operating in
conjunction: an evaluation system and afeedback system. The main aim of the evaluation
system is to identify the performance gap (if any). This gap is the shortfall that occurs
when performance does not meet the standard set by the organization as acceptable. The
main aim of the feedback system is to inform the employee about the quality of his or her
performance. (However, the information flow is not exclusively one way. The appraisers
also receive feedback from the employee about job problems, etc.)
One of the best ways to appreciate the purposes of performance appraisal is to look at it
from the different viewpoints of the main stakeholders: the employee and the
organization.
Employee Viewpoint:
From the employee viewpoint, the purpose of performance appraisal is four-fold:
1. Tell me what you want me to do2. Tell me how well I have done it3. Help me improve my performance4. Reward me for doing well.
(From Cash, 1993)
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Organizational Viewpoint:
From the organization's viewpoint, one of the most important reasons for having a system
of performance appraisal is to establish and uphold the principle of accountability. For
decades it has been known to researchers that one of the chief causes of organizational
failure is "non-alignment of responsibility and accountability." Nonalignment occurs
where employees are given responsibilities and duties, but are not held accountable for
the way in which those responsibilities and duties are performed. What typically happens
is that several individuals or work units appear to have overlapping roles.
The overlap allows - indeed actively encourages - each individual or business unit to
"pass the buck" to the others. Ultimately, in the severely non-aligned system, no one is
accountable for anything. In this event, the principle of accountability breaks down
completely. Organizational failure is the only possible outcome.
Formal versus Informal appraisal
Formal appraisals usually occur at specified time periods-once or twice a year. Formal
appraisals are most often required by the organization for the purpose of employee
evaluation.
Informal performance appraisal can occur whenever the supervisor feels the needs forcommunication. Many organizations encourage a mixture of both formal and informal
appraisals. The formal appraisal is most often used as primary evaluation. However, the
informal appraisal is very helpful for more performance feedback. Informal appraisals
should not take place of formal performance evaluation.
Whose performance should be rated?
To the question as to whose performance should be rated, the answer is obviousemployees. When we say employees, is it individuals or teams? Specifically, the rate may
be defined as the individual, work group, division, or organization. It is also possible to
define the ratee at multiple levels. For example, under some conditions, it may be
desirable to appraise performance both at the work-group level for merit-pay increases
and at the individual level to assess training needs.
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Who are raters?
Raters can be immediate supervisors, specialists from the HR department, department,
subordinates, peers, committees, clients, selfappraisals, or a combination of several.
Problems of rating
Performance appraisals are subject to a wide variety of inaccuracies and biases referred to
as rating errors. These errors occur in the raters observations, judgment, and
information processing, and can seriously affect assessment results. The most common
rating errors are
Leniency or severity
Central tendency
Halo effect
Rater effect
Primacy and Recency effects
Perceptual set
Performance dimension behavior
Spill over effect
Status effect
Solving raters problems
The best way to overcome these problems is to provide training to the raters. From a
practical point of view, several factors, including the extent to which pay is related to
performance ratings, union pressure, turnover rates, time constraints and the need to
justify ratings may be more important than training, influencing the ratings that raters
actually give. This means that improving rating systems involves not just training the
raters but rectifying outside factors such as union pressure. And it means that a rater
training, to be effective, should also address real-life problems such as the fact that union
representatives will try to influence supervisors to rate everyone high.
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Training helps to improve the appraisal system by overcoming distortion that occurs due
to the raters errors such as halo, leniency, central tendency and bias. Training of raters
must help strengthen the factors that tend to improve accuracy of ratings and weaken
those that lower the accuracy of the performance measurement.
What should be rated?
One of the steps in designing an appraisal Programme is to determine the evaluation
criteria. It is obvious that the criteria should be related to the job. The six criteria for
assessing performance are:
Quality
Quantity
Timeliness
Cost effectiveness
Need for supervision
Interpersonal impact
These criteria relate to past performance and behavior of an employee. The first four -
quality, quantity, timeliness and cost effectiveness are objective in nature. The last two -
need for supervision and interpersonal impact are subjective. Objective measures are
quantifiable and are therefore highly useful in measuring the performance of an
employee. But performance of employees should not always be evaluated against
quantifiable measures. Subjective measures are dependent upon human judgment. They
are prone to different kind of errors stated earlier such as leniency or severity, central
tendency, halo and the like. To be useful, subjective measures must be based on a careful
analysis of the behavior viewed as necessary and important for effective job performance.
Timing of Evaluation
How often should an employee be assessed? The general trend is to evaluate once in
three months, or six months, or once in a year. 70% of the organizations conduct
performance appraisal once a year, according to a survey conducted in 1997 by Arthur
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Anderson. Newly hired employees are rated more frequently than the older ones.
Frequent assessment is better than phased evaluation. Feedback in the latter is delayed
and the advantage of timely remedial measures by the employee is lost. Frequent
evaluation gives constant feedback to the ratee, thus enabling him/her to improve
performance if there is any deficiency. The performance of trainees and probationers
should be evaluated at the end of respective programmes.
Methods of Appraisals
The last to be addressed in the process of designing an appraisal Programme is to
determine method(s) of evaluation. Numerous methods have been devised to measure the
quantity and quality of employees job performance. Each of the methods discussed
could be effective for some purposes, for some organizations. None should be dismissed
or accepted as appropriate except as they relate to particular type of employees. Broadly
all approaches can be classified into:
Past-oriented methods
Future-oriented methods
Each group has several techniques. Some of them are explained in the following section.
Behavioral Anchored Rating Scales
The term used to describe a performance rating that focuses on specific behaviors or sets
as indicators of effective or ineffective performance, rather than on broadly stated
adjectives such as "average, above average, or below average".
Other variations are:
Behavioral observation scales
Behavioral expectations scales
Numerically anchored rating scales
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Checklists
The term used to define a set of adjectives or descriptive statements. If the rater believes
the employee possessed a trait listed, the rater checks the item; if not, the rater leaves the
item blank. Rating score from the checklist equals the number of checks.
Critical Incident Technique
The term used to describe a method of performance appraisal that makes lists of
statements of very effective and very ineffective behavior for employees. The lists are
combined into categories, which vary with the job. Once the categories are developed and
statements of effective and ineffective behavior provided, the evaluator prepares a log for
each employee. During the evaluation period, the evaluator records examples of critical
behaviors in each of the categories, and the log is used to evaluate the employee year end.
Forced Choice Method
This appraisal method has been developed to prevent evaluators from rating employees to
high. Using this method, the evaluator has to select from a set of descriptive statements,
statements that apply to the employee. The statements are weighted and summed to at,
effectiveness index.
Forced Distribution
The term used to describe an appraisal system similar to grading on a curve. The
evaluators are asked to rate employees in some fixed distribution of categories. One way
to do this is to type the name of each employee on a card and ask the evaluators to sort
the cards into piles corresponding to rating.
Graphic Rating Scale
The term used to define the oldest and most widely used performance appraisal method.
The evaluators are given a graph and asked to rate the employees on each of the
characteristics. The number of characteristics can vary from one to one hundred. The
rating can be a matrix of boxes for the evaluator to check off or a bar graph where the
evaluator checks off a location relative to the evaluators rating.
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Narrative or Essay Evaluation
This appraisal method asks the evaluator to describe strengths and weaknesses of an
employee's behavior. Some companies still use this method exclusively, whereas in
others, the method has been combined with the graphic rating scale.
Management by Objectives
The management by objectives performance appraisal method has the supervisor and
employee get together to set objectives in quantifiable terms. The appraisal method is
worked to eliminate communication problems by the establishment of regular meetings,
emphasizing results, and by being an ongoing process where new objectives have been
established and old objectives are modified as necessary in light of changed conditions.
Paired Comparison
The term used to describe an appraisal method for ranking employees. First, the names of
the employees to be evaluated are placed on separate sheets in a pre-determined order, so
that each person is compared with all other employees to be evaluated. The evaluator
then checks the person he or she feels has been the better of the two on the criterion for
each comparison. Typically the criterion is the employees over all ability to do the
present job.
Ranking
The term ranking has been used to describe an alternative method of performance
appraisal where the supervisor has been asked to order his or her employees in terms of
performance from highest to lowest.
Weighted Checklist
The term used to describe a performance appraisal method where supervisors or
personnel specialists familiar with the jobs being evaluated prepared a large list of
descriptive statements about effective and ineffective behavior on jobs.
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Performance Interview
Performance Interview is another step in the appraisal process. Once the Appraisal has
been made of employees, the raters should discuss and review the performance with the
ratees, so that they will receive feedback about where they stand in the eyes of the
superiors. Feedback is necessary to effect improvement in performance, especially when
it is adequate. Specifically Performance Interview has three goals
To change behavior of employees whose performance does not meet organizational
requirements or their own personal goals.
To maintain the behavior of employees who perform in an acceptable manner, a
To recognize superior performance behavior so that they will be continued.
Use of appraisal data
The final step in the evaluation process is the use of evaluation data. The HR department
must use the data and information generated through performance evaluation. In one way
or the other, data and information outputs of a performance appraisal Programme can
critically influence employer-employee reward opportunities. Specifically the data and
information will be useful in the following areas of HRM
Remuneration administration
Validation of selection programmes
Employee training and development programmes
Promotion, transfer and lay-off decisions
Grievance and discipline programmes
HR planning
Performance Management verses Performance Appraisal
The shift from performance appraisal to performance management requires a shift in
focus from a single event to a continuous process. The process provides employees with
direction and support via a detailed performance plan composed of goals, action steps,
measurements, and coaching throughout the yearlong cycle.
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Performance management is different from the single appraisal because it:
Begins with planning at the beginning of the year to clarify job expectations andaccountabilities between employee and manager
Eliminates current employee concerns that expectations are vague or notarticulated
Turns the appraisal document and appraisal meeting into the year-end feedbacksummary, the last of many meetings on performance.
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COMPANY PROFILE
Bal pharma was incorporated on 19th May 1987 as a private limited company and it
commenced commercial production from 1992. Mr.Shailesh Siroya, playing an activerole as the Managing Director of the company and steering it to better levels of
profitability, quality, and perfection, heads the company.
The Bal Pharma Ltd. based in Bangalore, India - a nature and future Friendly City has
been awarded the coveted ISO 9001 certificate by ANSI-RAB & KPMG, USA. Bal
Pharma has three manufacturing units (Bal I- Formulations, Bal II - Bulk Drugs &
Intermediates, Miaami - III Fluids & Ophthalmic Solutions), two units based in
Bangalore and one in Pune, all units are equipped with ultramodern state-of the- art
technology. All units conform to the GMP standards as laid down by WHO. Bal
Pharmas unit III has Form Fill and Seal (FFS) technology for small & large volume
parenteral at Miaami Pharma & Chemicals in Pune making them one of the only four
companies in India with FFS technology for Small Volume Parenteral. The bulk drug unit
specializes in high value niche products. They are the only manufacturer of Gliclazide by
developing their unique Process Technology. The European directorate of Quality
Management has awarded Certificate of Suitability for GLICLAZIDE Bulk Drug. At
Bal Pharma, stringent quality assurance procedure for their entire product range has made
them synonymous with quality in total. This is reflected in their commitment in meeting
the challenges of the international and national market for formulations, bulk drug and
intermediates.
Their exports of formulations include South East Asian and African countries. They have
already registered 150 of their formulations in these countries and are considering a fewmore. They have also forayed into marketing ofHERBAL MADICINES.
From a modest turnover of 35 million (US $ 0.83 million) in 1994, Bal Pharma has
surpassed a turnover of Rs. 450 million (US $ 9.23 million) in 2001-2002 and is today
poised for an accelerated growth to reach Rs. 1,000 million (US $ 24 million)
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Bal Pharma continues to strive to be the most progressive healthcare company dedicated
to promote human health and improve quality of life through high quality need based
formulations. The company has also successfully participated in global tenders
PRODUCT PROFILE OF BAL PHARMA
Analgesics / Antipyretics / Antiarthritics Antacids / Antiulcerants / Antiemetics Antihelmintics / Antiprotozoals Antiallergics / Liver Stimulants Antibiotic / Antibacterial Antidiabetics Antimalerials Antimicrobial (Topical) Antispasmodics Antitubercular Cardiac Care Cough Expectorants / Anticold Dermatologicals Neutraceuticals Progesterones Steroids Tranquilizers Large volume parenterals Small volume parenterals
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MISSION, VISION, GOALS AND OBJECTIVES
MISSION: We strive to be the most progressive heath care company, dedicated to
promote human health and quality of life through high quality need based formulations,provide disciplined service to customers, encourage and reward the professional
excellence of our people and ensure long term prosperity for our share holders.
VISION: We with an ambitious growth plan consider change as the key factor for
development. We believe change incorporates new ideas and perception, which helps in
growth and development of the company. We believe in scaling in new heights. We keep
in pace with the growing change, changing trends and always plan need based
formulations to maintain peoples health and manage suffering millions.
GOAL: We in a time span of3 years want to reach RS 300crore turnover and by the
year 2010 would want to have the world as our market.
OBJECTIVE: to ensure that every product that we manufacture must be safe, effective
of the highest quality and should be delivered too our customers on time.
Bal Pharma believes in achieving customers satisfaction as customers are considered as
the The Supreme Sovereign. The following are the methods adopted to maintain
customer satisfaction:
Following Good manufacturing Process as lay down by the WHO. Upgraded technology and use of best resources.
Well-trained personnel. Stringent in-hose specifications for products. Complying with registered required and continually incorporates the effectiveness
of the quality management systems. Promoting continuous improvement in all
fields of activity
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Performance Appraisal System at Bal Pharma Ltd
Performance management system consists of the processes used to identify, encourage,
measure, evaluate, improve, and reward employee performance. Performance appraisal is
the process of evaluating how well employees perform their jobs when compared to a set
of standards and then communicating that information.
Performance is essentially what an employee does or does not do. Bal Pharma assesses
the performance of its employees on the following criteria:
1.
Quantity of output2. Quality of output3. Timeliness of output4. Presence at work5. Cooperativeness
The existing Performance Appraisal System is of two types, in which they will see
how the individuals rate themselves. Then head of the department will appraise the
employees and on the basis of the score they will decide about the rewards,
promotions, what skills they need, etc.
1. Self Appraisal system
2. Rating Scale method
Self Appraisals:Getting employees to conduct a self-appraisal can be a useful
evaluation technique if the goal of evaluation is to further self-development.
When employees evaluate themselves, defensive behavior is less likely to occur
and self-improvement is thus more likely. When self-appraisals are used to
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determine areas of needed improvement, they can help users set personal goals for
the future. The risk is that the employee will be too lenient or too critical of his or
her performance.
Rating Scales: Perhaps the oldest and most widely used form of performance
appraisal is the rating scale, which requires the rater to provide a subjective
evaluation of an individuals performance along a scale from low to high. The
evaluation is based solely on the opinions of the rater, and in many cases the
criteria are not directly related to job performance.
The Key Elements of Performance Appraisal System
Appraisal approaches must identify performance-related standards, measure those
criteria, and then give feedback to employees and the HR department. If
performance standards or measures are not job-related, the evaluation can lead to
inaccurate or biased results, harming the managers relationship with their
employees and violating equal employment opportunity rulings. Without
feedback, improvement in human behavior is not likely and the department will
not have accurate records in its HR information system on which to base decisions
ranging from job design to compensation.
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The format comprises of five major parts as under in Employer appraisal form:
PART CONTENTS
TO BE FILLED
BY
Part-A Bio-data of the Appraisee - Appraiser
Part-B Evaluation Criteria - Appraiser
Part-C Strengths Worthy Mention - Appraiser
Part-D Training & Developmental
Needs
- Appraiser
Part-E Weightage for each area
agreed
- Appraiser
Part-A: In the first part of the Appraisal form bio-data of the
Appraisee has to be filled by the appraiser.
Part-B: In the second part the evaluation has been done by the Appraisee, the
evaluation criteria is of five skills set, which contains again the different
performance standards. For that appraiser has to rank on the basis of his
observation.
Part-C: In this part of the appraisal form appraiser has to write the strengths of the
appraisee.
Part-D: This part of appraisal form the appraisee has to mention the training needs
which ever required for the appraisee for the better performance on the job.
Part-E: This is the last part of the appraisal form where the net weight of the
appraisal system has to be written from both the side i.e. appraisee and appraiser.
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REVIEW OF LITERATURE
Purpose of the review of literature
The purpose of literature review is to identify the problem statement, understand the
secondary data that has been gathered in the field of study and to make new findings on
the problem statement.
Methodology of the review of literature
Methodology of the literature review different facets of information sources concerning
to motivation factors for employee satisfaction. Different sources used in order to collect
the information or data are:
Magazines and journals
The internet
Publications
Articles
The articles have been analyzed and used in the research for better understanding of the
topic.
Title: How to make performance reviews more useful
Author: Bruce L. Katcher, Ph.D. President of The Discovery Group.
Website referred: www.discoverysurveys.com
According to this article more than half of all employees believe that performance
reviews have not been useful in helping them to improve their job performance.
Employees have become cynical about the performance management process.
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The management can
Reinforce Positive Behaviors: "Reinforcing positive behavior will increase theprobability of that behavior."
Uncouple Employee Development and Compensation Discussions: Salaryreviews should occur separately on an annual basis.
Make Certain that the Performance Standards are Clear and Achievable:Performance measures must be made crystal clear. Use quantitative rather than
qualitative measures whenever possible.
Make Sure the Performance Measures are Relevant: Each performancemeasure should be relevant to each particular employee.
Provide Team and Customer Feedback: Performance feedback from teammembers and customers is often much more useful than supervisory feedback.
In summary, most employees find their performance reviews useless, but there are many
steps that management can take to make them much more meaningful.
Title: How to Improve the Effectiveness of Performance Management
and Appraisal by Overcoming the Root Cause of the Problem
Author: Julie Freeman
Website referred: www.hrmguide.com
This article explores why existing formal and informal approaches to Employee
Performance Management and Appraisal (EPMA) tend to work well enough in theory,
but fail to meet expectations in practice.
Organizations encourage, even urge, their managers to talk informally with their
employees about their performance on an ongoing basis. However, this rarely happens.
Moreover, even when managers do talk to their employees, the communication often falls
short of having the desired effect on their morale, motivation, and productivity. Despite
our best efforts to date, managers still report that they are uncomfortable giving feedback
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and discussing performance with their employees, especially if poor performance is a
factor. It identifies the root cause of the problems associated with giving and discussing.
Performance related information in formal and informal settings and presents a solution
to overcome them. Various suggestions for how the solution can be applied to meet
differing individual or corporate needs are also outlined.
Only about 10 per cent of the managerial population has a natural ability to discuss
performance with their employees in an effective way. According to the author, the root
cause of the problem does not appear to lie in a lack of ability within the managerial
population to honestly and accurately assess and evaluate an employees performance
and potential. Actually most managers can do this very well. The root cause of the
problem is that, to a greater or lesser extent, the vast majority of managers cannot
actually translate what they know about that performance into useful information and
then communicate it to the employee in an effective and practical way regardless of the
method they are asked to use. The proposed solution for such a problem according to the
author does not lie in trying to improve the technical elements of any given approach.
The PAF (Performance Analysis and Feedback) technique discussed in this article
provides a breakthrough in helping managers to deal with difficult situations like this. It
works because it shows managers a simple and logical way that they can analyze and
validate both the positive and negative aspects of their subjective fuzzy mental
impressions.
PAF is particularly effective for communicating "negative" information (the "hard stuff")
without the kind of stress and anxiety that managers ordinarily expect to experience in
such situations, and in a way that has the desired effect on employee behavior, outputs,
motivation and morale. However, it is equally effective for conveying positive
conclusions and opinions because it does so in a way that has the effect of building the
employee's self -esteem, confidence, and desire to do well, while negative conclusions
can be conveyed in a way that gets the hoped-for results.
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This technique works because firstly, regardless of whether the feedback is positive or
negative, the PAF Technique forces managers to analyze their conclusions in a very
specific, positive, future-focused way. Specificity is a golden rule of feedback of course,
but this approach goes ones step further because conclusions, once formed, are rarely
examined and communicated in this way.
Secondly, for negative feedback, the way that a problem is brought up and presented
makes it easier on the manager to say and easier on employees to hear, understand, and
accept, which decreases the potential for conflict and hurt feelings. Thirdly, the
specificity of the desired performance combined with the discussion about solution
options dramatically increases the probability that the process will achieve the hoped-for
results.
In summary, the big problem of improving performance-related communication between
managers and employees can be solved by simple solution. All it takes is the will to
implement it.
Title: How to link pay and job performanceAuthor: Bruce L. Katcher, Ph.D. President of The Discovery Group
Website Referred: www.discoverysurveys.com
7 out of 10 employees say there is no relationship between their job performance and
their pay. Employees want to feel that their good work is appreciated and appropriately
compensated. Problems discovered from this article are:
Employees believe that their performance is above average they therefore, believethat he or she should be paid above average.
Employees feel that they are not adequately paid compared to those performingsimilar work in other organizations.
Employees often perceive that there are poor performers in their organizationwho are earning as much if not more than they earn.
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Supervisors don't have the know-how or guts to differentiate between poor,average, and above average performers.
Tying pay to performance is very important to employees. This is particularly truein unionized organizations where the union has negotiated contracts that require
their employer to tie pay increases to years of service rather than performance.
The management can link pay to performance in the following manner:
Make the organizations Pay-for-Performance Philosophy Clear to Employees. Use Bonuses Rather than Pay Increases. Rate Supervisors on how well they Rate their Subordinates. Train Supervisors how to talk about Pay. Use Objective Performance Measures. Weed out Ineffective Performers.
In summary, employees typically want to be paid commensurate with the quality of their
job performance. Doing so requires a carefully constructed pay program, a commitment
from supervisors, and well-orchestrated communications to employees about their pay.
Title: Using a Balanced Scorecard Approach to Measure
Performance
Authors: Robert S. Kaplan and David P. Norton
Website referred: www.work911.com
Traditionally, organizational performance is measured by focusing on internal or process
performance, looking at factors such as the number of fulltime equivalents (FTE) allotted,
the number of programs controlled by the agency, or the size of the budget for the fiscal
year. In contrast, private sector businesses usually focus on the financial measures of
their bottom line: return on- investment, market share, and earnings-per-share. Alone,
neither of these approaches provides the full perspective of an organization's performance
that a manager needs to manage effectively. But by balancing internal and process
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measures with results and financial measures, managers will have a more complete
picture and will know where to make improvements.
Summary of Review of Literature:The articles reviewed tell us it is difficult to introduce a new system of performance
appraisal or modify the existing appraisal system. There always exists some problem
regarding the performance evaluation. The study therefore tries to suggest ways in which
the changes can be incorporated in a sequential and an ordered manner. Performance can
also be linked to the monetary benefits associated with the job. The recommendation part
of the research guides as to how the management can make the performance appraisal
system more effective. One of the ways to measure performance of an employee withrespect to organizational strategies is by designing Balance Scorecard. A balance
scorecard can be constructed with a specific purpose of linking any aspect of the
organization with the overall organizational goals.
Our literature survey indicates that the there is no stock type of mathematical formula for
performance appraisal. It differs from company to company. The research on company-
specific performance appraisal is inadequate. This has prompted us to take up this
research investigation.
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Research Methodology
Problem Statement:
A critical study of the effectiveness of the performance appraisal system and suggest
Ways for improvement.
Objectives of the Research:
The research survey is proposed to be undertaken with the following objectives:
To study the present Performance appraisal system at Bal Pharma Ltd. To ascertain the views/opinions of the Raters and Ratees working with the
company about Performance Appraisal System, existing in the company.
To suggest appropriate modifications in the existing Performance AppraisalSystem.
Type of Research:
Our research investigation is analytical. The respondents have been contacted through
questionnaires blended with focus group interviews and responses with regard to the
current performance appraisal system of the company have been analyzed.
Sampling Technique:
Though the study is confined to only one unit situated in Bangalore, a complete survey of
all the employees is not possible, because of their busy schedule. The respondents
belonging to the Executive level have been chosen.
Sample size:
A sample size of 50 employees has been selected on the basis of Random Sampling
method.
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Instrumentation techniques:
Structured Questionnaire Focus Group Discussion
Actual collection of data:
Data is the fact of an event. Data is the base for every research work. The data is mainly
classified into two groups.
Primary data:Thrust has been on collection of primary data. Structured questionnaire
has been used and discussed personally with the respondents to get their responses.
Secondary data: Books, journals, websites etc., have been consulted for obtaining
related information, and also for crosschecking of primary data.
Interpretation and analysis:
The data collected from the questionnaire have been synthesized in the form oftables and tabulated data has been analyzed.
Percentage is calculated for each and every table. Analysis and interpretation is done based on primary data. Inference is drawn from the analysis of primary data, to attain the objective of the
study.
The primary data is diagrammatically represented.
Limitations of the research
Study is limited to the Bangalore unit of Bal Pharma Ltd only. The sample size is limited to only 50 employees Analysis of primary data is done on the assumption that the answers given by the
respondents are true and correct.
Time and Resource constraints.
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DATA ANALYSIS AND INFERENCE
PROFILE OF RESPONDENTS
Q1. How many years of experience do you have in Bal Pharma Ltd?
TABLE 1:Table showing the response number of years of service renderedin Bal Pharma Ltd.
Years of Services No. Of respondents Percentage
00 to 01 20 40
01 to 03 8 16
03 to 05 10 20
05 and Above 12 24
TOTAL 50 100
Chart 1
40%
16%
20%
24%00 to 01
01 to 03
03 to 05
05 and Above
Source: Field Investigation
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Observation: The above table shows that 40% of them have 1 year of experience, 16%
of them have 3 years of experience, 20% of them are within 5 years and 20% of them are
above 5 years experienced.
Inference: This shows that many of the employees are new to the company. Because
50% of them are having only one year of experience in the organization
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Q2. According to you in Bal Pharma Ltd, Performance Appraisal system is used
TABLE 2:Table showing the response to the purpose of PAS in Bal Pharma Ltd
Options No. Of respondents Percentage
To measure performance 25 50
To Identify Skills 12 25
To Promote individual 5 12
To recognize & Reward 8 5
TOTAL 50 100
Chart 2
50%
24%
10%
16%
To measure
performance
To Identify
Skills
To Promote
individualTo recognize &
Reward
Source: Field Investigation
Observation: The above table shows that 50 % of the respondent says performance
appraisal system is used to measure the performance, 25 % to identify skills, 12% to
promote individual, 5% to recognize and reward
Inference:This shows that Bal Pharma uses PAS usually to measure the performance of
the employee on the job.
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Q3. Who is the rating officer of your performance in the appraisal system?
TABLE 3:Table showing the rating officer for the PAS in Bal Pharma Ltd.
Options No. Of respondents Percentage
Supervisor 5 10
Manager 0 0
Line manager 0 0
Head of the Department 45 90
TOTAL 50 100
chart 310%
0%0%
90%
Supervisor
Manager
Line manager
Head of the
Department
Source: Field Investigation
Observation: The above table shows that 90 % of the respondents say their rating officer
is head of their department and 10% of them said supervisor.
Inference:This shows that head of the department is their rating officer in the company.
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Q4. Does the present Performance Appraisal System takes into account these
following parameters?
TABLE 4:Table showing the job being performed by them is covered in PAS in Bal
Pharma Ltd.
Options No. Of respondents Percentage
Covered 28 56
Partially Covered 12 24
Not covered 10 20
TOTAL 50 100
Chart 4
56%24%
20%
Covered
Partially
CoveredNot covered
Source: Field Investigation
Observation: The above table shows 56% of them said its covered, 20% not covered
and 24% said partially covered.
Inference:This shows that usually they cover the job being performed by them on the
job.
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TABLE 5:Table showing the job knowledge of employee is covered in PAS in BalPharma Ltd.
Options No. Of respondents Percentage
Covered 27 54
Partially Covered 13 26
Not covered 10 20
TOTAL 50 100
Chart 5
54%
26%
20%
Covered
Partially
CoveredNot covered
Source: Field Investigation
Observation: The above table shows 54% of them said its covered, 20% not covered
and 26% said partially covered.
Inference:This shows that usually they cover the job knowledge of the employee on the
job.
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TABLE 6:Table showing the Efficiency of work done is covered in PAS in Bal PharmaLtd.
Options No. Of respondents Percentage
Covered 22 44
Partially Covered 18 36
Not covered 10 20
TOTAL 50 100
Chart 6
44%
36%
20%
Covered
Partially Covered
Not covered
Source: Field Investigation
Observation: The above table shows 44% of them said its covered, 20% not covered
and 36% said partially covered.
Inference:This shows that fairly they cover the efficiency of work done on the job.
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TABLE 7:Table showing the communication skills are covered in PAS in Bal PharmaLtd.
Options No. Of respondents Percentage
Covered 21 42
Partially Covered 19 38
Not covered 10 20
TOTAL 50 100
Chart 7
42%
38%
20%
Covered
Partially Covered
Not covered
Source: Field Investigation
Observation: The above table shows 42% of them said its covered, 20% not covered
and 38% said partially covered.
Inference:This shows that usually they cover communication skills of the employee to
measure the performance on the job.
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Q5. Do you agree that present appraisal system is accurately evaluating your
performance?
TABLE 8:Table showing how much accurately PAS evaluate the performance of theemployee
Options No. Of respondents Percentage
0% to 25% 20 40
26% to 50% 6 12
51 to 75% 16 32
76% to 100% 8 16
TOTAL 50 100
Chart 8
40%
12%
32%
16%
0% to 25%
26% to 50%
51 to 75%
76% to 100%
Source: Field Investigation
Observation: The above table shows 40% of them responded to 0%-25%, 12% of them
is to26%-%50%, 32% of them is to 51%-75% and 16% of them is to 76%-100%.
Inference:This shows that the PAS is not accurately evaluating the performance of the
employee on the job in the organization.
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Q6. According to your preference the present rating system is.
TABLE 9:Table showing preference to the rating system used by them in PAS
Options No. Of respondents Percentage
Very Good 5 10
Good 12 24
Average 26 52
Poor 7 14
TOTAL 50 100
Chart 9
10%
24%
52%
14%
Very Good
Good
Average
Poor
Source: Field Investigation
Observation: The above table shows 52% of them responded to average, 24% of them to
good, 14% of them is to poor and 10% of them is to very good.
Inference:This shows that the employees fairly satisfied with rating system followed by
the organization.
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Q7. How has the Appraisal System assisted in increasing following parameters?
TABLE 10:Table showing preference to the rating system used by them in PAS
Performance Efficiency Skill Knowledge
Options No% No. % No % No %
Excellent 4 8 5 10 5 10 5 10
Very Good 8 16 7 14 9 18 9 18
Good 25 50 23 46 21 42 21 42
Average 8 16 10 20 10 21 10 21
Poor 5 10 5 10 5 10 5 10
TOTAL 50 100 50 100 50 100 50 100
4
8
25
8 8
16
50
16
5
7
23
101014
46
20
5
9
21
1010
18
42
21
5
9
21
1010
18
42
21
0
10
20
30
40
50
1 2 3 4 5 6 7 8
Chart 10
Excellent
Very Good
Good
Average
Source: Field Investigation
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Observation: The above table shows three parameters,
A. Performance: 50% of them have responded for good, 16% to the very
good, 16% to average, 10% to poor and 8% to excellent.
B. Efficiency: 46% of them responded to good, 20% to average, 14% to very
good and 10 to each poor and excellent.
C. Skills: 42% of them have responded to good, 21%to average, 18% to very
good and 10% to each poor and excellent.
D. Knowledge: 42% of them have responded to good, 21%to average, 18%
to very good and 10% to each poor and excellent.
Inference:This shows that the PAS has fairly insisted them to increase their performance
of the job, efficiency of the work done, Skills which has to be improved and the
knowledge of the job.
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Q8. Do you feel that Performance Appraisal system totally depends on the Appraiser?
TABLE 11:Table showing the dependent of the appraisal system
Options No. Of respondents Percentage
Yes 23 46
No 12 24
To Some Extent 15 30
TOTAL 50 100
Chart 11
46%
24%
30%
Yes
No
To Some
Extent
Source: Field Investigation
Observation: The above table shows 46% of them responded to yes, 24% of them to no,
24% of them responded to some extent.
Inference:This shows that the appraisal system is mostly depends on appraiser only.
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Q9. According to you in this organization is there scope for individual development
to ensure new knowledge & skills
TABLE 12:Table showing the scope of individual development, in ensuring the newknowledge and skills.
Options No. Of respondents Percentage
Yes 25 50
No 10 20
To Some Extent 15 30
TOTAL 50 100
Chart 12
50%
20%
30%
Yes
No
To Some Extent
Source: Field Investigation
Observation: The above table shows 50% of them said yes, 20% of them said no and
30% of them said to some extent it is true.
Inference: This shows that the appraisal system mostly encourages for individual
development in terms of job knowledge and skills.
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Q10. Does the Suggestions in the appraisal system, which are given by you are positively
looked into by seniors?
TABLE 13:Table showing opinion about the suggestions
Options No. Of respondents Percentage
Yes 23 46
No 12 24
To Some Extent 15 30
TOTAL 50 100
Chart 13
46%
24%
30%
Yes
No
To Some Extent
Source: Field Investigation
Observation: The above table shows 46% of them said yes, 24% of them said no and
30% of them said to some extent it is true.
Inference:This shows that the suggestions given by the appraisee are taken into positive
way and encourages them to give suggestions also in the process of performance
appraisal system
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Q11. In your opinion present performance appraisal system is
TABLE 14:Table showing satisfaction of the performance appraisal system in BalPharma Ltd.
Options No. Of respondents Percentage
Very Good 0 0
Good 18 36
Average 20 40
Poor 12 24
TOTAL 50 100
Chart 14
36%
40%
24%
Very Good
Good
Average
Poor
Source: Field Investigation
Observation: The above table shows 40% of them said average, 36% of them said good,
24% of them said poor and 0% to very good.
Inference:This shows that the employees in Bal Pharma Ltd are fairly satisfied with the
present appraisal system.
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MAJOR RESEARCH FINDINGS
From the responses collected it can be inferred that the most of employees arenew to the company. Because 50% of them have only one year of experience.
And very less number of employees having 5 years and above experience in the
organization.
According to the survey, performance appraisal system is used for the measure ofperformance of the employee on the job.
From the responses collected from the survey, the rating officer for their appraisalis their head of the department.
According to the respondents, the job being performed by them, knowledge of thejob, and efficiency of work done and communication skills have been included in
the performance appraisal system.
According to the responses from the respondents the appraisal system used by thecompany does not evaluate the accurate performance of the employee on the job.
From the responses collected it can be inferred that the rating system used in theappraisal system are fairly satisfactory.
The present appraisal system encourages improving these parameters,performance of the job, knowledge of the job, skills and efficiency of the work
done.
From the responses the appraisal system fairly depends on the appraiser.
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According to the responses in Bal Pharma Ltd there is a scope for the individualdevelopment after the performance appraisal system.
The suggestions given by the appraisee after the appraisal system are taken intopositive. And also encourages them to give suggestions
From the responses collected it can be inferred that the performance appraisalsystem used in the organization does not evaluates the performance of the
employee accurately, therefore the employees and executives are fairly satisfied
with the present appraisal system.
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RECOMMENDATIONS
As employees feel that, job knowledge, communication skills & efficiency of thework done has effectively covered. How ever the employees feel that the training
interventions should be more frequent.
Communication skills are indispensable in modern day organization, soemployees should be encouraged to communicate their opinion about their
expectation, problems & suggestions.
A free and fair feedback to be given to the appraisee so that he/she can give therebest to the company and also allows self-development.
There should be a system for more frequent feed back on employee performanceand appraisal process should be designed to cater for quarterly/ biannual
performance appraisal
Some of the employees feel that appraisal process should be more transparent.
360 degree appraisal is a powerful developmental method and quite different totraditional manager-subordinate appraisals (which fulfill different purposes).
Organisation may look into adopting this method bringing for more subjectively
in the appraisal process.
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A guide for introducing 360-degree appraisals:
The following chart highlights the mechanism of 360-Degree:
Choose/design a system (or system provider), i.e., research and investigateoptions (other local or same-sector companies using 360 already are a helpful
reference point, or trade association HR group, or a specialist HR advisory body).
When decided on a system, pilot it with a few people to make sure it does whatexpected. (It's best to establish some simple parameters or KPA's by which one
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can make this assessment, rather than basing success on instinct or subjective
views.)
When satisfied with the system, launch it via a seminar or workshop, preferablyincluding role-plays and/or practical demonstration.
Support the implementation with ongoing training, (include an overview in yourinduction training as well), a written process guide/booklet, and also publish
process and standards on intranet.
Establish review and monitoring responsibility.
Ensure any 360-degree appraisal system is applied from top down, not bottomup, so everyone can see that the CEO is happy to undertake what he/she expects
all the other staff to do. (As with anything else, if the CEO and board agree to
undertake it first, the system will have much stronger take-up and credibility.)
I also recommend that the company can restructure its "performance appraisal system"
into "performance management system". I believe that to achieve performance
orientation, the company needs to focus on Performance Management System
rather than Performance Appraisal System. While PMS addresses all relevant and
interrelated issues of individual motivation and processes holistically, PAS is one of
the many sub-processes involved in a good PMS.
To sum up, it is my belief and conviction that if the above-said recommendations are
implemented, they would turbo charge the performance appraisal system/performance
management system of the company.
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ANNEXURE
Books:
1. " Human Resource Management" By J R
Gordon, Boston: Allyn & Bacon Publications
2002
2. "Human Resource Management" By Lawrence
S Kleiman, Atomic Dog Publishing Company,
20053. "Human Resource Management" By John M
Ivancevich, Tata McGraw Hill Publications
2005
4. "Human Resource Management" By Gary
Dessler, Pearson Education Publications,
2006
5. "Human Resource Management" By Cynthia D
Fisher, Lvle F Schoen Feldt and James B Shaw,
Wiley Dream Tec Publications 2005
6. "Human Resource Management" By Noe,
Hollenbeck, Gerhardt and Wright, McGraw Hill
Publications 2004
7. "People Management" Edited by G Surya Prakash
Rao, ICFAI Publications, 2002
8. "Managing People" Business Today Survey, BT
Publications, 2000
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JOURNALS:
Business Standard (Strategist) Harvard Business Review Journal of HRM Review (ICFAI publications) Business Line (Catalyst) Executive excellence (Sage Publications) Human Capital
WEBSITES USED:
1. www.google.com2. www.balpharma.com3. www.performance-appraisal.com
http://www.performance-appraisal.com/http://www.balpharma.com/http://www.google.com/ -
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Questionnaire
Employee Name : (Optional)
Department :
Date of Joining :
Qualification :
Designation :
1. How many years of experience do you have in Bal Pharma Ltd? 00 01 yr
01 03 yrs
03 05 yrs
05 & Above yrs
2. According to you in Bal Pharma Ltd, Performance Appraisal system is used
To measure Performance
To Identify Skills
To Promote Individual
To Recognize & Reward
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3. Who is the rating officer of your performance in the appraisal system?
Supervisor
Manager
Line Manager
Head of the department
4. Does the present Performance Appraisal System taken into account thesefollowing parameters?
A. Job being performed by you
Covered
Partially Covered
Not Covered
B. Job Knowledge
Covered
Partially covered
Not Covered
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C. Speed of the work done
Covered
Partially covered
Not Covered
D. Communication skills
Covered
Partially covered
Not Covered
5. Do you agree that present appraisal system is accurately evaluating yourperformance?
0% - 25%
26% - 50%
51% - 75%
76% - 100%
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6. According to your preference the present rating system is
Very Good
Good
Average
Poor
7. How has the Appraisal System assisted in increasing following parameters?
(Excellent - 5, Very Good - 4, Good - 3, Average 2, Poor-1)
Parameters5 4 3 2 1
Performance
Efficiency
Skills
Knowledge
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8. Do you feel that Performance Appraisal system is totally depends on theAppraiser?
Yes
No
To Some Extent
9. According to you in this organization is there scope for individualdevelopment to ensure new knowledge & skills
Yes
No
To Some Extent
10.Does the Suggestions in the appraisal system, which are given by you arepositively looked into by seniors?
Yes
No
To Some Extent
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11.In your opinion present performance appraisal system is
Very Good
Good
Average
Poor
12.Any suggestions to improve the Performance Appraisal System
_______________________________________________
_______________________________________________
_______________________________________________
Thank you for giving your responses to the questions in the questionnaire. I sincerely
assure you that your responses will be kept strictly confidential and shall only be used for
academic purpose.
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