Download - vidhya vishvan
-
8/6/2019 vidhya vishvan
1/65
Study of Performance Appraisal
Project Report on
PERFORMANCE APPRAISALOF EMPLOYEES
At
FACT LTD.
Companyproject submitted in
Partial fullfilment of the requirements for the
Award of the Degree of Bachelor of Business
Administration of M.G. University
Submitted by
VIDHYA VISWAN
Under the Supervisions of
DR. BIJU PUSHPAN, MA, MBA
SAS SNDP YOGAM COLLEGEKONNI
2007-2010
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
2/65
Study of Performance Appraisal
ACKNOWLEDGEMENT
I with to express my gratitude and sincere thanks to Dr. Biju
Pushpan, Head of the Department (BBA), SAS, SNDP Yogam College,
Kohni for providing me the needed facilities to do my project work.
I would like to express my gratitude to my internal guide
Mrs. Sangeetha Kumari, MBA, Lecturer in Business Administration
for her constant help, support and valuable advice while preparing the
project report.
Next I would like to express sincere thanks and gratitude to Mr.
Thomas Paul, Chief Manager (HR Department) FACT for the valuable
guidance, assistance and cooperation extended by him during the
research.
Last but not at least I wish to express my sincere thanks to all
those persons who have helped me to complete the project.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
3/65
Study of Performance Appraisal
DECLARATION
I hereby declare that the project entitled Project Report on
Performance Appraisal of Employees on FACT Ltd. Submitted to the
in partial fulfillment of the Award of the degree ofBachelor of Business
Administration of Mahatma Gandhi University, is a record of research
work carried out by me during the year 2009-2010. The empirical
findings on this report are based on the data collected by me and is not a
copy of any other reports.
Vidya Viswan
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
4/65
Study of Performance Appraisal
CONTENTS
Sl.
No.Title Page No.
1. Introduction
2. Objectives of the Study
3. The Study
4. Industrial Profile
5. Company Profile
6. Research Methodology
7. Data Analysis and Interpretation
8. Findings
9. Suggestions
10. Limitations
11. Conclusion
12. Appendix
13. Bibliography
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
5/65
Study of Performance Appraisal
INTRODUCTION
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
6/65
Study of Performance Appraisal
INTRODUCTION
Performance appraisal is one of the most oldest and universal
practices prevailing to assess an individuals performance. China is
believed to be the beginner in this area from a period as early as AD
221-265. In India the formal appraisal system started after world war II.
The early appraisal system was called Merit Rating. In the early
fifties, performance appraisal techniques were used for technical,
managerial * professional personnel.
Performance appraisal can be understood as the assessment of an
individuals performance in a systematic way, the 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.
Performance appraisal is an objective assessment of an individuals
performance against well defined bench marks.
Performance appraisal is a formal, structured system of measuring
and evaluating an employees job related behaviour and outcomes to
discover how and why the employee is presently performing on the job
and how the employee can perform more effectively in the future so that
the employee, organization, and society all benefit.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
7/65
Study of Performance Appraisal
OBJECTIVES
OF THE STUDY
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
8/65
Study of Performance Appraisal
OBJECTIVE
1. To study about the impact of Performance Appraisal on self
development.
2. To ascertain the effectiveness of Performance Appraisal
system in FACT.
3. To know the employees are satisfied with the Performance
Appraisal System.
4. To study about the opportunities available to the employees for
self development.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
9/65
Study of Performance Appraisal
THE STUDY
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
10/65
Study of Performance Appraisal
THE STUDY
Performance appraisal is the process of determining and
communicating to a employee how he is performing the job. According
to W.D. Scott, R.C. Clothier and W.R. Spreigel, Performance appraisal
is the process of evaluating employees Performance of a job in terms of
its requirements.
Performance appraisals are used for many purposes, including:
Deciding promotions
Determining transfers
Making termination decisions
Identifying training needs
Identifying skill and completing deficits
Providing employee feedback
Determining reward allocations
METHODS OF PERFORMANCE APPRAISAL
Traditional Methods
Traditional approach is also known as traits approach. It is based
on the evaluation of traits in a person. Since these may be different
methods of rating people, there are several method based on this
approach some such methods are discussed as follows.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
11/65
Study of Performance Appraisal
1. Confidential Report In most of the government departments
and public enterprises, performance appraisal is done through annual
confidential reports. These reports differ from department to department
and from level to level. The confidential report is written for a unit of
one year and relates to the Performance, ability and character of the
employees during that year. The report is not data bases but subjective
the method focuses on evaluating rather than developing the employee.
2. Graphic Scales Method: The graphic rating scale is the
simplest and most popular method for appraising performance. A rating
scale lists traits and the range of Performance values for each trait. The
supervisor rates each subordinate by circling or checking the score that
best describes his performance for each trait. The assigned values for
the traits are then totaled. The selection of factors to be measured on the
graphic rating scale is an important point under this system. Rating
scales are of two types viz. Continuous and discontinuous. In
continuous scale the degree of a trait are measured in numbers ranging
from 0 to 5 where as in a discrete or discontinuous scale, appropriate
boxes or squares are used.
3. Straight Ranking Method:- In this method every employee
is judge as a whole without distinguishing the rates from his
performance. A list is then prepared for ranking the workers in order of
their performance on the job so that an excellent employees is at the top
and the poor at bottom. It permits comparison of all employees in any
single rating group regardless of the types of work.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
12/65
Study of Performance Appraisal
4. Paired Comparison Method: In this method every person is
compared trait-wise, with other persons one at a time, the number of
times one person is compared with others is tallied on apiece of paper.These numbers help in yielding rank orders of employees.
5. Grading System:- Under this system certain features like
analytical ability, co-operativeness, dependability, job-knowledge etc.
are selected for evaluation. The employees are given grades according
to the judgement of the rates.
6. Forced Distribution Method:- This system minimizes the
raters; bias so that all employees are not similarly rated. This system is
based on the presumption that all employees can be divided into five
categories, ie. Outstanding, above average, average, below average and
poor.
7. Checklist Method: A checklist is a list of statements that
describes the characteristics and performance of employees on the job.
The rates checks to indicate whether the behaviour of an employee is
positive or negative to each statement. The performance of the
employee is rated on the basis of numbers of positive checks.
8. Critical Incident Method: The method attempts to measure
workers performance in the terms of certain events or incidents that
occur in the course of work. The assumptions in this method is that the
performance of the employee in the happening of critical incidents
determines his failure or success. The supervisor keeps a record of
critical incidents at different times and then rates him on this basis.
9. Free Essay Method: Under free essay method, the supervisor
writes a report about the employee which is based on the assessment.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
13/65
Study of Performance Appraisal
The supervisor continuously watches the subordinates and writes his
assessment on the report.
10. Group Appraisal: Under the group appraisal method,
employees are rated by an appraisal group, consisting of their supervisor,
and three or four other persons who have some knowledge of their
performance. The supervisor explains to the group the nature of his
subordinates duties. The group then discusses the standards of
performance for that job, the actual performance of the employee and the
causes of their particular level of performance and offers suggestions for
future improvements, if any.
11. Field Review Method: Under the field review method, on
expert from the personal department interiors line supervisors to
evaluate their respective subordinates. The export questions the
supervisor and obtains all the important information on each employee
and takes notes in his note book. There is no rating from which with
factors or degree, but overall ratings are obtained. The employees are
usually classified into three categories or outstanding, and
unsatisfactory.
12. Nominations: Under the nominations method, appraisers are
asked to identify the exceptionally poor performers, who are then
singled art for special treatment.
13. Work Sample Tests: In this method, employees are given,
from time to time, work related tests which are then evaluated.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
14/65
Study of Performance Appraisal
MODERN METHODS
Modern concerns use the following methods for the Performance
Appraisal:
1. Assessment Centre: An assessment centre is a central location
where the managers may come together to participate in job related
exercises evaluated by trained observers. The principle idea is to
evaluate managers over a period of time, by observing and later
evaluating their behaviour across a series of select exercises of worksamples.
2. Human Resource Accounting: This method attaches money
values to the value of firms internal human resources and its external
customer goodwill. When competent and well trained employees leave
an organization the human asset is decreased and vice versa. Under this
method, performance is judged in terms of costs and contributions of
employees
3. Behaviorally Anchored Rating Scales (BARS):- A
behaviourally anchored rating scale combines the benefit of critical
incidents and graphic rating scales by anchoring a scale with specific
behavioural examples of good or poor performance.
4. Management by Objectives (MBO): In the basic form
management by objectives requires the managers to set specific
measurable goals with each employee and then periodically discuss his
progress towards these goal. MBO can be on a modest scale with
subordinates and supervisors jointly setting goals and periodically
providing feed back.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
15/65
Study of Performance Appraisal
5. 360 Degree Performance Appraisal:- The 360 degree
technique is understood as systematic collection of performance data onan individual or group, derived from a number of stakeholders the stake
holders being the immediate supervisors, team members, customers,
peers and self. In fact, anyone who has useful information on how an
employee does the job may be one of the appraisers. The appraiser
should be capable of determining what is more important and what is
relatively less important. He should assess the performance without
bias.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
16/65
Study of Performance Appraisal
INDUSTRIAL PROFILE
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
17/65
Study of Performance Appraisal
INDUSTRY PROFILE
Agriculture accounts for nearly th of Indias GDP and more
importantly, about 2/3 rd of the countrys population is dependent on
agriculture and allied activities for their livelihood successively.
Five year plans have stressed on self-sufficiency and self-reliance
in food grains production and concerned efforts in this direction have
resulted in substantial increase in agriculture production and
productivity. This is clear from the fact that from the very modest level
of 52 million tones in 1951-52, food grain production rose to above 206
million tones in 1999-2000. Behind Indias success story of not only
meeting total requirement of food grains but also having their exportable
surplus, the sufficient role played by chemical fertilizer is well
recognized and established beyond any doubt.
Chemical fertilizer have played a vital role in the success of
Indias green revolution and consequent self-reliance in the subsequent
self-reliance in food gain consumption has contributed significantly to
sub stainable production of food grains in the country. The government
of India has been consistent pursuing policies conductive to increased
availability and consumption of fertilizer in the country. The production
of nitrogen (N) and phosphorous (P) fertilizer together has increased
from mere 0.3 lakh MT in nutrients terms in 2001-02. Since there are no
commercial viable sources of potash (K) in the country, its entire
requirements is met through imports. The overall consumption of
fertilizer in nutrient terms (N.P. & K) correctly in about 175 lakh MT
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
18/65
Study of Performance Appraisal
per annum. As of now the country has achieved self-sufficiency in
production capacity of urea and DAP, with the result that India could
manage its requirement of these fertilizers from Indigenous industry andimports of all fertilizer except MOP have presentl6y been nominal.
The Fertilizer Industry in Indian Context
Six industries in India have been identified as energy intensive
industries. Aluminium cements fertilizers, iron and steel, glass and
paper. Together they account for 16.8% of manufacturing value of
output (VO) and consume 38.8% of all fuels consumed in the
manufacturing sector. The fertilizer sector holds a considerable share
within these energy intensive industries. In 1993, it accounted for 23%
of value of output within the six industries and for 3.8% in the
manufacturing sector.
Production in the fertilizer sector has been increasingly over thelast 20 years. The fertilizer industry shows higher growth in the group
of energy intensive industries. Major fertilizer pricing specific policy
changes took place in 1977-78 and since 1991. The growth of real value
of output was rising at around 16.4% during the first period 1970-73 and
increased slightly over at 10.4% in the following period of total control
(1979-91) accounting for higher than average growth in both the group
of six energy intensive industries and total manufacturing. After 1991
real value of output decrease substantially at 10.6% until 1993 despite
major policy changes towards deconted and liberalization that aimed at
spurring the sector in 1993-94. The fertilizer sector accounts for 7.4% of
total fuels consumed in the manufacturing sector within the grope of
energy intensive industries, the share of rules consumed per unit of
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
19/65
Study of Performance Appraisal
output (VO) is second lowest (13.2) after the iron and steel industry and
thus less than the average of the six energy intensive industries.
Fertilizer Production in India
India is the fourth largest producers as well as consumer of
fertilizer in the world with population growing at a fast rate, food
production was given highest priority in India since the 1960s (new
agricultural strategy). Although Indias soil is varied and rich, it is
naturally deficient in major plant nutrients (nitrogen, phosphate and
potassium). Growth in chemical fertilizer production and consumption
therefore presents the single largest contributor to agricultural progress,
its technological transformation and commercialization. Fertilizer
production in India has been growing at an accelerating rate, from very
low levels after independence (0.04 million tones in 1951) and still low
levels in the early 1970s to a total production of 11.36 million tones in
1995. Currently India produces various kinds of both nitrogenous and
phosphatic fertilizer domestically. These includes straight nitrogenous
fertilizer (urea and ammonium) straight phosphatic fertilizers (single
super phosphate) and complex fertilizers like dominium phosphate.
Potassic fertilizers are not manufactured domestically due to lack of
indigenous reserved of potash, the main input. The capacity of
nitrogenous fertilizer has almost doubled with the commissioning of
large sized gas based fertilizer plans in the 1980s. Capacity utilization
has increased considerably from around 60% in 1979-80 to over 90% in
the 1990s.
External factors such as weather and monsoon conditions as well
as policy changes regarding fertilizer production, use and agricultural
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
20/65
Study of Performance Appraisal
output enhanced except significant influence in capacity utilization in
the industry. For instance, following the decontrol of price and
distribution of potassic and phosphatic fertilizer in 1992, capacityutilization improved remarkably again to 90.5% in 1994.95. Today, the
co-operative sector assumes a major role within the fertilizer industry
not only in fertilizer distribution but also in the provision of other
general services to farmers such as credit programs, capital management
training schedules etc. Around 96.6% of the villages and 45% of the
rural population are participating in co-operative system.
Although the Indian fertilizers sector progressed considerable over
the past, there are various problem associated with the sector. These
problems mainly relate to investment into capacity up gradation and
expansion, to profitability of operation and to availability, storage and
transportation of raw materials and finished products. Investments
projects have been very slow in the past. The delay in setting upfertilizer plants after the issue of in cent can be upto 8-9 years. This
increases the cost of products considerably contributing to the
continuous problem of capital scarcity. Major investment would need to
be brought inform abroad to met the capital requirements. The
government of India granted concessions to attract foreign capital inflow
of the fertilizer industry, such as majority equity participation,
distribution rights etc. However due to uncertainties surrounding the
availability of raw materials in India as well as the high profitability of
exports, to India, the reaction to these concessions was very low, capital
remained scarce.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
21/65
Study of Performance Appraisal
Particularly following the oil price shock, costs of inputs to
fertilizer production especially for energy as the single main input were
exceptionally high. Moreover although the government promoted the
setting up of fertilizer plant in dispersed areas, best possibly serve local
needs, constraints in transportation and storage of fertilizer still
remained. Availability of storage and transportation capacity was
constrained among other reasons due to shortage in wagons for rain
transportation, high demand for transportation by other sectors, storage
capacity, quality and management of stored products.
VISION OF THE COMPANY
Growth and diversification are most essential to long term
survival
and FACT today in keenly perusing new opportunities that may arise in
the areas of
a) Software development for process industry.
b) Consultancy for infrastructural projects.
(FACTs vision is to emerge as a leading company in the business
of providing quality agricultural and industrial inputs and providing
engineering services for industrial and infrastructural facilities).
MISSION OF THE COMPANY
FACTs mission is to function as a dependable and globally
competitive produce of fertilizers and other allied products and to
develop self-reliance in the field of engineering and technology,
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
22/65
Study of Performance Appraisal
especially in the field of fertilizers, chemicals, petrochemicals, oil and
gas industry.
CORPORATE OBJECTIVE OF FACT
1. To produce and market fertilizers and caprolactum economically
and in an environmentally sound manner.
2. To maintain optimum levels of efficiency and productivity and to
secure optimum return on investment.
3. To maximize profits from projects taken up by FACT Engineering
and Design Organization (FEDO & FEW).
4. To continuously upgrade the quality of human resources of the
company and promote organizational development.
5. To continuously improve the plant and operational safety and to
confirm to statutory pollution control standards.
6. To ensure corporate growth by expansion and diversification.
7. To care for the community around.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
23/65
Study of Performance Appraisal
COMPANY PROFILE
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
24/65
Study of Performance Appraisal
COMPANY PROFILE
FACT Indias first large scale fertilizer unit was set up in 1943.
In 1947 FACT Udyogamandal started production ammonium sulphate
with an installed capacity of 10000 kt nitrogen. FACT becomes a
Kerala State Public sector enterprise on 5th August 1960 and 21st
November 1962, the government of India became the major shareholder.
The second and third stage of expansion of FACT was computed in 1962
and 1965 respectively with setting up of a new ammonium sulphate
plant.
FACT engineering and design organization was set up on 24th July
1965 to meet the engineering needs for indigenous capabilities in vital
areas of engineering, design and consultancy for establishing large scale
and modern fertilizer plant. FEDO has since then diversified into
chemicals, petrochemicals, hydro metallurgy, pharmaceutical and other
areas.
FACT engineering works was established on 15th April 1996 as a
unit to fabricate and install equipments for fertilizer plants. Over the
years few develop capabilities in the fabrication of pressure vessels and
heat exchangers. FEW have also undertaken lying of cross country
piping and fabrication and installation of large pen stocks of hydro
projects.
The Cochin division of FACT, the second production unit was set
up at Ambalamedu and the first phase was commissioned in 1974. The
second phase of FACT Cochin division was commissioned in 1976. As
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
25/65
Study of Performance Appraisal
diversification plan from the traditional field of fertilizers and chemicals,
50000 TPA caprolatum plant at Udyogamandal was commissioned in
1990.
FACT set up 900 TPD ammonia plant at Udyogamandal at a cost
of 638 crores. The ammonia plant was commissioned in 1998.
FACTs two fertilizer manufacturing plants at Udyogamandal and
Cochin together have to far produced and distributed millions of tones of
fertilizer nutrients, which has helped the farmers to produce voer 50
million tones of foods grains.
FACTs marketing division has a well organized sales network
which ensured even the farmers in the remotest village is fully benefited
through its agronomy and rural development services.
The rich fund of expertise, experience and skills gained over the
years in the manufacturing unit of FACT were pooled together on themid sixties to form two separate engineering divisions, FACT
Engineering and Design Organization (FEDO) and FACT Engineering
Works (FEW). These two divisions between them cover the entire
spectrum of consultancy and engineering services and have contributed a
great deal a attain self in fertilizer and chemical technology in the
country.
In 1990, FACT further diversified into the field of petrochemicals
by setting up a caprolactum unit. Today, FACT is in the threshold of
further diversification and background integration.
Cochin Division
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
26/65
Study of Performance Appraisal
FACT Cochin Division was set up in the 1970s at Ambalamedu,
30 km from Udyogamandal and adjacent to the Cochin refineries. Phase
one of the division saw the setting up of the integrated ammonia ureacomplex, A large scale complex fertilizer plant of 4.85 lakhs TPA was
set u phase two of Cochin Division.
Over all production capacity at present is 19200 tones of nitrogen
and P2O5 per annum.
Udyogamandal Division
The Udyogamandal division of FACT can be called the mother
unit of entire fertilizer industry in India. FACT commenced production
at Udyogamandal with the commissioning of 50000 tones per annum
ammonium sulphate plant in 1947. In the decades that followed multi
stage expansion programmes were undertaken bringing in the latest
technology of the day, which were quickly mastered and successfully
implemented.
The latest addition to this division is a 900 TPD ammonia
complex set up with an investment of 642 crores. FACT Udyogamandal
division is ISO 14001 certified. Over all production capacity is 76060
tones of nitrogen and 297000 tones of P2O5.
Petrochemical Division
FACT diversified into petrochemical in 1990 with the
commissioning of caprolactum plant. The versatile petrochemical is the
raw material for the manufacture of nylon-6, which funds extensive
application in textiles, tyre, cord and engineering products. Owing to its
high quality, the product has been acknowledged as among the best in
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
27/65
Study of Performance Appraisal
the world. Co-product ammonia sulphate is transferred for processing to
the Udyogamandal division. FACTs petrochemical division is ISO
9001 and ISO 14001 certified.
Marketing Division
The marketing division has its head office at Eloor,
Udyogamandal and is the independent division that undertake marketing
and distribution of all FACT products. Each division is headed by a
General Manager who is responsible for the day to day running of the
division. He is responsible to an executive director who is the member
of the Body of Individuals and responsible for policy matters relating to
that particular division. Each division is divided into several
departments, which include personnel and finance department. Each
department has its head office at Eloor, Udyogamandal that maintains all
accounts of FACT.
FACT Engineering and Design Organization (FEDO)
FEDO was established in 1965 for utilizing the considerable
indigenous plants building expertise accumulated by FACT in its
process of nurturing the nascent chemical fertilizer industry.
FEDO is today one of Indias premier engineering organization
catering to a wide spectrum of industries like petrochemical, refining,
pharmaceuticals, hydrometallurgy etc. as well as petroleum storage,
environmental engineering, offsite facilities etc.
The division undertakes project execution on consultancy and
turkey, basis, handling the intricacies of technology sourcing, design and
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
28/65
Study of Performance Appraisal
engineering, hardware procurement and instruction with practiced case.
FEDO is ISO 9001 certified.
FACT Engineering Works (FEW)
Established in 1996, FEW were originally conceived as a unit to
fabricate and erect equipment for fertilizer plants. Over the years, it
developed capabilities in the manufacturers of class-I pressure vessels,
heat exchangers, spiral guided wet type multi lift gas holders, and rail
mounted LPG tank wagons, KAVERNER and MCGREGOR type hatch
covers and bulkhead stools for cargo ships. FEW received ISO 9002
certification
in 1998.
Computer Service Center
FACT was among the first companies to install a computer as
early in the sixties. In order to meet the growing needs for management
information and for engineering and commercial applications. This
multi system computer service center is constantly updating its hardware
and software.
FACT computerized its activities since 1965 to meet the growing
needs for management information, engineering and commercial
application. The center is equipped with servers in its all divisions
connected by FACT net and internet network.
Management Development Centre (MDC)
FACT-MDC was set up in the year 1978 to equip the officers of
the company with the knowledge skills required for excellence in
operation. MDC identifies the training and for meeting the
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
29/65
Study of Performance Appraisal
development needs, middle and junior level managers separated. For the
highly specialized training requirements, this centre sponsors managers
for external training within the country as well as abroad. MDC is alsoresponsible for training of management trainees recruited by the
corporation every year.
Research and Development
Modern technology has to say a leader in any field research and
development plays a key role. No wonder from a small laboratory in
1963, the research and development department has grown to a
well0equipped one with pilot plants backed by a team of highly
motivated research scientisits. The 47 plants held by FACT is ample
proof.
FACTs research and development section has advanced facilities
with pilot plants, modern equipments and accessories. A team of highly
motivated research scientists backs the division various processes have
been developed and patented by FACT research and development
division of which several has been commercialized successfully. A 150
TPA bio fertilizer plant is setup at research and development centre.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
30/65
Study of Performance Appraisal
PRODUCT PROFILE
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
31/65
Study of Performance Appraisal
PRODUCT PROFILE
FERTLIZERS URA, AMMONIUM SULPHATE,
COMPLEX FERTILIZERS
PETROCHEMICALS CAPROLACTAM
CHEMICALS AMMONIA, SULPHURIC ACID,
SODA ASH, NITRIC ACID
Finished Products
Ammonium Sulphate Udyogamandal Division
Ammonium Phosphate/complex fertilizers factomfo-
Udyogamandal Division & Cochin Division.
Urea Cochin Division
Caprolactam Petrochemical Division
Biofertilziers Research & Development Division
Exported Products
Caprolactam Petrochemical Division
Byproducts
Nitric Acid & Soda Ash Petrochemical Division
Gypsum Udyogamandal Division & Cochin Division
Carbon Dioxide Gas Udyogamandal
Intermediary Products
Ammonia Udyogamandal & Cochin Division
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
32/65
Study of Performance Appraisal
Synthesis Gas Udyogamandal Division
Sulphuric Acid Udyogamandal & Cochin Division
Oleum Udyogamandal Division
SO2 Gas Udyogamandal Division
Phosphoric Acid - Udyogamandal & Cochin Division
PRODUCT MIX
Straight Fertilizers
Ammonium Sulphate Containing 20.6% N in a ammonical form
and 24% sulphur, an important nutrient.
Urea FACT Urea with 46% N. FACT Urea is ideal for folia
application also, as the bluret content is extremely low.
Complex Fertilizers
Factomfos 2:20:0:15 NPK Complex fertilizer Factamfos or
Ammonium Phosphate contains 29% N in ammonical form,
20% P in water soluble form and 15% sulphur, a secondary
plant nutrient, which is now attaining great importance in
agriculture. Factamfos also can be used for foliar spraying.
NPK Mixtures
NPK Mixtures FACT prepares crop specifies standard mixtures
for all crops in Kerala and also special NPK mixtures for
plantation crops like Tea, Cofee, Cardomom Rubber etc.
Rose Mixture A fertilizer tonic for roses.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
33/65
Study of Performance Appraisal
Vegetable Mixture A special blend exclusively prepared for
vegetables.
Garden Mixture A special nutrient combination for both
flowering and foliage ornamental plants.
Chemicals
Anhydrous Ammonia FACT produces Ammonia of over
99.96% purity.
Sulphuric Acid FACT has one of the largest plants in Asia and
we manufacture sulphuric acid of 98% purity.
Caprolactam It is a raw material for Nylon-6. The product
quality of FACT caprolactam is among the best available in
the world.
Nitric Acid & Soda Ash Small qualities of these are obtainedfrom caprolactam plant as byproduct.
FACT has no entered into trading in imported MOP, Urea, and
Ammonium sulphate. FACT has commenced production and marketing
of bio fertilizers and marketing of pesticides.
The total sales of Fertilziers and chemicals during 1998-99 was
12.09 lakh MTS and 1999-2000 was 13.16 lakh tones with a sales
turnover of
Rs. 1263 crores.
Realizing the importance of bring the essential agricultural inputs
and facilities for advisory service under single roof, FACT has converted
its major selling points into Agro Service Centres rendering service to
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
34/65
Study of Performance Appraisal
farmers. These centres advise the farmers on modern farm management
techniques, credit availability, marketing prospects etc. It also prepares
detailed farm plants for each farmer.
FACT is the pioneer in fertilizer education and sales promotion
programs. These consists of fertilizer festivals, study classes, seminars,
Krishi Vigyan Kendras (KVKS), crop campaigns, crop demonstrations
etc, with an ideal blend of information and establishment to drive home
the message of balanced fertilizer use for increasing crop production.
Our creative and novel education programs like village adoption gained
national recognition.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
35/65
Study of Performance Appraisal
RESEARCHMETHODOLOGY
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
36/65
Study of Performance Appraisal
METHODOLOGY
In order to study PERFORMANCE APPRAISAL OF
EMPLOYEES OF FACT LTD., the research works have to undertake
several steps in well regulated order. Failing in any one of these steps
may lead to artificial lapse in the whole attempt, which ends in
unsatisfactory results.
Population of the Study
The population of the study is FACT Ltd., Company.
Sample of the Study
The sample of the study is 50 employees from FACT Ltd.,
Company.
Sampling Method
Convenience sampling is used by the researcher for sample
selection.
Tool of Study
Printed lists of questions are used as the tool of study for
collecting data.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
37/65
Study of Performance Appraisal
Collection of Data
Research is base upon various types of information. It is not
possible without different kinds of information. Just as building require
bricks and motr for its construction, similarly social research
successfully, information should be gathered from proper required
concerned information. Both primary and secondary data were used for
the study.
Primary Data
The primary data using the questionnaire is proposed to be
collected from the representative sample of employees of FACT Ltd.,
working in different departments and under different categories.
Secondary Data
Secondary data will be collected from the records available in the
organization. Business magazines and publicity materials are also form
part of secondary source of data.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
38/65
Study of Performance Appraisal
DATA ANALYIS AND INTERPRETATION
Table 11. How often performance appraisal is done in your organization?
OpinionNo. of
RespondentsPercentage
1. 3 Months 4 8
2. 6 Months 6 12
3. 1 Year 35 70
4. Less than 1 year 5 10
Total 50 100
812
70
10
0
10
20
30
40
50
60
70
80
3 Months 6 Months 1 Year Less than 1
year
The above table shows the response of the respondents towards
the problem. How often performance appraisal is done in your
organization. 70% of people said that 1 years appraisal is done in this
organization and 12% of people says 6 months and 10% people says less
than one year and 8% of people. Says that 3 months appraisal
programme is don in their organization.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
39/65
Study of Performance Appraisal
Table 2
2. Which factor should be given priority in the organization?
OpinionNo. of
RespondentsPercentage
1. Personal Factors 8 16
2. Companys Objective 42 84
Total 50 100
16
84
0
10
2030
40
50
60
70
80
90
Personal Factors Companys Objective
Above table showing the response of 50 selected people to the
question which factor should be given priority in the organization 16%of people said that the organization give priority to the personal factors
while 84% of people respond to the companys objective. We can
understand from the table that most of the people are respond to the
companys objective that is the company give importance mainly to the
companys objective only.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
40/65
Study of Performance Appraisal
Table 3
3. Whether the performance appraisal system helps to increaseyour efficiency in the firm?
OpinionNo. of
RespondentsPercentage
1. Yes 35 70
2. No 15 30
Total 50 100
Percentage
0
10
20
30
40
50
60
70
80
Yes No
Percentage
From the table it is clear that 70 of people respond in a way that
the performance appraisal systems helps to increase their efficiency in
the firm and the 30% of people do not agree with it.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
41/65
Study of Performance Appraisal
Table 4
4. Are you satisfied with the communication in the work place
between superiors and subordinate?
OpinionNo. of
RespondentsPercentage
1. Yes 39 78
2. No 11 22
Total 50 100
78
22
Yes
No
For the question are you satisfied with the communication in the
work place between superiors and subordinates about 78% of people are
satisfied with the communication in the work place and 22% of people
are not satisfied with the communication in the work place between the
superiors & subordinates.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
42/65
Study of Performance Appraisal
Table 5
5. Behaviour of superiors to the workers
OpinionNo. of
RespondentsPercentage
1. Satisfied 31 62
2. Unsatisfied 19 38
Total 50 100
62
38
0
10
20
30
40
50
60
70
Satisfied Unsatisfied
62% of people are satisfied with the behaviour of superiors to the
workers while 38% of people are dissatisfied with the behaviour of
superior.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
43/65
Study of Performance Appraisal
Table 6
6. Workers approach to work
OpinionNo. of
RespondentsPercentage
1. Enthusiastic 20 40
2. As a daily routine 30 60
Total 50 100
40
60
0
10
20
30
40
50
60
Enthusiastic As a daily routine
Above table shows the workers approach to work most of the
people are respond in such a way that they have not enough interest to
do the work and these type of approach to work and about 40% of
people have much interest to do work.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
44/65
Study of Performance Appraisal
Table 7
7. Who done the performance appraisal system in your
organization?
OpinionNo. of
RespondentsPercentage
1. Superiors 8 16
2. Subordinates 0 0
3. Self appraisal 30 60
4.Superiors & self
appraisal12 24
Total 50 100
16
0
60
24
0
10
20
30
40
50
60
70
Superiors Subordinates Self appraisal Superiors & self offered
From the table we can see that the opinion of different persons
about the question who done the performance appraisal system in the
organization it is clear that 60% of people respond to self appraisal and
24% replied that superiors and self appraisal, and 16% of people respond
that the superiors done the performance appraisal.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
45/65
Study of Performance Appraisal
Table 8
8. Is the system helpful in self-development?
OpinionNo. of
RespondentsPercentage
1. Yes 41 82
2. No 9 18
Total 50 100
82
18
Yes
No
From the table 82% of people belives that the system is helpful in
self-development and 18% of people think that the appraisal system is
not helpful to their self development.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
46/65
Study of Performance Appraisal
Table 9
9. Do you agree with the statement employee performance isimproved through performance appraisal?
OpinionNo. of
RespondentsPercentage
1. Strongly agree 12 24
2. Agree 30 60
3. Disagree 5 10
4. Strongly Disagree 3 6
Total 50 100
24
60
106
0
10
20
30
40
50
60
70
Stronglyagree Agree Disagree StronglyDisagree
From the table it is clear that 50% of people agree with the
statement, and 24% of people are strongly agree with the statement and
10% of people belonging to disagree and 6% of people belong to
strongly disagree.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
47/65
Study of Performance Appraisal
Table 10
10. The present system is aware of employees consistency,accuracy, excellence and weakness?
OpinionNo. of
RespondentsPercentage
1. Agree 42 84
2. Disagree 8 16
Total 50 100
84
16
Agree
Disagree
Out of the respondents 84% believe that the present system is
aware on employees consistency, accuracy, excellence and weakness
and 16% disagree with it.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
48/65
Study of Performance Appraisal
Table 11
11. To what extent do you feel that the present system is helpful insetting higher goals for future
OpinionNo. of
RespondentsPercentage
1. Very Limited Extent -- 0
2. Great extent 36 72
3. Limited extent 6 12
4. Very great extent 8 16
Total 50 100
0
72
12 16
0
10
20
30
40
50
60
70
80
Very LimitedExtent Great extent Limited extent Very greatextent
Out of the respondents most of the people believe that the present
system is helpful in setting higher goals for future. 16% of believe the
present system is helpful in a very great extent and 12% believe that
limited extent.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
49/65
Study of Performance Appraisal
Table 12
12. What do you think is the reason for the poor performance?
OpinionNo. of
RespondentsPercentage
1. Lack of standard 20 40
2. Poor feedback system 13 26
3.
Poor measure of
performance 17 34
Total 50 100
40
26
34
0
5
10
15
20
25
30
35
40
45
Lack of standard Poor feedbacksystem
Poor measure ofperformance
Out of the responses about poor performance 40% believes lack of
standards is the reason, 34% believes it is due to poor measure of
performance 18% thinks that its due to poor feedback system.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
50/65
Study of Performance Appraisal
Table 13
13. Do you feel that additional increment should be given according
to the performance?
OpinionNo. of
RespondentsPercentage
1. Yes 31 62
2. No 19 38
Total 50 100
62
38
Yes
No
From the table it is clear that the 62% of people believes that
additional increment should be given according to their performance and
38% of people disagree with it.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
51/65
Study of Performance Appraisal
Table 14
14. Are you fully aware of existing performance practices?
OpinionNo. of
RespondentsPercentage
1. Yes 44 88
2. No 6 12
Total 50 100
88
12
YesNo
Out of 50 selected respondents 88% of the employees are
fully aware of the existing performance practices and 12% seems
unaware of it.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
52/65
Study of Performance Appraisal
Table 15
15. To what extent the present system is effective in analyzing
strength and weakens of employees?
OpinionNo. of
RespondentsPercentage
1. Limited extent 35 70
2. No 15 30
Total 50 100
70
30
0
10
20
30
40
50
60
70
Limited extent No
For the question what extent the present system is effective in
analyzing strength and weakness of employees 70% of people are think
the system is effective in analyzing strength and weakness of employees
and another 30% of people dont think so.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
53/65
Study of Performance Appraisal
Table 16
16. To what extent do you fell that the performance appraisal is
successful in developing employee potential?
OpinionNo. of
RespondentsPercentage
1. Very great extent 10 20
2. Great Extent 34 68
3. Limited extent 6 12
4. Very limited extent -- --
Total 50 100
20
68
12
00
10
20
30
40
50
60
70
80
Very great
extent
Great Extent Limited
extent
Very limited
extent
Most of the people believe that the performance appraisal is
successful in developing employee potential. 20% of people respond
that it helps in very great extent and 12% of people think that the
performance appraisal is successful in developing employee potential in
a limited extent.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
54/65
Study of Performance Appraisal
Table 17
17. The opinion of employee are taken into consideration while
appraising?
OpinionNo. of
RespondentsPercentage
1. Yes 32 64
2. No 18 36
Total 50 100
64
36
Yes
No
64% of the employees are believes that the opinion of employees
are taken into consideration in the time of appraisal whereas the 36% of
people dont believe that the opinion of employees are taken into
consideration while appraising.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
55/65
Study of Performance Appraisal
Table 18
18. Does the organization provide training to employees?
OpinionNo. of
RespondentsPercentage
1. Yes 40 80
2. No 10 20
Total 50 100
80
20
Yes
No
Out of the respondents 80% of people respond that the
organization provide training to employee and about 20% of people
dont agreement with this statement.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
56/65
Study of Performance Appraisal
Table 19
19. Do you feel proud of being in the organization?
OpinionNo. of
RespondentsPercentage
1. Yes 50 100
2. No 0 0
Total 50 100
100
0
Yes
No
For the question do the feel proud of being in the organization all
the respondents that is 100% of respondents are gave the answer yes.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
57/65
Study of Performance Appraisal
FINDINGS
1. 70% of the people think that the performance appraisal system
helps to increase their efficiency in the firm
2. Majority of people are satisfied with the communication in the
work place between superiors and subordinates.
3. Majority of people are not interested to do work they treat their
work as a daily routine.
4. For the question who done the performance appraisal system in
your organization 60% of people replied that self appraisal is done.
5. 82% of people believe that the performance appraisal system is
helpful in self-development.
6. 50% of people believe that the employee performance is improvedthrough performance appraisal.
7. Majority of the respondents uniquely agree with the fact that
present system is aware of employee consistency, accuracy,
excellence and weakness.
8. 72% of people think that the present system is helpful in setting
higher goals for future.
9. For the question what do you think is the season for the poor
performance 40% believe that the reason is lack of standards, 26%
believes that poor feedback system and 34% believes that the
reason is poor measure of performance.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
58/65
Study of Performance Appraisal
10. Majority of people are agree with the statement additional
increment should be given according to the performance.
11. The employees are mostly found to be aware of performance
appraisal practices.
12. 70% of people think that the present system is effective in
analyzing strength and weakness of employees.
13. Majority of people are think that the performance appraisal is
successful in developing employee potential.
14. More than half of the respondents respond that the opinion of
employees are taken into consideration in the time of appraisal.
15. 80% of people said that the organization provide training to
employees.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
59/65
Study of Performance Appraisal
SUGGESTIONS
1. The system must move closer to the employees, understand his
problems and must suggest remedial steps in a friendly manner.
2. The worker must be given proper recognition as per their work.
3. There should be create a friendly atmosphere in the organization so
that the workers can easily communicate to their superior.
4. The superiors must consider the opinion of their subordinates.
5. Employees must be given a certain part to play in the determination
of the targets.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
60/65
Study of Performance Appraisal
LIMITATIONS
1. The study is restricted only to a few workers in the organization
and their opinion need not be the opinion of the other majority.
2. Findings of the study are based on the assumption that the
respondents have given true opinion.
3. Duration of the time of study was limited and hence a detailed
project survey was not undertaken.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
61/65
Study of Performance Appraisal
CONCLUSION
Performance appraisal can be effective only if it can pay way to
some kind of improvement of development in the potentialities of the
employees. Performance appraisal is effective in a organization then theorganization can achieve better results also. Development of employees
can lead to development of organization itself. So employee
development is an important factor of every organizations. From this
study it is found that the workers have the suggestion to improve the
appraisal system and they have the opinion that, it has to consider the
reason for poor measure of performance and the possibilities of
deviations that exist. The employees should be given more chances for
expressing themselves and they must be given their say. Their opinion
must be given due importance so that the system will become employee
friendly and will be having all ways for employee development which
can definitely contribute to organizational growth.
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
62/65
Study of Performance Appraisal
QUESTIONNAIRE
A project Report on performance Appraisal of employeeson FACT Ltd
Name :
Age :
Designation :
1. How often performance Appraisal is done in your organization?
3 Months 6 Moths
1 year less than 1 year
2. Which factor should be given priority I the organization?
Personal factors Companys objective
3. Whether the performance Appraisal system helps to increase your
efficiency in the firm?
Yes No
4. Are you satisfied with the communication in the work place
between superiors and subordinates?
Yes No
5. Behaviour of superiors to the workers?
Satisfied Unsatisfied
6. Workers approach to work?
Enthusiastic as a daily routine
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
63/65
Study of Performance Appraisal
7. Who done the performance appraisal system in your organization?
Superiors Subordinates
Self appraisal Superiors & self appraisal
8. Is the system helpful in self-development?
Yes No
9. Do you agree with the statement employee performance is
improved through performance appraisal?
Strongly agree agree
Disagree Strongly disagree
10. The present system is aware of employees consistency, accuracy,
excellence and weakness?
Agree Disagree
11. To what extent do you feel that the present system is helpful in
setting higher goals for future?
Very limited extent Great extent
Limited extent very great extent
12. What do you think is the reason for the poor performance?
Lack of standards Poor feedback system
Poor measure of performance
13. Do you feel that additional increment should be given according
to the performance?
Yes No
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
64/65
Study of Performance Appraisal
14. Are you fully aware of existing performance practices?
Yes No
15. To what extent the present system is effective in analyzing
strength and weakness of employees?
Limited extent Great extent
16. To what extent do you feel that the performance appraisal is
successful in developing employee potential?
Very great extent Great extent
Limited extent very limited extent
17. The opinion of employees are taken into consideration while
appraising?
Yes No
18. Does the organization provide training to employees?
Yes No
19. Do you feel of being in the organization?
Yes No
SAS SNDP YOGAM College, Konni.
-
8/6/2019 vidhya vishvan
65/65
Study of Performance Appraisal
BIBLIOGRAPHY
Human Resource Management - Shasi K. Gupta & Rosy Joshi
Kalyani Publishers
Human Resource Management - David A. Decenzo & Stephen P
Robbins, 3rd Edition
Hall of India Private Ltd.
Research Methods - C.R. Kothari, K.K. Gupta