Individual Term Paper

performance appraisal and compensation system

Individual Term Paper

GMG Airlines Performance Appraisal and Compensation System

For

Dr. Shahid U. Ahmed

BY Md. Shakhawat Hossain

ID. 071 005 060

CONTENT 2CONTENT

LETTER OF TRANSMITTAL 3

LETTER OF ACKNOWLEDGEMENT 4EXECUTIVE SUMMARY5INTRODUCTION6VALUES 6GMG NETWORK7FUTURE PLAN7FIRST CLASS ALL THE WAY 8 FIRST CLASS SERVICE8FIRST CLASS SAFTY9FIRST CLASS COMFORT10FIRST CLASS RELIABILITY:11 GMG HOLIDAY PACKAGES12INTERLINE PARTNERS121ASPIRATION STATEMENT

3ETHICAL MANAGEMENT PRACTICES14HUMAN RESOURCES OF GMG15LIITERATURE REVIEW16PERFORMANCE APPRAISAL16COMPENSATION SYSTEM18PERFORMANCE APPRRAISAL OF GMG19COMPENSATION SYSTEM OF GMG:24RECOMMENDATIONS26CONCLUSION28

LELLER OF TRANSMITTALDr. Shahid Uddin Ahmed

Professor

North South University

Dear Sir,

First, I would like to thank you for approving this important topic. The study has given me the opportunity to get a deeper insight and use my theoretical knowledge in practical world.

The study contains a comprehensive study on performance appraisal and compensation system of GMG Airline. The study focuses upon various relevant factors. I have provided some key issues of GMG Airline and suggested some recommendations.

I try my best and will be obliged to provide you with any clarification regarding the term paper.

Sincerely yours,

Md. Shakhawat Hossain

Roll: 071005060

North South UniversityLETTER OF ACKNOWLEDGEMENTFirst of all, I would like to thank our honorable faculty Mr. Shahid U. ahmed for providing me with the opportunity to observe and analyze such interesting topic and, more over for his invaluable guidelines, suggestions and advices whenever needed.

My sincere thanks also go to A. S. M Saklian- Administrative Officer, Mr. Firoz Ahmed- Executive of Human Resource Department for guiding me in every step, providing the confidential data, sharing his views and patiently answering all of my queries despite of his busy schedule.EXECUTIVE SUMMARYGMG Airlines's foundation is built on their values, which distinguish them and guide their actions. They conduct their business in a socially responsible and ethical manner. They respect the law, support universal human rights, protect the environment, and benefit the communities where they work. So, in the performance appraisal and compensation system there is a huge impact of their values, such as integrity, mutual trust, philosophy of management, perfect job design, high performance, protecting people and the environment, teamwork, ethical practices etc. The compensation system depends on various factors, such as domestic labor market, profitability of the company, supply and demand of labor, employee tenure and performance. In this regard and keeping in mind one of its long-standing core values, GMGs executives must determine how performance appraisal and compensation system can contribute to the company's performance in an increasingly global competitive business environment. Should GMG maintain, modify or abandon the various human resource management initiatives undertaken during the last decade? Answers to this question will depend heavily on the business strategy formulated by manager, human resource management and the new senior executive team at GMG Airline.

INTRODUCTION.

ABOUT GMG AIRLINE

GMG Airlines started its operations on 6th April, 1998 and today it has geared up the concept of domestic air travel in Bangladesh by providing exceptional service which is valued & cherished by all travelers.

While we continue to strive for improvement, we are pleased with our achievements, and proud of the elevated stratum of service we provide to our ever-increasing number of patrons.

GMG Airlines name is written in golden letters in the aviation history of Bangladesh when it became the only private airline of Bangladesh to fly on international routes. This historical event took place on 8th September 2004 on our first international flight from Chittagong to Kolkata.

VALUESMany passengers who fly with GMG Airline are pleasantly surprised by the warm, very welcoming & efficient standard of our ground and in-flight services. This service notion is portrayed in our ethics "First Class All the Way". We always strive to make the travel of our guest an enjoyable, relaxing and a stress-free experience.Everything we do is geared towards one main objective - to bring the pleasure of air travel to you in a safe, secure and efficient manner. We are in incessant quest to set standards which other competing airlines are seeking to match.We always seek to serve our guests and gain their trust, goodwill and loyalty and when you travel with GMG Airlines you are assured of receiving high quality of service and reliable, comfortable and efficient operations.TrustGMG Airline trust, respect and support each other, and we strive to earn the trust of their colleagues and partners.

GMGS NetworkGMG Airlines now operates from Dhaka to Barisal, Chittagong, Coxs Bazar, Jessore & Sylhet on the domestic network and to Kolkata (India) on the international routes.

Reliability

An unbeatable record of on-time flights and providing benefits to GMGS guests by having interline arrangements with majority of leading world airlines has helped them to earn passengers confidence.

GMGS Team

GMG Airline is based on team spirit with every one working together to ensure mutual success.

They are managed by an extensive team of airline professionals with many years experience gained from leading carriers around the world and every team member is accountable for the successful execution of his/her duties, commitments and obligations, and to strive to lead by example.

The environment ensures that every employee can contribute skills, talents and ideas to a never-ending process of improvement and innovation in all aspects of our business.

Future Plans

Over the next few months, GMG will be introducing a whole range of fresh ideas and an approach to service that is altogether different. Much of this comes from ideas and suggestions from their guests: many of the "little things" that can make or mar any flight gain a whole new significance at GMG Airlines.

This year and in the years ahead GMG Airlines will continue to operate with insight & innovation by providing passengers with increasingly modern & comfortable aircraft and expanding its network to cover more destinations like Mumbai, Chennai, Colombo, Male, Kathmandu & Bangkok.

First Class All The Way

A successful company is one that customers choose first. And customers choose that company first which is committed to the four basic pillars - highest priorities of safety, reliability, convenience. .

GMGs goal is to be the First Choice of customers on the strength of personal service and world-class performance. The mission of GMG Airlines is dedication to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride and company spirit. At GMG Airlines their mission statement has always governed the way we conduct our business.

Since inception GMG Airlines is working steadily and slowly to evolve into a world-class international airline. Taking a true service oriented approach right from the moment a customer steps in for ticketing needs in any of their offices, till the time the journey is complete. Exemplary service and innovative thinking pervade all aspects of a flight with GMG Airlines. It is their sincerest effort to seek growth through selfless service to all our customers at all the stages - First Class All The Way.

First Class Service

GMG does its utmost to schedule services to offer business people optimum time at their destination, be it a regional center or the capital city. And, if your travel is for pleasure, there is a further promise we want to keep.

GMG Airline continually strives to provide a high level of service to their customers in keeping with their long standing reputation and pioneering origins. In strengthening the company to keep pace with changing environment we have found a harmonious mix with exciting new technology and respected 'country tradition'.

Right from the time you make a reservation and then at each step of the journey including checking in, boarding and deplaning, proceeding to public arrival areas & retrieving luggage - extra special attention is ensured at each step all ensuring a journey with dignity and in comfort.

At GMG Airlines their motto is to set their sights on providing the best personalized service in the business. And that means doing the best in everything we do.

Providing the best reservation, check-in and transfer facilities, equipping their fleet with the best aircraft and fitting them out with the best configuration and standards of comfort, offering best in-flight catering & service and ensuring the best levels of punctuality and frequency on the routes we fly and employing the best people in the industry are a few to name.

GMG Airline believes that there is no relationship in business more important than that between a company and its customers. Customers are their first priority. As a result of their high standards, GMG Airline has built long term relationships and an excellent reputation for professional service, product knowledge and commitment to complete customer satisfaction.

It is their goal to continue to improve their services to you, they valued customers. Their vision statement lays out the course for their development over the next decade. Its visible manifestation will be a new look that will be unveiled in the coming years. Some things will remain the same, some will change, however: their commitment to excellence and superior service that has spurred their growth will remain the same - First Class All The Way.

First Class SafetyApart from its staff, an airline is only as good as its aircraft and its aircraft are only as good as the level of service and maintenance they receive.

GMG's commitment in this area is second to none. As a result, GMG has achieved 99.5% dispatch reliability with its fleet - one of the highest in the world.All maintenance checks & services are carried out by GMG's own Engineering staff consisting of more than 60 Engineers including many expatriates. Their collective wealth of experience in aviation maintenance coupled with advanced diagnostic equipment with CRT readouts & printouts for precise checks has ensured GMG Airlines position at the leading edge of technological development and a source of standards in engineering excellence in the aviation industry.

First Class ComfortFlying with GMG Airline is a truly special experience. GMGs aircrafts are designed with customers comfort in mind. During the course of passengers journey they will enjoy the finest in facilities together with the warm and impeccable hospitality for which GMG Airlines is known the world over.

GMG Airlines has its own exclusive lounges at major Airports. The decor reflects a combination of Bangladesh design and contemporary style. The entire lounge is elegantly designed with carefully planned flow areas, interspersed with comfortable seating arrangements and accessible very own complementary hospitality zones ensuring customers total comfort. No wonder a passenger once remarked These are an oasis of beauty & tranquility where passengers can unwind."

From the moment passengers sink into the rich leather seat, they know that theirs is an extraordinary aircraft. Stretch out and relax throughout their journey in their wide & spacious seats. Seats are placed two abreast similar to first class in other airlines - every seat is an aisle or a window seat, all assuring you superior comfort. Passenger will have his/her own reading lamp, which will not disturb your neighbor.

The in flight service is truly sumptuous. While the friendly, efficient and yet always discreet cabin attendants take care of passengers needs, there is a choice of superb delicious snacks for passengers.

Services for special needs - for handicapped and infirm passengers are also available. Wheelchairs & mobility aids are provided to special need customers and extra special attention is ensured at each step of the journey including checking in, boarding and deplaning, proceeding to public arrival areas & retrieving luggage - all ensuring a journey with dignity and in comfort.

GMG Airline also takes care of unaccompanied minors ensuring that your child arrives safely at his or her destination escorted and supervised by GMG Airlines staff. At the destination, GMGs airport staff will ask the person meeting the child for proof of identificationensuring your peace of mind - First Class All The Way.

First Class ReliabilityReliability is a key factor determining the future of an airline and we at GMG Airlines have no false illusions about it. Not only are GMG Airline is setting new quality standards in every aspect of the airlines operations and services, GMG Airline is doing so with a pragmatism that is a refreshing change from the 'throw money at the problem' method to the old school method 'We want to progress slowly, strongly, efficiently by building a solid business delivering quality without any compromises whatsoever.'

GMG's fleet of aircrafts uses advanced technology including Doppler radar which allows pilots to determine air currents within cloud formations and an active noise reduction system which ensures a quieter, more peaceful ride ensuring high level of dependability, comfort, reliability and versatility.At GMG, it is considered a definite advantage to have advanced training facilities available for all its crew members.

All the Pilots are trained at Flight Safety Academy in Toronto Canada and SAS Academy in Stockholm, Sweden. In addition, all pilots frequently undergo regular extensive training on advanced flight simulators at SAS Academy in Stockholm. Most of the flight simulator training are of a level D category, enabling so-called Zero Flight Time Training.

These flight simulators are equipped with full motion system, high quality daylight visual system and CRMDS video (Crew Resource Management Debriefing System) ensuring that training checking in the simulators can be carried out at a very high degree of realism. However, GMG Airlines also maintains the practice of giving all pilots real aircraft training.

All GMG's flight crew training and control is carried out under the direction of GMG's Director of Flight Operations by Captains who are rated to carry out check and training on all GMG's pilots - First Class All the Way.

"GMG Holidays" Holiday PackagesBangkok

Package includes accommodation with daily breakfast at Hotel. Round trip airport-hotel transfer. Half day city & temple tour.

Pattaya & Bangkok

Package includes accommodation with daily breakfast at Hotel. Full day Coral Island, Pattaya tour with lunch. Half day city tour at Bangkok.

Kathmandu

Package includes Accommodation with Economy class air ticket for Dhaka-Kathmandu-Dhaka on GMG Airlines, breakfast, lunch dinner, airport transfers and sight seeing tour.

Kathmandu & PoKhara

Package includes accommodation with economy class air ticket for Dhaka/Kathmandu/Dhaka. Accommodation with daily breakfast, return transfer air port to hotel & hotel to airport.INTERLINE PARTNERS GMG Airlines is a member partner in Multilateral Interline Traffic Agreement. It is also a member of IATA Clearing House facilitating a smooth Settlement of revenue transactions.GMG Airline's interline agreement with reputed international airlines has ensured prompt & convenient countrywide connections.

GMG Airlines is in interline agreement with many international airlines including British Airways, Emirates, Gulf Air, Kuwait Airways, Air France, Air China, PIA, JAS, Turkish Airlines, Indian Airlines, Air Namibia, Garuda Indonesia, Thai Airways, Yemen Airways, Tunis Air, Syrian Air and Singapore Airlines to mention a few, to provide trouble free connecting fights to and from abroad.

Diversity

We learn from and respect the cultures in which we work. We value and demonstrate respect for the uniqueness of individuals and the varied perspectives and talents they provide. We have an inclusive work environment and actively embrace a diversity of people, ideas, talents and experiences.

Ingenuity

We seek new opportunities and out-of-the-ordinary solutions. We use our creativity to find unexpected and practical ways to solve problems. Our experience, technology, and perseverance enable us to overcome challenges and deliver value.

High Performance

We are committed to excellence in everything we do, and we strive to continually improve. We are passionate about achieving results that exceed expectations our own and those of others. We drive for results with energy and a sense of urgency.

ASPIRATION STATEMEENT

We all want a Company that our people are proud of and committed to, where all employees have an opportunity to contribute, learn, grow and advance based on merit, not politics or background. We want our people to feel respected, treated fairly, listened to and involved. Above all, we want satisfaction from accomplishments and friendships, balanced personal and professional lives, and to have fun in our endeavours. When we describe the kind of GMG Airline company we want in the future, what we are talking about is building on the foundation we have inherited: affirming the best of our Company's traditions, closing gaps that may exist between principles and practices and updating some of our values to reflect contemporary circumstances. What type of leadership is necessary to make our Aspirations a reality?

RecognitionLeadership that provides greater recognition -both financial and psychic-for individuals and teams that contributes to our success. Recognition must be given to all who contribute: those who create and innovate and also those who continually support the day-to-day business requirements.Ethical Management Practices

GMG Airline is committed to doing business with the highest ethical standards.

Operating in a responsible and ethical manner lies at the heart of our value system and, combined with superior technology and world-class execution, underpins our success.

Our standards are guided by The GMG Airline Way, which explains who we are, what we do, what we believe and how we conduct business in a socially responsible and ethical manner. And we depend on our Corporate Governance Guidelines and Business Conduct and Ethics Code to help us make the right decisions.

Through the Board Nominating and Governance Committee, we review and assess trends and revise our corporate practices to ensure we maintain our position at the forefront of corporate governance best practices.

HUMAN RESOURCES

GMG Airlines People

This high level of success, respect, trust, credibility & goodwill would not have been possible without the support of the employees. The management strategy at GMG Airlines has created an atmosphere where each & every staff irrespective of designation proudly associates oneself as GMG family. The feelings and the sense of belongingness has actuated tremendous spirit and dynamism in the course of business. The interpersonal relationship between the line and staff authority is cordial & friendly enough to bring the whole team close to each other.

R E C R U I T M E N T

GMG Airlines has a very stiff & rigid policy when it comes to recruiting staff. The scale of measurement during recruitment is high enough to ensure person's competency to ensure efficient contribution to the company's objectives. Only the finest candidates with a very high degree of communication skills are selected to ensure that customers get warm, friendly, prompt & professional attention and comfort in their interaction with us - relatively unknown in this part of the world.

T R A I N I N G

Regular in-house training programs are conducted to increase the staff skills and assistance from outside professional training agencies is also regularly seeked and stress laid to ensure that every staff is fully equipped with not only the latest developments in the industry and technology but also on his / her personality development, tips on customer service & development of interpersonal skills. All this ensures that customers get prompt, efficient, & pleasing service - First Class All the Way.LITERATURE REVIEWTHEORITICAL BACKGROUND

Purpose of Performance AppraisalThe purpose of performance appraisal is to improve the organization's performance through the enhanced performance of individuals.

OBJECTIVES OF PERFORMANCE APPRAISAL

When people think about performance appraisal they often refer to a number of more specific positive objectives such as:

To review past performance To assess training needs To help develop individuals To audit the skills within an organization To set targets for future performance To identify potential for promotionMore negatively they may believe that performance appraisal is simply used by the organization to apportion blame and to provide a basis for disciplinary action. Some people see it as a stick that management has introduced with which to beat people. And if this is their attitude-with or without cause-performance appraisal is doomed to failure.The Performance Appraisal Form is to be completed for all non-union employees noted on the list(s) sent to you by the Office of Human Resources.

The Self-Evaluation Form is to be given to the employee for completion and returned to the supervisor several days before the performance appraisal meeting. If the employee does not wish to complete the form he/she is not required to do so. This form can be a valuable communication tool during the performance appraisal meeting.

I. The Performance Appraisal Form must be completed, including the establishment of goals and objectives, and reviewed with each employee at a formal performance appraisal meeting. Forms without goals and objectives for next year will be returned and the employee(s) will not be eligible for salary increase consideration until goals and objectives are submitted.

II. Each completed Performance Appraisal Form (excluding the Self-Evaluation Form) must be signed by the employee and sent to your Vice President or Senior Staff member by the due date. A copy should be kept for your files.

III. Complete the Performance Appraisal Form as follows:

1. Complete the entire form indicating the most appropriate performance factor description. Review last years goals and objectives and indicate if they have been met. If they were not met, indicate why. The goals and objectives section should be reflected in the overall performance rating of the employee. Identify goals and objectives for April 1, 2008 March 31, 2009 upon which next years performance will be based. New goals and objectives must be included or the form will be returned to you. Circle the overall performance rating.

2. A rating of Outstanding requires a minimum one page summary as supporting documentation.

3. If the employees performance Does Not Meet Expectations/Needs Improvement, written comments supporting performance issues should be made, as appropriate. In addition, further corrective action should be outlined and discussed regarding any necessary changes in expected performance results.

Compensation SystemThe fundamental objectives of the compensation policies are to ensure that executives are provided incentives and compensated in a way that advances both the short and long term interests of shareholders while also ensuring that the Company is able to attract and retain executive management talent.

The Company approaches this objective through three key components:

* A base salary;

* A performance-based annual bonus, which may be paid in cash, shares of stock, stock units or a combination of these; and

* Periodic (generally annual) grants of long-term stock-based compensation, such as stock options, restricted stock units and/or restricted stock, which may be subject to performance-based and/or time based vesting requirements.

GMG AIRLINESPERFORMANCE APPRAISAL

Personal Data

SI NO.NameID NO.Loc/Dept:

1.Designation on JoiningDate of joiningPG -

2Present DesignationWith effect fromPG

Basic:

3Date of Last PromotionWith effect from PG

Basic:

4During appraised periodFromTo

PERFORMANCE REVIEW

WORK PROCESSPoints

9Always complies with rules, regulation and procedures and is an example for others.

7Complies with rules, regulations and procedures.

5Complies with rules, regulations and procedures most of the time.

3Requires supervision to comply with rules and regulations and procedures.

1Does not follow rules, regulations and procedure, in spite of supervision.

Attendance punctuality

Points

9Never absents and is exceedingly punctual all the time.

7More than satisfactory attendance records and is very punctual.

5Satisfactory attendance records and is normally punctual.

3Needs constant reminders on attendance and punctuality.

1Not punctual and has a poor attendance records in spite of remainders.

PointsWORK PERFORMANCE- QUALITY OF WORK

9Handles routine and extra work load efficiently and always ahead of deadlines

7Able to handle routine and extra work load adequately and is able to complete work on time

5Handles routine work adequately and is able to complete work on time

3Produces less than adequate amount of work and has some difficulty in meeting deadlines

1Produces minimum amounts of work and always fails to meet deadline

PointsWORK PERFORMANCE- QUALITY OF WORK

9Constantly produces work of exceptional standard

7Meets set standards and exceeds some sit standards most of the time

5Meets set standards occasionally

3Meets set standards most of the time

1Fails to meet set standards

PointsJOB ATTITUDE

9Dependable and reliable on routine and now assignments and is highly committed to work

7 Dependable on routine assignments, requires little supervision on new assignments, and fairly committed to work

5Dependable on routine assignments, requires lot of supervision on new assignments and fairly committed

3Requires supervision on most of the assignments and shows little committed

1Requires close supervision on most assignments and records committed

PointsTEAM WORK AND CO-OPERATION

9Works well with team members and actively promotes team spirit

7Works well with team members and helps promote team spirit

5Works well with team members

3Works well only with certain team members

1Does mot work well in a team

PointsCOMMUNICATION SKILLS (ORAL)

9Express thoughts and ideas skillfully excellent in communication

7Expresses thoughts and ideas clearly, gives clear instructions

5Express thoughts and ideas satisfactorily, gives instructions that can be understood

3Needs improvement in expression of thoughts and in giving instructions

1Has difficulty in expression and in being understood

PointCOMMUNICATION SKILLS( WRITTEN)

9Expresses thoughts and ideas skillfully, excellent in communication

7Expresses thoughts and ideas clearly, gives clear instruction

5Expresses thoughts and ideas satisfactorily, gives instructions that can be understood

3Needs improvements in expression of thoughts and in giving out instructions

1Has difficulty in expression and in being understood

TOTAL MARKS OBTAINEDCOMMENTS ON PERSONAL ATTRIBUTES

1. Any other specific achievements/major contributions

2. Additional comments of appraiser (General discipline, Absenteeism, Appreciation/counseling etc.)

3. Strengths.

4. Areas need improvement

5. Training needs.

I acknowledge that the above feedback has been communicated to me by my prior appraisal.

I agree/disagree. Reasons..

Signature of Appraise Signature of Appraiser

Name:.. Name:.

Date: Date:...

TO BE FILLED BY THE IMMEDIATE SUPERVISOR, NOT TO BE SHARED WITH THE APPRAISE: (Please put tick marks in the appropriate box)

a. Normal Increment YES NO

b. Multiple Increment 2 3

c. Merit Award YES NO

d. Recommended for promotion YES NO

Reasons(in case of Merit Award/Promotion/Nil Increment) .

Signature of immediate supervisor

RECOMMENDATION OF THE DEPARTMENT HEAD. PLEASE PUT TICK MARKS IN THE APPROPRIATE BOX.

a. Normal Increment YES NO

b. Multiple Increment 2 3

c. Merit Award YES NO

d. Recommended for promotion YES NO

Promotion to (if yes) Designation Grade.....

Reasons (in case of Merit Award/Promotion/Nil Increment..

Signature of Department Head

Short appraisal of record from personal file to be filled up by HR department (if any)

Remarks of Managing Director

Actions if any

Compensation System of GMG AirlinesGMG Airline follows the following pay scale for their staffs. These pay scales given below:Pay gradeFixed allowanceStartingAndIncrement

Pay grade 1250%250001100*3286001400*3328001600*1048800

Pay grade 1150%21500950*5262501200*5322501400*1046200

Pay grade 10 50%19500700*523250950*5280001200*1040000

Pay grade 9 50%14500600*517500750*521250950*1526000

Pay grade 850%11000500*513500600*516500750*1520250

Pay grade 750%9000425*511125500*513625650*1516875

Pay grade 650%7200375*59075450*511325600*1514325

Pay grade 550%670025*58325400*510325500*1512825

Pay grade 460%5700250*55950275*108700300*1510200

Pay grade 360%3800200*54800250*107300275*58675

Pay grade 260%3000175*53875200*105875225*57000

Pay grade 160%2300150*53050175*104800200*55800

Another important thing is GMG Airline provides higher salary for the top executives of the organization. GMG also have to provide salaries in dollar for the employees who come from the outside. Such as the aircraft engineer gets $5000 (US) per month. The highest salary is withdrawn by the pilots of GMG Airline.The factor determine GMGs compensation package and benefit program:

The domestic labor market

Profitability of GMG Airlines

Philosophy of the higher management

Supply and demand of specialized labor from the domestic labor market

Employee seniority and performance RECOMMENDATIONS

Following are brief instructions for completing the appraisal form. The appraisal should summarize performance that has occurred throughout the evaluation period.

1.Performance Review

There may be three performance appraisal forms: The first form must be used for the first three years an employee is in a position. For employees who have been in the same position for three years or more, this form must be used once every three years; it must be also be used if the overall performance appraisal rating changed from the previous evaluation period; if the overall performance appraisal rating is less than satisfactory; or if any individual rating factor, e.g., position expertise, is rated as less than satisfactory. Also, the employee and/or supervisor may opt to use the comprehensive form.

Form second is an abbreviated performance appraisal form that may be used for employees who have been in their positions for at least three years, the overall performance appraisal rating has not changed from the previous evaluation period, the overall performance rating is at least satisfactory, there are no individual rating factors, e.g., position expertise, rated less than satisfactory. Also, the form can be used for only two consecutive years; every three years the comprehensive form must be used.The third form will deal with the people who are working one year or less for the same post or for the same organization.

The appraisal form lists the seven performance factors and asks the supervisor to rate how the incumbent has applied those factors in accomplishing the essential functions, goals and expectations. Rate how the employee has applied each applicable factor in the performance of the essential functions.

2.Overall Appraisal of Performance

Indicate the employee's overall level of performance.

3.Comments Supporting the Overall Appraisal

Explain any appraisal which exceeds or falls short of the objective. Written documentation including examples or work samples should be provided.

4.Employee Comments

The employee may provide comments concerning the appraisal or the process

5.Signatures

a.The employee's signature indicates the appraisal has been discussed with the employee.

b.The supervisor should sign the evaluation after the performance appraisal has been conducted.

c.If the department head is not the supervisor, signature is required to indicate acceptance of review.

6.Planning Process/Job-Related Goals and Objectives

Identify future objectives for job performance, major activities and the corresponding time frame for meeting those objectives.

7.Self-Statement by Employee

Prior to the supervisor completing the performance appraisal, the employee should complete the self-statement.Based on this performance analysis the salaries of the employees should be revised. If this is not happen in the proper way then the company has to face a lot of losses in the form of losing competent employees and have to hire new employees which ultimately cause a huge cost for the organization. The company also has to incur a training cost for the new employees.

What goes wrong can be one or more of the following:

Attitudes

Support

Problems in making judgments about people

Lack of skill in conducting performance appraisal discussions

Difficulties in identifying the criteria for evaluating performance manifested in an inability to set good objectives or to find and use effective performance measures.

These problems and what can be done about them should be discussed between the appraise and the appraiser or among the appraise, the appraiser, and the management body of the organizationCONCLUSION

The GMG Airline Way explains who we are, what we do, what we believe and what we plan to accomplish. It establishes a common understanding not only for those of us who work here, but for all who interact with us. GMG Airline tries to provide lower salaries in comparison to other company in Bangladesh. Never the less, GMG provides other benefits to make the employees satisfied. Such as through providing a smooth working environment provides free tickets to fly as well as the hotel accommodation etc.

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