“A REPORT ON PERFORMANCE APPRAISAL WITH REFERENCE TO

COROMANDAL AGRO PRODUCTS AND OILS LIMITED, JANDARPET.

A Project Report submitted to JNTU Kakinada, in partial fulfillment for the

award of the degree.

“MASTER OF BUSINESS ADMINISTRATION”

by

Name:M.DEEPIKA

Regd No:16KT1E0032

Under the guidance of

Mr.A.SAI MANIDEEP

DEPARTMENT OF MANAGEMENT STUDIES

POTTI SRIRAMULU CHALAVADI MALLIKHARJUNA RAO

COLLEGE OF ENGINEERING AND TECHNOLOGY
(JNTU KAKINADA)
Kothapet, Vijayawada – 520001
2016 – 2018
 POTTI SRIRAMULU CHALAVADI MALLIKARJUNA RAO COLLEGE
OF ENGINEERING AND TECHNOLOGY

(Affiliated to Jawaharlal Nehru Technological University, Kakinada)

Kothapet, Vijayawada – 520001

CERTIFICATE

This is to certify that this project report entitled “A REPORT ON PERFORMANCE

APPRAISAL WITH REFERENCE TO COROMANDAL AGRO PRODUCTS

AND OILS LIMITED, JANDARPET.”is a bonafide work done by M.DEEPIKA ,
Regd no 16KT1E0032 under my guidance and supervision in partial fulfillment of the
requirement for the award of degree of Master of Business Administration (2016-2018) in
POTTI SRIRAMULU CHALAVADI MALLIKHARJUNARAO COLLEGE OF
ENGINEERING AND TECHNOLOGY, Kothapet, Vijayawada, Affiliated to JNTU
Kakinada.

Mr.A.SAI MANI DEEP Dr. V. VIJAY DURGA PRASAD

Project guide Professor & Head of the Department

Signature of the Examiner

 ACKNOWLEDGEMENTS

I thank to Dr. V. Vijay Durga Prasad, Professor, Guide & Head of the
Department of Management Studies for giving me the opportunity to take up the
project work and helping me out throughout and also for his valuable guidance and
support for the completion of my project.

I would like to express my sense of gratitude to Mr.A.SAI MANIDEEP, Assistant/

Associate Professor, Department of Management Studies for his/ her valuable co-operation
and guidance during the internship.

Finally I would also like to thank all my staff members in the Department of
Management Studies of Potti Sriramulu Chalavadi Mallikharjuna Rao College of
Engineering and Technology for their enduring support throughout my MBA Program.

I express my sincere thanks to “COROMANDAL AGRO PRODUCTS AND

OILS LIMITED” JANDARPET, for allowing me to undertake a project in their company. I
was under the continuous and invaluable guidance of, Mr.T.SURESH BABU,
COMMERCIAL MANAGER that I was able to complete the work inspected to me.

Finally I express my sincere thanks to all those who helped me directly or

indirectly throughout my project work.

Name: M.DEEPIKA
Reg No:16KT1E0032
 DECLARATION

I M.DEEPIKA, hereby declare that this project report entitled “A REPORT

ONPERFORMANCEAPPRAISAL WITHREFERENCETO
COROMANDAL AGRO PRODUCTS AND OILS LIMITED,
JANDARPET.” is a bonafide main project work done by me from Potti Sriramulu
ChalavadiMallikharjunarao College ofEngineering and Technology,
Kothapet,Vijayawada. Under the esteemed guidance of Mr.A.SAI MANIDEEP, Department
of Management Studies, during the academic years 2016– 2018. I also declare that this
project work is a result of my own effort and that it has not been submitted to any other
University.

Place:Vijayawada Name:M.DEEPIKA
Date: Regd No:16KT1E0032
 INDEX

CONTENTS Page No.

CHAPTER 1 INDUSTRY PROFILE 2-10

1.1 ORIGIN OF THE INDUSTRY 2

1.2 GROWTH OF THE INDUSTRY

1.3 PRESENT POSITION OF THE INDUSTRY 5

1.4 KEY CHALLENGES FACED BY INDUSTRY 6

1.5 GOVERNMENT POLICIES TOWARDS INDUSTRY 8

1.6 FUTURE PROSPECTS OF THE INDUSTRY 8

1.7 MAJOR COMPETITORS IN THE INDUSTRY 10

CHAPTER 2 COMPANY PROFILE 11-19

2.1 HISTORY OF THE COMPANY 11

2.2 VISION OF THE COMPANY 14

2.3 MISSION OF THE COMPANY 14

2.4 OBJECTIVES OF THE COMPANY 14

2.5 BOARD OF MANAGEMENT OF COMPANY 15

2.6 STRATEGIES OF THE COMPANY 16

CHAPTER 3 PERFORMANCE APPRAISAL 20-27

3.1 THEORITICAL FRAME WORK OF PERFORMANCE

APPRAISAL

3.1.1 MEANING OF PERFORMANCE APPRAISAL 58

3.1.2 DEFINITION OF PERFORMANCE APPRAISAL 55

3.1.3 IMPORTANCE OF PERFORMANCE APPRAISAL 22

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 3.1.4 METHODS OF PERFORMANCE APPRAISAL 23

3.2 PERFORMANCE APPRAISAL SYSTEM IN COROMENDEL AGRO

PRODUCTS AND OILS 24

CHAPTER 4 RESEARCH METHODOLOGY 28-32

4.1 NEED OF STUDY 29

4.2 OBJECTIVES OF STUDY 29

4.3 SOURCES OF DATA COLLECTION 29

4.4 SAMPLING PLAN 30

4.5 METHODS OF DATA COLLECTION 31

4.6 DATA ANALYTICAL TECHNIQUES 31

4.7 PERIOD OF STUDY 31

4.8 SCOPE OF STUDY 31

4.9 LIMITATIONS OF STUDY 32

CHAPTER 5 DATA ANALYSIS AND INTERPRETATION

CHAPTER 6 FINDINGS AND SUGGESTIONS

QUESTIONNAIRE

BIBLIOGRAPHY

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LIST OF GRAPHS Page No

GRAPH 01:influence of performance appraisal on trade union 34

GRAPH 02:frequency of discussion about the results of performance appraisal with the appraise

35

GRAPH 03:evaluation of individual’s performance 36

GRAPH 04: way of acceptance of performance appraisal feedback 37

GRAPH 05:Periodicity of performance appraisal systemin the company38

GRAPH 06:trainig and development progammes 39

GRAPH 07:objectives of the appraisal process 40

GRAPH 08:360 degree appraisal 41

GRAPH 09:prior information about thePerformance appraisal 42

GRAPH 10:period of work 43

GRAPH 11:nature of duties 44

GRAPH 12:suggestions an advices to the employees 45

GRAPH 13:aware of the objectives/goals of appraisal system 46

GRAPH 14:communication about performance appraisal 47

GRAPH 15:types of counseling 48

GRAPH 16:discuss about performance appraisal with superiors 49

GRAPH 17:results of performance appraisal 50

GRAPH 18: appraiser of the organisation 51

GRAPH 19:Degree of awarness about performance appraisal system of the organisation 52

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GRAPH 20:duration of assessment of the employee 53

GRAPH 21:relationship between superior and subordinates 54

GRAPH 22:aware of the basic are attributes 55

GRAPH 23:prior information about the performance appraisal 56

GRAPH 24:benefits of performance appraisal 57

GRAPH 25:option of performance appraisal 58

1
CHAPTER-1:
INDUSTR
Y
PROFILE
1
 INDUSTRY PROFILE

1.1. ORIGIN OF THE INDUSTRY:

The beginning of ‘agro’ or ‘agriculture’ mark s the beginning of ‘civilized’ or ‘sedentary’ society. Climate
change and increase in population during the HOLOCENE ERA [10000 BC onwards] led to the evolution of
agriculture during the bronze age[9000 BC onwards], domestication of plants and animals transformed the
profession of the early homo sapiens from hunting and gathering to selective ,herding and finally to settled
agriculture. Eventually the agricultural practices enabled people to establish permanent settlements and expand
urban based societies. Cultivation marks the transition from nomadic pre-historicsocieties to the settled
Neolithic lifestyle sometime around 7000 BC. AS per the modern definition of agriculture which would be “an
aggregate of large scale intensive cultivation of land, mono-cropping, organizedirrigation, and use of a
specialized labor force”, the title “investors of agriculture” would go to the Sumerians, starting ca. 5500 B.C.

Originally fields were cleared of weeds and prepared for planting by hand at great effort, using primitive hoes
or digging sticks .The renaissance saw the innovation of the three field system of crop rotation and wide spread
usage of the moldboard plow. The early phase of industrial revolution witnessed new agricultural practices like
enclosure, mechanization, four-field crop rotation and selective breeding. The science-driven innovations of
19th and 20th centuries led to the mechanization of the cultivation, i.e. the use of tractors.

The Muslim farmers in north Africa and the near east of the medieval world are credited with inventions of
extensive irrigation based on hydraulic and hydrostatic principles such as norias, water mills, water raising
machines, dams and reservoirs. The invention of the scratch plow [also called ‘plough’]about 6000 years ago
was a great labor-saving device for humans - the beginning of systematic substitution of other forms of energy,
in this case animal power, for human muscles.

1.2 GROWTH RATE OF THE INDUSTRY:

India plays an important role in the global edible oil market, accounting for 10-12% share of
consumption; 6-8% share of oilseed production; 4-6% share of edible oil production, and 12-14% share
of world edible oil imports for oilyear2015.
Furthermore, the industry is highly dependent on availability of raw material, domestic production of
oil seeds, annual rainfall, global price fluctuations and consumer preferences.
Availability of edible oil in India has shown a compound annual growth rate (CAGR) of 7.32% during
oilyear2006-2015 with y-o-y growth of 8.02% in year2015 over 2014.
Whereas the growth in population has remained at CAGR of 1.29% during 2006-2015.

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 Majority of the demand supply gap of edible oil in India is being filled through imports.

SOURCE: www.agricultureproducts.com

1.3 PRESENT POSITION OF THE INDUSTRY:

Type of Vegetable No. Of Units Annual Capacity (Lakh Average Capacity

Oil Industry MT) Utilization
Oilseed Crushing 1,50,000 (Approx.) 425 (In terms of Seeds) 10-30%
Units
Solvent Extraction 779 419 (In terms of Oil- 33%
Units bearing Material)
Refineries attached 127 51 (in terms of oil) 45%
with Vanaspati Units
Refineries attached 225 37(in terms of oil) 29%
with Solvent Units
Independent 585 35(in terms of oil) 36%
Refineries
Total Refineries 937 123 (in terms of oil) 37%
Vanaspati Units 268 58 (in terms of 19%
Vanaspati, Bakery
Shortening & Margarine)

India is the world’s fourth largest edible oil economy, after USA, China and Brazil, with 15,000 oil
mills, 711 solvent extraction units, and 264 Vanaspati plants; and over 1,000 refineries employing more
than one million people.
The total market size is at Rs. 600 billion and import-export trade is worth Rs.130 billion.
India being deficient in oils has to import 40% of its consumption requirements.
The domestic turnover of the vegetable oil industry is Rs.70,000 crores and import-export turnover of
about Rs.16,000 crores per annum, consist of Rs.10,000 crores for import of edible oils & Rs.6,000
crores for export of Higher standards............making a difference for you oil meals, oilseeds castor oil,
groundnut oil & vegetable fats of tree borne oilseeds.
India's edible oil industry is growing at a compounded annual growth rate (CAGR) of 90 per cent. By
rationalizing the import duty, the growth rate of sector may rise up to 150 per cent by 2015.

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 The total size of the olive oil market in India is around 4 million euro in terms of value and 2,000 tones
in terms of volume, out of which Spanish companies command a share of about 60%.
Currently, India accounts for 7.4% of world oilseeds output; 6.1% of world oil meal production; 3.9% of
world oil meal export; 5.8% of world veg oil production; 11.2% of world veg oil import; and 9.3% of
the world edible oil consumption. · India consumes over 4.5 million tons Palm Oil and other Palm Oil
Products per annum, while domestic production of Crude Palm Oil in India is hardly 60,000 tons per
annum and rising very slowly.

1.4 PROBLEMS/CHALLENGES OF TH INDUSTY:

Small land holdings:

This makes economies of scale difficult to operate and farmers are forced to rely on subsistence
farming.
Seasonal nature:
This means that the farmers have a small window to reap benefits of their hard labour. In recent times,
climate change has affected weather patterns which in turn has had an adverse impact on agricultural
production
Perishable nature:
Products are of perishable nature and thus it requires huge infrastructure in terms of cold storage, good
road connectivity etc. India suffers on account of both forward and backward linkages.
Variability:
Agro industries have variability in the quantity and quality of raw materials. Quantity is uncertain
because of fluctuations in weather, in soil condition etc. Quality varies because of standardization, of
raw materials remain elusive even though there have been advancement in animal and plant genetics.

1.5. GOVERNMENT POLICIES TOWARDS THE INDUSTRY

The edible Oil Industry is administered through the following regulation orders which are statutory in
nature and derive their powers from the Essential Commodities Act:

Edible Oils Packaging (Regulation) Order, 1998;

Solvent Extracted Oil, De-oiled Meal and Edible Flour (Control) order, 1967.

Government of India is promoting National Mission on Oilseeds and Oil Palm (NMOOP) during 2012-
17 to achieve objectives such as increasing Seed Replacement Ratio (SRR) in oil crops with focus on Varietal
Replacement, increasing irrigation coverage under oilseeds from 26% to 36%, diversification of area from low

1
yielding cereals crops to oilseeds crops, inter-cropping of oilseeds with cereals/ pulses/ sugarcane, use of fallow
land after paddy/potato cultivation, expansion of cultivation of Oil Palm and tree borne oilseeds in watersheds
and wastelands, increasing availability of quality planting material enhancing procurement of oilseeds and
collection, and processing of tree borne oilseeds.

The mission aims to enhance production of oilseed from 28.93 million tonnes (average of 11th five year
plan) to 35.51 million tonnes by 2016-17 and to bring additional area of 1.25 lakh hectare under oil palm
cultivation with increase in productivity of Fresh Fruit Bunches (FFB) from 4927 kg/ha to 15,000 kg/ha by end
of 12th five year plan.

SOURCE: www.agroindustries.com

1.6. FUTURE PROSPECTS OF THE INDUSTRY:

Our research reports broadly cover Indian markets, present analysis, outlook and forecast for a period of
five years.
The market forecasts are developed on the basis of secondary research and are cross-validated through
interactions with the industry players.
We use reliable sources of information and databases.
And information from such sources is processed by us and included in the report.
Effective distribution chain- through a complex network of C & F agents, wholesalers / stockiest
& retailers (Kiruna shops, supermarkets).
Oil sold in bulk (tin, HDPE containers) to institutions; in retails packs (PET bottles, cans, jars,
pouches) to small customers.
Seasonal demand for oils &Vanaspati –September to November (peak season).

SOURCE: www.ariculturalproductsindia.com

1.7. MAJOR COMPETITORS IN THE INDUSTRY:

Edible Oils:

National Dairy Development Board (Anand,GUJARAT)

ITC Agro-Tech (Secunderabad,TELANGANA)
Marico Industries (Mumbai, MAHARASHTRA)
Ahmed Mills (Mumbai, MAHARASHTRA)

Vanaspati:

1
 Hindustan Lever (Mumbai, MAHARASHTRA)
WIPRO (Bangalore, KARNATAKA)
RASOI VANASPATI & INDUSTRIES LIMITED (Calcutta, WEST BENGAL)
AVI Industries Ltd,(Mumbai, MAHARASHTRA)

1
CHAPTER-2:
COMPANY
PROFILE

1
 COMPANY PROFLIE

2.1. HISTORY OF THE COMPANY:

Coromandel agro products and oils limited is an oil producing industry at Jandrapet near Chirala. It has
acquired much importance at Prakasam District in A.P. This is because of extensive cultivation of cotton by the
farmers. Cottonseed is separated from the cotton Kappa in Cotton Ginning Mills and it would be sold to the
Manufacturing Industries/Oil Companies for manufacturing of various by products like cottonseed hulls, soap
stock, animal feed, lint etc.
Further, the products of Coromandel agro products and oils limited like de-oiled cake are also exported
to Japan, Thailand, Malaysia West Germany, Switzerland etc., Therefore the study on marketing mix of the
Coromandel agro products and oils limited has assumed a greater significance in recent times.
The Success of any organization depends mainly of three functions of the management namely
production, finance and marketing. Selling has predominant importance in marketing procedure. Cottonseed
crushing industry is one of the Agro based industries.
Cottonseed is used in the manufacturing of edible oils, cakes, liner, hulls and oil. India is the third
largest edible oil based economy in the world after UNITED States and China. India accounts 9.7% to the
global oil seed production. The main production of this Industry is edible oil.
Most of the people habit to use groundnut oil for cooking purpose. To meet the competition Coromandel
agro products and oils limited is manufacturing cottonseed oil at a lower price than groundnut oil. This it
underlines the importance of marketing activities of Coromandel agro products and oils limited, Chirala.
Coromandel agro products and oils limited has been located in Jandrapet village at Chirala and are
measuring across 23.68 acres. The plot has acquired from the Government of A.P on the basis of 9 years lease.
The sight is favorably located in respect of all facilities.

This is registered in 12th Dec, 1975 and Commencement of business was started from 5th Jan, 1976.
This Coromandel agro products and oils limited has made a joint venture with APIDC and signed on 1st Feb,
1976.Coromandel agro products and oils limited, got the license in 13th Aug, 1975 and it is transferred to 13th
Feb, 1976.

2.2VISION OF THE COMPANY: The vision of the company is reflected in the following phrases:
BRANDING IS OUR AIM.
QUALITY IS THE CLAIM.

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2.3. MISSION OF THE COMPANY:
The mission of the company is to become the foremost agro-input organization in the country
through safe and innovative products and make our farmers prosper.
Coromandel agro products and oils limited mission is to produce good quality of edible oils and
get number one position in India in producing and exporting edible oils.

2.4. OBJECTIVES OF THE COMPANY:

Following are the objectives of the company.
1. To acquire, promote establish and carry on business of manufacture oils from cottonseed, Castor
linseed, sunflower, Rice bran and other type of edible and non-crushing solvent extraction, chemical
or any other process and to utilize, sell the oils and cakes to be produced or acquired for edible
purpose of in any type or processing.
2. To erect, take on lease or otherwise acquire establish plantation and other lands, or free hold,
leasehold, or the other tenure and in particular lands producing or likely to produce, cotton seeds.
3. To carry on in India or everywhere in any part of the world the business of spinning weaving of
manufacturing or dealing in cotton or other fibrous substances, the preparations, dyeing or coloring
of any of substances, the preparations, the pressing of sand otherwise dealing with cotton seed and
extraction of oil and other products.
4. To act as stockiest, a commission agent, representatives or agents, selling and purchasing agents,
distracters, brokers of edible oils.

2.5. BOARD OF MANAGEMENT OF THE COMPANY:

BOARD OF DIRECTORS : Sri Y. Venkata Rao, Chairman

Sri Maddi. Lakshmaiah
Sri Maddi Ramesh
V.V.S.Ravi.
Maddi. Venkateswara Rao (M.D).
GENERAL MANAGER AND
SECRETARY : K. Satyanarayana

PERSONNEL OFFICER : I.V.V RamMohanRao

BANKERS : Canara Bank

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 AUDITORS : M/s. A. Ramachandra Rao & Co., (C.A)
3-6-369 a/11 floor, Street Bi-1,
Himayat Nagar, Hyderabad-500 029.
REGD., OFFICE : 12-B, Skylark Apartments,
Basheerbagh, Hyd-500 029.

FACTORY AND
ADMINISTRATIVE OFFICE : Jandrapet (Village),
Chirala (Mandal),
Prakasam (Dist.,).
MAN POWER : 225
ESTABLISHED : 1975-1976
AREA : 23.68 Acres
PRODUCT : Cottonseed Oil.

2.6. STRATEGIES OF THE COMPANY (4P’S):

PRODUCT STRATEGIES:
The company manufactures:
They are the Manufacturers for High Quality Veg.
Oils of Cotton Seed, Sunflower and Soya been.
Cotton Seed DE oiled Cakes, Cotton Seed Hulls.
Cotton Linters and Cottonseed Acid Oil and Animal Feeds.

PRICING STRATEGIES:

Variable pricing strategies

Variable pricing strategy sums up the total cost of the variable characteristics associated in the
production of the product. Examples of variable characteristics are: interest rates, location, date, and
region of production. The sum total of the following characteristics is then included within the original
price of the product during marketing. Variable pricing enables product prices to have a balance

"between sales volume and income per unit sold".] Variable pricing strategy has the advantage of
ensuring the sum total of the cost businesses would face in order to develop a new product. However,
variable pricing strategy excludes the cost of fixed pricing. Fixed pricing includes

1
 the price of dedication received from manufactures in the production of developing the product
and other involvement of factors.

PROMOTIONAL STRATEGIES:

Branding essential for success (Vanaspati –Dalda, Oils-Sun

drop) Better distribution network to improve reach
Efficiency in operation – to become price competent and withstand overseas competition
Proposed Future trading in edible oils will help curtail price volatility and lend knowledge –
based assistance to help farmers of eliminate unofficial markets.

PLACE/DISTRIBUTION STRATEGIES:

Oil from Refinery is taken to Working Tanks and then pumped through Polish Filters to Service Tanks,
from where; the oil is filled into One Litre.
Pouches in Samarpan and Win pack Packing Machines. Consumer packs of 2 Ltr, 5 Ltr, and 15 Ltr.
Are also filled by Span pack Machine having automatic cap sealer and heat tunnel for shrink wrapping.
15 Litre. Metal containers are also filled, sealed and strapped on Philips make Filling & Sealing Machine.

2.7. MILESTONES OF THE COMPANY:

Coromandel agro products and oils limited was awarded prized for best stalls in 1978.
Coromandel agro products and oils limited received prose as “Best Exporter in India” in 1979 in
C.S.Extractions and cakes from Union Minister, Government of India.
In 1983-1985 the company was awarded as certificate of merit highest exports of De-Oiled in India.
In 1994-1995Coromandel agro products and oils limited got best production award and “SharmaShakti”
award from Andhra Pradesh Government of India.
For the year 2003-2004, “Council for Industrial Trader and Development India” selected company for
its quality and productivity.
In 2006-2007 the company also received awards from all cottonseed crushers association for being the

3rd highest exporter and 2nd domestic seller of cottonseed extraction.

The company has been awarded “MAY DAY COMMANDATION CERTIFICATE” by Government of
Andhra Pradesh for its continuous hormones relation with its employers in the year of 2010.

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 In 2015, Workers Trade Union of the company is also awarded “Best Trade Union” by the Government
of AP for this best relation with the management.

2.8. ORGANISATIONAL STRUTURE (DIAGRAM):

BOARD OF DIRECTORS

MANAGING DIRECTORS

GENERAL MANAGER

ADMINISTRATIVE ACCOUNT OFFICER ASSISTANT IN CHANGE

OFFICER
EXPORTS
CLERKS

CLERKS

The CAPOL is organized by a board of Directors, under the board of directors there is a chairman.
The chairman controls the Managing Directors. There are General Manager and Production Manager under the
control of the Managing directors.

The General Manager organizes the overall activities of the company. He has under his direct control of
Finance Department and responsibilities of the company secretary. Besides he has also under him a Commercial
Department. Under him maintenance engineer material procurement officer, packing section in charge,
personnel officer and security officer. In Finance Department there are two responsible persons. They are
Assistant Finance Manager, Accounts Officer cum Administrative Officer.

Under the Production Manager the plant Engineers, In-Charges of C.S.P Plant, Oil Mill, Solvent
Extraction Plant, Refinery and Laboratory are working. Plant Engineers functions are to rectify mechanical
defects to make machinery run smoothly and maintain co-operation of the production activities. The Personnel
Officers is responsible for recruitment of personnel in organization, functions and ensure the disciplined
working of the employees. The security officer is in-charge of watch and time keeping departments. He is
responsible for security of factory assets and equipment.

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Personnel department:
Personnel management can be defined as the management of personnel at work. It has been differently
defined by different authorities. The gist of all the definitions quoted above is that the personnel management is
the since of planning, Organizing, and controlling the various operative functions of contributing towards the
accomplishment of the major goal of the organization.

PERSONNEL DEPARTMENT CHART

General Manager

Personnel Officer Security Officer

1. Sr. Clerks 1. Head Guards

2. Jr. Clerks 2. Security Guards

The Personnel Officer responsible is directly responsible to the General Manager. He will directly, issues
orders to his subordinates, The Personnel Officer look after the entire personnel department to the company.
There is one section in-charge under control of Personnel Officer. He is responsible for Time Office and
Weigh Bridge. There are three Assistants under the control of Personnel Officer. One will be leading the public
relations, Liason with Departments and submission of statutory Returns and making Statutory Payments i.e.
P.F, E.S.I etc. in every month and year and keep all the records including Statutory records. One will be
responsible of payments to Workers and Staff with the help of Man Power and Attendance and another will be
looking the attendance, and workers welfare activities. Security officer is the In-Charge of watch and time
keeping department. He is responsible for security of factory.
MAN POWER IN THE FACTORY:
Permanent employees 101
Seasonal employees 85
Temporary employees 105

1
CHAPTER-3:
PERFORMANCE
APPRAISAL SYSTEM

1
3.1. PERFORMANCE APPRISAL
3.1.1. INTRODUCTION TO PERFORMANCE APPRISAL:

Performance Appraisal is the identification, measurement, and management of the human performance
in organizations. Appraisal should be a future oriented activity that provides workers with useful feedback and
coaches them to higher to higher levels of Performance. The primary goal of any appraisal system is
performance management.

Performance Appraisal can be seen as an objective method of judging the relative work or ability of an
individual employee in performing his tasks. If objectivity done the appraisal can be help to identify a better
worker from a poor one.

Performance Appraisal has direct linkage with such personnel systems has selection, training, mobility
etc. appraisal and selection have lot to do with the job description Performance Appraisal can also provide data
to determine promotions, transfer and even demotion of employee. It has direct bearing other personal
decisions.

3.1.2. MEANING OF PERFORMANCE APPRISAL:

“Performance appraisal is a method of evaluating the behavior of employee in the work spot, normally
including both the quantitative and qualitative aspect of job performance.” Often the term is confused with
effort, but performance is always measured in terms of results and not efforts. A student, for example, may exert
a great deal of effort while preparing for the examination but may manage to get a poor grade. In this case the
effort expanded is high but performance is low. In order to find out whether an employee is worthy continued
employment or not, and if so, whether he should receive a bonus, a pay rise or promotion, his performance
needs to be evaluated from time to time. When properly conducted performance appraisal, not only let the
employee know how well he is performing but also influence the employee’ future level of effort, attitudes,
results and task direction.

3.1.3. DEFINITION OF PERFORMANCE APPRISAL:

“It is the systematic evaluation of the individual with respect to his/her performance on the job and
his/her potential for development.”

“Performance Appraisal is the systematic, periodic and an impartial rating of an employee’s excellence
in matters pertaining to his present job and his potential for a better job.”

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 “Performance refers to all activities of individual which occurs during a period marked by this continues
persons before a particular set of observers and which has come influence of observes.”

“Performance Appraisal system is a process of evaluating an employee’s performance in a job in terms

of its requirements”.

3.1.4. METHODS OF PERFORMANCE APPRAISAL:

Several methods and techniques are used for evaluating employee performance. These may be
classified into Traditional and Modern methods.

TRADITIONAL METHODS:

Ranking Method:

In this technique evaluator assigns relative rank to all employees in the same work unit doing the same
job. Employees are ranked from the best to the poorest on the basis of overall performance. The relative
position of an employee method. It is time saving and comparative evaluation technique of appraisal.

Graphic Rating scale method:

It is a numerical scale indicating different degrees of a particular train. The rate is give a printed form for
each employee to be rated. The form contains several characteristics relating to the personality end performance
of employee. Intelligence, attitude, quality of world, leadership skills judgment etc. are some of the
characteristics. This method is widely used and it is easy to understand. It allows a statistical tabulation of
scores and, a ready comparison of scores among the employees is possible. The approach is multi-dimensional
as several significant dimensions of the job can be considered in evaluation.

Paired comparison Method:

This is a modified form of man ranking. Here in, each employee is compared with all others in pairs on
at a time. The number of times an employee is judged better than other determines his rank. Comparison is
made on the basis of overall comparison.

Forced Distribution Method:

In this method the ratter is forced to distribute its subordinates into performance categories such as
outstanding, good, poor etc. In other words, every one can’t be given average or good rating, there by error of
central tendency is eliminated at least partially.

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 Check list Method
The supervisor is given to a list of statements or words and asked to check statements representing the
characteristics and performance of each employee. They are three types:
a. Simple checklist
b. Weighted checklist

a. Simple checklist:

The check list consists of large number of statements concerning an employee behaviour. The rate
checks to indicate if the behaviour of the employee is positive or negative to each statement. Employee
performance is rated on the basic of positive checks.

b. Weighted checklist:

The weighted checklist method involves weighting different items in the check list, having a series of
statements about an individual, to indicate that some or more important than others. The rate is expected to look
into questions relating to the employee’s behaviour, the attached rating scale (+ ve /-ve statements) and tick
those traits that closely describe the employee behaviour.

MODERN METHODS

Behaviorally anchored rating scales:

It is totally very modern concept in evaluation performance appraisal. A critical incident is monitored
whether the employee has got sound knowledge and judgment while applying his mind. This also helps
mind and also helps to find out the organizational ability Conscientiousness and proper feedback.

Assessment center method:

It is useful in measuring inter personal skills and other aspects like planning and organizing;
interpersonal competence; quality of thinking; resistance to stress; motivation to work; communication
and creativity etc.

Management by objectives:

MBO helps the management and subordinate to jointly set the goals of the organization. MBO also
ensures feedback from the subordinate and its participation. MBO reduces role conflict and ambiguity.

1
 MBO identifies performance deficiencies. This also helps the managers to develop personnel leader
ship.

3600 Appraisal system:

This is defined as the systematic collection and feedback of performance data of an individual or group.

Under this are both a collection and a feedback process. So far, 3600 feedback has concentrated on
people who are at the move senior levels in an organization, e.g., directors, manager’s senior executives
in companies and partners or principals in the profession. Other jobholders are now finding that their
behaviours are becoming crucial. Engineers, pilots, sales people, HR professionals, customer service
staff, etc. have all participated in the assessment and feedback process.

3.1.5. PROCESS OF PERFORMANCE APPRAISAL :

1 • Establishing performance standards

2 • Communicating Standards

• Measuring Performance
3

• Comparing actual performance with

the standards
4

• Discussing the appraisal

5

• Taking corrective actions

6

1
1. Establishing performance Standards – the appraisal process begins with the setting up of criteria to be
used for appraising the performance of employees. The criteria are specified with the help of job analysis,
which reveals the contents of job. This criteria should be clear, objective and in writing.

2. Communicating standards –The standards are conveyed to the employees and the evaluators. A feedback
regarding the standards should be obtained from the evaluators and the employees for revision or
modification.

3. Measuring performance- This requires choosing the right technique of measurement, identifying the
internal and external factors influencing performance and collecting information on results achieved.

4. Comparing actual performance with the standards – Actual performance is compared with the
predetermined performance standards. Such comparison will reveal the deviation, which may be positive or
negative.

5. Discussing the appraisal- The results of the appraisal are communicated to and discussed with the
employees. Along with the deviations, the reason behind them are also analyzed and discussed. Such
discussion will enable the employee to know his weaknesses and strengths.

6. Taking corrective actions- Through mutual discussions with employees, the step required to improve
performance are identified and initiated. Training, coaching, counseling, etc. are examples of corrective
actions that help to improve performance.

3.1.6. IMPORTANCES OF PERFORMANCE APPRAISAL:

SWOT Analysis: Performance Appraisal gives a complete idea of the employee's strength, weaknesses
and based on that their opportunities and threats.

Career Planning: On the basis of one's own SWOT analysis, an employee can have his career plans.

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 Suitable Placement: Performance appraisal enables a company to give suitable placement to an employee
based on their talents and skills.

Self-Development: Performance Appraisal is very much a positive activity which enables an employee to
know his own weaknesses and also enables him to remove their weaknesses and lead to self-development.

Effective Training Program me: Trainingprogrammers can be drawn out on the basis of the needs of
employees to remove their weaknesses.

Sound Personnel Policies: Personnel policies for promotions, transfer must be sound and objective.
Performance Appraisal provides valuable information and reliable data for such decisions.

Employee – Employer Relations: These will be healthy if performance Appraisal information will be used
for personnel management. This will minimize grievances and improve confidence in the management.

Higher Employee Productivity: Employer morale will be high because there can be a system of rewards
for employees with higher performance. This will improve organization productivity.

Performance Appraisal: It will help in potential human resource planning

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3.2. Theoretical concept of “Performance Appraisal” in the company:
After the employee has been recruited, selected, and inducted, he or she must next be developed to better fit the
job and the organization. No one is a perfect fit at the time of hiring, and some training and education must take
place. Development should include both training to increase skill in performing a specific job and education to
increase general knowledge and understanding of our total environment.
These are two broad groups of individuals to be trained, operatives and managers. The four basic systems of
operative training are 1. On-the-job training, 2.vestibul school, 3. Apprenticeship programs and 4.special
courses. Effective operative training should increase productivity, reduce costs, heighten morale, and promote
organizational stability and flexibility.
With the more complex nature of the executive job, manager development involves both training and education.
Decision- making skills ate enhanced through business games, case studies and in-basket exercises.
Interpersonal skills can be promoted through role-playing, behavior modeling, sensitivity training, transactional
analysis, and structured insight. Job knowledge can be acquired through experience, coaching, and understudy
systems, while organizational knowledge can be developed through position and multiple management. In
addition, one’s general educational background can be developed through special courses, meetings, and a
reading program, while specific individual. Deficiencies can be addressed through special projects and
committee assignments.
Organizational development is an intervention strategy where by the general environment is altered to
emphasize collaboration,competence,confrontation,trust, candor, and support.particular intervention technique
would include team development processes,survey feedback,and inter group confrontation sessions.

Despite the multiplicity and complex nature of many training and educational program most development
occurs on the job. But such development is slowed and less effective if the employee is not systematically
appraised and fed back information concerning her or his quality of performance. All employees are appraised
on their job performance in some manner or another. Ingeneral, it can be said that the choice lies among
three possible approaches:

A casual,unsystematic, and often haphazard appraisal the traditional and highly systematic measurement of
(a) employee characteristics, (b) Employee contributions, or (c) both.

Mutual goal setting through a management by objectives (MBO).

Though the casual approach is perhaps the most commonly used, various studies have revealed an increase in
the number of firms choosing some formal type of appraisal. One-third of the firms having programs reported
utilization of the most recent innovation, management by objectives.

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 There are a number of different types of systems for measuring. The excellence of employee performance.
Some of the traditional performance appraisal systems are

1. Ranking
2. Persons-to-person comparison
3. Grading
4. Graphic scales
5. Checklists
6. Forced –choice description
7. Behaviorally anchored rating
scales a. Expectation scales (BES)
b.Observation scales (BOS)

8. Essay

9.360, degree observation

Most important then the rating form or method is the quality of the rater. In the most situation, the rate is
the immediate superior of the person to be rated. Higher management, thereby maintaining hierarchical control
over the appraisal process, often reviews supervisor rating. If more involvement is deemed desirable, the
appraisal process can be undertaken by a group of raters. Members of the group can be superiors, peers, and
subordinate. Sometime the management allow the subordinate to rate themselves.

The most frequent rating schedules are semiannual and annual. New employees are rated more frequently
than older ones. Management by objectives is far more than just an appraisal process. To many, it is a
fundamental way of managing, in which periodic appraisal is but a part. Organizations are composed a
multitude of people performing various and specialized activities, supposedly thereby contributing basic
organizational objectives. Central to MBO is a joint and mutual establishment of end results for individual key
personnel. Equally essential is periodic joint appraisal when assessments are made concerning degrees of
accomplishment. When organizational activities are closely interlocking, it is recommended that team or group
goal establishment precede the identification of individual responsibilities and goals.

Modern personnel management must look beyond the present assignment career management would include
dealing with the platitude employee and recruiting and utilizing dual-career couples.

1
CHAPTER-4:
RESEARCH
METHODOLOGY

1
4.1. NEED FOR THE STUDY:

The study has been done on the performance appraisal from coromandel agro products and oil ltd with
an objective of knowing and understanding the process of performance appraisal followed in the organisation
and its effects on employees. This topic was taken due to the interest of knowing the various aspects and
concepts of performance appraisal followed in public limited organisation and to know how this help in the
development of the employees.

4.2. OBJECTIVES OF THE STUDY:

1. To identify the merits and demerits of performance appraisal in coromandel agro products and
oils limited.
2. To know and identify whether the appraisal system in the organization is effective.
3. To know the satisfactory level of employees and with refund to performance appraisal process in the
company.
4. To suggest necessary improve measures if any.

4.3. SOURCE OF DATA:

The data for the study has been collected from various primary and secondary sources.

4.3.1. PRIMARY DATA:

Major sources of primary data include employees and managers. Primary data is collection of facts
on the subject of study by the researcher. Primary data is collected through the schedule, which
consists of 25 questions. Here investigator explains and gives the questionnaire to the respondents.
The respondents have taken one to two days’ time to complete and return the filled questionnaires to
the investigator. The information in the questionnaires is kept confidential and it is used for
academic purpose only.

4.3.2. SECONDARY DATA:

It refers to the use of information already collected and published or unpublished. The sources are
books, journals, records of the organization etc.

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4.4. SAMPLING PLAN:

SAMPLING AREA:

General Survey on the concept of performance appraisal in Coromandel agro products and oils limited,
jandrapet (p.o), Chirala (m.o), Praksam district.

SAMPLING UNIT

The prospective employees of Coromandel agro products and oils limited were taken as a sampling unit.

SAMPLING TECHNIQUE:

Probability sampling technique is to be used. The sample will be selected through simple random
sample.

SAMPLE SIZE:

The total number of employees in the organization is 130.For the purpose of study 70 respondents’ were
selected. The sample is taken from the supervisors, employees.

4.5. DATA COLLECTION METHODS/INSTRUMENTS:

Questionnaire:

It is a formalized set of question, which are logically and systematically arranged to collect the
information useful for the proposed study. The questionnaire in this is structured containing a limited
number of questions which are easy and clear to understand. The layout of this questionnaire is mainly
desired to measure the effectiveness of performance appraisal system for executive Coromandel agro
products and oils limited.

4.6. DATA ANALYTICAL TECHIQUES:

1. GRAPHICAL ANALYSIS: This technique refers to representation of data in the form of

graphs. It is easy to compare data

2. PERCENTAGE ANALYSIS: It refers to a special kind of ratio percentages are used in making
comparison between the more series of data. Percentages are to determine relationship between
the series of data. Findings the relative difference becomes easier through percentage. It is
expressed as; Percentage= no of respondents/total no of respondents.

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4.7. PERIOD OF STUDY:

The period of my study is 45 days (25-04-2017 to 10-06-2017)

4.8. SCOPE OF THE STUDY:

The scope of the study has been confined to the employees of “CAPOL” bulk activities our study includes
performance appraisal all the employees of CAPOL, Bulk activities that includes officers, executives and
managers.

To identify the strengths and weaknesses of the performance appraisal.

To know the perception of employees on performance appraisal system.
To know the internal and external environment factors influencing employee to improve his
performance.
It helps the employees to improve this performance and his self-development.
The appraisal technique should measure the performance and provide information.

4.9. LIMITATIONS OF THE STUDY:

The following are identified as the limitations of the study:

One of the major limitations of this survey is that, it has been restricted to limited number of employees
working in the company.
Limiting to the one unit of this single organization without giving any comparison to the practice in simple
organization.
Time is one of the limiting factors, where the study is restricted for a period of 2 months only.
The conclusions and findings of study cannot be generalized at macro level to draw conclusions further.

1
CHAPTER -5 DATA
ANALYSIS AND
INTERPRETATION

1
 1. Is there any influence of trade union in assessing the performance appraisal in coromendel agro oils and
products limited?
a) Yes b) no

TABLE: 01

RESPONSES OF MANAGERS
OPTIONS MARKETING HUMAN RESOURCES PRODUCTION TOTAL
Yes 1 1 0 2
No 0 0 1 1

“INFLUENCE OF PERFORMANCE APPRAISAL ON TRADE UNION”

2
NO OF RESPONDENTS

1 Marketing manager
Production Manager
HR manager

0
Yes No
RESPONSE OPTIONS

Interpretation:
From the above graph we can understand that, HR manager and Marketing manager mayinfluence of trade union in
assessing the performance appraisal Production manager not influence of trade union in assessing the performance
appraisal.

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 2. Weather results of performance appraisal are discussed with the appraise?
a) Always b) sometimes c)rarely d) never

TABLE: 02

RESPONSES OF MANAGERS
OPTIONS MARKETING HUMAN RESOURCES PRODUCTION TOTAL
Always 1 1 0 2
Half yearly 0 0 0 0
Annually 0 0 1 1
Whenever 0 0 0 0
Required

“Frequency of discussion about the results of performance appraisal with the appraise”

2.5
RESPONSES OF MANAGERSZ

1.5
production
1 human resources
marketing manager
0.5

0
always sometimes rarely never
OPTIONS FOR MANAGERS

INTERPRETATION:

In the above shows that marketing and human resource manager always discuss about the results of
performance appraisal with the appraise and production manager rarely discuss about it.

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3. What is evaluation of individual performance in the organization?

a) Excellent b) Satisfied c) Dissatisfied d) No Comments

TABLE: 03

RESPONSES OF MANAGERS
OPTIONS MARKETING HUMAN RESOURCES PRODUCTION TOTAL
Excellent 1 1 0 2
Satisfied 0 0 1 1
Dissatisfied 0 0 0 0
No comments 0 0 0 0

“EVALUATION OF INDIVIDUAL’S PERFORMANCE”

2.5

2
responses of managers

1.5

production

1 human resources
marketing manager

0.5

0
excellent satisfied dissatisfied no comments
options for managers

INTERPRETATION:

In the above diagram shows that marketing manager and human resources manager are excellent in evaluation of
individual’s performance and production manager is satisfied.

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4. How are employees accepting the performance appraisal feedback?

a) In positive way b) In negative way c) Uninterested d) Neutral

TABLE: 04

RESPONSES OF MANAGERS
OPTIONS MARKETING HUMAN PRODUCTION TOTAL
RESOURCES
In positive way 1 1 0 2
In negative way 0 0 0 0
uninterested 0 0 0 0
neutral 0 0 1 1

“WAYS OF ACCEPTANCE OF PERFORMANCE APPRAISAL FEEDBACK”

2.5

2
responses of managers

1.5
production managers

1 human resources
marketing

0.5

0
in positive way in negative way uninterested neutral
options for managers

INTERPRETATION:

In the above diagram shows that marketing manager and human resource manager feel that employees are
accepting performance appraisal in positive way and production manager feel that it is neutral.

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5. What is the periodicity of performance appraisal in the company?

a) Quarterly basis b) Half Yearly basis c) Annual basis d) whenever required

TABLE: 05

RESPONSES OF MANAGERS

OPTIONS MARKETING HUMAN PRODUCTION TOTAL

RESOURCES
Quarterly 0 0 0 0
Half yearly 0 0 0 0
Annually 0 1 0 1
Whenever 1 0 1 2
Required

“PERIODICITY OF THE PERFORMANCE APPRAISAL IN THE COMPANY”

3
NO OF RESPONDENTS

Production Manager
HR manager
1
Marketing Manager

0
quarterly half yearly annually whenever
required
RESPONSE OPTIONS

Interpretation:
As per the responses of the manager’s takes place in the company, Human resource manager says that it takes place
annually and when ever required and the Production and Marketing managers stands with the option of Whenever
required along with HR manager.

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6. Up to what extent do you think training and development programs of your organization are contributing for its
development?

a) Large extent b)Moderate extent c) Less extent d) lower extent

TABLE: 06

RESPONSES OF MANAGERS
OPTIONS MARKETING HUMAN PRODUCTION TOTAL
RESOURCES
Large extent 1 0 0 1
Moderate extent 0 1 0 1
Less extent 0 0 1 1
Lower extent 0 0 0 0

“TRAINING AND DEVELOPMENT PROGRAMMES”

1.2

1
response of managers

0.8

0.6
production
human rsources
0.4
marketing manager
0.2

0
large extent moderate less extent lower extent extent

options for managers

INTERPRETATION:

In the above table shows that marketing manager feels that training and development programmers contribute to a
large extent of organization’s development, whereas the HR manager feels that they are moderately useful and the
production manager feels that they are useful to a less extent.

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 7. What are the main objectives of appraisal process?

a) Personal development b) To achieve organizational targets

TABLE: 07

RESPONSES OF MANAGERS
OPTIONS MARKETING HUMAN PRODUCTION TOTAL
RESOURCES
Personal 0 1 1 2
development
To achieve 1 0 0 1
organizational
targets

“OBJECTIVES OF THE APPRAISAL PROCESS”

2.5

2
NO OF RESPONCES

1.5
production
1 human resources
marketing manager

0.5

0
personal development to achieve organizational targets
OPTIONS FOR MANAGERS

Interpretation:
In the above graph shows that production manager and human resource manager feels that objective of
appraisal process is personal development of the employees and marketing manager feels that objective of
appraisal process is to achieve organizational targets.

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8. Whether 360 degree appraisal is following in the company

a) Yes b) no

TABLE: 08

RESPONSES OF MANAGERS
OPTIONS MARKETING HUMAN PRODUCTION TOTAL
RESOURCES
Yes 1 1 0 2
No 0 0 1 1

“360 DEGREE APPRAISAL”

2
NO OF RESPONDENTS

1 Marketing manager
Production Manager
HR manager

0
Yes No
RESPONSE OPTIONS

Interpretation:

From the above graph we can understand that, HR manager and marketing manager prefers 360 degree appraisal
system is followed. Production manager not preferred.

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9. Does the management inform you about the performance appraisal at the beginning of the appraisal period?

a) Yes b) No

TABLE: 09

RESPONSES OF MANAGERS
OPTIONS MARKETING HUMAN PRODUCTION TOTAL
RESOURCES
Yes 0 1 1 2
No 1 0 0 1

“PRIOR INFORMATION ABOUT THE PERFORMANCE APPRAISAL”

2
NO OF RESPONDENTS

Marketing manager
1
Production Manager
HR manager

0
Yes No

RESPONSE OPTIONS

Interpretation:
As per table we can understand that the management informs you about the performance appraisal at the
beginning of the appraisal period by HR & Production manager and Marketing manager not informed.

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10. "How long you are working in this company"

a) 2 to 5 years b) 5 to 10 years c) 10 to 15 years d) above 15 years

TABLE-10
OPTIONS No. of Respondents percentage of Respondents

2to5 years 28 40

5to10 years 18 26

10to15 years 17 24

Above 15 years 7 10

Total 70 100

45%
40%
40%

35%

30%
26%
25% 24%

Series 1
20%

15%
10%
10%

5%

0%
2 to 5 years 5 to 10 years 10 to 15 years above 15 years

Interpretation:

from the above 70 employees , 40% employees working in the organization since 2to5 years and 26% employees
working since 5to10 years and 24% employees working since 10to15 years and remaining 10% employees
working in the organization above 15 years.

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11. " Nature of duties"

a) Technical b) Non - technical

TABLE-11

OPTIONS No. of Respondents percentageof Respondents

Technical 29 42

Non-technical 41 58

Total 70 100

"NATURE OF DUTIES"

70%

60% 58%
PERCENTAGE OF RESPONDENTS

50%
42%
40%

30%

20%

10%

0%
technical non-technical
OPTION S

Interpretation:

From among the 70 employees, 42% employees working in the technical job and remaining 58% employees are
working in non-technical job.

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12."Are the employees given advice/suggestions during the appraisal system?"

a) Yes b) No

TABLE-12

Particulars No. of Respondents Percentage of Respondents

Yes 43 38

No 27 62

Total 70 100

“SUGGESTIONS AN ADVICES TO THE EMPLOYEES”

70%
62%
60%
PERCENTAGE OF RESPONDENTS

50%

40% 38%

30%

20%

10%

0%
YES NO
OPTIONS FOR EMPLOYEES

Interpretation:

From the above statement 38% employees are given advice/suggestions during the appraisal process and
62% employees are not given any advices and suggestions.

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13. “Are you aware of the overall objectives/goals of the appraisal system?”

a) Strongly agree b) agree c) disagree d) strongly disagree

TABLE-13

Particulars No. of Respondents percentage of Respondents

Strongly Agree 28 40

Agree 32 46

Disagree 6 8

Strongly Disagree 4 6

Total 70 100

"AWARE OF THE OBJECTIVES/GOALS OF APPRAISAL SYSTEM"

50%
46%
45%
40%
40%

35%

30%

25%

20%

15%

10% 8%
6%
5%

0%
Strongly agree agree disagree stronly disagree

Interpretation

Among the 70 employees 40% are strongly agree, 46% are agree and 8% are disagree remaining 6% are
strongly disagree with the statement that they are aware of the performance appraisal process in the organization.

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14. “How do you want your performance to be communicated to you?”

a) Written form b) oral form c) open communication d) not need

TABLE-14

Particulars No. of Respondents % of respondents

Written form 41 58

Oral form 15 22

Open communication 6 8

Not need 8 12

Total 70 100

“COMMUNICATION ABOUT PERFORMANCE APPRAISAL”

70%

58%
60%
PERCENTAGE OF RESPONDENTS

50%

40%

30%
22%
20%
12%
8%
10%

0%
written form oral form open communication not need
OPTIONS FOR EMPLOYEES

Interpretation:

From the above statement it is inferred that 58% of respondents communicated in written form, 22% of
respondents communicated in oral form, 8% of respondents communicated in open communication and 12% of
respondents said communication is not needed.

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 15. “What Kind of counseling should occur in an organization?"

a) Formal b) informal

TABLE-15

Particulars No. of Respondents Percentage of

respondents

formal 38 54

informal 32 46

Total 70 100

"TYEPS OF COUNSELING"

56%
54%
54%
PERCENTAGE OF RESPONDENTS

52%

50%

48%
46%
46%

44%

42%
formal informal
OPTIONS FOR EMPLOYEES

Interpretation:

From the above statement it is found that 54% of respondents said that the counseling in organization is
formal and 46% of respondents said that the counseling in organization is informal.

1
16. “You speak or discuss about your performance with your superiors”

a) Frequently b) sometimes c) rarely d) never

TABLE-16

Particulars No. of Respondents % of respondents

Frequently 22 32

Sometimes 27 38

Rarely 13 18

Never 8 12

Total 70 100

"DISCUSS ABOUT PERFORMANCE APPRAISAL WITH SUPERIORS"

40% 38%

35% 32%
PERCENTAGE OF RESPONDENTS

30%

25%

20% 18%

15% 12%

10%

5%

0%
Frequently sometimes rarely never
OPTIONS FOR EMPLOYEES

Interpretation:

From the above statement it is said that 32% will speak with superiors about their performance,38% of
respondents said only sometimes will speak with superiors,18% of respondents speak rarely and only 12% of
respondents never speak with superiors about their performance.

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17. “Has your Performance increased as a result of performance appraisal system?”

a) Long extent b) short extent

TABLE-17

Particulars No. of Respondents Percentage of respondents

Long extent 25 36

Short extent 45 64

Total 70 100

" RESULTS OF PERFORMANCE APPRAISAL"

70%
64%

60%
PERCENTAGE OF RESPONDENTS

50%

40% 36%

30%

20%

10%

0%
Large extent short extent
OPTIONS FOR EMPLOYEES

Interpretation:

From the above it is inferred that 36% of respondents said performance is increased to long extent, 64% of
respondents said performance is increased to short extent.

1
 18. “Who should be the appraiser?”

a) Superior b) sub ordinate c) head of the department d) peer group

TABLE-18

Particulars No. of Respondents Percentage of respondents

Superior 17 24

Sub ordinate 14 20

Head of department 18 26

Peer group 21 30

Total 70 100

"APPRAISER OF THE ORGANSATION"

35%
30%
30%
26%
PERCENTAGE OF RSPONDENTS

25% 24%

20%
20%

15%

10%

5%

0%
superior sub-ordinate head of the peer group department

OPTIONS FOR EMPLOYEES

Interpretation:

It can be known that 26% of respondents opinioned that head of department should be the appraiser
where as 24% of respondents opinioned that the appraiser should be superior,30% opinioned that it should be
peer group,20% opinioned that it should be subordinates .

1
19. “What is the Awareness among employees about the performance appraisal system?”

a) High b) adequate c) low d) very low

TABLE-19

Particulars No. of Respondents percentage of respondents

High 28 40

Adequate 21 30

low 15 22

Very low 6 8

Total 70 100

"DEGREE OF AWARENESS ABOUT PERFORMANCE APPRAISAL SYSTEM PF

THE ORGANIZATION"

45%
40%
40%
PERCENTAGE OF RESPONDENTS

35%
30%
30%

25%
22%
20%

15%

10% 8%

5%
0%
high adequate low very low
OPTIONS FOR EMPLOYEES

Interpretation:

From the above it is said that 40% of respondents are aware of performance appraisal is high and 30% of
respondents know adequate performance and 22% of respondents performance is low and 8%of
respondents performance is very low.

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20. “How often the Employees needs to be assessed”

a) once in 3 months b) once in 6 months c) once in a year d) once in a month

TABLE-20

Particulars No. of Respondents percentage of Respondents

Once in 3 months 38 54

Once in 6 months 11 16

Once in a year 13 18

Once in a month 8 12

Total 70 100

"DURATION OF ASSESSMENT OF THE EMPLOYEE"

60%
54%

50%
PERCENTAGE OF RESPONDENTS

40%

30%

18%
20%
16%
12%
10%

0%
once in 3 months once in 6 months once in a year once in a month
OPTIONS FOR EMPLOYEES

Interpretation

Among the 70 employees needs to be assessed are for three months the no of respondents are 54% and for
six months no: of respondents are 16%, for a year the no: of respondents are 18% and for a month no: of
respondents are 12%.

1
21. “Type of relation between superiors and subordinates in your organization”

a) Cordially b) friendly c) healthy d) good

TABLE-21

Particulars No. of Respondents percentage of Respondents

Cordially 31 44

Friendly 14 20

Healthy 11 16

Good 14 20

Total 70 100

"RELATION BETWEEN SUPERIOR AND SUBORDINATES"

50%
44%
45%
PERCENTAGE OF RESPONDENTS

40%

35%

30%

25%
20% 20%
20%
16%
15%
10%
5%
0%
Cordially friendly healthy good
OPTIONS FOR EMPLOYEES

Interpretation

Among 70 employees opinions about the statement are as follows44% opinioned it is cordially, 20% opinioned it
is friendly, 16% opinioned it is healthy and remaining 20% opinioned it is good.

1
22. “Are you Aware of the basis or attributes on which your performance is appraised?”

a) Yes b) no

TABLE-22

Particulars No. of Respondents Percentage of Respondents

Yes 60 86

No 10 14

Total 70 100

"AWARE OF THE BASIS OR ATTRIBUTES"

100%

90% 86%

80%
PERCENTAGE OF RESPONDENTS

70%

60%

50%

40%

30%

20% 14%
10%
0%
YES NO
OPTIONS FOR EMPLOYEES

Interpretation:

From the above statement it is observed that out of 70 members only 86% of respondents said that basis of
performance is appraised as yes and remaining 14% respondents said that basis of performance is appraised as no.

1
23. “The management inform you about the performance appraisal at the beginning the appraisal period”

a) Yes b) no

TABLE-23

Particulars No. of Respondents Percentage of Respondents

yes 27 38

No 43 62

Total 70 100

"PRIOR INFORMANTION ABOUT THE PERFORMANCE APPRAISAL"

70%
62%
60%
PERCENTAGE OF RESPONDENTS

50%

40% 38%

30%

20%

10%

0%
YES NO
OPTIONS FOR EMPLOYEES

Interpretation:

From the above statement it is inferred that only 38% of respondents said yes, i.e., management has informed about
the performance appraisal at the beginning of the appraisal period and remaining 62% respondents said no the
management has not informed about the performance appraisal at the beginning of the appraisal period.

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24. “What are the Benefits after completion of performance appraisal?”

a) Improvement in skills of employees b) personality development c) understanding

expectation of superior

TABLE-24

OPTIONS No. of Respondents Percentage of respondents

Improvements in skills of 32 46

employees

Personality development 14 20

Understanding the 24 34

expectations of superior

Total 70 100

"BENEFITS OF PERFORMANACE APPRAISAL"

50% 46%
45%
PERCENTAGE OF RESPONDENTS

40%
34%
35%
30%
25%
20%
20%
15%
10%
5%
0%
improvement in skills of personality development understanding the
employees expectation of superior
OPTION FOR EMPLOYEES

Interpretation:

From the above it is said that 46% respondents has benefits in improve skills of employees,20% of
respondents has benefits in personality development,34%of respondents has benefits in understanding expectations
of superiors.

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25. “In your opinion performance appraisal is”

a) Evaluation of employees b) promotion of employees c) job satisfaction of employees d)

motivation TABLE-25
Particulars No. of Respondents Percentage of Respondents

Evaluation of employees 28 40

Promotion of
31 44
employees

Job satisfaction of
8 12
employees

Motivation 3 4

Total 70 100

"OPTION OF PERFORMANCE APPRAISAL"

50%
44%
45%
40%
40%

35%

30%

25%
Series 1
20%

15%
12%
10%
4%
5%
0%
evaluation of promotion of job satisfaction of motivattion
employees employees employees

INTERPRETATION:

In the above diagram shows that 40% of employees think about performance appraisal for evaluation of employees
and 44% employees think that it is for promotion of employees and 12% employees think that it is for job
satisfaction of employees and 4% people think it is only for motivation.

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 CHAPTER-6
FINDINGS AND
SUGGESTIONS
1
 QUESTIONS TO THE MANAGER

1. Influence of performance appraisal on trade unions

Finding- It was found that, majority of managers feel that there is an influence of trade unions in assessing
the performance appraisal in Coromendel Agro Oils & Products ltd.

Suggestion- The system of performance appraisal should be made transparent and the notion of
external influences in the organization should be dispelled out at all costs.

2. Frequency of discussion about the results of performance appraisal with the appraise
Finding- From the survey it was found that majority of times the appraiser always discusses the results of
the performance appraisal with appraises.

Suggestion- As there is nothing wrong in appraisers in discussing the results of the appraisal with
appraises, this practice should be encouraged for further development of personality of the appraises.

3. Evaluation of individual’s performance

Finding- It was clear from the survey that almost all the managers rated the evaluation of
individual performance in the organization as excellent.

Suggestion- As the system of performance appraisal has been rated as excellent by majority of the
employees, the same can be continued albeit with a few modifications.

4. Way of acceptance of performance appraisal feedback

Finding- From the survey it was found that majority of the managers feel that the employees of the
organization accept the performance appraisal feedback in a positive way.

Suggestion- The Company should maintain the awareness created by it about the importance of system of
performance appraisal and the benefits of the same to the employees.

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5. Periodicity of the performance appraisal in the company
Finding- It was clear from the survey that majority of the managers feel that performance appraisal can
be conducted whenever they require.

Suggestion- The performance appraisal system should be clearly spelt out by the Company and could be
either quarterly, half-yearly or annually.

6. Training and development programmes

Findings- It was found from the survey that the marketing manager feel training and development
programmes contribute to a large extent of organization’s development, whereas the HR manager feels that
they are moderately useful and the production manager feels that they are useful to a less extent.

Suggestions- There is a need to impress upon the employees and superiors that training and development
programmes are two important aspects for the growth of the organization.

7. Objectives of the appraisal process

Finding- From the survey it was found that majority of the managers of the organization feel that the main
objective of the performance appraisal system is to develop the personality of the employees.

Suggestion- All the department heads should be made aware that the main aim of the performance
appraisal system is to achieve both i.e. development of employees personality and to achieve the
organizational targets.

8. 360 degree appraisal

Finding- It was found that majority of the managers of the organization follow the 360 degree performance
appraisal method.

Suggestion- As the organization follows the 360 degree of performance appraisal method, the same
should be continued and they should take measure in such a way that all the department heads follow it.

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9. Prior information about the performance appraisal
Finding- It was found that the managers of the organization provide prior information about the
performance appraisal process before starting it.

Suggestion- The organization should avoid the habit of providing prior information to the employees about
the performance appraisal as the employees may fake their work and tasks for that period only and this
may lead to rise in differences in performance appraisal results.

QUESTIONS TO THE EMPLOYEES

10. Period of work

Finding – It is clear that all most all of the employees are working from 2 to 5 years inCoromendel Agro
Oils & Products ltd. We can infer that the organization has very less number of experienced senior staff.

Suggestion- The organization should appoint more of senior staff as they may have a greater degree of
patience levels and experience too which will the organization to carry on its activities effectively .

11. Nature of duties

Finding- From the survey it was found that majority of the employees of Coromendel Agro Oils &
Products ltd; belong to non-technical staff.

Suggestion- As the firm has good proportion of technical equipments, which are crucial for the production
of oil products; there is an urgent need to induct sufficient number of technical staff to enhance continuous
production.

12. Suggestions an advices to the employees

Finding- It is clear that the superiors in the organization have a poor communication with their employees
where majority of the employees are not given any suggestions and advices during or after the appraisal
program.

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 Suggestion- The existing HR department has to be properly advised to pay due attention to the aspect of
better communication with their employees by devising an effective interactive programmers.

13. Awareness of goals and objectives of the appraisal system

Findings- From the survey it was found that majority of the employees of Coromendel Agro Oils &
Products ltd; are fully aware about the goals and objectives of the appraisal system of their company.

Suggestions- Since, the employees are fully aware of the goals and objectives of the company’s
appraisal system they should be motivated further towards achieving the same.

14. Communication about performance appraisal

Finding- It was clear that majority of the employees of the Coromendel Agro Oils & Products ltd.
prefer their results of their performances after performance appraisal to be communicated in written
form as it helps the employees to maintain privacy of their results.

Suggestions- As majority of the employees prefer their results to be confidential; the company may set up
suitable mechanism in the form of communicating the appraisals through electronic means i.e. through e-
mails.

15. Type of counseling

Finding- Here, it was clear that majority of the employees prefer formal counseling over informal
counseling in the organization.

Suggestion- The Company may consider formal counseling methods to the employees as majority of them
prefer the same.

16. Discussion about the performance appraisal with the superiors

Finding- From the survey it is known that majority of the employees discuss only sometimes about
the performance appraisal with their superiors.

Suggestion- The superiors of the company must take the lead in discussing about the performance appraisal
of the employees.

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17. Results of performance appraisal
Finding- It was found that most of all the employees of Coromendel Agro Oils & Products ltd. feel that the
performance appraisal of the organization has increased their performance only to a short extent.

Suggestion- The Company should look into this aspect and develop an alternate performance appraisal
system which could increase their performance to a large extent.

18. Appraiser of the organization

Finding- It was found that out of superiors, sub-ordinates, head of the departments and peer groups,
majority of the employees prefer their peer groups as their performance appraisers.

Suggestion- As majority of them feel that their peer groups must be their appraisers, as they are directly
in contact with the employees; the company should consider implementing the same.

19. Degree of awareness about performance appraisal system of the organization

Finding- From the survey, it was found that almost all the employees are highly aware about
the organization’s performance appraisal system.

Suggestion- The Company should make efforts to continue with the good work of creating awareness about
the organization’s performance appraisal system among their employees.

20. Duration of assessment of the employee

Finding- It was clearly found that majority of the employees of Coromendel Agro Oils & Products ltd;
prefer their needs to be assessed for once in 3 months.

Suggestion- The Company may consider the views of the employees and introduce a system of
assessment of employees every quarter instead of the existing system.

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21. Relation between superiors and sub-ordinates
Finding- It was made clear that most of the employees of Coromendel Agro Oils & Products ltd; feel that
the relation between their superiors and sub- ordinates is cordial in nature.

Suggestion- The Company should continue to maintain this positive cordial relation between superiors and
sub-ordinates.

22. Awareness of attributes to the employees

Findings- All most all of the employees of the organization said that they are fully aware about the
attributes on which their performances are appraised.

Suggestions- As the employees are fully aware about the attributes on which their performances are
appraised, the Company should continue to maintain the same for best organizational results.

23. Prior information about the performance appraisal

Finding- It was found that the managers of the organization provide prior information about the
performance appraisal process before starting it.

Suggestion- The organization should avoid the habit of providing prior information to the employees about
the performance appraisal as the employees may fake their work and tasks for that period only and this may
lead to rise in differences in performance appraisal results.

24. Benefits of performance appraisal

Finding- It was found that after the completing the performance appraisal process in the organisation the
employees feel that they are benefitted in improvement of their skills.

Suggestion- The Company should also work towards in improvement of the personality of the employees,
improvement of the employee’s skills and also should understand the expectations of the superior.

1
25. Opinion about performance appraisal
Finding- It is clear that majority of employees has the opinion that performance appraisal process is a key
to promotion of employees.
Suggestion- The Company should make it clear that performance appraisal is only a part of Company’s
policy to continuously evaluate the value of an employee and though it may be considered at the time of
promotion, it doesn’t necessarily imply immediate promotion.

1
QUESTIONNAIRE

1
Primary data is being collected from the agents through questionnaire. It is the most common instrument in
collection of primary data. Questions are both open ended and close ended. Questions were simple and easy to
understand. The number of questions was limited and not repeated.

The questions in the questionnaire were arranged in logical sequence. The questions were all related to the
topic, the questionnaire is prepared in such a way to get much information about the consumer perception. The
survey conducted on random basis.

PERSONAL DATA

Name :
Designation:
Department:
Qualification:
Age :
QUESTIONNAIRE FOR MANAGERS :

1. Is there any influence of trade union in assessing the performance appraisal in coromendel agro oils and
products limited?
a) Yes b) no

2. Weather results of performance appraisal are discussed with the appraise?

b) Always b) sometimes c)rarely d) never

3. What is evaluation of individual performance in the organization?

a) Excellent b) Satisfied c) Dissatisfied d) No Comments

1
4. How are employees accepting the performance appraisal feedback?

a) In positive way b) In negative way c) Uninterested d) Neutral

5. What is the periodicity of performance appraisal in the company?

a) Quarterly basis b) Half Yearly basis c) Annual basis d) monthly basis

6. Up to what extent do you think training and development programs of your organization are contributing
for its development?
b) Large extent b)Moderate extent c) Less extent d) lower extent

7. What are the main objectives of appraisal process:

a) Personal development b) To achieve organizational targets

8. whether 360 degree appraisal is following in the company

a) yes b) no

9. Does the management inform you about the performance appraisal at the beginning of the appraisal period?

a) Yes b) No

1
 QUESTIONNAIRE FOR EMPLOYEES:

10. How long you are working in this company?

A) 2to5years b) 5to10years c) 10to15years d) above15years.

11. Nature of duties

a) Technical b) non-technical

12. Are the employees given advice/suggestions during the appraisal process?
a) Yes b) no

13. Are you aware of the overall objectives / goals of the appraisal system?
a) Strongly agree b) Agree c) Disagree d) strongly Disagree

14. How do you want your performance to be communicated to you?

a) Written form b) Oral form c) Open communication d) Not need

15. What kind of counseling should occur in an organization?

a) Formal b) Informal

16. How often did you speak or discuss about your performance with your superiors?

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

1
17. Has your performance increased as a result of performance appraisal system?

a) Long extent b) Short Extent c) Not at all

18. Who should be the appraiser?

a) Superior b) Sub-ordinate c) Head of the department d) Peer group

19. What is the awareness among employees about the performance appraisal system?

a)High b) Adequate c) low d) very low

20. How often the employees' training needs to be assessed?

a) Once in 3 months b) Once in 6 months c) Once in a year d) once in month

21. How is the relation between superiors and subordinates in your organization?
a) Cordially b) Friendly c) Healthy d)Good

22. Are you aware of the basis or attributes on which your performance is appraised?

a) Yes b) No

23. Does the management inform you about the performance appraisal at the beginning of the appraisal period?

a) Yes b) No

1
24. What are the benefits after completion of performance appraisal?

a) Improvements in skills of employees b) Personality development

c) Understanding the expectations of superior

25. In your Opinion Performance Appraisal is?

a) Evaluation of Employees b) Promotion of Employees

c) Job Satisfaction of Employees d) Motivation.

1
 BIBLIOGRAPHY

A.PUBLICATION:

1.”Essentials of HUMAN RESOURCE AND MANAGEMENT RELATIOUNS”, by

P.subbarao, second edition and revised print 2007 Pg.no 242-244, HimalayaPublications, Mumbai.

2.”Personal Management” by C.B. Memoria and S.V. Gankar, Pg.no 145-149, 2007, Himalaya
publications, Mumbai.

3.”RESEARCH METHODOLOGY”By C.R.Koyhari&Gaurav Garg ,3 Edition, Pg.no-187-

193,2013, New Age Jaico Publication House.

B. WEBSITES:

www.indianoilindustry.com

www.agroindustries.com

www.ml@capol.com