D Merged

A STUDY ON PERFORMANCE APPRAISAL
TOWARDS EMPLOYEE PRODUCTIVITY WITH

SPECIAL REFERENCE TO M.R. KRISHNAMURTHY
CO-OPERATIVE SUGAR MILLS LTD
A PROJECT REPORT
Submitted by
DHANYA LAKSHMI B (421122301014)

In partial fulfillment for the award of the degree of
MASTER OF BUSINESS ADMINISTRATION
IN
FACULTY OF MANAGEMENT STUDIES
IFET COLLEGE OF ENGINEERING

(An Autonomous Institution)
Approved by AICTE, New Delhi and Accredited by NAAC & NBA
Affiliated to Anna University, Chennai-25
Gangarampalayam, Villupuram – 605 108
JUNE 2024
i
IFET COLLEGE OF ENGENEERING
BONAFIDE CERTIFICATE
Certified that this project report “A STUDY ON

PERFORMANCE APPRAISAL TOWARDS EMPLOYEE
PRODUCTIVITY WITH SPECIAL REFERENCE TO M.R.
KRISHNAMURTHY CO-OPERATIVE SUGAR MILLS LTD” is
the bonafide work of “DHANYA LAKSHMI B (421122301014)” who
carried out the project work under my supervision.
Dr. A. ARUN, M.B.A., Ph.D. Dr. A. ARUN, M.B.A., Ph.D.

HEAD OF THE DEPARTMENT SUPERVISOR
Assistant Professor Assistant Professor
IFET College of Engineering IFET College of Engineering
Villupuram - 605108 Villupuram - 605108
Submitted to the Viva voce Examination held on _____________________
INTERNAL EXAMINER EXTERNAL EXAMINER
ii
DECLARATION
I hereby declare that the project entitled “A STUDY ON PERFORMANCE

APPRAISAL TOWARDS EMPLOYEE PRODUCTIVITY WITH
SPECIAL REFERENCE TO M.R. KRISHNAMURTHY CO-
OPERATIVE SUGAR MILLS LTD” submitted to Anna University, Chennai,
in partial fulfillment of Master of Business Administration during the year 2022-
2024. It is the record of original work done by me under the guidance of Dr. A.
ARUN, M.Tech., MBA., Ph.D, Assistant Professor, Department of
Management Studies, IFET college of Engineering, Villupuram. It is assured
that this is my original work and have not been submitted to any other university
for the award of MBA degree.
PLACE:
DATE:
DHANYA LAKSHMI. B
[Reg.NO:421122301014]
iii
ACKNOWLEDGEMENT
The successful completion of any task would be incomplete without

mentioning names of persons who helped to make it possible. I take this
opportunity to express my gratitude in few words and respect to all those who
helped me in the completion of this project work.
First of all, I thank the lord almighty for giving me the strength and
courage to complete this project work.
I express my deep gratitude to Mr. K.V RAJA, Chairman, Mr. K.
SHIVRAM ALVA, Secretary, IFET College of Engineering.
I am extremely grateful to our principal Dr. G. MAHENDRAN, M.
Tech., Ph. D, and our Vice Principal and Dean Academics Dr. S. MATILDA,
M.S., Ph.D. for providing necessary and essential facilities to do project works.
I express my sincere thanks and deep sense of gratitude to Dr. A. ARUN,
MBA. Head of the department, Department of Management studies, IFET
College of Engineering for providing me an encouragement, support and
guidance to complete this project work successfully. I would like to take this
opportunity to express my heartfelt gratitude to my internal guide Dr. A. ARUN,
MBA, Assistant Professor, Department of the Management Studies, IFET
College of Engineering, who encourage and constant evidence in my project. He
gave me the advance systematic approach and a new dimension to my project.
I convey my heartiest thanks to my external guide Ms. V. SHANTHI,
Assistant Manager for her support and guidance.
Finally, I express my sincere thanks and deep sense of gratitude to my
parents and friends for giving timely advice in all the ways and in all aspects for
the success of this project work.
DHANYA LAKSHMI. B
[Reg.No:421122301014]
iv
ABSTRACT
Performance appraisal is a critical human resource management function to

evaluate an employee's performance and productivity. This study explores the
relationship between performance appraisal systems and employee productivity
within various organizational contexts. The research focuses on understanding
how different appraisal methods, feedback mechanisms, and follow-up actions
influence employee motivation, engagement, and overall performance. Through
a comprehensive review of existing literature and empirical data, the study
identifies key factors contributing to effective performance appraisals and their
direct impact on enhancing productivity. Findings suggest that well-structured
performance appraisals, which include clear criteria, regular feedback, and
constructive communication, significantly improve employee performance.
Additionally, the study highlights the importance of aligning appraisal outcomes
with organizational goals and employee development plans to foster a
productive work environment. This research contributes to the ongoing
discourse on optimizing performance management practices to boost employee
productivity and organizational success.
v
TABLE OF CONTENTS
CHAPTERS PARTICULARS PAGE NO
Abstract v
List of Tables viii
List of Figures x
I INTRODCTION
1.1 Introduction 1
1.1.1 Concept of Performance appraisal 2
1.2 Industry Profile 3
1.3 Company Profile 4
1.3.1 Company Mission 5
1.3.2 Company Vision 5
1.3.3 Quality Policy Statement 5
1.3.4 Departments of the company 5
1.4 Objectives of The Study 6

1.5 Need of the Study 7
1.6 Scope of The Study 8
1.7 Limitations of The Study 9
II REVIEW OF LITERATURE
2.1 Review of Literature 10
2.3 Research Gap 12
III RESEARCH METHODOLOGY
3.1 Research Methodology 13
3.1.1 Definition 13
3.2 Data collection method 13
3.2.1 Primary Data 13
vi
3.2.2 Secondary Data 13
3.3 Research Design 13
3.4 Sample Size 14
3.4.1 Sample Area 14
3.5 Statistical Tools 14
3.5.1 Percentage Analysis 14
3.5.2 Chi-Square Test 14
3.5.3 Correlation 15
IV DATA ANALYSIS AND INTERPRETATION
4.1 Data analysis and interpretation 16
4.1.1 Percentage analysis 16
4.1.2 Chi-square test 52
4.1.3 Correlation method 53

V FINDINGS, SUGGESTION AND
CONCLUTION
5.1 Findings 54
5.2 Suggestion 57
5.3 Conclusion 58
REFERENCE 59
APPENDICES
Annexure I 62
Annexure II 67
Annexure III 68
vii
LIST OF TABLES
TABLE TITLE PAGE NO
4.1 Gender of the respondents 16
4.2 Age of the respondents 17
4.3 Education level of the respondents 18
4.4 Experience of the respondents 19
4.5 Marital status of the respondents 20
4.6 Income level of respondents 21
4.7 Feedback beneficial 22
4.8 Current performance 23
4.9 Collaborate effectively 24
4.10 Skill possessed 25
4.11 Existing performance appraisal 26
4.12 Committed to goals 27
4.13 Assessment is measured 28
4.14 Good understanding 29
4.15 Overall goals and objectives 30
4.16 Meet deadlines 31
4.17 Self-appraisal 32
4.18 Job responsibilities 33
4.19 Feel motivated and engaged 34
4.20 Adequate support 35
viii
4.21 Current position 36
4.22 Tools to perform 37
4.23 Level of communication 38
4.24 Innovativeness 39
4.25 Promotion 40
4.26 Personal problem 41
4.27 Current performance appraisal 42
4.28 Formal appraisal system 43
4.29 Task setting 44
4.30 Regular feedback 45
4.31 Reflect the training 46
4.32 Appraised Individually 47
4.33 Transparent 48
4.34 Assessment measured 49
4.35 Procedures and protocols 50
4.36 Solve problems 51
4.37 Summary of the Chi-Square 52
4.38 Test Statistics 52
4.39 Correlation 53
ix
LIST OF FIGURES
FIGURE TITLE PAGE NO
1.1 Company Logo 4
4.1 Gender of the respondents 16
4.2 Age of the respondents 17
4.3 Education level of the respondents 18
4.4 Experience of the respondents 19
4.5 Marital status of the respondents 20
4.6 Income level of respondents 21
4.7 Feedback beneficial 22
4.8 Current performance 23
4.9 Collaborate effectively 24
4.10 Skill possessed 25
4.11 Existing performance appraisal 26
4.12 Committed to goals 27
4.13 Assessment is measured 28
4.14 Good understanding 29
4.15 Overall goals and objectives 30
4.16 Meet deadlines 31
4.17 Self-appraisal 32
4.18 Job responsibilities 33
4.19 Feel motivated and engaged 34
x
4.20 Adequate support 35
4.21 Current position 36
4.22 Tools to perform 37
4.23 Level of communication 38
4.24 Innovativeness 39
4.25 Promotion 40
4.26 Personal problem 41
4.27 Current performance appraisal 42
4.28 Formal appraisal system 43
4.29 Task setting 44
4.30 Regular feedback 45
4.31 Reflect the training 46
4.32 Appraised Individually 47
4.33 Transparent 48
4.34 Assessment measured 49
4.35 Procedures and protocols 50
4.36 Solve problems 51
xi
CHAPTER-I
1.1 INTRODUCTION
Performance appraisal is a systematic process of evaluating and assessing an
employee's job performance and productivity over a given period of time. It is
typically conducted by managers or supervisors to measure the effectiveness of an
employee's work identify areas for improvement, and set goals and objectives for
the upcoming period.
Performance appraisal is an important tool for employee development and

organizational growth. It helps to ensure that employees are meeting the
expectations of their job roles and that the organization is able to achieve its goals
and objectives. By providing feedback on job performance, performance appraisal
can help employees identify areas where they need to improve and work to
enhance their skills and abilities.
The process of performance appraisal typically involves setting clear

expectations and goals at the beginning of the appraisal period, monitoring
employee progress throughout the period, and providing feedback on performance
at the end of the period. The feedback provided during the appraisal can be used
to set goals and objectives for the upcoming period and to identify areas where
further training or development may be necessary.
Performance appraisal can have benefits for both employees and employers.
For employees, it can provide clarity on job expectations, identify areas for
development, and provide recognition for good performance. For employers, it
can help to improve employee productivity, identify training and development
needs, and align individual performance with organizational goals. The results of
performance appraisal can be used for a variety of purposes, such as determining
1
salary increases, promotions, training and development needs, and succession
planning.
It can also be used to identify areas where the organization needs to improve
its processes, policies, or procedures. Overall, performance appraisal is an
essential tool for organizations to monitor and improve employee performance,
ensure accountability and align individual and organizational goals.
1.2 CONCEPT OF PERFORMANCE APPRAISAL
The concept of performance appraisal is an important tool for managing

human resources and ensuring that employees are meeting the expectations of their
job roles. It can help to promote a culture of continuous improvement and
development, and ensure that employees are motivated and engaged in their work.
Performance appraisal typically involves a review of the employee's job

performance over a specific period, which may include feedback from supervisors,
peers, and subordinates, as well as self-evaluation by the employees. The process
may also include a discussion of the employee's career goals and objectives, and
how these align with the goals of the organization.
2
1.2 INDUSTRY PROFILE
Sugar industry is one of the most important agro-based industries in India and
ranks second amongst major agro-based industries in India. This industry has a
long tradition in this country; it started growing in an organized way during the
1930s after introduction of the sugar industry protection act in 1932. But the
industry achieved a fabulous growth under the plan periods. While the number of
sugar factories has gone up from 1939 in 1950 to 400 in 1989, the corresponding
sugar production has increased from 1.4 million tons to 11 million tons. However,
there were large variations in the pattern of growth between different states as well
as between regions.
In India, Uttar Pradesh shares major role in sugar industry. Both in the terms
of number of factories and sugar production, its share has been around 30%. In
spite of this high growth rate in sugar production, since 1970s, the industry is
affected with a number of problems like shortage in sugarcane supply, out dated
technologies, low-capacity utilization, poor financial performance, and
discriminatory government policies. Most of the sugar factories have been
suffered with high cost of production due to this problem. Thereby continuing
increase in sick sugar factories during the last two decades. The progress of the
world is standing on three innovations namely Science, Technology and
Management.
The agriculture sector has been slow to adopt the use of information
technology (IT), despite its potential to improve the efficiency of planning and
decision-making. However, several IT-based projects have been started at various
agricultural institutions. A vision of a computer network lining agricultural
institutions is presented.
3
1.3 COMPANY PROFILE
M.R. KRISHNAMURTHY CO-OPERATIVE SUGAR MILLS LTD

Sethiathope-608 702, Bhuvanagiri Taluk, Cuddalore district
Figure No. 1.1 Company Logo

Company Name M.R. KRISHNAMRTHY CO-OPERATIVE
SUGAR MILLS LTD
Company Location
Sethiathope (post), Bhuvanagiri (TK), Cuddalore
dist, Tamil Nadu
Type of Company Manufacturing unit
Industry Sugar Industry
Sub Category Government Company
Telephone 04144244391
Phone no. 9994289373
Website www.mrkcsm.net.in
Incorporation Date 1989
Email mrkcsm@gmail.com
4
1.3.1 Mission
To promote economic development and employment opportunities in rural and
backward areas by encouraging cultivation of cane and promoting and setting up
of sugar mills.
1.3.2 Vision
To achieve international standards of excellence in all aspects of sugar
manufacture and diversified business with focus on customer. To maximize
creation of wealth, value and satisfaction for the stakeholders.
1.3.3 Quality Policy Statement

Our company prioritizes customer satisfaction, ensuring high-quality products
and exceptional service. We adhere to industry standards and safety guidelines,
ensuring hygiene and safety. We focus on continuous improvement through
advanced technologies and training. We are committed to sustainable practices,
minimizing our environmental impact. We value employee engagement and
maintain transparent relationships with stakeholders. Our commitment to
employee engagement and sustainability ensures a supportive work environment.
We believe in fostering open communication for mutual growth and success.
1.3.4 Departments of the Company

➢ Human Resource Department.
➢ Finance Department.
➢ Mill house.
➢ Sugar house.
➢ Refinery.
➢ Cogeneration.
5
1.4 OBJECTIVES OF THE STUDY
➢ To determine the impact of compensation packages, wage structure, and salary
particulars.
➢ To know the strengths and weaknesses of employees.
➢ To collect employee feedback regarding their performance and related status.
6
1.5 NEED FOR THE STUDY
➢ To understand the performance appraisal methods followed in the industry.
➢ To study how often performance is appraised for the employees.
➢ To know the criteria to be achieved by the employees.
7
1.6 SCOPE OF THE STUDY
➢ The key factors need to be identified for performance appraisal.
➢ The employees may benefit if the suggestions are taken into account.
8
1.7 LIMITATIONS OF THE STUDY
➢ Even if data is available, its quality can vary. Inaccurate or incomplete data
can lead to flawed analysis and unreliable conclusions.
➢ Some of the information is kept confidential.
➢ With the available data, the study has achieved an approximate level. We need
to go for a deeper study to understand the full parametric differences followed
in the industry, especially for performance appraisal systems.
9
CHAPTER II
2.1 REVIEW OF LITERATURE
2.1.1 Jocelyn Mary Seruya Omusebe, Effects of Performance Appraisal on

Employee Productivity A Case Study of Mumias Sugar Company Limited:
The purpose of this study was to investigate the effects of performance appraisal
(PA) on employee productivity in Mumias Sugar Company Limited. The study
was guided by a case study design. Simple random sampling was used to select
149 employees. The research instruments used for data collection were the
questionnaires and interview schedules. Descriptive analysis and inferential
statistic i.e. regression analysis and t-test were used. Results indicated that there
was a positive and significant effect between performance appraisal and
employee efficiency in Mumias Sugar Company Limited.
2.1.2 Josephine Wangari Kihama, Performance appraisal feedback and

employee productivity in water and sewerage companies in Kiambu country,
Kenya. (2019): Performance appraisal acts an important factor in the overall
functions of human resource management in both private and public sectors.
Performance appraisal has great implications on employee motivation. For
instance, staffs are unlikely to want to be op en about job difficulties, or to admit
that they need more training to do the job, if they feel this will directly affect their
next pay increase. The objective of the study was to determine the influence of
appraisal feedback on employee productivity, to assess the influence of appraisal
methods on employee productivity, and to assess the influence of appraisal
standards on employee productivity.
2.1.3 Yousif Al-Jedaia, Ahmed Mehrez, The effect of performance appraisal
on job performance in governmental sector: The mediating role of motivation
10
(2020): The purpose of this paper is to assess the impact of performance appraisal
on job performance focusing on the role of Motivation in the governmental sector
in Qatar. While many organizations consider performance appraisal (PA) an
important tool to measure and evaluate employees’ performance, PA can be used
as an effective tool to maintain the capabilities and effectiveness of the workforce.
2.1.4 Liza Estino Daoanis, Performance appraisal system: It’s Implication to
Employee Performance. (2014)
Performance appraisal is a vital tool to measure the frameworks set by any
organization to its employees. It is utilized to track individual contribution and
performance against organizational goals and to identify individual strengths and
opportunities for future improvements and assessed whether organizational goals
are achieved or serves as basis for the company’s future planning and
development. This study examined the status of the performance appraisal system
of Nass Construction Company and its implication to employee’s performance.
The respondents of this study were tenured employees.
2.1.5 Gary E. Roberts, Employee Performance Appraisal System
Participation: A Technique That Works. (2003)
Performance appraisal is one of the most complex and controversial human

resource techniques. Participatory performance appraisal is an essential and
proven attribute of an effective performance appraisal system. This article
summarizes the conceptual foundation for participation including its intrinsic
motivational value, the expansion of available information, and the opportunity to
interject employee voice. The article concludes with factors that attenuate the
effectiveness of participation including lack of training, absence of rater
accountability strategies, and organizational and supervisory resistance to honest
subordinate feedback.
11
2.3 Research Gap
➢ Clarity and Understanding: Clear feedback help employees understand what
they’re doing well and where they need to improve. When employees know
exactly what’s expected of them and how they’re doing, they feel more
motivated to meet those expectations.
➢ Recognition and Validation: When employees receive good feedback that

appreciates what they’ve done and recognizes their hard work, they feel valued
and like they belong. This makes them want to keep doing well and stay
involved in their job.
➢ Goal Alignment: When feedback is clear and shows how someone’s work
connects to the company’s goals, it helps them see the big picture.
Understanding this connection makes employees want to work towards those
goals and be part of the team’s success.
12
CHAPTER III
3.1 RESEARCH METHODOLOGY

Research methodology refers to the systematic process and techniques
employed by researchers to collect, analyze, and interpret data in a structured
manner to address the objectives of a project or study. It encompasses the
theoretical framework, research design, data collection methods, sampling
techniques, data analysis procedures, and ethical considerations. A clear research
methodology provides a roadmap for conducting the study, ensuring reliability,
validity, and replicability of the findings while adhering to ethical standards. It
serves as the foundation for generating credible and meaningful insights to answer
research questions or fulfill project objectives.
3.2 Data Collection Method
There are two source of data namely Primary and Secondary data.
3.2.1 Primary Data
Primary data was collected from the employees of the organization by using
the close ended self-designed questionnaire. Total questions were given to
M.R.K. employees.
3.2.2 Secondary Data
Secondary data is gathered from the internet, journals, past records and
reports.
3.3 Research Design
The type of research design used in this study is “Descriptive Research”

design involves summarizing and organizing of the data so that they can be
easily understood. The main purpose of this descriptive statistics is to provide a
13
brief summary of the samples. This generally means that descriptive statistics
is not developed on the basis of probability theory.
3.4 Sample Size
Among the total 500 employees, the sample size taken for the study is 150
respondents.
3.4.1 Sample Area
The sample area means the place where the survey has been conducted. The
sample area is M.R. KRISHNAMURTHY CO-OPERATIVE SUGAR
MILLS, SETHIATHOPE.
3.5 Statistical Tools
After the data have been collected, an analysis has been done with the
following tool.
➢ Percentage analysis
➢ Chi-square test
➢ Correlation
3.5.1 Percentage Analysis

Percentage analysis in statistical tools for data surveys involves calculating the
proportion of responses or occurrences relative to the total sample size or specific
subgroups. It enables researchers to express findings in terms of percentages,
providing a clearer understanding of the distribution or prevalence of certain
variables or responses within the dataset. Percentage analysis is particularly useful
for visualizing and interpreting survey results, as it facilitates comparisons and
identifies patterns or trends across different categories or demographic groups.
This method aids in making 34 data-driven decisions and communicating key
findings effectively to stakeholders or audiences.
14
Percentage = No. of employees/Total No. of employees*100 ---------1
3.5.2 Chi-Square Test
Chi-square analysis is a statistical method used to determine whether there is
a significant association between two categorical variables in a dataset. In the
context of data surveys, chi-square analysis can help researchers investigate
relationships or dependencies between different survey responses or demographic
categories. By comparing observed frequencies with expected frequencies under
the assumption of independence, chi-square tests assess whether any observed
differences are statistically significant. This analysis can provide insights into
patterns, trends, or correlations within the survey data, helping researchers draw
meaningful conclusions about the relationships between variables. Chi-Square
tests are often used in hypothesis testing.
Chi-Square = ∑ (Oi – Ei)2/Ei ----------------2
3.5.3 Correlation
Correlation in the context of data surveys within statistical tools refers to the
degree of association or relationship between two or more variables. It indicates
how changes in one variable are related to changes in another variable. Correlation
analysis measures the strength and direction of the relationship, typically
quantified by correlation coefficients such as Pearson's correlation coefficient or
Spearman's rank correlation coefficient. Positive correlation implies that as one
variable increases, the other variable also tends to increase, while negative
correlation indicates that as one variable increases, the other variable tends to
decrease. Understanding correlations helps researchers identify patterns,
dependencies, or potential causal relationships within the data.
15
CHAPTER-IV
4.1 DATA ANALYSIS AND INTERPRETATION
4.1.1 Percentage analysis
Gender of the respondents
Table No.4.1 Gender of the Respondents

Particulars Frequency Percent
Male 123 82.0
Female 27 18.0
Total 150 100.0
Figure No.4.1 Gender of the Respondents
Inference
From the above table, it is inferred that 82% of respondents are Male, and
18% are female.
16
Age of the respondents
Table No.4.2 Age of the respondents
25-35 12 8.0
36-45 30 20.0
46-55 93 62.0
56 & above 15 10.0
Total 150 100.0
Figure No.4.2 Age of the respondents
Inference
From the above table, it is informed that 8% of respondents are 25-35 age
categories, 20% are 36-45 age categories, 62% are 46-55 age categories, 10% are
56&above age categories.
17
Education level of the respondents
Table No.4.3 Education level of the respondents
Bachelor degree 38 25.3

Master degree 40 26.7
Any Professional degree 25 16.7
Diploma/certificate 47 31.3
Total 150 100.0
Figure No.4.3 Education level of the respondents
Inference
From the above table, it is inferred that 26.7% of respondents are Master
degree, 25.3% of Bachelor degree, 16.7% of any professional degree, and 21.3%
of Diploma.
18
Experience of the respondents
Table No.4.4 Experience of the respondents
1-5years 18 12.0
6-10years 48 32.0
11-15years 29 19.3
Above 16 years 55 36.7
Total 150 100.0
Figure No.4.4 Experience of the respondents

Inference
From the above table, it is inferred that 12% are 1-5 years of experience, 32%
are 6-10 years of experience, 19.3% are 11-15 years of experience, 36.7% are 16-
above years of experience.
19
Marital status of the respondents
Table No.4.5 Marital status of the respondents
Single 33 22
Married 109 72.7
3 8 5.3
Total 150 100.0
Figure No.4.5 Marital status of the respondents

Inference
From the above table, it is inferred that 72.7% of the respondents are
married, and 22% are unmarried.
20
Income level of respondents
Table No.4.6 Income level of respondents
Below 15000 10 6.7

16000-30000 39 26
31000-50000 94 62.7
100000-above 7 4.6
Total 150 100.0
Figure no.4.6 Income level of respondents

Inference
From the above table, it is inferred that 62.7% of the respondents are having
salary range of 31000 to 50000, 26% of a salary range from 16000 to 30000, 6.7%
of a salary range from below 15000, and 4.6% of a salary range 100000 to above.
21
Feedback beneficial
Table No. 4.7 Feedback beneficial

Strongly agree 10 6.7
Agree 62 41.3
Neutral 54 36
Disagree 14 9.3
Highly Disagree 10 6.7
Total 150 100.0
Figure No.4.7 Feedback beneficial

Inference
From the above table, it is inferred that 41.3% of the respondents agree that
the organization feedback beneficial for improving employee performance, 36%
are at the neutral stage, 9.3% are disagree, 6.7% are strongly agree and 6.7%
Highly disagree.
22
Current performance
Table No. 4.8 Current performance

Agree 86 57.3
Neutral 31 20.7
Disagree 9 6.0
Highly disagree 11 7.3
Total 150 100.0
Figure No.4.8 Current performance
Inference
the organization current performance appraisal system is effective tool, 20.7% are
at the neutral stage, 6% are disagree, 8.7% are strongly agree and 7.3% Highly
disagree.
23
Collaborate effectively
Table No. 4.9 Collaborate effectively

Agree 49 32.7
Neutral 19 12.7
Disagree 9 6.0
Total 150 100.0
Figure No. 4.9 Collaborate effectively

Inference
the organization Collaborate effectively, 12.7% are at the neutral stage, 6% are
disagree, 42% are strongly agree and 6.7% Highly disagree.
24
Skill possessed
Table No. 4.10 Skill possessed
Agree 64 42.7
Neutral 15 10.0
Disagree 10 6.7
Total 150 100.0
Figure No. 4.10 Skill possessed

Inference
the organization Collaborate effectively, 10% are at the neutral stage, 6.7% are
disagree, 35.3% are strongly agree and 5.3% Highly disagree.
25
Existing performance appraisal
Table No. 4.11 Existing performance appraisal

Agree 59 39.3
Neutral 36 24.0
Disagree 3 2.0
Total 150 100.0
Figure No. 4.11 Existing performance appraisal

Inference
the existing performance appraisal ensure due recognition, 24% are at the neutral
stage ,2% are disagree, 32.7% are strongly agree and 2% Highly disagree.
26
Committed to goals
Table No. 4.12 Committed to goals
Agree 47 31.3
Neutral 42 28.0
Disagree 3 2.0
Total 150 100.0
Figure No. 4.12 Committed to goals

Inference
the organization committed to goals, 34% are strongly agree, 28% are at the
neutral stage ,2% are disagree and 4.7% Highly disagree.
27
Assessment is measured
Table No. 4.13 Assessment is measured
Agree 63 42.0
Neutral 38 25.3
Disagree 3 2.0
Total 150 100.0
Figure No. 4.13 Assessment is measured

Inference
From the above table, it is inferred that 42% of the respondents agree that the
assessment is measured, 29.3% are strongly agree, 25.3% are at the neutral stage
,2% are disagree and 1.3% Highly disagree.
28
Good understanding
Table No. 4.14 good understanding

Agree 66 44.0
Neutral 37 24.7
Disagree 1 0.7
Total 150 100.0
Figure No. 4.14 good understanding

Inference
employee have good understanding of company’s vision and mission, 30% are
strongly agree, 24.7% are at the neutral stage, 0.7% are disagree and 0.7% Highly
disagree.
29
Overall goals and objectives
Table No. 4.15 Overall goals and objectives
Agree 56 37.3
Neutral 38 25.3
Disagree 3 2.0
Total 150 100.0
Figure No. 4.15 Overall goals and objectives

Inference
the organization performance aligns with the overall goals and objectives, 34.7%
are strongly agree, 25.3% are at the neutral stage, 2% are disagree and 0.7% Highly
disagree.
30
Meet deadlines
Table No. 4.16 Meet deadlines
Agree 51 34.0
Neutral 45 30.0
Disagree 2 1.3
Total 150 100.0
Figure No. 4.16 Meet deadlines

Inference
organization meet deadlines to manage time, 32.7% are strongly agree, 30% are at
the neutral stage, 1.3% are disagree and 2% Highly disagree.
31
Self-appraisal
Table No. 4.17 Self-appraisal
Very Dissatisfied 7 4.7
Dissatisfied 6 4.0
Neutral 85 56.7
Satisfied 25 16.6
Very Satisfied 27 18.0
Total 150 100.0
Figure No. 4.17 Self-appraisal

Inference
From the above table, it is inferred that 56.7% of the respondents satisfied
with the self-appraisal is effective, 4.7% are very dissatisfied, 4.0% are
dissatisfied, 16.6% are satisfied and 18% very satisfied.
32
Job responsibilities
Table No. 4.18 Job responsibilities

Dissatisfied 14 9.3
Neutral 57 38.0
Satisfied 40 26.7
Total 150 100.0
Figure No. 4.18 Job responsibilities

Inference
From the above table, it is inferred that 38% of the respondents satisfied with
job responsibilities, 14% are very dissatisfied, 9.3% are dissatisfied, 26.7% are
satisfied and 12% very satisfied.
33
Feel motivated and engaged
Table No. 4.19 Feel motivated and engaged

Dissatisfied 21 14.0
Neutral 70 46.7
Satisfied 35 23.3
Total 150 100.0
Figure No. 4.19 Feel motivated and engaged

Inference
From the above table, it is inferred that 46.7% of the respondents satisfied with
their motivated and engaged, 3.3% are very dissatisfied, 7% are dissatisfied,
23.3% are satisfied and 12.7% very satisfied.
34
Adequate support
Table No. 4.20 Adequate support


Neutral 61 40.7
Satisfied 34 22.7
Total 150 100.0
Figure No. 4.20 Adequate support

Inference
their adequate support, 7.3% are very dissatisfied, 12% are dissatisfied, 22.7% are
satisfied and 17.3% very satisfied.
35
Current position
Table No. 4.21 Current position

Dissatisfied 13 8.7
Neutral 80 53.3
Satisfied 22 14.7
Total 150 100.0
Figure No. 4.21 Current position

Inference
the current position, 8% are very dissatisfied, 8.7% are dissatisfied, 53.3% are
neutral and 15.3% very satisfied.
36
Tools to perform
Table No. 4.22 Tools to perform

Dissatisfied 7 4.7
Neutral 36 24.0
Satisfied 31 20.7
Total 150 100.0
Figure No. 4.22 Tools to perform

Inference
the current position, 7.3% are very dissatisfied, 4.7% are dissatisfied, 20.7% are
neutral and 50.6% very satisfied.
37
Level of communication
Table No. 4.23 Level of communication

Dissatisfied 9 6.0
Neutral 10 6.7
Satisfied 93 62.0
Total 150 100.0
Figure No. 4.23 Level of communication

Inference
the level of communication, 7.3% are very dissatisfied, 6% are dissatisfied, 6.7%
are neutral and 18% very satisfied.
38
Innovativeness
Table No. 4.24 Innovativeness
Neutral 96 64.0
Satisfied 11 7.3
Total 150 100.0
Figure No. 4.24 Innovativeness

Inference
the innovativeness, 8% are very dissatisfied, 10.7% are dissatisfied, 64% are
neutral and 10% very satisfied.
Promotion
39
Table No. 4.25 Promotion
Dissatisfied 10 6.7
Neutral 87 58.0
Satisfied 18 12.0
Total 150 100.0
Figure No. 4.25 Promotion

Inference
the management promotions, 8.7% are very dissatisfied, 6.7% are dissatisfied,
58% are neutral and 14.7% very satisfied.
Personal problem
40
Table No. 4.26 Personal problem

Neutral 86 57.3
Satisfied 23 15.3
Total 150 100.0
Figure No. 4.26 Personal problem

Inference
From the above table, it is inferred that 15.3% of the respondents satisfied
with the management responsible for personal problem, 4.7% are very dissatisfied,
10% are dissatisfied, 57.3% are neutral and 12.7% very satisfied.
41
Current performance appraisal
Table No. 4.27 Current performance appraisal
Yes 118 78.7

No 32 21.3
Total 150 100.0
Figure No. 4.27 Current performance appraisal

Inference
From the above table, it is inferred that 78.7% of the respondents said yes that
employees are aware of current performance appraisal, and 21.3% are said no.
42
Formal appraisal system
Table No. 4.28 Formal appraisal system
Yes 126 84.0

No 24 16.0
Total 150 100.0
Figure No. 4.28 Formal appraisal system

Inference
From the above table, it is inferred that 84% of the respondents said yes that
there is formal performance appraisal system, and 16% are said no.
43
Task setting
Table No. 4.29 Task setting
Yes 125 83.3

No 25 16.7
Total 150 100.0
Figure No. 4.29 Task setting

Inference
the task setting appraises and provides objectives, and 16.7% are said no.
44
Regular feedback
Table No. 4.30 Regular feedback
Yes 101 67.3
No 49 32.7
Total 150 100.0
Figure No. 4.30 Regular feedback

Inference
they are getting regular feedback, and 32.7% are said no.
45
Reflect the training
Table No. 4.31 Reflect the training
Yes 131 87.3
No 19 12.7
Total 150 100.0
Figure No. 4.31 Reflect the training

Inference
the performance appraisal reflects the training, and 12.7% are said no.
46
Appraised Individually
Table No. 4.32 Appraised individually
Yes 126 84.0
No 24 16.0
Total 150 100.0
Figure No. 4.32 Appraised individually

Inference
the performance appraised individually, and 16% are said no.
47
Transparent
Table No. 4.33 Transparent
Yes 58 38.7
No 92 61.3
Total 150 100.0
Figure No. 4.33 Transparent

Inference
the performance appraisal system is transparent, and 61.3% are said no.
48
Assessment measured
Table No. 4.34 Assessment measured
Yes 124 82.7
No 26 17.3
Total 150 100.0
Figure No. 4.34 Assessment measured

Inference
assessment measured by achieving specific goals, and 17.3% are said no.
49
Procedures and protocols
Table No. 4.35 Procedures and protocols
Yes 129 86.0
No 21 14.0
Total 150 100.0
Figure No. 4.35 Procedures and protocols

Inference
they are following procedures and protocols, and 14% are said no.
50
Solve problems
Table No. 4.36 Solve problems
Yes 116 77.3
No 34 22.7
Total 150 100.0
Figure No. 4.36 Solve problems

Inference
they take initiative to solve problems, and 22.7% are said no.
51
4.1.2 CHI-SQUARE TEST
Hypothesis
Null Hypothesis
H0: There is no significant between clarity of Job responsibilities and expectations

& feel motivated and engaged in their day-to-day work.
Alternative Hypothesis
H1: There is a significant between clarity of Job responsibilities and expectations

& feel motivated and engaged in their day-to-day work.
Table No. 4.37 Summary of the Chi-Square
Cases
Particulars Valid Missing Total
N Percent N Percent N Percent
Job responsibilities
& feel motivated 150 100.0% 0 0.0% 150 100.0%
and engaged
Table No. 4.38 Test Statistics

Particulars Value df Asymp. Sig.
(2-sided)
Pearson Chi-Square 133.552 a 16 0.000
Likelihood Ratio 151.836 16 0.000
Linear-by-Linear
0.013 1 0.909
Association
N of Valid Cases 150
Inference
From the above table 4.38, the significant value is p = 0.000 which is less than
0.05. So, null hypothesis is accepted, it reveals that there is significant association
52
between job responsibilities and feel motivated and engaged. Therefore, there is
enough evidence to reject the null hypothesis.
4.1.3 CORRELATION
Null Hypothesis
H0: There is no relationship between feedback beneficial and existing performance
appraisal.
Alternative Hypothesis
H1: There is relationship between feedback beneficial and existing performance
appraisal.
Table No. 4.39 Correlation
Particulars Value Asymp. Approx. Approx.

Std. Errora Tb Sig.
Interval by
Pearson’s R -0.010 0.067 -0.125 0.900 c
Interval
Ordinal by Spearman
0.013 0.074 0.160 0.873 c
Ordinal Correlation
Inference
From the above table, it is inferred that, r = 0.900 (r value lies between -1to +1),
hence it is clear that there is a possible correlation relationship between feedback
beneficial and existing performance appraisal. So, H 1 is accepted. There is a
significant association between feedback beneficial and existing performance
appraisal.
53
CHAPTER V
FINDINGS, SUGGESTIONS AND CONCLUTION
5.1 FINDINGS
➢ It is found that 82% of respondents are male.
➢ It is found that 62% of respondents are 46-55 age category.
➢ It is found that 31.3% of respondents are Diploma
➢ It is found that 36.7% of respondents are above 16 years of experience.
➢ It is found that 72% of respondents are married.
➢ It is found that 62.7% of respondents are 31000-50000 income level.
➢ It is found that 41.3% of respondents are agreed with feedback is beneficial
for improving their performance.
➢ It is found that 57% of respondents are agreed with the current performance
appraisal system.
➢ It is found that 42% of respondents are strongly agree that they collaborate
effectively with others.
➢ It is found that 42.7% of respondents are agreed that skill possessed by an
appraiser varies as they move from one grade to another.
➢ It is found that 39.3% of respondents are agreed that the existing performance
appraisal system ensure due recognition talented employee in terms of
promotions, rewards and others.
➢ It is found that 34% of respondents are strongly agreed that employee is
committed to the goals.
➢ It is found that 42% of respondents are agreed that assessments are measured
and reviewed monthly and computed for each quarter.
➢ It is found that 44% of respondents are agreed that employee have good
understanding of the company’s value and mission.
54
➢ It is found that 37.3% of respondents are agreed that performance aligns with
the overall goals and objectives of the organization.
➢ It is found that 34% of respondents are agreed that employee manage their
time effectively to meet deadlines.
➢ It is found that 56.7% of respondents are neutral that employee self-appraisal
system process to be effective while appraising the appraise.
➢ It is found that 38% of respondents are neutral that employee have clarity of
their job responsibilities and expectations.
➢ It is found that 46.7% of respondents are neutral that employee feel motivated
and engaged in their work on a day-to-day.
➢ It is found that 40.7% of respondents are neutral that employee have adequate
support by their supervisor in achieving your goals and objectives.
➢ It is found that 53.3% of respondents are neutral that employee believe that
the skills and abilities are utilized in the current position.
➢ It is found that 50.6% of respondents are very satisfied that employee
provided with sufficient resources and tools to perform the jobs effectively.
➢ It is found that 62% of respondents are satisfied that employee level of
communication within your team and with other departments.
➢ It is found that 64% of respondents are neutral that management is
responsible to innovativeness.
➢ It is found that 58% of respondents are neutral that performance appraisal
helps in promotion.
➢ It is found that 57.3% of respondents are neutral that management is
responsible to personal problem.
➢ It is found that 78.7% of respondents are said yes that employee aware with
current performance appraisal of M.R.K. sugar mill.
55
➢ It is found that 84% of respondents are said yes that there is formal appraisal
system in organization.
➢ It is found that 83.3% of respondents are said yes that task setting appraises
and provides objectives while appraising.
➢ It is found that 67.3% of respondents are said yes that employee getting
regular feedback.
➢ It is found that 87.3% of respondents are said yes that current performance
appraisal system reflects the training.
➢ It is found that 84% of respondents are said yes that performance appraised
individually.
➢ It is found that 61.3% of respondents are said no that performance appraisal
system is transparent.
➢ It is found that 82.7% of respondents are said yes that assessment measured
by achieving the goals.
➢ It is found that 86% of respondents are said yes that they are following
procedures and protocols in the organization.
➢ It is found that 77.3% of respondents are said yes that they were taking
initiative to solve problems and find solutions.
56
5.2 SUGGESTIONS
➢ The industry needs to strengthen their policies and dissemination of same to
all levels of employees will help them to clearly understand the organization
goals.
➢ The organization need to disseminate the measures to be considered for
performance appraisal.
➢ The organization needs to monitor the employees and periodical training
sessions need to be arranged to enhance the performance of the employees.
➢ Monetary and non-monetary based rewards and awards may be given to
employees as a motivation tool to enrich the focus of the employees.
➢ Different tools may be used to evaluate the performance of the employees.
57
5.3 CONCLUSION
In the best-case scenario, an appraisal should be conducted while considering the
opinions of all relevant stakeholders who may have an impact on the employee.
However, since the system needs to be changed, the change must be gradual and
necessitates a mental shift in the head as well as the staff. Maintaining the
motivation of employees within the firm is largely dependent on performance
appraisals. The organization always succeeds when performance appraisals are
conducted better.
58
REFERENCE
REFERENCE
1. Thomas, M., Maheswari, G.S. and Kavitha, M., 2024. Role Of Performance
Appraisal on Employee Performance. Educational Administration: Theory
and Practice, 30(5), pp.10076-10079.
2. Pepple, D.G. and Ambilichu, C.A., 2024. Performance appraisal and
employee commitment: The mediating role of job satisfaction. European
Management Review, 21(1), pp.237-250.
3. Jaffu, R., 2024. Performance Appraisal, Career Development and Employee
Performance: Implications from Procurement Professionals. Business
Management Review, 26(2).
4. Setyawati, R.H., 2024. Analysis of the Effectiveness of Employee
Performance Appraisal through Employee Performance Targets (SKP)":"
Analysis of the Effectiveness of Employee Performance Appraisal through
Employee Performance Targets (SKP). International Journal
Multidisciplinary (IJMI), 1(1).
5. Garcia, L.S., 2024. Performance Appraisals and Competency Assessment.
Clinical Laboratory Management, pp.182-201.
6. Ramadhan, M., Syahfitri, M., Satriadi, S., Putri, R. and Andini, T., 2024.
Employee Performance Appraisal in the Transporter Section at BINTAN
DISTRICT Hospital. International Journal of Management Research and
Economics, 2(1), pp.123-133.
7. Mwita, k.m., nzulwa, j. And kamaara, m., 2024. The effect of employee
performance appraisal on performance of savings and credit cooperative
societies in tanzania. Reviewed Journal International of Business
Management [ISSN 2663-127X], 5(1), pp.1-11.
59
8. Ambilichu, C.A., Akaighe, G.O. and Pepple, D.G., 2024. Performance
appraisal process as a determinant of employee commitment: a serial
mediation analysis. Journal of Organizational Effectiveness: People and
Performance.
9. Farkhan, M., Sharyanto, S. and Bani, A.U., 2024. Design and creation of an
employee performance appraisal information system using the web-based
management by objectives (MBO) method at PT. Tetra Grosir Indonesia.
Journal of Engineering, Technology and Computing (JETCom), 3(1),
pp.111-119.
10. Uraon, R.S. and Kumarasamy, R., 2024. The impact of justice perceptions of
performance appraisal practices on job satisfaction and intention to stay: the
mediating role of job engagement. Employee Relations: The International
Journal, 46(2), pp.408-431.
11. Azah, T., Tarabinah, W. and Adeyemo, D., 2024. An Empirical Study of
Employee Performance Appraisal in Selected Local Governments, Eastern-
Uganda. International Journal of Research and Innovation in Social Science,
8(4), pp.105-116.
12. Kurniawan, D., Al-Faqih, H. and Raisy, L.W., 2024. Development of a
comprehensive performance appraisal instrument using Behaviorally
Anchored Rating Scales and Fuzzy TOPSIS. In E3S Web of Conferences
(Vol. 484, p. 01007). EDP Sciences.
13. Umezu, e.m., 2024. Effect of performance appraisal as an instrument in
improving workers performance in aba south local government area of abia
state. International Journal of Financial Research and Business Development.
14. Cai, Z., 2024. The impact of performance appraisal methods on enterprises
in the Internet era. Finance & Economics, 1(5).
60
15. Maurer, C., Alexander, I., Nezic, L., Woods, S. and Humphries, B., 2024. A
mixed‐method approach to examining the experiences of allied health
clinicians and managers of the performance, appraisal and development
framework in a regional health care service. Australian Journal of Rural
Health.
16. Mendenhall, M.E., Oddou, G.R. and Reiche, B.S., 2024. The Expatriate
Performance Appraisal Conundrum. In Readings and Cases in International
Human Resource Management (pp. 230-242). Routledge.
61
ANNEXURE I
QUESTIONNAIRE
(PART – A)
DEMOGRAPHIC INFORMATION
1. Name of the employee ----------------------------
2. Gender of the employee
a) Male b) Female
3.Age of the employee
a) 25-35 b) 36-45 c) 46-55 d) 56&above
4. Education level of the employee
a) Bachelor degree b) Master degree c) Any Professional Degree

d) Diploma/certificate
5. Years of experience
a) 1-5 years b) 6-10 years c) 11-15 years d) above 16 years
6. Marital status
a) Single b) Married
7. Income level of the employee
a) below 15000 b) 16000 - 30000 c) 31000 - 50000 d) 100000 - above
62
(PART – B)
Please indicate the option that represents your answer to each statement
1) Strongly agree 2) Agree 3) Neutral 4) Disagree 5) Highly disagree
S.NO QUESTIONS 1 2 3 4 5
1. Is feedback beneficial for improving your
performance?
2. Current "performance appraisal " system is an

effective tool for evaluating the employee's
performance?
3. Can you work well with others and collaborate

effectively?
4. Skill possessed by an appraiser varies as they

move from one grade to another?
5. The existing "performance appraisal" system

ensures due recognition talented employee in
terms of promotion, reward and others?
6. Performance of employees shows that they are

committed to the goals set by the organization?
7. The assessments are measured and reviewed

monthly and computed for each quarter?
8. Have good understanding of the company’s

value and mission?
63
9. Performance aligns with the overall goals and
objectives of the organization?
10. Are you able to manage your time effectively

to meet deadlines?
1) Very Dissatisfied 2) Dissatisfied 3) Neutral 4) Satisfied 5) Very Satisfied
S.NO QUESTIONS 1 2 3 4 5
11. Self-appraisal system process to be
effective while appraising the appraise?
12. Satisfied with the Clarity of your job

responsibilities and expectations?
13. Do you feel motivated and engaged in

your work on a day-to-day?
14. Have adequate support by your

supervisor in achieving your goals and
objectives?
15. How effectively you believe that the

skills and abilities are utilized in the
current position?
16. Provided with sufficient resources and

tools to perform the jobs effectively?
64
17. Satisfied with the level of
communication within your team and
with other departments?
18. Management is responsible to

Innovativeness?
19. Performance appraisal helps you in

Promotion?
20. Management is responsible to personal

problem?
(YES / NO)
S.NO QUESTIONS YES NO

21. Are you aware with current "Performance Appraisal"
of M.R.K. Sugar mill?
22. Is there a formal appraisal system in our organization?
23. Task setting appraise and provides objectives while

appraising the performance of the appraise?
24. Are you getting regular feedback on your performance

from your appraisal?
25. Does current "performance appraisal "system reflect

the training need of an employee?
65
26. Is your performance appraised Individually?
27. Is the performance appraisal system transparent?
28. Does the assessment measured by achieving the goals

specified by the organization?
29. Do you follow established procedures and protocols in

the company?
30. Do you take the initiative to solve problems and find

solutions?
66
ANNEXURE II
67
ANNEXURE III
International Journal of Research Publication and Reviews, Vol 5, no 6, pp 1453-1459 June 2024
International Journal of Research Publication and Reviews

Journal homepage: www.ijrpr.com ISSN 2582-7421
A Study on Performance Appraisal Towards Employee Productivity
Ms. Dhanya Lakshmi B1, Dr. Arun A2

1
B. Com, MBA, IFET College of Engineering, Villupuram, India deepidhanya2002@gmail.com
2
MBA, PhD, Assistant Professor, IFET College of Engineering, Villupuram, India aradharun@gmail.com
ABSTRACT
Performance appraisal is a critical human resource management function to evaluate an employee's performance and productivity. This study explores the
relationship between performance appraisal systems and employee productivity within various organizational contexts. The research focuses on understanding how
different appraisal methods, feedback mechanisms, and follow-up actions influence employee motivation, engagement, and overall performance. Through a
comprehensive review of existing literature and empirical data, the study identifies key factors contributing to effective performance appraisals and their direct
impact on enhancing productivity. Findings suggest that well-structured performance appraisals, which include clear criteria, regular feedback, and constructive
communication, significantly improve employee performance. Additionally, the study highlights the importance of aligning appraisal outcomes with organizational
goals and employee development plans to foster a productive work environment. This research contributes to the ongoing discourse on optimizing performance
management practices to boost employee productivity and organizational success.
Keywords—Performance appraisal, Employee productivity, Human resource management, Evaluation methods
1. INTRODUCTION
Performance appraisal is a systematic process to evaluate and assess an employee's job performance and productivity over a given period. Conducted by
managers or supervisors, it measures effectiveness, identifies areas for improvement, and sets future goals. This tool is vital for employee development
and organizational growth, ensuring employees meet job expectations and helping organizations achieve their goals. The process involves setting clear
expectations, monitoring progress, and providing feedback, which aids in skill enhancement and goal setting. Benefits include clarity on job expectations,
development opportunities, and recognition for employees, while employers gain insights into productivity, training needs, and alignment of individual
performance with organizational objectives.
A. Problem statement
The current project performance appraisal system in our organization does not adequately capture the key metrics that influence employee productivity.
This has led to several issues:
Inaccurate Performance Metrics: The metrics used are not always aligned with individual contributions and actual productivity.
Subjective Evaluations: There is a high degree of subjectivity in appraisals, leading to potential biases and inconsistencies.
Lack of Real-Time Feedback: Employees receive feedback infrequently, which hampers their ability to make timely improvements.
Motivation and Engagement: The existing system does not sufficiently motivate employees or engage them in continuous improvement.
Skill Development: There is insufficient emphasis on identifying skill gaps and providing relevant training opportunities.
B. Objectives of the project
The primary objective of this project is to develop an improved project performance appraisal system that accurately measures and enhances employee
productivity. Specific goals include:
Developing Objective Metrics: Create and implement objective, quantifiable metrics that better reflect individual contributions and productivity.
Reducing Subjectivity: Implement a standardized evaluation process to minimize bias and ensure consistency.
Providing Timely Feedback: Establish mechanisms for real-time feedback to support continuous performance improvement.
Increasing Employee Motivation: Design appraisal elements that recognize and reward high performance, thereby boosting motivation and
engagement.
68
International Journal of Research Publication and Reviews, Vol 5, no 6, pp 1453-1459 June 2024 1454
Focusing on Development: Incorporate elements that identify skill gaps and recommend training to foster employee development.
Scope of the project
• Reviewing existing appraisal systems and identifying best practices.
• Consulting with stakeholders (management, HR, employees) to gather insights and requirements.
• Designing and piloting a new appraisal system within a selected department or team.
• Analyzing the pilot results to refine and finalize the system.
• Implementing the new system organization-wide and providing training for all involved parties.
II. LITERATURE SURVEY
Anbazhagan, S., & Ganesh, L.S. (2020), Impact of performance appraisal on employee productivity: The Study found a positive correlation between
performance appraisal and employee productivity, highlighting the importance of effective appraisal systems in enhancing employee performance.
Carneiro, Isabella M. M.; Da Costa, Vera M. S. (2020), The Role of Performance Appraisal Systems in Enhancing Employee Productivity: A
Literature Review: This review emphasizes the significance of well-designed performance appraisal systems in motivating employees and improving
overall productivity levels.
Mehmood, Yasir; Ramzan, Muhammad; Hussain, Shahid; Haider, Shazia (2020), Performance Appraisal and Employee Productivity: A Review
of Empirical Evidence: The study synthesizes empirical findings on the relationship between performance appraisal practices and employee productivity,
highlighting the diverse factors influencing this association.
Abbas, Waheed, et al (2020), The Impact of Performance Appraisal on Employees’ Productivity in the Banking Sector of Pakistan: The research
concluded that performance appraisal has a positive and significant impact on employees' productivity in the banking sector of Pakistan.
Aguinis, Herman; Villamor, Ignacio; Ramani, Ranjan S (2021), Reconceptualizing Organizational Change, Innovation, and Adaptation
Capability Development: A Bibliometric Review of the Field: The review examines the latest trends in organizational change and innovation, shedding
light on the importance of performance appraisal in enhancing employee productivity.
Bukhari, Syed Nisar Hussain, et al. (2021), Impact of Performance Appraisal on Employee Productivity: Moderating Role of Organizational
Learning Culture: The study found that performance appraisal has a significant positive impact on employee productivity, and this effect is strengthened
in organizations with a strong learning culture.
Khatri, N., & Gupta, R. (2021), Role of performance appraisal in enhancing employee productivity: This review emphasis the multifaceted impact
of performance appraisal on employee productivity, stressing the need for continuous feedback and development-oriented appraisal.
III. RESEARCH METHODOLOGY
A. Instrumental Design: Utilizing Likert's five-point rating system, five questions were formulated for each component of the structured
questionnaire.
B. Method of Data Collection: Questionnaires were used to collect primary and secondary data on the factors influencing the information provided
by employers and employees of the organization.
C. Method of Data Collection: Questionnaires were used to collect primary and secondary data on the factors influencing the information provided
by employers and employees of the organization.
D. Data Analysis: To examine the data, descriptive analysis methods were used. A contingency table based on the frequency distribution was created
using percentage analysis, which allowed for a more understandable depiction of the gathered data.
Bar charts are used in chart analysis to help visualize percentage data and make distributions and trends easier to interpret.
E. Statical tool used
Percentage analysis:
One of the simplest methods of analysis of the percentage method. It is the traditional statistical tools. Through the use of percentage data are reduced in
the standard from with the base equal to 100 which facilities relative comparison. In the study the percentage analysis is been used for interpretation. It
was used to analyze and interpret the data by representing them through tables and charts.
69
The formula used:
Total number of respondents = Number of respondents

------------------------------- X 100
Percentage of the respondents
F. SAMPLE SIZE
This sample taken for the study is 150.
DATA COLLECTION APPROACH
While deciding about the method of data collection for the researcher should keep in mind there are two types of data collection.
PRIMARY DATA:
• The primary data are those which are collected fresh and for the first time and thus happen to be original in character.
• With help of the structural questionnaire, personally administered interview technique has been used for the collection of primary data from
the respondents.
SECONDARY DATA:
The secondary data are those which have already been collected by someone else and which already have been passed through the statistical process. The
secondary data have been collected from the company records, journals and various websites.
IV. RESULTS
PERCENTAGE ANALYSIS
Table 4.1: Committed to goals
Agree 47 31.3
Neutral 42 28.0
Disagree 3 2.0
Total 150 100.0
Chart 4.1: Committed to goals
Inference
70
From the above table, it is inferred that 34% of the respondents strongly agree that the organization committed to goals, 31.3% are agree, 28% are at the
neutral stage, 2% are disagree and 4.7% Highly disagree.
Table 4.2: Assessment is measured
Agree 63 42.0
Neutral 38 25.3
Disagree 3 2.0
Total 150 100.0
Chart 4.2: Assessment is measured
Inference
From the above table, it is inferred that 42% of the respondents agree that the assessment is measured, 29.3% are strongly agree, 25.3% are at the neutral
stage ,2% are disagree and 1.3% Highly disagree.
Table 4.3: Good understanding
Agree 66 44.0
Neutral 37 24.7
Disagree 1 0.7
Total 150 100.0
71
Chart 4.3: Good understanding
Inference
From the above table, it is inferred that 44% of the respondents agree that the employee have good understanding of company’s vision and mission, 30%
are strongly agree, 24.7% are at the neutral stage, 0.7% are disagree and 0.7% Highly disagree.
Table 4.4: Overall goals and objectives

Agree 56 37.3
Neutral 38 25.3
Disagree 3 2.0
Total 150 100.0
Chart 4.4: Overall goals and objectives
72

(2-sided)
Pearson Chi-Square 133.552a 16 0.000
Linear-by-Linear Association .013 1 0.909

(2-sided)
Inference
From the above table, it is inferred that 37.3% of the respondents agree that the organization performance aligns with the overall goals and objectives,
34.7% are strongly agree, 25.3% are at the neutral stage, 2% are disagree and 0.7% Highly disagree.
CHI-SQARE TEST
Null hypothesis
H0: There is no significant association between clarity of Job responsibilities and expectations & feel motivated and engaged in their day-to-day work.
Alternative hypothesis
H1: There is a significant association between clarity of Job responsibilities and expectations & feel motivated and engaged in their day-to-day work.
Table 4.5: Summary of the Chi-Square
Cases
Particulars
Valid Missing Total
N Percent N Percent N Percent
Job responsibilities & feel

150 100.0% 0 0.0% 150 100.0%
motivated and engaged
Table 4.6: Chi-Square Test
(2-sided)
73
Inference
From the above table 4.38, the significant value is p=.000 which is less than 0.05. So, null hypothesis is accepted, it reveals that there is significant
association between job responsibilities and feel motivated and engaged. Therefore, there is enough evidence to reject the null hypothesis.
CORRELATION
Null hypothesis
H0: There is no relationship between feedback beneficial and existing performance appraisal.
Alternative hypothesis
H1: There is a relationship between feedback beneficial and existing performance appraisal.
Table 4.7: Correlation
Particulars Value Asymp. Std. Errora Approx. Tb Approx. Sig.
Interval by Interval Pearson’s R -.010 .067 -.125 .900c
Ordinal by Ordinal Spearman Correlation .013 .074 .160 .873c
Inference
From the above table, it is inferred that, r = .900 (r value lies between -1to +1), hence it is clear that there is a possible correlation relationship between
feedback beneficial and existing performance appraisal. So, H1 is accepted. There is a significant association between feedback beneficial and existing
performance appraisal.
V SUGGESTIONS AND CONCLUSION:
Suggestions
• Some of the way HR practices that can be improved in the organization.
• Employees had motivated with rewards and recognition.
• Should provide systematic judgments to backup salary increases, transfers, promotion and demotions.
Conclusion
The development of performance appraisal systems is costly, difficult, and has modest returns. Many applied psychologists and management experts
believe that such precision is not economically viable in most settings and has little to gain from it. Therefore, the goal of a performance appraisal system
should be to support and encourage informed managerial judgment, rather than a degree of standardization, precision, and empirical support required of
selection tests. Informed judgment means there are demonstrable and credible links between the performance of individuals being rated and the
supervisor's evaluation of that performance. Therefore, federal policy makers should not commit significant resources to job analyses and performance
appraisal instruments.
VI. REFERENCE
• "Performance Appraisal and Its Impact on Employees’ Productivity" by Cross, Daniel (2020).
"The Effect of Performance Appraisal System Towards Employee Performance, Motivation, and Satisfaction" by Chahar, B. (2020)
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A STUDY ON PERFORMANCE APPRAISAL

TOWARDS EMPLOYEE PRODUCTIVITY WITH

DHANYA LAKSHMI B (421122301014)

MASTER OF BUSINESS ADMINISTRATION

FACULTY OF MANAGEMENT STUDIES

IFET COLLEGE OF ENGINEERING

Certified that this project report “A STUDY ON

Dr. A. ARUN, M.B.A., Ph.D. Dr. A. ARUN, M.B.A., Ph.D.

Submitted to the Viva voce Examination held on _____________________

INTERNAL EXAMINER EXTERNAL EXAMINER

I hereby declare that the project entitled “A STUDY ON PERFORMANCE

The successful completion of any task would be incomplete without

Performance appraisal is a critical human resource management function to

CHAPTERS PARTICULARS PAGE NO

List of Tables viii

1.4 Objectives of The Study 6

4.1.1 Percentage analysis 16

4.1.2 Chi-square test 52

4.1.3 Correlation method 53

4.1 Gender of the respondents 16

4.2 Age of the respondents 17

4.3 Education level of the respondents 18

4.4 Experience of the respondents 19

4.5 Marital status of the respondents 20

4.6 Income level of respondents 21

4.7 Feedback beneficial 22

4.8 Current performance 23

4.9 Collaborate effectively 24

4.10 Skill possessed 25

4.11 Existing performance appraisal 26

4.12 Committed to goals 27

4.13 Assessment is measured 28

4.14 Good understanding 29

4.15 Overall goals and objectives 30

4.16 Meet deadlines 31

4.18 Job responsibilities 33

4.19 Feel motivated and engaged 34

4.20 Adequate support 35

FIGURE TITLE PAGE NO

1.1 Company Logo 4

4.1 Gender of the respondents 16

4.2 Age of the respondents 17

4.3 Education level of the respondents 18

4.4 Experience of the respondents 19

4.5 Marital status of the respondents 20

4.6 Income level of respondents 21

4.7 Feedback beneficial 22

4.8 Current performance 23

4.9 Collaborate effectively 24

4.10 Skill possessed 25

4.11 Existing performance appraisal 26

4.12 Committed to goals 27

4.13 Assessment is measured 28

4.14 Good understanding 29

4.15 Overall goals and objectives 30

4.16 Meet deadlines 31

4.18 Job responsibilities 33

4.19 Feel motivated and engaged 34

Performance appraisal is an important tool for employee development and