project about hr

7/29/2019 Project about HR

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Master of business AdministrationSummer Internship Project Report on

Panchnath Auto pvt. Ltd. (PAL Auto)Training & development,

performance appraisal

Guided By,

Submitted to,

(I.S.M) International School of management,Ahmedabad, IndiaApril - MAY- 2010

Submitted by,Dadhaniya Kinjal K.


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Mr. Amit Trivedi

INDEX

COVER PAGE

CERTIFICATE

PREFACE

ACKNOWLEDGEMENT

1. GENERAL INFORMATION

2. INTRODUCTION TO THE COMPANY

3. INTRODUCTION HUMAN RESORCE MANAGEMENT

4. INFORMATION TRAINING & DEVELOPMENT

5. INFORMATION PERFORMANCE & APPRAISAL

6. CONCLUSION

7. BIBLIOGRAPHY


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GENERAL INFORMATION INDEX

SR NO. PARTICULAR

1 Name and Address of the company

2 Introduction

3 History & development of the unit

4 Present Managing body

5 Size of unit

6 Organization structure

7 Manufacturing Process

8 Types of Product

9 Time-keeping system

10 Welfare Services

11 Contribution of the unit to the industry


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In order to develop management skill & as part of academic studies in MBA. I

have to go through industrial training to develop my management skill & to

increase my knowledge.

Industrial training plays a crucial role to delve the practical view of student & also

aware them about each them about each every problem of the company & solutions

which are by the company & opportunities &situation in front of company.

In relation of this industrial training, I have visited Panchnath auto pvt ltd. In

Duration of training period, I have paid my full attention on all the department of

the company .i.e. production department, HR department.


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No endeavor is complete without acknowledging those who have helped to male

this project a success. As such we would like to thank all those who have helped

me to complete this project. It was, indeed, very prestigious for me to undertake

my summer Training at the Panchnath Auto pvt Ltd., shaper..

To begin with, I would like to express my sense of gratitude to Pal Auto pvt. Ltd.

for providing me with an opportunity to do my summer Training at their esteemed

organization.

What I have done today to make me feel proud, It is the result of the opportunity

that given to me by the International school of Management who brought me

the knowledge of real Management from far beyond of my access. This Project is

also the Result of many experiences I have encountered in different sources and

with remarkable individuals whom we also wish to acknowledge.

I am very thankful to Mr.Amit Trivedi (HR manager), for giving me the support,

co-operation & the necessary help required for the successful completion of this

project.


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NAME OF THE COMPANY

PANCHNATH AUTO PVT LTD.

ADDRESS OF THE COMPANY

Survey No.287/1,

Shapar village Road

National Highway 8-B.

Shapar (Veraval).

Ta.Kotda.

Phone :+91 2827 252665

Dist Rajkot-360024 India

Fax:+91 2827 252746

Email:[email protected]

Web:www.pal3wheeler.com
mailto:[email protected]:[email protected]:[email protected]://www.pal3wheeler.com/http://www.pal3wheeler.com/http://www.pal3wheeler.com/http://www.pal3wheeler.com/mailto:[email protected]


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The Indian automobile industry is one of the well established in the developing

world economy, going back to 1942 when Hindustan motors began their operation

in India and started manufacturing the motorcars at the time Indian economy was

just waking up and still India was not freed from British. After freedom Indian

economy was very protected by the government and because of being under

development economy India couldnt get such advantages, after almost 40 years of

independence, Indian economy was opened to the world and license system came

to an end, reserved industry were put open to all. This all happen after 1991

reforms and by the start of new millennium this industry have start exporting the

product show the greatness of making things happen.

During the year review , the automobile industry shown growth in domestic sales

by 27.37% in passenger vehicles, 39.5% in commercial vehicles, 36.53% in

LCVs, 0.63% in passenger vehicles ( 3 wheelers) 56.89% in load carrier (3

wheelers). In total, the automobile industry has shown, 14.36% increase in

domestic sales and 55.96% in export sales. in terms of values, the exports crossed $

1 billion mark, which is sign of tremendous growth in the entire industry and

international recognitions.


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First of all we have to know about the history of the company. What is the

history? In the industrial language history means what company has done from its

Establishment to its present time.

Pnchnath Auto Pvt Ltd was established in 1975. During its progress

period they realized that it was the time to venture in to the manufacturing of 3

wheeler so it had joined its hand with Field marshal.

PAL_Field Marshal group is a part of the INDIAN 3 wheeler industries,

since many years. With combine efforts of both the entities, a new venture has

been launched to manufacture 3 wheelers. The joint company is being branched as

a symbol of trust under the brand name PAL-FIELD MARSHAL.


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Chairman :-

Mr. c.p.patel

Managing Director :-

Mr. Dipak virmagama

Board of director:-

Mr. Manish Viramgama

Mr. Kamlesh Patel

Mr.pravin Ramani

Mr.D. P.Patel

Mr. N. P. Patel

Mr. S Joglekar


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We can classify in three types according to their size & scale of the unit,

Which are given as below.

Small scale industries

Medium scale industries

Large scale industries

According to traditional concept the capital investment in fixed

assets is more than three crore, and it is known as large scale industry.

The capital investment of Panchnath Auto Pvt. Ltd in fixed assets

10, 93, 00, 000/-according to traditional concept it is large scale

industry.

While according to the capital investment in fixed assets is

between 3 crore to 25 crore then it is called medium scale industries.

According to this concept Panchnath Auto Pvt. Ltd is medium scale

industry.


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In this organization all workers are responsible to their direct superior i.e.

manager while manager are responsible to the BOD. While authority flows fro topto bottom.

Chairmain

Board of Directors

Production Manager

Supervisor

Engineer

worker

MarkettingManager

Dealers

Finance Manager

Accountant

Asstt.Accountant

Personal Manag

Supervisor


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Manufacturing process or production process refers to process related to

production of company. In Panchnath Auto Pvt Ltd. Manufacturing process of

auto rickshaw is divided into nine different departments. This process of

production of auto rickshaw is mentioned as under.

1) Front show body departmentName of this department its self indicate that it is related with body of auto

rickshaw. In this department body of auto rickshaw is made in which surface is

done on body part, and hen front part is colored to make front show attractive.

2) Main electric department:In this department all electrical things like headlight, horn, and indicator of

front & rear side, stop-light, battery etc.are fitted to the body of the autorickshaw.

3) Engine & Assembly DepartmentConnecting rod, valve system & fly wheel, coil, gearbox etc. This all spare parts

are joined in engine.

4) Differential Department:In this department differential combines 2 rears & it is connected with propellershaft and its workers in 90 angle power transmit then it is fitted under the chase.

5) Front wheel Department:As there is steering in four wheelers, in auto rickshaw it is one type of handle,

which is movable. In this front wheel is connected with it. Speedometer is

joined with the help of wire with front wheel .speedometer works as the front

wheel runs. At the both side of front wheel jumps are fitted.

6) Main assembly department:Main assembly department is a department in which the assemblage of all the

spare parts of auto rickshaw is done. Various spare parts like wire, mirror, seat,

carbine light 7 glasses etcare fitted on the body of rickshaw.


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7) Body department:In this department out side part of auto rickshaw is colored & is made attractive.

Then at 600 c heat is given to body of auto rickshaw by which colored comes

dry. Then different out side spare parts & engine with all things is arranged onbody part.

8) wiring department:In this department wiring head light, gear, indicator, engine etc are joined

with wire.


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Panchnath Auto pvt ltd. Is one of the well-known 3wheeler

companies in the industry? Its main product is auto-

rickshaw. But, it produces different types of auto - rickshaw.These are..

Auto Rickshaw

Pick up Angle body

Delivery van

Soft Drink Van

Water Tanker

Hydraulic Tipper

Chicken Carrier

Mobile shop


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Time keeping system means working time duration of the workers. It is helpful

in controlling function .Time-keeping system show workers discipline &

punctuality in working hours.

In Panchnath Auto Pvt Ltd, Normally there is one shift for working. But,

when there is big order & more work is there then extra shift is arranged for

working. From the following table we can know the working duration of

worker.

No Details Time Hours

1 Working Time 9:00 a.m. to 1:00 p.m. 4 hours

2 Lunch Time 1:00 p.m. to 1:30 p.m. Half Hours

3 Working Time 1:30 p.m. to 5:30 p.m. 4 hour


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Welfare services means activities or various services to society and nation

by the company by the company. The welfare activity includes employment

opportunity. Contribution in national income, environmental subscription etc.

Panchnath Auto Pvt Ltd provides welfare activities like employment

opportunity to the society. it tries to give maximum contribution in national

income by exporting auto-rickshaw. This company produces C.N.G. rickshaw

which does not increase pollution. By the way it gives subscription to nature.


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Today every firms has to take care of society because every firm is working in

Society. So, society concept has to provide present of its liability toward

Society.

Panchnath Auto Pvt Ltd. Is one of the top five companies in the three

wheelers industry? This company also service in more then 50 countries. Thus,

by exporting three wheelers in other countries it helps the earning a national

income.

This unit is also providing employment opportunity. It provides employment

to 85 workers and 25 employee and indirectly company helps nation in

removing the unemployment problem. Thus, company is not only helpful for

development of backward areas but also helpful for earning national income.


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INDEXSR NO PARTICULAR

1 Organization of personnel department

2 Job description

3 Recruitment and selection

4 Training & development

5 Wage & salary Administration

6 Promotion & Transfer Policy

7 Performance & Appraisal System

8 Working of ESI scheme

9 Employee & welfare Activity

10 Grievance Handling Process


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Personal management is important for management of employees acquiring

in the organization because success of business mainly depend on the quality of

personnel. Personal management mainly involves recruitment selection

development, integration, maintenance, separation, delegating, authority, giving

Responsibility.

In the Panchnath Auto Pvt Ltd. All the routing activities are managed by

the personnel manager Mr. Amit trivedi .They recognize the power of diverse

minds, experience that their employees process. They give importance to

production but employees idea & energy are given more importance than

production .By this way they can motive employees to work more efficiently and

act like owners.


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From this chart, we can easily understand that personnel department comes

directly under to board of Directors & final authority of personnel department is in

the hand of personnel manager Mr. Amit trivedi. Under Amit Trivedi supervisors

are given authority while responsibility flows from bottom to top.

Chairman

Board of

Directors

Personnalmanager

Supervisor


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Job description is an important document which descriptive in nature & contains

statement of job analysis. It provides both location information & function

information. It is nothing but the description of feature of job. Panchnath Auto Pvt

Ltd, has adopted some standard manner for job description which is follow:

1)Normally works done by workers & employees & they are provided

supervision for guidance.

2) Responsibility & authority is given & explained to subsist the job.

3) They are also explained relation between job & working condition.

4) During training & on the job they are given suggestion about the usages of

machinery, tools & equipment.

5) They are also alert about risk in use of machine.


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Recruitment :

Recruitment forms the 1st stage in the process which continues with selection

& engaged in the placement of candidate. Hence, it is considered as procurement

function. Recruitment is often termed as positive for them who are selected in the

organization. In short recruitment is direct appointment of a person for a job.

Sources of recruitment:

There are mainly 2 sources of recruitment. they are

Internal sources

External sources

Internal sources include promotion, transfer, & demotion. While

external sources includes Advertising by media, campus in educational institutes of

employment exchange, Trade union etc


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Methods of recruitment:

There are mainly 3 methods of recruitment. They are

Direct method

Indirect method

Third Party method

1)Direct method:

In direct method, employer comes in face to face contact with candidates

candidate may be student from colleges, which is called on the gate recruitment.

2)Indirect Method:

In this method, employer contact candidate by indirectly ways like newspaper,

TV, Radio, Internet etc.Newspaper is the most frequently used way is

employers.

3)Third Party Method:

In this method recruitment is made through hiring professional institute. In this

method, employer contact, employment agencies, commercial institutes,

professional bodies, relative friends etc..


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Panchnath Auto Pvt. Ltd. Uses promotion as internal sources &

advertising by newspapers & magazines as external sources. It gives 1 st preference

to internal source & 2nd

preference to external source & if external source used

then they mainly uses directly method.

Selection:

Selection is a process of screening, where persons with good & required

qualities will be accepted while remaining will be rejected. It is process of

discovering the most suitable & promising candidate from the group of candidates.

Any firm must have to adopt a certain process for selection. Panchnath

Auto Pvt ltd. Has adopted following process for selection of employees.

4) Preliminary Interview5) Employment Test6) Employment Interview7) Checking Reference8) Physical check up9) Placement


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TRAINING &DEVELOPMENT

INDEX

1. INTRODUCTION2. NATURE OF TRAINING &DEVELOPMENT3. DEFINATION

4. IMPORTANCE OF TRAINING & DEVELOPMENT5. OBJECTIVE OF TRAINING & DEVELOPMENT6. ADVANTAGE OF TRAINING7. DISADVANTADE OF TRAINING8. LIMITATION

9. OBJECTIVE OF EMPLOYEE TRAINING10.NEED FOR TRAINING11. WHEN DOES THE NEED FOR TRAINING ARISE

12. IMPORTANCE OF TRAINING13. TRAINING & DEVELOPMENT OBJECTIVE

14. IMP OF TRAINING OBJECTIVE15. LIMITATION OF TRAINING

16. TYPES OF TRAINING PROGRAMMES17. TRAINING & HUMAN RESORCE MANAGEMENT18. ROLE OF HRD PROFESSIONALS IN TRAINING19. MODELS OF TRAINING20. TRAINING SYSTEM

21. DIFFERENT BETWEEN TRAINING & DEVELOPMENT22. TYPES OF TRAINING


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The training is the organized procedure by which person can acquire skill &

knowledge for a definite purpose. Thus, training is process of learning. Any new

candidate or successful employee or worker placed on job need training to perform

their duties effectively. In a fast changing society, employee training &

development is an activity that not only desirable but also necessary to maintain

viable & knowledge workforce.

1) On the job training2) Off the job training

In Panchnath Auto Pvt Ltd Mr. Ashish amrelia who gives training to

servicemen, dealers staff & marketing agents. For the training special sessions are

arranged & to attend these sessions they do not work during job time & it is called

off the job training. Thus, they give on the job but off the job training.


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Elion Isaac & every person do economic activity for the purpose of earning

reward. Employees & workers contribute his ability, efficiency, knowledge,

experience etc.. Toward the organization. For this contribution he gets return,

reward or remuneration is regarded as wage & salary.

Panchnath Auto Pvt ltd.maintains as work sheet in which time duration of

work is mentioned & how much work is done is also mentioned. According to this

work sheet workers are paid salary on monthly basis. However any worker or

employees do overtime work, then they is also paid for overtime.


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promotion

A promotion takes places when an employee moves to the higher position than theone formally occupied. His responsibility, status & salary also increase. Promotion

offers opportunity to management to provide reorganization & incentives to the

better employees to correct initial mistakes in appointment & to freeze inefficient

personnel.

In Panchnath Ato pvt Ltd. Promotion gives to employees on the basis of

performance sheet included behavior, punctuality, output, extra activities & output

of department.

Basis of promotion:-

Promotion is given to employees on the basis.

1) On the basis of seniority.2) On the basis of merits.

On the basis of seniority, promotion is given to employee on the basis of

length of service. Seniority is linked with experience of an employee. While on the

basis of merits, the employees are given promotion on the basis of their skill &

achievements.

Panchnath Auto Pvt ltd. gives promotion the basis of merits. To know the

Achievement of employee .it maintains work-sheet of employees.

Transfer:-

A transfer in plies a lateral movement of employee in the hierarchy of positionwith the same pay & status. Transfer may be company intuited or employee

initiated. But, in panchnath Auto pvt Ltd. Transfer is not possible because this

company has no any other unit, but if any employee or worker is not giving well

output in particular department then he is transfer to the department in which he

given good output.


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PERFORMANCE & APPRAISAL

INDEX

1. INFORMATION ABOUT PERFORMANCE &

APPRAISAL

2. INTRODUCTION

3. PURPOSE OF PERFORMANCE APPRAISAL

4. BENEFIT OF PERFORMANCE APPRAISAL

5. THE PURPOSE OF APPRAISING PERFORMANCE

6. CHALLEGER OF PERFORMANCE APPRAISAL

7. PROCESS OF PERFORMANCE APPRAISAL

8. TRADITIONAL METHODS OF PERFORMANCE

9. MODEL METHOD OF PERFORMANCE APPRAISAL

10.MANAGEMENT BY OBJECTIVE

11.THE MBO PROCESS


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Performance Appraisal system means systematic evaluation of personality &

performance of workers & employees by their supervisors or by other staff

members, then they are given appraisal. This appraisal includes salary increment,

promotion, training to improve knowledge & work leave except holidays etc..

Panchnath Auto Pvt. ltd. Maintains performance sheet of workers &

Employees & also keep supervisors of evaluation of work. According to work

Panchnath Auto Pvt. Ltd. Gives salary increment, promotion & 20 leaves except

holidays.

Working of ESI Scheme

ESI means Employment service Incentives. Name it self suggest that ESI

means services & incentives provided to employee during job. This ESI includes

P.F. insurance, loan etc.

Panchnath Auto Pvt Ltd. Gives EsI like provident fund to employees at the

time of recruitment, accident insurance during the work & withdrawal facility etc.

Here withdrawal facility means employee can withdraw their salary in advance.


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Employee & welfare service

Employee & welfare services mean the services or facilities provided to the

employee other than salary by the organization. These types of services encourage

the employees to work & achieve the goals of the organization. These goals

include maximization of profit, maximization of production etc. Panchnath Auto

Pvt. ltd. Always provides these types of facilities to its employees. These facilities

include uniform, transportation facility, loan facility, insurance to the employees

etc.

Grievance Handling procedure & Trade Unions

There may be one trade union in any company. If there is any conflict or problem

to employees or workers then come together as trade union & they put their

problem to the authority of the company. To solve these problems authority must

have to follows grievance handling procedure.

But, in the panchnath Auto Pvt. Ltd. There is nothing like trade union

because they behave as a family so it is known as Panchnath Family. If there is

any question to worker or employee. He asks his question to the manager as a

family member & gets his answer very easily. Thus, there is no need of Grievance

handling procedure.


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INTRODUCTION TRAINING & DEVELOPMENT:

Training is the formal and systematic modification of behaviors though

learning which occurs as a result of education, instruction, development and

planned experience.

Development is any learning activity, which is directed toward future, needs

rather than present needs, and which is concerned more with career growth

than present needs, which is concerned more with career growth immediate

performance.

NATURE OF TRAINING & DEVELOPMENT

In simple terms, training and development refer to the imparting of specific

skills, abilities and knowledge to an employee.

A formal definition of training and development is - it is any attempt to

improve current or future employee performance by increasing an

employees ability to perform through learning, usually by changing the

employees attitude or increasing his, her skills and knowledge.


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DEFINATION

It is any attempt improves current of future employee performance by increasing

an employees ability to perform through learning, usually by changing theemployees attitude or increase his or her skill & employees performance

deficiency computed as follow.

IMPORTANCE OF TRAINING AND DEVELOPMENT

Importance of Training and Development: Training and development programmes,

as was pointed out earlier, help remove performance deficiencies in employees.

(i) The deficiency is caused by a lack of ability rather than a lack of

motivation to perform,

(ii) The individuals involved have the aptitude and motivation need to learn

to do the job, better and

(iii) Supervisors and peers are supportive of the desired behaviors.


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THE PURPOSE OF TRAINING

The aim of training is to help the organization achieve its purpose by adding value

to its key resourcethe people it employs.

(i) To increase productivity and quality.

(ii) To promote reduce the number of accidents.

(iii) To reduce labors turnover.

(iv) To increase job satisfaction displaying itself in lower labour turn over

and less absenteeism.

(v) To increase efficiency.

OBJECTIVE OF TRAINING & DEVELOPMENT

The fundamental aim of training is to help the organization achieve its purpose

by advantage to its key resource.

Training means investing in the people to enable them to perform better & toempower them to make the best use of their natural abilities.

The particular objective of training are to:

Development the competences of employees & improve their

performance.

Help people to grow within the organization in order that as far as

possible. Its future needs for human resource can be met from within

organization.


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ADVANTAGE OF TRAINING

1. Leads to improved profitability and/or more positive attitudes toward profits

orientation.

2. Improves the job knowledge and skills at all levels of the organization.

3. Improves the morale of the workforce.

4. Helps people identify with organizational goals.

5. Helps create a better corporate image.

6. Fasters authentically, openness and trust.

7. Improves the relationship between boss and subordinate.

8. Aids in organizational development.

9. Learns from the trainee.

10. Helps prepare guidelines for work.

11. Aids in understanding and carrying out organizational policies.

12. Provides information for future needs in all areas of the organizationtion.

13. Organization gets more effective decision-making and problem solving.

14. Aids in development for promotion from within.

15. Aids in developing leadership skill, motivation, loyalty, better attitudes, andother aspects that successful workers and mangers usually display.

16. Aids in increasing productivity and/or quality of work. Helps keep costs down

in many areas, e.g. production, personnel. Administration, etc.


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17. Develops a sense of responsibility to the organization for being competent and

knowledge

18. Improves labor-management relations.

19. Reduces outside consulting costs by utilizing competent internal consulting


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DISADVANTAGE OF TRAINING

(i) Can be a financial drain on resources; expensive development and

testing, expensive to operate?

(ii) Often takes people away from their job for varying periods of time;

(iii) Equips staff to leave for a better job

(iv) Bad habits passed on

(v) Narrow experience

OBJECTIVE

Primary objectives:

To study on the effectiveness of training and development at Whirlpool

company of India Ltd, Pondicherry.

Secondary objectives:

To study about the employees perception on training programs. To study

on the training needs and satisfaction of the employees and to find the best

method of training.

LIMITATION

Sample size is small.

Sample may be biased.

Non-response error

Huge Space between what people say and what they actually do.

More structured questionnaire would have limited their options.


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OBJECTIVE OF EMPLOYEE TRAINING

The overall objective of training programme is to fill in the gap between the

existing and the desired level of knowledge, skill and aptitudes. Objective of training express the gap between the present and the desired

performance level.

A well designed training programme need involvement of top management

to integrate the training objective with the organizational objective.

To impart basic knowledge

1 To function more effectively in their present position.

2 To build up second line of competent officers.

3 To broaden the minds of senior manager.

4. To improve organizational environment.

5. To reduced supervision.


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NEED FOR TRAINING

Analyzing training needs:

For training to be effective, it is important to not only discern the training

needs of the individual/group but also how their needs fit the overall

objectives of the organization.

Many organizations invest considerable resources in training and

development but never really examine how training and development can

most effectively promote organizational objectives, or how developmental

activities should be altered in the light of business plans.Need for training is unquestionable. There is no choice with organization

whether to train or not to train or not to train workers.

1. JOB REQUIREMENTS:Some job requirement specialized knowledge employees selected for a job might

reasonably be lacking in specialized skill required on the job to Performa the job

effectively.

New and totally inexperienced workers need detailed instructions for effective

performance on the job.

Such employees need orientation training. In some case an experienced person

may be quite unfit to the new job or to the new organization due to change the jobpatter or environment.


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2. TECHNOLOGICAL CHANGE:There are fast technological changes in the industrial world. Automation,

mechanization, computerization etc. are being applied almost in every office.

These changes require a specialized training in the new technologies. No officer or

organization can take advantages of the new technology unless there is a trained

work force.

3. ORGANISATIONAL VIABILITY:In order to survive and grow an organization must continually adapt to itself to the

changing environment with the increasing liberalization and globalization in India,business firms are experiencing expansion, growth and diversification. An

organization can build second time of command through training in order to meet

their future need.

4. INTERNAL MOBILITYWhen an employee is promoted need to a higher job or transferred to a new job, he

needs training so that he may be able to perform the new responsibilities in a better

way. Training is widely used to prepare employees for higher level jobs. Training

is required to old and new employees.


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WHEN DOES THE NEED FOR TRAINING FOR ARISE?

1.The installation of new equipment or techniques.

2. A change in working methods or products produced.

3. A realization that performance is inadequate.

4. Labor shortage, necessitating the upgrading of some employees.

5. A desire to reduce the amount of scrap and to improve quality.

6. An increase in the number of accidents.

7. Promotion or transfer of individual employees.

8. Ensures availability of necessary skills and there could be a pool of talent

from which to promote from.


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IMPORTANCE OF TRAINING

Optimum Utilization of Human Resources:

Training and Development helps in optimizing the utilization of humanresource that further helps the employee to achieve the organizational goals as

well as their individual goals.

Development of Human Resources :

Training and Development helps to provide an opportunity and broad structure

for the development of human resources technical and behavioral skills in an

organization. It also helps the employees in attaining personal growth.

Development of skills of employees :

Training and Development helps in increasing the job knowledge and skills of

employees at each level. It helps to expand the horizons of human intellect and

an overall personality of the employees

Productivity :

Training and Development helps in increasing the productivity of the

employees that helps the organization further to achieve its long-term goal

TEAM SPIRIT

Training and Development helps in inculcating the sense of team work, team

spirit, and inter-team collaborations. It helps in inculcating the zeal to learn

within the employee.

Organization Culture

Training and Development helps to develop and improve the organizationalhealth culture and effectiveness. It helps in creating the learning culture within

the organization.


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Organization Climate :

Training and Development helps building the positive perception and feeling

about the organization. The employees get these feelings from leaders,

subordinates, and peers.

Quality:

Training and Development helps in improving upon the quality of work and

work life.

Healthy work-environment :

Training and Development helps in creating the healthy working environment.

It helps to build good employee, relationship so that individual goals aligns with

organizational goal.

Health and Safety :

Training and Development helps in improving the health and safety of the

Organization thus preventing obsolescence.

Morale:

Training and Development helps in improving the morale of the work force.

Image:

Training and Development helps in creating a better corporate image.


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TRAINING AND DEVELOPMENT OBJECTIVES

The principal objective of training and development division is to make sure the

availability of a Skilled and willing workforce to an organization. In addition to

that, there are four other

Objectives:

Individual, Organizational, Functional and Societal.

Individual Objectives :

Help employees in achieving their personal goals, which in turn, enhances the

individual contribution to an organization.

Organizational Objectives :

Assist the organization with its primary objective by bringing individual

effectiveness.

Functional Objectives :

Maintain the departments contribution at a level suitable to the organizations

needs.

Societal Objectives :

Ensure that an organization is ethically and socially responsible to the need and

challenges of the society.


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Importance of Training Objectives

Training objective is one of the most important parts of training program. While

some people think of training objective as a waste of valuable time. The

counterargument here is that resources are always limited and the training

objectives actually lead the design of training. It provides the clear guidelines and

develops the training program in less time because objectives focus specifically on

needs. It helps in adhering to a plan. Training objectives tell the trainee that what is

expected out of him at the end of the training program. Training objectives are of

great significance from a number of stakeholder perspectives.

1. Trainer.

2. Trainee.

3. Designer.

4. Evaluator.

1. Trainer:The training objective is also beneficial to trainer because it helps the trainer tomeasure the progress of trainees and make the required adjustments. Also, trainer

comes in a position to establish a relationship between objectives and particular

segments of training.

2. Trainee:The training objective is beneficial to the training objective is beneficial to thetrainee because it helps in reducing the Anxiety of the trainee up to some extent.

Not knowing anything or going to a place which is unknown creates anxiety that

can negatively affect learning. Therefore, it is important to keep the participants

aware of the happenings, rather than keeping it surprise.


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Secondly, it helps in increase in concentration, which is the crucial factor to make

the training successful. The objectives create an image of the training program in

trainees mind that actually helps in gaining attention. Thirdly, if the goal is set to

be challenging and motivating, then the likelihood of achieving those goals is

much higher than the situation in which no goal is Set.

3. Designer:

The training objective is beneficial to the training designer because if the designer

is aware what is to be achieved in the end then hell buy the training package

according to that only. The training designer would then look for the training

methods, training equipments, and training content accordingly to achieve those

objectives. Furthermore, planning always helps in dealing effectively in an

unexpected situation. Consider an example; the objective of one training program

is to deal effectively with customers to increase the sales..

4. Evaluator:It becomes easy for the training evaluator to measure the progress of the trainees

Because the objectives define the expected performance of trainees. Training

objective is an important to tool to judge the performance of participants.


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LIMITATION OF TRAINING

1. Training is a costly affair and expensive process.

2. Training may result dislocation of work of loss of output because regular

office work likely to be interrupted or delayed because of the time spent in

training.

3. Sometimes, it is difficult to obtain good training instructors and leaders.

4. Self reliance and capacity for new ideas might be stiffed.

TYPES OF TRAINING PROGRAMMES

1. ORLENTATION OR INDUCTION TRAINING:It is meant for new recruits to make them familiar with job, his superiors and

subordinates and with rules and regulation of the company.

2. ON THE JOB TRAINING:Training is given while working on the machines with a view to improve

performance on the job.

3. REMEDIAL TRAINING:It is given to improve the efficiency by overcoming the shortcoming in the

behavior and performance of old employees.

4. SAFETY TRAINING:It is training to use safety equipments, and devices.

5. REFRESHER TRAINING:The training is given to existing employees with a view to improve their

knowledge and skills.


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Training and Human Resource Management

The HR functioning is changing with time and with this change, the

relationship between the training function and other management activity

is also changing.

The training and development activities are now equally important with

that of other HR functions. Gone are the days, when training was

considered to be futile, waste of time, resources, and money.

Now-a-days, training is an investment because the departments such as,

marketing & sales, HR, production, finance, etc depends on training for its

survival.

If training is not considered as a priority or not seen as a vital part in the

organization, then it is difficult to accept that such a company has

effectively carried out HRM.

Training actually provides the opportunity to raise the profile development

activities in the organization. To increase the commitment level of employees and growth inequality

movement (concepts of HRM), senior management team is now increasing

the role of training. Such concepts of HRM require careful planning as

well as greater emphasis on employee development and long term

education.

Training is now the important tool of Human Resource Management to

control the attrition rate because it helps in motivating employees,

achieving their professional and personal goals, increasing the level of job

satisfaction, etc. As a result training is given on a variety of skill

development and covers a multitude of courses.


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Role of HRD Professionals in Training:

1. This is the era of cut-throat competition and with this changing scenario of

business; the role of

2. An HR professional in training has been widened. HR role now is Active

involvement in employee education Rewards for improvement in

performance.

Rewards to be associated with self esteem and self worth.

3. Providing pre-employment market oriented skill development education and

post employment Support for advanced education and training.

4. Flexible access i.e. anytime, anywhere training.

Models of Training

Training is a sub-system of the organization because the departments such as,

marketing & sales, HR, production, finance, etc depends on training for its

survival. Training is a transforming process that requires some input and in turn it

produces output in the form of knowledge, skills, and attitudes (KSAs).

.


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THE TRAINING SYSTEM

A System is a combination of things or parts that must work together to perform

a particular function.

An organization is a system and training is a sub system of the organization.

The System Approach views training as a sub system of an organization.

System Approach can be used to examine broad issues like objectives,

functions, and aim.

It establishes a logical relationship between the sequential stages in the process

of training need analysis (TNA), formulating, delivering, and evaluating.

There are 4 necessary inputs i.e. technology, man, material, time required in

every system to produce products or services. And every system must have

some output from these inputs in order to survive.

The output can be tangible or intangible depending upon the organizations

requirement.

A system approach to training is planned creation of training program. This

approach uses step-by-step procedures to solve the problems. Under systematicapproach, training is undertaken on planned basis.

Out of this planned effort, one such basic model of five steps is system model

that is explained below. Organization are working in open environment i.e.

there are some internal and external forces, that poses threats and opportunities,

therefore, trainers need to be aware of these forces which may impact on the

content, form, and conduct of the training efforts.

The internal forces are the various demands of the organization for a better

learning environment; need to be up to date with the latest technologies.


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The three model of training are:

1. System Model

2. Instructional System Development Model

3. Transitional model

System Model Training

The system model consists of five phases and should be repeated on a regular basis

to make further improvements. The training should achieve the purpose of helping

employee to perform their work to required standards.

Model of training are as follows:

1. Analyze and identify the training needs i.e. to analyze the department, job,

employees requirement, who needs training, what do they need to learn,

estimating training cost, etc.

2. The next step is to develop a performance measure on the basis of which actual

performance would be evaluated

DIFFERENCE BETWEEN TRAINING AND DEVELOPMENT:

Training and development go hand in hand and are often used synonymously but

there is a difference between them. Train in g is the process of learning a sequence

of programmed behavior.

It is an application of knowledge. It gives people an awareness of the rules and

procedures to guide their behavior. It intends to improve their performance on the

current job and prepares them for an intended job.

Development is a related process. It covers not only those activities, whichimprove job performance, but also those, which bring about growth of the

personality. It helps individual in the progress towards maturity and actualization

of potential capabilities so that they can become not only good employees but

better human beings.


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TYPES OF TRAINING

Training is required for several purposes. Accordingly training programmes may

be of the following types:

Orientation training:

Induction or orientation training seeks to adjust newly appointed employees to the

work environment. Every new employee needs to be made fully familiar with his

job, his superiors and subordinates and with the rules and regulations of the

organization. Induction training creates self-confidence in the employees. It is also

knows as pre-job training. It is brief and informative.

Job training:

It refers to the training provided with a view to increase the knowledge and skills

of an employee for performance on the job. Employees may be taught the correct

methods of handling equipment and machines used in a job. Such training helps to

reduce accidents, waste and inefficiency in the performance of the job.

Safety training:

Training provided to minimize accidents and damage to machinery is known as

safety training. It involves instruction in the use of safety devices and in safety

consciousness.

Promotional training:

It involves training of existing employees to enable them to perform higher-level

jobs. Employees with potential are selected and they are given training before their

promotion, so that they do not find it difficult to shoulder the higher

responsibilities of the new positions to which they are promoted.


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Refresher training:

When existing techniques become obsolete due to the development of better

techniques, employees have to be trained in the use of new methods and

techniques. With the passage of time employee may forget some of the methods of

doing work. Refresher training is designed to revive and refresh the knowledge and

to update the skills of the existing employees. Short-term refresher courses have

become popular on account of rapid changes in technology and work methods.

Refresher or re-training programmes are conducted to avoid obsolescence of

knowledge and skills.

METHODS OF TRAINING ON-THE-JOB TECHNIQUES

On the job techniques enables managers to practice management skills, make

mistakes and learn from their mistakes under the guidance of an experienced,

competent manager. Some of the methods are as:

Job Rotation:

It is also referred to as cross straining. It involves placing an employee ondifferent jobs for periods of time ranging from a few hours to several weeks.

At lower job levels, it normally consumes a short period, such as few hours

or one or two days.

At higher job levels, it may consume much larger periods because staff

trainees may be learning complex functions and responsibilities.

Job rotation for managers usually involves temporary assignments that may

range from several months to one or more years in various departments,

plants and offices.

Job rotation for trainees involves several short-term assignments, that touch

a variety of skills and gives the trainees a greater understanding of how


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various work areas function. For middle and upper level management, it

serves a slightly different function.

At this stage, it involves lateral promotions, which last for one or more

years. It involves a move to different work environment so that manager

may develop competence in general management decision-making skills.

Enlarged and enriched job responsibilities:

METHODS OF TRAINING

ON- THE- JOB METHODS

OFF- THE- JOB METHODS

By giving an employee added job duties, and increasing the autonomy and

responsibilities associated with the job, the firm allows an employee to learn a lot

about the job, department and organization.

Job instruction training:

It is also known as step-by-step training. Here, the trainer explains the trainee the

way of doing the jobs, job knowledge and skills and allows him to do the job. The

trainer appraises the performance of the trainee, provides feedback information and

corrects the trainee. In simple words, it involves preparation, presentation,

performance, and tryout and follows up.

Coaching:

The trainee is placed under a particular supervisor who functions as a coach in

training the individual. The supervisor provides the feedback to the trainee on his

performance and offers him some suggestions for improvement. Often the trainee

shares some duties and responsibilities of the coach and relives him of his burden.

A drawback is that the trainee may not have the freedom or opportunity to express

his own ideas.


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Committee assignments:

Here in, a group of trainees are given and asked to solve an actual organizational

problem. The trainees solve the problem jointly. This develops team work and

group cohesiveness feelings amongst the trainees.

OFF-THE-JOB TRAINING

It includes anything performed away from the employees job area or immediate

work area.

Two broad categories of it are:

IN HOUSE PROGRAMMES

These are conducted within the organizations own training facility; either by

training specialists from HR department or by external consultant or a combination

of both.

OFF-SITE PROGRAMMES

It is held elsewhere and sponsored by an educational institution, a professional

association, a government agency or an independent training and development

firm. The various off- the- job-training programmes are as follows:

1. Vestibule training:Herein, actual work conditions are simulated in a classroom. Materials, files and

equipment those are used in actual job performance are also used in training. This

type of training is commonly used for training personnel for clerical and

semiskilled jobs. The duration of this training ranges from few days to a few

weeks. Theory can be related to practice in this method.


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2. Role- playing:It is defined as a method of human interaction that involves realistic behaviour in

imaginary situations. This method involves action doing and practice. The

participants play the role of certain characters, such as production manager, HR

manager, foreman, workers etc. This method is mostly used for developing

interpersonal interactions and relations.

3. Lecture method:The lecture is a traditional and direct method of instruction. The instruction

organizes the material and gives it to the group of trainees in the form of a talk. To

be effective, the lecture must motivate and create interest among the trainees. An

advantage of this method is that it is direct and can be used for a large group of

trainees.

4. Conference or discussion:It is a method in training the clerical, professional and supervisory personnel. It

involves a group of people who pose ideas, examine and share facts and data, test

assumptions and draw conclusions, all of which contribute to the improvement of

job performance. It has an advantage that it involves two way communications and

hence feedback is provided. The participants feel free to speak in small groups.

Success depends upon the leadership qualities of the person who leads the group.

5. Programmed instruction:This method has become popular in recent years. The subject matter to be learned

is presented in a series of carefully planned sequential units. These units are

arranged from simple to mere complex levels of instructions. The trainee goes

through these units by answering questions or filling the blanks. This method is

expensive and time consuming.


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INDEX

PERFORMANCE APPRAISAL


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PERFORMANCE MANAGEMENT & APPRAISAL

Its important to understand the various terms and methods used in performance

management and appraisals. Most of these aren't difficult to understand, but people

often get confused about the meanings.

Documentation:

The process of creating a paper trail to record data such as discussions had with

employee, results of those discussions, both supervisor and employee comments,

agreements between the two.

Objectives or Results:

Statements of what an employee is supposed to achieve.

Ongoing Performance Communication :

Communication between manager and employee all throughout the year to ensure

that problems are identified early, and so there are NO SUPRPRISES during the

performance appraisal.

Performance Review :

Usually refers to a meeting to review and evaluate performance, involving

supervisor and employee. Often done once a year, but to be effective performance

reviews, or at least informal meetings to discuss performance should be undertaken

at least every few months.

Performance Appraisal:

The regular (usual annual) process where an employees performance for the year

is assessed by manager and/or employee. It is only one part of the performance

management approach. Usually means the same as "performance review".

Performance Diagnosis:

Often performance problems are a result of a number of factors, not just the fault

of the employee.


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Performance Management :

The larger process of defining what employees should be doing, ongoing

communication during the year, linking of individual performance to organization

needs, and the evaluating of appraising of performance.

Performance Planning:

The process of communication between manager and employee that results in

MUTUAL UNDERSTANDING of what the employee is to be doing during the

next period of time. Often includes setting objectives and standards of

performance.

Progressive Discipline :

The process of addressing performance difficulties by first trying to help, then

setting up increasingly strong consequences for failure to reach the desired levels

of performance.

Ranking Scales :

A way of evaluating staff by comparing them to each other, so there is a best, a

second best, and so on. This is REAL SERIOUS TROUBLE, and almost always

destructive.

Standards of Performance :

Mutually agreed upon criteria used to describe how WELL an employee must

perform, written to reduce subjective judgment.


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INTRODUCTION

Managing employee performance is an integral part of the work that all

managers and rating officials perform throughout the year. It is as important as

managing financial resources and program outcomes because employee

performance or the lack thereof, has a profound effect on both the financial and

program components of any organization.

The Department of the Interiors performance management policy is designed

to document the expectations of individual and organizational performance,

provide a meaningful process by which employees can be rewarded for

noteworthy contributions to the organization, and provide a mechanism to

improve individual/organizational performance as necessary.

To accomplish these objectives, managers need to identify organizational goals

to be accomplished, communicate individual and organizational goals to

employees that support the overall strategic mission and goals of the

Department, monitor and evaluate employee performance, and use performance

as a basis for appropriate personnel actions, including rewarding noteworthy

performance and taking action to improve less than successful performance.

The Office of Personnel Management defines performance management as the

systematic process

Planning work and setting expectations

Continually monitoring performance

Developing the capacity to perform

Periodically rating performance in a summary fashion; and

Rewarding good performance.


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PURPOSE OF PERFORMANCE APPRAISAL

Performance Appraisal is being practiced in 90% of the organizations worldwide.

Self-appraisal and potential appraisal also form a part of the performance appraisal

processes.

To review the performance of the employees over a given period of time.

To judge the gap between the actual and the desired performance.

To help the management in exercising organizational control.

Helps to strengthen the relationship and communication between superior

subordinates and managementemployees.

To diagnose the strengths and weaknesses of the individuals so as to identify

the training and development needs of the future.

To provide feedback to the employees regarding their past performance.

Provide information to assist in the other personal decisions in the

organization.

Provide clarity of the expectations and responsibilities of the functions to be

performed by the employees.

To judge the effectiveness of the other human resource functions of the

organization such as recruitment, selection, training and development.

To reduce the grievances of the employees.


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The most significant reasons of using Performance appraisal are:

Making payroll and compensation decisions80%

Training and development needs71%

Identifying the gaps in desired and actual performance and its cause76%

Deciding future goals and course of action42%

Promotions, demotions and transfers49%

BENEFITS OF PERFORMANCE APPRAISAL

Perhaps the most significant benefit of appraisal is that, in the rush andbustle of daily working life, it offers a rare chance for a supervisor and

subordinate to have "time out" for a one-on-one discussion of important

work issues that might not otherwise be addressed.

Almost universally, where performance appraisal is conducted properly,

both supervisors and subordinates have reported the experience as beneficial

and positive.

Appraisal offers a valuable opportunity to focus on work activities and

goals, to identify and correct existing problems, and to encourage better

future performance. Thus the performance of the whole organization is

enhanced.

For many employees, an "official" appraisal interview may be the only time

they get to have exclusive, uninterrupted access to their supervisor. Said one

employee of a large organization after his first formal performance appraisal,

"In twenty years of work, that's the first time anyone has ever bothered to sit

down and tell me how I'm doing."

The value of this intense and purposeful interaction between a supervisors

and subordinate should not be underestimated.


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1. MOTIVATION AND SATISFACTION

Performance appraisal can have a profound effect on levels of employee

motivation and satisfactionfor better as well as for worse.

Performance appraisal provides employees with recognition for their work

efforts. The power of social recognition as an incentive has been long noted.

In fact, there is evidence that human beings will even prefer negative

recognition in preference to no recognition at all.

This alone can have a positive influence on the individual's sense of worth,

commitment and belonging.

The strength and prevalence of this natural human desire for individual

recognition should not be overlooked

Absenteeism and turnover rates in some organizations might be greatly

reduced if more attention were paid to it. Regular performance appraisal, at

least, is a good start.


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2. TRAINING AND DEVELOPMENT

Performance appraisal offers an excellent opportunity - perhaps the best that

will ever occur - for a supervisor and subordinate to recognize and agree

upon individual training and development needs.

Supervisor and subordinate to recognize and agree upon individual training

and development needs.

During the discussion of an employee's work performance, the presence or

absence of work skills can become very obvious - even to those whohabitually reject the idea of training for them!

Performance appraisal can make the need for training more pressing and

relevant by linking it clearly to performance outcomes and future career

aspirations.

3. RECRUITMRNT AND INDUCTION

Appraisal data can be used to monitor the success of the organization's

recruitment and induction practices. For example, how well are the

employees performing who were hired in the past two years?

Appraisal data can also be used to monitor the effectiveness of changes inrecruitment strategies. By following the yearly data related to new hires (and

given sufficient numbers on which to base the analysis) it is possible to

assess whether the general quality of the workforce is improving, staying

steady, or declining.


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4. EMPLOYEE EVALUATION

Though often understated or even denied, evaluation is a legitimate and

major objective of performance appraisal. But the need to evaluate (i.e., to

judge) is also an ongoing source of tension, since evaluative and

developmental priorities appear to frequently clash. Yet at its most basic

level, performance appraisal is the process of examining and evaluating the

performance of an individual.

Though organizations have a clear right - some would say a duty - to

conduct such evaluations of performance, many still recoil from the idea. To

them, the explicit processes of judgment can be dehumanizing and

demoralizing and a source of anxiety and distress to employees.

It is been said by some that appraisal cannot serve the needs of evaluation

and development at the same


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THE PURPOSE OF APPRAISING PERFORMANCE

In general the appraisal systems serve a twofold purpose:

1. To improve the work performance of employees by helping them realize and

use their full potential in carrying out their firms mission.

2. To provide information to employees and managers for use in making work

related decisions.

More specifically appraisals serve the following purposes.

a) Appraisals provide feedback to employees and help them. "' management

identify the areas where development efforts are "' needed to bridge the gaps

thereby serving as vehicles for personal " and career development.

b) Helps management spot individuals who have specific skills so that their

promotions/transfer are in line with organizational requirements.

c) Appraisal serves as a key input for administering a formal organization

reward and punishment system.

d) The performance system can be used as a criterion against which selection

devices and development programs are validated.


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CHALLENGES OF PERFORMANCE APPRAISAL

In order to make a performance appraisal system effective and successful, an

organization comes across various challenges and problems. The main challenges

involved in the performance appraisal process are:

1. DETERMINING THE EVALUATION CRITERIA

Identification of the appraisal criteria is one of the biggest problems faced by the

top management. The performance data to be considered for evaluation should be

carefully selected. For the purpose of evaluation, the criteria selected should be in

quantifiable or measurable terms

2. CREATE A RATING INSTRUMENT

The purpose of thePerformance appraisal process is to judge the performance ofthe employees rather than the employee. The focus of the system should be on the

development of the employees of the organization.

3. LACK OF COMPETENCE

Top management should choose the raters or the evaluators carefully. They should

have the required expertise and the knowledge to decide the criteria accurately.

They should have the experience and the necessary training to carry out the

appraisal process objectively.


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4. ERRORS IN RATING AND EVALUATION

Many errors based on the personal bias like stereotyping, halo effect (i.e. one trait

influencing the evaluators rating for all other traits) etc. may creep in the appraisal

process. Therefore the rater should exercise objectivity and fairness in evaluating

and rating the performance of the employees.

5. RESISTANCE

The appraisal process may face resistance from the employees and the trade unions

for the fear of negative ratings. Therefore, the employees should be communicated

and clearly explained the purpose as well the process of appraisal. The standards

should be clearly communicated and every employee should be made aware that

what exactly is expected from him/her.


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PROCESS OF PERFORMANCE APPRAISAL

1. ESTABLISHING PERFORMANCE STANDARDS

The first step in the process of performance appraisal is the setting up of the

standards which will be used to as the base to compare the actual performance of

the employees.

This step requires setting the criteria to judge the performance of the employees as

successful or unsuccessful and the degrees of their contribution to the

organizational goals and objectives.

The standards set should be clear, easily understandable and in measurable terms.

In case the performance of the employee cannot be measured, great care should be

taken to describe the standards.

2. COMMUNICATING THE STANDARDS

Once set, it is the responsibility of the management to communicate the standards

to all the employees of the organization.

The employees should be informed and the standards should be clearly explained

to them. This will help them to understand their roles and to know what exactly is

expected from them. The standards should also be communicated to the appraisers

or the evaluators and if required, the standards can also be modified at this stage

itself according to the relevant feedback from the employees or the evaluators.


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3. MEASURING THE ACTUAL PERFORMANCE

The most difficult part of thePerformance appraisal process is measuring the

actual performance of the employees that is the work done by the employees

during the specified period of time.

It is a continuous process which involves monitoring the performance throughout

the year.

This stage requires the careful selection of the appropriate techniques of

measurement, taking care that personal bias does not affect the outcome of the

process and providing assistance rather than interfering in an employees work.

4. COMPARING THE ACTUAL WITH THE DESIRED PERFORMANCE

The actual performance is compared with the desired or the standard performance.

The comparison tells the deviations in the performance of the employees from the

standards set.

The result can show the actual performance being more than the desired

performance or, the actual performance being less than the desired performance

depicting a negative deviation in the organizational performance. It includes

recalling, evaluating and analysis of data related to the employees performance.


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5. DISCUSSING RESULTS

The result of the appraisal is communicated and discussed with the employees on

one-to-one basis.

The focus of this discussion is on communication and listening. The results, the

problems and the possible solutions are discussed with the aim of problem solving

and reaching consensus.

The feedback should be given with a positive attitude as this can have an effect on

the employees future performance.


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TRADITIONAL METHODS OF PERFORMANCE

APPRAISAL:-

1. ESSAY APPRAISAL METHODThis traditional form of appraisal, also known as Free Form method involves a

description of the performance of an employee by his superior. The description is

an evaluation of the performance of any individual based on the facts and often

includes examples and evidences to support the information. A major drawback of

the method is the inseparability of the bias of the evaluator.

2. STRAIGHT RANKING METHODThis is one of the oldest and simplest techniques of performance appraisal. In this

method, the appraiser ranks the employees from the best to the poorest on the basis

of their overall performance. It is quite useful for a comparative evaluation.

3. PAIRED COMPARISONA better technique of comparison than the straight ranking method, this method

compares each employee with all others in the group, one at a time. After all the

comparisons on the basis of the overall comparisons, the employees are given the

final rankings.

4. CRITICAL INCIDENTS METHODSIn this method of Performance appraisal, the evaluator rates the employee on the

basis of critical events and how the employee behaved during those incidents. It

includes both negative and positive points. The drawback of this method is that the

supervisor has to note down the critical incidents and the employeebehaviour as

and when they occur.


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5. FIELD REVIEWIn this method, a senior member of the HR department or a training officer

discusses and interviews the supervisors to evaluate and rate their respective

subordinates. A major drawback of this method is that it is a very time consuming

method. But this method helps to reduce the superiors personal bias.

6. CHECKLIST METHODThe rate is given a checklist of the descriptions of the behavior of the employees

on job. The checklist contains a list of statements on the basis of which the rater

describes the on the job performance of the employees.

7. GRAPHIC RATING SCALEIn this method, an employees quality and quantity of work is assessed in a graphic

scale indicating different degrees of a particular trait. The factors taken into

consideration include both the personal characteristics and characteristics related to

the on-the-job performance of the employees. For example a trait like Job

Knowledge may be judged on the range of average, above average, outstanding or

unsatisfactory.

8. FORCED DISTRIBUTIONTo eliminate the element of bias from the raters ratings, the evaluator is asked to

distribute the employees in some fixed categories of ratings like on a normal

distribution curve. The rater chooses theappropriate fit for the categories on his

own discretion.


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MODERN METHODS OF PERFORMANCE APPRAISAL

1. ASSESSMENT CENTRESAn assessment centre typically involves the use of methods like social/informal

events, tests and exercises, assignments being given to a group of employees to

assess their competencies to take higher responsibilities in the future.

Generally, employees are given an assignment similar to the job they would be

expected to perform if promoted. The trained evaluators observe and evaluate

employees as they perform the assigned jobs and are evaluated on job related

characteristics.

The major competencies that are judged in assessment centers are interpersonal

skills, intellectual capability, planning and organizing capabilities, motivation,

career orientation etc. assessment centers are also an effective way to determine the

training and development needs of the targeted employees.

2. BEHAVIORALLY ANCHORED RATING SCALESBehaviorally Anchored Rating Scales (BARS) is a relatively new technique which

combines the graphic rating scale and critical incidents method. It consists of

predetermined critical areas of job performance or sets of behavioral statements

describing important job performance qualities as good or bad (for eg. the qualities

like inter-personal relationships, adaptability and reliability, job knowledge etc).

3. HUMAN RESOURCE ACCOUNTING METHODHuman resources are valuable assets for every organization. Human resource

accounting method tries to find the relative worth of these assets in the terms of

money.


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In this method the Performance appraisal of the employees is judged in terms of

cost and contribution of the employees.

The cost of employees include all the expenses incurred on them like their

compensation, recruitment and selection costs, induction and training costs etc

whereas their contribution includes the total value added (in monetary terms).

MANAGEMENT BY OBJECTIVES

The concept of Management by Objectives (MBO) was first given by Peter

Drucker in 1954. It can be defined as a process whereby the employees and the

superiors come together to identify common goals, the employees set their goals to

be achieved, the standards to be taken as the criteria for measurement of their

performance and contribution and deciding the course of action to be followed.

The essence of MBO is participative goal setting, choosing course of actions and

decision making. An important part of the MBO is the measurement and the

comparison of the employees actual performance with the standards set. Ideally,

when employees themselves have been involved with the goal setting and thechoosing the course of action to be followed by them, they are more likely to fulfill

their responsibilities.


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THE MBO PROCESS

The principle behind Management by Objectives (MBO) is to create empowered

employees who have clarity of the roles and responsibilities expected from them,

understand their objectives to be achieved and thus help in the achievement of

organizational as well as personal goals.

Some of the important features and advantages of MBO are:

Clarity of goalsWith MBO, came the concept of SMART goals i.e. goals

that are:

Specific

Measurable

Achievable

Realistic, and

Time bound.

The goals thus set are clear, motivating and there is a linkage between

organizational goals and performance targets of the employees.

The focus is on future rather than on past. Goals and standards are set for the

performance for the future with periodic reviews and feedback.

MotivationInvolving employees in the whole process of goal setting and

increasing employee empowerment increases employee job satisfaction and

commitment.


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As there is need of practical training of industry. I have visited & studied the

working of HR department of Panchnath Auto pvt. Ltd. This company plays a

better role in the society. It creates employment opportunity & tries to provide the

best quality in the product. As studied I can say that this company tries to make the

economical situation better of our nation by exporting its product.

I have got good managerial training from the HR manager of Panchnath Auto Pvt

. Ltd., Mr. Amit Trivedi. During my practical training, I got great co -operation in

acquiring knowledge & also found good industrial relation.

I am very glad that I have visited Panchnath Auto Pvt. Ltd. & its department

concerned with my study of training. I am also thankful to my college authority for

giving me this opportunity.

As I had visited this company, I can conclude that this company, is playing a

great role for the development of 3-wheeler industry, development rural area &

society & also for developing the engineering abilities in the 3-wheeler industry.


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Bibliography is the final section of presentation. It contains detailed information on

references or source materials.

BOOKS:

Human Resource Management: - Asvatsthpa

Flippo Edwin B :- Personnel management, Edition sixth,

Gupta, C.B:- Human Resource Management, Edition Fifth

Rao, P. Subba :- Essentials of Human Resource Management and

IndustrialRelations ; Edition Second.

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