Report on

Assessment of Performance Appraisal and its

Implementation at Administration Level

Submitted By:
Blessy A Mathew
MBA, III Sem.

Institute of Technology and Management Universe, Vadodara.

Page 1 of 65

ACKNOWLEDGEMENT

I would like to take this opportunity to thank Sterling Hospital, Vadodara for
providing me this highly coveted opportunity to undertake my Internship Project
in the hospital.
I owe my profound gratitude to Mr. Hemant Bhattnagar Centre Head & Ms.
Jagrati Raizada Sr. Manager HR for providing me the opportunity to undertake
this study in this hospital. I would like to thank Dr. Rekha Das Adhikari- Internal
Guide and Ms. Shailly Dekivadiya- External Guide for their guidance and support
without whose help the project wouldnt have been completed successfully.
I would also like Mr. Mobin Shaikh- SIP Coordinator for giving me the
opportunity of undertaking the Internship Project.
Furthermore, I am grateful to Mr. Subin Nair HR Executive & Mr. Jacky Desai
HR Executive for constantly supporting and guiding me throughout the
internship period. I am also thankful to the other staff members who have been
co-operative & cordial to their utmost level.
I extend my deep gratitude to my parents and all my friends for their continuous
inspiration, support, motivation and helping me to achieve my task.

Page 2 of 65

INDEX

SR.NO.

TOPICS

PAGE NO.

ACKNOWLEDGEMENT

LIST OF TABLES

1.

INTRODUCTION

2.

REVIEW OF LITERATURE

29

3.

DATA ANALYSIS

34

4.

FINDINGS, CONCLUSIONS AND SUGGESTIONS

59

5.

ANNEXURE

64

BIBLIOGRAPHY
APPENDIX

LIST OF TABLES
Table

Statement

Page
No.

No.
1

Showing educational qualification of the employee

34

Showing designation of employee

35
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Showing work experience of employee

36

Showing gender wise distribution of the employee

37

Showing Respondents views about the clear understanding of

38

what is expected from appraisees by his reporting officer during

the performance year.

Showing Respondents views on appraisal system that it helps

39

each appraisees and appraiser to have a clear joint

understanding of each appraises job.

Showing respondents views on appraisal system providing an

40

opportunity for each appraisees to communicate with his

superiors to perform his job well.

Showing respondents view on appraisal system that it provides

41

an opportunity for self-review and reflection.

Showing Respondents view on appraisal system encourages the

42

appraiser and appraisees to have a common understanding of

the factors affecting the performance of appraise.

10

Showing respondents views on appraisal system provides an

43

opportunity for a discussion between the appraiser and

appraisees.

11

Showing respondents views on appraisal system has scope for

44

reflection and assessment of each appraises on the personality

Page 4 of 65

factors and attributes required for the job.

12

Showing respondents views on appraisal system encourages

45

open communication between each appraiser-appraisee pair

through performance review discussions.

13

Showing respondents views on appraisal system aims at

46

strengthening appraiser - appraisees relationship through

mutuality and trust.

14

Showing respondents views on appraisal system helps

47

interested appraises to gain more insight into their strengths and

weakness.

15

Showing respondents views on appraisal system has scope for

48

helping each employee to discover his potential.

16

Showing respondents views on objectives of the appraisal

49

system are clear to all employees.

17

Showing respondents views on orientation programs are

50

conducted to explain the objectives and other details of the

appraisal system

18

Showing respondent views on managers take performance

51

appraisal seriously

19

Showing respondent views on performance review discussions

52

are conducted with high quality and care.

20

Showing respondent views on efforts are made by appraisers to

53

be objective in their appraisals.

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21

Showing respondent views on HR department follows up

54

seriously the training needs identified during appraisals.

22

Showing respondents views on HR department actively reviews

55

each appraisal and discuss with managers

23

Showing respondents views on HR department provides

56

adequate feedback to managers on their rating behavior and the

decisions taken on their ratings.

24

Showing respondents views on appraisal facilitate growth and

57

learning in this organization both for appraiser and appraises.

25

Showing respondents views on employees satisfaction with the

58

performance appraisal system prevailing in the organization.

Page 6 of 65

Table of Contents
1. Introduction
1.1. Background Information
1.2. Objective of the study
1.3. Definitions of concepts
1.4. Time, place and materials of the survey
1.5. Significance & Scope of the study
1.6. Organization- Sterling Hospital
1.7. Sampling procedure
1.8. Methods, tools and techniques employed for data
2.
3.
4.
5.

collection.
Review of Literature
Data Analysis
Findings, Conclusions & Suggestions
Annexure
5.1. Bibliography
5.2. Appendix

1. INTRODUCTION
1.1.
BACKGROUND INFORMATION:
The history of performance appraisal is quite brief. Its roots in the early 20 th
century can be traced to Taylors pioneering Time and Motion studies. But this is
not very helpful, for the same may be said about almost everything in the field of
modern human resources management. As a distinct and formal management

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procedure used in the evaluation of work performance; appraisal really dates from
the time of the 2nd World War more than 60 years ago.
Yet in a broader sense, the practice of appraisal is a very ancient art.
There is, says Dulewicz (1989), "a basic human tendency to make judgments
about those one is working with, as well as about oneself." Appraisal, it seems, is
both inevitable and universal. In the absence of a carefully structured system of
appraisal, people will tend to judge the work performance of others, including
subordinates, naturally, informally and arbitrarily. The human inclination to judge
can create serious motivational, ethical and legal problems in the workplace.
Without a structured appraisal system, there is little chance of ensuring that the
judgments made will be lawful, fair, defensible and accurate.

Performance appraisal systems began as simple method of income justification.

That is, appraisal was used to decide whether or not the salary or wage of an
individual employee was justified. The process was firmly linked to material
outcomes. If an employee's performance was found to be less than ideal, a cut in
pay would follow. On the other hand, if their performance was better than the
supervisor expected, a pay rise was in order.

Human resources are the most valuable and unique assets of an organization. The
successful management of an organization's human resources is an exciting,
dynamic and challenging task, especially at a time when the world has become a
global village and economies are in a state of flux. The scarcity of talented
Page 8 of 65

resources and the growing expectations of the modern day worker have further
increased the complexity of the human resource function. Even though specific
human resource functions/activities are the responsibility of the human resource
department, the actual management of human resources is the responsibility of all
the managers in an organization.

Human Resource (or personnel) management, in the sense of getting things done
through people, is an essential part of every managers responsibility, but many
organizations find it advantageous to establish a specialist division to provide an
expert service dedicated to ensuring that the human resource function is
performed efficiently.
It is therefore necessary for all managers to understand and give due importance
to the different human resource policies and activities in the organization. Human
Resource Management outlines the importance of HRM and its different functions
in an organization. It examines the various HR processes that are concerned with
attracting, managing, motivating and developing employees for the benefit of the
organization.

An effective appraisal, therefore, accomplishes a variety of specific tasks while

maintaining a positive relationship between the supervisor and the employee. The
difficulty of this task, from the manager's viewpoint, is largely dependent upon

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the type of appraisal interview required. In some cases, employee performance is

satisfactory and the manager's goal is to either help the employee maintain his or
her current level of performance (when no promotion is possible) or to assist in
the development of a realistic career path.

1.2.

OBJECTIVE OF THE STUDY:

Broad objective:
Performance appraisal is one of the sub-systems of HRM which is the method of
evaluating the behavior of employees in the work spot normally including both
the quantities and qualitative aspect of job performance. It is a systematic and
objective way of evaluating both work related behavior and potential of
employees. So the main objective is to know the functioning and implementation
of performance appraisal in the organization.

Specific objective:
1. To assess the existing performance appraisal with reference to:
- Participative planning of performance
- Factor facilitating and hindering performance
- Performance review discussion
- Identification of development needs, openness

and

communication
- Mutuality trust between appraisers and appraises
2. To understand its implementation system.
1.3.

DEFINITION OF CONCEPTS:
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MEANING

Appraisal is the evaluation of worth, quality or merit. In the organization context,

Performance Appraisal is a systematic evaluation of personnel by supervisor or
others familiar with their performance. Performance Appraisal is also described as
merit rating in which one individual is ranked as better or worse in comparison to
others.
Performance Appraisal measures the qualitative and quantitative aspects of job
performance. An appraisal evaluates not only the employee's performance but also
his potential for development. The primary objectives of an appraisal are to
assess past performance, to identify training needs, to set and agree on future
objectives and standards, and to facilitate the achievement of these goals.
Performance Appraisal is the process of assessing the performance and progress
of an employee or a group of employees on a given job and his / their potential for
future development. It consists of all formal procedures used in the working
organizations to evaluate personalities, contributions and potentials of employees.
Performance Appraisal is expected to serve various purposes in an organization
structure. Broadly speaking, performance appraisal is necessary:
-

To monitor the efforts of individuals

To integrate and co-ordinate endeavor

To provide protection feedback to individual

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To provide an equitable and consistent basis of distribution rewards and

penalties

DEFINITION

A formal definition of Performance Appraisal:

Performance Appraisal is the process of evaluating the performance and
qualifications of the employees in terms of the requirements of the job for which
he is employed, for the purpose of administration including placement, selection
for promotion, providing financial rewards and other actions which requires
differential treatment among the members of a group as distinguished from
actions affecting all members equally.

According to Edwin Flippo, a prominent personality in the field of Human

resources, "Performance Appraisal is the systematic, periodic and an impartial
rating of an employees excellence in the matters pertaining to his present job and
his potential for a better job." Performance appraisal is a systematic way of
reviewing and assessing the performance of an employee during a given period of
time and planning for his future.
Performance Appraisal is defined as The process of identifying, evaluating and
developing the work performance of the employee in the organization, so that
organizational goals and objectives are effectively achieved while, at the same
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time, benefiting employees in terms of recognition, receiving feedback, and

offering career guidance (Lansbury, 1988).

1.4.

PLACE AND MATERIALS OF THE SURVEY:

The survey was conducted at Sterling Hospital, Vadodara on 11 th of July, 2013.

The material used in the survey was structured questionnaires.

1.5.

SIGNIFICANCE & SCOPE OF THE STUDY:

Performance appraisals have become a primary management tool for improving

employee performance, setting total quality standards, and communicating
organizational values. Although the performance appraisal serves several
functions, its primary purpose is to improve individual performance, most often
through;
a. Clarifying job requirements and standards
b. Providing feedback to the employee regarding his or her progress
toward meeting these standards
c. Guiding future performance by formulating an action-plan and
allocating rewards and opportunities.
An effective appraisal, therefore, accomplishes a variety of specific tasks while
maintaining a positive relationship between the supervisor and the employee. The
Page 13 of 65

difficulty of this task, from the manager's viewpoint, is largely dependent upon
the type of appraisal interview required. In some cases, employee performance is
satisfactory and the manager's goal is to either help the employee maintain his or
her current level of performance (when no promotion is possible) or to assist in
the development of a realistic career path.

SIGNIFICANCE:
Performance appraisal is a systematic evaluation of the individual with respect to
his performance on the job and his potential for the development. It is economic
with determining the difference of performance among the employees working in
the organization normally does the evaluation.
People differ in their abilities and their aptitudes. There is always some difference
between the quality and quantity of the same work on the same job being done by
two different people. Performance appraisals of employees are necessary to
understand each employees abilities, competencies, and relative merit and worth
of the organization. Performance appraisal is necessary to measure the
performance of the employees & the organization to check the progress towards
the desired goals and aims.
The latest mantra being followed by the organization across the world being-get
paid according to what you contribute- the focus of the organization is turning to

Page 14 of 65

performance

management

and

specifically

to

individual

performance.

Performance appraisal helps to rate the performance of the employees and

evaluate their contribution towards the organizational goals. If the process of
performance appraisal is formal and properly structured, it helps the employees to
clearly understand their roles and responsibilities and give direction to the
individual performance with the organizational goals and also review their
performance.
Performance appraisal takes into account the past performance of the employees
and focuses on the improvement of the future performance of the employees.
Performance appraisal is positive and contributes to the overall welfare of the
organization. If done properly, performance appraisal is very effective tool to
improve performance, productivity and for developing employees, it helps
individual to do better, raises self-esteem and motivation. Above all it strengthens
the management/subordinate relationship and fosters commitment.
Performance evaluation is not a process to be avoided; rather, it should be
implemented to all organizations and promoted as key management activity. The
benefit to be realized from a proper evaluation system for outweighs the time and
effort required to develop, implement and maintain the process.

1.6.

ORGANIZATION STERLING HOSPITAL:

An integrated world class healthcare facility, Sterling is a multi super specialty

hospital, where committed doctors are ably supported by the best of breed
Page 15 of 65

infrastructure and technologically advanced equipment to provide high quality

medical and surgical care in a host of critical specialities.
Over the years, Sterling Hospitals have gained astounding success in the provision
and advancement of tertiary healthcare in Gujarat. Renowned for their patient
centric approach, they have become the preferred choice for ethical, superior and
holistic healthcare.
Their comprehensive list of super specialties, specialties, critical care facilities,
specialized clinics, and corporate programs, makes them a single stop destination
for everyones medical requirements.
HISTORY:
Sterling Hospital was originally known as Addlife Medical Institute Limited.
However, now it is known as Sterling Hospitals. The company is promoted by
Paras Pharmaceuticals Limited who is the maker of MOOV, LIVON, etc.
In October 2001, the first hospital of the company, Sterling Hospital
Ahmedabad was opened to public.
In November 2006, the company acquired Unity Hospital in Baroda which is now
known as the Sterling Hospital Vadodara.
In 2006, Actis, a renowned international private equity investor acquired
substantial holding in Sterling. Actis is a leading equity investor in emerging
markets and has been investing in these markets for nearly 60 years. In the last 10
years, it has invested over US$ 2.9 billion in over 150 invested companies.
Page 16 of 65

GROWTH & DEVELOPMENT:

The Sterling Hospitals are growing at a remarkable pace. Empire of Sterling
Hospitals is spread over in Gujarat at Ahmedabad, Vadodara, Rajkot, Mundra,
Bhavnagar and Adipur. They have a Satellite Centre called Lions Sterling Super
Specialty Hospital at Mehsana, Gujarat.
ACHIEVEMENTS:

Sterling Hospitals, Ahmedabad is the first hospital in the state to achieve

NABH (National Accreditation Board of Hospitals & Healthcare
Providers) accreditation in the first attempt.

Sterling Hospitals, Vadodara is the first NABH Accredited Hospital in

South Gujarat and 4th in Gujarat.

On the 2nd reassessment also, Sterling Hospitals, Vadodara got the NABH
accreditation successfully in December 2012.

They have got permission to start the Indian Society of Critical Care
Medicine (IDCCM) course.

Sterling Hospital is the first Corporate Hospital of Gujarat to get approval

from the Government for Adult Live Kidney Transplantation.

SPECIAL FEATURES:
The hospital gives out STAR EMPLOYEE OF THE MONTH to the
most efficient and hardworking employees. A STAR is given to a Doctor,
a Nurse and a Staff Employee for their performance during the month.
Page 17 of 65

The hospital conducts various events of which recently Nurses Day was

celebrated on the 31st of May.

Personal mails are sent to the employees on their birthdays, thus making

them feel as an important part of the organization.

Cricket tournaments are held among the units known as GILLI-BALLA.
The last being won by the Baroda unit.

VISION, MISSION & VALUES:

VISION:
To be the Preferred Choice First choice in Gujarat and top 5 in India.
To be Ethical No over medication, over surgeries and/or over

diagnostics.
To be Superior Provide specialized high end services at value for

money charges.
To be Holistic Be preventive and curative. Comprehensive for selected

specialties.
To be Humane We treat our stakeholders (patients, employee & partners)
with love, respect and care. A seva mentality. To be a good corporate

citizen.
To be Viable We deliver profitable Healthcare. To be Patient Centric
where Customer is GOD. Transparency in operations.

MISSION:

Excel and above all Be ethical and honest never violate your
conscience.
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We make a difference in everything we do

We do everything on or before time

We deliver quality do more than what the client expects

VALUES:

Superior We do our best at all times and look for ways to do it even
better.

Trustworthy Works upon mutual trust.

Ethical Operate on principle of Ethics.

Respectful We respect each individual & their inherent value.

Legal We accept responsibility for our actions, attitudes and mistakes.

Integrated We value integrity entrusted to us for the enhancement of

human life.

Noble We cultivate the resources delegated to us to promote healing and

wholeness.

Group We value our staff, our work and take pride in bringing the hope
and healing to every individual in our care by working together.

Page 19 of 65

OFFICERS OF THE CORPORATE:

CHAIRMAN

: Mr. Girish Patel

CEO

: Mr. Rajiv Sharma

COO

: Mr. Vivek Talaulikar

GM, CORPORATE HR

: Mr. Diwakar Yadav

SENIOR MANAGEMENT (VADODARA):

CENTRE HEAD

: Mr. Hemant Bhattnagar

DMA

: Dr. Hardik Shah

HR SR. MANAGER

: Ms. Jagrati Raizada

GENERAL ADMIN MANAGER

: Dr. Vishambar Tandon

ACCOUNTS SR. MANAGER

: Mr. Harshik Trivedi

BUSINESS DEVELOPMENT MANAGER : Mr. Devdutt Gaekwad

SUPPLY CHAIN MANAGER

: Mr. Varshesh Shah

IT MANAGER

: Mr. Ashwin Rassay

CORE FUNCTIONAL AREAS:

MARKETING :

Page 20 of 65

There are 30+ Specialties that Sterling Hospitals provide.

1. Super Specialities :

Cardiology

Vascular Surgery

Pulmonology & Critical Care

Endocrinology

Nephrology, etc

2. Specialities :

Internal Medicine

General Surgery

Pediatrics

Dermatology

Pathology

Radiology , etc

3. Specialised Facilities ( Critical Care) :

Page 21 of 65

Dialysis Unit

Burns ICU

Critical Care ICU

Emergency ICU

Cardiac OT

Joint Replacement OT, etc

4. Specialised Clinics :

Diet Clinic

Diabetes Care Clinic

Physiotherapy Clinic

Spine Clinic

Skin Clinic, etc

Promotional Strategies:
Page 22 of 65

The hospital creates awareness through Health talks

By various Medical Camps

Through events

Through Newspaper advertisements

Through Hand bills

Competition:

The hospital faces healthy competition from other hospitals like

Bhailal Amin Hospital
Bankers Heart Institute
Metro Hospital
Baroda Heart Institute, etc. to name a few.

HUMAN RESOURCES:
Page 23 of 65

ORGANOGRAM - STERLING BARODA

CENTRE
HEAD

HR

DY.

GEN.

BD

MEDICAL

ADMIN

ACCOUNTS
& FINANCE
-

SR.
MANAGER

ADMIN

REVENUE

BILLING

IT

ASSURANCE

MANAGER

MANAGER

SR.
EXECUTIVE

EXECUTIVE

MANAGER

MANAGER

EXECUTI
VE

SUPPLY
CHAIN

SR.
MANAGER

MANAGER
ASST.
MANAGER
AUDITOR

ASST.

SUPPORT

ASST.

ASST.

STORE

MEDICAL

SERVICE

MANAGER

MANAGER

OFFICER/

PHARMACIST

OFFICER

-HR
ADMIN
EXECUTIVE

HOUSE

SR.

SR.

KEEPING

EXECUTIVE

EXECUTIVE

ASSISTANT

MED
ADMIN
SR.

AUDITOR

SR. /JR.

SR.

OFFICER

OFFICER

JR. OFFICER
SECURITY

EXECUTIVE

CANTEEN

JR.

OFFICER

RESIDENTS

RADIOLOGY

OFFICER

PATHOLOGY

LAUNDRY

DIALYSIS

FRONT
OFFICE

OT

MRD

PATIENT
CARE

OOFFICER

Green - HOD
Orange - Designations
Purple - Functions

1.7.

SAMPLING PROCEDURE:

Page 24 of 65

The universe of the study is 42 employees at the Administration level. The total
size of 20 respondents was collected as samples. Simple random sampling method
was used for data collection. In a simple random sample, individuals are chosen at
random and not more than once to prevent a bias that would negatively affect the
validity of the result of the experiment.

1.8.

METHODS, TOOLS & TECHNIQUES APPLIED FOR DATA

COLLECTION:

Sources of Data Collection:

-

Primary data:

The primary data would be collected mainly by observing the employees in the
organization and by research study supported by questionnaire.
-

Secondary data:

The secondary data will be obtained published literature on the topic or relevant
to the area of study and from web pages from Internet, articles in books.

Tools of Data Collection

Page 25 of 65

The tool of the data collection would be

-

Structured questionnaire
The questionnaire consisted of 30 questions on a five point scale, which
are as following:
Strongly agree
Agree
Disagree
Strongly disagree
Neutral

2. REVIEW OF LITERATURE
An overview of the extensive historical research related to performance appraisal
is presented. Application of the concepts of performance appraisal as a way to
understand the dynamics of performance appraisal and to aid in the evaluation of
performance appraisal systems is addressed.

TOPIC: EMPLOYEE PERFORMANCE

APPRAISAL IN HEALTH CARE
Author:

Rakesh Kumar, Department of Management Studies, Aksum

University, Ethiopia.
Prof. (Dr.) Bimal Anjum, Department
Mandigobindgarh, Punjab, INDIA

of

Management,

RIMT-IET,

Page 26 of 65

Dr. Ashish Sinha, School of Management, Doon University, Dehradun,

INDIA

Year: 2011
Performance appraisal is one of the important components in the rational and
systematic process of human resource management. The information obtained
through performance appraisal provides foundations for recruiting and selecting
new hires, training and development of existing staff, and motivating and
maintaining a quality work force by adequately and properly rewarding their
performance. Without a reliable performance appraisal system, a human resource
management system falls apart, resulting in the total waste of the valuable human
assets a company has. This is not to argue that there should be no formal
mechanisms for evaluating performance but, rather, it should be viewed as only
one of a number of mechanisms for improving the quality of clinical care
(Armstrong & Baron, 1998).
According to Briscoe & Schuler (2004) performance can be viewed as a
combination of several variables, such as motivation, ability, working conditions
and expectations. It has been established that there are certain factors that affect
employees performance more than others. These factors, according to Dowling
et al (1999) include the compensation package; the nature of task; support from
higher management; the working environment and the overall corporate culture.

The primary reason for having a performance appraisal program is to monitor

employees performance, motivate staff and improve hospital morale. In the
hospital, monitoring employee performance requires routine documentation,
Page 27 of 65

which is accomplished through completing a performance appraisal form. When

employees are aware that the hospital is mindful of their performance and they
could be rewarded with increment and promotions, they will work harder. Morale
is improved when employees receive recognition or reward for their work. An
effective performance appraisal program will assist the hospital in achieving its
goals and objectives. Not only, training needs will be identified and addressed
during a performance appraisal review, but also hidden talent can be discovered as
well. Through identifying these training needs, staff can perform their jobs at the
highest level and be in a better position to address clients, members and customers
concerns and questions. A well-developed staff is more likely to be proactive,
productive and resourceful, all of which helps give the hospital a competitive
edge, from improved customer relations to increased profits.

Hospitals are aware that well developed appraisal systems increase the probability
of retaining, motivating and promoting productive people. The proper
management of human resources is a critical variable affecting an employees
productivity.
So performance appraisals are seen as an essential tool for the effective
management of organizational human resource (Latham & Wexley, 1994).

TOPIC: EXAMINATION OF OPEN STAFF

PERFORMANCE APPRAISSAL SYSTEMS FOR
NURSES AT SELECTED HEALTH FACILITIES
IN LILONGWE, MALAWI
Page 28 of 65

Author: Lucresia Nachamba Kuchande

Year: 1993
This research study set out to examine the current PMS for enrolled, registered
nurses and nurse managers in different hospital wards and departments at selected
health facilities in Lilongwe, Malawi. The study also attempted to assess whether
the results of the current PMS at these health facilities were used as a sound basis
for making important human resource management decisions aimed at motivating
the nurses towards improved performance and contribution to the provision of
nursing and healthcare services. The results of the study indicate that there are
currently no PMS in place but each facility implements some form of open PAS,
both formal and informal. The study has revealed that although professionally
designed and well-established PMS are currently non-existent, some nurse
managers at the three health facilities are implementing some performance
appraisal processes, which are just a component or important sub-system of a
fully fledged PMS.

TOPIC: PERFORMANCE APPRAISAL IN AN

NHS HOSPITAL
Author: Tom Redman, School of Business Management, University of Teesside.
Ed Snape, University of Bradford Management Centre.

Page 29 of 65

David Thompson, Health Services Management Centre, University of

Birmingham
Fanny Ka-ching Yan, Department of Management, The Hong Kong Polytechnic
University

The NHS, with over one million employees (five per cent of the nations
workforce), is Europes biggest employer. Performance appraisal is now more
widespread in the NHS than at any time in its history, consuming considerable
resources. At the same time critics grow both in number and in the ferocity of
their attacks on performance appraisal, calling it a deadly management disease
and organizational viruses. However, the danger is that such views are often
based on anecdote rather than on empirical research. In contrast , our findings of
managers and professionals actual experience of appraisal finds it of overall
value, with very few suggesting it should be discarded altogether.

The future for IPR (Individual Performance Review) in the NHS, they would
suggest, depends in part on resolving some of the problems they have identified.
In particular, an issue of patchy application, uneven managerial commitment &
continuity between appraisals, the links with PRP (Performance Related Pay) and
teamwork, and the appropriate nature of IPR for lower-graded staff requires
further attention. Some of these concerns are deep-seated and difficult to resolve.
For example, continuity in IPRs will be particularly problematical while the NHS
continues to experience both high levels of organizational change and

Page 30 of 65

considerable staff retention problems. However, an effective and more widespread

performance appraisal process providing a basis for sound career planning and
personal counseling intervention may help decrease turnover rates.

3.

DATA ANALYSIS:

The information collected from the respondents is analyzed and interpreted in the
form of graphs and tabulation.
Table No.1 Showing the distribution of respondents according to their
Educational Qualification.
Education Qualification

Frequency

Percentage

Diploma
Under-Graduate
Graduate
Master
Other

0
0
7
13
0

0
0
35
65
0

Total

20

100

Page 31 of 65

From the above data, it can be observed that 35% (n=7) of the respondents are
Graduates & 65% (n=13) of the respondents have completed their Masters.
Hence, it can be said that the majority of respondents have done Masters in their
Educational Qualification.

Table No.2 Showing the distribution of respondents according to their

Designation.
Designation
Clerk
Executive
Sr. Executive
Manager
Other
Total

Frequency
0
18
2
0
0
20

Percentage (%)
0
90
10
0
0
100

Page 32 of 65

From the above data, it can be observed that 90% (n=18) of the respondents are
Executives & 10% (n=2) of the respondents are Sr. Executives. Hence, it can be
said that the majority of respondents are Executives.

Table No.3 Showing the distribution of respondents according to their

Work Experience.

Experience (Years)
0-5
5-10
10-15
15 years & above
Total

Frequency
19
1
0
0
20

Percentage (%)
95
5
0
0
100

Page 33 of 65

From the above data, it can be observed that 95% (n=19) of the respondents have
0-5 years work experience in the hospital& 5% (n=1) of the respondents have 510 years of work experience. Hence, it can be said that the majority of
respondents have 0-5 years of work experience.

Table No.4 Showing Gender distribution of respondents.

Gender
Male
Female
Total

Frequency
12
8
20

Percentage (%)
60
40
100

Page 34 of 65

From the above data, it can be observed that 60% (n=12) of the respondents are
Male & 40% (n=8) of the respondents are Females. Hence, it can be said that the
majority of respondents are Males.

The following tables show the respondents views on the various questions:

Table Number. 5 Showing Respondents view on executive appraisal

system in this organization provides an opportunity for each appraisee to
have a clear understanding of what is expected from him by his reporting
officer during the performance year.
Page 35 of 65

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
1
17
0
0
2
20

Percentage (%)
5
85
0
0
10
100

Table No.6 Showing Respondents view on appraisal system helps each

appraise and appraiser to have a clear joint understanding of each
appraises job.

Response
Strongly Agree

Frequency
1

Percentage (%)
5
Page 36 of 65

Agree
Strongly Disagree
Disagree
Neutral
Total

16
0
0
3
20

80
0
0
15
100

Table No.7 Showing Respondents view on appraisal system that it

provides an opportunity for each appraisee to communicate the support he
needs from his superiors to perform his job well.
Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
1
13
1
2
3
20

Percentage (%)
5
65
5
10
15
100
Page 37 of 65

 Table No.8 Showing Respondents view on appraisal system provides an

opportunity for self-review and reflection.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
2
12
0
0
6
20

Percentage (%)
10
60
0
0
30
100

Page 38 of 65

 Table No.9 Showing Respondents view on appraisal system encourages

the appraiser and appraisee to have a common understanding of the factors
affecting the performance of the appraisees.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
2
14
0
0
4
20

Percentage (%)
2
70
0
0
20
100

Page 39 of 65

 Table No.10 Showing Respondents view on appraisal system provides an

opportunity for a discussion between the appraiser and appraisees on the
expectations, achievements, failures, constraints and improvements
required.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
2
10
0
0
8
20

Percentage (%)
10
50
0
0
40
100

Page 40 of 65

 Table No.11 Showing Respondents view on appraisal system has scope

for reflection and assessment of each appraises on the personality factors
and attributes required for the job of the appraisee.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
2
12
0
0
6
20

Percentage (%)
10
60
0
0
30
100

Page 41 of 65

 Table No.12 Showing Respondents view on appraisal system encourages

open communication between each appraiser-appraise pair through
performance review discussions.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
1
14
0
1
4
20

Percentage (%)
5
70
0
5
20
100

Page 42 of 65

 Table No.13 Showing Respondents view on appraisal system aims at

strengthening appraiser - appraisees relationship through mutuality and
trust.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
0
18
0
0
2
20

Percentage (%)
0
90
0
0
10
100

Page 43 of 65

 Table No.14 Showing Respondents view on appraisal system helps

interested appraises to gain more insight into their strengths and weakness.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
4
12
0
1
3
20

Percentage (%)
20
60
0
5
15
100

Page 44 of 65

 Table No.15 Showing Respondents view on appraisal system has scope

for helping each employee to discover his potential.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
1
13
0
0
6
20

Percentage (%)
5
65
0
0
30
100

Page 45 of 65

 Table No.16 Showing Respondents view on objectives of the appraisal

system are clear to all employees.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
1
7
0
1
11
20

Percentage (%)
5
35
0
5
55
100

Page 46 of 65

 Table No.17 Showing Respondents view on orientation programs

conducted to explain the objectives and other details of the appraisal
system.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
0
18
0
0
2
20

Percentage (%)
0
90
0
0
10
100

Page 47 of 65

 Table No.18 Showing Respondents view on whether managers take

performance appraisal seriously.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
3
15
0
0
2
20

Percentage (%)
15
75
0
0
10
100

Page 48 of 65

 Table No.19 Showing Respondents view on performance review

discussions are conducted with high quality and care.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
1
12
0
0
7
20

Percentage (%)
5
60
0
0
35
100

Page 49 of 65

 Table No.20 Showing Respondent view on efforts is made by appraisers

to be objective in their appraisals.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
2
14
0
0
4
20

Percentage (%)
10
70
0
0
20
100

Page 50 of 65

 Table No.21 Showing Respondent view on HR department follows up

seriously the training needs identified during appraisals.

Response
Strongly Agree
Agree
Strongly Disagree

Frequency
1
15
0

Percentage (%)
5
75
0
Page 51 of 65

Disagree
Neutral
Total

0
4
20

0
20
100

Table No.22 Showing Respondents a view on HR department actively

reviews each appraisal and discusses it with managers.

Response
Strongly Agree
Agree

Frequency
0
16

Percentage (%)
0
80
Page 52 of 65

Strongly Disagree
Disagree
Neutral
Total

0
0
4
20

0
0
20
100

Table No.23 Showing Respondents views on HR department provides

adequate feedback to managers on their rating behavior and the decisions
taken on their ratings.
Page 53 of 65

Response
Strongly Agree
Agree
Strongly Disagree
Disagree
Neutral
Total

Frequency
0
14
0
0
6
20

Percentage (%)
0
70
0
0
30
100

Table No.24 Showing Respondents view on appraisal facilitate growth

and learning in this organization both for appraiser and appraises.

Response
Strongly Agree
Agree
Strongly Disagree
Disagree

Frequency
11
7
0
0

Percentage (%)
55
35
0
0
Page 54 of 65

Neutral
Total

2
20

15
100

Table No. 25: Showing the respondents view whether the appraisees are
satisfied with the performance appraisel in the organisation.

Response

Frequency

Percentage (%)

Strongly Agree
Agree
Strongly Disagree
Disagree

7
11
0
0

35
55
0
0
Page 55 of 65

Neutral

10

Total

20

100

4. FINDINGS, CONCLUSIONS & SUGGESTIONS:

FINDINGS:
1) Most of the Respondents i.e., 65% are possessing Masters followed by 35%
possessing Graduates Degree.
2) Most of the Respondents i.e., 90% are working as Executive followed by
10% working as Sr. Executive.

Page 56 of 65

3) Majority of the Respondents i.e., 95% are having Experience of 0-5 years
followed by 5% having Experience of 5-10 years.
4) Majority of the Respondents i.e., 60% are Male employees followed by
40% who are Female employees.
5) Most of the Respondents i.e., 85% Agree followed by 10% Neutral to the
Appraisal System that it gives opportunity for each appraisee to have a
clear understanding of the expectation of reporting officer.
6) Most of the Respondents i.e., 80% Agree followed by 15% Neutral to
appraisal system that it helps each appraisee and appraiser to have a clear
understanding of the job.
7) Most of the Respondents i.e., 65% Agree followed by 15% Neutral to
appraisal system that it provides an opportunity for each appraisee to
communicate the support he needs from his superiors to perform his job
well.
8) Most of the Respondents i.e., 60% Agree followed by 30% Neutral to
appraisal system that it provides an opportunity for self-review and
reflection.
9) Most of the Respondents i.e., 70% Agree followed by 20% Neutral to
appraisal system that it encourages a common understanding of the factors
affecting the performance of the appraisee.

Page 57 of 65

10) Most of the Respondents i.e., 50% Agree, followed by 40% Neutral to
appraisal system that it provides an opportunity for a discussion on the
expectations, achievements, failures, constraints and improvements
required.
11) Most of the Respondents i.e., 60% Agree, followed by 30% Neutral to that
it has scope for reflection and assessment of appraises on the personality
factors and attributes required for the job.
12) Most of the Respondents i.e., 70% Agree followed by 20% Neutral to
appraisal system that it encourages open communication between each
appraiser-appraisee pair through performance review discussions.
13) Most of the Respondents i.e., 90% Agree, followed by 10% Neutral to
appraisal system strengthens appraiser - appraisee relationship through
mutuality and trust.
14) Most of the Respondents i.e., 60% Agree, followed by 20% Strongly Agree
to appraisal system that it helps interested appraises to understand their
strengths and weakness.
15) Most of the respondents i.e., 65% Agree followed by 30% Neutral to
appraisal system that it helps each employee to discover his potential.
16) Most of the respondents i.e., 55% Neutral, followed by 35% Agree to
objectives of the appraisal system are clear to all employees.

Page 58 of 65

17) Most of the respondents i.e., 90% Agree, followed by 10% Neutral to
orientation programs are conducted to explain the objectives and other
details of the appraisal system.
18) Most of the respondent i.e., 75% Agree, followed by 15% Strongly Agree
to managers take performance appraisal seriously.
19) Most of the respondents i.e., 60% Agree, followed by 35% Neutral to
performance review discussions are conducted with high quality and care.
20) Most of the respondent i.e., 70% Agree, followed by 20% Neutral to the
efforts are made by appraisers to be objective in their appraisals.
21) Most of the respondent i.e., 75% Agree, followed by 20% Neutral that
during appraisals the training needs identified are taken seriously by HR
department.
22) Most of the respondents i.e., 80% Agree, followed by 20% Neutral to HR
department actively reviews each appraisal and discuss with managers.
23) Most of the respondents i.e., 70% Agree, followed by 30% Neutral to HR
department provides adequate feedback to managers on their rating
behavior and the decisions taken on their ratings.
24) Most of the respondents i.e., 55% Strongly Agree, followed by 35% Agree
to appraisal facilitate growth and learning in this organization both for
appraiser and appraises.

Page 59 of 65

25) Most of the respondents i.e., 35% Strongly Agree, followed by 55% Agree
that they are satisfied with the performance appraisel prevailing in the
organisation.
CONCLUSIONS:
From the findings, it can be concluded that the majority of the respondents agree
to appraisal system of hospital that it creates an opportunity to have a clear
understanding of what is expected from him by his reporting officer during the
performance year and that each appraiser & appraisee have a clear joint
understanding of the job.
The appraisal system encourages open communication between each appraiserappraisee through performance review discussion and provides an opportunity for
self review and reflection.
It aims at strengthening the relationship between the appraiser and appraisee
through trust and mutuality & it also has the scope for helping each employee to
discover his potential.
Managers do take performance appraisal seriously. There should be a discussion
about the performance of employee in terms of reviewing, reflecting and
analyzing the factors of their performance.
HR Department actively reviews each appraisal and discusses it with superior or
manager, they give feedback to the managers on rating behavior and their
discussion is held on rating which directly facilitates growth and learning in this
hospital both for the appraiser and appraisee.
Page 60 of 65

In short when it comes to the overall review, majority of the employees are
satisfied with performance appraisal system prevailing in the organization.
SUGGESTIONS
It can be suggested that the appraisal system should provide an
opportunity for a discussion between the appraiser and the appraisee so
that the appraisee would know about the expectations, achievements,
failures, constraints and improvements required.
It can be suggested that the appraisal systems objectives must be made
clear to all the employees.
The performance review discussions can be conducted with high quality
and care.
Efforts can be made by the appraisers to be objective in their appraisals.

5. ANNEXURE
5.1.
-

BIBLIOGRAPHY:

Books :

Ashwathappa, K. (2010), Human Resource Management, 6th

edition, Tata McGraw Hill publishing company.

Page 61 of 65

Gary Dessler and Biju Varkkey, Human Resource Management

published by Dorling Kindersley (India) Pvt. Ltd., Licensees of
Pearson Education in South Asia in 2009.

Donald Cooper & Pamela Schindler, Business Research Methods,

9th edition, Tata McGraw Hill publishing company.

Website :
www.answers.com

www.humanresources.about.com

www.citehr.com

www.performance-appraisal.com

www.scribd.com

5.2.

APPENDIX:
Questionnaire

Assessment of Performance Appraisal and its Implementation at

Administration Level
Employee Information:
Page 62 of 65

I.

II.

III.

IV.

Educational Qualification :

Diploma

Under-Graduate

Graduate

Master

Other

Designation :

Clerk

Executive

Senior Executive

Manager

Other

Experience :

0 5 years

5 10 years

10 15 years

15 years & above

Gender :

Male

Female

Rating scales of Performance Appraisal and Questions :

SA: Strongly Agree; A: Agree; D: Disagree; SD: Strongly Disagree; N: Neutral

Page 63 of 65

SR.NO
1.
2.
3.
4.
5.

QUESTIONS
The appraisal system in this hospital provides an opportunity for
each appraisee to have a clear understanding of what is expected
from him/her by his reporting officer during the performance year.
The appraisal system helps each appraisee and appraiser to have a
clear joint understanding of each appraises job.
The appraisal system provides an opportunity for each appraisee to
communicate the support he needs from his superiors to perform his
job well.
The appraisal system provides an opportunity for self-review and
reflection.
The appraisal system encourages the appraiser and appraisee to
have a common understanding of the factors affecting the
performance of the appraisee.

6.

The appraisal system provides an opportunity for a discussion

between the appraiser and appraisee on the expectations,
achievements, failures, constraints and improvements required.

7.

The appraisal system has scope for reflection and assessment of

each appraises on the personality factors and attributes required for
the job of the appraisee.
The appraisal system encourages open communication between
each appraiser-appraisee pair through performance review
discussions.
The appraisal system aims at strengthening appraiser - appraisee
relationship through mutuality and trust.

8.
9.
10.
11.
12.
13.
14.

SA

The appraisal system helps interested appraises to gain more insight

into their strengths and weakness.
The appraisal system has scope for helping each employee to
discover his potential.
The objectives of the appraisal system are clear to all employees.
Orientation programs are conducted to explain the objectives and
other details of the appraisal system.
Managers take performance appraisal seriously.

15.

Performance review discussions are conducted with high quality

and care.

16.

Efforts are made by appraisers to be objective in their appraisals.

17.

The HR department follows up seriously the training needs

identified during appraisals.

18.

The HR department actively reviews each appraisal and discusses it

Page 64 of 65

SD

with managers.
19.

The HR department provides adequate feedback to managers on

their rating behavior and the decisions taken on their ratings.

20.

Appraisal facilitates growth and learning in this organization both

for appraiser and appraisee.

21.

Are you satisfied with the performance appraisal system prevailing

in the organization

THANK YOU

Page 65 of 65