8 c -vii data - service industryshodhganga.inflibnet.ac.in/bitstream/10603/4274/15/15_chapter...

CHAPTER- VII

DATA PRESENTATION AND ANALYSES: PERFORMANCE APPRAISAL SYSTEM IN

SERVICE INDUSTRY

7.1 INTRODUCTION 7.2 ORGANIZATION STRUCTURE 7.3 DEPARTMENTS IN HOTEL 7.4 INCOME TRENT IN HOTEL INDUSTRY 7.5 JOB AND WORK DESIGN 7.6 SOURCES OF RECRUITMENT IN HOTEL INDUSTRY 7.7 TRAINING AND DEVELOPMENT IN HOTEL INDUSTRY 7.8 INFORMATION AT A GLANCE 7.9 THE PERFORMANCE APPRAISAL PROCESS IN SERVICE INDUSTRY 7.10 MODEL USED FOR PERFORMANCE APPRAISAL IN SERVICE INDUSTRY 7.11 UESTIONNAIRE FOR SAMPLE SERVICE INDUSTRY 7.12 FIRST SUGGESTIVE MODEL 7.13 SECOND SUGGESTIVE MODEL 7.14 DIFFERENT SCALE / WEIGHT FOR DIFFERENT VARIABLES 7.15 DETERMINATION OF WEIGHT / MARKS ON THE BASIS OF IMPORTANCE OF VARIOUS EMPLOYEE PERFORMANCE MEASUREMENT FACTORS AT THREE LEVELS OF MANAGEMENT - Pro forma

7.16 DETERMINATION OF WEIGHT / MARKS ON THE BASIS OF IMPORTANCE OF VARIOUS EMPLOYEE PERFORMANCE MEASUREMENT FACTORS AT THREE LEVELS OF MANAGEMENT: Bold portion is for service

industry…

7.17 ALLOCATION OF MEASUREMENT VARIABLES ON THE BASIS OF DETERMINED WEIGHT FOR THREE DIFFERENT SAMPLE ORGANIZATIONS: Bold portion

is for service industry…

7.18 SAMPLE SELECTION FOR PROVIDING WEIGHT FOR SET VARIABLES 7.19 CONCLUSION

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7. DATA PRESENTATION AND ANALYSES: PERFORMANCE

APPRAISAL SYSTEM IN SERVICE INDUSTRY

7. 1 INTRODUCTION: This chapter covers the performance appraisal system in Service Industry in sample area. The V. H. APARADH HOTELS PRIVATE LIMITED, KOLHAPUR is the sample unit with Rs. 6 crores turnover. Service industry is the backbone of all other industries and one of the service industries is Hotel Industry. Hotel industry is a peculiar type of industry where services are important and to provide services to customers the Human Resource is very important. To provide services in Hotel industry, properly trained manpower is required and especially their performance. Some one says that, “The guest is always right” and to satisfy the respected guest, good and motivated manpower is required. To know the satisfaction level of the customers, performance of employees is very important in service industry and especially in Hotel Industry. At present Taj. Oberoi, ITC, ITDC, MTDC, Ashok, Air India, Clarks, etc groups are working in hotel industry and they are using performance appraisal systems in their hotels for manpower evaluation. Chairman and Managing director (CMD), MD, Board Members, Chef, Waiter, Front office Manager, etc. are the personnels working in this industry. In this industry taking order, preparation of food, menu and dish composition, food serving, bar, pub, coffee shop, etc. work is carried out by the employees. Performance appraisal in hotel industry means the testing of the validity of individual goals in terms of organizational goals. Performance appraisal system helps for promoting efficiency, effectiveness, job satisfaction and better manpower utilization. In hotel industry performance appraisal is very much required for assessing performance of hotel employees and to inform the assessed employees about their performance for improvement. It will help for training needs determination. The appraisal will help to measure the employees knowledge, skills, initiative ability, ability to work with others, target achievement etc. 7. 2 ORGANIZATION STRUCTURE:

Owner / MD / CMD ↓

Partners / Directors ↓

Supervisor ↓

Manager ↓

Workers (Sr.) ↓

Workers (New)

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OR

GM ↓

HOD’s ↓

Supervisors ↓

Line Workers

7. 3 DEPARTMENTS IN HOTEL: Following are the departments found in the hotel industry.

1. Front Office Department 2. Food and Beverage Department 3. Housekeeping Department 4. Account and Audit Department 5. Purchase and Stores Department 6. Maintenance and Engineering Department 7. Personnel/ HR Department 8. Security Department

7.4 INCOME TREND IN HOTEL INDUSTRY:

A= 2.5% Income from Telephone B= 5.7% Income from Other Departments C= 1.5% Income from Rent D= 5.6% Income from Beverages

B A C F D E

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E= 21% Income from Food F= 63.7% Income from Rooms (Reference: USA Edition 1994, PKF consulting, San Francisco, California.) 7.5 JOB AND WORK DESIGN: In Hotel Industry; the job and work is designed before the Human resources are hired. It is observed that an employee can perform better when he knows clearly, what is expected from him. To improve the performance of employees the efficient induction training is required in the Hotel Industry. At the time of entry of an employee, job, job design, job description, job specification etc. information should be provided to employees for better performance. It is studied that the written information about duties and responsibilities should be provided to the new recruits along with their appointment letter or transfer letter. 7.6 SOURCES OF RECRUITMENT IN HOTEL INDUSTRY:

1. Direct Appointment 2. Reference from Friends and Relatives of Existing employees 3. Advertisement 4. Re-employment 5. Campus interview

7.7 TRAINING AND DEVELOPMENT IN HOTEL INDUSTRY: - Hotel Industry is the industry run by the people for the people and of the people. It means that this industry is run by the employees and for fulfillment of customers’ needs. It demands good training to employees for better services to the customers. In training skills, knowledge, and positive attitude training is required. It is observed by the researcher that in selected sample hotel, on the job training is provided as per requirement. 7.8 INFORMATION AT A GLANCE: It is observed by the researcher in the sample hotel unit that there is only supervisor appraisal method used but its analyses and corrective measures are not taken in the sample unit. It means that there is no powerful, scientific and effective performance appraisal system followed by the sample unit. The sample unit has its own system such as the CMD / MD keeping watch over the activities of the employees and at the end of the year the performance appraisal is undertaken for promotion and increment in salary of employees and it is based on the CMD/ MD’s experience.

SN Questions to be Discussed

Service (Hotel Victor)

1 Name of the Company V. H. Aparadh Hotels Pvt. Ltd., Kolhapur. 2 Educational Qualification of

CMD B. Sc. (Agree)

3 Experience • 15 Years in Hotel Industry.

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• 30 Years in sugar Industry. 4 Registration Date of

Company The year :1997

5 Nature of Organization: Private Limited Company. 6 Introduction –

• It is a service industry. • Hotel is in Historical City – Kolhapur. • Deccan Odyssey passengers are

coming to Kolhapur. • Corporate sector executives are

staying in this hotel. • To do different activity, this hotel has

been started. 7 Capital Investment Rs. • 5 cr. At the beginning.

• 25 cr. At present for expansion. 8 Turnover per year Rs. • 6 cr. 9 Name of CMD and GM

• Shri Vikramsinh H. Aparadh – CMD • Mr. Ajit Chavan – GM

10 Name of HR Manager • Mr. Prashant Powar 11 Total Number of Employees • 170 12 Employees : Top

Middle Lower

012 020 138

13 Selection Procedure Interview is conducted for selection purpose. 14 Training Procedure No Training programmes conducted. 15 Rater intimating to

subordinate regarding performance appraisal

1. Not any specific system. 2. As per need the Rater intimating

Subordinate. 16 Rater and Ratee’s

perception about performance appraisal

• Not any specific. • All the employees are interested in

scientific performance appraisal system.

17 Existing PA System. • Not any standard performance appraisal system.

• Only traditional supervisor / top authority remark is considered for PA.

18 Role of Rater and Ratee • Passive Role. 19 Difference of opinion about

PA • Difference of opinion is found while

collecting information. 20 System adopted for giving

PA feed back to Employees.

• Not any standard written system is found.

• Oral system is used for giving feed back to employees about their performance.

21 Method of Performance improvement of Employees.

• Not any specific method. • Target is given to the activity centers. • Motivation by way of salary and perks.

22 Analysis of Performance Appraisal forms.

• No forms. • So, no question of performance

appraisal forms analysis.

163

23 SWOT of Existing PAS

S = No W = Lot off weaknesses O = No T = Employees turnover is increasing.

24 Existing PAS format from Three Levels

No any PAS format at present.

25 PA system using by the company.

Traditional system, not any scientific system is used.

26 Nature of activity. • Restaurant • Pub • Hotel Rooms • Food • Coffee House • Gymnasium • Beauty parlor • Swimming pool • Bar

27 Organizational Chart

Members ↓

Board of Directors ↓

CMD ↓

GM ↓

Resident Manager ↓

HOD’s ↓

Supervisors ↓

Workers 28 Board of Directors

• Mr. V. H. Aparadh • Mrs. Suvarnadevi V. Aparadh • Mrs. Rekhadevi V. Aparadh • Mr. Sangramsingh V. Aparadh • Mr. Rangit V. Aparadh • Mrs. Swati Aparadh – Bhusawalia

29 Historical background

Basically the CMD is a sugar technologist, having good agriculture background. He entered from sugar to hotel industry. He started one more hotel named as ‘Green Field’ near Kolhapur.

30 Geographical Factors and Area of Marketing

• Maharashtra customers are coming. • Karnataka customers are coming. • Goa customers are coming. • Foreign customers are coming. • Deccan Odyssey customers are

164

coming. • Especially Company Executives are

coming. 31 Infrastructural Factors • 50 rooms

• 35000 sq. ft. constructed area.

32 Discussion on Analyzed Tables (First Questionnaire) (FIRST STEP)

Suggestions are given by the hotel authority for performance appraisal system.

33 Testing of PAS Model at Three Levels (360 Degree) (SECOND STEP)

Yes tested

34 Correction of PA Model at Three Levels (360 Degree)

• The researcher has made necessary corrections in the model

• Above Model Correction with Discussion

35 Modified Model Testing at Three Levels (360 Degree) (THIRD STEP)

• The researcher has again tested the modified model

36 Correction of Modified Model at Three Levels (360 Degree)

• The researcher has made necessary corrections in the modified model

• Above Model Correction with Discussion.

37 Modified Model Testing at Three Levels with computer programming support (360 Degree)

• The researcher has tested by manual and not by computerized programmed support. But in due course it will be tested with the help of computer support.

38 Submission of Final Computerized PAS Model

• The researcher will submit to the respondent companies in due course of time.

39 Photos • The researcher has collected

necessary photo graphs for reference.

40 Conclusion

Hotel business is a service sector

business and in service industry manpower

performance is very much crucial. The

sample unit is providing average amount of

facilities to the employees. But there is no

professional approach regarding

performance appraisal in the sample unit.

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41. Language known by the majority of the employees in the organization.

SN Language Known

Service Industry (Hotel Victor)

Read Write Speak

1 Marathi Yes - All Yes – All Yes – All

2 Hindi Yes - All Yes – All Yes – All

3 English Yes – Top Management only

Yes – Top Management only

Yes – Top & Middle Management only

4 Kannada No No No 5 Any Other No No No

42. No of employees working: Service Industry (Hotel Victor) S.N. Particulars /

Departments Front Office

Kitchen Personnel/ HR Dept.

House Keeping

Account and Audit

Purchase and Stores

Maintenance Security

1 Skilled 19 15 1 5 5 2 10 10

2 Semi Skilled 22 13 3 15 5 5 7 -

3 Unskilled - 12 - 14 - 3 4 -

4 Total 41 40 4 34 10 10 21 10

7.9 THE PERFORMANCE APPRAISAL PROCESS IN SERVICE INDUSTRY:

a. Step 1: Establishment of performance standards as per our service industry. For this one should be derived from company’s strategic goals and job analysis and job description.

b. Step 2: Communication of performance standards to employee who are working in the service industry.

c. Step 3: Measure performance by using information from, personal observation, statistical reports, oral reports, written reports, comparison of actual performance with standards in service industry.

d. Step 4: Discuss appraisal system with employee and Identification of corrective action where necessary in service industry.

The service industry can use three approaches performance appraisal Methods like Absolute standards, Relative standards, and Objectives standard.

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1. Absolute Standards means employee’s performance is measured against established standards. Evaluation is independent of any other employee. Absolute Standards includes -

Essay Appraisal: Appraiser writes narrative describing employee performance & suggestions.

Critical Incident Appraisal: Based on key behaviour incident illustrating effective or ineffective job performance.

Checklist Appraisal: Appraiser checks off behaviours that apply to the employee.

Adjective Rating Scale Appraisal: Appraiser rates employee on a number of job-related factors.

Forced-Choice Appraisal: Appraisers choose from sets of statements which appear to be equally favourable, the statement which best describes the employee.

Behaviourally Anchored Rating Scales (BARS): Appraiser rates employee on factors, which are defined by behavioural descriptions illustrating various dimensions along each rating scale.

2. Relative standards method means employees are evaluated by comparing their performance to the performance of other employees. This method includes -

Group Order Ranking: Employees are placed in a classification reflecting their relative performance, such as “top one-fifth.”

Individual Ranking: Employees are ranked from highest to lowest. Paired Comparison: Each individual is compared with one another. Final ranking is based on number of times the individual is preferred member in a pair.

3. Service standards method means ‘Achieved Outcome Method’ i.e. Management by Objectives (MBO) should be used for performance appraisal.

This method includes mutual objective setting and evaluation based on the attainment of the specific objectives

Common elements in an MBO program are: goal specification, participative decision making, an explicit time period, performance feedback etc.

Effectively increases employee performance and organizational productivity in service industry.

Performance management in service industry is assessment of employee performance, discussing its results with employees, and suggesting and working out way for improvement in performance in service industry. Management by objectives (MBO) is very much necessary in the service industry because service industry rendering tailor made services to the clients. MBO works in an environment which is open and provides platform for discussion between superior, subordinate and employees on equal footing. Training and Development in service industry employees is required. In service industries many cases, such training is superficial without really addressing the issues in the minds of employees. The depth and breadth of training can vary from organization to organization. It is found by the researcher that in the sample organization, training about performance appraisal has not been provided. Industrial Relations are very important in the service industry. This industry has been continuous in the contact of clients and the employees

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should offer excellent services to the clients. Industrial relations depend on the history, legal framework, power relations, and ideologies of management and trade unions in each country. Therefore, service industries have to adopt specific industrial relations strategies to suit local conditions. Therefore, they have to strike a balance between industrial relations strategies to suit local conditions and standardization.

7.10 MODEL USED FOR PERFORMANCE APPRAISAL IN SERVICE INDUSTRY:

Format: 1 - (Source Internet)

PERFORMANCE APPRAISAL

For : Staff Name of Appraisee: ________________________ Designation: ______________ Department: ______________ Service Start Date: _____________________ Appraisal Period From: ___________ to ___________ Purpose of Review: Confirmation Annual Review

Name and Designation of Appraiser:________________________________ Nature of Relationship: _________________________________________ Rating: Performance for each category is graded into the following -

Outstanding: 5 points Performance is exceptional and far exceeds

expectations. Consistently excellent standards.

Very Good: 4 points Performance is consistent and exceeds expectations.

Good: 3 points Performance is consistent. Clearly meets job

requirements.

Fair: 2 points Performance is satisfactory. Meets minimum

requirements of the job.

Needs Improvement: 1 point Performance is inconsistent.

Meets requirements of the job occasionally.

Unsatisfactory: 0 point Performance does not meet minimum

requirements of the job.

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PART I: CUSTOMERS Outstanding Very

Good

Good Fair Needs Improvement

Unsatisfactory

Not Applicable

Cus

tom

er

Focu

s

1. Follows instructions to the satisfaction of superiors

5

4 3 2 1 0 NA

2. Aims to develop good relations with internal and external customers

5

4 3 2 1

0

NA

PART II: EMPLOYEES

Team

wor

k 3. Able and willing to work effectively with others in a team

5

4 3 2 1

0

NA

Com

mun

icat

ion

Ski

lls

4. Communicates effectively to share information and/or skills with colleagues

5

4 3 2 1

0

NA

PART III: SOCIETY

Cos

t C

onsc

ious

ness

5. Uses practices that save company resources and minimize wastage

5

4 3 2 1

0

NA

PART IV: PRODUCTS AND SERVICES

Job

Kno

wle

dge/

Te

chni

cal S

kills

6. Possesses knowledge of work procedures and requirements of job

5

4 3 2 1

0

NA

7. Shows technical competence/skill in area of specialization

5

4 3 2 1

0

NA

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Wor

k A

ttitu

de

8. Displays commitment to work

5

4

3

2

1

0

NA

9. Plans and organizes work effectively

5

4 3 2 1 0 NA

10. Is proactive and displays initiative

5

4 3 2 1 0 NA

11. Has a sense of urgency in acting on work matters

5

4 3 2 1

0

NA

12. Displays a willingness to learn

5

4 3 2 1 0 NA

Qua

lity

of W

ork 13. Is accurate, thorough

and careful with work performed

5

4 3 2 1

0

NA

Qua

ntity

of

Wor

k 14. Is able to handle a reasonable volume of work

5

4 3 2 1

0

NA

Saf

ety 15. Ensures careful work

habits that comply with safety requirements

5

4 3 2 1

0

NA

Pro

cess

Im

prov

emen

t 16. Seeks to continually improve processes and work methods

5

4 3 2 1 0

NA

PART VI: MANAGEMENT ( to be completed for staff with supervisory duties only)

Pro

blem

S

olvi

ng

17. Helps resolve staff problems on work-related matters

5

4 3 2 1

0

NA

18. Handles problem situations effectively

5

4 3 2 1

0

NA

Sup

ervi

sion

/ M

otiv

atio

n of

S

taff

19. Is a positive role model for other staff

5

4 3 2 1 0 NA

20. Effectively supervises work of subordinates

5

4 3 2 1

0

NA

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PART VII FAIRNESS

Atte

ndan

ce/

Pun

ctua

li 21. Has good attendance

5 4 3 2 1 0

NA

22. Is punctual 5 4 3 2 1 0

NA

Dep

enda

bilit

y/

Res

pons

ibilit

y

23. Is able to work with limited supervision

5

4

3

2

1

0

NA

24. Is trustworthy, responsible and reliable

5

4

3

2

1

0

NA

25. Is adaptable and willing to accept new responsibilities

5 4 3 2 1 0

NA

Evaluation:

Particulars Formula Score Total Score

Total Scores X 100 % (Number of Questions Answered X 5)

Grading:

90%- 100%

Outstanding: Performance is exceptional and far exceeds expectations. Consistently demonstrates excellent standards in all job requirements.

76%-89%

Very Good: Performance is consistent, and exceeds expectations in all situations.

60%-75%

Good: Performance is consistent. Clearly meets essential requirements of job.

45%-59%

Fair: Performance is satisfactory. Meets requirements of the job.

31%-44%

Needs Improvement: Performance is inconsistent. Meets requirements of the job occasionally. Supervision and training is required for most problem areas.

0%-30%

Unsatisfactory: Performance does not meet the minimum requirements of the job.

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Growth and Development:

(i) List the Appraisee’s strengths ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ (ii) List the areas for improvement __________________________________________________________________________________________________________________________________________________________________________________________ ______________________________________________________________ (iii) What specific plans of action, including training, will be taken to

help the appraisee in their current job or for possible advancement in the company?

__________________________________________________________________________________________________________________________________________________________________________________________ ______________________________________________________________ Achievement:

(i) Describe the appraisee’s areas of additional responsibilities and/or other work-related achievements

__________________________________________________________________________________________________________________________________________________________________________________________ ______________________________________________________________ Recommendations: � Termination � Consider for merit increment � Extension of probation � Transfer to other types of work � Suitable for confirmation � Ready for promotion (w.e.f. _______________) � Has potential for promotion, But not ready now � Normal increment of Rs.________� Others: _________________ � No salary increment Other Remarks: ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ Signature of Appraiser Date

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Review by Countersigning Authority Comments by countersigning authority (if any): ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ Name of countersigning Designation of Signature of authority countersigning authority Date: Human Resource Department’s Use- Present Salary: ________ Date of Last Increment: _____________ New Salary: _____________ Effective Date: ___________ Comments: ______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ Signature of Managing Director Date

Format:2 (Source Bank of India)

Part – I Personal Details and Process Completion Record:

Personal Details –

Zone –

Branch / Department –

Name –

Category – GEN / SC / ST / OBC (Strike out whichever is not applicable)

Name of the Reporting Authority -

Designation –

Review Year –

Personnel No. –

Scale –

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Reporting Since –

Process Completion Record:

Stage

Signature with Date

Appraisee Reporting Authority

Reviewing Authority

Goal Setting Not Required

Mid-Year Review Not Required

Final Appraisal

Awards Received / Special Assignments / Achievement During the review year: ………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………… Part – II : Key Result Areas (KRAs) and Grading A . Financial KRAs / Business Data (To be filled as per KRAs and guidelines given in the APR Guidebook) Key Result Area

Mid – year review Rs. In Lakhs

Annual review Rs. In Lakhs

Evaluation by Reporting Authority on specific contribution of officer

Budget Actual Budget Actual Maximum Marks

Marks Scored

Average outstanding aggregate deposits

Increase in CASA balances

Average outstanding aggregate advances

NPA reduction

Operating Profit

Cross-sell KRAs (for customer facing officers)

Total Marks 100

174

Name of the Reporting Authority: ………………………Signature:…………

Designation:…………………………………………………Date: ……………….

B. Non-Financial KRA (Customers & Operations) (To be filled as per KRAs and guidelines given in the APR Guidebook)

Review Year:

Personnel Year: Key Result Area

Mid –year review Rs. In Lakhs

Annual review Rs. In Lakhs

Evaluation by Reporting Authority on specific contribution of officer

Budget * Actual * Budget * Actual * Maximum Marks

Marks Scored

Upgrading of audit rating

Timely submission of all reporting and Compliance Statements to ZO/HO/RBI

Timely receiving of Accounts falling under delegation of Branch /ZO/HO

Total Marks 100 * To be filled in case of numerical budget only

C. Managerial Aspects / Competencies (Maximum marks for each of the competencies to be filled as per the APR Guidebook) Competencies

Evaluation by Reporting Authority based on observed behaviour

Maximum Marks Marks Scored Job Knowledge Customer Service Communication Commitment Decision Making Conceptual Skills Leadership Total Marks 100

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D. Grading: (To be calculated as per example given in the guidelines in APR Guidebook)

KRA Group Weight age Marks allocated by Reporting Authority

Marks allocated by Receiving Authority

Grade allotted

Marks out of 100

Weighted Marks

Marks out of 100

Weighted Marks

A. Financial B. Customers & Operations

C. Competencies 30%

Total 100%

Comments of reviewing authority for major deviation (+ / - 10%):- ……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………… E. Comments of Reporting Authority / Reviewing Authority:

Comments of Reporting Authority Comments of Reviewing Authority

Signature of Reporting Authority:………….Signature of Reviewing Authority: …….

Name: ………………………………………..Name: ……………………………………….

Designation: ……………………………….. Designation: ……………………………….

Date: ………………………………………….Date: ………………………………………..

Part – III: Feedback Review Year:

Personnel No.:

MID – YEAR FEEDBACK. Date of Discussion: ……….

Areas of strength identified

Areas of development and reasons for the

same

Further action recommended by

Reporting Authority

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FINAL FEEDBACK. Date of Discussion: ……….

Areas of strength identified

Areas of development and reasons for the

same

Further action recommended by

Reporting Authority

Assessment of Reporting Authority:

Area of Specialization Reasons thereof Training Needs Reasons thereof

i) Integrity: High / Doubtful

ii) Attitude towards SCs / Sts and Weaker sections of the Society:

(applicable in case of officers / dealing with development and protection of

SCs / STs / weaker section of society):

…………………………………………………………………………………………

…………………………………………………………………………………………

…………………………………………………………………………………………

iii) Mention of outstanding work done in Rajbhasha Hindi:

…………………………………………………………………………………………

…………………………………………………………………………………………

Name:……………………………………………………………………………….

Designation: ……………………………………………………………………….

Date: …………………………………………………………………………………

Signature of Reporting Authority:………………………………………………

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Considering above mentioned formats, analysis, systems, ranking and references, the researcher has used the following questionnaire for data collection of which, the data has been useful for preparation of performance appraisal models for service rendering organization at three different levels of management. The researcher has used different variables for data collection and preparation of practical model of human resource performance appraisal. The variables are used like Name, Address, Educational Qualification, Experience, Happiness about present Performance Appraisal System, job rotation, promotion policies, opportunity available for self-development, 360 degree assessment, peer evaluation, perception of Raters, perception of Ratees, etc. variables has collected and on the basis of these variables and discussion held with HR authorities time to time, the researcher has designed the questionnaire for preparation of model performance appraisal format service industry. In the discussion it is found that there is no any standard system for performance appraisal of employees in the selected hotel industry (service Industry). There is traditional approach, they used for employees performance appraisal. The questionnaire is as follows: 7.11 QUESTIONNAIRE FOR SAMPLE SERVICE INDUSTRY:

Research Topic: “Performance Appraisal System for Employees”. (Service Industry)

Please tick ( √ ) mark for multiple choice questions.

1. Name: 2. Address: 3. Educational Qualification: 4. Experience: 5. Are you happy about present Performance Appraisal System?

(a) Very True (b) True (c) Partly True (d) Not True 6. Are competencies required for performance improvement?

(a) Very True (b) True (c) Partly True (d) Not True 7. Are you trying to improve your performance?

(a) Very True (b) True (c) Partly True (d) Not True 8. Is job rotation practically followed in your Hotel?

(a) Very True (b) True (c) Partly True (d) Not True 9. Is your hotel promotion policies based on performance appraisal

parameters? (a) Very True (b) True (c) Partly True (d) Not True

10. Does the performance appraisal provide an opportunity for self-review and reflection? (a) Very True (b) True (c) Partly True (d) Not True

11. Is performance appraisal based on all round feedback i.e. 360 degree assessment? (a) Very True (b) True (c) Partly True (d) Not True

12. Does the appraisal procedure allow appraisee to express his development needs? (a) Very True (b) True (c) Partly True (d) Not True

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13. Does the appraisal system provide for a frank discussion between the appraiser and the appraise? (a) Very True (b) True (c) Partly True (d) Not True

14. Does your hotel use numerous rewards, including non financial, to motivate people?

(a) Very True (b) True (c) Partly True (d) Not True 15. Are salary and other benefits renewed at least once in a year?

(a) Very True (b) True (c) Partly True (d) Not True 16. Does your hotel make good use of IT applications in performance appraisal systems?

(a) Very True (b) True (c) Partly True (d) Not True 17. Do you feel that your abilities and skills are utilized in optimum manner in the hotel?

(a) Very True (b) True (c) Partly True (d) Not True 18. Do you believe that performance appraisal system is useful?

(a) Very True (b) True (c) Partly True (d) Not True 19. Is performance gradation system in hotel a standard one?

(a) Very True (b) True (c) Partly True (d) Not True 20. Does the employee of your hotel give ongoing feedback?

(a) Very True (b) True (c) Partly True (d) Not True 21. Is peer evaluation used in hotel for performance appraisal?

(a) Very True (b) True (c) Partly True (d) Not True 22. Do the Appraise and the Appraiser design performance appraisal system jointly?

(a) Very True (b) True (c) Partly True (d) Not True 23. Does the performance appraisal provide an opportunity for self-review and reflection?

(a) Very True (b) True (c) Partly True (d) Not True 24. Is perception of Raters (Appraiser) positive regarding performance

appraisal? (a) Very True (b) True (c) Partly True (d) Not True

25. Is perception of Ratees (Appraisee) positive regarding performance appraisal?

(a) Very True (b) True (c) Partly True (d) Not True 26. Is there scope for improvement of performance appraisal system?

(a) Very True (b) True (c) Partly True (d) Not True 27. Is there uniformity in performance appraisal system at different levels?

(a) Very True (b) True (c) Partly True (d) Not True 28. The Performance Appraisal System works through…..

(a) Higher Authority (b) Superior (c) Peers (d) Your Subordinate (e) Out side agencies (f) Self Appraisal

29. Performance appraisal is conducted for…… (a) Salary/Wages determinations (b) Increments (c) Promotion (d)

Transfer(e) Training needs determinations (f) Employee productivity measurement (g) Motivation (h) Required knowledge and skills determinations

30. Which type of performance Appraisal Method is used? (a) Confidential Report (b) Rating Scale (c) Ranking System (d) Paired

Comparison Method (e) Forced Choice Method (f) Critical Incident Method (g) Cost Accounting Method (h) Forced Distribution Method (i) 360 Degree Appraisal Method

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31. Do you come across any problem /s in performance appraisal? (a) Halo Effect (b) Rater’s Effect (c) Supervisor’s dual and conflicting

Role (d) More time gap between two appraisal (e) Partiality (f) Any other

32. Is some one encouraging my development? (a) Very True (b) True (c) Partly True (d) Not True

33. Are you satisfied about your job? (a) Very True (b) True (c) Partly True (d) Not True

34. Give marks for following criteria as per your knowledge and experience:

S. N.

Criteria Maximum Marks

Marks Secured

Parameters to Measure

1 Customers Satisfaction

60 • If 2% Customers Dissatisfaction give 60 marks

• If 5% Customers Dissatisfaction give 30 marks



2 Absenteeism 10 • If employees absenteeism is more than 10% per month then give 2 marks

• If employees absenteeism is about 5% per month then give 5 marks



3 Employee’s

Positive Attitude

10 • If Excellent Positive Attitude then give 10 marks

• If Good Positive Attitude then give 7 marks

• If Average Positive Attitude then give 5 marks

• If Poor Positive Attitude then give 3 marks mark

4 Job

Satisfaction 10 • If Employees job satisfaction is

excellent then give 10 marks • If Employees job satisfaction is

good then give 7 marks • If Employees job satisfaction is

average then give 5 marks • If Employees job satisfaction is

bad then give 3 marks

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5 Labour Turnover

5 • If high labour turnover give 1 mark

• If average labour turnover give 3 marks

• If low labour turnover give 5 marks

6 Qualification 5 • If qualification is more than

required then give 5 marks • If qualification is as per

requirement then give 3 marks • If qualification is below than

requirement then give 1 mark.

7 Total 100 ------

35. Kindly put forth suggestions to improve your performance appraisal

system.

Signature

On the basis of above questionnaire and discussion the researcher has designed the following model for performance appraisal. 7.12 FIRST SUGGESTIVE MODEL:

Employees Performance Appraisal (To be filled by immediate supervisor)

1. Name:

2. Date of Birth: - - Age: Years

3. Address:

4. Designation:

5. Department:

6. Area of Specialization:

7. Date of Appointment: First Appointment………….

In This Present Post………………….

8. Cast: Open Reserve.

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9. Educational Qualification:

S N Qualification Specialization Year Class Obtained 1 S. S. C. 2 H. S. C. 3 Bachelor’s Degree 4 Master’s Degree 5 Other

10. Quality of Employee’s work: (Please tick mark the square)

Poor Below Average Average Above Average Excellent 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

11. Productivity of the Employee.


12. Job Knowledge of the Employee.


13. Attendance of the Employee.


14. Initiative of the Employee in Various Activities.


15. Vertical and Horizontal Co-operation of the Employee.


182

16. Dependability of the Employee.


17. Need of Employee Supervision.

More Above Average Average Below Average Too Less 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

18. The Employee’s Leadership and Team Building Approach.


19. Negotiation and Analytical Ability of the Employee.


20. Achievement Orientation and Enthusiasm of the Employee.


21. Participation in Training and Development.


22. Problem Solving Skills of the Employee.


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23. Decision Making Skill, Conceptual Knowledge, Interpersonal Relations, Business Development Skill, Communication Skill of the Employee.


24. Constraints and Difficulties Faced in Performing Duties.

More Above Average Average Below Average Very Low 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

25. Use of 5 S’s i. e. Seiri = Clearing up, 2. Seiton = Organising, 3. Seiso = Cleaning, 4. Seikestu = Standardizing, 5. Shitsuke = Self Discipline.


26. Emotional Stability and Ability to Manage Stress of the Employee.


27. Employee Spending Time outside the Organization.

More Above Average Average Below Average Less 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

28. Employee job Satisfaction Level.


29. Employee’s Health Status.


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30. Employee Providing Satisfaction and Services to the Customers.


31. Employee’s Behaviour towards Subordinates, Colleagues, Supervisors etc.


32. Employee’s Ability to Maintain Industrial Relations and Handle Emergency.


33. Employee Performing Prime Responsibility.


34. Employee’s Physical Fitness.


35. Your opinion about Employee Performance:-

Signature

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7.13 SECOND SUGGESTIVE MODEL:

Employees Performance Appraisal

(To be filled by Immediate Supervisor, Colleague, Peer, Subordinate and Himself i.e. 360 Degree Appraisal)

1. Name: 2. Date of Birth: - - Age: Years 3. Address: 4. Designation: 5. Department: 6. Area of Specialization: 7. Date of Appointment: First Appointment………….

In This Present Post…………………. 8. Cast: Open Reserve 9. Educational Qualification:

S N Qualification Specialization Year Class Obtained 1 S. S. C. 2 H. S. C. 3 Bachelor’s Degree 4 Master’s Degree 5 Other

10. Quality of Employee’s Work: (Please tick mark the square)


11. Productivity of the Employee.


12. Job knowledge of the Employee.


186

13. Attendance of the Employee.


14. Initiative of the Employee in Various Activities.


15. Vertical and Horizontal Co-operation of the Employee.


16. Dependability of the Employee.

Too Less Below Average Average Above Average More 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

17. Need of Employee Supervision.

More Above Average Average Below Average Too Less 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

18. The Employee’s Leadership and Team Building Approach.


19. Negotiation and Analytical Ability of the Employee.


187

20. Achievement Orientation and Enthusiasm of the Employee.


21. Participation in Training and Development.


22. Problem Solving Skills of the Employee.


23. Decision Making Skill, Conceptual Knowledge, Interpersonal Relations, Business Development Skill, Communication Skill of the Employee.


24. Constraints and Difficulties Faced in Performing Duties.

Very Low Above Average Average Below Average More 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

25. Emotional Stability and Ability to Manage Stress of the Employee.


26. Employee Job Satisfaction Level.


188

27. Employee Providing Satisfaction and Services to the Customers.


28. Employee’s Behaviour towards Subordinates, Colleagues,

Supervisors.


29. Employee’s Ability to Maintain Industrial Relations and Handle

Emergency.


30. Employee Quality of Work Life.


31. Fixation and Allocation of Work Load to Employee.


32. Employee Experience.

Less Below Average Average Above Average More 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

33. Employee Performing Prime Responsibility.

Less Below Average Average Above Average More 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

189

34. Your opinion about Employee Performance:-

Signature

Above developed SECOND model has been tested and modified according to the suggestions given by the sample Service Industry’s authorities and employees.

The above-mentioned Performance Appraisal Model has been discussed with the authorities of hotel Victor. The CMD, GM and Human Resource Manager have studied this primary model of performance appraisal system in service industry. Service industry is a peculiar industry and considering these characteristics the researcher has designed the model. The authorities of the hotel Victor appreciated 25-scale performance appraisal evaluative model, which will help for accurate or perfect evaluation of performance of human resource in service industry. The authorities and sample respondents have referred all questions and suggested that the less important questions should be eliminated and the researcher considered their suggestions and did the necessary elimination. They also suggested to modify and add some questions. Those suggestions were considered by the researcher. It was discussed that through this model the industry can measure the level of performance of employees at individual level and at departmental level, which will help for improving overall performance of the employees and ultimately the total performance of the service industry. It is also discussed and studied that how this model will help for skill development of employees. It is noted that in this method of performance appraisal, fixation of workload of the respective employee is very much easy and convenient. As per the changing situation and circumstances one has to modify and implement the workload changes in the organization, which is not scientifically undertaken by the industries in the sample area at present.

7.14 DIFFERENT SCALE / WEIGHT FOR DIFFERENT VARIABLES: It is observed by the researcher that there should be different scales or weights for each and every variable. It is found that some variables are more important than others in the same firm and some variables may be more important than others firms. Most of the respondents and researcher have felt that both competencies and objectives are important, it is more important to do a better job at producing results. Obviously, not all variables are of equal importance to the organization. The issue has been discussed that, should the form / model reflect the fact that some variables are more critical than others? Weight for variable is a best factor left for the measurement of performance of the employees in the various departments and at various levels. This has

190

been discussed during the research data collection and at the time of testing the models. The researcher has tried to provide predetermined weights for various variables of the performance appraisal system that will be applied to a broad range of jobs. During the research, the manager and subordinate has discussed the relative importance of the items to be accomplished in the performance appraisal system. The situation is changing according to the organization and levels of management and on the basis of that, the rater has to measure the performance of employees. 7.15 DETERMINATION OF WEIGHT / MARKS ON THE BASIS OF IMPORTANCE OF VARIOUS EMPLOYEE PERFORMANCE MEASUREMENT FACTORS AT THREE LEVELS OF MANAGEMENT:

(Pro forma)

S.N. Performance Measuring Variables

Manufacturing Weight: 1 To 4

Service Weight: 1 To 4

Trading Weight: 1 To 4

L M T L M T L M T 1

Educational Qualification

2

Quality of Employee’s work

3

Productivity of an employee

4

Job knowledge of an employee

5

Attendance of an Employee

6

Initiative of an employee in various activities

7

Vertical and Horizontal co-operation of an employee

8

Dependability of an employee

9

Need of Employee supervision

10

The Employee’s leadership and team building approach

11

Negotiation and analytical ability of an employee

12

Achievement orientation and enthusiasm of an employee

191

13 Participation in Training and development

14

Problem solving skills of employee

15

Decision making skill, Conceptual Knowledge, Interpersonal Relations, Business Development Skill, Communication Skill of employee

16

Constraints and difficulties facing in performing employee’s duties

17

Emotional stability and Ability to manage stress of employee

18

Employee job satisfaction level

19

Employee providing satisfaction and services to the customers

20

Employee’s nature of behaviour towards Subordinates, Colleagues, Supervisors

21

Employee’s ability to maintain Industrial Relations and handle emergency

22

Employee’s Quality of Work Life

23

Fixation and Allocation of Work Load to

192

Employee 24 Employee’s

Experience

25

Employee Performing Prime Responsibility

SN = Serial Number.

The Researcher has designed 34 parameters in second suggestive model for measuring the performance of employees. All these parameters have been designed with the help of the HR authorities in the sample service institute, employees and other HR authorities who are working in other outside renowned industries. The researcher has taken rigorous efforts while he has designed the research parameters for measuring the employee performance. In these parameters almost all criterions are considered for employee performance measurement. No doubt a few more questions can be added but more number of questions can be inconvenient to the respondent employees and authorities too. Considering all aspects of the study, the researcher has designed initially 35 performance measurement parameters, then after discussion with the HR authorities in the sample and outside organizations, the researcher has re-structured 34 performance measurement parameters with changes. Out of 34 parameters, 9 (nine) parameters are basic and open-ended nature parameters, which are not directly considered for employee performance measurement. These parameters includes name of employee, birth date, address, designation, department, area of specialization, date of appointment, cast of employee. All these are the open ended in nature, so, this information is used as basic information for employee performance measurement. It means that out of 34 parameters, 9 parameters are excluded and 25 parameters considered for measuring the performance of an employees. For measuring the performance of an employee, the researcher has considered employees at Top, Middle and Lower levels. To maintain the uniformity in the performance testing the researcher has set same parameters for all three levels of management people. But top, middle and lower level employees’ respective parameter weight or importance or value or mark is not same, so, the researcher has designed three different weights or values for each level of management. It means that top level management employees having different weight, middle level management having different weight and lower level management having different weight for measuring their performance. At the same time different weight has been used for different nature organizations like manufacturing, service and trading organizations. The researcher has considered these different weights because of proper, accurate and appropriate measurement of employee performance at three levels of management and at three different types of organizations.

193

7.16 DETERMINATION OF WEIGHT / MARKS ON THE BASIS OF IMPORTANCE OF VARIOUS EMPLOYEE PERFORMANCE MEASUREMENT FACTORS AT THREE LEVELS OF MANAGEMENT: Bold portion is for service industry…

SN Performance Measuring Variables

Manufacturing Weight: 1 To 4

Service Weight: 1 To 4

Trading Weight: 1 To 4

L M T L M T L M T 1

Educational Qualification

S – 1 H – 2 G – 4

H – 1 G – 2 PG – 4

G – 1 PG – 2 O – 4

S – 1 H – 2 G – 4

H – 1 G – 2 PG – 4

G – 1 PG – 2 O – 4

S – 1 H – 2 G – 4

H – 1 G – 2 PG – 4

G – 1 PG – 2 O – 4

2 Quality of Employee’s work

4

4

4

4

4

4

4

4

4

3

Productivity of an employee 4 4 4 4 4 4 4 4 4

4

Job knowledge of an employee 4 4 4 4 4 4 4 4 4

5 Attendance of an Employee 2 2 2 2 2 2 2 2 2

6 Initiative of an employee in various activities

1

1

1

2

2

2

2

2

2

7

Vertical and Horizontal co-operation of an employee

2

2

2

2

2

2

2

2

2

8 Dependability of an employee

- 2 - 2 - 2 - 2 - 2 - 2 - 2 - 2 - 2

9 Need of Employee supervision

- 1

- 1

- 1

- 2

- 2

- 2

- 2

- 2

- 2

10

The Employee’s leadership and team building approach

1

1

1

1

1

1

1

1

1

11 Negotiation and analytical ability of an employee

2

2

2

2

2

2

2

2

2

12 Achievement orientation and enthusiasm of an employee

4

4

4

4

4

4

4

4

4

13 Participation in Training and development

2

2

2

2

2

2

2

2

2

14 Problem solving skills of an employee

2

2

2

2

2

2

2

2

2

194

15 Decision making skill, Conceptual Knowledge, Interpersonal Relations, Business Development Skill, Communication Skill of an employee

4

4

4

4

4

4

4

4

4

16 Constraints and difficulties facing in performing employee’s duties

2

2

2

2

2

2

2

2

2

17 Emotional stability and Ability to manage stress of an employee

1

1

1

4

4

4

4

4

4

18 Employee job satisfaction level

4 4 4 4 4 4 4 4 4

19 Employee providing satisfaction and services to the customers

1

1

1

4

4

4

4

4

4

20 Employee’s nature of behaviour towards Subordinates, Colleagues, Supervisors

2

2

2

2

2

2

2

2

2

21 Employee’s ability to maintain Industrial Relations and handle emergency

2

2

2

2

2

2

2

2

2

22 Employee’s Quality of Work Life

4 4 4 4 4 4 4 4 4

23 Fixation and Allocation of Work Load to Employee

2

2

2

2

2

2

2

2

2

24 Employee’s Experience 2 2 2 2 2 2 2 2 2

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25 Employee Performing Prime Responsibility

4

4

4

4

4

4

4

4

4

Note:

• S= SSC • H = HSC • G = Graduate • PG = Post Graduate • O = Other qualifications

7.17 ALLOCATION OF MEASUREMENT VARIABLES ON THE BASIS OF DETERMINED WEIGHT FOR THREE DIFFERENT SAMPLE ORGANIZATIONS: Bold portion is for service industry…

(Figures in the squares are showing the Question Number)

Important Variables Average Important Variables

Regular Nature Variables

4 – Weight 2 – Weight 1 – Weight

M S T M S T M S T

1* 1* 1* 1* 1* 1* 1* 1* 1*

2 2 2 - - - - - -

3 3 3 - - - - - -

4 4 4 - - - - - -

- - - 5 5 5 - - -

- - - - 6 6 6 - -

- - - 7 7 7 - - -

196

- - - 8 (-) 8 (-) 8 (-) - - -

- - - - 9 (-) 9 (-) 9 (-) - -

- - - - - - 10 10 10

- - - 11 11 11 - - -

12 12 12 - - - - - -

- - - 13 13 13 - - -

- - - 14 14 14 - - -

15 15 15 - - - - -

- - - 16 16 16 - - -

- 17 17 - - - 17 - -

18 18 18 - - - - -

- 19 19 - - - 19 - -

- - - 20 20 20 - - -

- - - 21 21 21 - - -

22 22 22 - - - - - -

- - - 23 23 23 - - -

- - - 24 24 24 - - -

197

25 25 25 - - - - - -

Total - 9 Total- 11 Total - 11 Total - 12 Total - 14 Total-14 Total - 6 Total- 2 Total-2

Note: 1

M = Manufacturing Industry

S = Service Rendering Industry

T = Trading Organization

Note: 2

Educational

Qualification

S – 1

H – 2

G – 4

H – 1G – 2 PG – 4

G – 1

PG – 2

O – 4

S – 1

H – 2

G – 4

H – 1G – 2 PG – 4

G – 1

PG – 2

O – 4

S – 1

H – 2

G – 4

H – 1G – 2 PG – 4

G – 1

PG – 2

O – 4

Educational Qualification has allocated different weight within industry at Top, Middle and Lower level Management.

Note: 3

The sum of all Measurement Variables (Question Numbers) should be 75 (3 X 25 Variables), but the total is 81 ( 9 + 11 + 11 + 12 + 14 + 14 + 6 + 2 + 2) due to the Educational Qualification has consider in each category, The Qualification has considered that Less than Required, Required and More than Required, so, 81 total.

Note: 4

The sign in the bracket (-) indicates the minus indication of the concerned figures.

To measure the performance of employee the researcher has used different variables. The researcher has designed 25 variables for his research with deep study and discussion with concerned authorities who are working in the industry. After detail study, the researcher has classified these 25 performance measurement variables into three categories viz (a) Important variables (b) Average Variables and (c) Regular Nature Variables. These three categories of variables valued with ‘4’ marks, ‘2’ marks and ‘1’ mark respectively. It means that important variables are weighted / valued with ‘4’ marks, Average variables are weighted / valued ‘2’ marks and Regular nature variables are weighted / valued with ‘1’ mark. It is designed or determined purposefully that the variables value is not the same i.e. all performance measurement parameters does not have same importance and there is a bias effect in the measurement of performance of employees, considering this limitation the researcher has set the different values for different parameters

198

for measuring the performance of an employee. Here, the researcher has considered one more factor that the respondents do not know directly the value of the respective variables, which will be able to minimize the bias effect. Another important intention behind giving weight is that to measure exactly the performance of the employees. In the classification and giving appropriate weight to the respective variable, it is also considered that whether responding employee is working in manufacturing industry or service providing industry or trading organization. Because, the importance of these measurement variables is not the same or uniform at different industries and at different levels. It is specially observed and noted that measurement of variables weight is changing according to nature of industries but the weight is some what constant and uniform at three levels of management in the same nature industry. It means that the researcher has considered uniform weight at three levels of management in the same organization. In simple words, in the same nature industry, uniform weight is given to top, middle and lower levels of management for variables measurement. The researcher has selected six authorities from each sample unit on the basis of experience, involvement, educational qualification, knowledge of human resource management and specially employee performance appraisal system. The intention behind using rigorous criteria for selection of these six authorities each from three different sample units is to allocate or give proper weight to the designed 25 variables. Because these 25 variables are not same or has uniform value of its own. At the same time researcher has also discussed with 15 outside experts in HR area for determination and confirmation of weight, verification and cross checking of weight in the given weight to the set variables.

a. Manufacturing Industry: It is discussed in respective chapter.

b. Service Rendering Organization: Service Rendering Organization has specialized characteristics by its nature. For this nature organization the researcher has designed 25 questions, out of which 11 variables are important in nature (Educational Qualification, Quality of Employees Work, Productivities of an employee, Job knowledge of an Employee, Achievement Orientation and Enthusiasm of an employee, Decision making skill; Conceptual Knowledge; Interpersonal Relations; Business Development Skill; Communication Skill of an employee, Emotional stability and ability to manage stress of an employee, Employees job Satisfaction level, Employee providing satisfaction and service to the customer, Employees Quality of Work Life, Employee Performing Prime Responsibility) has allocated 4 weight. 14 variables are Average important in nature (Attendance of an Employee, Initiative of an employee in various activities, Vertical and Horizontal cooperation of an employee, Dependability of an employee, Need of employee supervision, Negotiation and Analytical Ability of an Employee, Participation in Training and Development, Problem Solving Skills of an employee, Constraints and Difficulties facing in performing Employee’s

199

Duty, Employees nature of Behaviour towards Subordinates; Colleagues; Supervisors, Employee’s ability to maintain Industrial Relations and Handling Emergency, Fixation and Allocation of Work Load to Employees, Employee Experience) has allocated 2 weight. 2 variables are Regular in nature (Educational qualification, The Employee’s leadership and team building approach) has allocated 1 weight. For providing or allocating weight for these variables the researcher has discussed with three different levels in the sample service rendering organization. All the experts have suggested the set weight for the concern variables. For accuracy the researcher has also discussed the same allocation with the manufacturing and trading organization authority for more accuracy, which also supported the allocated weight. This cross sectional discussion helped the researcher to reach towards more accuracy. c. Trading Organization: It is discussed in the respective chapter.

The researcher also discussed 15 outside experts along with 18 experts (6 from Manufacturing unit + 6 from Service Unit + 6 from Trading Unit) from the selected sample units. These selected 15 outside experts are from various industries and with rich experience in different fields. The researcher has selected these authorities from HR departments of the Banking, Insurance, Sugar, Hotel, Foundry, Educational, and Consultancy services. These experts are qualified and experienced including CA’s, CWA’s, M. Com., M. B. A., Ph. D’s. The intention behind discussion with these outside people is to give appropriate weight to each and every variable through which the researcher is going to measure the performance of an employee. It means that the researcher has undergone the rigorous process for allocation of weight to the set variables. In short the researcher has discussed with 18 internal authorities and 15 outside authorities for determination of weight of the set variables for measuring employees’ performance. The researcher has organized brain storming sessions for determination of weight for set variables. The researcher has used the “Delphi” technique for unanimous decision for weight determination for set variables. The experts have been selected on the basis of following criterions. 7.18 SAMPLE SELECTION FOR PROVIDING WEIGHT FOR SET VARIABLES:

SN Particulars

Manufacturing Industry

Experts No.

Service Industry

Experts No.

Trading Organization Experts No.

Outside Experts

No. Total No.

1 Top Level 2 2 2 5 11

2 Middle Level 2 2 2 5 11

3 Lower Level 2 2 2 5 11

4 Total 6 6 6 15 33

200

7.19 CONCLUSION: This chapter covers the performance appraisal system in V. H. APARADH HOTELS PRIVATE LIMITED, KOLHAPUR with Rs. 6 crores turnover. Service industry is the backbone of all other industries and one of the service industries is Hotel Industry. To provide services in Hotel industry, trained and evaluated manpower is required. Some one says that, “The guest is always right” and to satisfy the respected guest, good and motivated manpower is required. Taj. Oberoi, ITC, ITDC, MTDC, Ashok, Air India, etc groups are working in hotel industry with performance appraisal systems for their employees. Chairman and Managing Director (CMD), MD, Board Members, Chef, Waiter, Front office Manager, etc. are the personnel working in this industry. Performance appraisal in hotel industry means the testing of the validity of individual goals in terms of organizational goals. Performance appraisal system helps for promoting efficiency, effectiveness, job satisfaction and better manpower utilization. The CMD, GM and Human Resource Manager have studied all these models or formats for performance appraisal system in service industry. The authorities of the hotel Victor appreciated 25 scale performance appraisal evaluative model which will help for accurate or perfect evaluation of performance of human resource in service industry. It was discussed that through this model the industry can measure the level of performance of employees at individual level and at departmental level which will help for improving overall performance of the employees and ultimately the total performance of the service industry. As per the changing situation and circumstances one has to modify and implement the workload changes in the organization, which is not scientifically undertaken by the service industry in the sample area at present.

*****

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