Methods Of Performance Evaluation At Packages Ltd Business

The topic of my research project is a critical appraisal of methods of performance evaluation in Packages LTD. A performance appraisal is a method by which the job performance of an employee is evaluated (generally in terms of quality, quantity, cost, and time) typically by the corresponding manager or supervisor. A performance appraisal is a part of guiding and managing career development. It is the process of obtaining, analyzing, and recording information about the relative worth of an employee to the organization. Performance appraisal is an analysis of an employee's recent successes and failures, personal strengths and weaknesses, and suitability for promotion or further training. It is also the judgment of an employee's performance in a job based on considerations other than productivity alone. Performance appraisal then gives the performance evaluation on the basis of which the strength and weaknesses of employees are spotted out. They also identify the training needs of the employee. Performance appraisal.

1.2: Managerial Concerns

The results of the study will enhance the decision making power of the concerned individuals by educating more about the factors that influence the performance appraisal , also it will help them understand the importance of the variables according to the level of variation they cause in the value of performance evaluation ,Human Resource managers and especially the employees of the company will have a lot to take from this study while doing their respective tasks in the jobs.

1.3: Study Objectives

Objectives of the study include the following:

Are current evaluation techniques justified in performance appraisal methods?

Critical Appraisal methods helps people develop the necessary skills to make sense of scientific evidence

It also help to avoid biasness in performance evaluation

One of the objectives of this research is that performance appraisal should indicate the opportunity for discussion of career objectives, and creation of a strategy designed to maximize career potential.

Performance appraisal provide guidance and career paths for the employees

Provide feedbacks by employee evaluation so that they can overcome their weakness

What is the way to Facilitate communication between employee and administration

How to improve performance through counseling, coaching and development.

To Identify employee training needs

1.4: Related DefinitionsPerformance Appraisal:

In my research my dependent variable is performance appraisal. The independent variables cause variation in this dependent variable, which I have to inspect in my research. Performance appraisal in this context is is a method by which the job performance of an employee is evaluated generally in terms of quality, quantity, cost, and time. Typically by the corresponding manager or supervisor.

Cost:

General definition of cost is the value of money that has been used up to produce something, and hence is not available for use anymore This acquisition cost may be the sum of the cost of production as incurred by the original producer, and further costs of transaction as incurred by the acquirer over and above the price paid to the producer. In my case cost is the wage , salary or commission of the employ which is given according to the amount of work done .

Training:

Training is another independent variable which affects the performance appraisal it causes variation in the dependent variable through large or less quantity of training refers to the acquisition of knowledge, skills, and competencies as a result of the teaching of vocational or practical skills and knowledge that relate to specific useful competencies.

Co-operation:

As we have known that the process of working or acting together, which can be accomplished by both intentional and non-intentional agents. In its simplest form it involves things working in harmony, side by side is called Cooperation

Time:

Time is another variable which plays an important part in this research. According to my research time is actually the period spent doing job. It is calculated as job hours or the time spent in doing a job which is counted in numbers of hours worked in a company.

Job promotion:

A promotion is the advancement of an employee's rank or position in an organizational hierarchical system. Promotion may be an employee's reward for good performance i.e. positive appraisal or can be the other way round. The basic motive of job appraisal is to get promoted only under a certain conditions met by the company.if certain tasks in a job is achieved during the regular tasks a employee has high chances of get promoted with the good combinations of ethics, punctuality and behavior.

Increment:

Increment is generally the increase in the amount of salary, wage or commission. The increment can be variable or fixed .fixed annual increment is based on a percentage of its current value.

Counseling:

This is a very integral part in the job appraisal. A person cannot perform better is his/her job until the proper counseling is done by the supervisor or the manager on frequent intervals. Counseling in this study refers to process that enables a person to sort out issues and reach decisions affecting job. Counseling is only done only when a problem arises but it help us during many times in tough job environment. Counseling involves talking with a person in a way that helps that person solve a problem or helps to create conditions that will cause the person to understand and/or improve his behavior, character, values or life circumstances.

Chapter 2: Literature Review

The set of articles are being studied in correspondence to my study. To enhance better understanding with the situation and to be familiar with the topic under study, I have studied a set of articles from very well known authors of the field, specifically huan resource management Most of the literature was available through different articles, journals and most importantly the company profile books and annual report also proved to be helpful in enhancing the better understanding of the subject.

Boswell and Boudreau (2002) explained that there were different applications and uses of performance appraisal were the main point of most of the researches done so far. Many of them were resulted in incompatible conclusions. In this article the study was conducted on raw control group plan to look at the things after sorting out the developmental and evaluative performance appraisal uses in respect of time and person. These effects were on employee attitudes and the behavioral purpose. The measures in this study were pilot tested with the help of the companies HR department to make sure that it was completely done and was easy to understand too and te items used in it is not unclear. The likert scale used is 1-7 in which 1=strongly disagree and 7= strongly agree was used for all survey items. now coming to the satisfaction part griller's scale was used from PA(1978) .the development in this research consist items like awareness in the opportunities of the development and the development in the future . ever single item was on computing scale .manipulation check was also included for the evaluation aspects of performance appraisal .the connection between the treatment and control groups can be biased so discussion check was monitoring the bias. in the last the survey consist of the different variables which were divided in male and females and also in different races and according to their respective background. The performance rating of each person is received before the research project this was used to examine whether there is a difference in performance e between the groups or it wads the result of the treatment. This whole study emphasizes the effects of employ attitudes and behavioral intention on the performance appraisal system This study investigated the effects of a separated use PA system on employee attitudes and behavioral intention. Previous research indicates that a clash might occur when PAs are utilized together for assessment and expansion. When the evaluative role is removed from the direct super visor and giving it to an important person more detached from the circumstances, the manager once-removed, it was hypothesized that variables such as employee satisfaction with the appraisal and their supervisor and awareness of development would be improved. It was also argued that under the new system employee intentions toward development may be affected.

Campbell and Lee (1988) given explanation about the self appraisal which will match the estimate of managerial ratings. Self appraisal also help employees to improve their job performance .initially the in this paper the self appraisal is taken as an evaluation tool. there are two uses of self appraisal in the performance appraisal method. the first one is used as data points because interaction dependability is considered as the validity of evaluation .secondly in evaluation system self appraisal is considered to be an important part. Self appraisal reduces decisive factor shortage by counting magnitude of performance that are mostly ignored by other evaluation sources. Self appraisal consists of approximately four steps. The first point from which a person starts is from the basic beliefs and ideas comprising the questions like the nature of the job and the basic requirement of the job. The goals which is necessary to be achieved in the job actually revolves around the employee's behavior during the job .at some point the employee is in a state from where he/she can critically evaluate their behavior and the results driven from that behavior. This whole self appraisal process also explains and help the managers in future when they will evaluate the individual themselves. Self appraisal also used as a development tool. The deficiency in of meeting of the self appraisal form the employees and the managers lead researchers to state the uncertainties of the utilization of the self appraisal. In self appraisal the constraints can be minimized. These constraints can be informational, cognitive, affective and the magnitude of self and manager's discrepancy .some of the theoretical orientations are applicable to considerate the self appraisal process. These consist of social comparison theory, cognitive consistency theory, attribution theory and self enhancement theory light up the aspects of self appraisal. The main argument can be strained from this paper is that it is not necessary that traditional self appraisal can be proved as solely evaluative tools.

Sayeed and Bhide (2003) explained the important things regarding to the program design and implementation of performance appraisal system and provide information on the empirical assessment of PAS effectiveness in two divisions of the company. Performance appraisal system(PAS) is actually a tool used in different or generations for a lot of purposes. The main purpose of PAS is to assist emerging people that to create an importance of the work they are doing in a firm and to emphasis that how they are doing there work and how they can do better. It is totally under control of the people toward their performance related to the work. Another function of (PAS) is to create a bridge between the employees not only vertically but horizontally also this not only enhances the performance of the team but also create an belongings and personal involvement in the work due to the commitment. These entire things will lead to the overcome the weakness and attaining the targets. (PAS) is all about the people and their relationship in context of a firm .it's all about the re examination of the performances of the employees the sample of 211 respondents was taken in this paper these respondents were people from all levels the questionnaire was comprising of ten questions it has information about the clarity of performance objectives it was rated on 4 pointed scale for strongly disagree. For the feedback a survey was conducted on the current status ad and the perceptions of the managers on the process of the appraisal. If there is same score for appraisers and appraises then it depicts that the performance appraisal was accepted by everyone and vice versa. The implications of study for practicing managers are twofold. First, the study makes a case for prospective organizations that are yet to design, implement and subsequently manage new performance appraisal system to consider the manner whereby a performance appraisal system that produces results is created in the organization. Since the present research specifically delineated various phases of the program implementation it is worthy of consideration to evaluate and adopt them in a meaningful way, taking local conditions and other requirements into account. Second, the process of PAS effectiveness gives line managers a basis to believe and practice such aspects that create openness within superior-subordinates dyads or groups more concerned with working as results-oriented teams. The side benefit that can be attained easily is the enhanced ability of superiors and subordinates to use giving and receiving feedback mechanisms more effectively and as a matter of daily routine (Pareek, 1976).

Ilgen and Favero (1985) explained that most o the time the researchers have to find the answer of performance appraisal from social psychology. There has been some mis -understandings that the social psychological methods have been used for the consideration of the performance appraisal problems. Many methods used in the simple literature has been abolished and their connection of these methods are compared with the methods of performance appraisal. There was a need created for the new performance appraisal methods because old methods were obsolete and cannot be used because they were no more affective. Implicit personality theory (IPT) concerns per- sons' perceptions of relations between traits, or how traits cover in others (Schneider, 1973). One answer is that the connection of performance appraisal with psychology is just a connection based on some hypothesis they are not connected with each other from proper evidence. This paper is for performance appraisal but many important things of it are ignored from the study and the most important variable which is time is totally ignored with the implication and the practicality of the performance appraisal. The interconnection between the raters and the rates has also been missed. Both of these parties should have connection for the outcome of good and fair result with respect to time.inspite of several limitations and problems many new methodologies for the performance appraisal was discovered which is a big achievement .among them the most important methodology is is accuracy. Accuracy is used in the implicit personality theory. Methods and procedures suitable to performance appraisal model after research on attribution theory includes the real connectivity and the interaction between the raters and the ratees . this interaction can be enhanced by the help of video and audio tapes , webcon frencing, letters, emails, blogs etc. in the cognitive research methods to improve the performance of the employees their work should be recorded both with good an bad attributes so that they can learn from the mistakes and work more efficiently in the future.

Shore and Tashchian (2002) illustrated that on performance appraisal ratings many things effect them. These things include self appraisal information, normative information and task performance. Participant have rated a fictions performance of the sub ordinate on a clerical office work kind of job which can be very good or moderately poor .successively receiving of the self assessment information can be normative information which can be high or low. On the other hand it also constitutes in self assessment he can be absent or present. It is considered that self appraisals mostly affected the performance of the people who performed poor rated by others but these self appraisals did not help the those who perform good. On the other hand the adjudicators focus more on the ratee's but not emphasizing on the subordinates personal opinion about their own performances. Additionally objective normative information have more influence on the judges then the influence of the self appraisal itself this means that information credibility has more importance then the information accountability of the performance appraisal. implication of the result for the organizations are discussed. the methods in this paper for the conduction of whole cycle is that participants on which the study is based is around 261 undergraduates among which 49% are men. All of them are from a business school in southeast university. The design was a 2*2*2 factorial design the independent variable is a high versus low scale and the ease of use of normative information .the current results throw in an understanding of the property of self appraisals on the performance evaluation procedure and do have indications of the human resource managers .the evaluations of the performance appraisal give importance to those individuals who perform badly in and less importance is given to the self assessment. Likely to view an objective norm as more credible than a self-appraisal. Thus, these conclusion propose that the precision of job performance ratings can be amplified by maintenance self-appraisal information from a supervisor pending the manager completes his or her performance evaluations and by given that an aim performance standard, such as a group norm. lastly, it may be more useful for an employee to provide his or her executive with expressive information about his or her performance than to do a self-rating. This expressive information may help the manager arrive at a more accurate performance assessment. To pass on the subordinates to provide expressive information would maintain many of the developmental settlement of a serious examination of one's performance but

Would eliminate the bias created by providing self-ratings to an evaluator.

Singh , Maggu and Warrier (2006) put light on the critical analysis of the performance appraisal systems. The main element would be the justice and equality in these systems. It means that a person should exactly get the reward according to the amount of work done during a job. But this is not the case in real world. In most of the companies the rights f the employees has been ignored. In the current corporate environment there has been a big conflict going on. There are two groups which have totally opposite opinion. The first group says that performance appraisal system help the managers and employees to give the reward and provide them assistance that they only keep their office work in office and don't bring that work in home too. It also brings generating information for employee growth career plans and man-job matching. On the other hand the second group says that appraisal systems are just waste of time they are just good for nothing. Job appraisal systems have problems for all the hierarchical levels with respect to corporate ownership age and income. But the most dissatisfied group in six organizations were the managers .they are the people who need more importance.

Endo (1998) explained that Performance appraisal, or jinji-satei or jinji-kikka in Japanese, constitute a significant part of the employment system in Japan (Endo 1994). Basing his analysis on various surveys of the systems now at work in the two countries, Endo (1996) contends that the present-day Japanese system differs from its American counterpart in the following nine respects. While under the Japanese system union members are normally subject to performance appraisal, union members in the USA are often excluded. Translated from Japanese by Moriya Fumiaki

Whereas the results of performance appraisal in Japan are often adjusted and forced to fit into a predetermined distribution pattern, such a practice is seldom followed in the USA. In Japan, the results of performance appraisal are seldom fed back to the individual employees subjected to appraisal. In the USA, employees are asked to review and sign the reports of their performance appraisal. The performance appraisal system is used by many private Japanese firms, but very rarely by government offices. The realities surrounding the American and Japanese performance appraisal systems might have entered a new stage of development since the 1980s, when there was a phenomenal increase in the number of Japanese firms launching their offshore operations in the USA. American employees, for their part, may find the Japanese-type appraisal system discrim- minatory and may bring suits against their employers. It is also very likely that the courts may order Japanese-owned firms to revise their Japanese-type appraisal system to comply with the requirements of Title VII of the Civil Rights Act. As eloquently symbolized by this fact, the settlement of the case resulted in a wholesale remodeling of the appraisal system into an American-style one (Japan Institute of Labor 1993: 11-12, 44-48). But it remains to be seen what feedback effects are forthcoming from the experience of Japanese-owned firms in the USA in the application and modifications of their performance appraisal system.

Chapter 3: Methodology & Analytical choice3.1: Research Type

Nature of the study is human recourse management so it has been considered significant to rely on primary data sources Primary tools will include questionnaire to collect data on the qualitative and quantitative variables. There has no research done in past o this topic. So I have solely rely on the primary data sources. Primary tools will be used to collect data on the variables from the selected population of 25 members of the HR department of Packages limited.

3.2: Data Type & Research Period

The nature of my research is primary so I data has been collected from the sample by use of the primary data tool, that is questionnaire . Questionnaire included ninteen questions, which included questions on both the dependent and independent variables. Some variables has more than one question to clear the ambiguities and to extract real information.

3.3: Research Hypothesis

Ho: β=0 There is no relationship between performance appraisal and promotion

H1: β≠0 There is a relationship between . performance appraisal and promotion

Ho: β=0 There is no relationship between performance appraisal and training

H1: β≠0 There is a relationship between . performance appraisal and training

Ho: β=0 There is no relationship between performance appraisal and counseling

H1: β≠0 There is a relationship between performance appraisal and counseling

Ho: β=0 There is no relationship between performance appraisal and time

H1: β≠0 There is a relationship between performance appraisal and time

Ho: β=0 There is no relationship between performance appraisal and job satisfaction

H1: β≠0 There is a relationship between performance appraisal and job satisfaction

Ho: β=0 There is no relationship between performance appraisal and cooperation

H1: β≠0 There is a relationship between performance appraisal and cooperation

Ho: β=0 There is no relationship between performance appraisal and personal objective

H1: β≠0 There is a relationship between performance appraisal and personal objective

3.4: Theoretical Frame Work & Variables under Consideration3.4.1: Reference List of variables under consideration

Variables are being extracted through citation of various articles. Authors of these articles along with the topic of discussion are stated below:

Separating the Developmental and Evaluative Performance Appraisal Uses, Boswell and Boudreau (2002)

Self-Appraisal in Performance Evaluation: Development versus Evaluation, Campbell and Lee (1988)

Performance Appraisal Effectiveness: An Empirical Assessment ,Campbell and Lee (1988)

Limits in Generalization from Psychological Research to Performance Appraisal Processes, Ilgen and Favero (1985)

Accountability Forces in Performance Appraisal: Effects of Self-Appraisal Information,Normative Information, and Task Performance, Shore and Tashchian (2002)

Performance Appraisal Systems: A Critical Analysis, Singh , Maggu and Warrier (2006)

'Japanization' of a Performance Appraisal System: A Historical Comparison of the Americanand Japanese Systems, Endo (1998)

3.4.2: Theoretical Justification

The study conducted explains the significant affect of different variables upon the performance appraisal which finnaly ends up with job performance. The variables that affect the value of performance appraisal are being extracted out by reading the literature stated in section 3.4.1. The study will basically help to understand the relation between job evaluation and performance appraisal and would also analyze the affect of other variables upon the value of performance appraisal research will help in better job allocation and increase the performance during the job.

3.5: Information Gathering & sampling Procedure3.5.1: Survey Design

In order to collect the information for the research analysis a survey design was created. A primary research was conducted through the help of designed questionnaires The questionnaires included nineteen questions it included questions on dependent and all independent variables. The options given in the questionnaire were from strongly disagree that was given 1 code, Disagree was given code 2, Neutral was given code 3, Agree was given code 4 and strongly agree that was given code 5. It made it easier to analyze data for being use for multiple regression analysis.

3.5.2: Population, Working Population & Planned Sample

The study is about the human rescoure management thus it requires the people with knowhow of HRM which has to be the of population.the population of mu study is the employees of HR department of PAKAGES limited Working Population is extracted out from the total population that includes respondents from some sections of total population Thus chosen sample out of the total population basically represents the working population.

The planned sample size included 25 employees of HR department of Packages limited the questionnaires were being filled out from the professional HR employees that were currently employed in the Packages limited hence the data gathered was authentic and relevant.

3.5.3: Sample Size Consideration

Sample size which was 25 employees of the HR department in packages limited was achieved successfully and all of the respondents showed a great concern while delivering the required information. The ease of respondents were fulfilled by keeping the sample size small, and it also eased the process of gathering information by providing ample time for each respondent to deliver the required information with ease. Also the sample size was kept small to avoid the biasness in data.

3.5.4: Choice of Sampling Techniques

This is primary type research the techniques used was convenience sampling , because of the small sample size convenience sampling technique best fits the required scenario. As the primary nature of the research the population taken was reliable to get required result without any inconvenience.

3.5.5: Field Work & Respondents Profile

In order to collect the primary data the HR department of packages was visited in Lahore in order to attain the desired information from the HR employees of the company These employees were professionally employed there in the company and has age limits ranging from 23 to 50 years. These employees were well educated from both local and forieghn universities and most of them attained MBA degrees and public administration degrees also.

3.6: Data Analysis Tools & Techniques3.6.1: Multiple Regression

The dependent variable of my study is Performance appraisal. Multiple regression analysis is the procedure used under the software Stat Graphics that analyze the affect of independent variables over the selected dependent variable. It is normally used when we need to analyze the affect of more than one variable over our selected dependent variable. Questionnaires were entered in the SPSS software with used scale and questions accordingly, in the variable view and data view .The data from data view was pasted from SPSS data view to excel , in order to take averages for the variables which contained more than one columns , that is taking average of the variables which had more than one questions in the questionnaires, finally that data is pasted in the stat graphics to use multiple regression analysis to attain the required results.every value of independent variable which is x is related with the value of dependent variable which is y.The regression equation in general is Y=α + β 1 X 1 + β 2 X 2 +β 3 X 3+…………. β n X n. in this equation Y is dependent variable a is constant. β 1 is constant of X1 and so on.

The equation from my regression analysis is

Performance appraisal = 1.59638 +0.097964*satisfaction +0.16718*cooperation -0.0577963*improving skill +0.194601*training +1.05951*counseling -0.286547*promotion - 0.277798*increment - 3.87212*personal objectives- 0.254803*HR processes + 1.18712*time .

Here 1.59638 is the constant coefficient.Tthis equation also tells the relationship with the dependent variables with the independent variables with negative and positive values. positivity shows the direct relation and negativity shows the inverse relation with the dependent variable.

3.6.2: Parametric Test of Significance

To check the relationship between the independent variables individually the method of P values will be used. P-value is a guage to proof that we have against the null hypothesis. The null hypothesis, traditionally represent by the symbol H0, represents the hypothesis of no change or no effect. The smaller the p-value, the more confirmation we have against H0. It is also evaluate of how likely we are to get a definite sample result or a result "more extreme," assuming H0 is true. The type of hypothesis (right tailed, left tailed or two tailed) will determine what "more extreme" means.if p value remains less then 0.10 which indicates that 90% of confidence interval is used. If P- value of an independent variable comes out to be less then 0.10 it means that it is obove the 90% of the confidence level and it is accepted.

3.6.3: Testing Significance of Repressors & of the overall equation

The multiple regression equation stated will be analyzed by evaluating the measures of P-values, R-squared, DW statistic, T-statistics. As it has been elaborated already that in this study confidence interval is 90% thus which shows that the P-value greater than 0.1 will not be good but lower than 0.1 will be acceptable showing a well-built relation among independent variable with the dependent variable. R squared will analyze the health of the model.it has been considered that value of R squared greater then 70% is considered good and it also shows that independent variable shows strong relation with the dependent variable.Durbin Watson test depicts the multi colinearity DW value is greater than 1.4, there is probably not any serious autocorrelation in the residuals.

Chapter 4: Estimation, Analysis & conclusion4.1: Estimation Results

To calculate the performance appraisal I have selected different independent variables which are satisfaction, cooperation, improving skill,training, counseling, promotion, increment, personal objective, HR processes and time.

Performance appraisal = 1.59638 +0.097964*satisfaction +0.16718*cooperation -0.0577963*improving skill +0.194601*training +1.05951*counseling -0.286547*promotion - 0.277798*increment - 3.87212*personal objectives- 0.254803*HR processes + 1.18712*time .

In this equation 1.59638 is the constant estimate. In this regression every variable with its figues define the strength of independent variable on dependent variable.on the other hand the positivity and the negativity shows the relation between the variable. They are directly related and inversely related. the variables acts upon their respective signs. In this equation satisfaction , cooperation , training , counseling and time shows the positive relation while improving skill, promotion, personal objectives shows negative relation with the performance appraisal.by the equation we can see that satisfaction got the strongest positive relation of 0.09 with the performance appraisal.so it is clear that satisfaction has big impact on performance appraisal.

4.1.1 Tests of significance of regression, Parameters

While evaluating model it's regression and parameters results are kept under consideration. Primary model is used in my case. The values comes out to be as follows After an estimation of a coefficient, the t-statistic for that coefficient is the ratio of the coefficient to its standard error. That can be tested against a t distribution to determine how probable it is that the true value of the coefficient is really zero. The T statistics is the way of testing the significance of the model it is use to test the hypothesis as it is the mathematical process in which we subtract the hypothesized value from the statistical estimate and then dividing by the estimated standard error. The t-values can be either positive or negative.if it is positive it shows a positive relationship between the dependent ad independent variable and if T-value is ngative then there is a negative relationsip. to reject or accept the hypothesis using the t- statistics so for this there is a proper evaluation method. We know that t stats is the measure of the statistical significance of an independent variable b in explaining the dependent variable y. It is determined by dividing the estimated regression coefficient b by its standard error SB. That is Thus, the t-statistic measures how many standard errors the coefficient is away from zero. Generally, any t-value greater than +2 or less than - 2 is acceptable. The higher the t-value, the greater the confidence we have in the coefficient as a predictor. Low t-values are indications of low reliability of the predictive power of that coefficient. So now look at the t stats values that we have get through our regression analysis. So following is the chart of the t-stats value that I have get by running the regression and it's on per variable basis.

The values comes out from primaray data are as follows.

R-squared = 89.3082 percent

R-squared (adjusted for d.f.) = 71.4885 percent

Standard Error of Est. = 0.616566

Mean absolute error = 0.313325

Durbin-Watson statistic = 2.15597

In this case R-squared and R-squared adjusted are both above the level of 70% showing that model is fit. Standard Error of Est. = 0.616566 which depicts that that shows the linear equation is useful and thus independent variables does cause difference in the dependent variables there may b some variations but not too much. independent variables has a medium auto correlation as DW test is a bit higher then 2 it is actually 2.15597.

4.1.2 Regression Summary

I have used the stat graphic for my regression analysis. The following tables of analysis and charts show the overall result of my regression. According to the software the dependent variable comes out to be performance appraisal and the independent variables include satisfaction, cooperation, improving skill,training, counseling, promotion, increment, personal objective, HR processes and time.. Following are the tables that show the overall regression summary. Looking towards the authenticity of the model. R-squared for the model comes out to be 89.3082 percent which is very good and explain the fact that these independent variables are 89.3082 percent responsible for causing variation in the dependent variable and thus proves this model authentic. Also the adjusted R-squared stays at 71.4885 which shows that after adjustment of the error the model is still authentic because the authenticity of the model still lies above the 71.4885 thus showing that 71.4885 of the variation is caused by these independent variables in the dependent variable return .

VARIABLESP-VALUES

satisfaction

0.0751

cooperation

0.6148

training

0.03665

counseling

0.004

promotion

0.4

personal objective

0.12

time

0.09

The table above shows the P-values illustrating the impact of the independent variables personal objective comes out to be the most significant variable causing highest variation in performance appraisal.the variables which have P-value less tha0.1 have high impact on thedependent variable which is performance appraisal . these variables are training , counseling, time and job satisfaction. Remaining variables have P- values greater then 0.1 and have less impact on the performance appraisal. These variables are cooperation , personal objectives and promotion.

VARIABLEShypothesis

satisfaction

Accept H1 and reject Ho

cooperation

Reject H1 and Accept Ho

training

Accept H1 and reject Ho

counseling

Accept H1 and reject Ho

promotion

Reject H1 and Accept Ho

personal objective

Reject H1 and Accept Ho

time

Accept H1 and reject Ho

Now as it has been elaborated individually for each variable, the acceptance and rejection of null hypothesis, I have made it simpler by putting in the table above that explains four out of the 7 variable hypothesis are accepted and three are rejected. Reason for the rejection is that their P - values are greater then 0.1.the accepted variables have P_values less then one. As four of the hypothesis are accepted thus we can accept the basic hypothesis and we accept H1 that states Independent variables have a direct impact on the results of dependent variable and we reject Ho

4.1.3 Results of Parameters Tests of Significance

In the result of parameter test significance I will test my hypothesis on the basis of the parametric test that is p-value. For the testing of the hypothesis the main criteria would be that the p-value of the certain value should be below the confidence margin that is 10% or 0.1. So starting on with the very first Hypothesis

Ho: β=0 There is no relationship between performance appraisal and promotion

H1: β≠0 There is a relationship between . performance appraisal and promotion

P-value of promotion comes out to be 0.4 which is greater then 0.1 which shows a relatively weak relation among the dependent and this individual independent variable

Thus promotion will not effect or shows very little variation in performance appraisal. we reject H1 which states that promotion does not affect the performance appraisal and we accept Ho that is null hypothesis

Now the training is being seen individually and it's null and alternate hypothesis are:

Ho: β=0 There is no relationship between performance appraisal and training

H1: β≠0 There is a relationship between . performance appraisal and training

After regression it's P-value comes out to be 0.03665 which is less then 0.1 which shows a relatively strong relation among the dependent and this individual independent variable

Thus training will effect or shows very high variation in performance appraisal. we accept H1 which states that training does affect the performance appraisal and we reject Ho that is null hypothesis.

Now the counseling is being seen individually and it's null and alternate hypothesis are:

Ho: β=0 There is no relationship between performance appraisal and counseling

H1: β≠0 There is a relationship between performance appraisal and counseling

After regression it's P-value comes out to be 0.004 which is less then 0.1 which shows a relatively strong relation among the dependent and this individual independent variable

Thus counseling will effect or shows very high variation in performance appraisal. we accept H1 which states that counseling does affect the performance appraisal and we reject Ho that is null hypothesis.

Now the time is being seen individually and it's null and alternate hypothesis are:

Ho: β=0 There is no relationship between performance appraisal and time

H1: β≠0 There is a relationship between performance appraisal and time

After regression it's P-value comes out to be 0.009 which is less then 0.1 which shows a relatively strong relation among the dependent and this individual independent variable

Thus time will effect or shows very high variation in performance appraisal. we accept H1 which states that time does affect the performance appraisal and we reject Ho that is null hypothesis.

Now the job satisfaction is being seen individually and it's null and alternate hypothesis are:

Ho: β=0 There is no relationship between performance appraisal and job satisfaction

H1: β≠0 There is a relationship between performance appraisal and job satisfaction

After regression it's P-value comes out to be 0.075 which is less then 0.1 which shows a relatively strong relation among the dependent and this individual independent variable Thus job satisfaction will effect or shows very high variation in performance appraisal. we accept H1 which states that job satisfaction does affect the performance appraisal and we reject Ho that is null hypothesis

Now the job cooperation is being seen individually and it's null and alternate hypothesis

Ho: β=0 There is no relationship between performance appraisal and cooperation

H1: β≠0 There is a relationship between performance appraisal and cooperation

P-value of cooperation comes out to be 0.614 which is greater then 0.1 which shows a relatively weak relation among the dependent and this individual independent variable

Thus cooperation will not effect or shows very little variation in performance appraisal. we reject H1 which states that cooperation does not affect the performance appraisal and we accept Ho that is null hypothesis

Now the personal objective is being seen individually and it's null and alternate hypothesis

Ho: β=0 There is no relationship between performance appraisal and personal objective

H1: β≠0 There is a relationship between performance appraisal and personal objective

P-value of personal objective comes out to be 0. 12 which is greater then 0.1 which shows a relatively weak relation among the dependent and this individual independent variable Thus personal objective will not affect or shows very little variation in performance appraisal. we reject H1 which states that cooperation does not affect the performance appraisal and we accept Ho that is null hypothesis.

4.2: Limitations of the Study

While conducting this research various problems has been faced which could be stated as limitations of the study .Results for Tables after regression comes out to be quite significant but there are some limitations which had been seen while reaching those results. Time is considered to be one of the very important limitations if I would have more time I would have run some more regression test to get the perfect impact. Furthermore the research is conducted within the semester span so it was very difficult to manage the time for the other entire subject with this thesis. Unavailability of HR executive was also a limitation I had to visit number of times to the companies head offices to get my questionnaires filled but most of the time I end up with nothing due to unavailability of the HRstaff at offices. Lastly the lack of interest of officials toward the research to them it was just a formality to fill a questionnaire so there is existence of biasness in the view of officials.sample size was also small which was also a problem.

4.3: Conclusion

After running my regression I was able to prove my point.from the total of seven variable four of them got h! accepted which means that impact of those variables is significant in performance appraisal systems. These affecting variables are training, counseling ,time and job satisfaction.while the rejected H1 comprises of cooperation, personal objective and promotion.they must kept under consideration during performance appraisal for effective job performances .I hope my research will serve the purpose in the field HRM

4.4: Direction for further Research

For the further research I want to tell them to broad their appraisal systems to get the maximum population and thus it would help in increasing the sample size. Furthermore to extend the model size more number of researches should be considered to get more variables. There should be proper indication of the moderating variables and their linkage to check the serial flow to data through tunnel design. Further research on this topic should be done according to different modes of advertisement as this is for multi variables.

References

Separating the Developmental and Evaluative Performance Appraisal Uses, Boswell and Boudreau (2002)

Self-Appraisal in Performance Evaluation: Development versus Evaluation, Campbell and Lee (1988)

Performance Appraisal Effectiveness: An Empirical Assessment ,Campbell and Lee (1988)

Limits in Generalization from Psychological Research to Performance Appraisal Processes, Ilgen and Favero (1985)

Accountability Forces in Performance Appraisal: Effects of Self-Appraisal Information,Normative Information, and Task Performance, Shore and Tashchian (2002)

Performance Appraisal Systems: A Critical Analysis, Singh , Maggu and Warrier (2006)

'Japanization' of a Performance Appraisal System: A Historical Comparison of the Americanand Japanese Systems, Endo (1998)

Article name: Methods Of Performance Evaluation At Packages Ltd Business essay, research paper, dissertation