MUMBAI
Employees need a transparent system of appraisal. If it is not transparent, it increases uncertainty, which leads to higher level of stress and ill health.
Employees need a transparent system of appraisal. If it is not transparent, it increases uncertainty, which leads to higher level of stress and ill health. The negative attitude of employees results in lowering of loyalty and commitment.
These are some of the findings of the research study ‘Examining best practices in performance appraisal’, conducted by two professors Archana Ernest and Jaimani Sail, of Sinhgad Institute of Business and Research, in Kondhwa.
The research study was funded by the University of Pune’s (UoP) Board of Colleges and University Development (BCUD). The research paper, presented at the international business research conference held at Imperial College, London, was highly appreciated.
BCUD director, WN Gade, officer on special duty Mohan Waman and Sinhgad society president, MN Navale, have appreciated the study.
The two professors collected data from human resource (HR) managers from 15 different info-tech firms in Pune and conducted a survey after preparing a questionnaire. Ernest told DNA the study was conducted under the concept of attitude management
of employees.
“During their appraisals, employees receive monetary and non-monetary benefits. Monetary benefits are hikes in payments while non-monetary benefit includes promotions, perks and
others,” she said.
The hypothesis of the study were: an appraisal process if, firstly, customised exactly to the organisation’s requirements, can be more effective in terms of satisfying the very basis (intention) of conducting appraisal.
If not transparent, it may cause lack of motivation among employees. The objectives of the study were to understand how performance is measured and appraisals conducted, to study the pros and cons of the appraisal system followed; and to investigate the scope for improvement and suggest possible improvisations.
“The study was supported by psychological analysis of the employees and HR managers. The psychological method of psychological bars was used for the analysis,” the researchers said.
It was analysed that how and who does the appraisals and how gaps remains between final appraisals and key result areas.
“We observed gaps between the appraisal process and the end, the employees,” Archana said. The survey revealed that appraisals
are done for motivation and formation of positive attitude of employees towards work.
Timely evaluation of the employees is needed for maintaining faith of the employees in the company.
It was also revealed that evaluation of the employees must be done on time, else it leads to unrest among them, which causes
attrition.
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