Performance Appraisal Management In Aviation Industry

Transcription

1 International Journal of scientific research and management (IJSRM) Volume 3 Issue 3 Pages \ Website: ISSN (e): Performance Appraisal Management In Aviation Industry Ratnamani Research Scholar, Pacific University, Udaipur. Ph. No.: Address: 31/2 Vasant Vihar, Phase-II, Dehradun Uttarakhand. Abstract: Now day s aviation industry plays a vital role in global economy. It s a key factor between air and land based transportation of goods and passengers. It is a part of international supply chain networks. Performance Appraisal is the systematic evaluation of the performance of employees and to understand the abilities of a person for further growth and development. The main Objectives of Performance Appraisal is to maintain records in order to determine compensation packages, wage structure, salaries raises, etc. and to identify the strengths and weaknesses of employees to place right person on right job. It is said that performance appraisal is an investment for the company that can be justified by following advantages: Promotion, Compensation, Employees Development, Selection Validation, Communication and Motivation. In this research paper we tried to identify the techniques of Performance Appraisal followed in aviation Key Words: Aviation Industry, Employees, Performance Appraisal, Appraisal Systems. PERFORMANCE APPRAISAL Performance appraisal refers to a process, which studies and evaluates the job performance of personnel formally (Mondy, 2008). In the late 20 th was seen. There has been a great realization that it is more important to focus on defining, planning and managing performance than merely appraising performance (Pareek and Rao, 2006). Performance appraisal is the traditional approach to evaluating the performance of an employee. As many people think that performance management (some call it performance development) is a new name given to wellestablished term performance appraisal and there is no difference between the two (Prasad 2005) most of the organizations takes performance management synonymously of performance appraisal. Yet performance management is clearly more than a new name for performance appraisal (Edmonstone, 1996). Most organizations prefer to call their systems as performance management system rather than performance appraisal systems. This is most welcome change of the last fifteen years (Pareek and Rao, 2006). Century, a great change in approaches to performance appraisal systems across the world. Dessler (2008) defines performance appraisal means evaluating an employee s current and /or past performance relative to his/her performance standards. He explains performance appraisal always assumes that the employees understood what his/her performance standards were, and that the supervisor also provides the employees with the feedback, development, and incentives required to Ratnamani, IJSRM volume 3 issue 3 March 2015 [ Page 2421

2 help the person eliminate performance deficiencies or to continue to perform above par. This aims at improving employee s performance. Snell and Bohlander defines (2007) performance appraisal as a process, typically performed/delivered by a supervisor to a subordinate, designed to help employees understand their roles, objectives, expectations and performance success. Further he explains performance management is the process of creating a work environment in which people can perform to the best of their abilities. It is a whole work system that begins when a job is defined. So performance appraisal is a way, by which senior officers keeps some periodic objective (for specific period) to his subordinates, clears the expected role and explain his performance success by his actual performance with pre-determined standard, and performance management is the way to creating the whole working environment so the people can perform their best. Performance Appraisal Methods: Performance appraisal methods and formats are mostly are based on three criteria: 1. Trait 2. Behaviour 3. Result Depending on these criteria there are several methods: Comparative/Relative Approach: These types of appraisal techniques specifically call for relative comparisons among workers performances. These techniques are referred to as personnel comparison systems, and they include the paired comparison, rank-ordering, and forceddistribution methods. 1. Ranking 2. Paired Comparison 3. Forced Distribution/Forced ranking Absolute Standard Approach: Some of the most popular rating methods typically call for some type of absolute judgment of performance that is, the rater must indicate whether or not the rate s performance meets the standards that are described in statements on the rating scale. Some of the absolute rating standards are as follows: Result Based Approach: Critical Incident Narrative Essay Checklist Graphic Rating Scale (GRS) Behaviourally Anchored Rating Scales (BARS) Behavioural Observation Scales (BOS) Forced Choice In contrast, outcome-oriented appraisal techniques are primarily concerned with the results of work performance. These techniques include work planning and review and the well-known management by objectives approach. They are intended to focus not on what an employee does or are but on what an employee produces. Performance Appraisal Measurement Methods and Forms Evaluate Decisions Development Decisions Fig1.Performance Appraisal Measurement Methods and Forms Critical Incidents Approach The critical incident method consists of collecting reports of behaviors that are considered critical in the sense that they make a difference in the success or failure of a particular work situation. The incident is defined as critical by an observer, who also makes a judgment as to its effectiveness. According to Flanagan (1954), a legitimate critical incident report is one in which there is reference to actual behavior in a specific situation with no Ratnamani, IJSRM volume 3 issue 3 March 2015 [ Page 2422

3 mention of traits or judgmental inferences. Flanagan pointed out that training with the critical incident method would quickly improve the quality of the incident reports. Common Problems with the Performance Appraisal Process MBO BARS Several remedies have been proposed for the recurring problems in performance measurement, but none of them has been more heavily researched in recent years than behavioral expectation scaling or behaviorally anchored rating scales (BARS). The BARS method was introduced by Patricia Cain Smith and the late Lorne Kendall in a 1963 study sponsored by the National League for Nursing. Since that time, there have been. BARS may be described as graphic rating scales with specific behavioral descriptions utilizing various points along each scale. Each scale represents a dimension or factor considered important for work performance. Typically, both raters and rates are involved in the development of the dimensions and the generation of behavioral descriptions. Management by objectives (MBO) is the popular name for a process of managing that can focus on the performance of individuals in organizations. In general, it is a goal setting process whereby objectives may be established for the organization, each department, each manager within each department, and each employee. MBO is not a measure of employee behavior; it is an attempt to measure employee effectiveness, or contribution to organizational success and goal attainment. Desirable Characteristics of an Appraisal Form 1. It must be simple 2. Relevant 3. Clarity of content 4. Adaptable 5. Comprehensive 6. Communicability of the form must be easy Fig 2.Performance Appraisal Problems and Avoiding Them Objectives of the Study: To identify the techniques of Performance Appraisal followed in aviation industry. To identify how the performance of the employees is improved and enhanced. Research Methodology: Data source: Primary as well as Secondary. Research approach: Survey Method. Research instrument: Questionnaire. Respondents: The Managers & Employees of various organizations. The primary data was collected with the help of survey information. A concise questionnaire was prepared keeping in mind the information specifications. Population: Ratnamani, IJSRM volume 3 issue 3 March 2015 [ Page 2423

4 The population selected for this particular study is employees of aviation industry. Quantitative Process Criteria 35 Sampling: The sampling population of this research includes 100 employees of aviation industry. This research followed the random sampling method representative population. The population belongs to an age group of Data Analysis and Table 1. EMPLOYYES RESPONSE TOWARDS TYPE OF APPRAISAL SYSTEM Assessment Centre 15 MBO 20 BARS Degree Feedback 10 Balance Scorecard 45 While conducting the research it is found that 25% employees replied for Quantitative Outcome Criteria, 40% employees said that Qualitative Process Criteria and 35% employees said that Quantitative Process Criteria. Table 3. EMPLOYYES RESPONSE TOWARDS TIMING OF APPRAISAL Annual 68 Half Yearly 20 Quarterly 12 Monthly 0 Anytime 0 While conducting the research it is found that 45% employees said that Appraisal system is Balance Scorecard, 20% said MBO, 15% said Assessment Centre, 10% said BARS and 10% said 360 Degree Feedback. Table 2. EMPLOYYES RESPONSE TOWARDS PERFORMANCE APPRAISAL CRITERIA Quantitative Outcome 25 Criteria Qualitative Process Criteria 40 Ratnamani, IJSRM volume 3 issue 3 March 2015 [ Page 2424

5 68% employees said that timing of appraisal is annual, 20% employees said that half yearly and 12% employees said that quarterly. Table 4. EMPLOYYES RESPONSE TOWARDS AN INDIVIDUAL EMPLOYEE IS EVLUATED ON THE BASIS OF HIS/HER Technical 55 Behavior 30 Adaptability 10 Any Other 5 40% employees said that performance assessment match to employee expectation rarely, 20% employees said that often, 15% employees said that every time, 15% employees said that sometimes and 10% employees said that never performance assessment match to employee expectation. Table 6. EMPLOYYES RESPONSE TOWARDS SATISFIED WITH APPRISAL SYSTEM ADOPTED CURRENTLY Yes 60 No 40 55% employees said that employee is evaluated on the basis of his/her technical, 30% employees said for behavior, 10% employees said for adaptability and 5% said for any other evaluation technique. Table 5. EMPLOYYES RESPONSE TOWARDS PERFORMANCE ASSESSMENT MATCH TO EMPLOYEE EXPECTATION Never 10 Rarely 40 Sometimes 15 Often 20 Every time 15 60% employees were satisfied with appraisal system adopted currently and 40% employees were not satisfied with appraisal system adopted currently. Ratnamani, IJSRM volume 3 issue 3 March 2015 [ Page 2425

6 Table 7. EMPLOYYES RESPONSE TOWARDS PERFORMANCE APPRAISAL Immediate Supervisor 9 Peer Appraisal 12 Rating Committee 49 Self Rating 20 Appraisal By Subordinates 10 62% employees said that the purpose of appraisal system is Salary Administration & Benefits, 14% employees said that Determination of Promotion of Transfer, 11% employees said that Guideline for Training Plan, 8% employees said that Assistance in Goal and 5% employees said that purpose of appraisal system is Decision to Layoff. 49% employees said that performance appraisal by Rating Committee, 20 % employees said that performance appraisal by Self Rating, 12% employees said that performance appraisal by Peer Appraisal, 10% employees said that performance appraisal by Subordinates and 9% employees said that performance appraisal by Immediate Supervisor. Table 8. EMPLOYYES RESPONSE TOWARDS PURPOSE OF APPRAISAL SYSTEM Determination of 14 Promotion of Transfer Salary Administration & 62 Benefits Decision to Layoff 5 Guideline for Training Plan 11 Assistance in Goal 8 Conclusion: While conducting the study it is found that most employees said that appraisal system is scorecard. There are three performance appraisal criteria i.e. Quantitative Outcome Criteria, Qualitative Process Criteria and Quantitative Process Criteria. Timing of appraisal is annually. Employees are evaluated on the basis of his/her Technical, Behavior and Adaptability. Performance assessment matches to employee expectation rarely. Many employees were satisfied with appraisal system adopted currently and some employees were not satisfied with appraisal system adopted currently. In aviation industry, there is performance appraisal by Rating Committee, Self Rating, Peer Appraisal, Immediate Supervisor and Appraisal By Subordinates. Purpose of appraisal system is Salary Administration & Benefits, Determination of Promotion of Transfer, and Guideline for Training Plan, and Assistance in Goal. Ratnamani, IJSRM volume 3 issue 3 March 2015 [ Page 2426

7 References: (1) Deessler, G. (2008): Human Resource Management. Pearson Education (2) Edmonstone, J. (1996) Appraising the state of performance appraisal, Health Manpower Management, Vol. 22(6), pp (3) Lee, M. and Son, B. (1998) The Effects of Appraisal Review Content on Employees Reaction and Performance, International Journal of Human Resource Management, Vol.1, pp.283. (6) Prasad, L.M. (2005): Human Resource Management. Sultan Chand & Sons: Educational Publishers (7) Pareek, U. and. Rao, T.V. (2006): Designing and Managing Human Resource System. Oxford and IBH Publishing Co. Pvt. Ltd. (8) Snell,S. and Bohlander,G. (2007): Human Resource Management. Thomson Southwestern (4) Monappa, A. and Mirza S. Saiyadain, (1997): Personnel Management. Tata McGraw-Hill Publishing House Company Limited (5) Mondy, R.W. and. Noe, R. M. (2008): Human Resource Management. Pearson Education Ratnamani, IJSRM volume 3 issue 3 March 2015 [ Page 2427