A Summer Internship Project Report

On

“A Study on Performance appraisal of employee of VMCBL”

At

The Veraval Mercantile Co-Operative Bank Ltd.

Submitted to

Institute Code: 817

Narandas Jethalal Sonecha Management and Technical Institute

Under the Guidance of

Miss Shital vadhavi

(Assistant professor)

In partial fulfillment of the Requirement of the award of the degree of

Master of Business Administration (MBA)

Offered By

Gujarat Technological University

Ahmedabad

Prepared by:

Suhashi B. Siddhpura

218170592010

MBA (Semester-III)

August- 2022

1
 Declaration

I hereby declare that the Summer Internship Project Report titled “A Study on performance
Appraisal of the employee” in The Veraval Mercantile Co-Operative Bank is a result of my
own work and my indebtedness to other work publication, references, if any, have been duly
acknowledged. If I am found guilty of copying from any other report or published information
and showing as my original work, or extending plagiarism limit, I understand that I shall be
liable and punishable by the university, which may include ‘Fail’ in examination or any other
punishment that university may decide.

Enrollment no. Name Signature

218170592010 Suhashi B. Siddhpura

Place: Date:

2
 Examiner Certificate
This is to certify that project work embodied in this report entitled “A Study performance
Appraisal of the employe in VMCBL” was carried out by Suhashi B.
siddhpura(218170592010) of Narandas Jethalal Sonecha Management & Technical
Institute (Code: 817)
The report is approved / not approved.
Comments of External Examiner:

This report is for the partial fulfillment of the requirement of the award of the degree of Master
of Business Administration offered by Gujarat Technological University.

(Examiner’s Sign)
Date:
Place:

3
 Preface

MBA students have to undergo industrial training as per syllabus of Gujarat technological
university. The report has to prepare in a major with master degree of concentration on a
particular aspects.

India makes high progress on industrial levels. Due to liberalization and globalization
industrial and business opportunities are increasing. So to achieve the opportunities demand of
competitive management and skilled manager are also being increased. MBA program is very
well for this necessity. Because it is well structure and integrated course of management studies.
In MBA practical knowledge is as necessary as theoretical knowledge.

When I was under summer internship program in the field of human resource management
of “ The veraval mercantile co-operative bank Ltd”. I have studied all the major aspect of “A
Study performance Appraisal of the employee” at veraval mercantile co-operative bank ltd. I
have tried my best to present these facts in a systematic way as prescribed.

As a part of MBA stream, I had done summer internship project with reference of THE
VERAVAL MERCANTILE CO-OPERATIVE LTD. located in veraval.

4
 Acknowledgement

Writing research is not possible by one person. It needs co-operation and efforts of people who
are involved in it at every stage. I am thankful to every person for helping me so much in my
summer internship project.

Firstly, I would like to thank almighty God and my parents for supporting me in every way.

I am thankful to the whole staff of The Veraval Mercantile Co-Operative Bank Ltd. for providing
guidance and training to me.

I am very much thankful to our institute guide Miss. Shital Vadhavi for their guidance and
support.

Lastly, I want to thank all those people who helped me a lot during my research study.

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 Executive Summary

The role of banking industry is expanding & is becoming part for the growth of the country.
Everyday banking sectors are providing many financial products. In which some are old & some
are new from Indian context. However, some products have presence in the country since long,
like Saving A/c, Current A/c, Fixed Deposit, Loan & advances etc. But in the age of
globalization with free entry of lots of private sector this products needs some modifications.

This research investigates the relationships of discerned usefulness, attitude of customer,

customer satisfaction and customer adaptation of banking in the context of VMCBL. This report
is prepared by information taken from annual reports, websites, help from officials and personal
experience.

Firstly, I have given introduction about the industry profile of banking sector and co-operative
banks.

After then I have given introduction of Veraval Mercantile Co-operative Bank Ltd., its profile,
functions, facilities and other information about the bank.

Then I have given introduction of my topic and introduction of the study. I have described about
the Sources of data, Collection of data, Hypothesis Formulation, Findings, Suggestions and
Conclusion and Limitations of the report.

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 CONTANT TABLE

SR. NO PARTICULAR PAGE.NO

Part 1 Industry overview

History of the Indian bank
Primary function of the bank
Growth and development
Major market player in the industry

Part 2 Overview of the VMCBL

The award & achievement of VMCBL
Growth & Development of the VMCBL
Development at glance
Branches of VMCBL
Board of directors list
Mission ,vision and objective of VMCBL
Product & Services provided by VMCBL
Functional department in VMCBL
SWOT analysis

Part 3 HR department
Introduction of the performance appraisal
Meaning & Definition of the performance
appraisal
Characteristics of performance appraisal
Objective of the performance appraisal

Part 4 Research paper

Background of study
Literature review
Statement of the problem
Objective of the study

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Part 5 Research methodology
Research & methodology
Hypothesis framing
Research design
Sampling method
Sampling size
Source of data
Data collection method
Data analysis & interpretation
Hypothesis testing
Result & finding
Suggestion & conclusion
Scope of study
Limitation of the study
Bibliography
Annexure

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 Introduction to the Banking Industry

The rapid transformation in the banking industry over the last decade has made the
industry stronger, cleaner, transparent, efficient, faster, disciplined and a lot more competitive.
The banking industry in India has a huge canvass of history, which covers the traditional banking
practices from the time of Britishers to the reforms period, nationalization to privatization of
banks and now increasing numbers of foreign banks in India. Therefore, banking in India has
been through a long journey. Rural banking and micro financing are the two gateways for the
Indian banks to grow and compete with international banks.

The use of technology has brought a revolution in the working style of the banks and it has
pervaded each and every aspect of human life in a drastic manner. Advent of anytime, anywhere
banking has become possible due to technology adoption. Life has changed enormously due to
gadgets and appliances becoming easy to use and that too, in affordable prices.

Mobile phones, Digital cameras, I- phones, Dish TV are now common household goods and no
more come in category of luxury items. Together with that, the entry of plastic money has
opened new avenues for cashless transactions considered safer and more convenient than
watching every time whether the wallets are still struck in our hip pockets, vanity bags or not
when we move out for shopping or on journeys.

As we know finance is considered as the life blood of all economic activities and has become
integral part of modern business. A country’s financial system works in a set of financial
markets, financial services and financial institutions

 MARKET SIZE OF BANKING:

 Public sector banks : 12
 Private sector banks : 22
 Foreign banks : 46
 Regional Rural banks : 56
 Urban cooperative banks : 1485
 Rural cooperative banks : 96000

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 History of Indian Bank

The first banks were Bank of Hindustan (1770-1829) and The General Bank of India, established
1786 and since defunct. The largest bank, and the oldest still in existence, is the State Bank of
India, which originated in the Bank of Calcutta in June 1806, which almost immediately became
the Bank of Bengal. This was one of the three presidency banks, the other two being the Bank of
Bombay and the Bank of Madras, all three of which were established under charters from the
British East India Company.

The three banks merged in 1921 to form the Imperial Bank of India, which, upon India’s
independence, became the State Bank of India in 1955. For many years the presidency banks
acted as quasi- central banks, as did their successors, until the Reserve Bank of India was
established in 1935. In 1955, RBI acquired control on Imperial Bank of India, which was
renamed as State Bank of India. In 1959, SBI took over control of eight private banks floated in
the erstwhile princely states and making them as its 100% subsidiaries.

In 1969 the Indian government nationalized all the major banks that it did not already own and
these have remained under government ownership. They are run under a structure known as
‘profit-making public sector undertaking’ (PSU) and are allowed to compete and operate as
commercial banks. The Indian banking sector is made up of four types of banks, as well as the
PSUs and the state banks; they have been joined since the 1990s by new private commercial
banks and a number of foreign banks.

Primary Functions of a Bank

10
Earlier functions of bank were to accept deposit and lending loans & advances. But now with the
development of the country and because of globalization there are additional functions of banks
other than above two.

They are as follows:

● To provide locker facility.

● To collect cheques, drafts on behalf of the customer.

● To provide overdrafts facility.

● To provide Automated Teller Machine (ATM), credit cards facility.

● To provide online banking and mobile banking services.

● To provide demat account.

GROWTH AND DEVLOPMENT

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The banking sector comprises of 28 public sector banks with majority government ownership,
23 private banks and 27 foreign banks. Private sector banks were barred from involvement in the
banking market after the nationalization of banks in 1969.
Most important changes were implemented after 1990. First, the market was opened up to
private sector banks and foreign banks. Second, regulations governing the establishment of
branches were amended. Third, regulations relating to lending were eased.
Fourth, public sector banks were allowed to procure financial resources from the stock market
up to 49% of their paid-up capital.
The state of affairs began to change after 2000.The government adopted a policy of converting
development financial institutions into banks, and ICICI became a bank in 2001, followed by
IDBI in 2004.
During this period, one public sector bank and four private sector banks were established, and 16
foreign banks entered the market. In March 1991, foreign banks had 151 branches. This had
increased to 205 by March 2001, and to 295 by March 2009.

MAJOR MARKET PLAYER IN THE INDUSTRY

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THE VERAVAL MERCANTILE CO-OPERATIVE BANK LTD.

13
The Veraval Mercantile Co-operative Bank Ltd. established in 1972 and today it is a leading
UCB in the Saurashtra region. The Bank has its branch network in Gir Somnath district,
Junagadh district, Rajkot district and Jamnagar district. The Board of Directors of the bank are
prominent Businessman, Doctors and engaged in various social activities.

The Bank has formed its own traditional values in business practices and in serving the local and
small customers. At the same time it has adopted new technologies and advanced banking tools
to add value to its services.

The bank has carved a position in the urban banking sector with its rich heritage, technology,
integrity, loyalty to the prudent banking practices, savvy customer services.The Veraval
Mercantile Co-operative Bank has attained a multifarious growth not only in financial standard
but also in overall expansion of activities.

By providing class and mass services to the urban and semi-urban areas The Veraval Mercantile
Co-operative Bank has proved itself a pioneer in the Co-operative service sector.

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 The Awards & Achivement

Year
♦ The bank received “FCBA – 2018-19 Award” for best Credit Growth by Banking Frontier
Magazine at Goa.
2019-20
♦ E-Stamp Facility has been started.

♦ Total Deposits of the bank crossed Rs.500 crore where Total Advances was on Rs.291 crore.
2018-19
♦ The bank received “Banco Blue Ribbon Award – 2017-18” by Banco Magazine at Mumbai.

♦ Expansion of Area of Operation to Entire State of Gujarat.

♦ The bank has started 2 new branches at Bedi (Dist. Rajkot) and Zanzrda Road Branch at
2016-17
Junagadh.

♦ Started RuPay Debit cum ATM card Facility.

♦ Rajkot branch shifted in new bank’s own premises.

2014-15
♦ Implementation of CBS and Any Branch Banking

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 GROWTH & DEVLOPMENT OF THE VERAVAL MERCANTILE CO-
OPERATIVE BANK LTD.

Growth and development of the VMCBL last six year

Progress at glance

(RS. In lakhs)

YEA NO.OF SHARE RESERV DEPOSI ADVANCE WORKIN PROFIT DIVIDEND

R MEMBER CAPITA E T S G S
S L CAPITAL
2017 23675 994.97 3527.23 42836.7 21542.18 49464.13 425.00 12%
7

2018 24332 1244.40 4776.97 44335.0 25279.54 52647.46 441.00 12%

0

2019 24781 1412.79 5303.76 50626.4 29145.09 60230.12 476.00 12%

8

2020 25327 1548.32 4948.43 56377.2 31399.42 67110.21 501.00

6

2021 26259 1673.72 6679.23 60723.6 36265.84 72684.84 551.00 12%

8

2022 26790 1729.94 6699.57 63904.3 36449.61 76927.42 1225.00 12%

3

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 DEVLOPMENT AT GLANCE

Regi. No & Establish Date RBI Licence No. & Date Commencement of business
8225 (23-11-1971) GJ.670.P - (28-11-1986) 02-03-1972

PAN NO. TAN NO. GST NO.

AAAAT2424J – 23–03-1972 RKTT00259A – 30-08-2003 24AAAAT2424J3ZO – 07-09-2017

IFS CODE HDFC0CVMCBA

OSS CODE NO. 08671601
DICGC CODE NO. 43091 (G-260)
PROVIDENT FUND CODE NO. GJ- 16920
DEAF CODE 0810
AREA OF OPERATION ENTIRE STATE OF GUJARAT

BRANCHES

No. Branch Name Address and Opening Date

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1 Administrative Office ‘Suvas’, 1st floor, Junagadh Road, Veraval.

2 Main Branch ‘Suvidha’, Subhash Road, Veraval

OD: 02-03-1972

3 Rayon Branch ‘Suvas’, Junagadh Road,Veraval

OD: 27-09-1984

4 Una Branch ‘Suvidha’, opp K.V. school, Una.

OD: 16-01-1984

5 Sutrapada Branch ‘Suvas’, Near Bus-Stand, Sutrapada.

OD: 14-12-1988

6 Junagadh Branch ‘Suvidha’, Maharshi Arvind Marg, Junagadh.

OD: 23-01-1995

7 Rajkot Branch Foresight Building, 1st Floor, Akshar Marg Near Kalawad
Road, Rajkot.
OD: 15-08-1996

8 Keshod Branch ‘Suvidha’, Jalaram Mandir Road, Keshod.

OD: 30-08-1996

9 Manavadar Branch ‘Suvidha’, 1st Floor, Near Girls school, Manavadar.

OD: 04-09-1996

10 Bedi Branch Bank Unit, Office No. 6, Shri Sardar Vallabh Bhai Patel
Marketing yard, Morbi Road, Bedi.
OD: 03-10-2016

11 Zanzarda Branch Shrinand Apartment, Ground Floor, Near Bharat

Petroleum, Zanzarda Road, Junagadh.
OD: 11-12-2016

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12 Dared Branch Silver Point, Shop No 29-30, Pramukh Swami Circle,
GIDC Phase-3, Dared. Jamnagar.
OD: 18-03-2018

BOARD OF DIRECTORS

Shri Atul D. shah General manager & CEO

Shri Navinbhai H. shah Chairman

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Shri Dr. Kumudchandra A. Fichadia Managing Director

Smt. Bhavnaben A. Shah Joint managing Director

Shri Pradipkumar P. Shah Director

Shri Jitendrakumar A. Hemani Director

Shri Ashokkumar D. Madia Director

Shri Prakashchandra V. Parekh Director

Shri Manishbhai P. Shah Director

Shri Karshanbhai J. Solanki Director

Shri Ketanbhai L. chandrani Director

Shri Jitendrabhai M. parekh Director

Shri Pradipbhai D. Madia Director

Shri Dr. Kumudben R. Mehta Director

Shri Arjnbhai D. chavda Director

Dr. Sumatilal T. Hemani Director

Dr. Mukeshkumar D. Thummar Director

Shri Yusufbhai I. Vahanvati Director

Shri mahendrabhai A. Shah Prof. Director

Miss Manali N. Kamdar Prof. Director

MISSION & VISSION & OBJECTIVE OF THE VMCBL

Mission:

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 Mission of Veraval Mercantile Co-operative Bank Ltd. is to provide supreme service and
relentless development in banking. To remain healthy and gainfully profitable bank. And
also VMCBL wants to promote banking habits among the weaker sections of the society
residing in urban and semi-urban areas.

Vision:

Veraval Mercantile Co-operative Bank wants to play a vital role in country’s

development. VMCBL also wants to become a leading bank. And to make available
special made services.

Objective:

Every year VMCBL wants to achieve positive economic value added and wants to
become a market leader.

Main objective of VMCBL is to become one of the top 5 financial institutions in terms of
market share in all significant market segments it serves.

Products & Services provided by VMCBL

Facilities & Services Provided by the VMCBL

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1. Current Deposits
2. Saving Deposits
3. Fixed Deposits
4. Recurring Deposits
5. Lockers Facility
6. Provide Loan
7. RTGS & NEFT Services
8. ATM card
9. SMS and Missed calls
10. PMJJBY & PMSBY
11. Atal pension yojna

We Describe in Under:

1. Current Deposits:

Current Deposit means a form of demand deposit wherefrom withdrawals are

allowed any number of times depending upon the balance in the account or up to
a particular agreed amount. These accounts are meant purely to meet the business
needs of customers. Hence, no interest is paid on balances in Current accounts.

2. Saving Deposits:

“Saving deposit” means a form of interest bearing demand deposit which is a deposit
account whether designated as “Saving Account”. This account is opened with
minimum amount decided by bank. Such account is subject to the restrictions as the
number of withdrawals as also the amounts of withdrawals permitted by the bank
during any specified period.

3. Fixed Deposits:

Fixed deposit, also known as an FD, is an investment instrument offered by banks, as

well as non-banking financial companies (NBFC) to their customers to help them

22
 save money. With an FD account, you can invest a sizeable amount of money at a
predetermined rate of interest for a fixed period. At the end of the tenure, you receive
the lump sum, along with an interest, which is a good money-saving plan. Banks
offers different rates of interest for a fixed deposit account.

4. Recurring Deposits:

Investment in Bank's Recurring Deposit fetches fixed returns based on the pre-
determined interest rates by the bank. So, for investors who want to save a regular
amount, Recurring Deposit is a good investment option. Moreover, Recurring
Deposit is a safe investment tool as they do not carry any risk.

5. Locker system:

Locker is a small sized storage system equipped with locks. Locker system is one
kind of security which is provided by VMCBL. Locker is used to keep valuable
things like jewelry, gold and important papers. VMCBL charges nominal rent for
lockers from customers.

6. Loan Facility:

A Loan is a facility which allows a person or firm to borrow money up to a particular

amount if and when needed. Loans are of two type Long term loan and Short term
loan. The Short term loan is for a period of less than one year and Long term loan is
for a period of more than one year. Bank charges some interest on loan which
customer has to pay.

7. RTGS:

RTGS stands for Real Time Gross Settlement. RTGS is transfer of money from one
bank to another. Here bundling is not done. Real Time means transaction is settled as
soon as they are processed without waiting period. Gross Settlement means

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 transaction is done one-to-one basis. RTGS is not possible on holidays. Minimum
amount required is Rs.2 lakhs & above.

8. NEFT:

NEFT stands for National Electronic Fund Transfer. It is an electronic payment

system to transfer funds from one account to another between NEFT participant bank
branches in India. Here settlements are done in batches. NEFT is done for the amount
less than Rs. 2 lakhs. NEFT is not possible on holidays.

9. ATM Card:

ATM stands for Automated Teller Machine. ATM is an electronic device that allows
customers to perform financial transactions. Such financial transactions includes cash
deposit, cash withdrawals, mini statement of balance in account can be obtained. All
this transactions are done without the help for direct interaction with bank staff.

10. SMS and Missed calls:

The Veraval Mercantile Co-operative Bank Ltd. has started missed call service to its
valued customer for Balance Inquiry. Upon missed call SMS with Balance detail of
will be sent on bank registered mobile number.

11. PMJJBY; (pradhan mantri jeevan jyoti bima youjna)

Applicant should be the account holder of our bank. Age should be between 18-50
years. Insurance cover of Rs. 2 lakh will be given by LIC of India. Under the
scheme, claim amount will be paid to nominee of account holder, upon the death of
assured. Annual premium of Rs. 330/- will be recovered from applicant’s bank
account. Prescribe consent cum declaration should be submitted by customer to join
under this scheme.

PMSBY: (pradhan mantra suraksha bima youjna)

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 Accident Insurance Covers of Rs.2.00 lacs @ just RS.1 Per Day Premium. Individual
account holder of our bank can apply.Age should be between 18-70 years. Claim
amount will be paid to account holder’s nominee in case of accidental death. Annual
premium Rs. 12/- will be debited to account holder’s account. Prescribed consent cum
declaration should be submitted by customer to join under this scheme.

12. Atal pensiom Youjna:

The Atal Pension Yojana (APY), which will provide a defined pension, depending on
the contribution, and its period. , the subscribers would receive the fixed minimum
pension of Rs. 1000 per month, Rs. 2000 per month, Rs. 3000 per month, Rs. 4000
per month, Rs. 5000 per month, at the age of 60 years, depending on their
contributions, which itself would be based on the age of joining the APY.

Functional Departments in VMCBL

Departments are the bodies of organizations which are formed to organize people, relationships,
work and reporting in such a way that helps to achieve the organizations goals. Like every

25
company have different departments that works to achieve company goals, banks also have
departments that best supports for the accomplishments of the banks goals.

Veraval Mercantile Co-operative Bank has various departments which are classified on the basis
of the functions what they are performing. In VMCBL departments are classified at two levels.
They are Branch Level and Administrative Level. Departments of VMCBL are listed below:

At Branch Level:

● Cashier Department
● Loan Department
● Clearing Department
● Locker Department
● Fixed Deposit Department

At Administrative Level:

● Human Resource Department (HR)

● Management Information System Department (MIS)
● Marketing Department

 AT Branch level:

Cashier Department:

Cashier Department is the most important department of the bank, because it has direct
interaction with customer. Cash department does transactions like receiving and payment of
cash. Their duties also include handling cash inquiries made by customers and make the

26
customer experience satisfactory. Their duties include accepting credit slips, cheques and
ensuring balance in all transactions at the end of the working period.

Loan Department:

Loan Department is one of the functions in banks. In a loan process, the important job of the
banker is the selection of the borrower. Loan Department has to maintain credit risk, credit
exposure of the bank, conformity of central bank ltd., recovery and collecting dues of loan &
advances. Activities performed by them are maintaining and managing the financial books of the
bank, checking all the entries of the book accordingly to standards etc.

Clearing Department:

Clearing department does the activity of clearing cheques. Clearing of cheques is the process of
cheque deposited by customer in bank and the processing department clears the cheques. It is the
movement of cash from the bank in which it us drawn to the bank in which it was deposited. It is
accompanied by the movement of the cheque to the paying bank, either in the physical paper
form or digitally under a cheque truncation system. It is called clearing cycle.Cheque would be
returned, when cheque is arrived at the issuing bank and that account does not have enough
funds. Such returning of cheques is also known as dishonored cheque.

Locker Department:

A locker is a small sized storage system equipped with a lock. A bank locker is used to keep
valuables like important documents, gold etc. It can be hired by companies, individuals, trusts
etc. Bank has to carry out KYC checking after identifying risk associated with the hirer. Before
providing locker facilities to any customer, bank has to collect necessary documents that are
required to hire a locker. An agreement is made between bank and customer, which customer has
to agree and sign it.

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Fixed Deposit Department:

FD is one kind of investment product which allows the investors to invest a lump sum amount
for a fixed period of time & at a fixed interest rate. Amount is deposited for as a short period as 7
days to 10 years. Interest rate differs in different banks or financial institution. The FD
department of a bank applies interest rate from the date of receipt of funds by bank and is fixed
for the specified duration. FD account holder will be liable for TDS, if the aggregate interest
income from FD is greater than 10,000.

⮚ Administrative Level

Human Resource Department (HR):

HRM means to manage people in your organization. VMCBL used it to enhanced employee
capabilities. As banking is a sector which always is a people business. It requires effective &
efficient to be successful. HR Department in VMCBL has the duty to find and recruit right
people for the right job in the banks.

The main challenge that is faced by any banks is to handle different risk and managing people in
banks.

People who are going to deal with customers are the face of the bank and HR Department has to
make sure that they have such working capabilities. They have to provide training before assign
them to work, so fresher are aware of the degree of core banking industry and customer
relationship.

Marketing Department:

Marketing plays a very important role in promoting business and mission of the organization

28
Marketing means efforts to make people aware about your products and let them believe by
doing so, their needs will be satisfied at its best. Customers now a days are becoming quality
conscious of service served to them.

Marketing of banking sector is the aggregate of functions, directed at providing services to

satisfy customer financial needs and wants, more effectively than the competitors keeping in
view the organization objectives of the bank.

Marketing is done for the products of an organization. Banks also have products like current a/c,
saving a/c, demand draft, cash credit, locker system, charges and commission on certain service,
rebate facility, ATM facility etc.

Management Information System Department (MIS):

A Management Information System is an information system used for the coordination, analysis,
control and visualization of information in an organization. MIS is used for decision making by
gathering and producing reliable and relevant data.

A bank is a place which offers the financial services like savings/checkings and providing credit
to the customers.

Following reports are given by MIS Department to the management:

● The account which is going below the minimum balance required.

● The account which is having balance of more than Rs. 50,000.
● The non-moving account.
● An unusual rise and fall in the account movement.
● If there is a default in loan repayment.

29
 SWOT analysis

A SWOT analysis of a bank formally evaluates the financial institution's strengths,

weaknesses, opportunities and threats. A SWOT analysis of a bank formally evaluates the
financial institution's strengths, weaknesses, opportunities and threats.

Strength Weakness
 Good Working Staff  Credit card facility is not Provided
 Efficient Management  Limited online Advertising experience
 Customer Preference towards bank  Limited social Media success
 Good Prestige  Small area of the operation
 Highly automated System  Net banking facility is not are there
 Effective Sales and Services culture
 Focus on internal marketing
Opportunity Threats
 Develop customer relationship culture  Customer changing behavior
 Staff Education  Small network of the operation
 RBI Policies  Changes in technolodgy
 Trust of the Society  High levels of inflation
 Large untapped area of expansion.  Many emerging new entrants

Recruitment & Selection

30
Recruitment:

Recruitment is a Linking Function‟ joining together those with jobs to fill and thoseseeking jobs.
Recruitment makes it possible to acquire the numbers and types of peoplenecessary to ensure the
continued operation of the organization. Recruiting is the discovering ofpotential applicants for
actual or anticipated organizational vacancies.

In simple term recruitment applies to the process of attracting potential employees to the
organization or company. It is a systematic means of finding and inducing available candidates
to apply to the company or enterprise fe employment. Recruitment is said to be positive in its
approach as it seeks to attract as many candidates as possible.

The best internal source is promotion and advertisement of jobs etc. in VMCBLrecruitment is
done from college campus and based on the interview. Promotion of any person isbased on its
work and performance not on its seniority. In VMCBL the source of generalrecruitment and
selection is done for recruitment of top or executive level and the manager.

Generally there are three methods of recruitment:

 Direct Method

 Indirect Method

 Third party method

In VMCBL use direct method for employees of bottom level and managerial level

recruitment is done through interview.

Selection:

31
Selection is the process of picking individual with requisite qualification and competences to fill
in the organization. A formation definition of selection is that it is the process of differentiating
between application in order to identify those with a greater like hood of success in a job.

Selection is the process of examining the applicants with regard to their suitability for the given
job or jobs, and choosing the best from the suitable candidates and rejecting the others.

VMCBL like recruitment procedure completed, selection procedure starts, proper candidates
they go through same systematic steps Like,

 Applications

 Written exams

 Preliminary interview

 Personal interview

 Document verification

 Final selection

Training and development

32
Training:

Training is the important subsystem of human resource development. Training is

specialized function and is one of the fundamental operative functions of human resource
management. It is a short term process utilizing a systematic and organized procedure by
which non managerial personnel acquire technical knowledge and skills for a define
purpose. It refers to instruction in technical and mechanical operation. Training is related
to their job profile, services to customer, and knowledge about new products. The
training is given by the senior officers to the employees.

Development:

Development is a long term education process utilizing a systematic and organized

procedure by which managerial personnel get conceptual and theoretical knowledge. In
other words, it refers not to technical knowledge and skills in operation but to
philosophical and theoretical educational concepts. It involves broader education and its
purpose is long term development. In VMCBL development program is not held by the
executives but the officers are often called for meetings, seminars, conference &
providing some important information regarding the company.

PRAMOTION

33
VMCBL is having the promotion policy based on both merits s well as seniority. If
vacancy arises in the bank firstly selection is being made from internal source. If any
qualified employees is found there, he is given promotion. While given promotion,
management has to check work performance, regularity and seniority if such employee.

In VMCBL promotion for the lower is made for operation to supervisory level and that to
the offer clerk. The Bank only give promotion to their employees when any person resign
from his post or retire. Thus there is less chances of promotion.

34
PERMORMANCE
APPIRSAL

35
 INTRODUCTION

Once the employee has been selected, trained and motivated. He is then appraised for
his performance. Performance appraisal is the step where the management finds out how
effective it has been at hiring and placing employees. If any problems are identified, steps are
taken to communicate with the employee and remedy them.

Performance Appraisal is a process of evaluating an employee performance in terms

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

Performance appraisal is one of the important constituents of performance

management. The need for performance appraisal arises because every person has a different
personality and different situational, social psychological, and psychological traits. Performance
appraisal is an assessment of an employee in performing job. It brings out the differences of
performance among the employees working in an organization.

Performance Appraisal is an important managerial tool to clarify performance criteria and

to enhance future individual performance. It provides a rational basis for various HR decisions such as
rewards, career planning, transfer, training, counseling, mentoring, termination, etc. Performance
appraisal provides an opportunity to communicate to employees the mission, strategy, vision, values
and objectives of the organization and personalizes organization strategy into individual performance
criteria.

The HR department serves a policy making and advisory role. It design appraisal forms and
provides guidance, assistance, and training on using appraisal tools to managers, but the final decision
on appraisal lies with the line managers.

36
 Meaning of the performance appraisal

Performance appraisal may be understood as the assessment of an performance in a systematic way,

the performance being measured against such factors as job knowledge, quality and quantity of output,
initiative, leadership abilities, supervision, dependability, co-operation, judgement, versatility, health,
and the like. Assessment should not be confined to past performance alone. Potentials of the employee
for future performance must also be assessed.

Performance appraisal Defined

‘As per the Lansbury,

Performance appraisal is the process of identifying, evaluating and developing

the work performance of employees in the organization, so that the organizational goals and
objectives are more effectively achieved, while at the same time benefiting employees in terms
of recognition, receiving feedback, catering for work and offering career guidance.’

37
 CHARACTERISTICS OF PERFORMANCE APPRAISAL

 Performance appraisal provided reassurance to employees that they are contributing and
doing the right thing.
 Performance appraisal creates awareness of the impact on desired results such as
customer satisfaction.
 Performance appraisal provides means for recognition of the importance and value of the
performance employee.
 Performance appraisal provides opportunities for self- development of employees.
 Performance appraisal provides for administrative decision and reward management of
employees.
 Performance appraisal is critical tool for the training and development of the employee.
 Performance appraisal is a foundation of career and succession planning.
 Performance appraisal is a valuable source of the talent management.

KEY ELEMENTS OF THE APPRASIAL SYSTEM

 Set objective
 Manage performance
 Provide rewards
 Carryout the apprasial

38
 OBJECTIVE OF THE PERFORMANCE APPRSIAL

 To enable an organization to maintain an inventory of the number and quality of all

managers and to identify and meet their training needs and aspirations
 To determine increment rewards and to provide reliable index for promotions and
transfers to positions of greater responsibility.
 To suggest ways of improving the employee s performance when he is not found to be up
to the mark during the review period.
 To identify training and development needs and to evaluate effectiveness of training and
development programs
 To plan career development, human resource planning based potentials.

 To study the practical application of performance appraisal.

 Increased motivation to perform effectively.

 Valuable communication developed among appraisal participants.
 Organizational goals clarified so they can be more readily accepted.
 Increased self-esteem of the employee.
 Better clarity and definition of job function and responsibilities.
 Improve departmental manpower planning, test validation, and development of training
programmes.

39
RESEARCH
METHODOLOGY

40
 BACKGROUND OF THE STUDY

Research is an original contribution to the existing stock of knowledge making for its
advancement. It is the per suit of truth with the help of study, observation, comparison and
experiment. In short, the search, for knowledge through objective and systematic method of
finding solution to a problem is research. The systematic approach concerning generalization and
the formulation of a theory is also research. As such the term ‘Research’ refers to the systematic
method of defining the problem, formulating a hypothesis, collecting the facts or data, analyze
the facts and reaching certain conclusion either in the form of solution towards the concerned
problem or in certain generalization for some theoretical formulation.

Research inculcates scientific and inductive thinking and it promotes the development of
logical habits of thinking and organization. The research methodology has gone through which
path to solve the research problem and which tools have been adopted to achieve the desire
objective and more importantly it tells why only that path or tools have been chosen and not
other.

I take the 60 employees of the veraval mercantile co-operative bank ltd. We show the
employees performance in the organization. We used the ANOVA TEST for the know the
different variance of the sample.

41
 Literature review

 According to Wonston Oberg (1972), “Common descriptions include performance

appraisal, merit rating, behavioral assessment, employee evaluation, personnel review,
progress report, staff assessment, service rating and fitness report.

 According to Armstrong (2006) “it is a systematic process for improving organizational

performance by developing the performance of individuals and teams Further he also
added on that performance appraisal allows the supervisor to grab the full potential of the
employees through capacity development. Performance appraisal reveals career-growth
plans; helps in identifying the training needs and helps in bringing employee goals and
organizational goals together.

 According to C. C. Year( 2009) Performance Appraisal System using Multifactorial

Evaluation Model. The data was collected through primary sources by distributing
questionnaires to teacher. Objective was the result to judge the work performance of
their subordinates informally and arbitrarily especially without the existence of a system
of appraisal. We have developed a performance appraisal system utilizing the
performance appraisal criteria from an Information and Communication Technology
based company.

 According to Singh( 2010) Performance appraisal practices in Indian service and

manufacturing sector organizations. The data was collected through primary sources by
distributing questionnaires to teachers. Objective was the result to study Performance
appraisal will be positively related with employee performance in service sector
organizations. And it has been concluded that is Today’s employees want to know not
only how they fit in with the targets of the organization for which they work but also
what aspects of self-improvement are needed in their performance.

42
 According to ikramullah( 2012) Purposes of performance appraisal system: A
perceptual study of civil servants in district dera is mail khan Pakistan. The data was
collected through primary source by distributing questionnaire to teachers. Objective was
the result to the implies that appraises are not fully aware of all the purposes of PAS,
with exception of a sole purpose. Support for promotion decisions. And it has been
concluded that this will develop appraises’ perceptions that the system is used for
accomplishing specified purposes.

 According to salleh (2013) Fairness of performance appraisal and organizational

commitment. The data was collected through primary sources by distributing
questionnaires to teachers. Objective was the result to study also examined the
intermediary effects of satisfaction in these two relationships. And it has been concluded
that is to make performance evaluation more effective in influencing organizational
commitment; satisfaction of the civil servants should be given priority, as well as a fair
performance management within the organization.

 According to Daniel(2019) Analysis the concept of performance appraisal system on

employees’ development The data was collected through primary source by distributing
questionnaire to teacher. Objective was the results to study identify the impacts of
performance appraisal on employee’s development. And it has been conclusion is the
research concluded that organizations should appraise their employees often through
utilized targets, accomplishments, organization goals, time management and efficiency
for performance measure purposes as it would lead to increase in employee’s
development.

43
 STATEMENT OF THE PROBLEM

 Better if the management provides incentives to employees so it will boost in their work
and productivity and also extend the probation period up to 2 years. Separate rating
committee to be fixed during the appraisal period. So that there is no rating biases and
personal prejudice will occur. The performance rating is very helpful for management to
provide employee counseling during the appraisal. Performance appraisal is purely based
on appraisal system and the rating helps to fix increment much of literature dealing with
Human Resource Management and its issues recognize the importance of performance
appraisal system which occurs in the organization.
 All organization faces the problem of directing the energies of their staff to the task of
achieving business goals and objectives. In doing so, organization need to devise means
to influence and channel the behaviors‟ of their employees so as to optimize their
contributions. Performance appraisals constitute one of the major management tools
employed in this process.
 The continuous evolution of organization towards the changes creates a great impact in
the life of the business still, the business leaders are relying on the capacity of the people
employees during the performance appraisal period. It will be for workers make them
retained in the organization. Supervisors should maintain cordial relationship with
workers and offers recognitions of the employee's efforts and provide guidance to
workers.

44
 OBJECTIVE OF THE STUDY

 To analyze the performance Appraisal procedure at veraval.

 The study about the effectiveness of performance Appraisal.
 To know employee opinion about performance Appraisal system in VMCBL.
 To study the transformation of performance appraisal form traditional to modern.
 To get an insight into the relative importance off performance appraisal in organization.
 To study the Effectiveness of performance appraisal system in organization.
 To study the practical application of performance appraisal.
 To know the employees performance stage in the organization

Research methodology

45
Meaning of the research:

Research is defined as the creation of new knowledge and/or the use of existing knowledge in
a new and creative way so as to generate new concepts, methodologies and understandings.
This could include synthesis and analysis of previous research to the extent that it leads to new
and creative outcomes.

Methodology:

Methodology refers to the overarching strategy and rationale of your research. Developing
your methodology involves studying the research methods used in your field and the theories or
principles that underpin them, in order to choose the approach that best matches your objectives.

Methodology includes a collection of theories, concept or ideas as they relate to a particular

discipline or field of inquire.

HYPOTHESIS

Meaning of the hypothesis:

46
 A hypothesis is a concept or idea that you test
through research and experiments. In other words, it is a prediction that is can be
tested by research. Most researchers come up with a hypothesis statement at the
beginning of the study.

HYPOTHESIS TEST:

QUESTION: EVALUATION OF PERFORMANCE APPRAISAL OF THE

EMPLOYEE

ONE WAY ANOVA TEST:

H0: Means of all evaluation for performance appraisal are not equally important.

H1: Means of all evaluation for performance appraisal are equally important.

RESEARCH DESIGN

47
The research design of this study is descriptive in nature. Both primary and secondary data used
to investigate the study of performance appraisal of employees. The major interest, however, is
in the use of primary data via the questionnaire method. The data is gathered using a structured
questionnaire, and the sample size is 60. The frequency and reliability tests were used to analyze
the data. Mean, standard deviation, coefficient of skewness, test of reliability have been used for
research analysis

TABLE:

Research Design Descriptive study

Source of data Primary data
Data collection method Survey method (Google form)
Population Employees of the VMCBL
Sampling method convenence sampling method
Data collection tool Questionnaire
Sample size 60

SAMPLING METHOD:

In this research we used the non-probability convenience sampling method.

 Convenience sampling method is a non-probability sampling techniques where samples

are selected from the population only because they are conveniently available to the
researcher. Researchers choose these samples just because they are easy to analyze and
researcher did not consider selecting a sample that represents the entire population.

SAMPLING SIZE:

The sample of the study includes 60 respondents of the employees which analyze by the HR.

48
DATA COLLECTION INSTRUMENT:

In this research we take the help of the personal survey method. We used the questionnaire
(Google-form). We collect the data through the means of structured questionnaire.

MODEL SPECIFICATION:

Data analysis is connected using the statistical tool excel and SPSS tool for the calculating
hypothesis.

49
 DATA COLLECTION METHOD

TYPES OF
DATA

PRIMARY SECONDARY
DATA DATA

Whatever information data is gathered mainly they are received from two sources
primary and secondary data.

PRIMARY DATA:
Most of the information was gathered from primary data. Questions were asked to the
employee and they gave the relevant information.

Primary data has not been published yet and it more reliable, authentic and objective.

Different methods questionnaire method for collecting information .

 Survey
 Questionnaire
 Interview
 Observation
We have used questionnaire method for collecting information.

50
 Questionnaire method: This type of descriptive research uses the questions is research
tool for data collection. Basically, questionnaire is usually a paper & pencil tool in which
various types of question are asked to respondent by the researcher.
In this research I have used questionnaire method to collect the data. Also, in this
research I have taken 60 samples for further study.

SECONDARY DATA:
Secondary data is the data that has been already collected by and readily available from
other sources.

TOOLS AND TECHNIQUES:

When research is to be done we have to use various tools and techniques for successful
completion. The tool that is used by me is the questionnaire method ANOVA TEST (analysis of
the variance) is applied for analysis data.

51
52
 DATA ANALYSIS & INTERPRETATION

Questionnaire on performance appraisal of the employee

1. Experience

OPTIONS RESULT PERCENTAGE

0-1 Year 14 23.3%
1-3 Year 9 15%
3-5 Year 15 25%
5-7 Year 12 20%
Above 7 Year 14 23.3%

0.3

0.25

0.2

0.15
PARCENTAGE
25%
23% 23%
0.1 20%
15%
0.05

0
0 TO 1 1 TO 3 3 TO 5 5 TO 7 ABOVE 7

INTERPRETATION:
From the above chart we can say that most of the employees are experienced 3 to 5 year in the
bank. 23.30% employees are experienced respectively less than 1 year and above 7 year

53
experienced. 20% employees are experienced 5 to 7 year and only 15% employees are have the
experienced 1 to 3 year.

2. DESIGNATION

OPTION RESULT PERCENTAGE

Clerk 9 15.50%
Senior banker 13 22.40%
Back office executive 19 29.30%

Deputy general 13 22.40%

manager
Other 6 10.30%

Designation
35.00%

30.00% 29.30%

25.00% 22.40% 22.40%

20.00%
15.50%
15.00%
10.30%
10.00%

5.00%

0.00%
1 2 3 4 5

INTERPRETATION:

From the above chart we can say that most of the employees have the position of back
office executives and 22.40% employees have the position of senior banker and deputy
general manager. 15.50% employees have the position of clerk and least 10.30%
employees have the other position.

54
 3 .KNOWLEDGE OF WORK

SR.NO KNOWLEDGE OF WORK EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

KNOW DETAILS OF 13 38 8 1 0
1. OPERATION
KNOW WHY THINGS ARE 14 34 12 0 0
2. DONE
LEARN WORK QUICKLY 21 31 7 1 0
3.
OVERALL RATING 13 41 6 0 0
4..

Knowledge of work
80.00%
68.33%
70.00% 63.33%
60.00% 56.67%
51.67%
50.00%
40.00% 35.00%
30.00%21.67%
23.33%21.67% 20.00%
20.00% 13.33%11.67%
10.00%
10.00% 1.67% 1.67%
0.00% 0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

1 KNOW DETAILS OF OPERATION 2 KNOW WHY THINGS ARE DONE

3 LEARN WORK QUICKLY 4.. OVERALL RATING

INTERPRETATION:
In the above chart we can say that the 68.33% employees having the good knowledge of the
operation. 21.67% employees having a exceptional knowledge of the employee and 10%
employees having a marginal knowledge of the work. Knowledge of the work like know the
bank operation and how to learn new work and how to be work done.

55
 4.QUANTITY OF WORK:

SR.NO QUANTITY OF EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

WORK
1. CONSISTENCY IN 14 35 11 0 0
TRANSACTION
2. EFFORTS TO IMPROVE 20 27 12 1 0
OUTPUT OF WORK

3. OVERALL VOLUME 17 37 5 1 0
OF THE WORK
4. OVERALL RATING 13 35 11 1 0

Quantity of the work

70.00%
61.67%
60.00% 58.33% 58.33%

50.00% 45%
40.00%
33%
30.00% 28.33%
23.33% 21.67% 20%
18.33% 18.33%
20.00%

10.00% 8.33%
0.00%2%1.67%
1.67% 0.00%0% 0.00%
0.00%
EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

1 CONSISTENCY IN TRANSACTION 2 EFFORTS TO IMPROVE OUTPUT OF WORK

3 OVERALL VOLUME OF THE WORK 4 OVERALL RATING

INTERPRETATION:

56
From the above chart we can say that the overall 58.33% employees are good performance for
the quantity of the work.21.67% Employees are perform exceptional for that. And 18.66% and
1.67% employees perform the marginal and poor. Quantity of the work like consistency in
transaction of the work, employees give to efforts to improve their work and overall volume of
the work.

5. ADAPTABILITY:

SR.NO ADAPTABILITY EXCEPTIONAL GOOD AVERAG MARGINAL POOR

E
1. FOLLOWS 13 31 16 0 0
COMPANY
POLICY
2. ADJUST TO NEW 13 28 17 2 0
SITUATION
3. LEARN NEW 12 27 20 1 0
WORK QUICKLY
4. OVERALL 15 35 9 1 0
RATING

Adaptability
70.00%
58.33%
60.00% 51.67%
50.00% 46.67%45%
40.00% 33%
25.00% 28.33%
26.67%
30.00% 21.67%
21.67%20%
20.00% 15.00%
10.00% 3.33% 2% 1.67% 0.00%
0.00% 0.00% 0% 0.00%
0.00%
EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

1 FOLLOWS COMPANY POLICY 2 ADJUST TO NEW SITUATION

3 LEARN NEW WORK QUICKLY 4 OVERALL RATING

INTERPRETATION:

57
 In the above chart we can say that overall 58.33% employees perform good for the Employees
how to adopt the company’ s rule. 25% employees perform exceptional for that. 15% and 1.67%
employees are having the average and marginal performance for the adaptability. Employees
adaptability in the bank like a how to follow the company policy , how to adjust the new
situation and how to learn new work quickly.

6. ACCURACY OF WORK

SR.NO ACCURACY OF EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

WORK
1. ACCURACY OF 18 33 8 1 0
WORK(QUALITY)
2. THROUGHNESS OF 19 30 10 1 0
WORK
3. NEATNESS OF WORK 16 38 5 1 0
4. RELIABILITY OF 15 38 6 1 0
WORK(QUALITY)
5. OVERALL RATING 15 33 10 2 0

accuracy of work
70% 63.33%
63.33%
60% 55% 55%
50%
50%
40%
30%32%
30% 26.67%
25.00%
25%
20% 17% 17%
13%
10.00%
8.33%
10%
1.67%3% 0% 0%0.00%
2% 2%1.67% 0.00%0%
0%
EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

1 ACCURACY OF WORK(QUALITY) 2 THROUGHNESS OF WORK 3 NEATNESS OF WORK

4 RELIABILITY OF WORK(QUALITY) 5 OVERALL RATING

IINTERPRETATION:

58
 In the above chart we can say that overall 55% employees perform good for accuracy their work.
But 25% employees show their work exceptional. 16.67% and 3.33% employees perform
average and marginal. Employees perform their work like organization reliable for employees
work and they give neatness of the work.

7. COOPERATION

SR.NO COOPERATION EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

1. HELPS COLLEGUES 21 29 9 0 1
2. KEEPS MANAGER WELL 13 32 14 0 1
INFORMED
3. EXHIBITS INTEREST IN 10 38 11 0 1
WORK
4. ACCEPTS CONSTRUCTIVE 17 33 8 1 1
CRITICISM
5. OVERALL RATING 12 35 11 1 1

Corporaation
70%
63.33%
60% 58.33%
53.33% 55%
50% 48.33%

40%35.00%

30% 28%
21.67% 23.33%
20.00% 18.33% 18.33%
20% 16.67% 15.00% 13%
10%
0.00% 0.00%2%1.67%1.67%
0.00% 1.67%
1.67%2%1.67%
0%
EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

1 HELPS COLLEGUES 2 KEEPS MANAGER WELL INFORMED

3 EXHIBITS INTEREST IN WORK 4 ACCEPTS CONSTRUCTIVE CRITICISM
5 OVERALL RATING

59
 INTERPRETATION:
In the above chart we can say the 58.33% employees perform good to corporation with the
organization. Most employees perform good for the show their interest for the work. 20%
employees perform exceptional for that. But 18.33% and 1.67% employees perform average,
marginal and perform poor. Some employees help to other and accept the criticism.

8. RESPONSIBILITY

SR.NO RESPONSIBILITY EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

1. ASSUME PERSONAL 19 33 6 1 1
ACCOUNTABILITY FOR
ACTION
2. FULLY MEETS TARGETS 12 40 8 0 0
3. HAS SENSE PF DUTY 18 32 9 1 0
TOWARDS THE JOB
4. CONSIDER CUSTOMER 22 29 7 2 0
ON TOP PRIORITY
5. OVERALL RATING 10 41 7 0 2

60
 Responsibility
80.00%
70.00% 66.67% 68.33%
60.00% 55% 53.33%
50.00%
37%
40.00% 32% 30.00%
29%
30.00% 20.00%
20.00% 16.67% 15.00%
13.33%
10% 12%
11.67%
10.00% 1.67%3%0.00% 2%0.00%
2%0.00% 0.00%0%3.33%
0.00%
EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

1 ASSUME PERSONAL ACCOUNTABILITY FOR ACTION 2 FULLY MEETS TARGETS

3 HAS SENSE PF DUTY TOWARDS THE JOB 4 CONSIDER CUSTOMER ON TOP PRIORITY
5 OVERALL RATING

INTERPRETATION:
In the above chart we can say that overall 68.33% employees perform their responsibility Good.
16.67% employees perform exceptional for take their responsibility . In the organization,
employees take their responsibility wellbeing. They know their targets of the work what is the
duty towards job and also consider the customer priority.

9. PUNCTUALITY AND ATTENDENCE

SR PUNCTUALITY EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

NO. AND
ATTENDENCE
1. RELIEVES 24 32 3 1 0
COLLEAGUES ON
TIME
2. ARRIVES ON 11 43 6 0 0
TIME
3. OVERALL 17 24 18 1 0
RATING

61
 Punctuality and attendence
80%
71.67%
70%
60% 53.33%
50%
40.00% 40%
40%
28% 31%
30%
20% 18.33%
10.00%
10% 5.00%
1.67% 0.00% 2% 0.00% 0.00% 0%
0%
EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

1 RELIEVES COLLEAGUES ON TIME 2 ARRIVES ON TIME 3 OVERALL RATING

INTERPRETATION:
In the above chart we can say that overall 40% employees perform Good for the attend the work,
as per organization schedule. They are punctual for their work and always arrive on the time.

HYPOTHESIS TESTING

ONE WAY ANOVA TEST:

H0: Means of all evaluation for performance appraisal are not equally important.

H1: Means of all evaluation for performance appraisal are equally important.

62
QUESTIONER MEAN

63
64
65
STEP: 1 IN THE FIRST STEP OPEN THE IBM SPSS SHEET AN FILL UP
THE VARIABLE VIEW WHICH WE NEED TO TEST.

66
STEP:2 AFTER ENTRING DATA VIEW FILL ON THE ALL
QUESTIONER’ S MEAN SCORE.

67
STEP:3 AT THE LAST WE WILL CLICK ON ANALYZE AND SELECT
COMPARE MEANS AND APPLIED ONE WAY ANOVA TEST AFTER
FILL UP THE DEPENDENT LIST AND FACTOR AND CLICK ON
CONTINUE:

68
STEP:4 APPLIED ONE WAY ANOVA TEST SO TESTED VALUE OF
OUR HYPOTHESIS IS GIVEN BELOW.

INTERPRETATION:

This is the table that shows the output of the ANOVA

analysis and whether there is a statistically significant difference between our
group means. We can see that the significance value is 0.015, which is below 0.05.
(0.015<0.05).That we reject null hypothesis and, therefore, there is a statistically
significant in the mean of all evaluation of performance appraisal are equally
important.

69
 RESULT & FINDING

 From research I observed the performance appraisal of the employee. Show the all
employee evaluation for performance appraisal are equally important.
 I observed the alternative hypothesis is accepted in this case. So we can say that
organization give the equal important to employees performance.
 The organization give the more important to the corporation. Because its main objective
to they help to other staff member, they show their interest in the work and also they
accept the criticism.
 I take the 60 sample from the HR. and I show the organization, the little moment of the
employees like the how show responsibility, how to know the organization wor and how
to be punctual in the organization.
 And employees shows the ability to manage their organization life properly, positive
relationship with the other employees.
 The veraval mercantile co-operative bank ltd. Give the priority to employees
responsibility and corporation.

70
 SUGGESTION

 Focused on job responsibility.

 Exemplary rewards should be given for unique achievements for the employees.
 Even if a formal evaluation is given only once a year, an employee should be made aware
of his or her performance periodically throughout the year.
 It is not enough to tell an employee who has performance problems that his or her
performance is poor, or to identify problem areas without specific instructions on how
performace can be improved.
 The organization should concentrate more on individual development.

71
 CONCLUSION

The principal purpose of an appraisal should be to improve the employee and the
organizational performance. The system must be based on a deep regard for people and
recognize that employees are the most important resource. The system should first of all
contribute to the satisfaction of all the employees. This tenet will require a continuous effort in
counselling, coaching and honest, open communications between the employee and supervisors.
Rare are those HRM interviewed who considered that the feedback should be focused on solving
the problems causing a poor performance. In most of the companies, employees are asked to
complete a self-assessment before the feedback session and managers are the only source used to
rate the employees.

72
 SCOPE OF THE STUDY

The study has been conducted with respect to performance appraisal system existing in the
organization which is useful to know the strength and weakness of appraisal as well as
employees. Therefore, the management can update the system with necessary changes.

LIMITATION OF THE STUDY

 As the study was to be completed in a short time, the time factor acted as a considerable
limit on the scope and the extensiveness of the study.
 The information provided by HR may not be fully accurate due to unavoidable biases.
 Since this is a one person survey, the number of respondent is relatively small for this
kind of study. However this could not be helped due to constraints on time and money.
 The techniques for collecting the data in convenience sampling due to monetary and
manpower constraints.

73
BIBLIOGRAPHY

74
 ANNEXURE

1. NAME________________

2. EXPERIENCE___________
A. 0-1 Years
B. 1-3 Years
C. 3-5 Years
D. 5-7 Years
E. Above 7 years

3. DESIGNATION_____________
A. Clerk
B. Senior banker
C. Back office executive
D. Deputy general manager
E. Other

4. KNOWLEDGE OF WORK

SR.N KNOWLEDGE OF EXCEPTIONAL GOOD AVERAGE MARGINAL POOR

O WORK
1. KNOW DETAILS OF
OPERATION
2. KNOW WHY
THINGS ARE DONE
3. LEARN WORK
QUICKLY
4.. OVERALL RATING

75
 5. QUANTITY OF WORK

QUANTIT
SR.N EXCEPTION GOO AVERA MARGIN POO
Y OF
O AL D GE AL R
WORK
CONSISTEN
CY IN
1 TRANSACTI
ON

EFFORTS TO
IMPROVE
2 OUTPUT OF
WORK

OVERALL
3 VOLUME OF
THE WORK

OVERALL
4 RATING

6. ADAPTABILITY

SR.N ADAPTABILI EXCEPTION GOO AVERA MARGIN POO

O TY AL D GE AL R

FOLLOWS
1 COMPANY
POLICY

ADJUST TO
2 NEW
SITUATION

LEARN NEW
3 WORK
QUICKLY

OVERALL
4
RATING

76
 7. ACCURACY OF WORK

SR.N ACCURACY EXCEPTION GOO AVERA MARGIN POO

O OF WORK AL D GE AL R

ACCURACY
OF
1 WORK(QUALI
TY)

THROUGHNES
2 S OF WORK

NEATNESS OF
3 WORK

RELIABILITY
OF
4 WORK(QUALI
TY)
OVERALL
5 RATING

8. COOPERATION

SR.N COOPERATI EXCEPTION GOO AVERA MARGIN POO

O ON AL D GE AL R

HELPS 48.33 1.67

1 COLLEGUES 35% 15% 0
% %
KEEPS
MANAGER 53.33 1.67
2 WELL
21.67% 23.33% 0
% %
INFORMED
EXHIBITS
63.33 1.67
3 INTEREST IN 16.67% 18.33% 0
WORK % %
ACCEPTS
1.67
4 CONSTRUCTIV 28.33% 55% 13.33% 1.67%
E CRITICISM %

5 OVERALL 20% 58.33 18.33% 1.67% 1.67

77
 RATING % %

9. RESPONSIBILITY

SR.N RESPONSIBILIT
EXCEPTIONAL GOOD AVERAGE MARGINAL POOR
O Y

ASSUME
PERSONAL
1
ACCOUNTABILITY
FOR ACTION

FULLY MEETS
2
TARGETS

HAS SENSE PF
3 DUTY TOWARDS
THE JOB

CONSIDER
4 CUSTOMER ON
TOP PRIORITY

5 OVERALL RATING

10. PUNCTUALITY AND ATTENDENCE

PUNCTUALITY
SR
AND EXCEPTIONAL GOOD AVERAGE MARGINAL POOR
NO.
ATTENDENCE

RELIEVES
1 COLLEAGUES ON
TIME

2 ARRIVES ON TIME

3 OVERALL RATING

78
79