Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL

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V o lu m e 8 N u m b e r 2

Vol. 8 No. 2 April-June 2019

Referred Journal of CMR College of Engineering & Technology

ISSN (Online) : 2322-0449

UGC Approval Journal (Serial No: 46802)

A Model Proposition for Prescreening Candidates in Recruitment Process Using Fuzzy Vikor Method

Murat Bolelli

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ISSN (PRINT) : 2277-6753

Department of Master of Business Administration

An Integrated Marketing Communications, Media Synergies and its effect on the Consumer Decision Making Process Reshma Nikhat

Influence of Organizational Climate on Employee Turnover Intention in Information Technology Industry in Kerala Jnaneswar. K

Gayathri Ranjit

Impact of Transformational Leadership Style Dimensions on Organizational Performance: An Empirical Analysis Shruti Balhara

Harbhajan Bansal

Impact of Quality of Work Life on Organisational Commitment Indu Bala, Ramandeep Saini, B.B. Goyal

Mediating Role of Personal Accomplishment among Emotional Labour Strategies and Teaching Satisfaction among Professional College Teachers Jitha G. Nair

Testing of Long-Run Relationship between Gold Prices and Stock Market Return: An Empirical Analysis in India Tanvi Bhalala

Emerging Distribution Channel Effectiveness in Rural Jharkhand for Consumer Electronics

Punit Kumar Mishra Girish Kumar Srivastava

Changing Role of Learning and Development Methodologies Digital Age - A Comparison between Manufacturing and Service Industry S. Rajeswari, D.Raghunatha Reddy

M.Ramakrishna Reddy

Creativity and Innovation in B-Schools:Potential Areas for Development

K. Renuka Raju, Shakeel Ahmad A. Ramachandra Aryasri

Training Effectiveness on Job Performance - An Analytical Study with Reference to Dairy Industry

Menaka.Bammidi Puppala. Hyndhavi

Performance Appraisal Impact on Employee Job Satisfaction with Reference to TSSPDCL

M. Ramu Mohd. Akbar Ali Khan

Mobile Data Usage Behavior: A Study on Bottom of the Pyramid Market Leena Sharma

Cash to Cashless Economy: Challenges and Opportunities Saneem Fatima, Shakeel Ahmad

Dr. A Kotishwar

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1 Honorable Former Vice-Chancellor. Telangana University, Nizamabad,

Andhra Pradesh

2 Professor, Department of Commerce , Bangalore University

3 Pro-Vice chancellor, Maulana Azad National Urdu University,

Hyderabad

4 Professor & Head, Department of Commerce, University of Madras, Chennai 5 Head & Associate Professor, AL Buriami University College, Oman

6 Professor & HOD, Department of Banking & Business Economics, Mohan Lal Sukhadia University, Udaipur, Rajasthan.

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Ramanand Teerth, Marathwada University, Nandeds

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9 Professor, SMS, JNTUH

10 Professor, School of Management Studies, University, Hyderabad

11 Professor Department of Commerce, Dr. Babasaheb Ambedkar

Marathwada University, Aurangabad

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13 Associate Professor, Indian Institute of Management Kozhikode, Kerala 14 Professor & Head, School of Management Studies, Punjabi University,

Patiala, Punjab, India

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16 Associate Professor, Department of Commerce, Delhi School of

Economics, University of Delhi

17 Professor Finance , Indian institute of management Kozhikode, Kerala

18 Associate Professor, Department of Business Administration,

Annamalai University, Tamil Nadu.

19 Associate Professor Department of Business Administration and

Accounting, Al-Buraimi University College

(Affiliated to California State University, Northridge, USA),

Prof. Mohd Akbar Ali Khan

Dr. M Muninarayanappa Dr. Shakeel Ahmad

Dr. S Gurusamy

Dr. Mohammed Jahangir Ali Prof. Renu Jatana

Prof. Vani N Laturkar

Dr. Vivek Deolankar Dr. Sindhu

Dr Mary Jessica

Prof. Walmik K. Sarwade

Prof. (Dr.) Sanket Vij

Dr. Sudershan Kuntluru Prof. G S Batra

Dr. Chetan Srivastava

Dr. Vanita Tripathi

Dr. Rachappa Shette Dr. A.A. Ananth

ISSN: 2277-6753 (Print) ISSN: 2322-0449 (Online)

SUMEDHA-Journal of Management

Referred Journal of CMR College of Engineering & Technology

April-June2019, Volume 8, No. 2

S. No.

Title Authors Page No.

1. A Model Proposition for Prescreening Candidates in Recruitment Process Using Fuzzy Vikor Method

Murat Bolelli* 1-19

2. An Integrated Marketing Communications, Media Synergies and its effect on the Consumer Decision Making Process

Reshma Nikhat* 20-32

3. Influence of Organizational Climate on Employee Turnover Intention in Information Technology Industry in Kerala

Jnaneswar. K*, Gayathri Ranjit**

33-46

4. Impact of Transformational Leadership Style Dimensions on Organizational Performance: An Empirical Analysis

Shruti Balhara*, Harbhajan Bansal**

47-57

5. Impact of Quality of Work Life on Organisational Commitment

Indu Bala*, Ramandeep Saini**, B.B. Goyal***

58-72

6. Mediating Role of Personal Accomplishment among Emotional Labour Strategies and Teaching Satisfaction among Professional College Teachers

Jitha G. Nair* 73-82

7. Testing of Long-Run Relationship between Gold Prices and Stock Market Return: An Empirical Analysis in India

Tanvi Bhalala* 83-96

8. Emerging Distribution Channel Effectiveness in Rural Jharkhand for Consumer Electronics

Punit Kumar Mishra*, Girish Kumar Srivastava**

97-112

9. Changing Role of Learning and Development Methodologies in Digital Age - A Comparison between Manufacturing and Service Industry

S. Rajeshwari*, D.Raghunatha Reddy**, M.Ramakrishna Reddy***

113-126

10. Creativity and Innovation in B-Schools: Potential Areas for Development

K. Renuka Raju*, Shakeel Ahmad**, A. Ramachandra Aryasri***

127-133

11. Training Effectiveness on Job Performance - An Analytical Study with Reference to Dairy Industry

Menaka.Bammidi*, Puppala. Hyndhavi **

134-147

12. Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL

M. Ramu*, Mohd. Akbar Ali Khan**

148-156

13. Mobile Data Usage Behavior:

A Study on Bottom of the Pyramid Market

Leena Sharma* 157-169

14. Cash to Cashless Economy: Challenges and Opportunities

Saneem Fatima*, Shakeel Ahmad**

Chief Editor Message

As SUMEDHA Journal of Management Thirtieth issue, We look forward to the momentous

growth of our Journal, increasing in their appeal, readership and relevance to the fast-changing

world of Business Management. During these six years journey our journal has been critically

evaluated by various institutions with similar line of interest and faculty fraternity. We have

been consistently seeking advice from experts to continuously improve the quality of the

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Citation Index (ICI), PROQUEST Database, Google scholar JUSER Database, MIAR Data

Base, Index Copernicus value 59.11, ISRA Journal Factor 4.018, Sjifactor Impact factor 4.339,

International Scientific Indexing Impact factor 1.332. On behalf of the Management, Editorial

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Last but not least valuable would be your response and suggestions on this issue. Kindly

send us your views so that we can keep on upgrading our journal.

Thanking you

Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL M. Ramu*, Mohd. Akbar Ali Khan**

148

-SUMEDHA-Journal of Management

Referred Journal of CMR College of Engineering & Technology April-June 2019, Volume 8, No. 2, pp 149-156

ISSN: 2277-6753 (Print) ISSN: 2322-0449 (Online) http://cmrcetmba.in/sumedha/

Performance Appraisal Impact on Employee Job Satisfaction

With Reference to TSSPDCL

M. Ramu*, Mohd. Akbar Ali Khan**

* Research Scholar, Dept. of Commerce, Osmania University.

**Former Vice Chancellor of Telangana University,, Rtd. Professor & Dean, Faculty of Commerce, Osmania University,

Abstract

Employee satisfaction depends on many external and internal parameters. Also, the performance appraisal system is one of the important elements, which will have a significant impact on job satisfaction. The study considered the primary data of the TSSPDCL employees to identify the performance assessment on employee satisfaction. The study observed that the employees of TSSPDCL were classified into four layers and an annual evaluation system. The study focused mainly on the three components (career planning, financial benefits, and working conditions). The study considered the bivariate correlation to know the components of the performance assessment with employee job satisfaction and found that the working conditions with the moderate relationship but career planning had the negative relationship with job satisfaction. The structure equation model was framed to identify the impact of the performance assessment components on job satisfaction and the result indicated that the financial benefits have a significantly higher impact on the level of job satisfaction of TSSPDCL employees. This paper is useful to the top management of TSSPDCL, employees, academics and research scholars.

Keywords: Financial Benefits, Job Satisfaction, Performance Appraisal, and TSSPDCL.

JEL classification :J3, K31, M52, M53 and R23

PUBLISHING CHRONOLOGY PAPER SUBMISSION DATE :

JANUARY 17, 2019;

PAPERSENTBACKFOR REVISION :

FEBRUARY 22, 2019;

PAPER ACCEPTANCE DATE :

MARCH 15, 2019

Reference to this paper should be made as follows:

M. Ramu, Mohd. Akbar Ali Khan (2019),

Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL M. Ramu*, Mohd. Akbar Ali Khan**

149

-1.

I

Performance evaluations can be defined as structured and formal interactions between a subordinate and supervisor, which usually take the form of a periodic (annual or semi-annual) interview in which the subordinate's performance is examined and discussed in order to determine weaknesses and strengths, improvements and opportunities for skill development. In many organizations, however, not all evaluation findings are used directly or indirectly to determine reward outcomes. In other words, the evaluation results are used to identify better performing employees who should receive most of the available pay increases, bonuses and promotions. Employee performance assessments can be one of the best tools to boost performance, enhance morale, and increase productivity. Performance assessment is an effective tool for managers when performed correctly and provides employees with important feedback. One of the main reasons for a system of performance evaluation is the principle of accountability from the point of view of the organization. Researchers have known for decades that failure to align responsibility and accountability is one of the main causes of organizational failure. Non-alignment occurs when employees perform responsibilities and duties but are not held accountable for the manner in which they perform those duties and duties.

R

L

Bird (2015) Worked at the UK University on performance assessments for academics. By

sharing lessons learned from the introduction of performance evaluations to the academy, the author was keen to learn the advantages that performance management offers to highly qualified employees. This paper presents a case study on a four-year UK university curriculum. The author has been closely involved in the last two years of the program, completing a thorough evaluation of the customer program. However, the author has been working on many similar programs with highly trained workers with very similar results. This was a case study. The vast majority of employees wanted an excellent performance evaluation and the practical challenge was to turn this desire into joint ownership and responsibility for the success of the performance evaluation in practice.

Elizabeth George (2015), in this study the public-sector banks have fewer job problems than

private and new-generation banks. The level of satisfaction and stress among employees in the different banking sectors was different.

Katta Ashok Kumar (2015), the study observed that the most employees have confidence in

their leadership and know the organizations ' strategy. Most employees are recognized as having an appropriate contribution. Railways give their employees a fair wage to continue their work. Organization is like a family in which employees have to share responsibilities and work towards the goal of the organization.

Ayomikun Idowu (2017), Traditionally, managers of human resources have focused primarily

Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL M. Ramu*, Mohd. Akbar Ali Khan**

150

-positive results. The study also concludes that the use of several assessment techniques contributes to increased satisfaction and higher levels of motivation. Specific elements that help motivate people to improve performance assessment systems (PAS) include the linkage between performance and benefits; using PAS to set goals and benchmarks; and using PA to help determine employee strengths and weaknesses.

O

S

1. To study the relationship of performance appraisal components with the employee job

Satisfaction of TSSPDCL

2. To study the impact of performance appraisal on TSSPDCL Employee of Satisfaction

H

S

H0: There is no relationship of performance appraisal components with the employee job

Satisfaction of TSSPDCL.

H0: There is no impact of performance appraisal on TSSPDCL Employee of Satisfaction

S

S

The present study has been emphasized on the Performance Appraisal system impact on the employee job satisfaction. The study has considered the TSSPDCL employees opinion with the help of framed questionnaire. The study has considered the financial benefits, Working Conditions and Career planning among the appraisal components.

M

The study has considered the primary data and collected the information with the questionnaire. The study applied the simple random technique to determine the sampling methodology. The study has applied the following statistical methods to study the framed objectives.

Bivariate Correlation: The study has considered the bivariate correlation to know the

relationship of performance appraisal components with the employee job satisfaction.

Structure Equation Model: The study has applied the SEM to know the impact of performance

appraisal components on the employee job satisfaction, ss the study considered the three independent variables impact on the one dependent variable (employee job satisfaction).

TABULATIONOF DATA ANALYSIS

1st Objective: To study the relationship of performance appraisal components with the employee job Satisfaction of TSSPDCL

Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL M. Ramu*, Mohd. Akbar Ali Khan**

151

-H0: There is no significant mean difference between the performance appraisal components.

H1: There is a significant mean difference between the performance appraisal components.

Table - 1 Mean Difference of Performance Appraisal Components One-Sample Test Test Value = 2

t df

Sig. (2-tailed)

Mean Difference

95% Confidence Interval of the Difference

Lower Upper

Working Condition 17.552 249 .000 1.53200 1.3601 1.7039

Financial Benefits 11.938 249 .000 .36400 .4241 .3039

Career Planning 13.951 249 .000 1.36000 1.1680 1.5520

Job Satisfaction 14.396 249 .000 1.36800 1.1808 1.5552

Source: Primary Data

Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL M. Ramu*, Mohd. Akbar Ali Khan**

152

-Table - 2 Relationship of performance appraisal components with the Job Satisfaction Correlations

Working Condition

Financial benefits

Career Planning

Job Satisfaction

Working Condition Pearson Correlation 1

Sig. (2-tailed)

N 250

Financial benefits Pearson Correlation .051 1

Sig. (2-tailed) .024

N 250 250

Career Planning Pearson Correlation -.092 .004 1

Sig. (2-tailed) .046 .000

N 250 250 250

Job Satisfaction Pearson Correlation .451* _{.108 -.042 1}

Sig. (2-tailed) .017 .008 .010

N 250 250 250 250

*. Correlation is significant at the 0.05 level (2-tailed).

Source: Primary Data

The table represents the relationship of TSSPDCL employees performance Appraisal components with the job satisfaction. The study applied the bivariate correlation to identify the significant relationship and the result reveals that the working condition (0.451) is having the moderate relationship with the job satisfaction. The financial benefits (0.108) is having the slight relationship and career planning (-0.042) is observed to be having the negative relationship with the employee job satisfaction. Hence the null hypothesis has been rejected and accepted the alternative hypothesis has been accepted, which indicates that the performance appraisal components are having the significant relationship with the employee job satisfaction.

2nd Objective: To study the impact of performance appraisal on TSSPDCL Employee of

Satisfaction

Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL M. Ramu*, Mohd. Akbar Ali Khan**

153

-component namely working condition, Career planning and financial benefits influence on "Job Satisfaction".

Figure - 1 Framed Structure Equation Model

Source: Primary Data

Table- Computation of Degree of Freedom for Job Satisfaction

Number of distinct sample moments: 250

Number of distinct parameters to be estimated: 17

Degrees of freedom (250 - 17): 223

Source: Primary Data

Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL M. Ramu*, Mohd. Akbar Ali Khan**

154

-Table-4 Chi square Minimum discrepancy of Job Satisfaction

Model NPAR CMIN DF P CMIN/DF

Default model 17 226.964 223 .000 .742

Saturated model 250 .000 0

Independence model 24 241.974 276 .003 .852

Source: Primary Data

Table indicates that chi square value of default model seems to be smaller than independent model chi square value (226.964 < 241.974) which indicates acceptance of model-value shown as less than 0.05, that shows the significant of the model. The various common model-fit measures used to assess the model's overall goodness of fit as explained below table

Table-5 Goodness of Fit for Job satisfaction

Fit statistic Recommended Obtained

Chi square 226.964

Df 223

Chi square significance p < = 0.05 0.011

Goodness Fit Index >0.90 0.833

Adj. Goodness Fit Index >0.90 0.842

Normed Fit indexes >0.90 0.914

Relative Fit Index >0.90 0.912

Comparative Fit Index >0.90 0.734

Tucker Lewis Index >0.90 0.874

RMSEA <0.05 0.024

Source: Primary Data

Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL M. Ramu*, Mohd. Akbar Ali Khan**

155

-Table-6 Regression Weight of Job satisfaction

Estimate S.E. C.R. P

Significant/Non-significant

Job satisfaction <---

Working

condition 0.294 0.341 2.002933 *** Significant

Job satisfaction <---

Career

planning 0.533 0.252 2.154762 *** Significant

Job satisfaction <---

Financial

benefits 0.683 0.272 2.400735 *** Significant

Source: Primary Data

Table reflects antecedent component of performance appraisal influence on Job satisfaction. Financial benefits shown significantly high influence on job satisfaction with its regression weight as 0.683 followed by Career Planning is having the influence with 0.533 and Career planning (0.294) shown low influence on Job satisfaction. Therefore, it signifies these performance appraisal components which show positive influence on job satisfaction that improve the growth of organization.

F

S

1. The study found with the help of bivariate correlation that the working condition (0.451)

is having the moderate significant relation with the employee job satisfaction.

2. The study found that the performance appraisal component career planning (-0.042)

having the negative relationship with the employee job satisfaction of TSSPDCL.

3. The performance appraisal components impact has been measured with the structure

equation model. The financial benefits (0.683) is having the higher positive influence on the employee job satisfaction and followed by the career planning (0.533) having the moderate influence on the job satisfaction.

4. The study result indicated that the performance appraisal component working condition

(0.294) is having the significant lower impact on the employee job satisfaction.

C

S

Performance Appraisal Impact on Employee Job Satisfaction With Reference to TSSPDCL M. Ramu*, Mohd. Akbar Ali Khan**

156

-negative relationship. The structure equation model was applied to know the impact of performance assessment components on job satisfaction and the result indicated that the financial benefits having a significant impact on job satisfaction and working condition have the least influence on job satisfaction. Therefore, further research in this area is needed by considering the impact of external factors on employee satisfaction.

R

[1]. Bird (2015) Bird (2015), Employee Performance, Journal of HRM, Volume 3 (1)

[2]. Elizabeth George (2015) "Job related stress and job satisfaction: a comparative study

among bank employees", Journal of Management Development, Vol. 34 Iss: 3, pp.316 -329

[3]. Katta Ashok Kumar (2015), job satisfaction of Indian railway employees at Vijayawada

division, International Journal of Current Research, Vol.7, Issue, 02, pp.12976-12979, February, 2015.

[4]. Ayomikun Idowu (2017), Employee Performance on Appraisal system, SSRN Journal,