A PROJECT REPORT
ON
“A STUDY ON PERFORMANCE APPRAISAL SYSTEM OF
EMPLOYEES IN MCDONALD’S , VADODARA”
Submitted by
MS. TRIPTI SINGH BHADOURIA
ROLL NO.306010
In partial Fulfillment for the Award of the Degree
OF
MASTER OF COMMERCE
(SPECIALIZATION IN HUMAN RESOURCE MANAGEMENT)
Under the guidance of
MS. TANVEER QURESHI
Department of Commerce and Business Management
Faculty of Commerce
The Sayajirao University of Baroda
Vadodara
07th January 2020
“A STUDY ON PERFORMANCE APPRAISAL SYSTEM OF
EMPLOYEES IN MCDONALD’S , VADODARA
1.0 AN INTRODUCTION
Performance appraisal refers to all the formal procedures used to evaluate an
individual, his contributions and potential. In other words, it is to plan and measure the
performance of an individual in terms of the requirement of the job or it is a process of finding
out how effective the organization has been at hiring and placing an employee.
Performance appraisal is a formal system of review and evaluation of individual or team task
performance. While evaluation of team performance is critical when teams exist in an
organization, the focus of performance appraisal in most firms remains on the individual
employees. Regardless of the emphasis, an effective appraisal evaluates accomplishments and
initiates plans for development, goals and objectives.
Concept of Performance Appraisal: Performance appraisal is the systematic evaluation of
employees with respect to their performance on their job and their potential for development. A
performance appraisal is an evaluation done on an employee’s job performance over a specific
period of time. The works performed by the different employees differ in many aspects due to
the difference in their backgrounds, experiences, knowledge, skills, abilities, and aptitudes. Such
differences determine the need for training and development activities. It is the equivalent of a
report card on an employee and how their manager assessed their performance over the prior
year. So, it is necessary for management to identify such differences so that employees having
better job performance ability, skills and knowledge can be rewarded in one hand, and the wrong
placements of the employees may be checked through transfer or punishments on other hands. In
this regard, performance appraisal provides a measure in order to know the level of performance
so that the employee may improve his/her performance.
2.0 COMPANY PROFILE
McDonald’s is a leading global foodservice retailer with more than 30,000 local restaurants
serving nearly 50 million people in more than 119 countries each day. š It is the world’s largest
restaurants chain with Outlets in every continent and in almost every Country. š McDonald’s
serves the world some of its favorite Food – French Fries, Big Mac , Quarter Pounder, Chicken
McNuggets and Egg McMuffin.š The first McDonald’s restaurants opened by Ray Kroc was the
Des Plaines restaurant at Illinois, USA in 1955. š McDonald’s went in public in 1965 and holds a
leading share in the globally branded quick service restaurant segment in every country in which
it has presence. š As a 50 year old company, McDonald’s today is one of the two-most well-
known, powerful and valuable brands in the world, the other being coca cola
McDonald’s believes that the success of the restaurants and the company is achieved through
the people it employs. The company aims to recruit the best people to retain them by offering
relevant training programs for different positions.
Question:1 What do you think McDonald’s training initiatives are aligned with business
strategy? Explain the reasons for it. Why is it important to establish business strategy-training
linkage?
Yes, the objectives of training initiatives taken by McDonald’s are aligned with business
strategies. From the organizational perspective, this represents a successful and on-going
initiative. Most importantly, the results can be seen in feeding through to levels of customer
satisfaction. This is essential for a corporate goal of creating value around the employees, a
measurable value and a sense of competitive differentiation, or as McDonalds says, ‘unlocking
the power of our people’. HR functions have always served as a supporting tool to the strategic
levels. The design and implementation of the strategic option chosen by the company depends
fundamentally on the human factor.
Importance of business strategy-training linkage š Training helps the Firm’s Readiness
Preparation for New Opportunities and Threats š Training Impacts the Firm’s Productivity and
Efficiency š Training Helps Firms Differentiate Themselves in the Marketplace š Training helps
the Firm to innovate new things š The Integration of Training in the Firm’s Business Strategies
Increases the š Impact of Training on the Firm’s Competitiveness
Vision of the Mcdonalds to become world’s Favourite QSR Restaurant.
3.0 OBJECTIVE OF STUDY PERFORMANCE APPRAISAL
1) To study the need and importance of Performance Appraisal.
2)Besides, the purpose of the study is to fulfill the partial requirement.
3) To know the performance appraisal method adopted by Mcdonalds vadodara
to measure the satisfaction level of employees with the appraisal system at mcd vadodara
4.0 RESEARCH DESIGN OF THE STUDY
Research Design refers to “framework or plan for a study that guides the collection and
analysis of data”. Research design of the proposed project work, considering its objective,
scope and coverage will be Exploratory and Descriptive in Nature.
5.0 SCOPE AND COVERAGE OF THE STUDY.
The project work will be based on study and evaluation of a sample of 100 employees of
McDonalds Vadodara.
6.0 RESEARCH METHODOLGY
The source by which data is collected is primary data in that questionnaire method is use
for collecting data .
SAMPLING METHOD: Questionnaire method
SAMPLE SIZE DECISIONS: A sample of 100 employees has been selected as
in vadodara McDonalds there are total 213 employees as it is a very large number and
it will take almost 8 weeks to complete the survey so instead of 213 we are taking 100
employees survey .
7.0 DATA ANALYSIS AND INTERPRETATION.
As per the project topic performance appraisal of employees we are going to collect all data of
employees from vadodara mcdonalds . Now we analyze all the collective data and implicate on
the basis of conclusive finding it is an important and exciting step in the process of research.
8.0 LIMITATIONS OF THE RESEARCH STUDY
As the study revolves around the performance appraisal of human resources aspects the overall
organization performance cannot be ascertained. In spite of giving honest and sincere efforts here
are several limitations, which are as follows:
There will be a time limit as worker will be busy in there work also.
The perception bias or attitude of the respondents may also act as hurdles to the study.
The small sample used due to constraint of time.
9.0 CHAPTERIZATION OF THE PROJECT REPORT
The first chapter deals with introduction to the topic and to the company and it also
consists of Need for the study, Objectives of the study, Methodology, and
Limitations.
The second chapter consists about the organization profile and about the company
profile of MCDONALDS, VADODARA.
The third chapter consists of Theoretical frame work of PERFORMANCE
APPRAISAL SYSTEM.
The fourth chapter consists of Analysis and Interpretation of the study.
The fifth chapter consists of Summary, Findings, and Suggestions.
10.0 Findings, Suggestions, Recommendations
& Conclusions
Human Resource Management (HRM) is the function within an organization that
focuses on recruitment of, management of, and providing direction for the people who work in
the organization. Human Resource Management can also be performed by line managers.
Human Resource Management is the organizational function that deals with issues
related to people such as compensation, hiring, performance management, organization
development, safety, wellness, benefits, employee motivation, communication, administration,
and training.
Performance appraisal refers to all the formal procedures used to evaluate an individual, his
contributions and potential. In other words, it is to plan and measure the performance of an
individual in terms of the requirement of the job or it is a process of finding out how effective the
organization has been at hiring and placing an employee.
Performance appraisal is a formal system of review and evaluation of individual or team task
performance. While evaluation of team performance is critical when teams exist in an
organization, the focus of performance appraisal in most firms remains on the individual
employees. Regardless of the emphasis, an effective appraisal evaluates accomplishments and
initiates plans for development, goals and objectives.
BIBLIOGRAPHY
Royle, Tony. Working for Mcdonald's in Europe: The Unequal
Struggle? (2000) online edition
Love, John F. McDonald's: Behind The Arches (1995) excerpt and text search
Debres, Karen. "Burgers for Britain: A Cultural Geography of McDonald's
UK," Journal of Cultural Geography, Vol. 22, 2005 online edition
Gross, Daniel. "Ray Kroc, McDonald's, and the Fast Food Industry," in Forbes
Greatest Business Stories of All Time (1999) pp 177-92 online version
Kroc, Ray. Grinding It Out: The Making Of McDonald's (1992) excerpt and text
search
Ritzer, George. McDonaldization: The Reader (2006) excerpt and text search