Appendices

APPENDICES

APPENDIX A: SUMMARY OF REVIEW

Selecting a performance appraisal technique for a particular purpose is a complex decision. Each technique has its own purposes. The table below provides a summary of usefulness of the various performance appraisal techniques (by Kozo Ochiai, Essential of Good Performance Appraisal System, page 19).

Techniques Rating scales

Usefulness Most generally used.

Personnel comparison

Limited because only order of ranking is known.

Weighted checklist

Deciding appropriate weights and interpreting results are difficult.

Forced choice

Useful only when it is necessary to hide quality of rating from appraiser.

Critical incident

To complex

Before defining the performance standard, the management of the company has to determine all the factors for measurement. In the book, Appraisal managerial Performance: current practices and future directions , Robert I. Lazer and Walter S. Wikstrom reported the results of a study of appraisal forms of 125 companies in the USA. The most common factors appearing on the appraisal form of 61 companies were as follows:

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-1

APPENDICES

Number of Factors 1. Knowledge of work

Companies 49

2. Leadership

38

3. Initiative

38

4. Quality of work

37

5. Quantity of work

34

6. Co-operation

34

7. Judgment

33

8. Creativity

31

9. Dependability

31

10. Planning

27

11. Communication

23

12. Intelligence

22

13. Problem solving

19

14. Delegation

19

15. Attitude

18

16. Motivation and effort

15

.

Organization

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

14

VII-2

APPENDICES

If there is no single appraisal method that suits an organization, the use of multiple sources would increase the probability of accuracy. The management has to decide which method to apply. Many organization using the self and supervisor appraisal methods have to overcome the drawbacks of both methods. In some organization, the performance is appraised by the supervisor and the appraisal will be review or verify by the other higher level supervisor. Example of computer print out of using multiple appraisal methods Performance appraisal summary report Factors

Quality of work Quantity of work Job knowledge Behavior Total

Supervisor Appraisal

Peer Appraisal

Average score

%

%

%

50 60 50 40 200

60 60 70 60 250

55 60 60 50 225

A summary of the suggested uses of the performance appraisal techniques is shown below (from Kozo Ochiai, Essential of a Good Performance Appraisal system) DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-3

APPENDICES

Technique use

Rating

Personnel

Weighted

Forced

Critical

Scale

Comparison

Checklist

Choice

Incident

Yes

Systems No

Yes

Checklist No

No

Personnel promotion

Yes

Yes

Yes

No

No

Personnel transfer

Yes

No

Yes

Yes

No

Personnel layoff

Yes

Yes

No

No

No

Discharge or demotion

Yes

No

No

No

No

Personnel development

Yes

No

Yes

No

Yes

Wage and salary administration

The rating scale technique is the most useful comparing with the other techniques.

In the book, Strategic Issues in Performance Appraisal Theory and Practice, Charles J. Formbrun and Robert L. Laud reported the results of a study of Performance Appraisal Objectives/Uses of 256 companies. A Rating of the Uses of Performance Appraisal DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-4

APPENDICES

Rank

Function of appraisal

Percentage

1 Merit increases

91

2 Performance results/ feedback/ job counseling

90

3 Promotion

82

4 Termination or layoff

64

5 Performance potential

62

6 Succession planning

57

7 Career planning

52

8 Transfer

50

9 Manpower planning

38

10 Bonuses

32

11 Development and evaluation of training

29

programs 12 Internal communication

25

13 Criteria for selection procedure validity

16

14 Expense control

7

The evaluative objectives of compensation decisions (merit increases, bonuses) and staffing decisions (promotion, termination, succession planning, transfer, Human resource planning) dominate the common uses of Performance Appraisal systems, with 7 of the top 10 uses.

APPENDIX B Introduction Duties of each Department in the Organization

No

Department

Tasks/ Duties

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

Total of Staffs VII-5

APPENDICES

1

2

Managing director

- Have the responsibilities to conduct the most of organization’s activities, specially managing the human behaviors (1)

General manager

-Helping the managing director, and have major task as managing the business (1)

Human resource

- Recruitment and training (2) - Rewards and benefits managing (1) -Decorating and arranging goods in the store (2) - Selling and doing marketing research (7 ) - Check goods and receiving customer ‘s payment (2) - Recording quantities and checking quality of material/goods (2) - Manufacturing some part of goods, packaging (6) - Safeguard (2) - Export (3) - Import (3)

3

Sales

4

Warehouse

5

Import/ export

6

Logistic

- Procurement and distribution goods (2) - Maintaining/repairing or replacement the machine, equipments, store (2)

7

Financial Accounting

- Writing the invoices ,computing the financial accounting cover the whole business of the company TOTAL :

2

3

11

10

6 4

3 39

The organization‘s structure is very simple and logical. Then the organization can use effectively the employees’ skill and motivate their creativeness. Moreover, within 39 staffs working in the organization, there are about 14 employees who have degree level certificates of main aspects such as business management, marketing, auto machine engineers. Then they can complete 2 or more different jobs. So that, the organization cans responds the demand about some potential skills, new technologies appearing during developing the organization’s business. INTERVIEW REPORT

VENUE: Conference room Time : 5.00 p.m. Date : 7th July 2005

Interviewee : Mr. Wan, Managing director Interview by: Ms Do

---------------------------------------------------------------------------------------------DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-6

APPENDICES

Ms Do

: Good afternoon, Mr. Wan, recently company has announced that you need a reward system in your company. What is the reward system? Why a reward system is required system is required?

Mr. Wan: We had done a marvelous job over the years. Recently there seem quite a number of good employees leaved the company. If the company know them better, the situation would not be that bad. I had managed to share problem with them over the years. This is not possible for me when the size of employee getting larger now. The company wishes to improve the situation before it get worse. The company hopes a reward system may improve the situation. This reward system may help the company to show appreciation to the employees who had contributed their excellent performances over the year. The reward may act as a motivation tool to different levels of performance and so as the levels of rewards. It is very important that the reward must be faire and justified to every employee according to their performance. The reward can be in term of dollar values (such as pay-raised, bonus, incentive and etc.) and/ or job position promotion, self-advanced course training offer and etc. Ms Do

: Is the level of reward based on the level of employee performance?

Mr. Wan: Yes, we have to measure the performance before the reward Ms Do

: How do you measure the performance of employees?

Mr. Wan: We may need a performance appraisal system that helps the company to determine the performance of the employees Ms Do : Who will be involved in the performance appraisal system? Mr. Wan: Every employee in the company. Ms Do : What are the approaches and ranking methods that apply in the performance appraisal system that best suit our company? Mr. Wan: We had few different departments in our company. Multiple approaches and ranking methods may apply. Ms Do : How frequent is the performance appraisal is performed in the company? Mr. Wan: Probably once or twice a year. Ms Do : Were there some errors in the performance appraisal? Mr. Wan: Yes, there were. Sometimes we met the errors such as halo effect, strictness effect, central tendency effect, personal prejudice bias. Ms Do

: When is the best suitable time to initiate the performance appraisal?

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-7

APPENDICES

Mr. Wan: A month before the end of the year. This is the time that we had our company yearly performance analysis. The management is able to measure the overall company performance and better or more accurate company. -----------------------------------------------------------------------------------------------------REMARKS: Mr. Wan is the Managing Director of the Concorde Auto Accessories(S) Pte Ltd. Over the years, the company continued to grow rapidly in terms of manpower and revenues. The Managing Director agreed that company needs a performance appraisal system on the top of reward system. Moreover, there are some errors in their employee performance appraisal system which should be solved.

APPENDIX C: QUESTIONNAIRE

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-8

APPENDICES

Dear sir/madam I am Do Lien Huong, an undergraduate student from University of Bradford doing my final-year project on performance appraisal provided by Concorde Auto Accessories(s) Pte. Ltd I would appreciate it very much if you could kindly complete the attached questionnaire. It just takes from 10 to 15 minutes. This survey is solely for academic research purpose, I assure you that your response will be kept strictly confidential. Thank you very much, sir/ madam! My signature

SURVEY FORM ON PERFORMANCE APPRAISAL SYSTEM NAME

:

DESIGNATION

:

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

DATE: VII-9

APPENDICES

DEPARTMENT

:

RESPONSIBLE TO :

Please tick the box where applicable 1. Ownership of the Company? ( ) Government/ statutory board ( ) Multi- national ( ) Local company ( ) Others (please specify _________________________________ ) 2. Which of following Industries is your Company involved in? ( ) Government/statutory Board ( ) Manufacturing ( ) Construction/ engineering ( ) Transportation/logistics ( ) Banking/ finance/insurance ( ) Retail/ trade/tourism ( ) Import/ export 3. Average number of Departments in your Organization? ( ) Less than 3 ( ) 3- 5 ( ) 6- 10 ( ) 10-20 ( ) More than 20

4. Total number of Employees in your Department? ( ) Less than 5 ( )5–9 ( ) 10 – 19 DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-10

APPENDICES

( ) 20 – 29 ( ) 30 – 39 ( ) 40 – 49 ( ) Above 50 5. The Staff Turnover rate in your Organization?

A little bit

Not significant Significant

Very significant

6. Reasons for Staff Resignation Please tick the three most significant Reasons ( ) Incapable of handing job ( ) Incapable of producing acceptable standards of works ( ) Lack of job knowledge ( ) Lack of cooperation in solving problem ( ) Communication problem within the colleagues and/ or superiors ( ) Dissatisfied with the management ( ) Change of the working environment ( ) Lack of job prospect ( ) Dissatisfied with the salary ( ) Lost of interest in job ( ) Other (Please specify____________________________________ )

Please tick the three least significant Reasons? ( ) Incapable of handing job ( ) Incapable of producing acceptable standards of works ( ) Lack of job knowledge ( ) Lack of cooperation in solving problem DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-11

APPENDICES

( ) Communication problem within the colleagues and/ or superiors ( ) Dissatisfied with the management ( ) Change of the working environment ( ) Lack of job prospect ( ) Dissatisfied with the salary ( ) Lost of interest in job ( ) Other (Please specify ____________________________ ) 7. How do you or your Organization evaluate Personnel Performance Appraisal? ( ) Manual system ( ) In house Performance Appraisal application system (software) ( ) Other (Please specify ____________________________ ) 8. How frequent do you or your Organization evaluate Employee Performance Appraisal? ( ) Once a year ( ) Twice a year ( ) Three time a year ( ) Four time a year ( ) Others (Please specify ________________________________ )

9. Objectives of the Performance Appraisal? Please tick the four most significant Objectives ( ) To provide information for the employee about their strength and weakness in job performance ( ) Selecting people for promotion / transfer DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-12

APPENDICES

( ) Determining individual for pay increases ( ) Counseling for job enrichment an motivation ( ) Identifying individual training needs ( ) To encourage higher standard of performance ( ) Help to justify the organization objectives ( ) Others (Please specify _______________________________) ( ) Others (Please specify _______________________________) 10. Who will be the best Person to appraise your Performance? ( ) Your immediate supervisor ( ) Yourself ( ) Your colleagues ( ) Your subordinate ( ) The personnel department/ consultants ( ) Others (Please specify _______________________________ ) 11. What are the Rating Scales suitable for the Performance Appraisal System? Please tick the appropriate Rating Scale(s) ( ) Graphic rating ( ) Paired- comparison ( ) Ranking ( ) Forced choice method ( ) Weighted checklist method ( ) Critical incident Method ( ) Simplest rating scale ( ) Others (Please specify _____________________________________)

Why? ______________________________________________________________ ______________________________________________________________ ______________________________________________________________ ______________________________________________________________ DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-13

APPENDICES

12. What are the suitable Measuring Factors in the Performance Appraisal System? Please tick the five most significant Measuring Factor(s) ( ) Quality of work ( ) Quantity of work ( ) Personnel quality ( ) Job knowledge ( ) Power of communication ( ) Time keeping ( ) Attendance ( ) Other (Please specify_____________________________________) Why? ______________________________________________________________ ______________________________________________________________ ______________________________________________________________ ______________________________________________________________

13. How good is each Measuring Factor in your Performance Appraisal System? Please place an (X) at an appropriate box

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-14

APPENDICES

Very good

Good

Neutral Poor

Very poor

a) Quality of Work b) Quantity of Work c) Personnel Quality d) Job Knowledge e) Power of Communication f) Time Keeping g) Attendance h) Others

Thank you very much for taking time to fill out this survey form! Have a nice day!

APPENDIX D: JOB DESCRIPTION

POSITION

: ______________________________________

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-15

APPENDICES

DEPARTMENT : ______________________________________ RESPONSIBLE TO: ______________________________________ JOB SEGMENT

STANDARD OF PERFORMANCE

REMARKS

JOB SEGMENT

SPECIFIC PERFORMANCE

REMARKS

POSITION : SALES MANAGER______________ DEPARTMENT : SALES DEPARTMENT___________ RESPONSIBLE TO: GENERAL MANAGER___________ JOB SEGMENT Developing subordinate

STANDARD OF PERFORMANCE REMARKS Performance according to the procedure approved by the General manager. For new

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-16

APPENDICES

Conducts performance review Coaching

Product training

Counseling General

JOB SEGMENT Customer satisfaction Supplier relationship Market

subordinate (in sales Department), job duties and standards are classified within the first two week of employment. A complete performance review is conducted after six months of employment of each subordinate Performance review of the existing and new subordinates in the Sales Department and the appraisal reports to be submitted to General Manager before the end of the month of December of the year. Coached and helped the subordinates to perform better jobs. Follow- up with the subordinates to ensure better performance. Delegated the new customer to the most suitable subordinate and provides the available customer information. Ensure all the subordinates understand the products. Arrange product training for subordinates when there is new product. Encourage the subordinates to attend training that can improve their performance. Counsel and discuss problem with subordinate. The matters discussed are kept confidential Subordinate clearly understand their duty and qualified for the jobs. Ensure the subordinates know how well they are doing and what improvement is necessary. SPECIFIC PERFORMANCE REMARKS Maintains goods relationship with the customers. Solve the conflict problem between the customer and the subordinate. Maintains goods relationship with the suppliers Always keep track of the current market trend. Able to keep paste with the fast change market trend and act fast.

Reporting

Submits weekly sales analysis or statistical report to General manager. REMARKS: Reserve for office use SAMPLE DOCUMENT

POSITION : SALES ENGINEERS_______________________ DEPARTMENT : SALES DEPARTMENT_____________________ RESPONSIBLE TO: SALES MANAGER________________________ DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-17

APPENDICES

JOB SEGMENT Quality of work

STANDARD OF PERFORMANCE REMARKS More than 60% of the customer satisfied with the service. Customer will receive the sales Quotation not more than three days upon requested

Quantity of work

Able to prepare an average of ten to twenty sales Quotation a day.

Personnel quality Take initiative to find a propose solution to customer. Welling to work overtime when necessary. Job knowledge

Less than three times in a month that the engineer unable to solve problem due to insufficient knowledge.

Power of communication

Communicate well with other engineers. Able to discuss problem with other colleagues. Communicate well with the customer.

Time keeping

Late for work less than three time a month. More than 75% of the problem been solved as scheduled.

Attendance

Absent to work when necessary.

JOB SEGMENT Hot line service

SPECIFIC PERFORMANCE Solve customer problem through telephone call, email.

Ad hoc service

Able to provide instant service to customer whenever require.

REMARKS

Reporting

Submits weekly sales and customer analysis or statistical report to Sale Manager. REMARKS: Reserve for office use SAMPLE DOCUMENT

POSITION : FINANCE MANAGER____________________ DEPARTMENT : FINANCE ACCOUNTING DEPARTMENT___ RESPONSIBLE TO: GENERAL MANAGER____________________ JOB SEGMENT Developing subordinate

STANDARD OF PERFORMANCE Performed according to the procedure approved by the general manager

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

REMARKS

VII-18

APPENDICES

For new subordinate (in Finance Accounting Department), job duties and standards are classified within the first two week of employment. A complete performance review is conducted after six months of employment of each new subordinate Conducts performance review

Performance review of the existing and new subordinates in the Finance Accounting Department and the appraisal reports to be submitted to General manager before the end of the month of December of the year.

Coaching

Coached and helped the subordinates to perform better jobs. Follow-up with the subordinates to ensure better performance. Delegated the new responsible or job to the most suitable subordinates.

Job Training

Ensure all the subordinates understand the job functions. Arrange job training for subordinates when there is suitable training that help the subordinate to improve their job performance.

Counseling

Counsel and discuss problem with subordinate. The matters discussed are kept confidential.

General

Subordinate clearly understand their duty and qualified for the jobs. Ensure the subordinates know their strength and weakness. Proposed improvement to the subordinates.

JOB SEGMENT Finance

SPECIFIC PERFORMANCE Responsible for the finance and account of company ensure the correctness of the account ensure the account is timely.

Reporting

Submits weekly job analysis or statistical report to general manager

REMARKS

REMARKS: Reserve for office use SAMPLE DOCUMENT

POSITION : ACCOUNT ASSISTANTS___________________ DEPARTMENT : FINANCE ACCOUNTING DEPARTMENT_____ RESPONSIBLE TO: FINANCE MANAGER______________________

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-19

APPENDICES

JOB SEGMENT Quality of work

STANDARD OF PERFORMANCE REMARKS Able to produce the statement of account not later than five days. More than 95% of accuracy of the company accounts before validate or check by the finance manager.

Quantity of work

Able to prepare twenty to fifty invoices a days.

Personnel quality Take initiative to solve undiscovered problem. Welling to work overtime when necessary. Job knowledge

Less than three times in a month that the accountant assistant unable to solve problem due to insufficient knowledge

Power of communication

Able to discuss problem with other colleagues. Communicate well with supervisor.

Time keeping

Late for work less than three time a month. More than 75% of the problem been solved as scheduled.

Attendance

Absent to work when necessary.

JOB SEGMENT SPECIFIC PERFORMANCE Customer service Clear customer doubt about the statement of account. Keep track of the customer credit limit and outstanding balances

REMARKS

Reporting

Submit weekly customer outstanding balance report to the administration/ finance manager. REMARKS: Reserve for office use SAMPLE DOCUMENT

APPENDIX E: THE COMPANY’S PRODUCTS RANGE

PRODUCTS 1. Air Fresheners DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

Carall Carall_Catalogue VII-20

APPENDICES

Carmate Carmate Catalogue Miscellaneous CAR COLOUR 2003 Alberi Axel B Carall, Luxus, Carino, Regina & Fresh Zone Carall A Series Fresh Bottle Soft99 Pure House & Honey Kiss Air Spencer Product Shelly - Premium Status Cologne Squ-Air Natural Fragrance Massage Pure House, Beads Cologne, Air-con Deodorizer Xai Napolex Fizz Range 2. Bosch Products Plug Wiper Antenna horns 3. Car Audio Cassette Receiver -KS-FC-440 CD Receiver KD-SX--840 CD Receiver KD-SX-949 Graphic Equalizer Spectrum Equalizer JVC Product

4.Car Polish & Wax Soft99 Products Soft99 Body Wax - 1 Soft99 Body Wax - 2 Soft99 Extra series Soft99 Raindrop Soft99 DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

Soft99 UP Series Turtle Wax Products Turtle Wax Emerald Series Turtle Wax Express Shine Express Shine & Hard Shell Turtle Wax Zip Express Shine Turtle Wax & Polish Other Canauba Wash & Wax Polish Series Kit Product Line 5.Car Wash, Clean, Spray, and Car Care Eagle 1 2020 Auto Glass Cleaner Formula 1 Auto Care Formula 1 Series Turtle Wax Car Care Products Power Out Cleaner Scratch & Swirl Remover Wet & Black Tyre Dressing Wheel protector Clearvue Professional Glass Cleaner Formula 2001 Car Wash Emerald Leather Cleaner

6.Gearshift Knobs Isotta Series LESMO KIT - Boot and Knob - 429BLK LESMO KIT Boot and Knob 429-NEK Momo Series Cobra Carbon, Cobra Radica, Storm, Storm Legno Pomell Sphere Raptor King VII-21

APPENDICES

Race Aluminum & Carbon Race Combat Sport Tomahawk Shot Carbon Automatic Gate Automatic Napolex Illumination, Levoc, Eurostar Nardi Series Nardi Pomelli Lines Nardi Selm Series Selm Sparco Series Sparco 7.Halogen Bulbs & Lights Hella Range Hella Catalogue Safety Brake Lights Xenon Lights Profi Lights Koito Polarg bright white & HID Series Raybrig Metal White Halogen Bulbs

8.Horns Electromagnetic Horns -CTE Super & Metal Electromagnetic Horns - CTE Commercial Vehicle Twin Tone Air & Electric Fiamm Fiamm Catalogue 2000 Special Series Air Powered Series Stebel DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

GP/GM Series Electromagnetic TM80 Series KP Series Musical Series Bosch Compressed Fanfare, Mini Fanfare 9.Other Products Isotta Series Pedal Kit - Race Top -08 GR Pedal Kit - Race 06-BL Sparco Pedal Kits STP Additives Miscellaneous Colour Car Mats Leopard Car Alarm/Remote Control Spare Tyre Covers Deluxe ABS Wheel Covers Nested Wheel Covers 10.Seat Covers Casta Super Deluxe Casta Grandeor Casta DRC Colour Casta DRC

11.Steering Wheels Isotta Series Evo Style 1-Nivola Evoluzione Fashion Fighter Formula VII-22

APPENDICES

Millennium Commando Runner Thunder, Power & Top Power Driver Trek Nardi Series Evolution Line PT & Z5 Line Selm Series Corsa, Formula, Fox, Imola, Jolly, Mito, Rombo, VIP Victor Series

Victor Collection 2002 Leather Pulsar Racing Barchetta , Barchetta Plus Barchetta Classic, X2 Competition X2 Carbon, X2 Ergal, X2 Inox X2 Aluminum Look, X2 Cromo X3 series Sparco - 2003 Steering Wheel Cat

Accessory Brand Index Autogauge CBM Harada Leopard Napolex Racing Soft99

Bosch

Carall

Hella Luisi Personal Raybrig Sparco

Isotta Momo PIAA STP Turtle Wax

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

Carmate Fiamm Koito Nardi Race SELM Victor

VII-23

APPENDICES

APPENDIX F: LISTS OF PHOTOGRAPHS

Photographs 1: The Company Building

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-24

APPENDICES

Photographs 2: The Company’s Store Rooms

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-25

APPENDICES

Photographs 2: The Company’s Store Rooms (cont’)

DO LIEN HUONG _ BATCH NO: BBMD20314A PTA0050463A

VII-26