This study aims to understand the importance of event management companies and how they have been affected during the covid-19 pandemic.

Keywords:

Event management, Covid-19, Impacts, Industry

Bio

Mr. Keyur Sheth is the founder and Managing Director of Red Cherry Entertainment. He is a Man of many shades with numerous talents. Mr. Keyur Sheth is a businessman and has been active in the field of Media, Artist Management and Event Management for many years. He has executed multiple reality shows for Indian Hindi channels, he is a Brand Influencer Marketing and has organised numerous Live Concerts with top A list Artists from India and Internationally while organising Corporate events and much more. He has received several accolades and awards for successfully running this company from such a young age. Red Cherry Entertainment is successful globally over a period of 15 years. Recently Mr. Keyur Sheth has received the ‘2nd Dadasaheb Phalke Icon awards Films International 2023 Dubai’ as the ‘Youngest Entrepreneur in the Entertainment Industry’.

Abstract

Event management has become a societal norm through which individuals can undergo the process of creating and maintaining an event. Events are beneficial for individuals within societies to cultivate personal connections and network with individuals from different backgrounds. Through events, individuals within societies can appeal to target audiences, collaborate with future partners, identify sponsors, promote their work and improve their wellbeing. Historically, face-to-face interaction has been deemed as a dominant element of event management. This was affected by the unprecedented events of the covid-19 pandemic. This study aims to understand the importance of event management companies and how they have been affected during the covid-19 pandemic. Recommendations have been made to facilitate event management companies in contemporary life post-pandemic. A review of literature sources has been utilised for this study. Results have indicated the following: event management companies can provide creative ideas to help to ensure success and taking the pressure of organisers. In addition, economic impact on event management industries, social effects, and virtual event management has been discussed. This study has concluded that in the new normal world, face-to face events have resumed through utilising adapted strategies. Technology should be utilised as a tool to enhance event management; however financial planning is important for future events that may occur in an everchanging uncertain society.

Introduction

Event management has become a societal norm through which individuals can undergo the process of creating and maintaining an event. It can be defined as a well organised and well-planned occasion “with the view of meeting or achieving specific objectives for the benefit of a person, group of people, or an organization” (Mohd Kodri, et al., 2022). Event planners are the professionals within the business. Events are beneficial for individuals within societies to cultivate personal connections and network with other individuals from different backgrounds. Through events, individuals within societies can appeal to target audiences, collaborate with future partners, identify sponsors, promote their work, exchange ideas, participate in cultural activities, entertain their guests and improve their wellbeing. Events bring people together and are a platform for to create memories, celebrate and express themselves regardless of if it is a business venture, marriage, funeral or a live concert (Jones, 2017). In addition, large or small events are important despite it being for the purpose of making a profit including corporate business functions, exhibitions, parties or social events. Historically, face-to-face interaction has been deemed as a dominant element of event management. People interact with each other on a daily basis, hence the demand for organising events is high. Event managers are required to follow their client’s wishes and their preferred choices, all within the agreed budget agreed prior to the event.

Event management industries were affected by the unprecedented events of the coronavirus (covid-19) pandemic. The covid-19 pandemic caused global catastrophe affecting societies economically and socially. Many event management companies had to cease operation and cancel all live events and concerts that were due to take place. It was necessary for everyone to comply with regulations devised by national and international governing bodies to reduce transmission of covid-19. Global artists, performers and organisers all complied with the regulations and many refunded ticket sales or differed the purchases towards the next concert dates post-pandemic. Event management practitioners were required to find different methods through which they could sustain their companies (Madray, 2020).

In April 2020, research has illustrated within Figure 1 that eighty-seven percent of individuals participating in a survey held in America cancelled the events that they had planned, while sixty-six percent of then postponed them. It was suggested that many events were not cancelled during February 2020 however, the cancellation rates increased during the months between March 2020 and June 2020, largely due to governing body regulations of social distancing and bans on travel to ensure minimum transition of the virus.

Objectives

This study aims to understand the importance of event management companies and how they have been affected during the covid-19 pandemic. Recommendations have been made to facilitate event management companies in contemporary life post-pandemic. A review of literature sources has been utilised for this study using published and grey literature sources.

Results and Discussion

Results have indicated the following: event management companies can provide creative ideas to help facilitate success through taking the pressure of organisers. In addition, economic impact on event management industries, social effects, and virtual event management has been discussed.

Economic impact on event management industries

The event management industry is regarded as an important contributor of economic growth within nations around the world and is deemed as a sector of tourism that attracts the masses (Janiszewska, et al., 2021). The rapid growth of this industry pre-pandemic enabled local areas to thrive, as tourists heightened economic growth in areas. However, the covid-19 pandemic led to a dramatic reduction in the number of individuals that visited local regions affecting their economies. According to research more than six hundred and sixty-six million US dollars were lost due to event cancellations and approximately eighty-five employment positions were compromised (Mohd Kodri, et al., 2022).

Many companies within the event management industry participated in practices that were not organised well and very few events were held. It was only when governing bodies allowed the integration of individuals within their bubbles and in controlled environments that event management industries started to offer face to face services for events again from August 2020. In attempt to increase revenue and sustain businesses, event management companies started to utilise technological mediums to generate income. This was in the form of online webinars, live group chats and created live shows. Although attempts were made to generate revenue through this method, it was unmatched to the profit attained from face-to-face events. Although it was necessary for governing bodies to implement lockdown measures to protect global societies against the virus, it has created a great impact on global economies which is affecting nations in contemporary life.

Social effects

The lockdown regulations imposed by local and international governments contributed towards individuals staying away from public events or any gatherings. Social lives of individuals were affected as staying at home became habitual and a routine (Somani, 2021). Therefore, even when restrictions were lifted, individuals faced fears of travelling thus there was a reduction in the number of people attending public events. Research has also revealed heightened negative mental health impacts on individuals due to the covid-19 pandemic (Somani, The Impact of COVID-19 on Human Psychology, 2020). Hence attending social events, meeting new people, and listening to music have been highlighted as ways through which stress, anxiety and depression can be reduced. Event management companies have been required to ensure that they meet the needs of their clients while making certain that they network effectively and generate revenue. Events have the ability to heighten the onset of creating change as people are integrated together on one platform, and thus they can identify with the event and understand the cause that they are attending. Hence, face to face physical events provide golden opportunities for individuals to build relationships by combining emotions and creating impressions.

When events occurring due to the covid-19 pandemic restricted physical contact, event management companies were not able to organise face-to-face events. This highlighted the social needs of events within societies and importance was attached to people coming together for a specific purpose and socialise together. Hence, it was not surprising that even when covid-19 restrictions were eased there were many individuals that felt the need to attend events that were overcrowded (Olson, 2021). In contrast, some people that may have attended events prior to the pandemic did not attend, due to fears of large gatherings and feelings of social anxiety and catching the virus. Hence, event management companies found balancing both difficult until they discovered the use of effectively utilising technology for hybrid events. Figure 2 highlights the social benefits of events including community benefits, cultural and educational benefits. The social costs include quality of life concerns and community resource concerns all leading to satisfaction and loyalty. When individuals attend an event, they seek satisfaction which can be achieved through social benefits and costs.

Event management practitioners are calculated in how the event should run, including time keeping and order of events. However, the covid-19 pandemic created turbulence in achieving successful events due to the fact governing body rules and regulations needed to be followed. There was a need to ensure full cooperation and a mutual understanding between businesses within the event, the involved authorities, vendors and of course event management practitioners. In instances of disputes, there was a fundamental need for compromise and understanding, taking pressure of organisers to ensure a successful event. Event management companies utilised their expertise and creative skills to ensure clients are happy with their event and find ways in which they can progress to achieve a successful outcome. When event attendees are satisfied with the outcome, the event is deemed to be a success and they will return for future events.

Virtual event management

During the covid-19 pandemic, event management industries utilised virtual platforms and social media to interact with each other providing support and guidance. This could be in the form of sharing best practices or health and safety tips to ensure safety. In addition, as most of the public were accustomed to utilising interactive video conferencing software for various reasons like continuing education or for employment purposes (Somani, Progressing Organisational Behaviour towards a New Normal, 2021), event management companies started to carry out virtual events. This was an attempt to facilitate growth of the event management industry, hence virtual events were organised enabling the public to enjoy interactive events. They were able to watch performers online from the comfort of their homes while interacting with them on features embedded within the software like ‘chat’. In contemporary life, now that the world has opened its doors to social events again, many event organisations are utilising a hybrid model through which individuals can attend the event in person. Simultaneously, consumers that are unable to attend the event can the watch it via a live streaming link. This has been deemed as the best solution as consumers are offered both options and can attend either, dependent on what they prefer, despite limitation, suiting their comfort levels (Hanaei, et al., 2020). Consumers are choosing to involve themselves in both, therefore event management practitioners have become reliant upon a combination of physical face-to-face and virtual events (Gajjar & Parmar, 2020).

Conclusion

This study has concluded that in the new normal world, face-to face events have resumed through utilising adapted strategies. Understanding effects that the covid-19 pandemic has had on the event management industry; companies can learn from past events to ensure future events are not affected in the same way. Hence, contributing towards empowering and strengthening the business towards future success. Like many industries, the event management industry has faced much uncertainty. They have had to undergo numerous changes to ensure that they are sustainable and comply with national and international governing body regulations in the new normal world. It is evident that event management industries are continuing to actively change to ensure sustainable progression. However, there is a need to be aware of effects of covid-19 on the industry and how its future will be affected. Thus, it is recommended that event management companies learn from teachings of events experienced during the covid-19 pandemic and establish robust coping strategies to ensure sustainability when encountering future periods of uncertainty. Technology should be utilised as a tool to enhance event management in the following key areas, risk assessment and overcoming challenges, increasing company branding on global platforms, financial planning with cost-effective strategies. Swift implementation of strategies should be carried out at an accelerated rate to ensure positive progression and dynamic growth of the event management industry and future prosperity

References

Akyol, P. Y., & Şimşek, G. G. (2017). Analyzing the effects of social impacts of events on satisfaction and loyalty. Tourism Management, 367-378.

Gajjar, A., & Parmar, B. J. (2020). The impact of COVID-19 on event management industry in India. Global Journal of Management and Business Research.

Hanaei, S., Takian, A., Majdzadeh, R., Maboloc, C., Grossmann, I., Gomes, O., & Rezaei, N. (2020). Emerging Standards and the Hybrid Model for Organizing Scientific Events During and After the COVID19 Pandemic. Disaster Medicine and Public Health Preparedness, 1-6.

Janiszewska, D., Hannevik Lien, V., Kloskowski, D., Ossowska, L., Dragin-Jensen, C., Strzelecka, M., & Kwiatkowski, G. (2021). Effects of COVID-19 Infection Control Measures on the Festival and Event Sector in Poland and Norway. Sustainability, 13265.

Jones, M. (2017). Sustainable event management: A practical guide. Routledge.

Madray, J. S. (2020). The impact of COVID-19 on event management industry. International . International Journal of Engineering Applied Sciences and Technology, 2455-2143.

Mohd Kodri, A. N., Kunu Mohamed, D., Suhairi, M., S, Mohd Isa, A., Munazli, S. H., & Md Ali, N. A. (2022). The Impact of Covid 19 On the Event Management Industry. International Journal of Accounting, Finance and Business (IJAFB), 122 – 126.

Navarro, J. G. (2023). U.S. event professionals cancelling or postponing events due to COVID 19 in 2020. Statista.

Olson, E. (2021). Examining unauthorized events & gatherings in the COVID-19 pandemic. J. Conv. Event Tour, 177–183.

Somani, P. (2020). The Impact of COVID-19 on Human Psychology. In B. S. Lal, & N. Patel, Economics of Covid-19 Digital Health Education & Psychology (pp. 328-357). New Delhi: Adhyayan Publishers & Distributors.

Somani, P. (2021). Information Technology Challenges Faced during the Covid-19 Pandemic in Higher Education. International Journal of Latest Research in Engineering and Technology, 106.

Somani, P. (2021). Progressing Organisational Behaviour towards a New Normal. Journal of Economics, Finance and Management Studies, 1628-1633.

Investigates the food safety practices and compliance requirements for home-based food businesses, aiming to enhance understanding and promote best practices in this growing sector.

Keywords

Home-based food businesses, Food safety regulations, Compliance requirements, Hygiene practices, Food safety management.

Bio

Omowunmi Olunloyo, known as Toks, is a multifaceted professional with over a decade of experience as a busy working mother coach, food technologist, bestselling author, film producer, and speaker. She has graced the airwaves of Reconcilers Radio, Hope FM, and Premier Christian Radio, and received prestigious accolades like the Courageous Award. As the Owner of Purple Patch Cereals, an award-winning breakfast cereal brand, she fulfils her dream of providing healthy food for health-conscious families. Toks also heads Peacock Omowunmi Production, releasing her debut movie “Hustle” to acclaim. Her journey from personal struggles to empowerment drives her mission to help women find purpose and fulfilment, showcased in her international bestselling books and The Purpose Driven Lady magazine. Respected for her loyalty and inspiration, Toks empowers busy working mothers to achieve their full potential. She resides in Burnham, South Buckinghamshire, with her husband and three children.

Abstract

The emergence of home- based food businesses has transformed the culinary landscape, offering unique and diverse food products to consumers. However, ensuring food safety in these ventures presents significant challenges due to the decentralized nature of production and the absence of stringent regulations. This research paper investigates the food safety practices and compliance requirements for home-based food businesses, aiming to enhance understanding and promote best practices in this growing sector.

Through a comprehensive literature review and analysis of regulatory frameworks, this study identifies key food safety risks associated with home-based food production, including microbial contamination, allergen cross-contact, and improper handling practices.

It examines the regulatory landscape governing home- based food businesses in various jurisdictions, highlighting differences in licensing, permitting, and inspection requirements. Moreover, the paper explores effective food safety management strategies tailored to the unique needs of home- based food entrepreneurs. It discusses the importance of proper hygiene, sanitation, and storage practices, as well as the implementation of Hazard Analysis and Critical Control Points (HACCP) principles. Additionally, the research evaluates the role of food safety training and education in promoting compliance and reducing foodborne illness risks.

Overall, this paper provides valuable insights into the complex interplay between food safety regulations and home-based food production. By fostering awareness and adherence to best practices, it seeks to mitigate risks and promote consumer confidence in the growing market of home- based food businesses.

Introduction

In recent years, the food industry has witnessed a significant shift towards decentralized food production, with a growing number of individuals venturing into home-based food businesses. This trend reflects a desire for culinary creativity, artisanal craftsmanship, and entrepreneurial innovation, as home cooks and food enthusiasts seek to share their passion with the broader community. From homemade preserves and baked goods to specialty condiments and ethnic delicacies, the offerings of home-based food businesses enrich local food markets and cater to diverse consumer preferences. However, amid this culinary renaissance, ensuring food safety remains a paramount concern.

Against this backdrop, this research endeavours to explore the intricate landscape of food safety practices and compliance requirements for home- based food businesses. The primary objective is to enhance understanding and promote best practices in this growing sector, thereby safeguarding consumer health and confidence. By conducting a comprehensive analysis of existing literature, regulatory frameworks, and industry standards, this study seeks to address the following key objectives:

1. To examine the regulatory background governing home-based food businesses, including licensing, permitting, and inspection requirements, across different jurisdictions.
2. To identify the primary food safety risks associated with home-based food production, such as microbial contamination, allergen cross-contact, and improper handling practices.
3. To explore effective food safety management strategies tailored to the unique needs and challenges of home-based food entrepreneurs.
4.  To assess the role of food safety training and education in promoting compliance and reducing the incidence of foodborne illness in home- based settings.

5. To provide practical recommendations and guidelines for enhancing food safety practices and regulatory compliance among home-based food businesses.

The scope of this study encompasses a broad range of topics related to food safety in home-based settings, including hygiene practices, hygiene standards, hazard analysis, and critical control points (HACCP), allergen management, and quality assurance. Through a systematic examination of these issues, this research aims to contribute to the ongoing dialogue on food safety and regulation, offering insights and recommendations to support the sustainable growth and development of home-based food businesses.

According to Department for Business & Trade (2024) “the UK’s food and drink industry are the country’s biggest manufacturing sector by turnover, valued at £104.4 billion. It is larger than the automotive and aerospace industries combined”.

BBC (2021) pointed out that “about 44% of new food businesses started since the first lockdown are home- based, according to a new centralised online registration system used by 200 local authorities, the Food Standards Agency (FSA) has revealed.

Methodology

The research methodology employed in this study aims to investigate food safety practices and compliance requirements for home- based food businesses through a multi-faceted approach. The methodology encompasses both qualitative and quantitative research methods to gather comprehensive data and insights from various sources.

1. Literature Review:

The study begins with an extensive review of existing literature on food and policies play a crucial role in shaping food safety practices for home-based businesses.

These documents delineate the legal obligations and responsibilities of home- based food entrepreneurs safety in home-based food businesses. Scholarly articles, academic journals, government regulations, industry reports, and consumer studies are scrutinized to establish a foundational understanding of the subject matter and identify key research gaps. The literature review delves into a wide array of sources to provide a comprehensive understanding of food safety practices and compliance requirements for home-based food businesses. It synthesizes existing research, regulatory guidelines, industry standards, and best practices to illuminate the covering aspects such as food handling, storage, labelling, and sanitation.

Furthermore, industry reports and white papers offer valuable insights into complexities and nuances of this topic. These studies often explore the importance of food safety education and training for entrepreneurs, as well as the challenges they face in maintaining hygiene standards and preventing foodborne illnesses. Additionally, research articles may analyse the impact of regulatory frameworks on home-based food production and distribution, highlighting gaps in enforcement and areas for improvement.

Government regulations emerging trends, technologies, and innovations in food safety management. These resources often provide case studies and practical recommendations for enhancing food safety practices in home-based settings. By analysing industry perspectives and best practices, the literature review identifies strategies for mitigating risks and improving compliance with food safety standards.

Finally, the review explores consumer attitudes and behaviours regarding food safety in the home-based food sector. Studies on consumer perceptions, preferences, and trust in homemade food products shed light on the factors influencing purchasing decisions and market demand. Understanding consumer expectations and concerns is essential for home-based food businesses to build trust and credibility with their target audience. In summary, the literature review synthesizes a diverse range of sources to offer a comprehensive overview of food safety practices and compliance requirements for home-based food businesses. By examining scholarly research, regulatory guidelines, industry reports, and consumer insights, the review identifies key trends, challenges, and opportunities in this dynamic and evolving field.

2. Survey Design:

A structured survey instrument is developed to collect primary data from home-based food entrepreneurs. The survey includes questions designed to assess entrepreneurs’ knowledge, attitudes, and behaviours related to food safety practices and compliance requirements. It also explores their experiences, challenges, and perceptions regarding regulatory compliance and enforcement.

3. Sampling Strategy:

A purposive sampling approach is employed to select a diverse sample of home-based food businesses across different geographic locations, product categories, and business sizes. The sample may include participants from various food sectors, such as baked goods, confections, preserved foods, and artisanal products.

4. Data Collection:

The survey is administered electronically to participants, allowing for efficient data collection and analysis. Participants are provided with clear instructions and informed consent procedures to ensure ethical research practices. Data collection may also involve semi- structured interviews or focus groups with key stakeholders, such as regulatory officials, industry experts, and consumers.

5. Data Analysis:

Quantitative data collected from the survey responses are analysed using statistical methods to identify patterns, trends, and correlations related to food safety practices and compliance levels. Qualitative data from interviews or focus groups are analysed thematically to extract meaningful insights and narratives.

6.Triangulation:

To enhance the validity and reliability of the findings, triangulation of data sources and methods is employed. Triangulation involves comparing and contrasting findings from different sources to corroborate evidence and identify converging themes or discrepancies.

7. Ethical Considerations:

The research adheres to ethical guidelines and protocols to protect the rights and confidentiality of participants. Informed consent is obtained from all participants, and measures are implemented to ensure data security and privacy.

By employing a rigorous research methodology that combines literature review, survey design, sampling strategy, data collection, analysis, triangulation, and ethical considerations, this study aims to provide valuable insights into food safety practices and compliance requirements for home-based food businesses.

Results and Discussion

The results section provides a summary of the key findings related to food safety practices and compliance requirements for home-based food businesses. This may include information on the level of awareness and adherence to food safety regulations among home- based food entrepreneurs, common challenges faced in maintaining food safety standards, and areas for improvement in food safety management practices.

The results of this research provide valuable insights into the regulatory landscape, food safety risks, management strategies, training impact, and practical recommendations for home-based food businesses. Here’s an elaboration on the results of each objective:

1. Regulatory Background:

The research findings reveal a diverse regulatory background governing home-based food businesses across different jurisdictions. While some regions have stringent licensing and permitting requirements, others may have more lenient regulations. Variations in inspection protocols and enforcement mechanisms are also observed. Overall, the results highlight the need for a comprehensive understanding of regulatory requirements to ensure compliance and mitigate legal risks for home-based food entrepreneurs.

2. Food Safety Risks:

The research identifies several primary food safety risks associated with home- based food production, including microbial contamination, allergen cross-contact, and improper handling practices. Microbial contamination may arise from inadequate sanitation, while allergen cross-contact can occur due to insufficient separation of ingredients. Improper handling practices, such as improper storage or inadequate cooking temperatures, also pose significant risks. By delineating these risks, the research underscores the importance of implementing robust food safety measures to prevent foodborne illness.

3. Management Strategies:

The research explores effective food safety management strategies tailored to the unique needs of home-based food entrepreneurs. Key strategies include implementing sanitation protocols, developing allergen management procedures, and maintaining proper temperature controls. Additionally, establishing clear food handling guidelines and implementing hazard analysis and critical control points (HACCP) plans are recommended. These management strategies aim to minimize food safety risks and ensure compliance with regulatory requirements.

4. Traiing Impact:

The research assesses the role of food safety training and education in promoting compliance and reducing the incidence of foodborne illness in home-based settings. Findings indicate that comprehensive training programs can significantly improve food safety knowledge and practices among home- based food entrepreneurs. However, access to quality training resources and participation rates may vary. Efforts to enhance training accessibility and effectiveness are warranted to maximize the impact of education on compliance and public health outcomes.

5. Practical Recommendations:

Based on the research findings, practical recommendations and guidelines are provided to enhance food safety practices and regulatory compliance among home- based food businesses. These recommendations include developing standardized food safety training programs, enhancing regulatory transparency, and fostering collaboration between regulatory agencies and home-based food entrepreneurs. By implementing these recommendations, home- based food businesses can strengthen their food safety practices, protect public health, and contribute to a safer food supply chain.

Conclusion

The conclusion summarizes the key findings of the study and provides a concise overview of the implications and significance of the research. It restates the research objectives and discusses how the study contributes to the existing knowledge base on food safety practices and compliance requirements for home-based food businesses.

The conclusion of this research highlights the significance of addressing regulatory compliance and food safety practices in home-based food businesses to ensure public health and consumer confidence. By examining the regulatory landscape, food safety risks, management strategies, training impact, and practical recommendations, several key insights emerge.

Firstly, it is evident that home-based food businesses operate within a complex regulatory environment characterized by varying licensing, permitting, and inspection requirements across different jurisdictions.

This diversity underscores the need for home-based food entrepreneurs to stay informed about local regulations and proactively engage with regulatory authorities to ensure compliance.

Thirdly, the role of food safety training and education in promoting compliance and reducing the incidence of foodborne illness is underscored. Comprehensive training programs tailored to the unique needs of home- based food entrepreneurs can enhance food safety knowledge and practices, contributing to improved regulatory compliance and consumer safety.

In conclusion, the findings of this research underscore the critical importance of prioritizing food safety and regulatory compliance in home-based food businesses. By adopting proactive measures, such as implementing effective management strategies, investing in quality training programs, and adhering to regulatory requirements, home-based food entrepreneurs can enhance the safety and quality of their products, foster consumer trust, and contribute food industry.

References

Department for Business & Trade. (2024). Food and Drink. Retrieved from Department for Business & Trade: https://www.great.gov.uk/i nternational/content/inves tment/sectors/food- anddrink/#:~:text=The%20 UK’s%20food%20and%20d rink,automotive%20and%2 0aerospace%20industries% 20combined.

Department for Environment Food & Rural Affairs. (2024). Food statistics in your pocket. Retrieved from Department for Environment Food & Rural Affairs: https://www.gov.uk/govern ment/statistics/food- statistics-pocketbook/food- statistics-in-your-pocket

BBC News. (2021). At-home food selling concerning. Retrieved from BBC News: https://www.bbc.co.uk/ne ws/business- 56032785#:~:text=About%2 044%25%20of%20new%20food,Agency%20(FSA)%20h as%20revealed.

Food Standard Agency. The food regulatory system. Retrieved from Food Standard Agency: https://www.food.gov.uk/abo ut-us/the-food-regulatory- system

Science Direct. (2024). Methods and measures in food service food safety research: A review of the published literature. Retrieved from Science Direct: https://www.sciencedirect.co m/science/article/pii/S24058 44024078292

Science Direct. (2019). A study of food safety knowledge, practice and training among food handlers in Ireland. Retrieved from Science Direct: https://www.sciencedirect.co m/science/article/abs/pii/S09 56773579302312

The aim of this research is to explore the realms of organisational excellence beyond the limitations of mere skill sets. This study seeks to facilitate a deeper understanding of the untapped potentials residing within their workforce, fostering a culture centred around fulfilment and purpose-driven engagement.

Keywords:

Excellence, Potential, Fulfilment, Engagement, Leadership

Bio

Dr. Bola Benson, a seasoned consultant, coach, and speaker, is deeply committed to the transformative power of education, particularly for women.

With over 15 years of professional experience, Bola has played a pivotal role in the success of numerous brands, offering expertise in higher education, care services, and professional development training. Her unwavering passion for education and empowerment permeates her work, evident in her role as Managing Director at Global North London Business School and founder of Beyond Talent. Bola’s dedication to providing opportunities for growth and learning makes her a commendable leader in her field.

Abstract

Contemporary businesses face an evolving landscape where traditional metrics of success no longer suffice. This study delves into the paradigm shift necessitating a deeper exploration of the untapped potentials within the workforce. The research aims to transcend Dr Bola Benson Founder: Beyond Talent conventional notions of organisational success by prioritising employee fulfilment and purpose-driven engagement. Employing a comprehensive methodology, this study amalgamates insights from academic literature and industry practices to uncover talent that is present beyond conventional skill sets. Results highlight the transformative impact of recognising individual strengths, passions, and motivations on organisational dynamics.

The discussion underscores the pivotal role of leadership in fostering a culture that nurtures employee fulfilment. By aligning personal values with organisational objectives, employees transcend their roles, becoming a medium for innovation and growth. Moreover, investing in employee development not only enhances individual performance but also cultivates a vibrant organisational culture Leading companies exemplify the benefits of prioritising employee well-being and aligning organisational goals with workforce interests. By cultivating an inclusive environment and prioritising employee growth, these organisations achieve sustainable success and set new benchmarks for excellence.

In conclusion, the study advocates for a holistic approach to organisational success, one that prioritises the well-being and growth of employees. By embracing the power beyond talent, organisations can redefine success, building a brighter future for all stakeholders.

Introduction

The contemporary business world is characterised by a relentless pace of change, forcing organisations to re-evaluate traditional benchmarks of success (Owoseni, 2023). While technical skills remain a fundamental requirement, a growing body of research suggests that a sole focus on these qualifications is insufficient for achieving sustained competitive advantage (Omol, Mburu, & Abuonji, 2023). The imperative lies in acknowledging and strategically leveraging the ‘hidden potential’ residing within the workforce (Nguyen, Malik, & Budhwar, 2022). This potential extends beyond technical expertise, encompassing the unique blend of individual strengths, passions, and motivations that each employee brings to the table. Recent studies demonstrate a strong correlation between employee well-being and innovative output, highlighting the critical role of fostering an environment that unlocks this untapped potential (Wang, Chen, Wang, & Xie, 2022).

Figure 1 highlights that leader endorsement of innovation and coworker exclusion serve as mediating factors in the correlation between employee innovative behaviour and workplace well-being. Put simply, support from leaders for innovation correlates negatively with coworker exclusion, and employee innovation indirectly impacts workplace well-being through the mediating pathway of leader support for innovation–coworker exclusion. Organisations clinging to transactional employment models, focused solely on tasks and outputs, risk missing out on a wellspring of creativity and ingenuity.

Objectives

The aim of this research is to explore the realms of organisational excellence beyond the limitations of mere skill sets. This study seeks to facilitate a deeper understanding of the untapped potentials residing within their workforce, fostering a culture centred around fulfilment and purpose-driven engagement.

2.0 Methodology

This study employed a systematic literature review to delve into the concept of “power beyond talent” and its impact on organisational success. Electronic academic databases, such as Google Scholar PubMed, Scopus, Web of Science and JSTOR were utilised to conduct an extensive search.

Additionally, relevant journals and reputable sources were explored to gain a well-rounded perspective.

The keyword search strategy focused on three core themes:

Organisational Success:

“Organisational excellence,” “performance excellence,” “competitive advantage,” “high2.0 Methodology performing organisations.” Employee Fulfilment: “Employee engagement,” “employee well-being,” “workplace motivation,” “employee satisfaction.” Power Beyond Talent: “Hidden potential,” “human capital development,” “workforce potential,” “intrinsic motivation.”  The search was restricted to publications within the past five years (2019- 2024) to capture the latest research in this evolving field.

A continuous review and refinement process ensured the search terms and inclusion criteria remained relevant. Articles were screened based on title, abstract, and keywords to confirm their alignment with the research objectives. Selected full texts were then evaluated for their overall relevance and methodological soundness.

This critical appraisal guaranteed the incorporation of high-quality research into the analysis.

Through this rigorous methodology, this study aims to unveil the “power beyond talent” and its potential to elevate organisational success.

By analysing existing research, the study will explore how investing in employee fulfilment and harnessing the full potential of the workforce can create a sustainable competitive advantage.

3.0 Results and Discussion

The results of this study have highlighted various aspects of the “power beyond talent” within organisations.

These insights are explored through dedicated subheadings, examining the significance of: developing talent beyond technical skills (Beyond Talent within an organisation), fostering employee fulfilment (Fulfilment in employment) and purpose-driven engagement (Purpose driven staff), and the impact of investing in staff development (Investing in staff).

3.1 Beyond Talent within an organisation

Business in contemporary life is continually evolving, and it demands a shift beyond a purely skillsbased approach to talent management. Leading organisations recognise that a vast amount of potential lies within their workforce, waiting to be discovered (Somani, 2021). This “power beyond talent” encompasses the unique blend of individual strengths, passions, and motivations that each employee brings to the table (Ntara, 2023). As leaders and decision-makers, it becomes our duty to move beyond a passive reliance on surface-level skills and qualifications. Instead, we must actively seek out and cultivate these hidden talents (Haslam, Alvesson, & Reicher, 2024).

By delving deeper into the diverse capabilities and experiences of our workforce, it is possible to promote employee’s innovation, growth, and sustained success (Sypniewska, Baran, & Kłos, 2023). Each employee possesses a unique set of skills, perspectives, and experiences that can contribute meaningfully to the collective good of the organisation (Somani, 2021). Recognising and harnessing these individual strengths lies at the heart of unleashing the full potential of teams.

Leaders as Talent Champions:

Leaders play a pivotal role in fostering an environment that unlocks the “power beyond talent.” This requires a proactive approach that involves: Regular Skill Assessments: Implementing regular assessments helps identify individual strengths and areas for development (WEF, 2024).

Investment in Skill Development: Providing opportunities for continuous learning and skill development empowers employees to enhance their capabilities (Hieu, 2020).

Platforms for Talent Showcase: Creating platforms for employees to showcase their talents and expertise fosters a culture of innovation and recognition (Zhang, Zeng, Liang, Xue, & Cao, 2023). By investing in the personal and professional development of their workforce, leaders not only enhance individual performance but also cultivate a wellspring of talent that drives collective success and contributes towards organisational excellence.

3.2 Fulfilment in employment

Fulfilment in employment is not merely a bonus; it is the foundation upon which organisational success is built (Pandya, 2024). When individuals discover true purpose and meaning in their work, they transcend the role of passive contributors, evolving into dedicated stakeholders deeply invested in the organisation’s long-term success. This profound sense of purpose fosters not only engagement and loyalty but also ignites a passion for excellence that drives high performance across all levels of the organisation (Patil, et al., 2024).

Aligning personal values with the mission and vision of the organisation creates a powerful synergy. Employees become a medium through which positive change, innovation, and growth can occur. This alignment of purpose and fulfilment forms the bases of a vibrant and thriving organisational culture, one that fosters a sense of shared responsibility and generates a way for sustained success and prosperity.

3.3 Purpose-driven staff

Purpose-driven staff are the essence, of an organisation’s success. They infuse every aspect of the workplace with a contagious energy, enthusiasm, and dedication that fuels innovation and growth (Garr & Freitag, 2020). When employees experience a sense of purpose at work, they transcend the role of mere cogs in the machine. They become passionate champions of the organisation’s mission and vision, actively contributing to achieving shared goals.

Their motivation extends far beyond the allure of financial incentives. Purpose-driven staff are driven by an intrinsic desire to make a positive impact, not just on the organisation’s bottom line, but also on the world around them (Manzoor, Wei, & Asif, 2021). This intrinsic motivation fuels a dedication to excellence and a willingness to go the extra mile, ultimately propelling the organisation towards sustainable success (Somani, UNDERSTANDING THE CONCEPT OF MOTIVATION A N D LIFE SKILLS THROUGH LITERATURE, 2021). By fostering a culture that aligns individual purpose with organisational goals, leaders can cultivate a workforce brimming with passionate change-makers who are dedicated to leaving a lasting legacy.

3.4 Investing in staff

Investing in staff is not an expense; it’s a strategic investment in the future of organisations (Li, 2022). When leaders prioritise the well-being, growth, and professional development of their employees, they unlock a wealth of potential that translates into tangible benefits.

This includes heightened productivity, a surge in innovation, and a trajectory towards sustainable growth.

By providing opportunities for continuous learning, mentorship, and career advancement, we empower our employees to reach their full potential and contribute meaningfully to the organisation’s success.

This shift in perspective is no longer theoretical. Leading companies across diverse industries have embraced this new paradigm, investing in staff and are now reaping the rewards (BRUNO, HE, HENISZ, POLLOCK, & ULRICH, 2023). By prioritising employee fulfilment and forging a strong alignment between organisational goals and the best interests of their workforce, these companies are not only achieving traditional measures of success but are also setting new standards for excellence, innovation, and social responsibility. This commitment to their human capital translates into a competitive advantage that facilitates them towards long-term prosperity.

3.5 Increasing productivity

Increasing productivity is a fundamental goal for any organisation seeking to maintain a competitive edge and drive sustainable growth. This can be achieved through a multi-pronged approach that optimises processes, streamlines workflows, and leverages technology to enhance efficiency and output across all operational levels (Rožman, Tominc, & Štrukelj, 2023). Investing in employee development plays a crucial role in this equation. By providing access to training opportunities and the latest tools and resources, organisations empower their workforce with the skills and knowledge necessary to perform at their best (Somani, Progressing Organisational Behaviour towards a New Normal, 2021). Furthermore, fostering a supportive work environment that prioritises well-being and reduces stress can significantly enhance employee engagement and motivation, leading to higher productivity.

Beyond individual capabilities, fostering a culture of accountability, clear communication, and collaboration is essential for successful teamwork.

Empowering teams to work effectively together, share knowledge, and solve problems collaboratively enables them to achieve higher levels of performance and optimise collective output. Ultimately, prioritising productivity allows organisations to maximise their resources, minimise waste, and achieve greater profitability. This not only ensures long-term success but also positions the organisation for continued growth and competitive advantage in the ever-evolving business environment.

3.6 Leading companies across industries

Leading companies across various industries have embraced a progressive approach that prioritises employee fulfilment, invests in staff development, and aligns organisational goals with employee well-being. This forward-thinking strategy reaps significant rewards. These companies consistently report increased employee engagement, a surge in innovation, and a demonstrably more positive organisational culture. According to Wellable the top ten companies setting new standards for employee engagement in 2024 include: Google, Mastercard, Cisco Systems, Rakuten, Salesforce, Apple, Kaiser Permanente, Microsoft, Society For Human Resource Management (SHRM), NVIDIA (Wellable, 2024).

By fostering a sense of purpose and fulfilment among their employees, these top performers experience tangible benefits in productivity, efficiency, and sustainable growth. They serve as shining examples of how prioritising employee well-being and investing in staff development leads not only to financial success but also to long-term viability and prosperity in today’s competitive business landscape.

A Shift in Perspective: Recognising Employees as Assets

This shift in perspective acknowledges employees not simply as workers, but as invaluable assets crucial to the company’s success (Davidescu, Apostu, Paul, & Casuneanu, 2020).

This translates into a commitment to creating a supportive and inclusive work environment that actively promotes employee well-being, professional growth, and development.

Fostering Open Communication: A Foundation for Success

Fostering open communication channels and actively soliciting feedback from employees is essential (Kimani, 2024). This ensures their voices are heard and valued, and also helps identify areas for improvement within the organisation. By proactively looking out for the best interests of employees, organisations cultivate a sense of trust and loyalty, ultimately creating a foundation for sustained success and excellence. Figure 2 highlights the impact poor communication has on workers according to the 2024 state of business communication report.

Hence this emphasises the need for excellence communication within an organisation to thrive towards success.

Investing in People: Beyond Financial Incentives

Leading organisations strive to understand the needs and aspirations of their workforce. This goes beyond offering competitive salaries and benefits. It means providing opportunities for career advancement, skills development programmes, and promoting healthy work-life balance (Liu & Liu, 2022).

4.0 Conclusion

The relentless pursuit of financial gain, market share, and industry accolades has long been the traditional measure of organisational success. However, this study compels us to consider a more holistic perspective. True and sustainable success lies not just in financial metrics, but in the well-being and happiness of employees. As leaders, there is a fundamental responsibility to look out for the best interests of those under our care, fostering an environment where every individual feels valued, supported, and empowered to reach their full potential.

This research has shed light on the limitations of traditional, purely financial measures of organisational success. It compels us to embrace a more holistic perspective, recognising the well-being and development of our workforce as the foundation of true and sustainable success. Leaders have a critical role to play in fostering an environment that unlocks the “power beyond talent” within their employees. By nurturing a culture of purpose, fulfilment, and growth, organisations can unleash a wealth of potential for innovation, competitive advantage, and societal impact.

This shift in focus is not merely aspirational; it is a strategic imperative in today’s dynamic business world. By prioritising the human element within our organisations, we can build a future where success is not just measured by profit margins, but by the collective well-being and prosperity of our people and the communities we serve.

Based on the research findings presented in this paper, the following recommendations are offered for leaders and organisations seeking to unlock the “power beyond talent” within their workforce and redefine success through a people-centric approach:

1. Invest in Identifying and Cultivating Hidden Potential:

Implement regular skills assessments to go beyond technical expertise and uncover the unique strengths, passions, and talents that each employee possesses.

Develop and implement targeted training and development programs that cater to individual needs and aspirations, fostering continuous learning and growth.

Create platforms and opportunities for employees to showcase their talents and expertise, fostering a culture of innovation and recognition.

2. Foster a Culture of Purpose and Fulfilment:

Align organisational goals with employee values by actively soliciting employee feedback and ensuring a sense of shared purpose.

Empower employees by providing them with ownership of their work and opportunities to make meaningful contributions. Promote open communication and transparency, fostering trust and a sense of belonging within the organisation.

3. Prioritise Employee Well-being and Growth:

Implement initiatives that promote work-life balance and reduce stress, fostering a healthy and engaged workforce.

Offer opportunities for mentorship, career advancement, and professional development, empowering employees to reach their full potential. Invest in creating a supportive and inclusive work environment that celebrates diversity and fosters a sense of community.

4. Measure and Track Impact:

Develop metrics to track the impact of employee well-being initiatives on key performance indicators (KPIs) such as engagement, productivity, and innovation.

Regularly assess employee satisfaction and conduct surveys to identify areas for improvement and ensure alignment with employee needs.

Benchmark against leading companies to continuously learn and adapt best practices in fostering a thriving work environment.

By implementing these recommendations, organisations can move beyond traditional measures of success and unlock the true potential of their workforce. Investing in people is not simply an expense; it’s a strategic investment in building a sustainable future for the organisation, its employees, and the wider community.

References

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Analyse the role of sustainable business practices in mitigating climate change. Investigate the connection between entrepreneurial leadership and the adoption of sustainable practices. Explore how digital tools and innovation can be leveraged to enhance the effectiveness of sustainable business practices. Offer actionable insights for businesses seeking to align their operations with sustainability goals.

Keywords:

Sustainable Business, Entrepreneurship, Leadership, Climate Change, Digital Integration

Bio

Nkechi Okorocha is a pioneering Nigerian businesswoman who has made history in the UK. She achieved groundbreaking milestones, becoming the first Nigerian businesswoman in the UK to be recognised by the Guinness Book of Records. She also became the first woman to receive the Commonwealth Business Consultant in the UK and Ireland, and Lifetime Achievement Award from BEEFTA.

Alongside her husband, Mr. Ike Okorocha, a Consultant Obstetrician and Gynaecologist, Nkechi ventured to the United Kingdom in 1993, seeking new opportunities and a better life for their family. Despite facing challenges as an immigrant and mother of three, Nkechi’s determination and resilience supported by her husband propelled her to extraordinary success.

She is not only an accomplished accountant but also an author, mindset coach, mentor, and leader of leaders. Her wide-ranging expertise and unwavering commitment to excellence have earned her recognition and accolades both nationally and internationally.

Abstract

The profound impact of business operations on climate change has become an undeniable reality in contemporary life. Businesses worldwide are trying to understand how to create a balance between economic pursuits and environmental responsibility.

Through a thorough review of literature, this research analyses the relationship between sustainable business practices, entrepreneurship, and leadership. It also explores the impact of visionary leadership in fostering a corporate culture prioritising environmental responsibility and long-term sustainability with the objective of mitigating climate change.

Findings reveal that businesses adopting entrepreneurial initiatives grounded in environmental responsibility, innovation, and ethical practices play a pivotal role in mitigating climate change. The integration of sustainable business practices using digital means, coupled with effective leadership and leveraging digital innovations, not only reduces carbon footprints but enhances corporate resilience and long-term profitability.

This research provides actionable insights for businesses aligning their operations with sustainable development goals, emphasizing the significance of leadership in fostering a culture of sustainability.

It underscores the need for businesses to embrace practices harmonizing economic prosperity with environmental stewardship for a more resilient and responsible global business ecosystem.

Introduction

The stark reality of climate change, primarily driven by human activities, poses an existential threat to the planet’s health and the future of humanity (Kraakman, 2022) (IPCC, 2024). Businesses, once viewed as bystanders, are now recognised as major contributors. Their production processes, energy consumption, and waste generation leave a significant carbon footprint (Roletto, et al., 2024). Consumers are no longer passive participants – they are wielding their purchasing power as a powerful tool, demanding transparency and a strong commitment to sustainability from the companies they support (Huangfu, Ruan, Zhao, Wang, & Zhou, 2022). This shift in consumer behaviour has created an urgent need for businesses to transform. Simply “doing business as usual” is no longer tenable. This academic study delves into the crucial juncture of sustainable business practices, entrepreneurship leadership, and mitigating climate change. It delves into the role of entrepreneurial leadership in nurturing a culture of environmental accountability within Entrepreneurial leaders, characterised by vision, innovation, and a risk-taking spirit (Fontana & Musa, 2017), are uniquely positioned to drive positive change. They can champion sustainability initiatives, spearhead employee awareness campaigns, and develop innovative solutions to environmental challenges.

However, a superficial commitment to sustainability is insufficient. Businesses must integrate environmental responsibility into their core values and operational practices. This can encompass a range of initiatives, such as adopting renewable energy sources, implementing resource efficiency measures, and transitioning to circular economy models (Kumar, Darshna, & Ranjan, 2023). These practices not only demonstrate a commitment to environmental stewardship but can also lead to significant reductions in carbon footprints. Studies show that businesses prioritizing sustainability outperform their less sustainable counterparts in the long term (Somani, 2021).

By examining the critical relationship between these factors, this research aims to shed light on how businesses, spearheaded by visionary and entrepreneurial leadership, can contribute to a more sustainable future. This exploration will not only positively impact the environment but also strengthen the competitive edge of businesses in a marketplace increasingly driven by consumer demands for environmental responsibility.

Objectives

This research paper on Sustainable Business, Entrepreneurship Leadership, and Mitigating Climate Change aims to achieve the following objectives:

1. Analyse the role of sustainable business practices in mitigating climate change. This objective examines how businesses can reduce their environmental impact through practices like using renewable energy, reducing waste, and implementing resource efficiency measures. These objectives offer a thorough understanding of how the interplay between sustainable business practices, entrepreneurial leadership, and technological advancements can contribute to mitigating climate change.
2. Investigate the connection between entrepreneurial leadership and the adoption of sustainable practices. This objective explores how entrepreneurial leaders, characterised by vision, innovation, and risk-taking, can champion sustainability within organisations and drive positive environmental change.
3. Explore how digital tools and innovation can be leveraged to enhance the effectiveness of sustainable business practices. This objective examines how technologies like big data analytics and cloud computing can help businesses optimise resource use and reduce their environmental footprint.
4. Offer actionable insights for businesses seeking to align their operations with sustainability goals. This objective will translate the research findings into practical recommendations that businesses can implement to become more environmentally responsible.

These objectives offer a thorough understanding of how the interplay between sustainable business practices, entrepreneurial leadership, and technological advancements can contribute to mitigating climate change.

2.0 Methodology

This research paper on Sustainable Business, Entrepreneurship Leadership, and Mitigating Climate Change employed a literature review methodology to explore the existing body of knowledge on the subject.

Data Sources:

Academic databases: Scholarly articles were retrieved from reputable academic databases such as ScienceDirect, Google Scholar, JSTOR and Scopus. These databases provide access to peer-reviewed research on a wide range of business and environmental topics

Publications: Articles from credible business publications like Forbes were used to capture current trends in consumer behaviour and business practices related to sustainability.

Search Strategy: Keywords: A combination of relevant keywords was used to identify relevant literature. Examples include “sustainable business practices,” “entrepreneurial leadership,” “climate change mitigation,” “green economy,” “circular economy,” and “environmental responsibility.”

Inclusion and Exclusion Criteria: Articles were primarily selected based on the following criteria:

Publication Date: The emphasis was on recent publications (from the past decade) to ensure the research aligns with current trends and developments.

Relevance: Articles were included if they directly addressed the research objectives and provided valuable insights into the relationship between sustainable business practices, entrepreneurship leadership, and mitigating climate change.

Peer-Review: Peer-reviewed academic articles were prioritised to ensure the quality and credibility of the research.

Source Credibility: Articles from reputable organisations and business publications were also included to supplement the academic research.

Data Analysis:

A thematic analysis methodology was utilised to examine the gathered literature. This involved identifying recurring themes and concepts across the various sources. The research then synthesised and interpreted themes to cultivate a thorough comprehension of the correlation between the research variables.

3.0 Results and Discussion

3.1 The Role of Sustainable Business Practices in Mitigating Climate Change

The research overwhelmingly confirms a strong correlation between sustainable business practices and mitigating climate change. Businesses are major contributors to environmental issues through their core operations. There is a significant impact that businesses have on the environment, primarily through production processes, energy consumption, and waste generation (Velenturf & Purnell, 2021). However, the research also offers a beacon of hope by implementing sustainable practices, businesses can greatly lessen their environmental impact and play a crucial role in mitigating climate change.

Renewable Energy:

Shifting from fossil fuels to renewable energy sources like solar, wind, and geothermal power offers a significant opportunity to reduce greenhouse gas emissions (Qusay, et al., 2024). These clean energy sources produce minimal to no emissions during operation, drastically reducing a company’s carbon footprint. Figure 1 illustrates that renewable energy sources accounted for 40.8% of the power supplied to the National Grid in 2023. To elaborate, wind energy comprised 29.4% of the total, while solar projects contributed 4.9% (Paul, 2024).

Figure description : Supplier fuel mix: UK average (for the year 1 April 2022 to 31 March 2023)

Resource Efficiency:

Implementing measures to conserve resources like water, raw materials, and energy isn’t just environmentally friendly; it can also lead to significant cost savings for businesses (Moshood, et al., 2022). Resource efficiency practices can encompass various strategies, such as optimizing production processes to minimize waste, implementing water-saving technologies, and using energy-efficient equipment. These practices not only reduce a company’s environmental impact but also improve their resource utilization and potentially lead to increased profitability.

Circular Economy:

Transitioning from the conventional linear “take make-dispose” economic model to a circular economy model offers a holistic approach to mitigating climate change. The circular economy prioritizes waste minimisation and resource depletion by designing products for disassembly, reuse, and recycling (Sönnichsen, de Jong, Clement, Maull, & Voss, 2024). This can involve practices like extending product lifespans through modular design, developing take-back programs for used products, and incorporating recycled materials into production processes. By closing the resource loop, the circular economy minimises environmental impact and promotes resource sustainability. Furthermore, sustainable business practices often have a ripple effect. By reducing their environmental footprint, businesses not only contribute directly to climate change mitigation but also inspire and encourage other stakeholders to adopt sustainable practices. This creates a positive domino effect, paving the way for a more sustainable future.

3.2. Entrepreneurial Leadership and Sustainable Practices

The research underscores the critical role of entrepreneurial leadership in fostering a culture of environmental responsibility within organisations. Entrepreneurial leaders, characterised by their visionary thinking, innovative spirit, and willingness to take calculated risks (Nagrecha, 2024), are uniquely positioned to drive positive environmental change. They act as catalysts, facilitating their organisations towards a more sustainable future through several key strategies:

Championing Sustainability Initiatives

Effective leaders set the tone from the top (Somani, Progressing Organisational Behaviour towards a New Normal, 2021). They actively promote sustainability within the organisation by integrating environmental responsibility into the company’s mission, vision, and core values. This commitment manifests in actions like advocating for green investments in renewable energy sources, resource-efficient technologies, and circular economy initiatives (Hariram, Mekha, Suganthan, & Sudhakar, 2023). By championing these initiatives, leaders not only demonstrate their own commitment but also inspire and empower employees to embrace sustainability.

Employee Awareness and Engagement:

A critical component of fostering a culture of sustainability is ensuring employee buy-in (Ketprapakorn & Kantabutra, 2022). Entrepreneurial leaders can spearhead comprehensive employee awareness campaigns to educate employees on the environmental impact of the company’s operations and the importance of sustainable practices (PBCom, 2022). This can encompass workshops, training programs, and internal communication initiatives that highlight the company’s sustainability goals and empower employees to contribute. Additionally, leaders can create opportunities for employee engagement through initiatives like volunteer programs focused on environmental restoration or internal competitions that incentivise sustainable practices in daily operations.

Developing Innovative Solutions:

Entrepreneurial leaders thrive in environments that encourage innovation (Ercantan, Eyupoglu, & Ercantan, 2024). They can foster a culture of creative problem-solving within their organisations, specifically targeting environmental challenges. This can involve encouraging employees to brainstorm and develop new technologies, products, or business models that address environmental concerns. Additionally, leaders can champion research and development initiatives focused on finding sustainable solutions to industry-specific environmental problems. By fostering a culture of innovation, entrepreneurial leaders empower their teams to become active participants in the fight against climate change. Furthermore, effective entrepreneurial leaders understand the importance of leading by example (Malibari & Bajaba, 2022). They integrate sustainable practices into their own work styles and decision-making processes. This can involve setting ambitious environmental goals for the organisation, adopting eco-friendly practices within their departments, and demonstrating a personal commitment to sustainability. By leading by example, entrepreneurial leaders inspire others to follow suit and help build a more sustainable future.

3.3. Digital Tools and Sustainable Business Practices

The research highlights the crucial role of digital tools and innovation in amplifying the effectiveness of sustainable business practices. These tools act as an extension of a company’s sustainability efforts, providing valuable data, optimising processes, and driving real-world environmental improvements. Some key digital weapons in the fight against climate change:

Big Data Analytics:

In today’s data-focused world, big data analytics has risen as a game-changer for sustainable businesses (Masenya, 2023). Businesses can leverage this technology to collect and analyse large volumes of data pertaining to their operations, including energy consumption, resource use, and waste generation. By analysing with this data, companies can pinpoint areas for enhancement and utilise data-driven insights to streamline their processes. For example, businesses can use analytics to pinpoint inefficiencies in their supply chains, identify opportunities for reducing material waste, or track their progress towards renewable energy goals. This data driven approach allows businesses to target their sustainability efforts strategically and maximise their environmental impact.

Cloud Computing:

Cloud computing offers a sustainable advantage by enabling businesses to reduce their reliance on physical infrastructure (Yenugula, Sahoo, & Gowswami, 2024). Traditional on-premises data centres require significant energy for cooling and powering servers. By migrating to the cloud, businesses can leverage the efficiency of large-scale data centres operated by cloud providers, who are increasingly investing in renewable energy sources to power their operations. Furthermore, cloud computing facilitates increased flexibility and scalability, empowering businesses to adjust their resource usage based on real-time needs, further minimising their environmental footprint.

Internet of Things (IoT):

The Internet of Things (IoT) is revolutionising the way businesses collect and utilise environmental data (Langley, et al., 2021). IoT sensors can be embedded in equipment, buildings, and even throughout supply chains, allowing for realtime monitoring of energy use, resource consumption, and environmental conditions. This real-time data provides invaluable insights for businesses to identify inefficiencies and make immediate adjustments. For example, a manufacturing plant can use IoT sensors to monitor energy usage on individual machines, allowing them to identify and address energy-consuming equipment. Similarly, smart agriculture techniques can leverage IoT sensors to optimise water usage and fertiliser application, minimising environmental impact.

Beyond these core tools, the digital landscape offers a plethora of other innovative solutions. Artificial intelligence (AI) can be used to automate tasks and optimise resource use, while blockchain technology can improve supply chain transparency and promote sustainable sourcing practices (Tsolakis, Schumacher, & Dora, 2023). By embracing these digital tools and fostering a culture of innovation, businesses can unlock a new level of environmental responsibility and make a substantial contribution to fostering a more sustainable future.

Sustainable business practices offer a viable path towards mitigating climate change. Businesses that prioritise sustainability not only enhance environmental sustainability but also attain a competitive advantage in a marketplace increasingly driven by consumer demands for environmental responsibility. However, challenges remain. Implementing sustainable practices can require significant upfront investments (Zenghelis, Serin, Stern, & Valero, 2024). Businesses may also face resistance from traditional mindsets within the organisation. Additionally, the effectiveness of these practices relies heavily on strong leadership commitment and employee buy-in.

4.0 Conclusion

The overwhelming scientific consensus indicates a negative impact on climate change, driven by human activities, posing a dire threat to our planet’s health and humanity’s future. Businesses, once viewed as bystanders, are now recognised as major contributors through their environmental footprint. Consumers are demanding transparency and a strong commitment to sustainability, forcing businesses to re-evaluate their operations (Reichheld, Peto, & Ritthaler, 2023). This research delved into the critical intersection between sustainable business practices, entrepreneurial leadership, and mitigating climate change. The findings highlight the crucial role of sustainable practices like renewable energy, resource efficiency, and circular economy models in reducing a business’s environmental impact. Furthermore, the research emphasises the importance of entrepreneurial leadership in driving positive change. Entrepreneurial leaders, characterised by vision and risk-taking, can champion sustainability initiatives, raise employee awareness, and foster innovation for environmental solutions. Additionally, digital tools like big data analytics, cloud computing, and the Internet of Things offer valuable resources for optimising resource use and improving environmental performance.

In conclusion, this research underscores the critical role businesses can play in mitigating climate change. By embracing sustainable practices and leveraging entrepreneurial leadership and digital tools, businesses can transition towards a more sustainable future. This not only benefits the environment but also strengthens their competitive edge in a marketplace increasingly driven by consumer demands for environmental responsibility.

Recommendations

Drawing from the conclusions of this research, the subsequent recommendations are proposed:

Businesses should conduct a sustainability audit to identify areas for improvement in their operations. Entrepreneurial leaders should champion sustainability within their organisations and develop a clear vision for a sustainable Businesses should invest in digital technologies like big data analytics and cloud computing to optimise resource usage and reduce environmental impact.

Collaboration with stakeholders, such as suppliers and customers, is crucial to promote sustainable practices throughout the supply chain.

Businesses should prioritise transparency in their sustainability efforts, communicating their initiatives and progress to stakeholders.

Governments can incentivise sustainable business practices through tax breaks, subsidies, and favourable regulations.

Educational institutions can play a vital role by equipping future business leaders with the knowledge and skills necessary to integrate sustainability into their business models. Further research exploring successful case studies and specific digital tool applications within sustainable business models can provide even more valuable insights for businesses seeking to adopt a more environmentally responsible approach.

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Primary Objective:

To study the grading system followed by measuring employee performance.

Secondary Objectives:

To identify the employee knowledge over appraisal systems.

To assess the grading system followed for appraisal.

To find out the techniques followed in the grading system to face challenges in appraisal.

To evaluate the benefits out of the grading system of performance appraisal.

To suggest the methods to be followed to improvise the grading system.

Bio

Dr.Prassanna Sivanandam is a Professor and Dean Saveetha School of Management Additional Director of UBA and NSS.

ABSTRACT

Globally the success of any organization is increasingly depending upon the sustained results it can deliver on continuous basis. Human Resources Management is driving all resources towards achieving this effort and to satisfy all stake holders of the organizations. Performance management is seen as a strategic approach in delivering sustained organizational success by managing and improving the individual employee and team performance. Globalization has brought in pierce competition on the quality of products /services the companies have to deliver. Developing economies like Brazil, Russia, India and China (BRIC countries) are creating opportunities galore in the growth of new business sectors. The fast pace of development during the last decade has lead to dearth of employable people, more so in Banking, Insurance, IT and ITES sectors. The crucial challenge for the organizations is how to manage employee current performance and also to improve their future performance.

INTRODUCTION

PERFORMANCE APPRAISAL

The importance of Human Resource Management (HRM) and Human Resource Development (HRD) is increasingly being appreciated across the world. The objective of performance appraisal is to evaluate an employee’s performance of a job. Knowledge, skill and ability by themselves cannot guarantee performance. Hence, performance evaluation plays a pivotal role in measuring actual deliverables. Performance appraisal has gained momentum and critical importance in assessing employee’s actual work delivery. India, being a developing economy, with rapid expansion of industry, performance management and appraisal are critical factors in managing effective employee’s performance. Organizations are designing and implementing the right method of performance appraisals to achieve organizational objectives successfully.

The Oxford English Dictionary defines performance as the ‘accomplishment, execution, carrying out and working out of anything ordered or undertaken’. Hence, it is said that performance is the way the organizations, teams and individuals get their work done.

Campbell (1990) defines performance as behaviour. It is something done by the employee. This concept differentiates performance from out-comes. Outcomes are the result of an individual’s performance, but they are also the result of other influences. In other words, there are more factors which determine outcomes than just an employee’s behaviours and actions. Armstrong and Baron (1998) defined it as a “strategic and integrated approach to increasing the effectiveness of companies by improving the performance of the people who work in them and by developing the capabilities of teams and individual contributors.” Brumbrach (1998) defines ‘performance means both behaviours and results. Behaviours emanate from the performer and transform performance from abstraction to action. The product of mental and physical effort applied to tasks and can be judged apart from results.’ Aubrey Daniels (2004) says that performance is a blend of two necessary critical elements, behaviour and results.

The Chartered Institute of Personnel and Development (CIPD) facts sheet defines that Talentconsists of those individuals who can make a difference to organizational performance, either through their immediate contribution or in the longer run by demonstrating the highest levels of potential. Talent management is the systematic attraction, identification, development, engagement/retention and deployment of those individuals with high potential who are of particular value to an organization.

Performance management

The Society for Human Resource Management (SHRM) defines that “performance management is the organized method of monitoring results of work activities, collecting and evaluating performance to determine achievement of goals and using performance information to make decisions, allocate resources and communicate whether objectives are met.”

Institute of Personnel Management (1992)defines performance management as ‘A strategy which relates to every activity of the organization set in the context of its human resources policies, culture and style and communications systems. The nature of the strategy depends on the organizational context and can vary from organization to organization.’ According to Lockett (1992), ‘the essence of performance management is the development of individuals with competence and commitment, working towards the achievement of shared meaningful objectives within an organization which supports and encourages their achievement.’

American Compensation Association (1996) defines Performance Management as ‘an effective performance management system that aligns individual performance with the organization’s mission, vision and objectives.’

Bill Kennedy, DJ Ellison and Will Artley (2001) in the performance based management handbook defines that ‘Performance-based management is a systematic approach for performance improvement through an ongoing process of establishing strategic performance objectives; measuring performance; collecting, analysing, reviewing, and reporting performance data; and using that data to drive performance improvement.’ Susan M Heathfield (2005) defines that performance management is the process of creating a work environment or setting in which people are enabled to perform to the best of their abilities. ‘Performance management is a whole work system that begins when a job is defined as needed and it ends when an employee leaves the organization.’ Briscoe and Claus (2008) say ‘Performance management is the system through which organizations set work goals, determine performance standards, assign and evaluate work, provide performance feedback, determine training and development needs and distribute rewards.’

Performance Management Features

McMaster (1994) and Williams (2002) amongst others, suggest that the key sequences of performance management are as follow:

• Identification of strategic objectives
• Setting of departmental/team goals
• Activities identified/performance plan developed
• Outputs agreed
• Monitor/review of performance through appraisal
• Determine development needs
• Allocate reward

Performance rating scales

The most difficult part of the performance appraisal process is to accurately and objectively evaluate the employee performance. Five point rating scales are commonly used.

• Significantly exceeds the requirements (5)
• Exceeds requirements (4)
• Meets requirements (3)
• Does not consistently meet requirements (2)
• Below requirements (1)

Performance Management Process Model

Performance management becomes a primary tool for managing the business in shaping individual behaviour and ensuring these are directed towards achieving the strategic goals of the organization. As Mohrman and Mohrman (1995) emphasized, ‘performance management is managing the businesses through accomplishment of goals; in other words, it is what managers do all the time. A typical performance management model is exhibited below.

As shown in the above figure, perfomance-based management follows the Plan-Do- Check-Act (Continuous Improvement) Cycle developed by Shewhart Walter (1930) of Bell Labs. The first step is to define the organization’s mission and to establish its strategic performance objectives (also known as the strategic planning phase). The next step is to establish performance measures based on and linked to the outcomes of the strategic planning phase. Following that, the next steps are to do the work and then collect performance data (measurements) and to analyze, review and report the data. The last step is for management to use the reported data to drive performance improvement, i.e. make changes and corrections for “fine tune” organizational operations. Once the necessary changes, corrections or fine tuning are determined, the cycle starts over again. Accountability for performance is well established at all steps in the framework.

PERFORMANCE APPRAISAL MEASUREMENT METHODS

It is immensely important to understand traditional methods, modern methods and latest global trends.

Traditional Appraisal methods

1. Essay appraisal method: This traditional form of appraisal, also known as “Free Form method”, involves a description of the performance of an employee by his superior. The description is an evaluation of the performance of the employee basing on the facts and often includes examples and evidence to support the information. Bureau of National Affairs Inc (1975) survey of 139 firms, 47 per cent firms used essay appraisal method due to simplicity of use.
2. Straight ranking method: This is one of the oldest and simplest techniques of performance appraisal. In this method, the appraiser ranks the employees from the best to the poorest on the basis of their overall performance. It is quite useful for a comparative evaluation (Muchinsky, 2012).
3. Paired comparison: It is a better technique of comparison than the straight ranking method, this method compares each employee with all others in the group, one at a time. Personnel are compared to key persons instead of ‘whole people to whole people,’ this system of measurement is good for measuring jobs rather than measuring people. After all the comparisons on the basis of the overall comparisons, the employees are given the final rankings, Muchinsky, (2012).
4. Critical incident method: In this method of Performance appraisal, the evaluator rates the employee on the basis of critical events and how the employee behaved during those incidents. It includes both negative and positive points. The drawback of this method is that the supervisor has to note down the critical incidents and the employee behaviour as and when they occur.
5. Field review method: In this method, a senior member of the HR department or a training officer and the supervisors to evaluate and rate their respective subordinates. A major drawback of this method is that it is a very time consuming method. But this method helps to reduce the superiors’ personal bias.
6. Checklist method: The rate is given a checklist of the descriptions of the job behaviour of the employees. The checklist contains a list of statements on the basis of which the rater assesses the employees on the job performance (Schuler, 1995).
7. Graphic rating method: In this method, an employee’s quality and quantity of work is assessed in a graphic scale indicating different degrees of a particular trait. Alan et al mentions in one of the surveys of 216 organizations, 57 % used graphic rating scales. The factors taken into consideration include both the personal characteristics and characteristics related to the on the job performance of the employees (Landy& Farr, 1983)
8. Forced distribution: To avoid potential negative consequences of rater biases, some organizations have adopted so-called forced distribution. Supervisors have to follow a predetermined distribution of ratings. At General Electric for example, the former CEO Jack Welch promoted what he called a .vitality curve. According to which each supervisor had to identify the top 20 percent and the bottom 10 percent of his team each year. As per estimates, a quarter of the Fortune 500 companies (e.g. Cisco, Intel, Hewlett Packard, Microsoft etc.) link parts of individual benefits to a relative performance evaluation (Boyle, 2001)

OBJECTIVES OF THE STUDY

PRIMARY OBJECTIVE

To study the grading system followed by measuring employee performance.

SECONDARY OBJECTIVES

To identify the employee knowledge over appraisal systems.

To assess the grading system followed for appraisal.

To find out the techniques followed in the grading system to face challenges in appraisal.

To evaluate the benefits out of the grading system of performance appraisal.

To suggest the methods to be followed to improvise the grading system.

NEED FOR THE STUDY

• The degree is usually measured on a scale that is excellent, very good, good, average, poor. Then the actual performance of each employee is compared with these grades, and the person is allocated to the grade which best describes his performance. In this method, certain categories of worth are established in advance and carefully defined. Performance scale from which the level of achievement may be calculated for any given level of actual performance for such performance measure. This study will reveal the assessment of performance of employees over grading system, employee’s knowledge on this system, challenges involved in it & the benefits out of this grading system.

LIMITATIONS

• Cost factor is the major constraint.
• This study is limited to Chennai location alone

2. REVIEW OF LITERATURE

Harrison and Goulding (2020), Boice and Kleiner (2019) suggest the overall purpose of performance appraisal is to let an employee know how his or her performance compares with the manager’s expectations. Again, this is a one dimensional view.

Bach (2019) suggests that one of the underlying purposes of performance appraisal schemes is to elicit corporate compliance. Role ambiguity is addressed by Pettijohn et al (2001) who suggest that performance appraisal can reduce role ambiguity.

Simmons (2019) draws together a range of sources, arguing that a robust, performance enhancing and equitable performance appraisal system, which gains the commitment of professionals, is a key factor in achieving a good return on an organisations “intellectual capital”.

Rees and Porter (2019) cite that a common problem is that schemes have too many objectives. The most obvious reason for appraising an individual is to secure its improvement and it follows that securing performance improvement for all individuals will enhance wider organization performance.

Fletcher (2018) takes a more balanced view, suggesting that for performance appraisal to be constructive and useful, there needs to be some benefit in it for appraiser and appraisee.

Youngcourt, Leiva and Jones (2018) suggest that the common purpose of performance appraisal tends to be aimed at the measurement of individuals, again this focus is insufficient. From the organization perspective, successful performance management is key to achievement of corporate goals. It is argued above that performance appraisal is the central component of performance management, and so it must be that for an organization.

Caruth and Humphreys (2018) add to this view-point by suggesting it is a business imperative that the performance appraisal system includes characteristics to meet the organizational needs and all of its stakeholders (including management and staff). The most common to almost all purposes of performance appraisal is the concept of improving performance and developing people.

Overall, some researchers focus on organizational goals as the key purpose, many focus on individual performance improvement. In the Banking industry appraisal system that meets individual as well as organizational goals is important. To summarize, Achievement of organizational, individual goals, evaluation of goals, improvement performance plan and allocation of pay & rewards.

Campbell (2018) also suggested determinants of performance components. Individual differences on performance are a function of three main determinants: declarative knowledge, procedural knowledge and skill, and motivation. Non-judge mental measures has received renewed attention as one can find out general health of the organization (Ex: absenteeism, employee turnover, grievances, accidents), Nicholson & Brown (1990).

Zaffron (2018) mentioned that it may be possible to get all employees to reconcile personal goals with organizational goals and increase productivity and profitability of an organization using the performance management process. Many people get confused by the similarities and differences that exist between performance measurement and performance-based management. Performance measurement, in simplest terms, is the comparison of actual levels of performance to pre-established target levels of performance. To be effective, performance measurement must be linked to the organizational strategic plan.

Hebert et al, (2017) argued that, challenging objectives lead to greater accomplishment only, if the subordinate truly accepts the goal as reasonable, (Gary, 1975). The concept is supported in the MBO approach as well.

Aberdeen group (2017) survey revealed that 90% of companies surveyed, perceive that improved management of their workforce and their goal setting is the key to gaining competitive advantage. If people do not know what is expected of them, there is a good chance that their behaviour will not con-form to expectations (Youngcourt, Leiva& Jones 2007). Improvement of performance: Rogers (1999) suggests that one of the key components of performance appraisal is solving problems – i.e. improving performance. He also suggests that whilst many managers may have the skills to identify the need to improve performance, they may need much more support than is currently made available to sort them. Appraisal will focus on both short term issues and also long term career needs (Shelley 1999).

Manager’s commitment: Poor performance can arise from a host of reasons, including inadequate leadership, bad management or defective work systems Armstrong, (2000).

Training & Development: Wilson and Western (2000) research suggest that managers take the initiative in determining the training and development requirements and facilitation support. Brown (2001) cites lack of training for managers on appraisal process is particularly important. Hay group (2009) research says that less than 50% of employees believe their organizations adequately address poor performance. Clearly it is a challenge for most companies large or small to manage the performance of their employees, especially in the eyes of employees.

Coaching & Discipline: Kate Russell (2017) of Russell HR Consulting, author of How To Get Top Marks in… Managing poor work performance and Gibbons Williams (2010) in ‘Good practice and tactical tips from the HR head-mistress,’ says: “My experience tells me most people think they are giving good, or indeed excellent, performance. The truth is, in most cases it’s OK, but not wonderful. ‘Good enough is no longer good enough,’ employees are costing more than ever in history. It is entirely appropriate to coach and guide them – and ultimately discipline them if necessary, to ensure they meet all the reasonable goals/-standards.”

Armstrong and Baron (2017) defined it as a “strategic and integrated approach to increasing the effectiveness of companies by improving the performance of the people who work in them and by developing the capabilities of teams and individual contributors.” Brumbrach (1998) defines ‘performance means both behaviours and results. Behaviours emanate from the performer and trans-form performance from abstraction to action. The product of mental and physical effort applied to tasks and can be judged apart from results.’ Aubrey Daniels (2004) says that performance is a blend of two necessary critical elements, behaviour and results.

The Chartered Institute of Personnel and Development (CIPD) facts sheet defines that Talent consists of those individuals who can make a difference to organizational performance, either through their immediate contribution or in the longer run by demonstrating the highest levels of potential. Talent management is the systematic attraction, identification, development, engagement/retention and deployment of those individuals with high potential who are of particular value to an organization.

3. METHODOLOGY

The primary purpose for applied research is discovering, interpreting, and the development of methods and systems for the advancement of human knowledge on a wide variety of scientific matters of our world and the universe. Research can use the scientific method, but need not do so. Research methodology is a way to systematically solve the research problem. The research methodology in the present study deals with research design, data collection methods, sampling methods, survey, analysis and interpretations.

Approaches to Research: Descriptive approach

In this approach, a problem is described by the researcher by using a questionnaire or schedule. This approach enables a researcher to explore new areas of investigation. It is also called Statistical Research. The main goal is to describe the data and characteristics about what is being studied. The idea behind this type of research is to study frequencies, averages, and other statistical calculations. It can provide a rich data set that often brings to light new knowledge or awareness that may have otherwise gone unnoticed or encountered.

Research Design:

A research design is the arrangement of conditions for collection and analysis of data in a manner that aims to com-bine relevance to the research purpose with economy in procedure.

• A well-structured questionnaire is framed.
• Findings are made and necessary suggestions and recommendations are given.

DATA COLLECTION

Data collection is one of the most important aspects of research. Two types of data are, Primary Data and Secondary Data.

• Primary Data
• Secondary Data

Primary Data – Primary data is gathered from direct observation or data personally collected. It refers to that data which is collected for a specific purpose from the field of enquiry and is original in nature. For the project, primary data is collected from respondents using a questionnaire. A structured questionnaire has to be designed with a series of close-ended and open-ended questions along with appropriate rated scale.

Secondary Data – The secondary data is the second-hand information about an event that has not been personally witnessed by the researchers. The use of secondary data saves time and money. The purpose is to increase the accuracy of analysis. Here the secondary data was obtained from various journals, research papers, websites of the organization, etc.

Research Tool:
A structured questionnaire has been prepared to get the relevant information from the respondents. The questionnaire consists of a variety of questions presented to the respondents for their answers.

Sampling
Sampling is that part of statistical practice concerned with the selection of individual observations intended to yield some knowledge about a population of concern, especially for the purposes of statistical inference.

Sample size – 120 respondents
Sampling Method: 

In this research, a simple random sampling method is used.
Simple random sampling is a type of probability sampling that involves the sample being. A simple random sample is a type of probability sampling method where the sample is taken randomly Tools to be used –

(1) Chi square analysis
(2) Correlation
(3) Linear regression

Percentage Analysis:

One of the simplest methods of analysis is the percentage method. It is one of the traditional statistical tools. Through the use of percentage, the data are reduced in the standard form with the base equal to 100, which facilitates comparison. The formula used to compute Percentage analysis is, analysis shows the entire population in terms of percentages.

Percentage Analysis = No of respondents x 100

Total Respondents

Correlation Analysis:

Correlation is a degree of linear association between two random variable. In these two variables, we do not differentiate them as dependent and independent variables. It may be the case that one is the cause and other is an effect.

Chi-Square:

It is a measure to study the divergence of actual and expected frequencies. It is represented by the symbol ψ2, Greek letter chi. The expected frequencies are calculated based on the conditions of null hypothesis. It describes the discrepancy theory and observation.

Linear regression

Linear regression strives to show the relationship between two variables by applying a linear equation to observed data. One variable is supposed to be an independent variable, and the other is to be a dependent variable

TOOL USED – 1 CHI SQUARE ANALYSIS

It was noted that the significant value was .000 which was highly significant therefore H1 was accepted. So there was an association between age & evaluation through grading system.

TOOL USED – 2 CORRELATION ANALYSIS

To find out the relationship between Traditional grading system & evaluation of performance through grading.

It was noted from the above calculation the significant value for correlation was .823 which was highly significant and positive correlation. There-fore there was a relationship between the Traditional grading system & evaluation of performance through grading.

TOOL USED – 3 LINEAR REGRESSION

To find out the relationship between experience & assessing the performance level through grading

4. FINDINGS

• 82% of the respondents were male
• 35% of the respondents were under the age of 25-35 years.
• Most of the respondents were having below 4 years of experience.
• 47% of the respondents were fully informed about the grading system of appraisal.
• Most of the respondents were accepting that the grading system of appraisal was the trendy one.
• 35% of the respondents agreed the grading system was perfect enough to evaluate.
• Majority of the respondent’s were strongly considered that the grading system was a traditional one.
• 24% of the respondents agreed on the grade given to the actual performance.
• 27% of the respondents agreed that the grading system can be influenced by performance.
• 35% of the respondents somewhat agree on grades based on contribution.
• 81% of the respondents agreed that a grading system leads to effective evaluation of performance.
• Most of the respondent’s were felt that it was highly possible to justify the grading given by HR.
• Majority if the respondents agree on grading leads to expand the business.
• 73% of the respondents agreed that the grades can judge the capacity of the employees.
• Most of the respondents agreed that employees can get benefits out of grading.
• Majority of the respondents agreed on monetary benefits based on grading.
• 92% of the respondents were accepted on the fact that HR was responsible for following grades.
• 47% of the respondents were highly benefited based on the grades.
• 80% of the respondents were accepting on the assessment of performance level based on grading.
• 35% of the respondents were strongly accepting on the company’s expectations based on employee performance.
• Most of the respondents were agreed up on employees can identify their level through grading.
• Majority of the respondents were strongly accepting over effective grading leads to efficient future performance.
• 33% of the respondents were highly satisfied over grading system followed in the company.

SUGGESTIONS

Performance appraisal has increasingly become part of a more strategic approach to integrate HR activities and business policies and may now be seen as a generic term covering a variety of activities through which organizations seek to assess employees and develop their competence, enhance performance and distribute rewards. Thus, both practice and research have moved away from a narrow focus on psychometric and evaluation issues to developmental performance appraisal, which may be defined as any effort concerned with enriching attitudes, experiences, and skills that improves the effectiveness of employees. Top management commitment, strategic goal alignment with employee performance goals, productivity, driving performance, manager’s involvement, performance mismanagement, performance aligned to culture, employee coaching, discipline and development, subjectivity ,resource support, complexity of systems, miscommunication issues, poor measurement challenges, and poor compensation & reward linkage will continue to be challenges towards achieving organizational goals.

CONCLUSION

Performance appraisal based on quality of output, potential of the employee within the organization etc. needs to be incorporated across all grades, cadres, and levels. This will not only ensure maximizing productivity, but also go a long way in motivating star performers align with the long term mission and vision of banks. Common pay structures based on age of employee, number of years put in etc. need to be phased out in a planned manner. Performance Appraisal information is used to find out whether an employee requires additional training and development. Deficiencies in performance may be due to inadequate knowledge or skills. Similarly, if the performance appraisal results show that he can perform well in a higher position, then he is imparted training for the higher level position

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