

Published Date: 10-08-2025 Issue: Vol. 2 No. 8 (2025): August 2025 Published Paper PDF: Download
Abstract: This research investigates the effectiveness of performance appraisal systems (PAS) in India’s industrial sector, focusing on Tata Steel Limited (private sector) and MECON Limited (public sector), both based in Jharkhand. Using a mixed-methods approach, the study integrates structured surveys (n H” 350), semi-structured interviews, and organizational documents to assess HRM practices, leadership support, managerial competence, employee involvement, and technological integration. Findings from exploratory analysis, CFA, and SEM reveal that HRM practices (â = 0.526, p < .001), leadership support (â = 0.376, p < .001), and managerial competence (â = 0.197, p < .05) significantly drive PAS effectiveness, while technology integration shows negligible or negative impact. Results highlight dissatisfaction with traditional systems and underline the need for transparent, participatory, and leadership driven frameworks. The study proposes a strategic blueprint for redesigning appraisal systems to enhance employee motivation, fairness, and organizational growth in both public and private industrial enterprises.
Keywords:Performance Appraisal Systems, HRM Practices, Leadership Support, Managerial Competence, Employee Involvement, Technology Integration.