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A Study on Performance appraisal with respect to Ken Bag Industries

CHAPTER 1
INTRODUCTION

 1.1. Introduction towards project report on Performance appraisal


 1.2. Objectives of Performance Appraisal
 1.3. Components of performance appraisal

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A Study on Performance appraisal with respect to Ken Bag Industries

1.1. Introduction
A performance appraisal is a regular review of an employee's job performance
and overall contribution to a company. Also known as an "annual review,"
"performance review or evaluation," or "employee appraisal," a performance
appraisal evaluates an employee’s skills, achievements and growth, or lack
thereof. Companies use performance appraisals to give employees big-picture
feedback on their work and to justify pay increases and bonuses, as well
as termination decisions. They can be conducted at any given time but tend to
be annual, semi-annual or quarterly
There are various methods that are used by managers and employers to evaluate
the performance of the employees, but they can be put into two categories:

 Traditional Methods of Appraisal


 Modern Methods of Appraisal

1.2. Objectives of Performance Appraisal

Performance Appraisal can be done with following objectives in mind:

1. To maintain records in order to determine compensation packages,


wage structure, salaries raises, etc.
2. To identify the strengths and weaknesses of employees to place right
men on right job.
3. To maintain and assess the potential present in a person for further
growth and development.
4. To provide a feedback to employees regarding their performance and
related status.
5. To provide a feedback to employees regarding their performance and
related status.
6. It serves as a basis for influencing working habits of the employees.
7. To review and retain the promotional and other training programmes.

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A Study on Performance appraisal with respect to Ken Bag Industries

1.3. COMPONENTS OF PERFORMANCE APPRAISAL

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A Study on Performance appraisal with respect to Ken Bag Industries

CHAPTER 2
COMPANY PROFILE

 2.1. Journey of ken bag


 2.2. Product list
 2.3. Mission of the organisation
 2.4. Achievement

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A Study on Performance appraisal with respect to Ken Bag Industries

2.1. Journey of ken bag

Shri Longjam Kennedy is born on 30/03/1983 at Thangmeiband Maisnam


Leikai, D.M. College Gate, Imphal with two brothers and one sister of Shri
(Late) L. Kunjabihari Singh and (L) Longjam Ongbi Tamubi Devi. Shri Longjam
Kennedy Singh is the last son among four children of one female three males.
Both father and mother expired in the year 1994 and 1995. After the death of
his parents, Shri Longjam Kennedy Singh joined a private Industry making of
different bags for Schools, Conference, Seminar, etc. with a minimum
remuneration of Rs. 800/- (Rupees eight hundred only) while studying at D.M.
College, Imphal.

After a couple of one and half years i.e. since 15th September 2000, Shri
Longjam Kennedy Singh started an own Industry under the name and titled
“KEN & CO INDUSTRY” with the valuable help of his two closest friends (Surjit
& Gyaneshwore). At that time, Shri Longjam Kennedy met so many financial
hardships to establish his own Industry. But, to see the utmost interest and
enthusiastic of establishing an own Industry of Shri Longjam Kennedy Singh,
some of the following closed relatives insisted him and extended their financial
helps to start the Industry with a minimum of amount of 18,000/- (Rupees
eighteen thousand only).

1. Rs. 5,000/- (Rupees five thousand only) a senior old man of locality. (Shri Ng.
Pada Singh)
2. Rs. 3,000/- (Rupees three thousand only) an elder of closed relatives (Shri N.
Santa Singh)
3. Rs. 12,000/- (Rupees twelve thousand only) elder sister (Ms, Longjam
Krishnakumari Devi)

With a meagre amount of Rs.18,000/- (Rupees eighteen thousand only) Shri


Longjam Kennedy bought a Sewing Machine and other raw materials from
Guwahati and started the function of the Industry at home, As an artisan, Shri
Longjam Kennedy Singh alone was able to make 4/5 five nos. of School bag per
day but also he went to market at Imphal Bazar with a bicycle for selling it. At
that time also Shri Longjam Kennedy Singh met so many problems of having cu
tamers because many bag which are made out ide the state were available at a
cheaper rate. Shri Longjam Kennedy Singh credited the bag and collected the
amounts after two or three days. After some time, most of the people know
the quality of the bag and started visiting the Industry.

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A Study on Performance appraisal with respect to Ken Bag Industries

In the midst of 2002, Shri Longjam Kennedy Singh registered his Industry at
DIC, Imphal under the name and style “Ken Bag Industries” instead of Kell &Co
Industry under registration NO.120104347/PMT/SSI(T). During the year 2002
Shri Longjam Kennedy met so many financial hardships for constructing a
dwelling house as well as for his marriage ceremony. Further, with the help of
the UFCO bank at Khuyathong extended a loan amounting to Rs. 50,000/-
(Rupees fifty thousand only) on daily collection basis, Rs. 2,50,000/- ( Rupees
two lakh fifty thousand only) on Cash Credit Loan and Rs. 35,000/- (Rupees
thirty five thousand only) on Term Loan from SBI, Imphal Branch in the year
2003. After the financial help acquired Shri Longjam Kennedy Singh could
enable to stock the raw materials and purchase more machines with adequate
nos. of artisans to meet public demand.

Shri Longjam Kennedy Singh feels free from worrying about the un-ability of
making supply due to raw materials of various designs/models of School bags,
conference bags along with Sports Kit Bags etc. at various schools and Offices
of Private and Government institutes in Manipur. Now-a-days, the Ken Bag
Industries is enabled to supply various items of School bags, conference bags
along with Sports Kit Bags as well a rain coats at various schools and Offices of
Private and Government in Manipur. The industry has started to sell its
products outside state of Manipur i.e. in Nagaland.

To see the work culture and development m the field contributed by Shri
Longjam Kennedy Singh so long, the SBI, Imphal branch extended two more
times of the Cash Credit Loan amounting to Rs. 5,00,000/- (Rupees five lakhs
only) and Rs. 8,00,000/- (Rupees eight lakhs only) in the year 2005 and 2008
respectively. Shri Longjam Kennedy extended training facility for the interested
youths of Manipur in making various kind of bags and also made customized
bags to meet the needs and requirements of the customers of Manipur and
abroad from time to time.

In the year 2012, the Central Bank India was also pleased and granted a Loan
amounting to Rs. 30,00,000/- (Rupee thirty lakhs to the Proprietor, Shri
Longjam Kennedy Singh, Ken Bag Industries, D.M. College Gate, Imphal,
Manipur. Shri Longjam Kennedy Singh contributed his services to the entire
state of Manipur and to neighbouring state Nagaland by appointing 30 (thirty)
nos. of artisans at his Working Shed at Thangmeiband Meisnam Leikai, D.M.
College Gate, Imphal, Manipur. Shri Longjam Kennedy Singh, being from an

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A Study on Performance appraisal with respect to Ken Bag Industries

artisan lived together with all the artisan like a brother and sister of his own at
this present scenarios of Manipur.

Shri Longjam Kennedy Singh, a young industrialist of Manipur contributed at


his best level to bring the Motherland Manipur bright from the shortfalls of
every corner and providing employment to the needful artisans. Shri Longjam
Kennedy Singh, an energetic youth of Manipur opens hi Ken Bags Industries,
Thangmeiband Maisnam Leikai, D.M. College Gate, Imphal, Manipur for all the
youths who are trying to have the knowledge of making diff rent kind of bags
etc.

2.2. Product list

 Handbag
 Ladies Backpack
 Ladies Handbag
 Rain Coat
 School Bag
 School Uniform
 Travel Bag

2.3. Mission of the organisation

The mission of the organisation is to enhance the quality in the state,


setting the standard for excellence in the delivery of quality product.
Committed to innovation and excellence in employee welfare and service to
our communities.

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A Study on Performance appraisal with respect to Ken Bag Industries

2.4. Achievement

1. Peace & Communal Harmony and 17th “AMACSDS” State Award Functions
on 16th April 2017 at Lamyanba Sanglen Palace Compound Imphal East,
Manipur Best Industries in Manipur.
2. 18th Peace & Communal Harmony and “AMACSDS II National Award
Sponsored By AI/EGDO
3. Best Industries in Manipur on 13th May 2018 at Asha Cinema Hall North
A.O.C. Imphal East Manipur.
4. Miss Manipur 2017 Certificate of Appreciation Best Ken Beg Industries in
Manipur.
5. Manipur Intensive Development Society Thangmeiband, Manipur Certificate
of Participation Best Industries of Ken Beg Industries.
6. Small Industries Service Institute, Imphal Ministry of Small Scale Industries
Government of Manipur L. Kennedy Singh Best Ken Beg Industries in
Manipur.
7. Department of Co-operation Government of Manipur Co-operative Mela
2007 Certificate of Participation Best Ken Beg Industries in Manipur.

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A Study on Performance appraisal with respect to Ken Bag Industries

CHAPTER 3
RESEARCH METHODOLOGY

 3.1. Introduction
 3.2. Research objective
 3.3. Scope of the study
 3.4. Sample size
 3.5. Sampling technique
 3.6. Research design
 3.7. Sources of data
 3.8. Tools used in data collection
 3.9. Limitation

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A Study on Performance appraisal with respect to Ken Bag Industries

3.1. Introduction

Methodology is an essential aspect of any project or research. It enables


the researchers to look at the problem, in a systematic, meaningful and orderly
way. Methodology Comprises the source of data, selection of data required for
the study, collection, analysis and interpretation of data collected using the
suitable statistical tools.

3.2. Research objective

 To study the need and importance of performance appraisal.


 To study the performance appraisal method implementation.
 Identifying performance appraisal leading to the discovery of unfound
talents amongst the employee.
 To provide suggestion and recommendations to improve the
performance appraisal effectiveness.

3.3. Scope of the study

The study is about the systematic process in which employees job


performance is evaluated in a way to attain at KEN BAG Industries,Imphal on
which employee has worked and his contribution to the organisation. This study
covers 20 employees of KEN BAG Industries, Imphal. The duration of the study
is 1 month.

3.4. Sample size


The number of sampling units selected from the population is known as
the size of the sample. The sample size of my study is 20 employees.

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A Study on Performance appraisal with respect to Ken Bag Industries

3.5. Sampling technique

 Convenient Sampling

3.6. Research design


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

In my research descriptive research design is used.

Descriptive research design:


Descriptive research studies are those studies which are
concerned with describing with the characteristics of a particular
individual, or of group, whereas diagnostics research studies determine
the with which something occur or its association with something else.
The design is such studies must be rigid and not flexible and focus
attention on the following:
 Formulating the objective of the study
 Designing the methods of data collection
 Selecting the sample
 Collection of data
 Processing and analysis of data

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A Study on Performance appraisal with respect to Ken Bag Industries

3.7. Sources of data

Primary Data: Primary data is collected through questionnaire, interview


and observation.
Secondary Data: Secondary data is collected through books, company
website and organisational records.

The data used to study this project is Primary Data as well as secondary data.

3.8. Tools used in data collection

 Questionnaire

 Personal Interview

3.9. Limitation

 It was a challenging task while collecting the data from some employees
through questionnaire as there were some communication issues.
 There was a time constraint for the study
 The study is confined to only “KEN BAG Industries” only. So conclusions
from the study may not be applicable to other similar firms.

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A Study on Performance appraisal with respect to Ken Bag Industries

CHAPTER 4

ANALYSIS AND INTERPRETATION

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A Study on Performance appraisal with respect to Ken Bag Industries

1. Are you?

A) Male B) Female

Table no. 1

GENDER No. of Respondents


a) Male 11
b) Female 9
Total 20

No. of Respondents

45%

55%
Male

Female

INTERPRETATION

Out of 20 respondents it is found that 11 are male and 9 are female.

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A Study on Performance appraisal with respect to Ken Bag Industries

2. Length of employment in the industries

Table no. 2

Respondents Percentage
0-4 years 5 25%
5-9 years 4 20%
10-17 years 5 25%
18 years or longer 6 30%
Total 20 100%

Length of employee

30% 25%

0-4 years
5-9 years
20% 10-17 years
25% 18 years or longer

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A Study on Performance appraisal with respect to Ken Bag Industries

3. Does Performance Appraisal improve employee performance?

Table no. 3

Respondents Percentage

Yes 18 90%
No 2 10%
Total 20 100%

18

18
16
14
12
10
8
6
4 2

2
0
Yes No

Interpretation

From the above, table it is clearly seen that 90% of the respondents feel that
their performance are improve by performance appraisal while only 10%
doesn’t agree.

Inference: It infers that the most of the employee are improve their
performance by conducting performance appraisal.

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A Study on Performance appraisal with respect to Ken Bag Industries

4. Are you involved in the process of setting objectives and targets of your
future performance?

Table no. 4

Respondents Percentage
Yes 20 100%
No 0 0%
Total 100 100%

20

20
18
16
14
12
Respondents
10
8
6
4
2 0

0
Yes No

Interpretation

From the above table it is clearly seen that 100% of the respondents are
agreed.

Inference: It infers that the organisation gives opportunities in setting of


objectives and target of their performance.

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A Study on Performance appraisal with respect to Ken Bag Industries

5. How often is performance appraisal carried out in your organisation?

Table no. 5

Respondents Percentage
Every 6 Months 0 0%
Every 12 Months 20 100%
Total 20 100%

20

20
18
16
14
12
10
8
6
4
0
2
0
Every 3 months Every 6 months

Interpretation

From the above table we can see that organisation carried out performance
appraisal every 12 months.

Inference: It infers that the organisation conduct performance appraisal


regularly.

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A Study on Performance appraisal with respect to Ken Bag Industries

6. Does the performance appraisal method followed in the organisation helps


to assess the training and development needs of employee?

Table no. 6

Respondents Percentage
Yes 16 80%
No 4 20%
Total 20 100%

16

16

14

12

10

6 4

0
Yes No

Interpretation

From the above table it is clearly seen that 80% of the respondents are agreed
that performance appraisal method in an organisations helps to assess the
training and development needs of employee while 20% of the respondents
are not agreed.

Inference: It infers that the most of the employees assess their training and
development need from conducting performance appraisal.

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A Study on Performance appraisal with respect to Ken Bag Industries

7. Does performance appraisal process helps rise in organisation total output?

Table no. 7

Respondents Percentage
Yes 18 90%
No 2 10%
Total 20 100%

18

18
16
14
12
10
8
6
4 2

2
0
Yes No

Interpretation

From the above table we can see that 18% of the respondents are agreed that
performance appraisal process helps rise in organisation total output while
10% of the respondents are not agreed.

Inference: It infers that the performance appraisal process in organisation


increased the productivity.

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A Study on Performance appraisal with respect to Ken Bag Industries

8. Do you receive any increment in your salary after performance appraisal?

Table no. 8

Respondents Percentage
Yes 0 0%
No 20 100%
Total 20 100%

20

20
18
16
14
12
10
8
6
4
0
2
0
Yes No

Interpretation

From the above table it is clearly seen that 100% of the respondents didn’t
receive any increment in salary after performance appraisal.

Inference: It infers that the organisation didn’t provide any increment after
performance appraisal.

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A Study on Performance appraisal with respect to Ken Bag Industries

9. Do you agree that it is necessary to conduct a performance review?

Table no. 9

Respondents Percentage
Strongly agree 8 40%
Agree 5 25%
Moderate 4 20%
Disagree 2 10%
Strongly disagree 1 5%
Total 20 100%

Performance review

5%
10%
40%
Strongly Agree
20%
Agree
Moderate
Disagree
25% Strongly disagree

Interpretation

From the above table 40% & 25% of the employee are strongly agree and
agree, 20% are moderate while 15% are disagree.

Inference: It infers that it is necessary to conduct a performance review.

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A Study on Performance appraisal with respect to Ken Bag Industries

10. In your opinion, what does your organisation strive to achieve through
performance appraisal?

Table no. 10

Respondents Percentage
To determine training and development needs 6 30%
To determine upgrading and promotion 1 5%
To determine payment and rewards 0 0%
To review performance 10 50%
To set targets for future performance 3 15%
Total 20 100%

To determine training and


15% development needs
30%
To determine upgrading and
promotion
To determine payment and
rewards
50% 5% To review performance
0%
To set targets for future
performance

Inference: It infers that majority of the employee consider that the


organisation strive to achieve through performance appraisal is to review
performance.

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A Study on Performance appraisal with respect to Ken Bag Industries

11. You think performance appraisal improves motivation and job satisfaction?

Table no. 11

Respondents Percentage
Strongly agree 9 45%
Agree 6 30%
Moderate 3 15%
Disagree 2 10%
Strongly disagree 0 0%
Total 20 100%

0%
10%
15% 45% Strongly agree
Agree
Moderate
30%
Disagree
Strongly disagree

Interpretation

From the above table it is clearly seen that 45% & 30% are agreed, 15% are
moderate while 10% are disagree with the above statement.

Inference: It infers that the performance appraisal act as to improve


motivation and job satisfaction.

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A Study on Performance appraisal with respect to Ken Bag Industries

12. In your opinion performance appraisal is?

Table no. 12

Respondents Percentage
Evaluation of employees 8 40%
Job satisfaction of employees 5 25%
Promotion of employees 5 25%
Motivation 2 10%
Total 20 100%

10%
40%
25% Evaluation of employees
Job satisfaction of employees
Promotion of employees
25%
Motivation

Interpretation

From the above table it is clearly seen that performance appraisal is consider
as evaluation of employee by 40%, job satisfaction of employees by 25%,
promotion of employee by 25% and motivation by 10% of the respondents.

Inference: It infers that most of the respondents consider performance


appraisal as evaluation of employee.

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A Study on Performance appraisal with respect to Ken Bag Industries

13. Performance appraisal helps in the assessment of individual potential?

Table no. 13

Respondents Percentage
Strongly agree 9 45%
Agree 7 35%
Moderate 3 15%
Disagree 1 5%
Strongly Disagree 0 0%
Total 20 100%

0%
5%
15% Strongly agree
45%
Agree
Moderate
35% Disagree
Strongly disagree

Interpretation: From the above table it is clearly seen that 45% of the
respondents are strongly agree & 35% are agree that performance appraisal
help in assessing their potential while 15% are moderate and 5% are disagree.

Inference: These conclude that performance appraisal helps to discover their


potential.

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A Study on Performance appraisal with respect to Ken Bag Industries

14. Which method Performance appraisal is implemented in the organisation?

Table no. 14

Respondents Percentage
Ranking Method 13 65%
Paired comparison 7 35%
360-Degree appraisal 0 0
Management by objective 0 0
Total 20 100%

0% 0%

35%
Ranking method
Paired Comparison
65% 360- Degree appraisal
Management by objective

Interpretation

From the above table it is clearly seen that 65% of the respondents response to
the ranking method and 35% of employees response to the paired comparison

Inference: It infers that organisation implement Traditional method of


appraisal

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A Study on Performance appraisal with respect to Ken Bag Industries

15. Company ensures a good career path and growth for its employees.

Table no. 15

Respondents Percentage
Strongly Agree 14 70%
Agree 3 15%
Moderate 3 15%
Disagree 0 0%
Strongly disagree 0 0%
Total 20 100%

0% 0%
15%
Strongly agree
15% Agree
Moderate

70% Disagree
Strongly disagree

Interpretation: From the above table it is clearly seen 75% & 15% of the
respondents are strongly agree and agree that company has ensured a good
career path and growth for its employee while 15% are moderate.

Inference: It infers that the company has ensured a good career path and
growth for its employee.

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A Study on Performance appraisal with respect to Ken Bag Industries

CHAPTER 5

FINDING, SUGGESTION & CONCLUSION

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A Study on Performance appraisal with respect to Ken Bag Industries

5.1. Finding

 It has been found that performance appraisal was able to improve


employee performance and act as to improve motivation & job
satisfaction.
 The Majority of the employee told that performance appraisal system in
the organisation help in finding their training and development need.
 Organisation gives opportunities in setting of objectives and target of
their performance.
 It has been found that it is necessary to conduct performance review.
 The organisation didn’t provide any increment after performance
appraisal.
 Performance appraisal process in the organisation help in increased
productivity.
 It has been found that majority of the employee consider that the
organisation strive to achieve through performance appraisal is to
review performance.
 It has been found that performance appraisal system in the organisation
helps in discovering their potential & hidden talents.
 The company has ensures a good career path and growth for its
employees.
 It has been found that organisation has implemented Traditional
method of performance appraisal.

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A Study on Performance appraisal with respect to Ken Bag Industries

5.2. Suggestion

 If the organisation implement Modern method of performance appraisal


it can be more effective.
 Supervisors should maintain cordial relationship with workers and offers
recognitions of the employee’s efforts and provide guidance to workers.
 It will be better if the management provides incentives to employees so
it will boost in their work and productivity.
 Employee comments and suggestion to be considered during the
appraisal.
 It will be better if the management provide performance and potential
appraisal rewards regularly.
 Effective training and development program should be held.
 More opportunities should be provided to employee for expressing their
ideas and plan.

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A Study on Performance appraisal with respect to Ken Bag Industries

5.3. Conclusion

Human resources are the vital source of every organization. Every employee in
an organization increases the productivity and goodwill of every company. An
employee, being an individual is treated as assets in the organization. So the
organization should mainly emphasis performance appraisal techniques and its
development programme. Both the appraiser and appraise should realize the
principle and use the tool of appraisal system in a constructive way for the
prosperity of the organization. The performance appraisal technique prevailing
in the organization is fair.

Ken Bag Industries has been running successfully for past several years and has
created a good name among its customers and society. Employees are satisfied
with the present performance appraisal system that is Traditional method. As
many new appraisal techniques are emerged, the organization can implement
Modern technique which would be more effective. Suggestion from employees
and experienced personnel can further enhance and make the performance
appraisal an ideal evaluation system. If the suggested measures are taken into
consideration it will help to increase the effectiveness of performance
appraisal system.

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