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Performance Appraisal
Performance Appraisal
INTRODUCTION TO
PERFORMANCE
APPRAISAL
1.1 Topic :- Performance Appraisal
The appraisal system is a key human resources management system. While the system
enables the setting of objectives and facilitates the review of performance against
these objectives, it can also be effectively used to build customer focus and enhance
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competitiveness, This is possible if the nature of objectives and the manner in which
they are achieved answers the following questions :
2. When achieved, to what extent will it help the company respond to change?
AIMS
METHODS
The most popular methods used in the performance appraisal process include
the following:
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1. Management by objectives
2. Assessment centers
3. 360-degree appraisal
4. Balanced score card
MANAGEMENT BY OBJECTIVES
This method was evolved by Peter Drucker it seeks to minimize external controls and
maximize internal motivation through joint goal settings how manager and the
subordinate and increasing the subordinates own control of his work. MBO can be
described as ''a process whereby the superior and subordinate manager of an
organization jointly identify its common goals define each individuals major areas of
responsibility in terms of results expected of him and use these measures as guidelines
for operating the unit and accessing the contribution of its members". It consists of
five basic steps:
1. Set organizational goals
2. Joint goal
3. Performance reviews
4. Set check posts
5. Feedback
6. Objective of MBO
The objectives of MBO are to change behavior attitudes towards getting counts. It is
management system and philosophy that stress goals rather than methods. It provides
responsibility and accountability recognizes that employees have needs for
achievement and self-fulfillment.
ASSESSMENT CENTERS
360 degree feedback, also known as 'multi-rater feedback', is the most comprehensive
appraisal where the feedback about the employee's performance comes from all the
sources that come in contact with the employee on his job. 360 degree respondents for
an employee can his/her peers, managers (i.e. superior), subordinates, team members,
customers, suppliers/vendors-anyone who comes into with the employ and can
provide valuable insights and information or feedback regarding the "on job-job
performance of the employee.
Self appraisal gives a chance to the employee to look at his/her strengths and
weakness, his achievements, and judge his own performance. Superior's appraisal
forms the traditional part\ of the 360 degree appraisal where the employee's
responsibilities and actual performance is started by the superior. Subordinates
appraisal gives a chance to judge the employee on the parameters like communication
and motivating abilities, superior's ability to delegate the work, leadership qualities
etc. Also known as internal customers, the correct by peers can help to find feedback
given employees' abilities to work in a team Cooperation and sensitivity towards
others.
SETTING OBJECTIVES
Objectives must flow from the business and functional plans and Address the key
result areas of the job. Objectives must be-
Purpose of the job- The overall rate of the job from organisation's point of view; why
the job exists and what contribution it is expected to make.
A statement of the key result areas that flow from the purpose of the job- statements
of the continuing end results and outcomes required of the job, statements which
identify what the job achieves and why?
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Having listed the key result areas, it is necessary to clearly state the objectives for the
year. These objectives must flow from the business, functional and unit plans.
1. For objectives to invoke commitment, they must be agreed Between the job
holder and his boss and not set unilaterally.
2. For objectives to be meaningful, they must be specific, Measurable, attainable,
relevant and time bound.
3. The appraisal process must focus on performance against agreed objectives,
enable the individual to give feedback to the organization his own feelings,
aspirations, difficulties, etc and serve as a forum for dialogue between the
individual and the organization.
4. The process must focus on performance, not personality; on facts, not
perception and demonstrated behaviour, not hunches
To Appraisees:
1. Feedback
2. Opportunity
3. Autonomy
PERFORMANCE RATINGS:
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l. Performance Plan
2. Progress Review(s)
3. Performance Appraisal
Instructions set forth in this educational guide are intended to provide both
consistency in approach throughout the organization and flexibility within
departments to tailor employee performance criteria to best reflect mission specific
goals and objectives.
Employees with employment type Regular Classified (RC) or Trainee (TR) are
covered under this Performance Management Program. Adult Trainees (AT),
Intermittent (IT), Per Diem (PD), Temporary (TM), and Unclassified (U) employees
are not evaluated using this system.
GENERAL DEFINITIONS
Appraisal Cycle is the time frame during which an employee's performance is either
directly observed or verified for the purpose of providing a formal rating of record. It
is also the period of time a Performance Plan covers and a Performance Appraisal
evaluates. The duration of a cycle may vary depending upon the type and scope Of
appraisal given, The timely submission of required Performance Appraisals is
expected.
STRATEGY
Are we doing things right? (i.e., are the process and the rules being followed?) and
Are we doing the right things? (i.e., what effect does the program have?)
COMPLIANCE
By asking the first question, evaluators are attempting to determine if the organization
is in compliance with regulatory, system, and program requirements. Examples of
these types of Questions include:
INTRODUCTION TO THE
COMPANY
1.2 INDUSTRY PROFILE
BYPL distributes power to an area spread over 200 sq kms with a population density
of 6989 per sq km. 14 lakh are spread over 14 districts across Central and East areas
including Chandni Chowk, Daryaganj. Paharganj, Shankar Road, Patel Nagar, G T
Road, Karkardoorr, Krishna Nagar, Lami Nagar, Mayur Mhar, Yarmna Mhar, Nand
Nagri and Karawal Nagan
BRPL distributes power to an area spread over 750 sq. km with a population density
of 2665 per sq km. it's over 21 lakh customers are spread in 19 districts across South
and West areas including Alaknanda, Khanpur. Vasant Kunj, Saket, Nehru Place,
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Nizarruddin, Sarita VJhar, Hauz Khas, R K Puram, Janakpuri, Najafgargh. Nangloi,
Mundka, Punjabi Bagh, Tagore Garden, Vikas Puri, Palam and Dwarka.
Since taking over distribution, BSES' singular mission has been to provide reliable
and quality electricity supply.
BSES has invested over Rs 6600 crores on upgrading and augmenting the
infrastructure which has resulted in a record reduction of AT&C losses.
From a high of 63.1 % AT&C losses in BYPL area in 2002 the losses have come
down to 18.9% in FY15, a reduction of 44%.
Similarly, in BRPL area AT&C losses have been reduced from 51.54% to 13.9%" in
FY15, a record reduction of 38%
*provisional; pending true up
Careers at BSES
BSES's employment policies and systems radiate from a single principle People
First. People are our most valued asset - our core strength.
We have created a culture wherein employees gain a level of freedomw hich provides
security. satisfaction and, most importantly a sense of professional fulfillment.
As BSES has moved from the old HRD to the New People Manageroent. BSES has
been able to provide roles much broader in scope much stronger in impact & much
more permanent in effect. BSES provides following career Opportunities:
Recruitment:
Recruitment, in BSES, is now inline with the corporate strategy; i.e. manpower
planning is done as per the business strategy. We look for people with the combination
of knowledge, skills and behavior best suited with the organization's objectives and
culture.
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5. Fast track growth
Induction:
The new employee is equipped to take up the assignment and made comfortable in the
organization through a structured induction program which is conducted for:
Lateral Joinees
It provides a general overview of the organization to the new recruits and familarises
employees with various business processes, culture, business practices of the
company
Few men in history have made as dramatic a contribution to their country's economic
fortunes as did the founder of Reliance, Sh. Dhirubhai H Arnbani. Fewer still have left
behind a legacy that is more enduring and timeless.
As with all great pioneers, there is more than one unique way of describing the true
genius of Dhirubhai: The corporate visionary, the unmatched strategist, the proud
patriot, the leader of men the architect of India's capital markets, the champion of
shareholder interest. But the role Dhirubhai cherished most was perhaps that of India's
greatest wealth creator. In one lifetime he built, starting from the proverbial scratch,
India's largest private sector enterprise.
When Dhirubhai embarked on his first business venture, he had a seed capital of
barely US$ 300 (around Rs.14,000). Over the next three and a half decades, he
converted this fledgling enterprise in to a Rs.60,000 crore colossusan achievement
which earned Reliance a place on the global Fortune 500 list, the first ever Indian
private company to do so.
Dhirubhai is widely regarded as the father of India's capital markets. In 1977, when
Reliance Textile Industries Limited first went public, the Indian stock market was a
place patronized by a small club of elite investors which dabbled in a handful of
stocks.
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Undaunted Dhirubhai managed to convince a large number of first-time retail
investors to Participate in the unfolding Reliance story and put their hard-earned
money in the Reliance Textile IPO, promising them, in exchange for their trust,
substantial return on their Investment. It was to be the start of one of great stories of
mutual respect and reciprocal gain in the Indian markets.
Under Dhirubhai's extraordinary vision and leadership, Reliance scripted one of the
greatest growth stories in corporate history anywhere in the world, and went on to
become India's largest private sector enterprise.
Through out this amazing journey, Dhirubhai always kept the interests of the ordinary
shareholder uppermost in mind, in the process making millionaires out of many of the
initial investors in the Reliance stock, and creating one of the world's largest
shareholder families.
VISION
We will offer unparalleled value to create customer delight and enhance business
productivity.
We will also generate value for our capabilities beyond Indian borders and enable
millions of India's knowledge workers to deliver their services globally."
Reliance BSES is the flagship company of the Anil Dhirubhai Ambani Group
(ADAG) of companies. Listed on the National Stock Exchange and the Bombay
Stock Exchange it is India's leading integrated telecommunication company with over
77 million
customers.
Our business encompasses a complete range of telecom services covering mobile and
fixed line telephony. It includes broadband, national and international long distance
services and data services along with an exhaustive range of value-added services and
applications. Our constant endeavor is to achieve customer delight by enhancing the
productivity of the enterprises and individuals we serve.
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We endeavor to further extend our efforts beyond the traditional value chain by
developing and deploying complete telecom solutions for the entire spectrum of
society.
Anil - Dhirubhai Ambani Group, an offshoot of the Reliance Group founded by Shri
Dhirubhai H Ambani (1932-2002), ranks among India's top three private sector
business houses in terms of net worth. The group has business interests that range
from telecommunications (Reliance Communications Limited) to financial services
(Reliance capital Ltd) and the generation and distribution of power (Reliance
Infrastructure Limited).
Other major group companies Reliance Capital and Reliance Infrastructure- are
widely Acknowledged as the market leaders in their respective areas of operation.
CHAIRMAN'S PROFILE
Anil D, Ambani
Till recently, he also held the post of Vice Chairman and Managing Director of
Reliance Industries Limited (RIL), India's largest private sector enterprise.
Anil D Ambani joined Reliance in 1983 as Co-Chief Executive Officer, and was
centrally involved in every aspect of the company's management over the next 22
years. He is credited having pioneered a number of path-breaking financial
innovations in the Indian capital markets. He spearheaded the country's first forays
into the overseas capital markets fifth international public offerings of global
depositary receipts, convertibles and bonds. Starting in 1991, he directed Reliance
Industries in its efforts to raise over USS 2 billion. He also steered the 100-year
Yankee bond issue for the company in January 1997.
He is a member of:
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3. Board of Governors, Indian Institute of Management, Ahmedabad
4. Board of Governors Indian Institute of Technology, Kanpur
In June 2004, he was elected for a six-year term as an independent member of the
Rajya Sabha, Upper House of India's Parliament a position he chose to resign
voluntarily on March 25, 2006.
1. Conferred the 'CEO of the Year 2004' in the Platts Global Energy Awards
2. Rated as one of 'India's Most Admired CEOs' for the sixth consecutive year in
the Business Barons TNS Mode opinion poll, 2004
3. Conferred 'The Entrepreneur of the Decade Award' by Association, October
2002 the Bombay Management
4. Awarded the First Wharton Indian Alumni Award by the Wharton India
Economic Forum (WIEF) in recognition of his contribution to the
establishment of Reliance as a global leader in many of its business areas,
December 2001
5. Selected by Asia week magazine for its list of 'Leaders of the Millennium in
Business and Finance' and was introduced as the only 'new hero' in Business
and Finance from India, June 1999.
CORPORATE GOVERNANCE
Organizations, like individuals, depend for their survival, sustenance and growth on
the support and goodwill of the communities of which they are an integral part, and
must pay back this generosity in every way they can...
This ethical standpoint, derived from the vision of our founder, lies at the heart of the
CSR philosophy of the Reliance ADA Group.
While we strongly believe that our primary obligation or duty as corporate entities is
to our shareholders we are just as mindful of the fact that this imperative does not
exist in isolation it is part of a much larger compact which we have with our entire
body of stakeholders; From employees, customers and vendors to business partners,
eco-system, local communities and society at large.
We evaluate and assess each critical business decision or choice from the point of
view of diverse stakeholder interest, driven by the need to minimize risk and to pro-
actively address long-term social, economic and environmental costs and concerns.
For us, being socially responsible is not an occasional act of charity or that one-time
token financial contribution to the local school, hospital or environmental NGO. It is
an ongoing year-round commitment, which is integrated into the very core of our
business objectives and strategy.
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Because we believe that there is no contradiction between doing well and doing right.
Indeed, doing right is a necessary condition for doing well.
CHAPTER 2
OBJECTIVES OF THE
STUDY
2.1 OBJECTIVES
3. To study the gap between the actual and the desired performance of the
employees.
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CHAPTER 3
RESEARCH
METHODOLOGY
Research Methodolgy
A research design is indispensable for a research product. Unlike the building plan
which is precise and specific, research is designed for a tentative plan with a series of
guide posts to keep one going on its right direction.
RESEARCH INSTRUMENT
Close-end Questionnaire
Collection of the information and data is done with the help of a questionnaire.
Primary Data
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PRIMARY DATA:
CHAPTER 4
DATA ANALYSIS AND
INTERPRETATION
1. Performance Appraisal system of my organization is related to the motivation of
employees:
16.00%
6.00%
45.00% Highly Satisfactory
Satisfactory
Neither Satisfied nor
Dissatisfied
18.00% Dissatisfied
Highly Dissatisfied
15.00%
Interpretation: Most of the employees i.e. 45% are highly satisfied with this
technique to judge performance appraisal in the organization
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3. Performance appraisal techniques are considered as a vital tool and source of
motivation of employees.
10.00% 2.00%
20.00% Highly Satisfactory
Satisfactory
Neither Satisfied nor
Dissatisfied
60.00%
Dissatisfied
Highly Dissatisfied
8.00%
Interpretation: 60% of the employees are highly satisfied with this statement that
performance appraisal technique are considered as a vital tool and source of
motivation for the employees.
4. The organizational culture is encouraging.
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14.00%
35.00%
8.00%
Highly Satisfactory
Satisfactory
Neither Satisfied nor
Dissatisfied
18.00% Dissatisfied
Highly Dissatisfied
25.00%
10.00%
8.00%
44.00% Highly Satisfactory
Satisfactory
16.00%
Neither Satisfied nor
Dissatisfied
Dissatisfied
Highly Dissatisfied
22.00%
Interpretation: Majority of the people i.e. 44%, agree their views and participation in
the organization are given more value.
6. My working hours are satisfactory.
15.00%
4.00%
4.00% Highly Satisfactory
Satisfactory
52.00%
Neither Satisfied nor
Dissatisfied
Dissatisfied
25.00% Highly Dissatisfied
Interpretation: Most of the participants i.e. 52%, are highly satisfied that the
working hours of the organization are satisfactory.
7. In my view performance appraisal helps to change the behavior of the
employees.
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15.00%
3.00%
4.00% Highly Satisfactory
Satisfactory
52.00%
Neither Satisfied nor
Dissatisfied
Dissatisfied
26.00% Highly Dissatisfied
Interpretation: Majority of the people i.e. 52%, are highly satisfied that performance
appraisal helps to change the behavior of the employees.
8. My satisfactory level with regard to work load is.
10.00% 26.00%
6.00%
10.00%
Highly Satisfactory
Satisfactory
Neither Satisfied nor
Dissatisfied
Dissatisfied
Highly Dissatisfied
48.00%
Interpretation: satisfactory level with the work load is positive that is why 48% of
the respondents are highly satisfied.
9. The desired target of the organization are achieved through the performance
appraisal system.
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S.no. Response % (No. of
Respondents)
1. Highly satisfactory 50
2. Satisfactory 25
3. Neither Satisfied nor 10
Dissatisfied
4. Dissatisfied 10
5. Highly Dissatisfied 5
10.00%
10.00% 5.00%
Highly Satisfactory
50.00% Satisfactory
Neither Satisfied nor
Dissatisfied
Dissatisfied
Highly Dissatisfied
25.00%
Interpretation: 50% of the respondents are highly satisfied that the desired targets of
the organization are achieved through the performance appraisal system..
10. Performance appraisal helped me to provide an atmosphere where all are
encouraged to share one anothers burden.
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10.00%
7.00%
44.00% Highly Satisfactory
17.00% Satisfactory
Neither Satisfied nor
Dissatisfied
Dissatisfied
Highly Dissatisfied
22.00%
Interpretation: Majority of the respondents i.e. 44% are highly satisfied that
performance appraisal helped making an atmosphere where all are encouraged to
share one anothers burden.
11. Performance appraisal helps people to set and achieve meaningful goals.
10.00%
32.00%
6.00%
Highly Satisfactory
Satisfactory
Neither Satisfied nor
26.00% Dissatisfied
Dissatisfied
Highly Dissatisfied
26.00%
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S.no. Response % (No. of
Respondents)
1. Highly satisfactory 44
2. Satisfactory 32
3. Neither Satisfied nor 5
Dissatisfied
4. Dissatisfied 11
5. Highly Dissatisfied 8
11.00%
8.00%
5.00% 44.00% Highly Satisfactory
Satisfactory
Neither Satisfied nor
Dissatisfied
Dissatisfied
Highly Dissatisfied
32.00%
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15.00%
35.00%
Highly Satisfactory
Satisfactory
25.00% Neither Satisfied nor
Dissatisfied
5.00%
Dissatisfied
Highly Dissatisfied
20.00%
Interpretation: Majority of the respondents i.e. 35% are highly satisfied that
constructive criticism given by performance appraisal is in a friendly and positive
manner.
14. Performance appraisal improves motivation and job satisfaction.
12.00%
2.00% 1.00%
Highly Satisfactory
Satisfactory
55.00% Neither Satisfied nor
Dissatisfied
30.00%
Dissatisfied
Highly Dissatisfied
Interpretation: Most of the people i.e. 55% are highly satisfied that performance
appraisal techniques improve motivation and job satisfaction.
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CHAPTER 5
FINDINGS AND
SUGGESTIONS
FINDINGS
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5. The grievance mechanism is very poor.
6. Formal type of communication is there
7. There was no coordination in work. I found no team work in organization
8. They are not satisfied with their promotion and transfers policy.
SUGGESTIONS
CHAPTER 6
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LIMITATIONS
LIMITATIONS
1. The study has been completed during a short period of less than one month
which is not enough to gain all the practical knowledge and awareness about
organization and its management.
2. Lack of time was one of the limitations. Because of which all the employees
weren't able to fill the questionnaires.
3. Some of the employees were not giving their views openly. So personal
biasness may prevail.
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CHAPTER 7
BIBLIOGRAPHY
REFRENCE BOOKS
WEBSITES
1) www.wikipedia.com
2) www.performanceappraisal.com
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CHAPTER 8
ANNEXURE
Questionnaire
Performance Appraisal
The contents of this questionnaire are only for academic purposes and information
provided by you will be strictly kept confidential.
Demographic Information
Name:- . Occupation:-
...
General Information
S.no. Statements 0 1 2 3 4
1. Performance Appraisal system of my
organization is related to the motivation
of employees.
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2. The method to judge performance
appraisal in the office is satisfied.
3. Performance appraisal techniques are
considered as a vital tool and source of
motivation of employees.
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