Content

• Preface about PMS

• Objective of PMS
• Parts of Performance Appraisal
• Performance Appraisal Process
• Performance Appraisal Techniques used by Reliance
• Performance Review Discussion
• Outputs of Performance Appraisal System
• Limitation of Reliance Framework
• References
Performance Management System

Performance management system is the systematic approach to measure the performance of employees. It is

a process through which the organization aligns their mission, goals and objectives with available resources
(e.g. Manpower, material etc), systems and set the priorities

Objectives of PMS

 To assess the performance of employees’ against set goals and objectives

 To identify the training and developmental needs of the employees
 Create employee performance data base which would aid the organization in making various
people related decisions

Performance Appraisal system at Reliance

At Reliance Retail, Performance Evaluation is the formal process through which an employee’s contribution
(performance, competencies) is appreciated with reference to established goals undertaken over a period of
time to establish the employee’s performance, his developmental needs and suggest improvements through
a structured process
 PARTS OF PERFORMANCE APPRAISAL AT RELIANCE

Performance appraisal at Reliance consists of:

Performance Competency & Personal

Assessment Value Assessment Development Plan

• Assessment • Assessment • Basis of

against set on basis of identifying T & D
goals RR's 8 generic plan
competencies

Performance Assessment

Performance of an individual is evaluated against set goals and objectives during the concerned
year under consideration.

All the employees will be assessed on a minimum of 5 goals and objectives on a 5‐point rating
scale ranging from:
1 – Does Not Meet Performance Expectations’ to ‘5 –Significantly Exceeds Performance
Expectations’, which will be converted to a 3point scale for the Overall Performance Rating by
the system.
The logic behind the conversion is a simple average of the ratings:
 Average up to 2.5 (including 2.5) ‐ Overall rating is Below Plan
 Average between 2.6 ‐ 4.5 the Overall rating is On Plan
 Average between 4.6 ‐ 5 the Overall rating is Significantly Above Plan
However, the supervisor has the rights to recommend a different overall rating
than the one provided by the system with adequate justification.
This overall performance rating forms one of the inputs to the contribution rating.
Competency and Value Assessment

Competency is the combination of knowledge, skill, and attitude, behavior that are essential to
perform a job effectively and diligently and differentiate superior performers from average
performers.

In the current Performance Appraisal Activity an individual will be assessed on RR’s current 8
generic competencies applicable for a career group. These competencies have been arrived at
through extensive research and deliberated discussion.

Each competency has 2 parts:

a)Definition – the generic definition of the competency, which remains common across all
domains

b)Behavioral Descriptors –the behavioral manifestations of the competency. These are

observable and an employee is assessed on the frequency at which he displays these behaviors.

Each behavioral descriptor is rated on a 5‐point frequency scale ranging from ‘Never’ to
‘Always’. The ratings for a particular competency are averaged to give an Overall Rating for the
Competency on a 3‐pointscale (1 – Needs Improvement, 2 – Meets Expectations, 3 – Exceeds
Expectations). All competencies that have a rating of 1 will get added into the areas of
improvement in the PDP
The Overall Competency Assessment is on a 3‐point Scale –
 Needs Improvement,
 Meets Expectations
 Exceeds Expectations.

This rating forms the second input to the contribution rating.

Value Assessment

To create a culture of trust, ownership and achievement, it is essential that every employee
strives to live up to the organizational value. Organizational values are critical to the success of
the Reliance and form an important part of the Performance Management System.
Value Orientation is rated on a 2‐point Scale – Lives the Values & Does Not Live the Values.
Personal Development Plan

The Personal Development Plan (PDP) captures the identified development gaps and the plan of
action for the employee. The PDP is mutually arrived at by the employee and his/her supervisor.
It forms the basis for identifying the training and development plan for the employee.

The inputs for the PDP primarily come from the Performance Review Committee/ Discussion
between the Supervisor & the Employee. The plan may be in terms of Project reassignment/Job
rotation, coaching and Training that may be required to improve performance. This rating forms
the third input to the contribution rating.
 PERFORMANCE APPRAISAL PROCESS

This is the point at which the execution of the employee is surveyed and talked about in intensive
subtle element, with the supervisor imparting the shortcomings and qualities seen in employee
thus, furthermore recognizing open doors for the representative to grow professionally.

Pre-Appraisal
It’s very important to enter the system so as to avoid any kind o discrepancies in future. It
validates the whole performance appraisal process

Link for PMS for employee

Employee informs the

Validation NO OMS for correction of
Manager
of date data

YE
S

Link for PMS for employee

Pre Appraisal Process Steps:

1) Employee signs onto RConnect and clicks on the PMS link

2) She/he proceeds with validation of basic information, for example, Name of the appraisee and
that of the R1

3)If any errors in the data are observed, the respective TE manager is informed about the same.
The data is corrected and a new form with correct details is sent

4) Employee then begins with the Self Appraisal

Performance Appraisal Process

At this stage Reliance Industries has unique step to conduct self-appraisal first and part appraiser
if required in the process. Only after getting confirmation from the Supervisor’s supervisor, the
normalization process begins
Completion of self-Appraisal
by employee

Submit
Form

Involvemen
t of part
appraiser

Formality completion by Part

Supervisor conducts Performance Appraiser on concerned
Review discussion with project
YE
employee S
Provision of overall scoring and rating
by supervisor

N
O NO
Update Ratings if needed
Validation of
congruency
between
performance
rating and
contribution
Submission of
YE Form
S
Supervisor’s supervisor approval on Supervisor updates according
performance ratings to orders
Rever
t

Approva
l
Normalization Process begins
 Employee Self Appraisal steps
• Employee has to fill at least 5 goals and objectives in the space
Provided
• Employee provides rating to each of the goals and objectives in relation to the his/her performance
on various parameters after having an overview of the rating
 Employee can attach documents or provide comments in section of employee comments
 Proceeding further the employee on completion of the Part-1 of Appraisal Form in
Performance Assessment, He/she then moves to Competency Assessment
 In competency Assessment he/she gives rating under the eight competencies as per Rating
scale
 Competencies should be well supported by critical incidents
 Employee entails the training needs accomplished and mentions perceived development plan to
improve performance
 He/she can select a Part Appraiser (Up to 4): Part Appraisers are supervisor other than the current
superior which the employee would have worked during the assessment period
Part-Appraiser steps

 The Appraiser logs on the PMS link provided

 Part appraiser assess according to the goals and objectives of the employee. He/she may use
self-rating so as to anchor his/her own rating
 He/she submits the form which henceforth forwarded to the supervisor which is conducting
the appraisal
Supervisors Steps
 Superior logs on the PMS link
 He/she gives rating to all the goals and objectives of the employee, in this process he may use self-
rating to anchor his/her ratings
 In Competency Assessment part , the supervisor r gives rating to each of the eight descriptive
competencies
 Henceforth discussion with supervisors direct report , wherein they discuss
 Goals and objectives of employees
 Competency rating
 Employee Development Plan
 Arrival of training program as per the Appraisal Form
 On completioall the appraisals of the superior , the PMS Manager will start on the normalization
process with the help of report form SAP in relation to ratings for all employee under the concerned
superior.
Direct Reports Review & Approval process

 Direct Reports logs on PMS Links

 Reviews the form and the rating provided by supervisor
 Entail justification in following areas:
 Comparison between employee Self Rating and Supervisor rating
 Comparison between part appraiser and supervisor rating
 Comparison of system generated rating and supervisor rating
 Revert the form in case of any discrepancies
 Closure in cases where approval is given by the rater
Normalization Steps

It is the relative ranking phase. The superior signs off normalization at state level and at business
function level for people in corporate roles

 Post completion of the PMS system by all the employees in the state – State HR Head
initiates normalization process
 Here the PMS Manager provides the supplementary documents such as the excel
summary to facilitate normalization process
Normalization Instance

In scenario of 1oo employees in a state this how the normalization will be preceded
Performance Appraisal Techniques used by Reliance

• 360 Degree Feedback Evaluation

• Behaviorally Anchored Rating Scale (BARS)
• Rating Scale
• Result Based System
• Forced Distribution
• Ranking
• Work Standards
• Essay Method
Performance Review Discussion

It is a description outlay of the performance of appraisee with the appraiser

 It will have feedback mechanism

 Resolve any problems if there on board
 Outcome should be Development & performance management

Illustration of a Performance Management System

Rappor Exploratio Action

t n Planning
Buildin
g • Attending • Exploring • Searching
• Listening • Identification • Decision
• Acceptance • Diagnoisis • Supportin
g
 OUTPUTS OF PERFORMANCE APPRAISAL SYSTEM

Training and development

After the completion of appraisal process there is always a need for conducting training need
analysis for each and every employee of the organization

As per the performance assessment and comp gaps the training programs are drafted which can
be cat into three stages

 Job rotation/Job reassignment: He/she is given a period of a week to perform diff roles
in relation to their current job profile so as to make them competent to perform new role
and adjust with new environment
 Coaching: This type of formal/informal training is essential for entry level/ mid level
employees which entails a healthy and competitive environment for work inside the
organization.
 Training Programs/seminars: These programs helps in motivating employees to
perform at par and develop the required skillset which will enhance their current and
future performances

Salary Increments
As per the performance review and discussion with the supervisor(s) the employees on the basis
of positioning on the contribution matrix are given some monetary benefits which and extended
with additional rewards.
 LIMITATIONS OF RELIANCE FRAMEWORK

 Forced distribution system

Employee’s caliber is not dependent on results achieved but the presence amongst the
peers and it can degrade teamwork spirit and creativity which will critically impact the
organizational performance.
 Bias by the direct reportee since there is no mechanism to check if there is any
discrepancies or any kind of prerequisites in the mind of the manager
 Part Appraiser bias
This is a clear case of “Halo effect” on the mind of the employee
 Post discussion stage there is no discussion of the results with the employees because of
which they are unknown to their performance ratings
 BIBLIOGRAPHY

 http://www.ril.com/OurBusinesses/Retail.aspx (Accessed: 20 April 2016).

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2014-refme
 Bibliography:Pty, P. (2013) Explain what is employee performance management
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