HINDALCO INDUSTRIES LTD Our Vision

To be a premium metals major, global in size and reach, with a passion for excellence.

Our Mission

To relentlessly pursue the creation of superior shareholder value by exceeding customer expectations profitably, unleashing employee potential and being a responsible corporate citizen adhering to our values.

Our Values

Integrity Commitment Passion eamlessness peed

THE MARKET LEADER

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Hindalco is a leading domestic player in two metals business segments aluminum and copper. The aluminium division's product range includes alumina chemicals, primary aluminium ingots and billets, wire rods, rolled products, extrusions, foils and alloy wheels. The company has a significant market share in all the segments in which it operates. It en oys a domestic market share of !" per cent in primary aluminum, #$ per cent in rolled products, "% per cent in extrusions, !! per cent in foils and $& per cent in wheels. 's a step towards expanding the market for value(added products and services, Hindalco has launched several brands in recent years, which include 'ura for alloy wheels, )reshwrap for kitchen foil and *verlast for roofing sheets. +ur exclusive showroom, The 'luminium ,allery, seeks to promote Hindalco products to its customers. It is a platform for the company to showcase -uality products to a -uality audience in an appropriate ambience. The exhibits include products like windows, doors, furniture, ladder, roofing sheets and ceiling and cladding panels. Hindalco's products are well received not only in the domestic market, but also in the international market. The company's metal is accepted for delivery under the high grade aluminium contract on the .ondon /etal *xchange 0./*1. The company exports about &2 per cent of its total sales volume of aluminium.

The 3ompany4s alumina chemical business is a leader in manufacturing and marketing of speciality alumina and alumina hydrate products in the country. It has a ma or market share in

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the country. These speciality products find wide usage in diversified industries including water treatment chemicals, refractories, ceramics, cryolite, glass, fillers and plastics, conveyor belts and cables, among others. The company also exports these alumina chemicals to over $% countries covering 5orth 'merica, 6estern *urope and the 'sian region. 7irla 3opper, Hindalco's copper division at 8ahe in ,u arat, en oys a leadership position in India, having built over !% percent of the domestic market share within three years of its commissioning. It has also made successful forays into the export markets of the /iddle *ast, 9outheast 'sia, 3hina, :orea and Taiwan. The copper plant produces world(class copper cathodes, continuous cast copper rods and precious metals. 9ulphuric acid, phosphoric acid, di(ammonium phosphate, other phosphatic fertili;ers and phospho(gypsum are also produced at this plant. Hindalco businesses Share of net sales value 2006 200!

Alu"iniu"
key products and brands locations capacities

country

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Hindalco Industries Ltd. alumina chemicals Renukoot (Uttar Pradesh), Muri (Jharkhand), Belgaum (Karnataka) Renukoot, !irakud ("rissa), #$alo%a Renukoot, *lupuram Belur (-est Bengal), $alo%a (Maharashtra), Renukoot, Mauda (Maharashtra) Renukoot, *lupuram (Kerala) 0il1assa (2adra 3 4agar !a1eli), Kal.a (Maharashtra) 0il1assa (2adra 3 4agar !a1eli) 1,160,000 tpa

India

primar aluminium

&'(,000 tpa

e)trusions rolled products

+,,,00 tpa +00,000 tpa

.ire rods

6&,&00 tpa

aluminium /oil

11,000 tpa

aluminium .heels

500,000 pcs

#6or $alo%a rec cling plant Indal (subsidiary of Hindalco) Kollur (*ndhra Pradesh) /oil rolling

&,000 tpa

#$%%ER

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key products and locations brands Birla Copper (Hindalco Industries Ltd.) copper cathodes continuous cast copper rods sulphuric acid phosphoric acid gold (Birla 7old) sil1er (Birla 0il1er) po.er 2ahe% (7u%arat)

capacities

country

800,000 tpa (,,+00 tpa

9ndia

1,6,0,000 tpa 1'0,000 tpa

18 mt 180 mt 158 m.

2*P and comple)es &00,000 tpa (Birla Bal.an) Hindalco Industries Ltd. (Aditya Birla Minerals Resources Pty. Ltd.) copper cathodes copper in concentrate po.er 4i/t mines Mt: 7ordon mines Mt: 7ordon mines +8,000 tpa &0,000 tpa +' m. *ustralia *ustralia *ustralia

Land"ar&s

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India Today ,roup's <eaders 8igest ,old 'ward "%%2 in recognition of the work that truly exemplifies the highest values of society as well as those of <eader's 8igest at the =egasus 3orporate 9ocial <esponsibility 'wards. Hindalco awarded the 3II ( 9orab i ,reen 7usiness 3entre >5ational 'ward for *xcellence in 6ater /anagement "%%2>. In /ay "%%2, 5ovelis became a Hindalco subsidiary with the completion of the ac-uisition process. The transaction makes Hindalco the world's largest aluminum rolling company and one of the biggest producers of primary aluminum in 'sia, as well as being India's leading copper producer.

200' Hindalco receives, India 3)+ 'ward "%%! for excellence in finance in a large corporate.

200( Hindalco receives the 'sian 39< 'ward for its ><ural =overty 'lleviation =rogramme>. The 'sian 39< 'wards are 'sia's premier awards programme on 3orporate 9ocial <esponsibility.

HR VISION

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To provide an enabling environment where employees! competencies are nurtured and harnessed towards sustainable business growth and leadership.

HR MISSION

To proactively assess and provide services for the "# needs of the business $ customers for the attainment of organizational goals.

HR OBJECTIVES

To collaborate with and support internal Customers of "# services viz. effective manpower planning, ensuring harmonious industrial relations etc. To review and redesign the structure of the organization with clarity of role, responsibilities and accountability for overall organizational effectiveness and speedy response to emerging business challenges. To develop %nowledge and s%ills of the employees! and groom leaders with functional and business competencies to meet future demands of the organization &viz. flexibility and change management'.

To benchmar% best "# practices in order to enhance "uman #esource effectiveness. To enhance employee productivity through rationalization of jobs and manpower optimization.

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To promote employee involvement in decision ma%ing, team wor%ing, creativity and empowerment. To institutionalize transparency by framing, updating and communicating systems and processes. To maintain good liaison with government( external agencies in order to better serve the organizational cause. To provide a safe and healthy wor% environment and continuously benchmar% and update the standards of safety and hygiene) and To wor% towards improving the *uality of wor% life of employees and the life of their families.

HR De)art"ent Structure
The following diagram describes the departmental structure. The chart illustrates various positions in the H< department at HI58'.3+ Industries .td.

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%REAM*LE
=erformance management system 0=/91 is the heart of any ?people management > process in organi;ation. +rgani;ations exist to perform. If people do not perform organi;ations don't survive. If people perform at their peak level organi;ation can compete and create waves.

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=erformance management systems if properly designed and implemented can change the course of growth and pace of impact of organi;ations. =erformance management is process of goal setting, mentoring, coaching and evaluating performance. This system is important to the organi;ation because the employees are accountable for achieving results that are clearly tied to organi;ational goals. Information about linkage between mission goal and individual accountability is reviewed during the performance management process. The system also incorporates performance plans which have specific business results with clear measures of performance. Hindalco Industries has an online performance management system portal developed in =++<5'T' which is a =eoplesoft H</9 @.A implementation pro ect. This system was implemented " years ago. This system was taken up for pro ect study, as it is an upcoming technology in all industries, to gain information about the process, its importance and to understand the various modules included in =++<5'T'. The understanding of online performance management system is of utmost importance as the trend of implementing H< policies through system driven program to achieve organi;ational goals is increasing. The 'ditya 7irla ,roup also backed the best employer award, so I found it necessary to study the human resource management system at HI58'.3+ I58B9T<I*9 as it is one of the important component in the policies of the group.

The pro ect includes the study and evaluation to check the effectiveness of the online performance management system. The effectiveness was evaluated through a -uestionnaire, which included -uestions based on the online =erformance management process. This -uestionnaire was administered to a sample of C% employees and the data was collected for

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analysis. This survey was undertaken to find out the loop holes in the system, areas where the employees have difficulty in operating the system, any changes employees want in the system and overall feedback about the online system.

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$*+E#T,-E $. THE ST/D0

To study and evaluate the effectiveness of overall online performance management system. Reasons for the stud1 9tudy the H</9 at HI58.'3+ I58B9T<I*9 .T8. 3ritically evaluate the effectiveness of online =erformance /anagement 9ystem. To get the feedback of the employees on the online =erformance /anagement 9ystem.

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RESEAR#H METH$D$L$20
%ri"ar1 Data Source3 The source of primary data in the research was Structured 4uestionnaire. This method of collecting data by mailing the -uestionnaire to respondents is most extensively employed in various economic and business surveys. This method of data collection was chosen becauseD( 's the employees are located at different geographical location so, the method was low in cost and ade-uate. It is free from the bias of interviewer, answers are in respondents own words. <espondents have ade-uate time to give well thought answers.

The -uestionnaire developed for the study included the .ive %oint Ratin5 Scale6 The scale items were( C( 9trongly 'gree !('gree $( 5eutral "( 8isagree &( 9trongly 8isagree Items in the -uestionnaire were included depending upon the various aspects of e(=/9 in =++<5'T' =ortal at HI58'.3+ Industries .td.

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Secondar1 Data Source 9ource of secondary data were various books, reckoner and websites. Sa")le Si7e The sample si;e selected was of C% employees. Sa")lin5 Desi5n 8 Techni9ue The sampling design was the Non- Probability Sampling. In this type of sampling items for the sample are selected deliberately by the researcherE his choice concerning the items remains supreme. In other words, under non(probability sampling the organi;ers of the en-uiry purposively choose the particular units of the universe for constituting a sample on the basis that the small mass that they so select out of the huge one will be representative of the whole. In small en-uiries and researches, this design may be adopted because of the relative advantage of time and money inherent in this method of sampling. Quota Sampling was adopted as the sampling techni-ue. In this techni-ue, the interviewers are simply given -uotas to be filled from the different strata with some restrictions on how they are to be filled. The actual selection of the items for the sample is left to the interviewer4s discretion. This sampling is very convenient and relatively inexpensive. Sa")le Distribution Hindalco Industries limited

Total populationF"%%0/etalsG/arketing1 9ample si;e selectedFC%0"CH of total population1 Total no. +f respondentsF !% 5on(respondentsF &%

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METALS
DE%ARTME:T 3=+(/*T 7B9I5*99 IT(/*T T<*'9B<I '58 '33+B5T9 <I9: /'5',*/*5T +))I3* +) 3)+ 7H(/*T 8I<*3T T'J(/*T =<+K*3T(/*T :$6 $. EM%L$0EES $ # $ & C C
& &

MARKET,:2 pg.
15

*verlast (HH/ 7usiness )inance 8omestic( HH/ *<=( HH/ <egional *xtrusion(HH/ IT(HH/ <olled *xport =roduct Head(HH/ <egional <olled 8omestic LHH/ Territory <olled 8elhi( HH/ Territory =rimary L HH/ 3/+( /arketing Hindalco *xport L/H+(HH/ <egional =rimary

$ " & C " $ ! & & & & $

The sample consist only the management cadre employees like the secretary, deputy manager, manager, general manager, assistant manager, officer, senior manager, vice president etc. It does not include the supervisory level staff as the online =/9 is applicable only to the management cadre employees.

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,:.$RMAT,$: A:D A:AL0S,S

Theoretical fra"e;or& of the to)ic

%erfor"ance Mana5e"ent S1ste" =erformance management system is the process of performance planning 0goal setting1, performance mentoring, coaching, measuring 0evaluation1. Individual performance linked to organi;ational goals, giving himM her feedback, rewarding the individual achievements against set performance goals and re-uired competencies, and working out a plan for hisM her development. The system of =erformance /anagement for an organi;ation is a strategic and integrated process that establishes a culture of sustained success by improving the performance of the people who work in them and by developing the capabilities of individuals4 contributors and teams. =erformance /anagement N. 'ligns individuals goals to organi;ational goals Is a tool to channel employee efforts in the right direction and get work done *nsures clarity of role to be performed *ncourages feedback and creates an environment for development )acilitates better understanding and rapport between manager and team members /easures and assesses all performance against ointly agreed goals.

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17

%erfor"ance "ana5e"ent has t;o ob<ectives Evaluation objective: To provide feedback to individuals on their performance levels and on current competency levels. =erformance evaluation and assessment of the readiness of an individual to take on higher responsibilities To generate data re-uired for decisions on compensation, training etc. Development objective: To counsel and coach subordinates so that the improve their performance and develop competencies To motivate subordinates through recognition and support To strengthen supervisor subordinates relations To diagnose individual and organi;ational competencies, so that actions can be taken on problem areas To define the training re-uirements based on individual competency

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Lin&a5e of )erfor"ance "ana5e"ent s1ste" to various other )rocesses

%erfor"ance Mana5e"ent S1ste"

%erfor"ance Assess"ent

%ro"otion= /)5radation

#o")ensation Mana5e"ent

+ob rotation and Transfer

Trainin5 and Develo)"ent

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19

%R$+E#T ST/D0

,ntroduction to %$$R:ATA =++<5'T' is a ,roup wide =eople 9oft H</9 @.A implementation pro ect. This pro ect was started in /ay "%%C with the functional and technical trainingE it was implemented in &@ months from the start date. The purpose of this pro ect is to implement H< policies through a system driven program, to achieve organi;ational ob ectives. =++<5'T' is implemented across 2@ domestic units and "# units overseas. It covers all management cadre employees across the group and all employees for transworks, approximately &#%% employees. $b<ectives =oornata automates and standardi;es H< processes across the group for all management cadre employees. =oornata introduces best( in( class H< processes through out the group. =oornata gives employees access to data which was hitherto available only to the H< department and thus enables them to plan their own development. =oornata also gives managers access to information about their direct reports and thus enables managers to plan the development of their direct reports more proactively.

Sco)e of %$$R:ATA /odules included in =++<5'T' areD

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 <ecruitment 6orkforce 'dministration =osition /anagement 3ompensation =erformance /anagement 9ystem *nterprise .earning 9olution Talent /anagement Si5nificance of %$$R:ATA

>6

E")lo1ees *mpowers employees by making development self driven. 3reates career opportunities for employees by enabling knowledge sharing of likely vacancies and obs amongst varied businesses.

26 *usiness 8elivers faster services. /ore( database decision(making. =ut .ine /anagers in control of =eople and development.

(6 2rou)

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Takes the group to a league of ,lobal +rgani;ations with cutting edge H<(*<= operational that enables seamless delivery of common H< processes a diversified multi location group.

7uilds employer brand.

'6 HR De)art"ent *nables faster service delivery. )acilitates continuous improvement. 7uilds a more professional image. /akes H< department more data driven.

The online Hu"an Resource Mana5e"ent S1ste" at H,:DAL#$ is called as ?%$$R:ATA@ .This on( line =erformance /anagement system enables the group to proactively manage their performance appraisal .The module delivers maximum business benefit by helping an employee and manager to set goals and track them on an ongoing basis. The =erformance /anagement business process includes the following basic steps( &. Identification of goals for the next year. ". <eview of performance against goals set for current year. This guide is both a reference tool for use in your day( to( day role and also a training manual. It is a common appraisal process, an automated, system drivenE goal focused and standardi;ed process across the group. =erformance management at 'ditya 7irla ,roup will be focused to( &. set goals for coming financial year ". half( yearly review of performance

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$. 'nnual appraisal.

%erfor"ance Mana5e"ent s1ste" in %$$R:ATA includes the follo;in5 basic )rocesses3 &. Annual 5oal settin5D in the months of 'prilMmay every year, after the annual planning and budgeting rounds, all teams will identify their :<'s and ,oals for the forthcoming financial year. This process will largely happen off(line. 'n employee will fill in his ,oal 9etting 8ocument in =oornata 9ystem, listing the :<'s, ,oals, and /easurement 3riteria and due date for completion of specific goals. He will then notify the same to his manager. The /anager recommends changes and approves the document. The approved document is available to the employee and his manager for reference throughout the year. $r5ani7ational 2oal Settin53
Senior Mana5e"ent sets Annual $r5ani7ational 2oals .unction Head sets Annual De)art"ental 5oals E")lo1ee ;ith Mana5er sets ,ndividual 5oals

Start

,ndividual 2oal Settin53

*

E")lo1ee and Mana5er 5et a vie; onl1 access of the <ob descri)tion ;hile assi5nin5 KRAs

E")lo1ee sets 5oals and assi5ns ;ei5hta5es and "easures

Mana5e r a5rees

2oal settin5 docu"ent is finali7ed

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2 Mid 0ear Revie;D of goals set at the beginning of financial year will be held in the months of +ctoberM 5ovember every year. It will be initiated by manager. The main focus of the mid year review is to check if the goals set at the beginning of the year are relevant or if they need to be updated. It gives an opportunity to /anager and his team members to identify and discuss about any performance issues, initiate corrective action for the same.
#

HR Ad"inistrator sends e"ail to all e")lo1ees and "ana5ers to initiate half 1earl1 revie;

Mana5er ;ill reo)en the docu"ent

E")lo1ee 5oes to A5oalsB edit details and enter the AstatusB and Aco")lete )ercentB

Mana5er revie;s the results a5ainst the a5reed 5oals

". Annual %erfor"ance A))raisalD against goals set and achieved will be held during the months of 'pril( /ay every year. The employee will complete his self appraisal against goals set online in the =oornata 9ystem and submit the same to his manager for review. The manager will discuss the performance of employee offline, give him feedback on his performance and capture his own comments and performance ratings. The document is send to the H< department for further processing. Hindalco has two types of employees on payroll and on contract. =ayroll employees are of two types( /anagement employees 0Kob band &&( *xecutives1 and 9upervisory employees 09$( 9& level1. =++<5'T' system covers only management level employees. =++<5'T'

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is under H</9. It has various employee and manager self( service options like personal information, recruitment, enterprise learning solutions, performance management system, and talent management system.

Three different people are a part of =++<5'T'D *mployee /anager 'dministrator 0 Human resource department1

The administrator of the system is the H< department, it has the accountability and responsibility for the entire process .=++<5'T' has different modules they are( work force administration, recruitment, and performance management system and position management. The performance management system process is completed in =++<5'T' by an employee 0employee self service1 and by manager 0manager self service1.'s the system includes $ processes. The first process is ,oal 9etting, mid year review and 'nnual performance appraisal. There are nine sections in =erformance documentD Kob =urpose, :<', ,oals, Oalue, +verall 9ummary, *mployee 3omments, and /anager 3omments, Training need identification, 3areer 'spiration. 7oth the employee has to log on to www.portal.poornata.com by giving their Bser I8 and =assword and then access the document through H</9 P 9elf serviceP =erformance /anagementP /y performance documentP current document P '7, =erformance 8ocument %erfor"ance Mana5e"ent %rocess in %$$R:ATA b1 E")lo1ee The goal setting process starts with defining the ob purpose, the :<'s and then the goal is finally set. ,oals include the ob description, start and end dates, measurement criteria of the

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goal, giving weightages to each goal, stating the progress status of the goal 0initially not started status1. The second process is the mid year review, the H< department will notify to start the mid

year reviews, the goal status 0in progressM complete, percentage achieved will be updated by the employee. The last process is the 'nnual performance appraisal, here no updates are made to the ob purpose and :<'s, only the goal status is updated 0&%%H achieved, complete status1. The employee gives his comments stating all the facilitating and hindering factors in achieving the goals, after which employee gives rating to each goal on a C point rating scale( C( )ar exceeds expectation !( *xceeds expectation $( /eets expectation "( below expectation &( )ar below expectation 'fter the goal rating is completed, a goal summary is given by the employeeE mid year review comment is given by the employee. 5ext the employee rates the values 0commitment, seamlessness, integrity, speed, passion1 with the following rating scale( Q 5eeds improvement QQ /eets standards QQQ 9trength

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The next step involves training need identification i.e. the training employee needs in the coming year and the career aspirations 0short term as well as long term1 are identified.

The )erfor"ance "ana5e"ent )rocess in %$$R:ATA b1 "ana5er. 5ow the /anager reviews the goals set by the employee, mid year performance status and annual performance appraisal of the employee is reviewed and appraised. The manager reviews the ob purpose, :<'s and goals along with weights, after receiving an offline e(mail from H< administrator to initiate half yearly assessmentE manager will reopen the performance document and will review the current status of the completion of each goal. 'nnual =erformance review is done by the manager. The manager will review the document of employee by logging in to the =++5'T' portal. The employee will be evaluated by the manager by rating the employee4s performance against each goal by selecting a rating from the C point rating scale and by rating employee4s performance against each value by selecting a rating from the scale. Training needs and career aspirations will be identified by the manager. 7y clicking on the calculator icon, the overall rating will be available to the manager. /anager will then forward the document to the H< department for further processing. The H< department gets a prenormalised report which has a rating to be given to the employee. In case the rating finali;ed by the moderation committee is different as compared to the one given by the manager, the H< department would deny the document. The prenomalisation process has $ people involved L the H< administrator, Top management level employee and department head. The prenomalisation process is based on L

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How the manufacturing industry has performed How the company has performed How the unit has performed How the department has performed How the functional unit has performed How the team has performed. 6hen there is a new employee the H< department conducts induction program for employee self service and manager self service to access =++<5'T' and refresher training program is conducted by the department &C days prior to the appraisal process in the organi;ation. -arious Modules in %$$R:ATA &. %ersonal ,nfor"ation 3 *mployee self service( employee self service is used by the employees to view and update their own information in =++<5'T'. Information pertaining to 5ame, address, marital status, education, honors and awards, languages, licenses, memberships, email(id , phone numbers, emergency contacts. There are $ kinds of processes to update information through employee self service. =rocess without approval or notification

E")lo1ee u)dates a6 %hone nu"ber b 6E"ail address c6 E"er5enc1 contact nu"ber Database u)dated

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This updating of information does not need the approval of H< administrator.

=rocess with H< notification

E")lo1ee u)dates a6 Education b6 Honors8 a;ards c6 Lan5ua5es d6 Licenses8 certificates e6 Me"bershi)s Su)ervisor notified HR ad"inistrator notified Database u)dated

=rocess with H< approval

E")lo1ee u)dates a6 :a"e b6 Address c6 Marital status E")lo1ee notified HR to a))rov e

Database u)dated

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5ame( employee submits a name change re-uest online, heMshe must provide sufficient proof to the concerned H< manager to get an approval like, marriage certificate, divorce certificate. /anager self service( the e(=rofile manager desktop in =++<5'T' is a web based application that allows the managers to view personal and ob related data of all the employees to them. The manager can view the details of the employees reporting to them with the help of manager self service. )ollowing details can be viewed by a manager using manager self service L 5ame, address, marital status, education, honorsR awards, languages, licenses, membership, email I8, phone numbers, emergency contacts.
Mana5er selects the e")lo1ee ;hose data he=she ;ishes to see

Mana5er clic&s on the h1)erlin&s to vie; the data

26 Recruitin53 /anager self service( creating a ob opening, the hiring manager is typically a line manager who is of a department head and above level. The process flow is as follows(
Hirin5 "ana5er initiates <ob o)enin5 Adds <ob details3 */C %ositionC LocationC Salar1C Staffin5 8 hirin5 tea" infor"ation

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S1ste" sends <ob o)enin5 details to the su)ervisor of the hirin5 "ana5er for a))roval

*mployee self service( The process flow is as follows(

E")lo1ee vie;s <ob details )osted in )ortal

E")lo1ee a))lies b1 fillin5 online a))lication for"

E")lo1ee sub"its a))lication for"

The employee views the ob postings on the careers page through self service. $. Interview calendar and *valuation *mployee self service( recruiter schedules interview for an applicant a. Interview calendar b. Interview team schedule c. Interview evaluations ( ( ob band &% R below ob band 2,@ RA

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( (

ob band !,C R# ob band $ R above

$. Enter)rise learnin5 solution3 *mployee self service( =++<5'T' that enables, the group to proactively manage their learning environment, ensuring that employees ac-uire knowledge and skills, consistent with corporate ob ectives. *mployee learning solution will focus on session based trainings. *mployee learning solutions process at 'ditya 7irla ,roup is used for entire range of end( to( end training process. The ob ective is to standardi;e and automate training processes across the group( ( ( to create and foster a learning culture. to enable the learners to plan and review their learning.

In employee learning management system employee can enroll himself to an activity according to the training needs identification and ob ectives assigned to him. HisM her manager will approve or decline the activity to be attended by him M her .If approved then learner can attend the activity. /anager self service( manager can browse or search the catalog for activities and programs in which to enroll and register any team member directly reporting to them. They can add activities to employees learning plans and enroll the employees in the planned activities later. '6 Talent "ana5e"ent s1ste"3

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=urpose( the Talent /anagement system 0T/91 within =oornata enables the group to proactively manage talent. The module delivers maximum business benefit by helping a /anager to assess competencies and track them on a going basis. The talent management business process as envisaged in the system focuses on the potential and competencies associated with the role of the employees.

3ompetency *valuation 3ycle( competency evolution form will include evaluation of the employee on set of competencies which are attached to hisMher ob profile. *ach position will be linked to a ob profile where competencies will be defined based on the current role and responsibilities.

Mana5er ;ill evaluate the e")lo1ee on the )re defined co")etencies defaultin5 in the co")etenc1 evaluation for" and 5ive )otential

Sub"its the docu"ent for a))roval to the revie;er

Revie;e r Revie;s

Revie;er a))roves and sub"its it to HR Ad"inistrator

HR Ad"inistrator )rocess the docu"ent

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RESEAR#H A:AL0S,S
' survey was undertaken to study and evaluate the effectiveness of online performance management system. The data obtained is analy;ed below. 2ra)hical %resentation

Table > ,raphical representation of percentage responses of employees on the parameter S3larity in understanding4 the online performance management system.

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Table 2 ,raphical representation of percentages responses of employees on the parameter Sexternal factors4 in the online performance management

Table ( ,raphical representation of percentages responses of employees on the parameter Scareer growth4 associated with the online performance management system.

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Table ' ,raphical presentation of percentage responses of employees on the parameter Stimely notification4 associated with the online performance management system.

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Table D ,raphical representation of percentage responses of employees on the parameter S,rievance redresses4 related to the online performance management system.

Table 6 ,raphical representation of percentage responses on the parameter S satisfaction with goal setting and weightages given4 in the online performance management system.

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The above shown graphical presentation shows the percentage distribution of responses on the parameters set to check the effectiveness of the online performance management system. The percentage responses are calculated based on the responses given by the employees on the five point rating scale.

Table !( =ie( chart distribution table presenting the percentage distribution of S'gree <esponses4 to the parameters set on the online performance management system.

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.,:D,:2 A:D $*SER-AT,$:

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The sample study was undertaken to check the effectiveness of the online =erformance /anagement 9ystem.The sample taken up for the study was of C%, out of which !% respondents gave their feedback. ' structured -uestionnaire was developed with five point rating scale.The no. of -uestions included were &A .These -uestions are put under six parameters which are as follows, &. 3larity in Bnderstanding ". *xternal )actors $. 3areer ,rowth !. Timely 5otification C. ,rievance <edressal #. 9atisfaction with goal setting and weightages given. .et us analyse each parameter in detail. #larit1 in /nderstandin5( this includes -uestions pertaining to the navigation path given, to operate the =erformance /anagement 9ystem in H</9 0 =oornata1 and the manager assists the employee in getting a clear idea of the task to be performed. !% respondent4s feedback on this parameter shows that ##."CH of respondents agree with the parameter and $%H strongly agree , ".CH disagree and %H strongly disagree with the set parameter. This indicated that system and the tasks to be performed. EEternal .actors F This parameter includes factors which are external to the online performance management system. The -uestions related to feedback on goal setting, basis of final rating, facilitating and hindering factors in performance are taken into consideration. The percentage responses are as follows, C@.$$H agree, "".CH strongly agree, &&.##H disagree, %H strongly disagrees and &%H neutral. This clearly indicates that external factors are also taken into consideration other than those included in the system. maximum no.of employees have clear understanding of operating the online performance management

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#areer 2ro;th

this parameter essentially deals with whether the online performance

management system helps to appraise factors related to the career aspirations, future performance improvement, career planning and rewards of the employees in the organi;ation. The responses are as follows, CA.$2H agree, &#."CH strongly agree, &$.&"H neutral, &%H disagree and %.#"CH strongly disagree. This clearly indicates that career growth is taken into account by the online performance management system. Ti"el1 :otification with this parameter feedback was taken to check factors like timely updates given by the H< dept pertaining to the online performance management system and the deadlines set to complete the performance document in the online performance management system. The responses are as follows, C".CH agree, &@.2CH strongly agree, &$.2CH neutral, 2.CH disagree and #."CH strongly disagree. This clearly shows those employees are given proper notifications when re-uired. 2rievance Redressal This parameter deals with factors like, addressing the doubts and -ueries by the =erformance management system operator and whether the employees feel free to express their disagreement regarding the appraisal decision, are taken into consideration by the online performance management system. The responses are as follows #2.CH agree, &2.CH strongly agree, &@.2CH neutral, CH disagree and &."CH strongly disagree with the set parameter. This clearly indicates that employee4s grievances are properly addressed. Satisfaction ;ith 5oal settin5 and ;ei5hta5es 5iven to the 5oals ( This parameter includes factors related to goal setting, weightages given to the goals, time period set for goal setting, key result areas associated with goal setting which is performed in the online performance management system. . The responses are as follows #$.&"H agree, "%H strongly agree, #.@2H neutral, !.$2H disagree and %.#"H strongly disagree with the set parameter.

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.i5ure ! illustrates the overall percentage of employees satisfaction with the parameters defined in the -uestionnaire relating to the online performance management system. It can be seen that the maximum satisfaction and agreement is with the ? 2oal Settin5@ parameter i.e. 2'G6 This means that, the process of goal setting and assigning weightages to the respected goals is ade-uate in the online performance management system. *mployees agree that, goals are set and with mutual agreement between the manager and the employee. *mployees also agree to the point that, the weightages given against respective goals is ade-uate and the goals are also revised based on changing business needs of the organi;ation. The maximum dissatisfaction is seen with the parameter ?Ti"el1 :otification@ i6e6 >0G6 This indicates that employees are not very satisfied with the updates that they receive from the H< regarding their case. *mployees also exhibit dissatisfaction with the deadlines set to complete and submit the performance documents. 7ut the study and analysis did reveal that the online performance management system is effective one.

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#$:#L/S,$:
)rom the above data it can be observed that the online performance management system at HI58'.3+ I58B9T<I*9 .T8 is extremely effective. *mployees are satisfied with the online performance management system and the coverage given to various factors of performance appraisal.

L,M,TAT,$:S $. THE ST/D0

The study performed encompasses following limitationsD( &. The sample si;e selected was C% out of the total population of "%%E hence the study and evaluation cannot be generali;ed to the whole population. ". The sampling does not include all the divisions of HI58'.3+ I58B9T<I*9 .T8. $. 's the survey was conducted online, no personal interview was taken. !. 8ue to the non respondents few aspects of the research analysis got defeated. C. 's the sampling techni-ue is Tuota sampling, statistical analysis cannot be performed.

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S/22EST,$:S F
'ccording to my observation following suggestions should be taken into consideration, ,ap 'nalysis( Training needs are given by the employees online, once the identification is done and training is imparted to the employees, some feedback about the training is to taken from the manager and the respective employee. )eedback in terms of whether the program met the ob ective, did it make value addition to the knowledge of the employee and its application in the present ob should be undertaken. Thus the gap between training need identification and imparting of training should be analy;ed. Tuarterly performance reviews should be undertaken for short term goals. 9ome employees are not satisfied with the updates given by the H< department related to their case, while assessing the online performance appraisal system. Thus proper feedback should be given to the employees to further increase the effectiveness of the system. Training need identification should be done half(yearly, so that it helps the employees in improving the performance in the remaining time period. The career growth factor should be given more attention in the online performance management system. 's &$.&"H neutral and &%H disagree responses are observed in the study, which means that some percentages of employees are not satisfied with their career growth. This factor is important, from the view of employee performance and retention.

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A::EH/RE
7lank -uestionnaire and five copies of the filled in -uestionnaire by the employees attached.

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*,*L,$2RA%H0

9ahu, <.:., =erformance /anagement 9ystem, 5ew 8elhi, *xcel 7ooks, "%%2 :othari, 3.<., <esearch /ethodology, 5ew 8elhi, 5ew 'ge International 0=1 .td., "%%@ www.adityabirla.comMtheUgroupMheritage.htm www.adityabirla.comMtheUgroupMcorpUhrcell.htm www.adityabirla.comMtheUgroupMcorporateUcells.htm www.adityabirla.comMtheUgroupMmanagement.htm www.adityabirla.comMtheUgroupMourUvalues.htm www.adityabirla.comMtheUgroupMmilestones.htm www.adityabirla.comMproductsMindex.htm www.hindalco.comMproductsMoverview.htm =++<5'T' for me, e=/9 <eckoner

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