PERFORMANCE MANAGEMENT SYSTEM AT BHARAT HEAVY ELECTRICALS LIMITED (BHEL

)

BHARAT HEAVY ELECTRICALS LIMITED

Largest engineering and manufacturing enterprise in India in the energy- related/infrastructure sector. One of the nine large Public Sector Undertakings known as “Navratnas” or “nine jewels”. Manufactures over 180 products under 30 major product groups. Caters to core sectors of the Indian Economy viz., Power Generation & Transmission Industry, Transportation, Telecommunication, Renewable Energy, etc.

HUMAN RESOURCES AT BHEL

The greatest strength of BHEL is its highly skilled and committed 43,636 employees.
Every employee is given an equal opportunity to develop himself and grow in his career. Continuous training and retraining, career planning, a positive work culture and participative style of management have engendered development of a committed and motivated workforce.

OBJECTIVES OF PMS AT BHEL
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To recommend new KRAs. To identify specific training and development requirements of individual employees. To assess the overall organisational performance. To identify the better performing employees who should get the majority of available merit pay increases, bonuses, and promotion. To identify the poorer performers who may require some form of counseling. To identify and communicate performance expectations and goals and then ensuring the realization of those goals.

PERFORMANCE MANAGEMENT SYSTEM AT BHEL

NONEXECUTIVES Through ACR

EXECUTIVES Through eMap

PERFORMANCE APPRAISAL FOR NON-EXECUTIVES
Performance appraisal for non executives is done by using Annual Confidential Reports (ACR).  This report is prepared by a controlling officer.  Controlling officer rates the performance on a 4 point scale –

1 2 3 4

Poor

Good

Very good

Outstanding

CONTD…
Rating is done on overall job related parameters like attitude towards work, punctuality, sincerity, etc.  This report is then approved by the Head of Department.  HOD has the authority to change the rating given by the appraiser, if desired.

PERFORMANCE APPRAISAL FOR EXECUTIVES

The performance appraisal done in BHEL for executive is called MAP (moving ahead with performance) system of performance appraisal. MAP was introduced in BHEL in the financial year 2002-2003. eMap is for BHEL employees to do performance appraisals for the current performance cycle (March – April).

IMPORTANT FEATURES OF MAP
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It addresses the objectivity, transparency and consistency across various units of BHEL around the country, through normalization process. It reduces subjectivity and individual biasness. It focuses on the growth and development of the employee. The development plan is build with careful thought process using: Training of the employee Well defined appraisal system Review process (mid and year end)

NORMALIZATION
Normalization is the process of aligning the distribution of individual performance scores to the performance level of the department, unit and company in a defined Performance Cycle. Process –  Corporate HR will input the final scores into the MAP Normalization software to generate the Final Performance Rating for Appraisees  Final Score data of all Appraisees  Table of Distribution by Performance Level  The Final Performance Rating will be communicated to each Departmental Head and all Appraisees will be informed of their Final Performance Rating.

PERFORMANCE CYCLE AT A GLANCE
Unit / Business Sector Draft Budget End February Off-line Performance Planning March – Mid April Normalization and score May

Appraiser ONGOING FEEDBACK Appraisee

On – Line Performance Planning Mid April- End April

Final Review and Feedback April Mid Year Review SeptemberOctober

KEY PEOPLE
The key people involved in the process of emapping are:  Appraisee  Appraiser  Reviewer  HOD

Role Overview (Appraisee)
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Identify appropriate KRAs, request for new KRAs (if required), Propose an action plan for achievement of each KRA and Assign a weightage for each KRA. Conduct self-appraisal to evaluate performance on KRAs If required, initiate request for Edit Plan Discuss performance with Appraiser and seek feedback on performance Finalize with Appraiser actual achievement against targets.

Role Overview (Appraiser)

Every executive who assesses the performance of one or more Appraisees that report to him/her is an Appraiser. Role:

   

Identify appropriate URR for Appraisee , Approve weightages for KRAs and Discuss action plan defined for each KRA by Appraisee. Review the self-appraisal submitted by Appraisee. If Edit Plan has been requested for by Appraisee, evaluate the request and forward it to Reviewer Appraise Behavioral Traits. Discuss performance with Appraisee and provide feedback and coaching.

Role Overview (Reviewer)
Appraisers’ Appraiser, who is responsible for reviewing the entire performance process, is the Reviewer. Role:  Resolve any conflicts between Appraisee and Appraiser.  Forwarding request for ‘Edit Plan’ to concerned Head of Product/ Function, if reviewer agrees to it.  Review appraisal by the Appraiser on Appraisee’s Performance and Development.  Provide final sign-off on actual achievement against targets.  Review appraisal of Behavioral Traits of Appraisee done by Appraiser.

Role Overview (HOD)

Approve request for new KRA’s. Edit Plan (mid – year review).

PERFORMANCE APPRAISAL PROCESS

PERFORMANCE PLANNING
Workflow of Performance Planning Phase :
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Unit HR maps appraisee to suitable URR. Appraisee makes plan for the year. Submission by Appriasee. Appraiser sees plan and accepts OR Appraiser Discusses plan with Appraisee. Appraiser Accepts and Submits plan. Reviewer Approves Plan. Plan Submitted.

Creating the Performance Plan

The Performance Plan of an individual essentially consists of one section – KRAs. This includes:

1. Selecting the KRAs 2. Action Plans for KRAs 3. Assigning Weightage

MID YEAR REVIEW PHASE
Workflow of Mid-Year Review

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Appraisee does self appraisal and identifies competencies for development Submission by Appraisee Appraiser sees plan and gives his comments/feedback Appraiser submits Mid year Review completed

FINAL REVIEW PHASE
Workflow of Final Review  Appraisee does self assessment of KRAs and gives the achievement  Appraisee submits  Appraiser gives his assessment of KRAs and rates the appraisee on Behavioral Traits  Appraiser submits  Plan goes back to Appraisee for acceptance/ rejection of Appraiser’s Review.

Contd…
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Appraisee accepts or requests for discussion with Appraiser After Discussion, Appraiser and Appraisee submit the Final Review Final Review goes to Reviewer for Final Approval Reviewer gives his final assessment on KRAs and Behavioural Traits Reviewer submits Final Review Complete and Final Score gets calculated in the system

WHY PERFORMANCE APPRAISAL?
Directly related with the promotions of the employees.  To relate employee’s performance with PRP (performance related pay) while giving Plant Bonus.  To identify training and development needs, if any.

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