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Management Thesis On
Impact of performance appraisal system on productivity of Employees of ONGC Ltd.
Course Facilitator: Dr. R. K. Nambudiri
Anoop Kumar (08HR012)
CHAPTER NO. 1. 2. 3. TOPIC ACHNOWLEDGEMENT EXECUTIVE SUMMARY INTRODUCTION TO THE INDUSTRY 4. 5. OBJECTIVE MAJOR PLAYER OF PETROLIUM INDUSTRY 6. 7. GLOBAL RANKING PERFORMANCE APPRAISAL 8. 9. METHODS PERFORMANCE APPRAISAL SYSTEM ON ONGC 10. RESEARCH METHODOLOGY 11. SIGNIFICANCE OF STUDY 12. 13. 14. 15. 16. 17. 18. DATA ANALYSIS LIMITATION INTERPERTATION FINDINGS RECOMMENDATIONS QUESTIONNAIRE BIBLIOGRAPHY 29-33 34 35-46 47-48 49-50 51-54 55 26-28 25 11-16 17-24 9 10 7 8 PAGE NO. 4 5 6
Oil and Natural Gas Corporation Limited (ONGC) is engaged in the business of exploration and drilling of crude oil and natural gas and is the world‟s second biggest exploration and production company ONGC owns and operates more than 11000 kilometers of pipelines in India, including nearly 3200 kilometers of sub-sea pipelines. The company contributes more than 78% of India‟s oil and gas production. Today, ONGC is the flagship company of India; and making this possible is a dedicated team of nearly 40,000 professionals who toil round the clock. It is this toil which amply reflects in the performance figures and aspirations of ONGC. The company has adapted progressive policies in scientific planning, acquisition, utilization, training and motivation of the team. At ONGC everybody matters, every soul counts.
ONGC has a unique distinction of being a company with in-house service capabilities in all the activity areas of exploration and production of oil & gas and related oil field services.
Needless to emphasize, this was made possible by the men & women behind the machine. Over 18,000 experienced and technically competent executives mostly scientists and engineers from distinguished Universities / Institutions of India and abroad form the core of our manpower. They include geologists, geophysicists, geochemists, drilling engineers, reservoir engineers, petroleum engineers, production engineers, engineering & technical service providers, financial and human resource experts, IT professionals and so on.
This report concentrates on the study of the performance appraisal system being practiced in ONGC and to check its effectiveness and further to suggest and recommend any possible ways to improve and strengthen its PMS.
INTRODUCTION TO THE INDUSTRY
The India Petroleum Industry is a case in point for exhibiting the giant leaps India has taken after its independence towards its march to attain a self-reliant economy.
During the Independence era of 1947, the India Petroleum Industry was controlled by foreign companies and India‟s own expertise in this sector was limited. Now, after 60 years, the India Petroleum Industry has become an important public sector undertaking with numerous skilled personnel and updated technology that is comparable to the best in the world. The vim and the achievement during these years is the growth of productivity in petroleum and petroleum-based products. Even the consumption has multiplied itself nearly 30 times in the post-independence era.
An important advancement in the petroleum industry came with the Industrial Policy Resolution, 1956 which signified the promotion of growth of industries. The ONGC originally set up as a Directorate in 1955, was transformed into a Commission in 1956. In 1958, the Indian Refineries Ltd., a government undertaking, came into existence. The Indian Oil Company (IOC), also a government undertaking, was set up in 1959 with the purpose of marketing petroleum-related products. Indian Oil Corporation Ltd. was formed in 1964 with the merger of the Indian Refineries Ltd. and the Indian Oil Company Ltd. Presently, 17 refineries operate under the India Petroleum Industry.
To know the various types of performance appraisal methods being used at ONGC Ltd. To know which appraisal system is being mostly used in ONGC Ltd. To know whether the performance appraisal system of ONGC Ltd. Increase the productivity of employees or not .
MAJOR PLAYERS IN PETROLEUM Indian Oil corporation ONGC Reliance Industries NTPC Hindustan Petroleum Bharat Petroleum TCS Infosys Technologies Wipro SAIL .
as per Platt‟s 250 Global Energy Companies List for the year 2007. ONGC has produced more than 600 million metric tones of crude oil and supplied more than 200 billion cubic meters of gas. which has achieved the landmark since inception. ONGC is a flagship public sector enterprise and India‟s highest profit making corporate. Today. ONGC is 9th position in the Industry of Mining. thus fuelling India‟s economy. Revenues. has grown into a full fledged horizontally integrated upstream petroleum company. Profits and Return on Invested Capital (RIOC) for the year 2007. . Oil and Natural Gas Corporation Limited (ONGC). ONGC is the only Company from India in the Fortune Magazine‟s list of the World‟s Most Admired Companies 2007. Born as a modest corporate entity within serene Himalayan settings on 14th August 1956 as Commission. crude oil production. GLOBAL RANKING ONGC ranks as the Numero Uno Oil & Gas Exploration & Production (E&P) Company in Asia.OVERVIEW OF ONGC LTD. ONGC ranks 23rd Leading Global Energy Major amongst the “Top 250 Energy Majors of the World in the Platt‟s List” based on outstanding performance in respect of Assets.
Imbibe high standards of business ethics and organizational values. Foster a culture of Trust. Strive for customer delight through quality products and services. openness and mutual concern to make a stimulating and challenging experience for our people. Abiding commitment to safety. ONGC MISSION Dedicated to excellence by leveraging competitive advantages in R&D and technology with involved people.ONGC VISION To be a world class Oil and Gas Company integrated in energy business with dominant Indian leadership and Global presence. health and environment to enrich quality of community life. .
responsive and competent human capital". HR MISSION "To create a value and knowledge based organization by inculcating a culture of learning. accountability and responsibility To build and upgrade competencies through virtual learning.HR VISION "To attain organizational excellence by developing and inspiring the true potential of company‟s human capital and providing opportunities for growth. innovation and enthusiasm To enhance the quality of life of employees and their family To inculcate high understanding of 'Service' to a greater cause . opportunities for growth and providing challenges in the job To foster a climate of creativity. innovation & team working and aligning business priorities with aspiration of employees leading to development of an empowered. well being and enrichment". HR OBJECTIVES To develop and sustain core values To develop business leaders for tomorrow To provide job contentment through empowerment.
PERFORMANCE APPRAISAL Performance appraisal can be defined as the process of evaluating the performance of an employee & communicating the result of the evaluation to him for the purpose of rewarding & developing the employee. 4. The first step in the appraisal performance process is the determination of standard of performance based on the organizational objectives & job descriptions. Performance appraisal has to be a continuous process & feedback should be given to the employee at regular intervals. Once appraisal is finalized after discussing it with the employees. 3. . annual review & annual appraisal. THE APPRAISAL PROCESS 1. In some organizations it is measure of the result achieved & target accomplished whereas in others. it is a measure of employee efforts & behavior. Performance appraisal is also termed as performance review. The next step is the very critical step & involves communicating the result of the appraisal to the employee concerned. According to Michael Armstrong “Performance appraisal is a formal assessment & rating of individual by their managers at usually at annual review meeting. it have to be put effective use. 5.” Performance can be defined as the degree of accomplishment of tasks by an employee in his job. The next step is the actual process of measurement. The next step of performance appraisal is the measurement of employees performance against the pre-determined goal & standards. 2. However most organizations use a combination of both efforts & results.
his supplier. The employee himself is best equipped to evaluate his performance because he understands his strengths & weaknesses the best. PEERS Peer evaluation is very sensitive area as it may lead to false & unhealthy appraisal because of competition among peers. & even his subordinate play a role in assessing his performance. Hence the authority to evaluate the employees‟ performance has traditionally been with the supervisor. SUPERVISOR It is the responsibility of the supervisor to ensure that his subordinate perform their jobs well. . his customer. with the employee being given a role in evaluating their own performance. the peer/colleagues of the employee. SELF-APPRAISAL As has been discussed earlier self appraisal is the common practice today. In more recent concept like 360 degree feedback.THE APPRAISER The appraiser is that person who access the performance of a person or an employee. The organization has to reach an advanced stage of development before it can handle peer appraisal.
Ranking method. . Point allocation method.CUSTOMERS The performance of an employee has a direct & immediate impact on his customer either internal or external. Forced choice rating method. Management by objective or goal setting. 5. Check list. Work standard approach. 6. PERFORMANCE APPRAISAL METHODS 1. The Indian culture does not encourage the idea of subordinate appraisal. In service organization like banks & hotels customer feedback has become the most important tool in evaluating the employee‟s performance . 3. SUBORDINATES The concept of subordinate evaluating the performance of his supervisor yet to gain acceptance in most Indian companies. Essay appraisal. 8. 2. 7. Critical incidence method. 4. 9. Graphic rating scale.
action plan & finally. dependability. attendance etc. Behavioral anchored rating scale. This method is also used for performance appraisal of employees. where the goals are pre determined work standard. Balanced scorecard method. job knowledge. . These work standards can be set based on the average output of a typical employee in the organization or by bench marking against the work standard of a competitor in a similar business. Team appraisal. MBO is more commonly used for managers & professionals. 12. punctuality. WORK STANDARD APPROACH This method of appraisal is more suitable in a manufacturing scenario.10. timely & constructive feedback. It is also called a goal setting approach. 13. 360 degree performance appraisal. GRAPHIC RATING SCALE This method of appraisal requires the rater to rate the employee on factors like quantity & quality of work.(BARS) 11. a definite time span to achieve the goals. They check their employees daily by using this method. MANAGEMENT BY OBJECTIVE (MBO) The main aspect of MBO is clear & well defined goals.
a specific number of points which he has to distribute among his team members. the appraiser prepares a document describing the performance of the employees. the appraiser has to allocate points to different members in his team. He has at disposal . . but have different weights which are unknown to the appraiser. CRITICAL INCIDENT METHOD In this method of performance appraisal. Once the employees‟ attributes are ranked the human resource department applies the weights & arrives at a score which is the final appraisal score. Questions or guidelines are provider to the appraiser based on which analyses & describes the employees‟ performance. FORCED CHOICE RATING METHOD In this method the appraiser is required to assign ranks to different attributes are all seemingly positive. based on their performance during the appraisal period. These are recoded as & when they occur & can demonstrate either positive or negative traits or performance. POINT ALLOCATION MATHOD In this method of appraisal.ESSAY APPRAISAL In the essay appraisal method. the appraiser makes a note of all the critical incident that reflect the performance & behavior of the employee during the appraisal period.
The first two methods are used when there are only a few employees to be ranked. paired comparison & forced distribution. CHECKLIST In this method the rater has to respond „yes‟ or „no‟ to a set of questions which assess the employee‟s performance & behavior. Some of the other methods like graphic rating scale & checklist also measure the behavior based on the assumption that desirable behavior result in effective performance. whereas forced distribution method is used in large companies which have thousands of employees. BEHAVIOR ANCHORED RATING SYSTEM (BARS) BARS concentrates on the behavioral traits demonstrated by the employees instead of his actual performance. 360 DEGREE PERFORMANCE APPRAISALS A 360 degree appraisal system aims at a comprehensive & objective appraisal of employee performance. Normally weights are attached to each of these questions based on which the final appraisal score of the employee is calculated. his internal external suppliers & his subordinates. . This system reduces the subjectivity of a traditional supervisor appraisal. his peers. In a 360 degree appraisal system the employees‟ performance is evaluated by his supervisor.RANKINNG METHOD There are three commonly used methods of ranking namely alternation. his internal external customers.
team appraisal has emerged as one of the best tool for the performance management. BALANCED SCORECARD The balanced scorecard as a method of measuring performance channelizes the efforts of people to achieve organizational goals. where team work is essential for any venture to succeed.TEAM APPRAISAL In the new economy era. The implementation of balanced scorecard involve formulating a strategy & deciding what each employee needs to do to achieve the objectives based on strategy. In the team appraisal method the individual team member evaluate their colleagues in the team & provide feedback. .
The performance appraisal system seeks to evaluate: The work performance of an employee on the present job in relation to the expected levels of performance. The extent of development achieved by the employee during the period under review. To facilitate placement of employees in accordance with their suitability for different types of assignments. efficiency and suitability for the purpose of promotion.PERFORMANCE APPRAISAL SYSTEM AT ONGC Performance appraisal report is an index of an employee‟s work performance over a given period of time. It is crucial for his or her career growth as it indicates the strengths. The objectives of the performance appraisal system at ONGC are: To set norms and targets of work performance. To identify areas requiring exposure for training and development. as well as. To provide an objective basis for determination of merit. Evaluation of behavioural attributes. to monitor the work progress of employees. weaknesses. training needs. both qualitative and quantitative. nature of job being performed and problems faced in work situation. . attitudes and abilities. Evaluation of potentials for assuming higher responsibility.
b) Executives The appraisal form PAR/ACR is filled in respect of all such employees who have served for a period of at least four months in the organization during the relevant year. . All regular employees of the company.The appraisal covers: Performance during the period from 1st April to 31st march of every year. a) Non Executives.
.Procedure PAR/ACR in respect of an employee is required to be assessed by levels indicated below: By the reporting officer under whom employee is working. The reviewing officer will be of one grade above the grade of reviewing officer. The reporting officer for writing PAR of an employee of class III/IV and E-0 level category will be the executive under whose control the employee is working. As regards E-7 and above all such reports which are received from Regions/Institutes/Headquarters are maintained at Chairman-cum-managing Director‟s office. The PAR‟s in respect of class III/IV employees duly reviewed is maintained at Region/Institute/Headquarters group wise in the concerned establishment section/PAR sections. The reviewing officer will be the officer to whom the executive reports for his day to day work. Review of the PAR will be done by the executives to whom the reporting officer is responsible for his functions. By the reviewing officer. The PAR in respect of E-0 to E-6 level executives is being maintained in PAR departments at headquarters of R&P division. Accepting authority will be the executive higher than the reviewing officer at different levels depending upon the nature of the grades as per delegation of powers in PAR rules.
The performance appraisal reports of executives of E-6 level i. The performance appraisal of the executive upto E-4 level i. Deputy general manager and above will be submitted to concern functional Director for final review and acceptance.e. manager and equivalent would be reviewed by the functional head/GM/CGM not less than E-7. . chief manager and equivalent will be reviewed by the RD/ED/Nominee of the Director concerned.e.e. The performance appraisal reports of executives of E-5 level i.
Performance Appraisal Format for Executives I. A. Following are the Key Result Areas: Performance in respect to volume Quality of output Timeliness of jobs completed 40 30 30 The total of the score gained by the individual is noted and termed as P. These achievements are then rated by the individual itself and the appraiser. Self Appraisal In this section the appraisee is required to mention the tasks achieved in the appraisal period including enabling and constraining factors. III. Performance Appraisal Performance appraisal is done on the basis of Key Result Areas and a certain weightage is assigned to each. II. Personal Data This includes personal details of the individual being appraised. .
2-fair. Work done for HINDI . Scale 1 to 5 is given for (1-poor. C.B. 3-good. 5-excellent) Potential is appraised on the basis of following traits: Result oriented approach Willingness to accept challenges Diligence and reliability Initiative Professional competence Communication skills Commitment and dedication Personal conduct and discipline Leadership Inter personal relationship Total of score gained by an individual in this section is again noted and termed as Q. Potential Appraisal Potential of the candidate is appraised on the scale of 1 to 5 keeping the existing role as well as future positions in perspective. 4-very good.
3 0. Overall Grade Total score(S) is calculated as S=a*P+b*2*Q Where a & b are weightages for performance and potentials.2 0.4 0.1 0.4 b 0.D.5 0.6 .5 0.9 0.6 0.8 0.7 0. Level E1 E2 E3 E4 E5 E6 a 0. This weightage is as per the level.
The grading system A+ A AB+ B C D 95 and above 85 and above but less than 95 75 and above but less than 85 65 and above but less than 75 55 and above but less than 65 45 and above but less than 55 less than 45 .
Co.Review V. C. A. Assessment by Reviewing Officer B. Communication to executive VIII.IV. Counseling . Assessment by accepting officer Final grade with score VII. Moderation VI. Training Needs The appraisee himself mentions the training requirements which are then remarked by the appraiser.
There must be adequate explanation by the 1st and 2nd appraisers and the accepting authority for any grade assigned to the appraisee. adequate justification must be mentioned by the accepting authority. . In case this final rating is different from those of the 1st and 2nd appraiser. In the absence of adequate explanation the report will be considered incomplete and returned back to the appraisers for confirming to the directives contained in the instructions. will be the decisive grade of the appraisee executive.The final grade given by the accepting authority after detailed and due consideration to the rating by the 1st and 2nd appraisers.
RESEARCH METHODOLOGY The approach used for the study was Survey Method. manuals and the other related sources. reference books. magazines.” . DIAGNOSTIC SURVEY It was done with the help of a questionnaire to check the efficiency and effectiveness of the system. All the required information was collected from the in-house journals. PROJECT TITLE “Performance Appraisal System on the productivity of employees of ONGC Ltd . For this Literature and Diagnostic Survey were carried out: LITERATURE SURVEY Secondary sources were referred to get the basic culture and working pattern of ONGC.
Performance appraisal in the real sense can be carried out only when the employees are provided with the required amount of training. HRD helps to enhance employee‟s effectiveness and helps to achieve organizational goals. Without effective Training and Development no enterprise can claim to be giving due importance to HRD. They should be satisfied with the procedure and if they are not then it should be looked upon that what are the reasons behind it and what changes are to be brought about. In the emerging knowledge age.SIGNIFICANCE OF STUDY Human Resource Development is the basis of success of any organization. incessant learning by employees through effective Training and Development is going to be a key to survival and growth for organizations. . Now with the emergence of so-called “NEW ECONOMY”. In the unfolding economic scenario it is increasingly being realized that employees are the most precious assets of any company. The methods used by the organization should be communicated to all the employees who come under its purview. Every organization nowadays is using various methods for appraising the performance of the employees so that the real potential of the human asset can be known and utilized in the proper way. Performance appraisal has a very important aspect to it and that is development of the employees. Performance appraisal not only evaluates the work done by the employees but also tries to boost the morale and motivate them to do their best. Any investment in introducing performance appraisal techniques is worth only when the above mentioned criterion is fulfilled. the increasing role of knowledge in industry is becoming obvious.
experience. The present study identifies views of employees of different levels and disciplines. I have divided the whole sample into various groups on various criterions like age. discipline. and management level.RESEARCH METHODOLOGY RESEARCH DESIGN The present investigation is descriptive type of study undertaken to estimate the effectiveness of the performance appraisal system of ONGC Ltd. To do the better analysis these groups are further incised as Age Age less than 40 years Age between 40-50 years Age above 50 years Age not provided Experience Experience less than 10 years Experience between 10-20 years Experience between 20-25 years Experience between 25-30 years Experience more than 30 years .
E2) Middle Management(E3 – E4) Senior Management(E5 and above) .Discipline Finance Geo Sciences HR Production Technical and Engineering Managerial Level Junior Management(E0 .
. Second part consists of closed ended questions on the scale of 1 to 5.Scope of the Study The scope of the study is limited to Dehradun. Population of the Study All those persons who are working in ONGC are the population of this study. METHOD OF DATA COLLECTION PRIMARY DATA The primary data to be selected was based upon the response of the respondents to the questionnaire designed. The statistical tool used is Chi-square test in this study. Third part comprised of questions to be answered in Yes or No. SECONDARY DATA The secondary data was collected by referring through manuals. A part of Questionnaire was targeted to know the personal details of the respondents. The questionnaire consists of closed ended questions. journals and intra net. Sample Size The sample size is 100. Tools of Data Analysis The collected data has been analyzed keeping in view the objectives of the study. and the final data was analyzed systematically to achieve the desired result. web sites. .
talents & potentials Rather has the ability & courage to give constructive criticism in a friendly.Collected data at a glance Significant variables Individual feedback should be provided after the appraisal The management helps provide an atmosphere where all are encouraged foe teamwork & comradeship My superior appreciates me when I do a good job My appraiser knows my personality . skills& attributes There should be some incentives based on the individual & group performance Are you provided with the genuine feedback Do you find appraisal counseling beneficial for future developments Do you think management take a serious note of training requirements shown in the appraisal Do you want the system of 360 degree appraisal in which you can appraise your superior YES NO . firm & positive manner The employees are provided with the opportunity to respond to the feedback of the appraisal Are you rated on your competenciesKnowledge.
CHI-SQUARE Attribute Yes No Total Feedback Atmosphere Appraisal counseling Incentives 360 degree appraisal system Total 46 49 21 3 0 28 49 49 49 34 8 15 41 49 49 158 87 245 .
4 121.6 31.4 -23.6 17.4 -10.6 31.4 -17.4 17.36 302.6 -14.76 555.58 3.625 11.4 -10.36 302.96 Total (CH1) (O-E)2/E 6.6 (O-E)2 207.96 207.6 31.6 31.4 17.36 5.917 17.55 0.4 -23.4 17.56 9.4 .76 112.18 17.4 O-E 14.99 220.6 2.4 17.53 .6 -2.36 5.O(OBSERVED) E(EXPECTED) 46 49 21 34 8 3 0 28 15 41 31.76 556.4 17.76 112.33 31.
Degree of freedom = (row-1)(column-1) = (5-1)*(2-1) = 4*1 =4 Row = 5 Column = 2 Significance = 0.square = 220. .49 Chi. H1: Performance appraisal system in ONGC affects the productivity of employees.53 Variables: Performance appraisal Productivity HO: There is no relation between performance appraisal & productivity of employees.05 Table value = 9. Value is accepted.
Organization being very large an effort was made to do the tasks effectively and efficiently but more detailed study could have done by having large sample size.LIMITATIONS Due to time constraint and hectic schedule of ONGC employees some time I found difficulty in interaction with employees. Employees delayed in submitting the feedback form so it effected the time in compiling and analyzing data for findings and suggestions. Many questions were responded as “Cannot Say” due to the subjectivity of the topic and some information was not revealed due to certain reasons like being confidential in nature. .
The general opinion of the employees is that the basic purpose of the appraisal process is not fulfilled until or unless one gets to know how he has performed. .(Response in YES or NO only) Q1. Individual feedback should be provided after the appraisal. Responses YES NO 87% 13% 100 80 60 40 20 0 Yes No As of now the system of providing the appraisal feedback to every individual is not there in ONGC. However 87% of the respondents want that there should be such system. Ultimately the aim of the performance appraisal is to develop the individual through proper monitoring and feedback system.
Responses YES NO 69% 31% 70 60 50 40 30 20 10 0 Yes No Majority of the respondents feel that the management helps provide an atmosphere where all are encouraged for teamwork and comradeship. This thing is necessary because you can expect the performance only when you provide the suitable atmosphere for it. They are still of the opinion that the performance appraisal should be treated as confidential report only. It has been proved that the . Q.2 The management helps provide an atmosphere where all are encouraged for teamwork and comradeship.13% of the respondents feel that the individual feedback should not be provided. They consider that the individual feedback system will give rise to discrepancies.
Though management is not putting much efforts to do so. it is there in the system. What I feel is that the teamwork is only possible when everybody in the team or a group is willing to put in effort and this thing can‟t be enforced upon somebody. People help out each other without any expectations. .office atmosphere plays a critical role in the overall performance of the individuals and in turn of the organisation. Providing congenial environment fuel up the performance. So I would suggest to these respondents to take the plunge and rest will automatically follow and comradeship will develop. However still 31% of respondents feel that the management doesn‟t help providing an atmosphere where everybody is encouraged for teamwork. Through personal interaction I came to know the kind of environment prevailing in the organisation.
Q. This thing may appear to be very small but the fact is that this thing helps an individual to give its best. Praise is such a thing that can make the king to work provided that should be genuine one.3 My Superior appreciates me when I do a good job. . There is a difference between praise and flattery. And if this difference is not clearly understood it can prove fatal. Responses YES NO 86% 14% 100 80 60 40 20 0 Yes No 86% of the respondents responded as YES. A small token of appreciation or just a pat on the back is enough to keep that individual motivated for the next week atleast.
These things actually help both the parties. it is not genuine one.But exceptions are always there so here also 14% of the respondents don‟t feel the same.4 My appraiser knows my personality. talents and potentials. Q. talents and potentials. Responses YES NO 87% 13% 100 80 60 40 20 0 Yes No Majority of the respondents agree to the point that the appraiser knows their personality. They don‟t consider that their superiors appreciates them when they do a good job. Expecting certain level of performance . Appraiser should be aware about these things of his subordinates whom he has to appraise. Some of the respondents are of the opinion that the superior seldom appreciates their work and if at all they appreciates.
firm and positive manner. Once you are aware of the personality and talents of an individual. Q. you can take work accordingly.without knowing the caliber of the individual is not justified at all. Their say is that the appraisers hardly put any efforts to know the potential. Only 13% of the respondents feel that the appraisers are not aware of their talents and potentials.5 Rater has the ability and courage to give constructive criticism in a friendly. Responses YES NO 67% 33% 70 60 50 40 30 20 10 0 Yes No .
Therefore constructive criticism is of paramount importance.Majority of the respondents feel that the raters have the ability and courage to give constructive criticism in a friendly.6 The employees are provided with the opportunity to respond to the feedback of the appraisal. firm and positive manner. Responses YES NO 37% 63% 70 60 50 40 30 20 10 0 Yes No . Q. However there is considerably good percentage of respondents who feel that their raters are unable to do so. Some of the respondents are of the opinion that the raters hardly know how to give feedback in positive manner. At times it is necessary to scold and criticize also but that should be done in such a manner that it should not discourage the individual.
7 Are you rated on your competencies. However 37% respondents says that they can respond to the feedback. As such there is no procedure to respond to the appraisal result in the current performance appraisal system of ONGC. and attributes? Responses YES NO 72% 28% 80 70 60 50 40 30 20 10 0 Yes No . According to them they are not provided with the opportunity to respond to the appraisal feedback.Knowledge. The reason being that the result itself is not shared with the individual appraised.Majority of the respondents don‟t agree with the above statement. skills. Q. Why some people then think that they do get the opportunity to respond to the appraisal result? This is because the system in ONGC is such that in case an individual gets very poor rating or very excellent rating then individual counseling is provisioned to confirm the ratings and the reason behind such ratings.
which I think covers knowledge as well as skill part of an individual. However 28% deny the same. Q. skills and attributes.72% respondents believe that they are rated on their competencies. In the appraisal sheet itself there is one section called potential appraisal.8 There should be some incentives based on the individual and group performance? Responses YES NO 88% 12% 100 80 60 40 20 0 Yes No . In this section the appraisee is rated on the various traits keeping the existing role as well as future positions in perspective.knowledge. One of the traits is Professional Competance.
Q. A slight differentiation should be there for the performer and non performer.Majority of the respondents want that there should be some incentives based on the individual and group performances. Further incentives on group performance increases the group cohesiveness and boost up the integrity. They agree to the point that a star performer and a low performer of same managerial level is getting paid exactly the same. This sometimes acts as a demotivating factor for the star performer as well.9 Are you provided with the genuine feedbacks? Responses YES NO 27% 73% 80 70 60 50 40 30 20 10 0 Yes No T .
Q.10 Do you find appraisal counseling beneficial for future developments? Responses YES NO 77% 23% 80 70 60 50 40 30 20 10 0 Yes No . Majority feels that they are not given genuine feedbacks. But there are 27% people who think they are provided with the genuine feedback.he chart clearly shows the response of the respondents. They are of the opinion that if they are provided with the genuine feedback then they can improve their performance manifolds. otherwise also they are not provided with the routine feedback on their performance. On the basis of personal interaction I can say that people are not satisfied with the kind of feedbacks they get. In that case I would say that they are lucky to have those sort of superiors. They say that the appraisal result is confidential but apart from the appraisal feedback.
. But the thing is that the system of providing counseling in ONGC is very rare phenomenon. So my point is how come majority of the respondents have experience the counseling sessions. No doubt they are beneficial for the future development. I have come across the people who said that they don‟t know about it as they haven‟t experience it and they have left this question unanswered. But here I disagree. I have already mentioned that it is provided only and only if the appraisal result falls in extreme limits either very low or very high ratings.11 Do you think management take a serious note of training requirements shown in the appraisal? Responses YES NO 38% 62% .Again the majority is in the favour of the statement. Most of the respondents find appraisal counseling beneficial for the future developments. Not that I don‟t consider that the counselings are beneficial. rather they should be.
In performance appraisal sheet every individual has to mention the training requirements which is then assessed by the reviewing officer and then by accepting officer. In my opinion if this thing is mentioned in the performance sheet then it should be taken care of properly.70 60 50 40 30 20 10 0 Yes No 38% respondents feel that the management takes a serious note of training requirements shown in the appraisal. I met one employee having 20 years of experience in ONGC who said that he had been filling the requirements every year but in the span of more than 20 years he happened to get the training twice only. At the same time 62% respondents are of the opinion that the management doesn‟t pay any heed to the training requirements shown in the appraisal sheet. But the respondents say that it is mere formality. . Once it is over the requirements are sent to the Academy.
12 Do you want the system of 360◦ degree appraisal in which you can appraise your superior? Responses YES NO 73% 27% 80 70 60 50 40 30 20 10 0 Yes No In 360o feedback system the performance information is collected from multiple parties including one‟s subordinates. peers. As of now in ONGC only superior appraise the subordinate. They think that this system will give rise to disagreements and one may criticize the boss freely without any basis. Majority of the respondents want that the 360 degree appraisal system should be introduced. However 27% respondents don‟t want this system to be adopted. supervisors and customers or clients. In their opinion this system will reveal the truth about the managers.Q. .
Appraisers are usually unbiased. Superior helps them set and achieve meaningful goals. The management is serious about the appraisal process. The appraisal process provides them an opportunity for development and growth. Raters know how to conduct the appraisal. Employees are not able to know their actual position after the appraisal. Greater weightage is given to the recent performances. There are fixed standards to evaluate the performance but those are not clear due to the subjectivity of the topic. This makes the environment amiable and congenial. . employees are unable to identify the performance gaps in order to prepare for the future. Relations with the superior affect the evaluation. The system being not so transparent. The parameters used to appraise the potential are ample. Performance appraisal sheet is lucid and easy to understand and fill.MAJOR FINDINGS Performance Appraisal System in ONGC is not transparent. Individual feedback is not provided. Superior-subordinate relations are good. Raters are not that much concerned about the varied needs of people at levels of experience and background.
. Employees are being rated on their knowledge and skills. Employees are not provided with the genuine feedback. Most of the employees want that 360o feedback system should be introduced. Appraisal counseling is considered beneficial for future developments. Employees don‟t have the opportunity to respond to the appraisal result. The management helps provide an atmosphere where all are encouraged for comradeship and teamwork. firm and positive manner. The appraisers are generally aware about their subordinates and their talents and potential. Most of the raters have the ability to give constructive criticism in a friendly. Management doesn‟t bother much about the training requirements mentioned in the appraisal sheet. Majority of people want that there should be some incentives based on performance. Appreciation is provided for the good job done.
So that they may be in a position to know where they stand exactly. This can be achieved by creating awareness among the employees regarding each and every aspect of the appraisal process.RECOMMENDATIONS The performance appraisal system of ONGC is of good quality. the PMS system is refined further. Further they should be shown the appraisal result. So that they can identify their performance gaps and prepare accordingly for the future. This will increase the level of transparency and the employee will feel satisfied as he will have an opportunity to respond at that very moment itself. On the basis of the analysis of responses and findings I have reached to some conclusions. They should be made aware about the standards and the criterions for evaluation. The genuine feedback should be provided to the employees. The appraiser and appraisee should sit together and then the appraiser should rate the appraisee for his performance and should state the reason for the same. The system should be made more transparent. . With the introduction of new ePAR system. So taking them into consideration few steps may be considered to strengthen the performance appraisal system.
Management should take serious note of the training requirements shown by the individual in the appraisal sheet. This thing creates a sense of healthy competition among employees which boost up the growth of the individual as well as the organization. Raters should consider the specific requirements of the people to do the job. Training plays a vital role in the development of an individual and helps improve the performance. The general belief among employees is that the relations with the superior affect the evaluation process. They should help them out by providing necessary skill set to do the job more efficiently. The raters should take note of the critical performance incidents of an individual so that at the end of the year it should not be that only the recent performances are given more weightage. For this individual feedback should be provided. Employees should have the opportunity to respond to the appraisal result. This is not good as this creates a sense of favoritism in the organization. . They should set the goals as per the potential and caliber of the individual. No doubt one should be in pleasing terms with the superior but that should not affect the evaluation at all. For this the raters should always consider the performance as the only measure for the evaluation. Some incentives should be introduced on the performances basis.
Individual feedback should be provided after the appraisal.Answer the following questions in Yes or No Q1. Yes No The management helps provide an atmosphere where all are encouraged for teamwork and comradeship. Yes No Q3. Yes No My appraiser knows my personality. My Superior appreciates me when I do a good job. Yes No Rater has the ability and courage to give constructive criticism in a friendly. Q5. Yes No . firm and positive manner. Q2. talents and potentials. Q4.
Do the variables in appraisal form cover your actual performance. and attributes? Yes No There should be some incentives based on the individual and group performance? Yes No Are you provided with the genuine feedbacks? Yes No Do you find appraisal counseling beneficial for future developments? Yes No Do you think management take a serious note of training requirements shown in the appraisal? Yes No Do you want the system of 360◦ degree appraisal in which you can appraise your superior? Yes No Q12. Do you think your appraisal form reflects your true performance? Q15. Do you want more open-ended questions in the appraisal form? Q14. Q9. Do you think that your appraisal can be more genuine if your r . skills.Knowledge. contribution to the organization and potential for improvement? Q13. Q8. The employees are provided with the opportunity to respond to the feedback of the appraisal. Yes No Are you rated on your competencies. Do you think you have sufficient control over your work environment? Q16. Q11. Q10.5 Q6. Q7.Q.
com/india-petroleum-industry/ http://www.ongcindia.com Internet http://business.mapsofindia.com/ .BIBLIOGRAPHY Ongc.
Are you provided with the genuine feedbacks? ➢ Yes No Q1. Yes No Q1. skills.Do you want the system of 360◦ degree appraisal in which you can appraise your superior? . Are you rated on your competencies. Do you think management take a serious note of training requirements shown in the appraisal? ➢ Yes No Q1.Knowledge.5 ➢ The employees are provided with the opportunity to respond to the feedback of the appraisal. There should be some incentives based on the individual and group performance? ➢ Yes No Q1. and attributes? ➢ Yes No Q1.Q. Do you find appraisal counseling beneficial for future developments? ➢ Yes No Q1.
ongcindia. Do you think that your appraisal can be more genuine if your r BIBLIOGRAPHY • • Ongc.com Internet http://business. Do you want more open-ended questions in the appraisal form? Q14. contribution to the organization and potential for improvement? Q13. Do the variables in appraisal form cover your actual performance. Do you think your appraisal form reflects your true performance? Q15.➢ Yes No Q12.mapsofindia. Do you think you have sufficient control over your work environment? Q16.com/ .com/india-petroleum-industry/ http://www.