A

RESEARCH PROJECT REPORT

ON

Management of human resources and industrial re

Appraisal
Submitted for the partial fulfillment towards the award of the degree
MASTER OF BUSINESS ADMINISTRATION
OF MAHAMAYA TECHNICAL UNIVERSITY
Submitted by : Vaishali

Verma

Roll no: 1013370057

(Batch:2010-2012)
Under the supervision of:

Dr. KUNWAR VIKRAM SINGH

Noida Institute Of Engineering & Technology(NIET)

19, Knowledge park-II, Institutional Area, Greater Noida
Gautam Buddha Nagar (UP), India-201306

DECLARATION
Myself VAISHALI VERMA student of MBA here by declared that the Research Project Report entitled
STUDY OF HR PRACTIES AND PROCESS OF PERFORAMANCE APPRAISAL is completed
and submitted under the guidance of Dr. K.V.SINGH ,Assistant (NIET, Greater Noida) is my original
work. The imperial finding in this report is based on the data collected by me. I have not submitted this
project report to Mahamaya Technical University or any other University for the purpose of compliance of
any requirement of any examination or degree.
DATE:

VAISHALI VERMA

PLACE:

MBA 4th sem

ROLL NO:1013370057

ACKNOWLEDGEMENT
An individual alone cannot do project of this scale. I take this opportunity to express my acknowledgement
and deep sense of gratitude to the individuals for rendering valuable assistance and gratitude to me. Their
inputs have played a vital role in success of this project.
I express my sincere thanks to my project guide Dr.K.V.Singh, Assistant (NIET), Dr. Dilip Singh, Head
of Department-MBA(NIET) for their generous support, constant direction and mentoring at all stages of
project.
I take this opportunity to thank all persons, customers who spared their precious time to provide me with
valuable inputs for project without which it would have not been possible.
I firmly believe that there is always a scope of improvement.
I welcome any suggestions for further enriching the quality of this report.

Vaishali Verma
MBA (4th sem)

Date:

1013370057

TABLE OF CONTENT
CHAPTER 1: INTRODUCTION

Introduction

Methodology

Limitations

10

CHAPTER 2: A PROFILE OF ORGANISATION

History

12

Product

15

Vision and Mission

19

CHAPTER 3: THEORITICAL FRAMEWORK OF TOPIC

Meaning

21

About the HR Practices

23

About the project

23

Definition of HRM

25

Research Methodology

58

CHAPTER 4: ANALYSIS AND INTERPRETATION

Analysis

Interpretation

62-70

CHAPTER 5: CONCLUSION AND FINDINGS

Key Learning of the project

Observations and Findings
Recommendations
Limitation

73
74
75
76

BIBLIOGRAPHY

78

ANNEXURE

79-85

CHAPTER 1
INTRODUCTION

CHAPTER 1
1.1 INTRODUCTION

The importance of personnel management is being increasingly realized in industrial and nonindustrial organization both in India and abroad. The realization has come about because of
increasing complexity of the task of managers and administrators. In most organizations the
problems of getting the competent and relevant people, retaining them, keeping up their motivation and
morale, and helping them to both continuously grow and contribute their best to the
organizations, are now viewed as the most critical problems.

So with this reference the project titled Study of Study of HR practices

&

process

of Performance Appraisal has been conducted, based on the primary research in Ultratech Cement
Limited, RMC Division has been prepared to get a better insight into the management practices
adopted by UTCL with reference to HR Policies prepared by the HR department in organization. It
emphasizes on the importance of a clear cut organization structure and culture to avoid any
confusion in order to achieve maximum result with minimum resources.

The project is aimed to cover maximum knowledge of the HR practices followed in the
organization and how the performance is evaluated of employees, what primary factors are
considered , how data is maintained and finally the evaluation done. Here the HR practices of the
company have been explained to understand how the company follows these practices and the
performance appraisal process adopted. The practical knowledge has been gained mainly by
observing all the activities taking place in the H.R. department. This is a brief study done to have
understanding of the subject H.R., how it is practically implemented, why it is necessary, its
implications & the benefits.

With reference to the HR Practices brief knowledge has been gained how the Recruitment cycle
functions, Selection done, Training Calendar prepared, what does compensation & cost to
company means and the steps of performance appraisal.

1.2 METHODOLOGY
Research Methodology is the science of methods for conducting research work
Research methodology is a systematic way, which consists of series of action steps, necessary to
effectively carry out research and the desired sequencing to these steps.

Formulating the objective of the study

Designing the methods of data collection

Selecting the sample plan

Collecting the data

Processing and analyzing the data

Reporting the findings

Research Design
The research design specifies the methods and procedures for conducting a particular study.

Non probability

The non -probability respondents have been researched by selecting the person who help the investors
in doing the trading in trading market. who act as a mediator between customer and seller. i.e broker or
sub broker.
A research design is the arrangement of conditions for collection and analysis of the data in a manner
that aims to combine relevance to the research purpose with economy in procedure. Research design is
broadly classified into three types as

Exploratory Research Design

Descriptive Research Design

Causal Research Design

For the purpose of the present project the descriptive research design can be said to be most effective
and most suitable, because in descriptive concerned with describing the characteristics of particular
individual, or of a group. This research lay great stress on detailed study of the express characteristics of
the problem.

The objectives of the study have restricted the choice of research design up to descriptive research
design. This research will help the firm to know the investors perception and the factors affecting their
investing behaviour"

1.3 LIMITATIONS
9

The time period is short

Employees are rarely agree to disclose their details.

It is difficult to meet employees ,because they were mostly busy in their jobs

Sample size is very low

Employees are unaware about the various terminologies.

Employees give not answer of some of question.

10

CHAPTER 2
A PROFILE
OF THE
ORGANIZATION

CHAPTER 2
11

2.1 HISTORY

Aditya Birla Group is India's first truly multinational corporation. The group has an annual
turnover of US$ 24 billion and has over 1,00,000 employees belonging to over 25 different
nationalities on its rolls.
Aditya Birla Group has its presence in 20 countries

India, Thailand, Laos, Indonesia, Philippines, Egypt, Canada, Australia, China, USA, UK,
Germany, Hungary, Brazil, Italy, France, Luxembourg, Switzerland, Malaysia and Korea.

Globally the Aditya Birla Group is:

A metals powerhouse, among the worlds most cost-efficient aluminium and copper producers.
Hindalco, from its fold, is a Fortune 500 Company. It is also the largest aluminium rolling
company and one of the 3 biggest producers of primary aluminium in Asia.

In India:
A premier branded garments player.
The 2nd largest player in viscose filament yarn.
The 2nd largest in the Chlor-alkali sector.
Among the top 5 mobile telephony companies.

12

Hindalco:
It has established been in 1958, Hindalco deals in Aluminium and Copper and is an industry leader in
both. Hindalco is the world's largest aluminium rolling company and one of the biggest
producers of primary aluminium in Asia. Its copper smelter is today the world's largest custom
smelter at a single location. In 2007, Hindalco acquired Novelis and in the process became the
world's largest aluminium rolling company and one of the biggest producers of primary aluminium
in Asia, as well as India's leading copper producer.

Aditya Birla Nuvo: Aditya Birla Nuvo is a diversified business conglomerate with interests in
viscose filament yarn (VFY), carbon black, branded garments, fertilizers, textiles and insulators.
Aditya Birla Nuvo, through its subsidiaries and joint ventures has made forays into life insurance,
telecom, business process outsourcing (BPO), IT services, asset management and other financial
services.

Ultra Tech Cement: The Groups cement business is under both Grasim and UltraTech cement.
Together the two companies under the group account for a substantial share of the cement market in
India.

UltraTech cement comprises the erstwhile cement business of L&T which was acquired by the
group.Ultra Tech Cement manufactures and markets Ordinary Portland Cement, Portland Blast
Furnace Slag Cement and Portland Pozzolana Cement. It is the country's largest exporter of
cement clinker. Its export market includes countries around the Indian Ocean, Africa, Europe and the
Middle East.
13

GRASIM I N D U S T R I E S LIMITED is the flagship company of Aditya Birla Group. Grasim

itself is a multi-product company with cement being the major area of focus. Now a day the
cement division of the Grasim industries Limited works under the banner of the Ultratech Cement
limited (UTCL). In August 1998, Grasim acquired the well-known Dharani Cements Ltd situated at
Reddipalayam, Perambalur District. Soon after the

acquisition, Grasim embarked on a most

prestigious project of one million top capacity cement plant at the existing locations.

14

2.2 PRODUCT
READY MIX CONCRETE
Concrete is a hardened building material created by combining a binder i.e. cement (commonly
Portland cement), aggregate (generally gravel and sand), water and admixtures. Although people
commonly use the word cement as a synonym for concrete, it is only one of several components in
modern concrete. As concrete dries, it acquires a stone-like consistency that makes it ideal for
constructing roads, bridges, water supply and sewage systems, factories, airports, railroads,
waterways, mass transit systems.
Concrete is used more than any other man made material on the planet. It was in 1824, when
Joseph Aspdin and Isaac Charles Johnson refined synthetic cement that Portland cement came into
existence. However, it was not widely used until World War II, when several large docks and
bridges were constructed.
Today, different types of concrete are categorized according to their method of installation. Ready or
pre-mixed concrete is batched and mixed at a central plant before it is delivered to a site. This type
of concrete is sometimes transported in an agitator truck and is also known as transit-mixed concrete.
Shrink-mixed concrete is partially mixed at the central plant and its mixing is then completed en
route to the site.
The making of concrete is a science as well as an art. Science because the right proportions of all the
ingredients as per the standard Bureau of Indian Standards (BIS) code assures the desired strength
and durability. And an art because it is not just the accurate proportioning which determines
the quality of concrete, but the way it is mixed, placed, compacted, cured and protected also play a
great role.
15

UltraTech Concrete makes good concrete better because the company takes extra care to make sure
it is perfect both ways proportion wise and handling wise. To ensure quality, each and
every sample of concrete passes through stringent tests in fresh and hardened state to ensure
strength, durability and performance.

How does UltraTech Concrete make good concrete better?

Right from selecting the raw materials to batching and mixing, transportation, placing of concrete till
testing of concrete UltraTech ensures flawless operation in every stage. Clearly, it's all about putting
together the right ingredients for that perfect recipe.

Cement
Fresh cement, protected from weathering conditions and influence of external environment such as air,
moisture etc., is an important ingredient of concrete. UltraTech Concrete plant uses fresh cement
directly procured from the cement plants through cement bulkers, which in turn pump it directly into
the concrete silos thus protecting it from the external environment.

Coarse aggregates

Coarse aggregates free from clay, weeds and other organic materials, cubical or rounded with a
combination of different sizes and not elongated or flaky ensure proper strength of the concrete and
make it non-porous. These coarse aggregates are a vital ingredient of good concrete. UltraTech
Concrete directly sources the aggregates from selected and approved suppliers, tested as per BIS
16

for size, shape, gradation, impact value and crushing value etc.

Fine aggregate

Sand, the fine aggregate used in concrete must be free from silt, clay, salts and organic materials to
prevent shrinkage cracks, which affect the concrete quality and durability

UltraTech Concrete directly purchases sand from selected and approved suppliers tested for
moisture content. To maintain the correct water-cement ratio, UltraTech Concrete plants use
moisture sensors and an automatic water correction procedure.
Water
Potable water, free from impurities such as oil, alkalies, acids, salts, sugar, organic materials is
ideal for concrete. UltraTech Concrete uses water tested at frequent intervals and uses water
purifiers whenever necessary.
Admixture

Admixtures used in concrete during mixing ensures its workability (the ease of placing of concrete in
moulds) and the setting time is carefully chosen from reputed companies. The workability is
measured for every batch through the slump cone and is controlled using a scientific method of
dosing. UltraTech Concrete is equipped with computerized batching and mixing plants to strictly
monitor the quality of the concrete. It uses a computerized recipe for the raw mix design (cement :
sand : coarse aggregate : water : admixture) and quantities of raw materials are weighed
automatically as per the design mix. The water-cement ratio, very important to satisfy the strength and
17

durability criteria of concrete, is pre-designed through a scientific mix design as per the BIS
standards and kept constant throughout to maintain the consistency in quality for a particular mix.
Mixing is generally done through high efficiency pan mixers (machine mixers / turbo mixer) to
ensure uniform and consistent quality concrete.

Transportation
The transport of concrete from its place of mixing to the delivery point is very critical, as there is
possibility of the concrete drying out and losing its workability and plasticity.

UltraTech Concrete transports concrete from its ready mix concrete plants to the site through transit
mixers. Further, the concrete is pumped to the actual point of concreting using high efficiency concrete
pumps, thus maintaining the homogeneity of the concrete throughout the transit till the final deposition.
Placing the concrete is expedited scientifically by specialized delivery
trucks. Qualified and experienced engineers monitor the entire operation.

It is anchored by an extraordinary force of 100,000 employees, belonging to 25 different nationalities.

In India, the Group has been adjudged The Best Employer in India and among the top 20 in Asia
by t he Hewitt-Economic Times and Wall Street Journal Study 2007. Over 50 per cent of its revenues
flow from its overseas operations.
Beyond business the Aditya Birla Group is: Working in 3,700 villages
Reaching out to seven million people annually through the Aditya Birla Centre for Community
Initiatives and Rural Development, spearheaded by Mrs. Rajashree Birla
Focusing on: health care, education, sustainable livelihood, infrastructure and espousing social cause
18

2.3 VISION AND MISSION

Ultratech Cement Ltd is having its own vision, mission and values.

Vision of the company:

To be a premium global conglomerate with a clear focus on each business.

Mission of the company:

To deliver superior value to the customers, shareholders, employees and society at large.

Values of the company:

People contribute when they relate to an organization and they relate, when they understand the
organization. People understand an organization through its values by experiencing the culture that
values create and by using the systems and processes that values define. In large organizations, such
shared understanding cannot be created through leadership of individuals alone; it requires
leadership

of principles, of beliefs, of conviction. Integrity, Commitment,Passion,

Seamlessness, Speed. These together constitute what they call their Value.

19

CHAPTER 3
THEORITICAL
FRAMEWORK OF TOPIC

20

CHAPTER 3
3.1 MEANING
HR PRACTICES
The success of any business depends as much on appropriate, effective, well-communicated, HR and
business practices as it depends on meeting the requirements of mandated laws and
regulations. In fact, good planning and the development of effective practices make regulatory
compliance much easier.
HR practices helps in increasing the productivity and quality, and to gain the competitive
advantage of a workforce strategically aligned with the organizations goals and objectives.

KPI's FOR HR PRACTICES

Some of the key performance indicators for Human Resources include but are not limited to the
following.
Employees clarity on HR policies
Employees clarity on roles, responsibilities and expectations
Development of qualitative staff
Number of HR issues arising for which there are no clear policies and guidelines
Competitiveness of compensation structure relative to industry benchmark
Usefulness and accuracy of compensation survey
Lead time to respond to staff welfare issues
Employees assessment of promotion criteria and process (clarity, fairness)
Measurement of HR policy violation
Average time required to fill vacancies
21

 Proportion of training programs resulting in productivity improvement

Staff attrition rate
Understanding / Clarity of the Organizational philosophy
Outline Internal capabilities and identify gaps on skills-competencies-behavioral aspects
Prepare HR strategic Objectives and bring in clarity as to how the HR strategy supports the
organizational strategy
Develop KPI's for each of the strategic objectives.
Track and measure performance
Human Resources Best Practices

The best practices in the management of human resources are the ones which optimize a workforce so
that it can not only get work done, but also ensure a greater level of efficiency, timeliness and quality
as it accomplishes increases productivity overall.

Hence the job of the best practices human resources firm is to make sure that these benefits and pay
scales meet the companys budget while remaining attractive and competitive enough to pull in the
very best talent possible. We should know that these figures put the company in a good light while also
presenting themselves as engaging and competitive for companys recruitment efforts.

22

3.2 OBJECTIVES OF HR PRACTICES

The main objective of HR Practices is to differentiate the organization from its competitors by
effective and efficient HR Practices. By following this, the organization does its whole work
process. The objective of HR Practices is to increase productivity and quality, and to gain the
competitive advantage of a workforce strategically aligned with the organizations goals and
objectives.

As The Transparent HR practices can reduce attrition, BecauseTransparent HR practices ensure continuous business growth in every organization.
It gives the suitable working environment to the employees.

The success of company motivates the employees of organization to continue relationship with it.
As all the employees Perks chart has been mentioned according to their designation in the HR
practices, it helps the employees to know what their perks charts are. So it creates a transparency.
3.3 ABOUT THE PROJECT
As we know the whole function of HR department depends upon the HR Practices of the
organization. The HR management is done according to the HR Practices of the company. Which
things to be done and which things should not be done depend upon this only. It also helps the
organization to achieve the target of the organization.

The HR policies of the organization have been mentioned in the HR Practices. All the rules &
regulations for the employees have been also mentioned in this. All the welfare of the employees
23

processes is also mentioned in this.

So the study of the HR Practices means basically the brief study of all HR functions in the
organization. I believe the HR Practices is a vital part of an organization, which helps the
organization to achieve the goal of the organization.

All companies are having their HR Practices but the company who is having the best, is the most
successful company among its competitors. So the company can get success within its competitors by
applying best, effective HR Practices.
The main objective of the project is
To understand the HR practices followed & Process of Performance Appraisal.
To know what are the uses of HR practices for any organization.
How these HR Practices help any organization to know its stand in the market and to be
competitive by implementing good HR Practices for their employees.
To understand how the organization would achieve its goals by implementing good HR
Practices.
To understand the work culture of the organization.
HR function is very important in every organization. It helps the organization to manage not only the
people of the organization but to manage all the working processes in it also. HR is

management function that helps managers to recruit, select, train and develop members for an
organization. Obviously HR is concerned with the peoples dimensions in organizations. HR refers to
set of programs, functions, and activities designed and carried out.
24

HR PRACTICES ULTRATECH CEMENT(RMC DVISION)

Effective and Efficient HR practices are very much important for every organization. So, UTCL
has also its HR Practices, which helps it a lot to achieve the targets.

Human Resource Management initiatives in any Organization endeavor to change, redefine,

revisit, renew, reinvent, revitalize & restructure the Organization architecture. This is effectively
done with the help of alignment & integration of HR policies & strategies with business goal &
objectives.

3.4 DEFINITION OF HRM

HRM is concerned with the people dimensions in management. Since every organization is made
up of people, acquiring their services, developing their skills, motivating them to higher levels of
performance and ensuring that they continue to maintain their commitment to the organization are
essential for achieving organizational objectives.
HRM is planning, organizing, directing and controlling of the procurement, development,
compensation, integration, maintenance and separation of human resources to the end so that
individual, organizational and social objectives are accomplished.

The HR Practices of Ultratech Cement Ltd(RMC Division) are as follows 1. Recruitment and Selection
RECRUITMETIt is a process to discover the sources of manpower to meet the requirements of the staffing
schedules and to employ the effective measures for attracting that manpower in adequate numbers
to facilitate effective selection of an efficient workforce.
25

Edwin B. Flippo has defined it as the process of searching for prospective employees and
stimulating them to apply for jobs in the organization.

OBJECTIVES OF RECRUITMENT
To attract people with multi-dimensional skills and experiences that suti the present and
future organizational strategies,
To infuse fresh blood at all levels of the organization,

To develop an organisational culture that attracts competent people to the company,

To search for talent globally and not just within the company,

To design entry pay that competes on quality but not on quantum,

To anticipate and find people for positions that do not exists yet.

PROCESS
Finding out the requirement (hiring vs. exit), upcoming vacancies, kind of employees needed.
Developing suitable techniques to attract suitable candidates.
Stimulating as many candidates as possible.

Factors Affecting Recruitment:

26

INTERNAL FACTORS

EXTERNAL FACTORS Employers brand

Socio-economic factors Companys pay

package

Supply & Demand factors Quality of work

life

Employment Rate Organisation culture

Labour market conditions

Career planning & growth

Political, Legal, Governmental factors

Companys size
Companys products, services
Role of trade unions
Cost of recruitment
SOURCES OF RECRUITMENT

INTERNAL SOURCES

EXTERNAL SOURCES

Present employees

Campus Recruitment

Retired employees

Private employment consultant

Dependent of present

Data Banks Employee Referrals Casual

Applicants Trade Unions

Walk-ins
Head Hunting
Mergers & Acquisitions

It helps in translating Business Strategy into people requirements. A combination of internal

27

recruitment, campus recruitment, and executive search is leveraged to meet up to the changing
needs of the organization.
In todays rapidly changing business environment, organizations have to respond quickly to
requirements for people. Hence, it is important to have a well-defined recruitment policy in place,
which can be executed effectively to get the best fits for the vacant positions. Selecting the wrong
candidate or rejecting the right candidate could turn out to be costly mistakes for the organization.

2.Selection
It is one area where the interference of external factors is minimal. Hence the HR department can
use its discretion in framing its selection policy and using various selection tools for the best result.
Recruitment of staff should be preceded by:
An analysis of the job to be done (i.e. an analytical study of the tasks to be performed to determine
their essential factors) written into a job description so that the selectors know what physical and
mental characteristics applicants must possess, what qualities and attitudes are desirable and what
characteristics are a decided disadvantage.

Effectively, selection is 'buying' an employee (the price being the wage or salary multiplied by
probable years of service) hence bad buys can be very expensive. For that reason some firms (and
some firms for particular jobs) use external expert consultants for recruitment and selection.

Equally some small organizations exist to 'head hunt', i.e. to attract staff with high reputations
from existing employers to the recruiting employer. However, the 'cost' of poor selection is such
that, even for the mundane day-to-day jobs, those who recruit and select should be well trained to
judge the suitability of applicants.
Outsourcing is also done through consultancies by mentioning the requirement, number and
time.
28

Where the organization does its own printed advertising it is useful if it has some identifying logo
as its trade mark for rapid attraction and it must take care not to offend the sex, race, etc.
antidiscrimination legislation either directly or indirectly. The form on which the applicant is to
apply (personal appearance, letter of application, completion of a form) will vary according to the
posts vacant and numbers to be recruited.
Interviewing can be carried out by individuals (e.g. supervisor or departmental manager), by
panels of interviewers or in the form of sequential interviews by different experts and can vary

3. Performance Management System

It is a structured method of formally and objectively evaluating employees performance with
respect to their objectives. It addresses the issue of an employees development by providing them
with structured and in-depth analysis of strengths and areas of improvement. It provides with input
for annual increments, training and development.
For an organization the aim should not be just to have the best people, but also to retain them and
get best out of them.
Employee Performance management includes planning work and setting expectations, developing
the capacity to perform, continuously monitoring performance and evaluating it.
Most organizations focus on an annual evaluation process for employees and call that Performance
Management. However, annual evaluations are often subjective and can lack specific
measurements and supportive data to help the employee truly improve their behavior.
Simply putting, a Performance Management System is essential to the success of any organization
because it influences the effort expended by employees, which in turn, drives bottom-line business
results. Furthermore, the Performance Management System helps an organization identify, recruit,
motivate, and retain key employees.
29

An effective Performance Management System should achieve the following:

1. Review the employment cycle of every employee,

2. Beginning with the recruiting process,
3. Employee development,
4. Ending with effective exit interviews.
5. Employees knowledge, skills, and abilities with the organization's human capital needs and
business objectives.
6. Provide managers and employees with the tools necessary to focus on short-term and longterm goals that contribute to both career and organizational support.
7. Support the organization in developing and sustaining a culture that recognizes and rewards
individual contributions and team performance.
8. Promote a work climate that requires employees to remain flexibly focused. For
instance, employees can manage current tasks and unit goals while keeping pace with, and
adapting to, change in the work environment.
HR Performance Management System can be performed in three steps:
* Needs Analysis
*Identifying Competencies
*Development of effective Performance Management System.

PURPOSE
For Administration30

Document HR decisions with regards to performance & its related issues.

Determine promotion of employees.

Determine increment in pay of employees.

Determine transfer & change in job assignments.

Determine retention or termination.

Decide on layoffs.
Decide need for training
Decide salary & related issues.

For Development Provide performance feedback to all concerned.

Identify individual skills, core competencies, strength & weaknesses.
Assist employees in setting goals.
Identify training needs.
31

Method employed Rating & Contribution

Management by Objectives (MBO)Advanced by Peter F. Drucker, way back in 1954. During last decade about 50 organisations have
adopted MBO in work settings.
MBO is a process whereby superior & subordinate managers of an organization jointly identify its
common goals, define each individuals major areas of responsibilities in terms of results expected
of him & use these measures of guides for operating the unit & assessing the contribution of its
members.
The MBO focuses attention on participatively set goals that are tangible, verifiable& measurable.
The superior & subordinates jointly determine goals to be considered during appraisal period &
what level of performance is necessary for subordinates to satisfactorily achieve specific goals.
During performance appraisal period the superior & subordinates update & alter goals as necessary
due to changes in business environment.
If not achieved identify reasons for deviation.

SYSTEM of Performance Appraisal

a)

Establish Performance Standard.

b)

Communicate standard & expectation to employees.

c)

Measure actual performance, by following instructions.

d)

Adjust actual performance due to environment influence.

e)

Compare actual performance with set standards & find out deviations.

f)

Suggest changes in job analysis & standards if necessary.

32

g)

Follow up

PROBLEMS Rating biases Error of central tendency.

Personal Prejudice.
Recency effect.
33

Mainly the performance management of UTCL is done by online system includes the following
basic processes
1.

Annual goal setting

2.

Mid year review

3.

Annual performance review

1.Annual goal setting

In the month of April/May every year, after the annual planning and budgeting rounds, all teams
identify their KRAs and goals for the forthcoming financial year. This process occurs by offline.
Then the employees fill their goal setting document in the Poornata system, listing the KRAs,
Goals, Measurement Criteria, Assigning Weightage and due date for completion of specific goals
as already discussed offline.
Then they notify the same to their manager/immediate supervisor and await
approval.
The manager recommends any changes if required or else approves the goals set in the
document. The approval of the goals set by the managers completes the goal setting process.
The approved documents will be then available to the employees as well as their managers for
the reference throughout the year. These documents can also be viewed by managers.

2. Mid Year Review:

Mid year review of goals set at the beginning of the financial year held on the months of
October/November every year.
The mid year review generally initiated by the 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 revised or updated.
34

The mid year review is also an opportunity for the manager and his team members to identify
and discuss about any performance issues and initiate corrective action for the same.
The mid year review does not entail any ratings.

3. Annual Performance review

The annual performance reviews against goals set and achieved held during the months of AprilMay every year.
The employee completes his self-review /appraisal against goals set, online in the Poornata
system and submits the same to his manager for review.
The manager then discuss the performance of the employee with him/her off-line, give him
feedback on his performance and capture his own comments and performance ratings against goals
and overall ratings in the managers evaluation form.
The manager also discusses the employees performance as well as rating with the managers
manager (reviewer) and sends the document to the HR department for further processing.

4. Training and Development

The needs of individual are objectively identified & necessary interventions are planned for
identified groups, which get rolled out in a phased manner through training calendar.
The training and development program is charted out to cover the number of trainees, existing staff
etc. The programs also cover the identification of resource personnel for conducting development
program, frequency of training and development programs and budget allocation. Training and
development programs can also be designed depending upon job requirement and analysis.
Selection of trainees is also facilitated by job analysis.
The company has a strong focus on manpower training according to their requirements. The
internal training department aims at improving the skill sets relevant to the work profile of
employees.
35

The design of the training program can be undertaken only when a clear training objective has
been produced. The training objective clears what goal has to be achieved by the end of training
program i.e. what the trainees are expected to be able to do at the end of their training. Training
objectives assist trainers to design the training program.
Training DesignThe trainer Before starting a training program, a trainer analyzes his technical, interpersonal,
judgmental skills in order to deliver quality content to trainers.
The trainees A good training design requires close scrutiny of the trainees and their profiles.
Age, experience, needs and expectations of the trainees are some of the important factors that
affect training design.
Training climate A good training climate comprises of ambience, tone, feelings, positive
perception for training program, etc.
Trainees learning style The learning style, age, experience, educational background of trainees
must be kept in mind in order to get the right pitch to the design of the program.
Training strategies Once the training objective has been identified, the trainer translates it into
specific training areas and modules. The trainer prepares the priority list of about what must be
included, what could be included.
Training topics After formulating a strategy, trainer decides upon the content to be delivered.
Trainers break the content into headings, topics and ad modules. These topics and modules are
then classified into information, knowledge, skills, and attitudes.
Sequence the contents Contents are then sequenced in a following manner:
From simple to complex
Topics are arranged in terms of their relative importance
36

 From known to unknown

From specific to general
Dependent relationship

Training tactics Once the objectives and the strategy of the training program becomes clear,
trainer comes in the position to select most appropriate tactics or methods or techniques. The
method selection depends on the following factors:
Trainees background
Time allocated
Style preference of trainer
Level of competence of trainer
Availability of facilities and resources, etc
Training & Development is any attempt to improve current or future employee performance by
increasing an employees ability to perform through learning, usually by changing the employees
attitude or increasing his or her skills and knowledge.
MEANING OF TRAINING AND DEVELOPMENT ACCORDING TO UTCLThe need for Training and Development is determined by the employees performance deficiency,
computed as follows.
Training & Development Need = Standard Performance Actual Performance
Training: Training refers to the process of imparting specific skills. An employee undergoing
training is presumed to have had some formal education. No training program is complete without
an element of education. Hence we can say that Training is offered to operatives.
Development: Development means those learning opportunities designed to help employees to
grow. Development is not primarily skills oriented. Instead it provides the general knowledge and
37

attitudes, which will be helpful to employers in higher positions. Efforts towards development
often depend on personal drive and ambition. Development activities such as those supplied by
management development programs are generally voluntary in nature. Development provides
knowledge about business environment, management principles and techniques, human relations,
specific industry analysis and the like is useful for better management of a company.

Importance of Training & Development

Helps remove performance deficiencies in employees
Greater stability, flexibility and capacity for growth in an organization
Accidents, scraps and damages to machinery can be avoided
Serves as effective source of recruitment
It is an investment in HR with a promise of better returns in future
Reduces dissatisfaction, absenteeism, complaints and turnover of employees
Needs of Training
Diagnosis of present problems and future challenges
Improve individual performance or fix up performance deficiency
Improve skills or knowledge or any other problem
38

 To anticipate future skill-needs and prepare employee to handle more challenging tasks
To prepare for possible job transfers

Identification of Training Needs (Methods)

Individual Training Needs Identification

1.

Performance Appraisals

2.

Interviews

3.

Questionnaires

4.

Attitude Surveys

5.

Training Progress Feedback

6.

Work Sampling

7.

Rating Scales

39

Group Level Training Needs Identification

1.

Organizational Goals and Objectives

2.

Personnel / Skills Inventories

3.

Organizational Climate Indices

4.

Efficiency Indices

5.

Exit Interviews

6.

MBO / Work Planning Systems

7.

Quality Circles

8.

Customer Satisfaction Survey

9.

Analysis of Current and Anticipated Changes

Benefits of Training Needs Identification

1.

Trainers can be informed about the broader needs in advance

2.

Trainers Perception Gaps can be reduced between employees and their supervisors

3.

Trainers can design course inputs closer to the specific needs of the participants
40

4.

Diagnosis of causes of performance deficiencies can be done.

5. Talent Management

41

It is a holistic and systematic process, across the group. It is built on the work done so far on
people processes, and has a Talent Identification and Talent Development Strategy for all the 3
levels of management i.e. Senior, Middle & Junior Management. This is facilitated by
Development Assessment Center followed by Individual Development Plan, enabling planned
succession and career management.
With businesses going global and competition becoming intense, there is mounting pressure on
organizations to deliver more and better than before. Organizations therefore need to be able to
develop and deploy people who can articulate the passion and vision of the organization and make
teams with the energy to perform at much higher levels.
Talent management is a key business process and like any business process takes inputs and
generates output.

Talent management is a professional term that gained popularity in the late 1990s. It refers to the
process of developing and fostering new workers through onboarding, developing and keeping
current workers and attracting highly skilled workers to work for your company. Talent
management in this context does not refer to the management of entertainers.
42

Companies that are engaged in talent management (human capital management) are strategic and
deliberate in how they source, attract, select, train, develop, promote, and move employees through
the organization. This term also incorporates how companies drive performance at the individual
level (performance management).
The term talent management means different things to different people.

To some it is about the management of high-worth individuals or the

talented.

To others it is about how talent is managed generally - i.e. on the assumption that all
people have talent which should be identified and liberated.

Talent management decisions are often driven by a set of organizational core competencies as well
as position-specific competencies. The competency set may include knowledge, skills, experience,
and personal traits (demonstrated through defined behaviors)

6. Job Analysis & Evaluation

It is broadly categorized in two parts. Job Analysis is a process to understand the job, identify and
disaggregate the activities, competencies and accountabilities associated with the job. It defines
and clusters the task required to perform the job. It also clarifies boundaries between jobs. The
output of Job Analysis exercise is referred to as job description.

43

Job Analysis is a process of studying and collecting information relating to operations and
responsibilities of a specific job. The immediate products of this analysis are Job Description and
Job Specifications.

Job Analysis is a systematic exploration of activities within a job. It is a basic technical procedure
that is used to define duties and responsibilities and accountabilities of the job.

44

Job is a collection of tasks that can be performed by a single employee to contribute to the
production of some product or service, provided by the organization. Each job has certain ability
requirements (as well as certain rewards) associated with it. Job Analysis is a process used to
identify these requirements.
Each job is a unique description of a role that a person can hold in an organization or required to
be performed for the business benefit of that organization. When jobs are created, their tasks and
requirements are taken into consideration.
Jobs are used in the following components:
Job and Position Description
Shift Planning
Personnel Cost Planning
Career and Succession Planning
Note:
Job descriptions should be as general as possible and as detailed as necessary

7. Human Resource Information System

POORNATA, an ERP (People soft) implementation of Human Resource practices has been
introduced in UTCL to elevate HR processes to world class levels and standardize them across
Units and Businesses. This has resulted in single integrated HR-ERP for all management cadre
employees of the group. These automated HR Processes will also aid in faster, efficient, timely
and accurate data availability to Management for decision-making.
45

UTCLs People Soft Enterprise Performance Management (EPM) enables it to achieve world-class
performance by aligning the right information and resources to strategic objectives. People Soft
EPM offers performance management solutions for every budget and every phase of the
management cycle, helping its managers to formulate strategies for profitable growth, align
strategies with operational plans, and actively monitor day-to-day operations.
Poornata helps a lot in the different works of the organization. It helps in the following
ways

It helps in entry of all the database of all the employees.

It reduces time to note all the databases of the employees.
It reduces different mistakes or errors while maintaining the databases
It helps in doing performance appraisal of the employees.
It also helps in doing the data updation of the employees.
It helps in recruitment and selection of the employees
It reduces the time of the work
It also reduces the no of employees for maintaining the database.
It helps in maintaining the job description of employees.
It records the compensation details for the employee.

Once the data of an employee entered in to Poornata (ERP), the employee gets a Poornata ID, which
helps the employees to know about the different policies of Organization.
They can know these policies directly from the ERP system.
As it done only through Online, there is no delay in getting different infomations.

46

It also helps them to do the reporting to the concerned person.

They can also fill their problems which they face during their work and send to their
departments.
In this way Poornata helps not only the managers but the employees
also. Poornata (ERP) helps UTCL in the following ways
Poornata helps in performing day to day roles.
Introduction Poornata helps in creating and updating of the positions of the employees.
Each position will correspond to specific vacancy in the organization, have a specific headcount
defined for it and is also tied to the following specific attributes:
Business unit
Department
Company
Job code
Location
Regulatory Region
Job Function
Reporting to position (The position to which this particular position reports to)
Career stages
47

Every time one or more of the above attributes change, the same have to be updated for the
position, or a new position may need to be created corresponding to the new combination of the
attributes.
Any individual who occupies a position will inherit the above-mentioned attributes of the position.
A position is thus specific and particular opening in the organization, as opposed to job codes,
which are more generic in nature. Job codes reflect the job points of the jobs across the
organization, whereas a position number reflects a specific job description in the organization.
Poornata helps and gives hints and warns the user the important information he must know
about the Poornata system.
It provides the additional information to assist the user & provide key
information.
It also tells the frequently asked questions with respect to hiring
employees.
It also shows the common error and warning messages that the user may get at the time of
hiring. It needs the information about regarding these:
Employee ID, Position Number, Job code (the job points of the employee), Company (The legal
entity to which an employee /department is attached.), The Business unit to which the employee
belongs to, Location (i.e. where the employee works), Department etc.
Following are the steps that will be used to maintain positions and department budgets
Creating new positions
Updating the information for existing positions as and when requires.

1. Creating a new position

48

A position corresponds to a specific vacancy in the organization. Hence a position should be

created in Poornata, only when a new vacancy has arisen in the organization, and the approval for
the same has been obtained offline.
Only after the offline approval has been obtained, should the position be created in the system, i.e.
only pre-approved positions should be entered in to the system.
2. Updating The information for existing positions

From time to time the user should update the information for an existing position.
Typical situations are when:
The position attributes or the approved max headcount for the position has changed.
The position no longer exists.
Organizational Restructuring.
Direct Hire Process:
It helps in doing the directly hiring an employee by Poornata
system.
Introduction: The direct hiring process involves an employee being directly added to the Poornata
system that is the situation where his information doesnt exits as applicant in the Poornata system.
An employee on joining the group would fill up the joining check list and the related forms as per
the unit policy. The HR administrator would then hire him into the system by capturing his
relevant information with respect to his personal job compensation, qualifications and dependents
information.
The hire action will be used to capture the event of the employees joining the organization. There
can be either of two reasons for hire:
49

 Joining the ABG: This will reflect the situation where an employee joins a unit of the ABG
group directly.
Joining the acquired company: This will reflect the situation where an employee had joined
an organization, which was subsequently acquired by ABG.
Going forward the action of joining the acquired company will be used to enter the data of those
employees from the non-management cadre moving into the management cadre who had
originally joined a company that was acquired by ABG.

8. Compensation Philosophy

Of The Company

It is an outcome of what the Organization would like to pay for, which is determined by external
and internal factors. All the processes are aligned to reinforce the philosophy. The company views
compensation not only as something that reflects on the pay slip or in the CTC (Cost To Company)
but also they are concerned about overall employee well being though they may not put any
monetary value on items like Scholarships, Club membership, Retirement benefit, Health and
Accident coverage.

The Groups approach towards various aspects of compensation focuses on:

Pay for performance (Variable Pay)
Rewards stretch performance which is linked to business, team and individual results
Compensation increase
Pay for the job
Internal equity based on contribution to the organization
External benchmarking
Relevant industry segment and people market
50

Parameters beyond compensation: head count/ level/ reporting

Individual profile and performance
To be market aware, not blindly follow market practices
Three major terms used in the companys compensation:
1. Fixed Cost: It is the fixed component of the salary that is committed to an employee and is paid
on monthly annually basis. This includes base salary, all perks and reimbursements and retrials
such as PF, Gratuity and Superannuation.
2. Variable Pay: This is the variable component, payout of which is contingent on Business,
Unit/Zone and Individual performance. Targets for the year will be fixed and communicated at the
beginning of every performance year
3. Cost to Company: This is a sum of Fixed Cost and Variable
Pay.
CTC is decided based on designation, qualification and experience. Basic is around 42% of fixed cost
without housing. Perks and allowances are fixed as per the designations. Variable pay based on job
band is payable at 18%, 15% and 12% of fixed cost without housing. Balance amount is
paid as special allowance.

9. Exit Interviews
An exit interview is simply a conversation between a departing employee (who is leaving the
company either voluntarily or involuntarily) and a representative from the organization. The
interview can follow a structured format or be conducted on an informal basis; written
questionnaires can even be used in place of a face-to-face meeting. Whichever format is used, exit
interviews are generally documented.
51

Traditionally, exit interviews are conducted with employees leaving an organization. The purpose
of the interview is to provide feedback on why employees are leaving, what they liked or didnt
like about their employment and what areas of the organization they feel need improvement. Exit
interviews are one of the most widely used methods of gathering employee feedback, along with
employee satisfaction surveys.
Benefits of Exit Interview
Exit interviews can be a win-win situation for both the organization and the leaver. The
organization gets to retain a portion of the leavers knowledge and make it available to others,
while the leaver gets to articulate their unique contributions to the organization and to leave their
mark.
Exit interviews offer a fleeting opportunity to find out information that otherwise might be more
difficult or impossible to obtain. The exit interview is an important learning tool for employers.
When properly conducted, the interview provides the employer with the opportunity to:
Discuss and clarify the reasons for the
termination
Clarify pay and benefits issues (e.g., receipt of the last paycheck, the amount of unused
vacation, conversion or continuation of benefits, terms of a severance package, unemployment
insurance, etc.)
Explain

company

policies

relating

to

departing

employees

(e.g.,

trade

secret

confidentiality, restrictive covenants or non-compete agreements, the possibility of future

re-employment,
freelance or contract work, the provision of references to prospective employers, etc.)
Ensure the return of keys, security cards, and company property
Obtain information about improper or questionable management practices connected with
the employee's termination
52

 Obtain information about a supervisor's management skills

Obtain information about how effectively a department operates
Obtain feedback about employees' opinions and attitudes about the company
Resolve or defuse any remaining disputes with the exiting employee
Protect itself against subsequent charges that the employee was forced to resign (i.e.,
constructive discharge)
UTCL is doing this interview. Because it knows Learn of potential changes in policies and
practices that may make the company more competitive (e.g., compensation and benefits
packages,
flexible work arrangements).

EXPOSURE TO THE KEY HR OPERATIONS

Approval of loans.
Expense related issues.
Clearance certificates.
Local conveyance.
Exit interview form.
53

 Application form.
Joining formalities.
Making joining letters.
Maintaining personal files with updated details.
Verifying Mediclaims.

MASLOWS NEED HIERACHY THEORY

Explanation:According to Maslow Human beings have wants & desires which can influence their behavior.
Only unsatisfied needs can influence behavior, satisfied needs do not act as motivators. Since
needs are many, they are arranged in the order of their importance, or hierarchy from the basic to
complex.
Physiological Needs
The most basic, powerful & obvious of all human needs is the need for physical survival. Included
in this group are the needs for food, drink, sleep, protection from extreme temperature etc. That
54

means the basic needs.

In UTCL physiological needs are represented by
Employees concern for salary
Basic working conditions.
E.g.-In workers level it is providing the basic needs (e.g. through wages), which are required for
them.
It gives all hygienic factors to the workers (better working environment). Its also providing
uniforms & shoes, so that they will get satisfied at their working place and get motivated to work
efficiently.
Its not only providing the physiological needs at working level but at employees level
also.
Safety NeedsOnce physiological needs are met, another set of motives, called safety or security needs, become
motivators. The primary motivating force here is to ensure a reasonable degree of continuity,
order, structure, & predictability in ones environment.

In UTCL security needs means the factors like

1.Job security,
2. Salary increments,
3. Safe working conditions etc.
Its definitely provides job securities to its employees because once employee get in to the
55

organization, the chances of retrenchment is very less till the employee has not done any thing
misconduct. Because of these reasons employees can satisfy their safety needs. That is the reason
for low attrition in the organization.
Belonging & Love Needs The belonging & Love needs constitute the third level in the hierarchy of needs. These needs arise
when physiological & safety needs are satisfied.
So there is completely a friendly working environment.
Thats why employees are very friendly.
Self-Esteem Needs
Next in Maslows hierarchy is esteem or egoistic needs.
In the work place of UTCL, self-esteem needs are;
Job title, merit pay,
Peer/supervisory recognition,
Challenging works,
Responsibility etc.

Self-Actualization Needs-

Finally if all the above four levels needs are satisfied, the needs for self-actualization comes. The
56

employees who are in the highest position in UTCL are comes under these needs like:
1.V.P.,
2.President,
3.GM etc.
4.All top level employees.
They are getting all types of facilities like mobile, medical, education, conveyance allowances
etc.So they are in the position that they are satisfied with all the needs. Now they are helping their
juniors for the betterment of the organization. All the five needs of Maslows hierarchy are
fulfilled by UTCL. So the employees are getting motivated and performing efficiently in the
organization, which impacts directly on the success of UTCL group. Thats why the attrition rate is
less in the organization, which is one of the reason for the success of the companies.

3.5 RESEARCH METHODOLOGY

RESEARCH DESIGN
Research Design consists of three parts:
1.

Exploratory Research

2.

Descriptive Research

3.

Causal Research

57

An exploratory research focuses on the discovery of idea and is generally based on secondary data. It
is preliminary investigation that does not have a rigid design. This is because a researcher engaged in
an exploratory study that may have to change his focus as a result of new ideas and relationship
among the variables.
A descriptive study is undertaken when the researcher wants to know the characteristics of certain
group such as age, sex, educational level, income, and occupation etc.
A casual research is undertaken when the researcher is interested in knowing the cause and effect
relationship between two or more variables. Such studies are based on reasoning along well-tested
lines.
DATA SOURCE
Data is generally of two types:
1.

Primary data

2.

Secondary data
Primary Data are those data specially collected for problem in hand. In this study data were collected
from primary sources in personal interview of employee and interaction with employee by survey
method.
These methods of data collection are quite popular. These are the major methods of data collection in
the research study.
Secondary Data are those data, which are collected for some purpose other than helping and solving
the problem in hand.
Sources of secondary data are:

Old reports
58

Company records

Company web site

SAMPLE PROCEDURE:
How should the respondents be chosen? To get the most feasible and accurate result, simple random
probability sampling method was adopted for direct interview of retailers and cluster sampling was
used to communicate the employee from different apartments of different sectors for the survey.
In simple random probability sampling, probability of being chosen as a sample unit for each unit in
the population is equal. Each sample unit from the population is chosen randomly. Probability of
being chosen as a sample unit depends upon the population size and no. of sample units to be chosen.
While in cluster (company) sampling the population is divided into mutually exclusive groups (such
as department etc.), and the researcher draws a sample of the groups using random sampling.
Sometimes researcher again draws sample units of respondents from the selected groups, it is known
as two step department sampling.
Sample Size: - 50
DEPARTMENT OF SURVEY

Personnel department
59

Purchasing department

Department of maintenance

Production department

Control department

Communication department
Research approach
Primary data can be collected in various ways: through observation, focused group, surveys,
behavioral data, and experiments. During this research data have been collected using survey
method. Survey method is best suited for descriptive research. Companies undertake surveys to learn
about peoples knowledge, beliefs, preferences, and satisfaction, and to measure these magnitudes in
the general population.
Research Instrument:
Questionnaire is most common research instrument in collecting primary data during marketing
research. A questionnaire consists of a set of questions presented to respondents. Because of its
flexibility, the questionnaire is by far the most common instrument used to collect primary data.

60

CHAPTER 4
ANALYSIS
AND
61

INTERPRETATION

62

ANALYSIS AND INTERPRETATION

A survey was conducted among a sample size of 50 peoples. The objective of the study was to
highlight the performance appraisal system of the company and the feedback of the peoples
regarding it. The findings of the survey are as follows:
Q.1

Are you aware of the performance appraisal system being

Carried out by the company?

Analysis:
The survey brought into light that the awareness level of the Employees toward the appraisal
policy was low:

40%

aware

not aware
60%

63

Q.2 According to you, which is the most important factor among the
Following in the performance appraisal system?
Analysis:
40% agreed on productivity
30% believed quality of the output
20% believed attendance
10% punctuality

Chart Title

30%
punctuality

quality40% attendance

20%

10%

Q.3 Are the attitudinal factors desire to learn new techniques, skills
64

output

And practices, cooperation with others, contribution of new ideas,

Saving consciousness; mentioned in your format sufficient for
Judging your performance?
Analysis:

insufficient

20%

sufficient

80%

0%

10%

20%

30%

40%

65

50%

60%

70%

80%

Q.4 Do you think the performance appraisal system adopted is biased

in any way ?
Analysis:
90% disagreed
10% agreed

Chart Title

10%

agreed

disagreed
90%

Q.5 If you were being positively appraised, which recommendation

66

do you personally identify with?

Analysis:
The following diagrams elucidate, which recommendation the employees have identified:

Chart Title

30%
promotion

10%

Q.6

special increment

annual
60%increment

Is the performance appraisal sheet shown to you or discussed

67

with you?
Analysis:
35% say it is shown
65% say it is not shown

70%

2
65%

60%

50%

40%
35%

30%

20%

10%

0%

shown

Q.7

not shown

Do you think performance appraisal should have negative

68

recommendation, if yes then which one of the following:

Analysis:
50% of the workers were in favour and 50% were against it:
50% say increment should be stopped and the rest 50% say it
should not be .

1
50%

2
50%

50%
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%

favour

Q.8

disfavour

In your opinion your performance should be appraised after how

much time?
69

Analysis:
Nearly most of the workers in favor of quarterly appraisal in the
Organization.
Quarterly:80%
Halfyearly:10%
Annually:10%

Sales

Quaterly
Halfyearly
Annually

70

Q.9

Are you satisfied with your performance appraisal?

Analysis:
Most of the workers were found dissatisfied with their appraisals.

satisfied

20%

dissatisfied

80%

0%

10%

20%

30%

40%

71

50%

60%

70%

80%

CHAPTER 5
CONCLUSION
AND
FINDINGS

5.1 KEY LEARNINGS FROM THE PROJECT

72

 Firstly it was a very good experience to work and learn with a world class organization.
When I saw my senior people doing each & every kind of work I came to know how much
important is each & every work. Maintaining files in systematic manner with each & every
detail is very important, if not done it hinders the work whenever these are required for
reference in medical claim formalities, appraisal etc.
As I worked with the employees of HR department in the organization during the project
they shared their experience and learnings with me, which was a very good opportunity I got
during my project.
I learned different HR Policies of the organization which were unknown to me before entering
to the corporate world.
I also learned how much the values and culture of the organization impacts the employees
productivity. Like here the Seniors were approachable in nature, I felt an open culture.
Many a times I felt people are not open to new ideas and they are resistant to
change.
I have gained some learning from every individual working here; it might be in terms of
knowledge, skills, behavior or personal traits etc.
I have learned many small, minute things by observations, being in the HR department for 2
months, which could not be learnt simply by reading books theoretically. The practical experience
was totally different.
I have also learnt that a HR person should be very polite, soft spoken & good in handling people.

5.2OBSERVATIONS AND FINDINGS

60% of population was aware about the performance appraisal.

73

40% of the population think that the most important factor in the performance appraisal
system is productivity and 30% people favors the output.

90% of the people were disagree with the performance appraisal.

60% people recommend the promotion scheme for the performance appraisal.

The performance appraisal sheet is not shown to a major portion of the population.

Half of the population thinks that the performance appraisal should have the negative
recommendation while half of the people is against that.

80% of the people appraised on quarterly basis.

Major portion of the population was dissatisfied with the performance appraisal scheme.

74

5.3 RECOMMENDATIONS

The company should give the compensation as per to the skills, so that the employees could
do the efficient work.
Organizations must enhance work force motivation to improve productivity. Workers must
be encouraged and motivated to develop a customer satisfaction mind set.
Organizations need to empower their workers by allowing them greater autonomy and
control and to design jobs that are more stimulating. This will enhance the personal
productivity.
Interdependency of different departments should be well studied, co-ordinated for effective
output.
Training schedule is worked out well here with proper planning schedule.
Recruitment proper planned, structured according to openings in plant, new vacancies
Goal Setting programs undertaken with schedule to find potential prospective employees
for higher posts, giving training, discussing the on job responsibilities.
The employee goals are well studied and structured. The Key Related Areas are properly
designed & clearly mentioned to employees.

75

5.4 LIMITATIONS OF THE STUDY

There are many more limitations which are as under:1. The research is conducted in a limited area.
2. The internet information can be irrelevant.
3. Time will be a major constraint.
4. The respondent will be limited so cannot be treated as a whole population.
5. The respondent may be biased.
6. Due to language problem it is possible that the respondents are not be able to understand the
questionnaire and can cause misleading results.
7. Sometimes the respondents are not interested in the survey.
8. Sometimes the respondents do not have time to fill questionnaire.
9. Some respondents behaved very rudely.
10. Some respondents take a lot of time.
11. Some respondents are not responsible.

76

NOMENCLATURE AND ABBRIVIATION

1.

UTCL: - Ultratech Cement Ltd.

2.

VSF: - Viscose Staple Fibre.

3.

KPI: - Key Performance Indicator.

4.

VFY: - Viscose Filament Yarn.

5.

RMC: - Ready Mix Concrete.

6.

OYOCS: - Own Your Own Car Scheme.

7.

CRM: - Cement Research Management.

8.

EPM: - Enterprise Performance Management.

9.

ERP: - Enterprise Resource Planning.

10.

HRA: - House Rent Allowance.

11.

LTA: - Leave Travel Assistance

BIBILIOGRAPHY:
77

References:
Websites:
www.adityabirla.com
www.bizhrguide.com
www.grasim.com

Text Books:
STEPHENS ROBBINS
C.B.MAMORIA & S.V.GANKAR
Personnel Management
Himalaya Publication

ANNEXURE-1

78

Process of Performance Appraisal

Employee Evaluation at Managerial Level
Mr.X , Div., Desig.
ABG Performance Doc.:07/01/2007 06/31/2008

Section-1 JOB PURPOSE

RMC (Zonal Head, Karnataka)
Description:
To achieve market growth for both Birla Ready Mix & Ultra Tech Concrete.
Ensure achievement of both sales & credit targets, optimizing of resources.
Develop/ harmonize team operations of plant / marketing for achieving customer satisfaction
&
maximum output.
Focus on future commercial / dedicated expansions.

Section 2 KRA
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KRA No.1 SALES & MARKET SHARE

Description: To achieve the Sales Targets as per Budget with increase in market
share. KRA No.2 CREDIT CONTROL
Description: Reduction of critical o/s , Reducing no. of days.
KRA No.3 OPTIMIZATION OF RESOURCES

Description: Optimising Manpower resources to generate maximum output.

KRA No.4 CUSTOMER SATISFACTION
Description: Ensuring customer satisfaction
KRA No.5 MARKET EXPANSION
Description: Market expansion for commercial & dedicated
plants. KRA No.6- STATUTORY COMPLIANCES
Description: Ensuring operation of plants with all legal compliances.

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Section-3- EMPLOYEE GOALS

Goal 1: Supports KRA No.1

Weight-20%

1.Description: To achieve the Sales Targets as per Budget.

2.Measurement: Actual sales achieved every month compared with targeted volumes.
3.Comments: As against budgeted volume of 49920 u.m achieved 47177 cu.m,
loss due to strike.
Rating: Exceeds-110-117%
Goal 2 : Supports KRA No.1

Weight-5%

1.Description: Achieve & retain market share as per sales target.

2.Measurement: To be monitored monthly via-a-vis budget.
3.Comments: Market share improved from last year 19% to this year 23% despite
construction industry showing trends of slow down.
Rating: Far exceeds Expectation>120%
Goal 3: Supports KRA No.2

Weight : 10%

1.Description: Credit control

2.Measurement: Monitor the same every month for number of days & reduction in
critical. Outstanding as compared to the budget.
3.Comments: Critical outstanding reduced from 179 lacs to 156 lacs.All major
accounts reconciled.
Rating: Exceeds Expectation>120%
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Goal 4: Supports KRA No.3

Weight:20%

1.Description: Optimising manpower resources, maximizing output forpumps/plant.

2.Measurement: Availability w.r.t. the sanctioned manpower & Training for maximum ;output &
harmonious operations etc.
3.Comments: Harmonius operation was ensured by timely requirement
& in house training.
Rating: Exceeds>110-117%

Goal 5: Supports KRA No.4.

Weight:10%

1.Description: Ensure Customer Satisfaction

2.Measurement: Feedback from Customers.
3.Comments: Mobile testing facility started at Banglore.
Feedback from customers obtained & periodically
analysed. Rating: Far Exceeds Expectation>120%

Goal 6: Supports KRA No.5.

Weight:10%

1.Description: Market expansion for commercial & dedicated plants.

2.Measurement: As per expansion plans based on market potential.
3.Comments: Market expansion in Manglore and Mysore achieved with in two months
of commercial production achieved market share of 25%.
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Rating: Far Exceeds Expectation>120%

Goal 7: Supports KRA No.6

Weight: 15%

1. Description: Ensure operation of plants with all legal

compliances. Safety norms followed in all plants.
2. Measurement: 100% statutory compliance. No. Of safety trainings imparted to staff & workers.
3. Comments: Training programs/Demos conducted in all
plants. Rating: Far Exceeds Expectation>120%

Section 4 Employee Mid Year Review CommentsDescription:

To achieve sales target as per budget: Against budgeted target of 282000 culms achieved
263000 culms. Shortfall mainly due to 18 days of strike by sand suppliers.
Achieve & Retain market share: Market share of 22% achieved. Improvement of 3%
onYOY
basis.
Credit Control: No. of days o/s reduced from 38days to 27days.
Optimisation of Resources: within 2 months of operation.
Ensure customer satisfaction: Mobile concrete Training facility introduced.
Market Expansion through dedicated plants: 1captive plant started & successfully running.
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 Ensuring legal compliances: All legal compliances are

met.
Major Challenges:
Creating differentiation in product & services to enhance brand premium.

Managers Comments
Sales target impacted due to 18 days strike, otherwise would have achieved.
BLK project plant, a good initiative.
Cr control has significantly improved but still more needs to be done & focused into.
New products to be pushed & new plants have been well established.
Section 5- VALUES
Values
Commitment
Passion
Seamlessness
Speed
Section 6- EMPLOYEE COMMENTS

Section7- Training Needs

Section 8- Career Aspiration

ANNEXURE- 2
84

EMPLOYEE REFERRAL APPLICATION FORM

(RMC DIVISION

E Code No:
Employee Name:
Department:
Location:
Contact Details:

Position Referred For:

Location:

Referred Candidates Name:

I hereby declare that I know the above candidate personally/professionally and he is willing
to join RMC business of ABG if found suitable and offer given to him as per his satisfaction.
Signature of the Employee

Signature of HR

Date:

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