© 2019 JETIR June 2019, Volume 6, Issue 6 www.jetir.

org (ISSN-2349-5162)

A Study on Performance Management System in

Wipro
Ms Sushma Rawath .S,
Assistant Professor,
Surana College, Centre for Post Graduate Studies, Bengaluru.
Abstract
The study aims to check and analyse Performance Management elements and their usage in Wipro. The study entailed careful examination
of the ways to live and enhance performance management system against its objectives. Alpha analysis followed by descriptive analysis has
been employed in the study. Non- likelihood convenience sampling has been employed in the study. The sample size is forty. Primary
knowledge has been collected victimization 2 structured questionnaires. Depth interview methodology was utilized by that answers to the
form were sought-after. The performance management system is AN integral a part of a company to live, motivate, and improve the
performance of the whole organization. It conjointly helps to concentrate on the goals of the organization towards specific pre-determined
objectives for a structure culture. The businesses should establish and develop distinctive retention ways to retain the staff. A long time formal
communication networking with an off-the-cuff focus would provide the organizations a further competitive advantage.
Keywords: Critical incidence, Paired comparison, Retention, Self-appraisal, Succession planning

Introduction:
Performance is what's expected to be delivered by a personal or a group of people at intervals a time-frame. What’s expected to be delivered
may be explicit in terms of results or efforts, tasks and quality, with specification of conditions beneath that it's to be delivered.

Concerns of performance management:

The following area unit the most issues of performance management:

 Concern with outputs, outcomes, method and input

 Concern with coming up with Concern with activity and review
 Concern with continuous improvement Concern with continuous development Concern for higher communication
 Concern for stakeholders
 Concern for fairness and transparency

The method of performance management:

Performance management ought to be thought to be a versatile method, not as a 'system'. the employment of the term 'system' implies a rigid,
standardized and government officials approach, that is inconsistent with the thought of performance management as a versatile and organic
process, albeit coherent, method that's applied by managers operating with their groups in accordance with the circumstances during which
they operate.

Performance management could be a activity of management. As outlined by the whole quality professional William Deming; it consists of
those basic activities:

 Plan - decide what to try and do and the way to try and do it.
 Act - do the work required to implement the plan
 Monitor - do continuous checks on what's being done and live outcomes so as to assess progress in implementing the arrange.
 Review - take into account what has been achieved and, within the light-weight of this, establish what additional must be done and
any corrective action needed if performance isn't in line with the plan.
Performance management in action: Performance management mustn't be treated as a mechanistic system supported periodical formal
appraisals and careful documentation. These activities ought to be coherent within the sense of causative to an overall systematic approach
during which all aspects of the performance management method area unit aligned. Therefore there must be a declaration of intent that states
why performance management is very important, however it works and the way individuals are suffering from it. Samples of however such an
approach is formed area unit given below.
Organizational performance measures: It's necessary to live achievements and progress against objectives, and organizations have so to make
a decision what measures ought to be used. A number of key measures owned by over one operate area unit simpler than a multiplicity of
measures - this avoids the matter baby-faced by several organizations of 'drowning in data'.

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The key measures area unit possible to incorporate those involved with:

 Financial performance - as an example sales, profits, come back on capital used, quantity supplemental, earnings per share,
price/earnings magnitude relation.
 Operational performance - these measures are associated with the vital success factors. As an example, during a sales outlet these
might embody level of service to clients and customer satisfaction, stock handiness and stock wastage. A producing company may
use measures of quality, throughput, internal control and delivery.
 People performance - as an example profit, sales or supplemental price per worker, payroll prices as a share of sales, output per worker
(productivity), retention rates, worker satisfaction.
The balanced score card: The balanced scorecard as originally developed by Kaplan and Norton is often used because the basis for activity.
Managers desire a balanced presentation of each money and operational measures.' Their original thought of the card needed managers to
answer four basic queries, which implies gazing the business from four connected perspectives:

 How do customers see us? (Customer perspective.)

 What should we tend to surpass at? (Internal perspective.)
 Can we tend to still improve and make value? (Innovation and learning perspective.)
 How can we verify shareholders? (Financial perspective.)
The balanced card approach 'puts strategy and vision, not management at the centre'. It defines goals, it assumes that folks can adopt no matter
behaviours’ and take no matter actions area unit needed to attain those goals: 'Senior managers could apprehend what the top result ought to
be, however they cannot tell workers precisely the way to attain that result, if solely as a result of the conditions during which workers operate
area unit perpetually dynamic.' Kaplan and Norton recommend that building a card allows a corporation to link its money budgets with its
strategic goals. The balanced card will facilitate to align employees' individual performance with the strategy: 'Scorecard users usually have
interaction in 3 activities: human action and educating, setting goals and linking rewards to performance measures.'

Scope of the study:

The performance of the staff is being analysed which may indirectly influence the satisfaction of the worker and directly motivates them to
figure for the structure development. The study helps to investigate the trends in performance management system in Wipro business and
provides applicable suggestions to improvise the practices taken by it.

Literature review:
Forslund (2007) a progressive description of the activities in supplying performance management is provided, addressing the subsequent
queries in II relationships: however typically area unit expectations updated? United Nations agency is that the customer's contact person?
What’s the contract situation? That actor (customer or supplier) formulates performance targets, and United Nations agency measures
supplying performance? A number of these issues' relationships to customers' expected supplying performance were verified.
Lo & Chin (2009) The seven user-satisfaction-based core values, eight vital success factors and five-phase information management method
area unit known because the basis of the assessment criteria. These assessment criteria give lecturers and practitioners with a brand new insight
into the analysis landscape for information management performance activity.

Adobor (2004) focuses on management processes in shared-managed joint ventures. It suggests that the evolution and effectiveness of the
management team in joint ventures is also expedited by bound key discourse and individual level factors. Gazing venture management as AN
inter-organizational cluster of individuals composed of members representing parent organizations whose behaviour is regulated by a standard
set of expectations will provide clues to the special nature of venture management tasks. The people appointive to the team additionally as
some key performance-facilitating discourse factors could have an effect on team effectiveness.
Gomes & Yasin (2011) the advocated approach integrates many frameworks in a shot to deal with sensible issues associated with performance
activity, management, and improvement.

Boland & Fowler (2000) the potential role of influence diagrams and dynamic simulation models is thereby introduced as a possible means
that of unravelling the complicated behaviour which may typically arise within the presence of such interactive cause-effect loops. Variety of
typical examples, drawn from at intervals the general public sector, area unit invoked as an instance the discussion.
Busi & Bititci (2006) there's an absence of understanding of what collaboration means that and what it implies on the event of applicable
performance activity systems. Future analysis ought to study the character of collaboration and therefore the characteristics of performance
indicators to support it.

Agyemang & Ryan (2013) examines structure modification processes that occur once responsibleness demands from powerful external
stakeholder’s modification. It investigates, firstly, whether or not these external responsibleness demands impact on the performance
management systems of 2 differing types of organizations. Secondly, it considers whether or not the goals for improved performance contained
at intervals the external responsibleness demands area unit realised. within the public sector case study, the organizations cared-for reorient
their performance management systems towards the external responsibleness demands; while within the non-public sector organization,
pressures from falling share costs forced managers to focus their deciding on the popular performance measures contained in shareholders'
responsibleness demands.

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Bourne et al (2003) there's a growing trend towards managing performance improvement through specializing in the underlying drivers of
performance, whether or not enhancements within the processes or the underlying resources that provide these processes capability. The past
obsession with pure money performance is decreasing and there is also recognition that there's a trade-off between touch today's money results
and sustaining the capabilities and contenders that enable firms to compete effectively within the future.

Willis & Willis (1996) Engineering consulting companies concerned within the style and construction of large-scale industrial plants commit
to realize flaws as early as potential within the style method to avoid additional pricey deviation corrections soon, notably throughout and once
construction. Deviation corrections may be reduced by following additional diligent quality interference and appraisal efforts. Quality
performance management system (QPMS) could be a price analysis programme designed to live the interference and appraisal effort and its
impact on deviation corrections.
Schiuma (2012) information represents one in all the basic constituent elements of any organization and it may be incorporated into people's
skills or established into structural and technological capital. Therefore management of information is at the core of organization's business
growth. Within the light-weight of this reflection this special issue pays attention to 2 main views. First, recognizing that information, likewise
the other organization's resource, desires management means that to support its allocation and development, the frameworks and tools reaching
to establish, manage and assess the vital information resources for growth area unit centred on. Second, acknowledging that the interpretation
of information into business outcomes needs management mechanisms, then considering the information processes grounding the advance of
performance.

Research methodology:

Objectives:

1. To study the prevailing system prevailing with reference to performance management system in Wipro.
2. To concentrate on the challenges prevailing within the retention of such extremely competent effective workers.
3. To provide some meaningful suggestions to the organizations additionally because the business to enhance, modify and alter the
prevailing systems of performance management.

Research design: Alpha analysis followed by descriptive analysis has been employed in the study. Descriptive studies area unit undertaken in
several circumstances. Once the man of science is curious about knowing the characteristics of bound teams like age, sex, academic level,
occupation or financial gain, a descriptive study is critical. Descriptive studies area unit well-structured. It tends to be signed and its approach
cannot be modified each currently then. It is, so necessary that the analysis provide adequate thought to framing analysis queries and deciding
the categories of knowledge to be collected for his or her purpose.

Sampling Technique: Non-probability convenience sampling has been employed in the study. Convenience sampling refers to the gathering
of data from members of the population United Nations agency area unit handily out there to supply it. It's most frequently used throughout
the alpha part and is probably the most effective means of obtaining some basic data quickly and with efficiency.

Sample size: The study has been administrated by collection data from Wipro by victimization straightforward sampling. The sample size is
forty.

Data assortment tools: within the study knowledge has been collected victimization primary and secondary ways of knowledge assortment.
Primary knowledge has been collected victimization 2 structured questionnaires. Depth interview methodology has been used. Secondary
knowledge has been collected from journals, articles; analysis magazines and dealing papers out there within the organization and from net.

Data analysis:
The elements of performance management system in Wipro area unit as follows: When and the way area unit the Key Result Areas (KRAs)
for a worker identified? However area unit the changes in KRAs handled if the business necessities change? Wipro follows prime down
approach. The structure goals area unit cascaded down the road i.e. through structure goals, KRAs of prime management is about then from
those KRAs, KRAs of others managers at numerous levels area unit set. Numerous heads additional sets KRAs of team leaders through team
conferences. If management involves apprehend that their area unit individuals with below average performance, they supply them with
performance improvement coaching. It’s an internet method in Wipro. What area unit the elements / phases of performance management
system? In Wipro G & O i.e. Goals and Objective setting is that the commencement of Performance Management System. Appraisal is finished
annually ranging from Gregorian calendar month to March. The appraisal amount in Wipro changes from year to year. There’s a gift system
that is mostly in financial type. Once doing Wipro leadership survey within the company that is finished annually within the company and at
high band level star performers area unit recognized and trim. Performance appraisal that is a crucial a part of performance management system
in Wipro needs self-appraisal of workers on each lower and better level of hierarchy. 360 degree feedback is simply done at middle and better
level.
There is a face to face meeting with the worker once self-appraisal. once this the total method rating is provided to the worker i.e. GP rating,
then per the rating, rewards in variety of financial hikes area unit provided to workers. Numerous development and improvement programs
area unit conducted for the staff on the premise of the necessity once the appraisal has been taken place.
How many conferences area unit scheduled during a year to debate worker performance? Minimum one meeting is preferred during a year to
debate the worker performance in Wipro.

Which technique is adopted for effecting performance appraisal? Is it completely different for senior level managers?

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In Wipro performance appraisal is finished through face to face interviews, that is finished once self-appraisal. One on one interview appraisal
methodology is chosen by Wipro as a result of it helps in clarity of results given and communicated by supervisor. Communication between
worker and manager is best. Wipro conjointly has 360 degree feedback mechanism which has feedback from peers, clients, subordinates and
immediate boss. In Wipro appraisal it is an internet method.

Does the corporate use tools to scale back biasness within the PMS?

In Wipro, the appraisal system is total on-line and that they use standardisation methodology to scale back biasness within the system.

What all processes area unit a part of your PMS?

In Wipro importance on career management is comparatively additional since its thought-about light-weight path for workers. Career
management and development arrange of workers helps them to grow as someone and develop their hidden potential that successively helps
the corporate to possess additional talent pool within the company which might be undoubtedly a positive for the expansion of the corporate.

How area unit the coaching and Development (T&D) desires captured through the method of performance appraisal?

Wipro assess coaching and development desires, if it's been steered by the boss or throughout the self-appraisal amount appraise feels that
there's a necessity for coaching and development in bound areas. There’s conjointly a strategic leadership development team for coaching and
development position. There’s conjointly PCCP department for assessing coaching and development desires.

How succession coming up with is finished in your organization?

In Wipro, succession coming up with is finished through the suggestion of managers. Managers recommend some names and nominees area
unit chosen from them by prime management. Prime management conducts interview with nominees and build their choices consequently.

What is the foremost vital facet of PMS?

Wipro like HCL conjointly offers high weight age to retention of workers and makes it a large a part of their performance management system.
Identification of coaching and development desires of workers and motivating the staff also are a neighbourhood of performance management
system.

Which rating scale is employed by the company? Is there any customary approach for rating the employee?

Wipro uses doctor rating 'G' stands for process/ performance of a worker over an amount of your time and 'P' stands for private effectiveness.
Wipro follows a five level grid. Each worker is rated on this grid. Rating is from G1P1 to G5p5. G1P1 is that the lowest rating that a worker
will get and G5P5 is that the highest rating. Per the rating, workers area unit distributed on bell curve. The proportion of bell curve differs from
year to year.

Is promotion a part of the PMS? However area unit incentives and promotions joined to the PMS outcome? What area unit the factors for
promotion? What share (%) of the eligible population is allowed for promotions each year?

Wipro provides internal promotions double a year to its workers. Promotion of workers is finalized with the assistance of their appraisal.
Anyone may be a neighbourhood of promotion exercise United Nations agency joins between first Jan to thirty first march. Typically workers
with grading of G3P3 and on top of area unit eligible for promotions because the five level grids area unit followed by Wipro. These rating
helps once their area unit some GAPs in organization and it's needed to be stuffed. Wipro has slide system for it {in that during within which}
internal promotions area unit done through nomination which helps in filling the gap it's done double a year. Another methodology of promotion
that is followed by Wipro is thru IJPC i.e. internal job posting. It’s done each quarterly i.e. in each four months and completed in forty five
days before quarterly results area unit out. During this methodology 1st ability tests area unit taken followed by word and panel interviews.
Once a worker passes all the stages, the promotion is granted to him.

How area unit Compensation & Rewards connected to the PMS?

Compensation to workers in Wipro is given per the doctor rating and wherever they fall in bell curve distribution. Compensation is
benchmarked once usurping organization wide survey. The benchmarking method is finished by third party i.e. Hewitt. Wipro outsources the
benchmarking method to Hewitt and Hewitt provides them with relevant knowledge.

PMS fact sheet:

Table 1: Showing phases of PMS in company

Phases of Performance Objective Setting Performance Training & Pay Review

PMS Appraisal Year Review Period Development
Existing coaching
WIPRO first Jan- thirty first employees: Jan- April – March calendars free at By Jan
Dec the end of
Feb
New Joiners: at performance
intervals thirty appraisal period
days of
connection

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Table 2: Showing a number of parameters of PMS

Parameters WIPRO

Identification of KRAs G & O setting (Jan – Feb)

No. of meetings / Conferences Min. one

Tools used for reducing biasness Standardization

Part of PMS Career management, T & D

Assessment of T & D desires SLDP

Rating scales GP rating

Succession Planning By the suggestion of managers
Strategy linkage Retention strategy, T & D

percentage promotions 10%

Findings:
Following area unit the findings of the study:

1. For reducing the biasness in PMS standardisation is employed principally.

2. Training of the staff is a crucial a part of PMS.
3. Retention of the staff is of utmost importance whereas creating policies relating to PMS within the company.
4. If poor performance of a worker is known, there's a trend of providing improvement coaching job.

Recommendations:
Following area unit the recommendations for up the PMS within the company studied:

1. Biannual performance review ought to be started with ensuing review amount. As it is inferred that PMS system is very important for
any organization, the organizations should invest in specific technology adjusted merchandise and services, code and hardware to
enhance the performance.
2. Self-appraisal is that the only tool for PMS system, therefore the management should effectively develop coaching and development
tools to form the staff sensitive towards the structure setting and culture.
3. Training and development, career development and succession coming up with become the core essential functions of a PMS. The
organizations should focus on these areas to effectively appraise and improve the performance of workers within the organizations.
4. Retention and innovation ways area unit accustomed improve the performance of workers, therefore the focus should be directed
towards up the PMS.

Conclusions:

 The performance management system is an integral part of a company to live, motivate, and improve the performance of the whole
organization.
 It conjointly helps to concentrate on the goals of the organization towards specific pre- determined objectives for a structure culture.
 The businesses should establish and develop distinctive retention strategies to retain the staff.
 A long time formal communication networking with an off-the-cuff focus would provide the organizations a further competitive
advantage.

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Bourne, M. F. ((2003) ). Company performance management. Measure business excellence , 7, 3, 15 - 21.

Busi, M. &. (2006). Cooperative performance management: gift gaps and future analysis . International journal of operations and production
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Forslund, H. (2007). The impact of performance management on customer's expected suppling performance. International journal of
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