28. Ultrateck Cement-HR-Puri-12.docx

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    IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE AWARD OF DEGREE OF

    MASTER OF BUSINESS ADMINISTRATION.

    Under the guidance of: Submitted By:

    Mrs. ARCHANA CHOUDHARY SANAT KUMAR PRADHAN

    (Company Guide) Regd. No. : 23/583/09

    Roll No. : 10MBA660

    K. PALANI NICE, TALCHER

    (Faculty Guide)

    Subm it ted To:

    DDCE,SAMBALPUR UNIVERSITY

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    GUIDE CERTIFICATE

    This is to certify that Sanat Kumar Pradhan, MBA, has done her project, under the

    guidance and assistance of the undersigned. Her study was on A SYSTEMATIC

    APPROACH TOWARDS AN EFFECTIVE PERFORMANCE APPRISAL-A PROJECT

    REPORT ON ULTRATECT CEMENT LIMITED, JHARSUGUDA CEMENT WORKS.

    She has done all the field work as assigned to him by the company authorities and completed

    the project with sound data analysis and good conclusions.

    I find all the implications of her study have some insights to the companys goal.

    Sanat Kumar Pradhan has done her job with full sincerity and disciplined effort.

    I wish all success in her career and future endeavors.

    Mrs. Archana Choudhary

    (Company Guide)

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    ACKNOWLEDGEMENT

    At the very outset I am much grateful to God for his blessing showed up on me to complete

    my project. I hereby thank the authority of department of MBA, NICE, TALCHER for

    providing me an opportunity of doing our project with UltraTech cement works, Jharsuguda,

    which has definitely helped us in understanding the application of HR from the industry

    prospective. I would also like to pay my gratitude to UltraTech cement works, Jharsuguda

    which had given me a chance to undergo the project. I acknowledge my gratitude to

    Mrs. Archana Chaudhary for her help & support in preparing the report and for her kind,

    valuable guidance, suggestion and advices she extended to me.

    I am also grateful to my friends whose in valuable assistance and guidance help me in making

    this report.

    Finally, I would thank all those who have been directly or indirectly connected with my

    venture. Especially my parents and my family members whose keen interest, encouragement,

    prayers and blessings were always there as source of strength and without which I would

    never have reached this point.

    Sanat Kumar Pradhan

    Regd. No. 23/583/09

    Roll No. : 10MBA660

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    DECLARATION

    I do hereby declare solemnly that this project report, A SYSTEMATIC APPROACH

    TOWARDS AN EFFECTIVE PERFORMANCE APPRISAL - A PROJECT REPORT ON

    ULTRATECH CEMENT LTD.JHARSUGUDA CEMENT WORKS.

    Is confined to JHARSUGUDA CEMENT WORKS, JSG jurisdiction is my own and neither

    been or published elsewhere.

    Sanat Kumar Pradhan

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    EXAMINERS CERTIFICATE

    This project is submitted by Sanat Kumar Pradhan of MBA bearing the

    Roll No. 10MBA660 under DDCE, Sambalpur University and forwarded for

    evaluation.

    Internal Examiner External Examiner

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    CERTIFICATE OF APPROVAL

    This is to Certify that the Project Entitled:

    A SYSTEMATIC APPROACH TOWARDS AN EFFECTIVE PERFORMANCE APPRISAL

    Submitted by Sanat Kumar Pradhan(Enr. No 23/583/09), Sambalpur University, Burla

    towards partial fulfillment of the requirements for the award of the degree of Master of

    Business Administration (MBA) is a bona fide record of the work carried out by him under

    the able guidance ofK. Palani, Faculty, NICE, Talcher.

    (Approval of the Center Director)

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    CONTENTS

    CHAPTER : 1

    Introduction to Performance appraisal.

    Process.

    Methods.

    Review of literature.

    CHAPTER : 2

    The present study/methodology of Performance appraisal.

    Need significant of study.

    Objective of study.

    Scope of study.

    Research methodology .

    Effective & successful Performance appraisal .

    Limitation of study.

    CHAPTER : 3

    Organization profile.

    Industry profile.

    PA Process Adopted By Ultra Tech Cement .

    CHAPTER : 4

    Data analysis.

    CHAPTER : 5

    Findings and suggestions.

    Conclusion.

    Bibliography.

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    CHAPTER-1

    INTRODUCTION OF PERFORMANCE APPRAISAL

    The history of performance appraisal is quite brief. Its roots in the

    early 20thcentury can be traced to Taylors pioneering time and motion studies. But

    this is not very helpful, for the same may be said about almost everything in the field

    of modern human resource management.

    As a distinct and formal management procedure used in the evaluation of work

    performance, appraisal really dates from the time of the Second World War not

    more than 60 years ago.

    Yet in a broader sense, the practice of appraisal is a very ancient art. In the scale of

    things historical, it might well lay claim to being the worlds second oldest profession!

    The meaning of the word appraisal is to fix a price or value for something. This

    is used in finance in terms such as project appraisal or financial appraisal where a

    value is attached to a project. Similarly performance appraisal is a process in which

    one values the employee contribution and worth to the organisation.

    Performance appraisal is an important part of performance management. In itself

    its not performance management but it one of the range of tools that can be used

    to performance.

    People differ in their abilities and aptitudes. There will be some differences in

    their quality and quantity of work done by different employee even on the same jobs.

    So its important to know for management, talking these differences the employees

    having better abilities may be rewarded and the wrong placement of employees may

    be rectified through transfer. The individual employee may also like to know the level

    of his performance in comparison to his fellow employee so that he may improve

    upon it.

    Performance measures the qualitative and quantitative aspects of job

    performance. An appraisal evaluates not only the employees performance but also

    his potential for development. The primary objectives of an appraisal are to asses

    past performance, to identified training needs, to set and agree on future objectives

    and standard and facilitate the achievement of these goals.

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    In simple words, performance appraisal is a systematic evaluation of the

    individual with respect to his performance on the job and his potential for

    development. Its formal programmed in an organisation which is concern not only

    the contribution of the members who form part of the organisation but aims at

    spotting the potential also.

    The satisfactory performance is only a part of the system as and the

    management needs more information than mere performance ratings of the

    subordinates. There are two opinions about the necessity of performance appraisal

    which can meet these requirements of the management to achieve the

    organisational goals.

    Thus there is a great need to have suitable performance appraisal system to

    measure the relative merit of each employee. Performance appraisal is often the

    central pillar of performance management because performance appraisal usually

    reviews past behaviour and so provides an opportunity to reflect on performance.

    Performance appraisal always assumes that the employee understood what his

    performance standards were and that the supervisor also provides the employee

    with the feedback, development and initiatives required to help the person eliminated

    performance deficiencies or to continue to perform above par. The aim should be to

    performance.

    Performance appraisal may be defined as a structural formal interaction

    between a subordinates and supervisors that usually takes the form of periodic

    interviews either annual or semi-annual, in which the work performance of the

    subordinates is examines and discussed, with a view to identifying weakness and

    strengths as well as opportunity for improvement and skill development.

    Five elements of performance appraisal are:

    1. Measurement

    2. Feedback

    3. Positive reinforcement

    4. Exchange of views

    5. Agreement

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    PROCESS

    Employee performance appraisal process:-

    The purpose of this process is to ensure that an organisation is able to provide

    high quality service to meet the service needs of customers. This achieved by

    promoting employee competence and development. It should ensure that all new

    employees are competent to perform the basic responsibility of the job, held

    accountable for job expectations and that all current employees continue to learn

    new information and develop new skills.

    The first step in the process of performance appraisal is the setting up of the

    standards which will be used to as the base to compare the actual performance of

    the employees. This step requires setting the criteria to judge the performance of the

    employees as successful or unsuccessful and degrees of their contribution to the

    organisational goals and objectives.

    Establishing performance standards

    Communicating standards and expectation

    Measuring the actual performance

    Comparing with standards

    Discussing with results (providing feedback)

    Decision making (taking corrective action)

    Now, if the above process occurs, the formal, annual performance appraisal process

    should be more of a formality. There should be no surprises at this session. If

    ongoing performance review has occurred, this session can concentrate on a

    thorough review of your overall performance, but more importantly can concentrate

    on setting goals for the coming year. Those should include specific areas of

    improvement, project goals, and specific learnings that should take as your move

    forward. The components of an effective process are:-

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    GOALS:-

    Along with your supervisor, you should establish key goals on a regular basis.

    A few points to keep in mind are: make sure the goals are few in number (3-5) so

    that you can focus on them. Some of these will be in common with other employees

    and others will be specific to you.

    ON-GOING LEARNING:-

    To support your goals, learning that will be required to achieve these goals

    should be defined and should provide continual development and growth. Focus on

    knowledge and skills you will need to be effective now and in the future.

    COMPETENCIES:-

    For every employee expected competencies should be defined. They fall into

    two categories.

    1. Those that apply to all employees and are important for the organisation to

    remain successful.

    2. These may be things like customer service and employee satisfaction or

    engagement.

    The performance appraisal form must be completed by the employees MPP.

    Once completed, the appraisal should be reviewed with the employee. Once the

    appraisal finalised, it should be signed by both the MPP (management personnel

    plan employees) and the employee and then forwarded directly to the office of the

    director of human resources; depending on the departments normal processing

    procedures.

    The performance appraisal form must be completed by the employees MPP.

    The MPP can obtain information for the evaluation the employees working

    supervisor or lead person. Once the appraisal is completed in draft form, it should be

    disscussed with the employees.

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    METHODS OF PERFORMANCE APPRAISAL

    A number of methods are now available to assess the performance of the

    Employees.

    1. Critical Incident Method

    Critical incident appraisal focuses the raters attention on those critical or key

    behaviors that make the difference between doing a job effectively and doing it

    ineffectively. What the appraiser does is write down little anecdotes that describe

    what the employee did that was especially effective or ineffective. In this approach to

    appraisal, specific behaviors are cited, not vaguely defined personality traits. A

    behaviorally based appraisal such as this should be more valid than trait-basedappraisals because it is clearly more job related. It is one thing to say that an

    employee is aggressive or imaginative or relaxed, but that does not tell anything

    about how well the job is being done. Critical incidents, with their focus on behaviors,

    judge performance rather than personalities. Additionally, a list of critical incidents on

    a given employees provides a rich set of examples from which the employee can be

    shown which of his or her behaviors are desirable and which ones call for

    improvement. This method suffers from following two drawbacks:

    (a) Supervisors are reluctant to write these reports on a daily or even weekly asis

    for all of their subordinates as it is time consuming and burdensome for them

    (b) Critical incidents do not lend themselves to quantification. Therefore the

    comparison and ranking of subordinates is difficult.

    2. Checklist

    In the checklist, the evaluator uses a bit of behavioral descriptions and checksof those behaviors that apply to the employee. The evaluator merely goes down the

    list and gives yes or no responses. Once the checklist is complete, it is usually

    evaluated by the staff of personnel department, not the rater himself. Therefore the

    rater does not actually evaluate the employees performance; he/she merely records

    it. An analyst in the personnel department then scores the checklist, often weighting

    the factors in relationship to their importance. The final evaluation can then be

    returned to the rating manager for discussion with the subordinate, or someone from

    the personnel department can provide the feedback to the subordinate.

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    3. Graphic Rating Scale

    One of the oldest and most popular methods of appraisal is the graphic rating

    scale. They are used to assess factors such as quantity and quality of work, job

    knowledge, cooperation, loyalty, dependability, attendance, honesty, integrity,

    attitudes, and initiative etc. However, this method is most valid when abstract traits

    like loyalty or integrity are avoided unless they can be defined in more specific

    behavioral terms. The assessor goes down the list of factors and notes that point

    along the scale or continuum that list of factors and notes that point along the scale

    or continuum that best describes the employee. There are typically five to ten points

    on the continuum. In the design of the graphic scale, the challenge is to ensure that

    both the factors evaluated and the scale pints are clearly understood andunambiguous to the rater. Should ambiguity occur, bias is introduced. Following are

    some of the advantages of this method:

    a) They are less time-consuming to develop and administer.

    b) They permit quantitative analysis.

    c) There is greater standardization of items so comparability with other individuals

    in diverse job categories is possible.

    4. Forced Choice Method

    The forced choice appraisal is a special type of checklist, but the rater has to

    choose between two or more statements, all of which may be favorable or

    unfavorable. The appraisers job is to identify which statement is most (or in some

    cases least) descriptive of the individual being evaluated. To reduce bias, the right

    answers are not known to the rater. Someone in the personnel department scores

    the answers based on the key. This key should be validated so management is in a

    position to say that individuals with higher scores are better-performing employees.

    The major advantages of the forced choice method are:

    a) Since the appraiser does not know the right answers, it reduces bias.

    b) It looks at over all performance.

    c) It is based on the behavior of the employees.

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    5. Behaviourally Anchored Rating Scales

    These scales combine major elements from the critical incident and graphic

    rating scale approaches. The appraiser rates the employees based on items along

    continuum, but the points are examples of actual behavior on the given job rather

    than general descriptions or traits. Behaviorally anchored rating scales specify

    definite, observable, and measurable job behavior. Examples of job-related behavior

    and performance dimensions are generated by asking participants to give specific

    illustrations on effective and ineffective behavior regarding each performance

    dimension. These behavioral examples are then retranslated into appropriate

    performance dimensions. Those that are sorted into the dimension for which they

    were generated are retained. The final group of behavior incidents are thennumerically scaled to a level of performance that each is perceived to represent. The

    incidents that are retranslated and have high rater agreement on performance

    effectiveness are retained for use as anchors on the performance dimension. The

    results of the above processes are behavioral descriptions, such as anticipates,

    plans, executes, solves immediate problems, carries out orders, and handles

    emergency situations.

    This method has following advantages:

    a) It does tend to reduce rating errors.

    b) It assesses behavior over traits.

    c) It clarifies to both the employee and rater which behaviors connote good

    performance and which connote bad.

    6. Group Order Ranking

    The group order ranking requires the evaluator to place employees into a

    particular classification, such as top one-fifth or second one-fifth. Evaluators are

    asked to rank the employees in the top 5 per cent, the next 5 per cent, the next 15

    per cent. So if a rater has twenty subordinates, only four can be in the top fifth and,

    of course, four must also be relegated to the bottom fifth. The advantage of this

    method is that it prevent raters from inflating their evaluations so everyone looks

    good or from homogenizing the evaluations for everyone is rated near the average

    outcome that are usual with the graphic rating scale. It has following disadvantages:

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    a) It is not good if the number of employee being compared is small. At the extreme,

    if the evaluator is looking at only four employees, it is very possible that they may all

    be excellent, yet the evaluator may be forced to rank them into top quarter, second

    quarter, third quarter, and low quarter!

    b) Another disadvantage, which plagues all relative measures, is the zero-sum

    game: consideration. This means, any change must add up to zero. For example, if

    there are twelve employees in a department performing at different levels of

    effectiveness, by definition, three are in the top quarter, three in the second quarter,

    and so forth. The sixth-best employee, for instance, would be in the second quartile.

    Ironically, if two of the workers in the third or fourth quartiles. leave the department

    and are not replaced, then our sixth best employee now fit into the third quarter.

    c) Because comparison are relative, an employee who is mediocre may score high

    only because he or she is the best of the worst Similarly, an excellent performer

    who is matched against stiff competition may be evaluated poorly,when in absolute

    terms his or her performance is outstanding.

    7. Individual Ranking

    The individual ranking method requires the evaluator merely to list all the

    employees in an order from highest to lowest. Only one can be the best. If the

    evaluator is required to appraise thirty individuals ranking method carries the same

    pluses and minuses as group order ranking.

    8. Paired Comparison

    The paired comparison method is calculated by taking the total of [n (n-1)]/2

    comparisons. A score is obtained for each employee by simply counting the number

    of pairs in which the individual is the preferred member. It ranks each individual in

    relationship to all others on a one-on-one basis. If ten people are being evaluated,

    the first person is compared, with each of the other nine, and the number of items

    this person is preferred in any of the nine pairs is tabulated.

    Each of the remaining nine persons, in turn, is compared in the same way,

    and a ranking is evolved by the greatest number of preferred victories. This method

    ensures that each employee is compared against every other, but the method can

    become unwieldy when large numbers of employees are being compared.

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    9. Management by Objectives

    Management by objectives (MBO) is a process that converts organizational

    objectives into individual objectives. It can be thought of as consisting of four steps:

    goal setting, action planning, self-control, and periodic reviews:-

    a) In goal setting, the organizations overall objectives are used as guidelines from

    which departmental and individual objectives are set. At the individual level, the

    manager and subordinate jointly identify those goals that are critical for the

    subordinate to achieve in order to fulfill the requirements of the job as determined in

    job analysis. These goals are agreed upon and then become the standards by which

    the employees results will be evaluated.

    b) In action planning, the means are determined for achieving the ends established

    in goals setting. That is, realistic plans are developed to attain the objectives. This

    step includes identifying the activities necessary to accomplish the objective,

    establishing the critical relationships between these activities, estimating the time

    requirement for each activity, and determining the resources required to complete

    each activity.

    c) Self-control refers to the systematic monitoring and measuring of performance.

    Ideally, by having the individual review his or her own performance. The MBO

    philosophy is built on the assumptions that individuals can be responsible, can

    exercise self-direction, and do not require external controls and threats of

    punishment.

    d) Finally, with periodic progress reviews, corrective action is initiated when behavior

    deviates from the standards established in the goal-setting phase. Again, consistent

    with MBO philosophy, these manager-subordinate reviews are conducted in a

    constructive rather than punitive manner. Reviews are not meant to degrade the

    individual but to aid in future performance. These reviews should take place at least

    two or three times a year motivation.

    e) Employees know exactly what is expected of them and how they will beevaluated.

    f) Employees have a greater commitment to objectives that they have participated in

    developing than to those unilaterally set by their bosses.

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    10. 360 degree appraisal

    The 360 degree feedback process involves collecting perceptions about a persons

    behaviour and the impact of that behaviour from the persons boss or bosses, direct

    reports, colleagues, fellow members of project teams, internal ad external

    customers, and suppliers. Other names for 360 degree feedback are multi-rater

    feedback, multisource feedback, full-circle appraisal, and group performance review.

    360 degree feedback is a method and a tool that provides each employee the

    opportunity to receive performance feedback from his or her supervisor and four to

    eight peers, subordinates and customers. 360 degree feedback allows each

    individual to understand how his effectiveness as an employee, co-worker, or staff

    member is viewed by others. The most effective processes provide feedback that isbased on behaviours that other employees can see. The feedback provides insight

    about the skills and behaviours desired in the organization to accomplish the mission

    , vision, goals and values. The feedback is firmly planted in behaviours needed to

    exceed customer expectations. People whoe are chosen as raters are usually those

    that interact routinely with the person receiving feedback.

    The purpose of the feedback is to:

    a) assist each individual to understand his or her strengths and weaknesses.

    b) contribute insights into aspects of his or her work needing professional

    development.

    Following are some of the major considerations in using 360 degree feedback.

    These are basically concerned with how to:

    a) select the feedback tool and process;

    b) select the raters;

    c) use the feedback

    d) review the feedback; and

    e) manage and integrate the process into a larger performance management

    system.

    Features of 360 degree appraisal

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    Organizations that are using with the 360 degree component of their performance

    management systems identify following positive features of the process. These

    features will manifest themselves in well-managed, well-integrated 360 degree

    processes.

    a) Improved Feedback from more sources: Provides well-rounded feedback

    frompeers, reporting staff, co-workers, and supervisors. This can be a definite

    improvement over feedback from a single individual. 360 feedback can also save

    managers time in that they can spend less energy providing feedback as more

    people participate in the process. Co-worker perception is important and the process

    helps people understand how other employees view their work.

    b) Team Development: Helps team members learn to work more effectively

    together. Team members know more about how other members are performing than

    their supervisor. Multirater feedback makes team members more accountable to

    each other as they share the knowledge that they will provide input on each

    members performance. A well-planned process can improve communication and

    team development.

    c) Personal and Organizational Performance Development: 360 degree feedback

    is one of the best methods for understanding personal and organizational

    developmental needs.

    d) Responsibility for Career Development: For many reasons, organizations per

    se are no longer responsible for developing the careers of thei employees. Multirater

    feedback can provide excellent information to individuals about what they need

    to do to enhance their career. Additionally, many employees feel 360 degree

    feedback is more accurate, more reflective of their performance, and more validating

    than feedback from the supervisor along. This makes the information more useful for

    both career and personal development.

    e) Reduced Discrimination Risk: When feedback comes from a number of

    individuals in various job functions, biases because of varying reasons are reduced.

    The judgemental errors of the supervisors are eliminated as the feedback comes

    from various sources.

    f) Improved Customer Services: Feedback process involves the internal orexternal customer. Each person receives valuable feedback about the quality of his

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    product or services. This feedback should enable the individual to improve the

    quality, reliability, promptness, and comprehesiveness of these products and

    services to his/her customers.

    g) Training Needs Assessment: Multirater feedback provides comprehensive

    information about organization training needs and thus helps in mounting relevant

    training programmes. Such programmes add value to the contribution made by the

    individual employee.

    Benefits of 360 degree Appraisal:

    Following benefits of 360 degree Appraisal accrue to the individual, team and

    organization:

    To the individual:

    a) This process helps individuals to understand how others perceive them

    b) It uncovers blind spots

    c) It provides feedback that is essential for learning

    d) Individuals can better manage their own performance and careers

    e) Quantifiable data on soft skills is made available.

    To the team:

    a) It increases communication between team members

    b) It generates higher levels of trust ad better communication as individuals identify

    the causes of breakdowns

    c) It creates better team environment as people discover how to treat others and

    how they want to be treated

    d) It supports teamwork by involving team members in the development process

    e) It increased team effectiveness.

    To the Organization:

    a) It reinforces corporate culture and openness and trust

    b) It provides better opportunities for career development for employees

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    c) Employees get growth and promotional opportunities

    d) It improves customer service by having customers contribute to evaluation

    e) It facilitates the conduct of relevant training programmes.

    Approaches and techniques in performance appraisal

    Performance appraisal is a multistage process involving several activities, which can

    be administered using a variety of approaches. Some of these approaches are

    considered below, based on Einstein and LeMere-Labonte, 1989; and Monga, 1983:

    Intuitive approachIn this approach, a supervisor or manager judges the employee

    based on their perception of the employee's behaviour.

    Self-appraisal approachEmployees evaluate their own performance using a

    common format.

    Group approachThe employee is evaluated by a group of persons.

    Trait approachThis is the conventional approach. The manager or supervisor

    evaluates the employee on the basis of observable dimensions of personality, such

    as integrity, honesty, dependability, punctuality, etc.

    Appraisal based on achieved resultsIn this type of approach, appraisal is based on

    concrete, measurable, work achievements judged against fixed targets or goals set

    mutually by the subject and the assessor.

    Behaviourial methodThis method focuses on observed behaviour and observable

    critical incidents.

    OBSTACLE OF PERFORMANCE APPRAISAL:

    The challenges of performance measurements are:

    Raters errors and biases

    The influence of likings

    Organizational politics

    Whether to focus on individuals or groups

    Legal issues

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    Rating Biases:The problem with subjective measure has the opportunity for bias.

    The rater biases include:

    a) Halo Effect: it is the tendency of the raters to defend excessively on the

    rating of one trait or behavioural consideration in rating all other traits orbehavioural considerations. One way of minimizing the halo effect is

    apprising all the employees by one trait before going to rate on the basis of

    another trait.

    b) The Error of Central Tendency: Some raters follow play safe policy in rating

    by rating all the employees around the middle point of the rating scale and

    they avoid rating the people at both the extremes of the scales. They follow

    play safe policy because of answerability to management or lack of

    knowledge about the job and person he is rating or least interest in his job.

    c) The leniency and strictness: The leniency bias crops when some raters have

    a tendency to be liberal in their rating by assigning higher rates consistently.

    Such rating does not serve any purpose. Equally damaging one is assigning

    higher rates consistently. Such ratings do not serve any purpose. Equally

    damaging one is assigning consistently low rates.

    d) Personal Prejudice: If the rater dislikes any employee or any group, he may

    rate them at the lower end, which may distort the rating purpose and affect

    the career of these employees.

    e) The Recency Effect: The raters generally remember the recent actions of the

    employee at the time of rating and rate on the basis of these recent action-

    favorable or unfavorable- rather than on the whole activities.

    Some other constrains of performance appraisals are:

    A work culture not so conductive to proper giving and receiving of feedback

    Lack of appreciation about the philosophy and benefits of performance

    feedback

    Lack of willingness of superiors/top management in adopting this practice

    Fears and apprehensions about the use of performance feedback outcomes

    Confidentiality in the existing performance appraisal system

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    Interference by the trade unions in case of workers

    Lack of proper system/procedure

    Lack of accountability

    Lack of clarity on role, goal, job demands, etc.

    No direct linkages of performance feedback system with rewards/punishment

    Lack of proper skill in performance analysis and giving feedback

    Constraint of time availability

    Personal bias and subjectivity

    Non-uniformity in the criteria of performance analysis

    Lack of trust and openness in people and conservativeness

    Heterogeneous interest

    Low motivation

    Target achievement oriented system

    Non recognition of the effort in subordinate development.

    Designing performance Appraisal for better result

    How do we know whether what is appraised is what was supposed to be appraised.

    As long as appraisal format and procedure continues to involve subjective judgment,

    this question cannot be fully answered and perhaps, will not be answered completely

    because no matter how objective a system is designed it will continue to be

    subjective. Perhaps, the following steps can help improve the system.

    a) The supervisors should be told that performance appraisal is an integral part of

    their job duties and that they themselves would be evaluated on how seriously they

    have taken this exercise.

    b) To help them do this task well, they should be provided systematic training on

    writing performance reports and handling performance interviews.

    c) Conduct job evaluation studies and prepare job descriptions/roles and developseparate forms for various positions in the organization.

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    d) Design the system as simple as possible so that it is neither difficult to understand

    nor impossible to practice

    e) Generally after the appraisal interview the employee is left alone to improve his

    performance on the dimensions. The supervisor should monitor now and thenwhether the improvement in performance in the areas found weak is taking place or

    not and, if not, help the employee to achieve the required improvement.

    f) Finally, reviewing, the appraisal systems every now and then help updating it, and

    making suitable evolutionary changes in it. This is the most important factor in

    making performance appraisal effective. As time passes changes in technology and

    work environment necessitate changes in tasks, abilities and skills to perform these

    tasks. If changes in the format are not incorporated the reports may not generate the

    kind of date needed to satisfy appraisal objectives.

    In addition, following can also help in improving the effectiveness of an appraisal:

    a) Behaviorally Based Measures

    The evidence strongly favors behaviorally based measures over those

    developed around traits. Many traits often considered to be related to good

    performance may, in fact have little or no performance relationship. Traits like loyalty,initiative, courage, reliability, and self-expression are intuitively appealing as

    desirable characteristics in employees. But the relevant question is, Are individuals

    who are evaluated as high on those traits higher performers than those who rate

    low? Traits like loyalty and initiative may be prized by managers, but there is no

    evidence to support that certain traits will be adequate synonyms for performance in

    large cross-section of jobs. Behaviorally derived measures can deal with this

    objection. Because they deal with

    specific examples of performance-both good and bad, they avoid the problem of

    using inappropriate substitutes.

    b) Ongoing Feedback

    Employees like to know how they are doing. The annual review, where the

    manager shares the subordinates evaluations with them, can become a problem. In

    some cases, it is a problem merely because managers put off such reviews. This is

    particularly likely if the appraisal is negative. The solution lies in having the manager

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    share with the subordinate both expectations and disappointments on a day-today

    basis. By providing the employee with frequent opportunities to discuss performance

    before any reward or punishment consequences occur, there will be no surprises at

    the time of the annual formal review. In fact, where ongoing feedback has been

    provided, the formal sitting down step should not be particularly traumatic for either

    party.

    c) Multiple Raters

    As the number of raters increase, the probability of attaining more accurate

    information increases. If rater error tends to follow a normal curve, an increase in the

    number of raters will tend to find the majority congregating about the middle. If a

    person has had ten supervisors, nine having rated him or her excellent and one

    poor, we can discount the value of the one poor evaluation.

    d) Peer Evaluations

    Periodically managers find it difficult to evaluate their subordinates

    performance because they are not working with them every day. Unfortunately,

    unless they have this information, they may not be making an accurate assessment.

    One of the easiest means is through peer evaluations. Peer evaluations are

    conducted by employees coworkers, people explicitly familiar with the jobs involved

    mainly because they too are doing the same thing, they are the ones most aware of

    co-workers day to-day work behavior and should be given the opportunity to provide

    the management with some feedback.

    The main advantages to peer evaluation are that (a) there is tendency for co-workers

    to offer more constructive insight to each other so that, as a unit, each will improve;

    and (b) their recommendations tend to be more specific regarding job behaviors-

    unless specificity exists, constructive measures are hard to gain.

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    REVIEW OF LITERATURE

    The performance management is very helpful for top management to evaluate

    a person performance in a year. The continuous process of performance appraisal

    helps the management to know an employee monthly performance. Now in every

    organisation the management by objective method are applied first of all they set the

    goal and they are start working upon that and they gives PMS (personal

    management system) every individual. And according to that they are started their

    work.

    Career planning is the another thing which is help in the performance

    management of the employee when they do the critical job in the initial stage and ifthey will success then its easy to grow in vertically to the top position by showing top

    management of your good performance.

    In essence the performance appraisal has been using the critical incident

    approach where the performance factors were evaluated against critical incidents

    and goals that were worked out between the manager and employee. The goals

    were set by using the management-by-objective technique. The performance

    factors were derived from job analysis where the behaviour have been studied, thenwritten as performance factors. In reviewing the performance appraisal, the

    researcher rated the performance appraisal as doing as good job in meeting its

    multiple objectives. The researcher noted that at times some of the objectives did

    conflict, for e.g. the employees freedom in goal setting may have been stifled by the

    manager and the departments planning effort. The organisation showed an interest

    in development of employees. The interest has been more for improvement of the

    employee at his current job. Rather for developing employees career. Proficiency at

    the employees current. The performance appraisal has provided a structure for

    communications between employees and management that could help clarify

    expectations of the employee by management and the employee. However the

    researcher noted that performance appraisal has been predominately concerned

    with the employees past performance. The performance appraisal has state relative

    strength of the employee before stating the relating weaknesses of the employee.

    The researcher can only venture an opinion that this has been done with the purpose

    of providing the employee with satisfaction in to encourage the employee. Another

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    purpose of stating relative strengths before weaknesses would be softer the blow of

    criticism.

    The performance appraisal used by the corporation has been determined by

    the researcher to be for organisational development with an emphasis on theemployees individual performance. The appraisal has placed a great deal of

    importance on improving the employees at his or her current job. Corporation had

    expected proficiency as a criteria for promotion or career advancement.

    The duration of training programmed should be increased the ways

    communication between the employer and the employees should be carried out. For

    effective rating of employee, it is necessary to establish standards of performance

    against which their performance should be compared.

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    CHAPTER-2

    PURPOSE OF STUDY

    The study has attempted to accomplish several purposed by the

    organisation of the concept of using performance appraisal as a means of employee

    development. These purposes have hopefully been accomplished through the use of

    a comparison of the performance appraisal techniques used by the corporation as

    compared to other known as appraisal methods and techniques. The first goal has

    been to determine the methods used within the performance appraisal form provided

    by the corporation. The performance Appraisal has been developed by the

    corporation for internal use. The performance appraisal has been examined by

    sections and a determination has been made by the researcher as to which known

    methods of performance appraisal were used in those sections. The next goal has

    been to determine whether the performance appraisal has been used to further

    develop the organisation, to develop employees by providing for the employees

    career development needs or both. This purpose has been accomplished by

    comparing the purposes of the traditional (overall) and developmental approaches of

    performance appraisal to the purposes for performance appraisal that were given by

    the corporation. Another aspect of the study has been to see whether the

    development aspect of performance appraisal could be applied to all employees or

    just to chosen a few. The study has not attempted to go beyond recognising different

    treatments for the different group of employees and the researcher considered this

    issue to have been beyond the scope of the study. The corporation has integrated

    many methods and techniques performing performance appraisal into a practical

    performance appraisal in a general sense. The purpose of this study has been has

    been to determine whether the performance appraisal was used for employee

    development and whether the appraisal was emphasised as an important part of the

    performance appraisal process. Hypothesis used in the study.

    The study examined the following hypothesis:

    1. The corporations performance appraisal, when used properly, has not met

    the criteria of a developmental performance appraisal.

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    2. The use of an employee performance appraisal for developmental purposes

    has not served to make the employees more effective, as compared to a

    performance appraisal that has not attempted to develop employee.

    The study will attempt to prove the first hypothesis by comparing the criteriaused by the corporation for performance appraisal as compares with performance

    appraisal being used for developmental purposes. As a means of verifying the

    hypothesis, the purposes for a developmental performance appraisal were compared

    to the purposes of corporations performance appraisal. In attempting to prove the

    second hypothesis; the study required the use published information supplied by

    independent surveys and research groups. Information concerning the employees

    attitudes towards the corporations performance appraisal has been provided by thecorporation, but has been found to be limited by offering insight into the effectiveness

    of the appraisal.

    NEED OF STUDY:-

    Performance appraisal has been approached from two view points. Both

    approaches have intended to increase the organisation effectiveness. The first

    approaches has been used to rate the overall organisational performance. The

    overall organisational approach has been concerned primarily with personnel

    decisions about employees with little regard for the employee as individuals. The

    second approach involved using the performance appraisal technique as contributor

    to employee motivation development and human resources planning. The second

    approached has placed the emphasis on the overall organisational view. More

    importantly, the emphasis has been placed on treating the employee as an

    individual. In assessing the need for the study, the researcher considered the known

    methods into a performance appraisal. The prime consideration has been whether

    the performance appraisal had been used for employee career development

    purposes. The researcher has been of the opinion that this study would provide an

    example of the application of known performance appraisal methods and techniques

    to determine whether the corporations performance appraisal had been used for

    developmental has also been given.

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    OBJECTIVE OF APPRAISAL:-

    Almost all organisations practice performance appraisal in one form or another

    to achieve certain objectives. These objectives may vary from organisation to

    organisation or even within the same organisation from time to time. It has been

    found that there are two primary objectives behind the use of this methodology. One

    is to use it asan evaluation system and second, to use it as a feedback system.

    The aim of the evaluation system is to identify the performance gap. This

    means that it helps to determine the gap between the actual performance of

    the employee and that required or desired by the organisation.

    The aim of the feedback system is to inform the employee about the quality of

    his work or performance. This is an interactive process by which the

    employee can also speak about his problems to his superiors.

    An effective performance appraisal system should emphasis objectives,

    organisational objectives and also mutual objectives. From the view point of

    individual objectives the performance appraisal should talk about...

    a) What task the individual is expected to do?

    b) How well the individual has done the task?c) How can his performance be further improved?

    d) His reward for doing well.

    From the organisational view point a performance appraisal should

    generate manpower information, improve efficiency and effectiveness serve as a

    mechanism or control and provide a rational compensation structure. In short the

    appraisal system establishes and upholds the principle of accountability in the

    absence of which organisation failure is the only possible outcome. Finally, talkingabout mutual goals, the emphasis is on growth and development, harmony,

    effectiveness and profitability.

    SCOPE OF STUDY:-

    This study focuses on executives performance appraisal system as JCW as a

    unit of ULTRA TECH CEMENT. Here we are conducting survey to find out the

    performance appraisal of employee at JCW plant this new of executives were taken

    from primary and secondary data.

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    RESEARCH METHODOLOGY:-

    In this research methodology both Primary & Secondary sources of data have

    been used. Various techniques like questionnaire method, rating method, etc are

    being used. These techniques help us in collecting various data about the

    employees which ultimately indicates about their perception on Performance

    Appraisal adopted by Ultra Tech Cement.

    EFFECTIVE AND SUCCESSFUL PERFORMANCE APPRAISAL:-

    The effective and successful performance appraisal can be done by the several

    ways those are as follows....

    Documentation:- continuous document of performance and take ratingsystem.

    Goal:- always target to achieve the goal and show the employee.

    Practical:- give clear, practical and understandable answer.

    Evaluate:- evaluate their performance by the help f surveys and by using

    ranking and several method.

    Communicate:- the message should be communicate to all, means from top

    to bottom. Feedback:-giver feedback as the performance and try to attach 1st

    emotionally.

    Personal relation:- it also a way that helps to give the negative feedback and

    tells to them for the improvement.

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    LIMITATIONS:-

    1. The researcher was requested not to publish the name of the major

    corporation. That provided their performance appraisal information and

    appraisal instrument in this study.

    2. Because of a recent decision by the corporation to market their performance

    appraisal system, the researcher has referred to the firm providing the

    performance appraisal information and appraisal instruments as the

    corporation.

    3. The study has been confined to the formal performance and employee

    development portion of the appraisal system of the company that provided the

    performance appraisal instruments for the study. The coaching,communication interview, and salary determination portion have been omitted.

    4. Information regarding the effectiveness of the performance appraisals for

    most companies and government agencies was not a matter of public record.

    Therefore, the effectiveness of an employee developmental performance

    appraisal technique could only be determined from published information

    supplied by independent surveys and research groups.

    5. The study has been limited to only the appraisal instrument and how theappraisal has been intended to be used, not with potential evaluator problems

    or biases arising from the use of the performance appraisal.

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    CHAPTER-3

    COMPANY PROFILE AND HISTORY

    Ultratech cement limited, Jharsuguda cement works, a part of Aditya Birla

    Group was previously under the L&T group of companies. The cement division of

    L&T was demerged in 2004 after Grasim made the 30% open offers for Equity

    shares gained control over the company, Christened Ultratech.

    Aditya Birla Group is the first truly multinational corporation of India. Global in

    Vision: rooted in Indian Values the group is driven by a performance ethic pegged on

    value within for its multiple share holders.

    A US $29.2 billion corporation, the Aditya Birla Group is in the league of

    Fortune 500. It is anchored by an extraordinary force of 130,000 employees,

    belonging to 30 different nationalities. In India, the Group has been adjudged "The

    Best Employer in India and among the top 20 in Asia" by the Hewitt-Economic Times

    and Wall Street Journal Study 2007. Over 50 per cent of its revenues flow from its

    overseas operations.

    The Group operates in 25 countries India, UK, Germany, Hungary, Brazil,Italy, France, Luxembourg, Switzerland, Australia, USA, Canada, Egypt, China,

    Thailand, Laos, Indonesia, Philippines, Dubai, Singapore, Myanmar, Bangladesh,

    Vietnam, Malaysia and Korea.

    Globally the Aditya Birla Group is:

    :: A metals powerhouse, among the world's most cost-efficient aluminium and

    copper producers.Hindalco-Novelis is the largest aluminium rolling company. It is

    one of the three biggest producers of primary aluminium in Asia, with the largest

    single location copper smelter

    :: No.1 inviscose staple fibre

    :: The fourth largest producer ofinsulators

    :: The fourth largest producer ofcarbon black

    http://www.hindalco.com/http://www.novelis.com/http://www.grasim.com/http://www.adityabirlainsulators.com/http://www.birlacarbon.com/http://www.birlacarbon.com/http://www.adityabirlainsulators.com/http://www.grasim.com/http://www.novelis.com/http://www.hindalco.com/
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    :: The 11th largestcement producer globally, the seventh largest in Asia and the

    second largest in India

    :: Among the world's top 15BPO companies and among India's top four

    :: Among the best energy efficientfertilizer plants In India

    :: A premierbranded garments player

    :: The second largest player inviscose filament yarn

    :: The second largest in the chlor-alkali sector

    :: Among the top fivemobile telephony companies

    :: A leading player inlife insurance andasset management

    :: Among the top three supermarket chains in theretail business

    Rock solid in fundamentals, the Aditya Birla Group nurtures a culture where success

    does not come in the way of the need to keep learning afresh, to keep

    experimenting.

    Beyond business the Aditya Birla Group is:

    :: Working in 3,700 villages

    :: Reaching out to seven million people annually through theAditya Birla Centre for

    Community Initiatives and Rural Development,spearheaded by Mrs. Rajashree

    Birla

    :: Focusing on: health care, education, sustainable livelihood, infrastructure and

    espousing social causes

    :: Running 42 schools and 18 hospitals

    Transcending the conventional barriers of business to send out a

    message that "We care".

    http://www.grasim.com/http://www.minacs.adityabirla.com/http://www.adityabirlanuvo.com/indogulf/index.aspxhttp://www.adityabirlanuvo.com/maduragarments/index.aspxhttp://www.adityabirlanuvo.com/indianrayon/index.aspxhttp://www.ideacellular.com/http://www.birlasunlife.com/BirlaSunLife/Insurance/BSLI_MP/index5.aspxhttp://www.birlasunlife.com/BirlaSunLife/Mutual_Fund/BSLAMC_MP/index.aspxhttp://www.morestore.com/http://www.morestore.com/http://www.birlasunlife.com/BirlaSunLife/Mutual_Fund/BSLAMC_MP/index.aspxhttp://www.birlasunlife.com/BirlaSunLife/Insurance/BSLI_MP/index5.aspxhttp://www.ideacellular.com/http://www.adityabirlanuvo.com/indianrayon/index.aspxhttp://www.adityabirlanuvo.com/maduragarments/index.aspxhttp://www.adityabirlanuvo.com/indogulf/index.aspxhttp://www.minacs.adityabirla.com/http://www.grasim.com/
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    A NATIONAL PRESENCE

    The Aditya Birla Group is the 11thlargest cement producer in the World and the 7th

    largest in Asia.

    As part of the eighth biggest cement manufacturer in the world, UltraTech Cement

    has five integrated plants, five grinding units as well as three terminals of its own

    (one overseas, in Colombo, Sri Lanka). These facilities gradually came up over the

    years, as indicated below:

    2006

    :: Narmada Cement Company Limited amalgamated with UltraTech pursuant to a

    Scheme of Amalgamation being approved by the Board for Industrial & Financial

    Reconstruction (BIFR) in terms of the provision of Sick Industrial Companies Act

    (Special Provisions)

    2004

    :: Completion of the implementation process to demerge the cement business of

    L&T and completion of open offer by Grasim, with the latter acquiring controlling

    stake in the newly formed company UltraTech

    2003

    :: The board of Larsen & Toubro Ltd (L&T) decides to demerge its cement business

    into a separate cement company (CemCo). Grasim decides to acquire an 8.5 per

    cent equity stake from L&T and then make an open offer for 30 per cent of the

    equity of CemCo, to acquire management control of the company.

    2002

    :: The Grasim Board approves an open offer for purchase of up to 20 per cent of

    the equity shares of Larsen & Toubro Ltd (L&T), in accordance with the

    provisions and guidelines issued by the Securities & Exchange Board of India

    (SEBI) Regulations, 1997.

    :: Grasim increases its stake in L&T to 14.15 per cent

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    :: Arakkonam grinding unit

    2001

    :: Grasim acquires 10 per cent stake in L&T. Subsequently increases stake to 15.3

    per cent by October 2002

    :: Durgapur grinding unit

    1998-2000

    :: Bulk cement terminals at Mangalore, Navi Mumbai and Colombo

    1999

    :: Narmada Cement Company Limited acquired

    :: Ratnagiri Cement Works

    1998

    :: Gujarat Cement Works Plant II

    :: Andhra Pradesh Cement Works

    1996

    :: Gujarat Cement Works Plant I

    1994

    :: Hirmi Cement Works

    1993

    :: Jharsuguda grinding unit

    1987

    :: Awarpur Cement Works Plant II

    1983

    :: Awarpur Cement Works Plant I

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    FEATURES

    We see the future

    Building a better world for all: UltraTech is proud to be the preferred cement

    supplier for the Bandra-Worli Sea Link

    :: UltraTech brand power

    In step with its global agenda, the cement business of the Aditya Birla Group, is

    orchestrating a contemporary brand makeover

    :: Guts and glory

    The Aditya Birla Group Corporate Sporting Challenge team of the Standard

    Chartered Mumbai Marathon 2008 raced to the victory stand to finish second

    :: A leader for the youth of India

    The leader should leverage his understanding of critical issues to connect people

    across divides, while he himself communicates and connects with the diverse

    segments of society

    :: UltraTech concrete we make good concrete better

    UltraTech Concrete is produced and delivered through stringent quality measures

    to ensure absolute strength and durability

    :: Aditya Birla Group is Hewitt Best Employer 2007

    The Aditya Birla Group was ranked number one in India and among the best in

    Asia by Hewitt in their Best Employers

    :: Every mile counts

    A large team of enthusiasts from the Aditya Birla Group are running at the

    Standard Chartered Mumbai Marathon 2007

    :: The Aditya Birla Group acquires Trinethra Super retail

    The Aditya Birla Group makes its first move into the retail sector

    ::2006: The year that was

    http://www.adityabirla.com/media/features/abg_marathon_team08.htmhttp://www.adityabirla.com/media/features/A_leader_for_the_youth.htmhttp://www.adityabirla.com/media/features/hewitt_best_employer_2007.htmhttp://www.adityabirla.com/media/features/marathon.htmhttp://www.adityabirla.com/media/features/trinethra_superretail.htmhttp://www.adityabirla.com/media/features/year_that_was.htmhttp://www.adityabirla.com/media/features/year_that_was.htmhttp://www.adityabirla.com/media/features/trinethra_superretail.htmhttp://www.adityabirla.com/media/features/marathon.htmhttp://www.adityabirla.com/media/features/hewitt_best_employer_2007.htmhttp://www.adityabirla.com/media/features/A_leader_for_the_youth.htmhttp://www.adityabirla.com/media/features/abg_marathon_team08.htm
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    The year 2006 saw the Aditya Birla Group consolidate its position as India's first

    truly multinational

    :: Aditya Birla Group companies to give ESOPs

    The Aditya Birla Group is introducing ESOPs as a long-term employee-incentive

    and talent-retention plan

    :: A roof over their head

    The Aditya Birla Group has helped resettle tsunami-struck villagers in Tamil Nadu

    by building 119 quakeproof houses for them

    :: Bihar Caustic bags ICMA Award for the best responsible care committed

    company

    Bihar Caustic and Chemicals Ltd. has been recognized as best responsible care

    committed company by ICMA

    :: Aditya Birla Minerals on a growth trajectory

    Aditya Birla Minerals is poised to become the fourth largest producer of copper in

    Australia

    ::

    Engineering prowessWith the unveiling of UltraTech, the Aditya Birla group is implementing one of the

    largest brand transition exercises in India

    http://www.adityabirla.com/media/features/esops_story.htmhttp://www.adityabirla.com/media/features/roof_over_head.htmhttp://www.adityabirlachemicals.com/news_event/features/icma_award.htmhttp://www.adityabirlachemicals.com/news_event/features/icma_award.htmhttp://www.hindalco.com/media/features/growth_trajectory.htmhttp://www.hindalco.com/media/features/growth_trajectory.htmhttp://www.adityabirlachemicals.com/news_event/features/icma_award.htmhttp://www.adityabirlachemicals.com/news_event/features/icma_award.htmhttp://www.adityabirla.com/media/features/roof_over_head.htmhttp://www.adityabirla.com/media/features/esops_story.htm
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    STRONG AND STURDY

    Ultratech cement limited has an annual capacity of 17.2 million tones. It

    manufactures and markets Ordinary Portland cement, Portland Blast Furnace Slagcement and Portland Pozzalana cement. It also manufactures ready mix concrete

    (RMC). Ultratech cement limited has five integrated plants, six grinding Units and two

    terminals- Two in India and One in Sri Lanka.

    Ultratech cement is the countrys largest exporter of cement clinker. The export

    market spans countries around the Indian Ocean, Africa, Europe and Middle East.

    Ultratechs subsidiaries are Dakshin Cement Limited and Ultratech Ceylinco

    (P) Limited.

    Details of UltraTech's production capacities

    Location of units Capacity

    A Composite plants 17.0 million tpa

    Andhra Pradesh cement works 2.3

    Awarpur cement works 3.3

    Gujarat cement works 5.3Hirmi cement works 1.6

    Narmada cement works 0.4

    B Grinding units

    Arakkonam cement works 1.2

    Jharsuguda cement works 0.8

    Narmada cement (Ratnagiri) works 0.4

    Narmada cement (Magdala) works 0.7

    West Bengal cement works 1.0

    TOTAL 17.0

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    FIVE VALUES

    As a part of Aditya Birla Group, which lays stress on values, JCW is driven by the so-

    called five values i.e. Integrity, Commitment, Passion, Seamlessness, and Speed.

    Even from the chairpersons desk the values found importance.

    INTEGRITY:-

    Acting and taking decisions in a manner that these are fair, honest, following the

    highest standards of professionalism and are also perceived to be so. Integrity

    means not only financial and intellectual but in all other forms as are commonly

    understood. Key words that connote integrity are truthful, principled, ethical,

    transparent, upright & respectful.

    COMMITMENT:-

    On the foundation of Integrity, see commitment as doing whatever it takes to deliver

    as promised. Key words of commitment are accountability, discipline, responsibility,

    results-orientation, self-confidence & reliability.

    PASSION:-

    Passion is defined as missionary zeal arising out of an emotional engagement with

    work, which inspires each one to give his or her best. Relentless pursuit of goals &objectives with the highest level of energy and enthusiasm, that is voluntary and

    spontaneous. Key words that connote passion are intensity, innovation,

    transformational, firenthebelly & inspirational, deep sense of purpose.

    SEAMLESSNESS:-

    Seamlessness is thinking & working together across functional silos, hierarchy

    levels, across business lines and geographies. Leveraging the available diversity to

    garner synergy benefits and promote oneness through sharing & collaborative

    efforts. Key words that connote seamlessness are teamwork, integration,

    involvement, openness, global learning from the best and empowering.

    SPEED:-

    Speed is the response to the external and internal customers with a sense of

    urgency. Continuously seeking to crash timelines and choosing the right rhythm to

    optimize organizational effencies. Key words that connote speed are response time,

    agile, accelerated, timelines, nimble, prompt, proactive and decisive.

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    ULTRATECH QUALITY POLICY

    We are committed to produce and deliver our customers cement of consistent

    quality to use. Quality means not only conformation to specific product

    characteristics, but meeting customers expectations as well.

    It shall be our commitment to maintain quality product, while striving

    continuously for productivity improvement and cost effectiveness.

    We believe that our employees are our strength and hence we shall endeavor

    to create a harmonious work environment resulting in employees achievement of

    organizational objectives and goals.

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    ULTRATECHS VISION

    "To actively contribute to the social and economic development of thecommunities in which we operate.

    In so doing, build a better, sustainable way of life for the weaker sections of

    society and raise the country's human development index."

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    PERFORMANCE APPRAISAL PROCESSADOPTED BY ULTRA TECH CEMENT LTD.

    DEFINE ORGANIZATIONAL

    GOALS

    DEFINING EMPLOYEE

    OBJECTIVES

    CONTINUOUS MONITORING

    OF PERFORMANCE &

    PROGRESS

    PERFORMANCE

    EVALUATION/ REVIEW

    PROVIDING FEEDBACK

    PA REWARD/PUNISHMENT

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    UNIQUE FEATURES AND ADVANTAGES

    The principle behind the process is to create empowered employees who have

    clarity of the roles and responsibilities expected from them, understand their

    objectives to be achieved and thus help in the achievements of organisational as

    well as personal goals.

    Some of the important features and advantages are:-

    Clarity of goals-

    With this Process, came the concept of SMART goals i.e. goals that are:

    1. Specific

    2. Measurable

    3. Achievable

    4. Realistic and

    5. Time bound

    The goals thus set are clear, motivating and there is a linkage between

    organisational goals and performance targets of the employees.

    A. The focus is on future rather than on past-

    Goals and standards are set for the performance for the future with periodic

    reviews and feedback.

    B. Motivation-

    Involving employees in the whole process of goal setting and increasing

    employees empowerment increases employee job satisfaction and commitment.

    C. Better communication and coordination-

    Frequent reviews and interactions between superiors and subordinates help

    to maintain harmonious relationships within the enterprise and also solve many

    problems faced during the period.

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    Ratings system used by this process

    Beyond Expectation (60% - 89%)

    Exceed Expectation (110%-119%)

    Far Beyond Expectation (Less than 60%)

    Far Exceed Expectation (=120%)

    Meet Expectation (90%-109%)

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    QUESTIONNAIRE ON

    PERFORMANCE APPRAISAL SYSTEM

    1. Is performance appraisal system needed in organization ?

    2. The performance appraisal system helps to improve co-operation & work?

    3. The performance appraisal system is helpful in reducing grievances among

    employees ?

    4. The performance appraisal system is helpful for improving personal skill &

    organizational development?

    5. The performance rating is helpful for the management to provide employee

    counseling?

    6. Performance appraisal increases employee motivation?

    7. Are you acquainted with the procedure of performance appraisal system

    adopted by ultra tech cement ltd.?

    8. Are you satisfied with the existing performance appraisal system?

    9. If no then what are the suggestion for improve the present performance

    appraisal system?

    Question 1-6 options

    -Strongly Agree -Agree -Niether Agree Nor Disagree -Disagree -Strongly

    Disagree

    Question 7-8 options

    -Yes -No

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    CHAPTER-4

    DATA ANALYSIS

    Q.NO.1

    DEPARTMENT NO. OF RESPONDENTSHR&A 5

    PRODUCTION 20

    ACCOUNTS 4

    R&D 0

    OTHERS 1

    TOTAL 30

    8%

    33%

    7%

    0%2%

    50%

    Chart Title

    HR&A PRODUCTION ACCOUNTS R&D OTHERS TOTAL

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    Q.NO.2

    YEAR OF SERVICE NO. OF RESPONDENTS

    UPTO 2 YRS 3

    2-6 YRS 8

    6-10 YRS 4

    ABOVE 10 YRS 15

    TOTAL 30

    5%13%

    7%

    25%

    50%

    NO. OF RESPONDENTS

    UPTO 2 YRS 2-6 YRS 6-10 YRS ABOVE 10 YRS TOTAL

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    Q.No.3

    NEED OF PA IN ORGANIZATION NO.OF RESPONDENTSSTRONGLY AGREE 20

    AGREE 10

    NEITHER AGREE NOR DISAGREE 0

    DISAGREE 0

    STRONGLY DISAGREE 0

    TOTAL 30

    33%

    17%

    0%

    0%0%

    50%

    NO. OF RESPONDENTS

    1 STRONGLY AGREE

    2 AGREE

    3 NEITHER AGREE NOR DISAGREE

    4 DISAGREE

    5 STRONGLY DISAGREE

    5 TOTAL

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    Q.NO.4

    EFFECTIVENESS OF PA IN IMPROVING CO-OPERATION & WORK NO. OFRESPONDENTS

    STRONGLY AGREE 13

    AGREE 12

    NEITHER AGREE NOR DISAGREE 3

    DISAGREE 1

    STRONGLY DISAGREE 1

    TOTAL 30

    22%

    20%

    5%

    1%2%

    50%

    Chart Title

    STRONGLY AGREE

    AGREE

    NEITHER AGREE NOR DISAGREE

    DISAGREE

    STRONGLY DISAGREE

    TOTAL

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    Q.NO.5

    PA SYSTEM IS HELPFUL IN REDUCING GRIEVANCES AMONG

    EMPLOYEESNO. OF RESPONDENTS

    STRONGLY AGREE 6

    AGREE 11

    NEITHER AGREE NOR DISAGREE 9

    DISAGREE 3

    STRONGLY DISAGREE 1

    TOTAL 30

    10%

    18%

    15%

    5%2%

    50%

    Chart Title

    STRONGLY AGREE AGREE

    NEITHER AGREE NOR DISAGREE DISAGREE

    STRONGLY DISAGREE TOTAL

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    Q.NO.6

    PA SYSTEM IS HELPFUL FOR IMPROVING PERSONAL SKILL &

    ORGN. DEVELOPMENT

    NO. OF RESPODENTS

    STRONGLY AGREE

    7AGREE 18

    NEITHER AGREE NOR DISAGREE 3

    DISAGREE 1

    STRONGLY DISAGREE 1

    TOTAL 30

    11%

    30%

    5%

    2%2%

    50%

    Chart Title

    STRONGLY AGREE AGREE

    NEITHER AGREE NOR DISAGREE DISAGREE

    STRONGLY DISAGREE TOTAL

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    Q.NO.7

    PERFORMANCE RATING IS HELPFUL FOR MANAGEMENT TO PROVIDE

    EMPLOYEE COUNSELLING

    NO. OF RESPONDENTS

    STRONGLY AGREE 9

    AGREE 14

    NEITHER AGREE NOR DISAGREE 6

    DISAGREE 1

    STRONGLY DISAGREE 0

    TOTAL 30

    15%

    23%

    10%2%

    0%

    50%

    Chart Title

    STRONGLY AGREE AGREE

    NEITHER AGREE NOR DISAGREE DISAGREE

    STRONGLY DISAGREE TOTAL

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    Q.NO.8

    PA INCREASES EMPLOYEE MOTIVATION NO. OF RESPONDENTSSTRONGLY AGREE 3

    AGREE 18

    NEITHER AGREE NOR DISAGREE 7

    DISAGREE 1

    STRONGLY DISAGREE 1

    TOTAL 30

    5%

    30%

    11%

    2%2%

    50%

    NO. OF RESPONDENTS

    STRONGLY AGREE AGREE

    NEITHER AGREE NOR DISAGREE DISAGREE

    STRONGLY DISAGREE TOTAL

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    Q.NO.9

    AQUINTION WITH THE PA SYSTEM ADOPTED BY ULTRA TECHCEMENT LTD.

    NO. OF RESPONDENTS

    YES 29

    NO 1

    TOTAL 30

    48%

    2%

    50%

    Chart Title

    YES NO TOTAL

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    Q.NO.10

    ARE U SATISFIED WITH THE EXISTING PA SYSTEM NO. OF RESPONDENTS

    YES 18

    NO 12

    TOTAL 30

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    FINDINGS

    As Jharsuguda Cement Works is a grinding unit a small sample size was taken for thisproject. After the data analysis the following findings can be drawn out.

    The employees of JCW are well acquainted with the procedure of performance

    appraisal system.

    Both financial and non-financial reward system of JCW is attractive and given at

    the end of all year, which motivate the employees to work effectively and efficiently.

    The whole Performance Appraisal System is transparent.

    A well designed Appraisal system called Poornata is being used for a systematic

    Performance Appraisal.

    As the Performance Appraisal System is done basically once in a year, which is

    very long period for the employee to know where they are standing, so UltraTech

    Cement Limited is adopting a Mid-Year review for the betterment of their

    employees.

    The top management is creating a positive and proactive climate of reliable

    appraisal throughout the organization. Goal orientation, open communication,

    informal relationships are the major area focused by ULTRATECH CEMENT LTD.

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    SUGGESTION

    Although the Performance Appraisal System at UltraTech Cement

    Limited is a excellent, still we can improvise the present system by the

    following suggestions;

    360 degree PERFORMANCE APPRAISAL System can be introduced

    in the organization which will enhance the effectiveness of performance

    appraisal system of ULTRA TECH CEMENT LTD.

    The PERFORMANCE APPRAISAL system can be more interlinked

    with the training and development program of the organization.

    A mechanism for review against the present rating should be provided.

    The review may be made by a committee consisting of line executives

    and personnel experts.

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    CONCLUSION

    As it is known that performance appraisal system is an essential

    part of management of any organization for deciding the effectiveness of

    employees.

    Hence, it was concluded that Ultra Tech cement ltd. (JCW)

    Performance Appraisal System policy is excellent as it is fruit full for both

    the organization as well as employees. It is excellent in the perspective

    that the performance appraisal system is transparent, Goal setting is

    decided by both the employees and their concerned department heads,

    & also the PA system is interlinked with Training & Development

    Programs for betterment of their employees which helps in bridge the

    gap between the present and required Skills, Knowledge & Attitude,

    required for the future period of the organization.

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