Cg Sukhendra Singh

7/27/2019 Cg Sukhendra Singh

1/54

A

PROJECT REPORT

ON

PERFORMANCE MANAGEMENT CROMPTON

GREAVES.

At

CROMPTON GREAVES LIMITEDSubmitted to

Jiwaji University Gwalior

For the fulfillment of the award of

Bachelor of Business Administration

(2011-2014)

Submitted by

SUKHENDRA SINGH

BBA V SEM


2/54

PREFACE

I did my summerPerformanceat the Crompton Greaves Limited. The topic allotted to

me wasPerformance& Management The 8 week study was conducted under the guidance

of Mr. Rakesh Arora (external guide) and____________________(internal guide)

During the first few weeks I was asked to collect matter of relevance on the assigned

topic This particularly involvedPerformance& Management at the different levels and

how far they can be practically implemented in the organization

The next step involved understanding thePerformanceprocess at the Crompton Greaves

Limited.


3/54

DECLARATION

I Sukhendra Singh student of BBA V semesterPrestige Institute Of

Management, Gwalior declare that all the information, facts and figures

presented in this report are actually based on my experience & my open

market research During The Project Performance Management

Crompton Greaves With Special References To - Crompton

Greaves Limited . I assure that this project is the result of my own

sincere efforts and has not been submitted in any other institute for the

award of any degree or diploma.

Date: - Sukhendra Singh

Place: - BBA VTH SEM


4/54

ACKNOWLEDGEMENT

Project Report is a combined effort including this one also, so I

would like to thank all who have helped me completion of this report purposeful.

I am cardinally grateful to Mr. ,Performance Manager Gwalior. I also

want to thank Prof. .. assisting me incompletion of this survey.

Further I would like to thanks to all of my Teachers, Staff Members, Library Members,

and Friends for their valuable support and advices which helps me a lot to completing

this survey purposeful.

Date: - Sukhendra Singh

Place: - BBA VTH SEM


5/54

CERTIFICATE OF FACULTY GUIDE

This is to certify that Mr Sukhendra Singh student of BBA V SEM .program has

completed his/her summerPerformanceof............28 ...........weeks (from............. to

.............) and prepared this report under my guidance.

( Performance ofCrompton Greaves Limited ).

(Signature.)

Name:Prof. SANJAY GUPTA

Faculty guide


6/54

TABLE OF CONTENTS

TOPIC

1.1 History of the organization & its objectives

1.2 Organization Structure

1.3 Financial Performance

1.4 Personnel Polices

1.5 Product and Operations

1.6 Layout and Quality Control1.7 Marketing

1.8 Strength Weakness

1.9 Special Points

Chapter -1 introduction

Introduction of the concept

Chapter -2 object of the studyChapter-3results and discussion

Chapter -4 suggestion and implication

Chapter-5 conclusion

Reference

Annexure


7/54

.1 History of the organization & its objectives

History

The history of Crompton Greaves goes back to 1878

when Col. R.E.B. Crompton founded R.E.B.Crompton &

Company. The company merged with F.A Parkinson in

the year 1927 to form Crompton Parkinson Ltd., (CPL).

Greaves Cotton and Co (GCC) was appointed as their

concessionaire in India. In 1937, CPL established, it's

wholly owned Indian subsidiary viz. Crompton

Parkinson Works Ltd., in Bombay, along with a sales organization, Greaves Cotton & Crompton

Parkinson Ltd., in collaboration with GCC. In the year 1947, with the dawn of Indian independence, the

company was taken over by Lala Karamchand Thapar, an eminent Indian industrialist. Crompton

Greaves is headquartered in a self-owned landmark building at Worli,

Mumbai

The origins of CG can be traced back to the pioneering work of Colonel REB Crompton, who, in 1878

founded a business at Chelmsford, Essex, England under the name of REB Crompton & Co., to engage

in the manufacture and contracting of electrical equipment.

REB Crompton & Co. merged with F&A Parkinson Limited, thereby establishing Crompton Parkinson

Limited (CPL) in England. In 1937, CPL established its wholly owned Indian subsidiary 'Crompton

Parkinson Works Ltd.', in Mumbai, along with a sales organization, 'Greaves Cotton & Crompton

Parkinson Ltd.'

In the year 1947, with the dawn of the independence of India, the Company was taken over by Lala

Karamchand Thapar, an eminent Indian industrialist who formed the Thapar Group. In 1966, Crompton

Parkinson Works Ltd and Greaves Cotton & Crompton Parkinson Ltd. merged to create Crompton

Greaves Limited (CG) in its present form.


8/54

In the 1960s CG took its initial steps to revolutionize its portfolio, which till then comprised only

motors and consumer products. It took a major leap in the electrical engineering segment, through the

acquisition of transformer technology from Westinghouse Electric Corporation of USA, for

manufacture of 400 kV transformers and aluminum wound transformers. This was followed by further

expansion in the switchgear, vacuum interrupter and allied businesses. By 2005, the Company had

emerged as one of the leading companies in the electrical engineering domain of India, in its three

business areas of Power Systems, Industrial Systems and Consumer Products; and a serious contender

in the global arena.

CG established its international manufacturing footprint in the year 2005 by acquisition of the Belgium

based Pauwels Group, which gave CG additional manufacturing facilities for Power and Distribution

transformers at Belgium, Ireland, USA, Canada and Indonesia. This was followed with a series o

successful acquisitions - Ganz, Hungary in 2006; Microsol, Ireland in 2007; Sonomatra, France; MSE,

USA in 2008 and PTS, UK in 2010 in its quest to establish a technology edge, increase its global

market reach and enhance the product portfolio. The business domains of the new companies that

oined the CG family, has charted the way for CG becoming a "full solutions provider" which has

carved out for CG a position as a serious international player and a recognized transnational

corporation.

Initially, CG`s foreign acquisitions operated their respective businesses under their individual Brand

names. To integrate these new entrants into the CG family, the first step was integration of processes,

systems and technologies across all the acquired companies worldwide. The next step was to articulate

the one single idea that provided a common thread through all the CG Group companies. We

discovered our shared philosophy as "our core strength is the value we place on relationships, and the

ability to provide solutions, which, in turn, strengthen these relationships". This realisation and

initiative gave birth to CG`s new Brand Identity which was launched on 15th October, 2009, succinctly

conveying this shared philosophy.

Whilst the Company`s name in India will continue to be Crompton Greaves, the names of all the

foreign companies in the CG family start with "CG", thus establishing their lineage and uniting every


9/54

company in the CG family with a common face to the internal as well as the external world, globally.

Today, CG is a public listed company, amongst the "A" (premier) category of listings on the Bombay

and National Stock Exchanges of India and its GDRs are listed on the London Stock Exchange, with

over 140,000 shareholders.

Board of Directors

Key Personnel

Corporate

Regional Management

Power Systems

Industrial Systems

Consumer Products

Telecom Group

International

Board of Directors

Mr. G. Thapar

(Chairman)Mr. Gautam Thapar was appointed as Chairman of Crompton GreavesLimited on July 22nd, 2004. A student of Doon School, Mr. Gautam Thapar went

to U.S.A. to complete his Chemical Engineering in the Pratt Institute and

oined the family business in 1986.

Mr. Gautam Thapar is currently, Chairman of Ballarpur Industries Limited, India's largest pulp and

paper manufacturing company. He is also a Director in several other companies including BataInternational, apart from serving as Chairman of Confederation of Indian Industry (CII), Northern

Region in 2003-04.

The successful turnaround of Ballarpur Industries Limited under hisdynamic leadership and his other achievements are testimonies to hismanagerial experience, competence and expertise.
http://www.cglonline.com/#boardhttp://www.cglonline.com/#k1http://www.cglonline.com/#k2http://www.cglonline.com/#k3http://www.cglonline.com/#k4http://www.cglonline.com/#k5http://www.cglonline.com/#k6http://www.cglonline.com/#k7http://www.cglonline.com/#k7http://www.cglonline.com/#k6http://www.cglonline.com/#k5http://www.cglonline.com/#k4http://www.cglonline.com/#k3http://www.cglonline.com/#k2http://www.cglonline.com/#k1http://www.cglonline.com/#board


10/54

Mr. S. M. Trehan

(Managing Director)

SUDHIR MOHAN TREHAN is the Managing Director of Crompton Greaves Limited since May 2000.

Prior to this, he was the President of CG - Digital and looked after the areas of Networking, Informaticsand Telecommunications.

Mr. Trehan is an engineering graduate from the renowned Birla Institute of Technology at Ranchi and a

gold medallist. Thereafter, he pursued Post Graduate studies (M.S.) at the State University in Stony

Brook, NY, USA.

He began his career in the United Kingdom as a Management Trainee with Crompton Parkinson Ltd. atGuisely. In 1972, he joined Crompton Greaves Ltd. in India where he served in various Departments

and Divisions like Transformers, Turbines and Switchgear.

He is actively involved in various national industry forums like IEEMA, CII and AIMA - leadingnames in India. He is currently the Chairman of Maharashtra State Council of CII.

He was the recipient of the Outstanding Chief Executive of the Year Award for 2000-2001, institutedby the Indian Institution of Industrial Engineering, for steps he took towards successfully implementing

his vision of making Crompton Greaves a world-class manufacturing company.

His leisure time activities include golfing and driving.

Other Directors

Dr. O. Goswami

Mr. S. Labroo

Dr. Valentin A H von Massow

Ms. M. Pudumjee

Mr. S.P. Talwar

Mr. K. Thapar


11/54

1.2 Organization Structure


12/54

1.3 Financial Performance

Balance Sheet of Crompton Greaves ------------------- in Rs. Cr. -------------------

Mar '13 Mar '12 Mar '11 Mar '10 Mar '0

12 mths 12 mths 12 mths 12 mths 12 mth

es Of Funds

hare Capital 128.30 128.30 128.30 128.30 73.3

Share Capital 128.30 128.30 128.30 128.30 73.3

Application Money 0.00 0.00 0.00 0.00 0.0

nce Share Capital 0.00 0.00 0.00 0.00 0.0

es 2,928.55 2,572.58 2,161.51 1,622.00 1,153.9

ation Reserves 0.00 0.00 14.27 14.42 14.5

rth 3,056.85 2,700.88 2,304.08 1,764.72 1,241.8

d Loans 12.93 0.20 8.23 13.82 34.5

ured Loans 0.75 2.06 5.17 12.96 19.1

ebt 13.68 2.26 13.40 26.78 53.6

iabilities 3,070.53 2,703.14 2,317.48 1,791.50 1,295.5

Mar '13 Mar '12 Mar '11 Mar '10 Mar '0

12 mths 12 mths 12 mths 12 mths 12 mth

ation Of Funds

Block 1,485.00 1,365.61 1,604.18 1,171.40 1,111.5

ccum. Depreciation 784.65 748.42 728.88 637.59 600.8

ock 700.35 617.19 875.30 533.81 510.7

l Work in Progress 74.91 58.29 47.69 33.03 12.9

ments 1,055.04 1,052.50 781.64 688.06 265.5

ries 548.50 449.60 405.72 303.53 281.3

Debtors 1,840.62 1,735.62 1,510.18 1,212.79 1,012.2

nd Bank Balance 288.79 321.10 124.22 112.43 181.4

urrent Assets 2,677.91 2,506.32 2,040.12 1,628.75 1,475.0and Advances 761.41 336.19 587.55 402.31 516.5

eposits 0.00 0.00 26.67 436.07 291.0

A, Loans & Advances 3,439.32 2,842.51 2,654.34 2,467.13 2,282.6

d Credit 0.00 0.00 0.00 0.00 0.0

t Liabilities 2,013.13 1,717.06 1,634.38 1,534.63 1,265.8

ions 185.96 150.29 407.11 395.90 510.3

L & Provisions 2,199.09 1,867.35 2,041.49 1,930.53 1,776.2

rrent Assets 1,240.23 975.16 612.85 536.60 506.3

laneous Expenses 0.00 0.00 0.00 0.00 0.0

ssets 3,070.53 2,703.14 2,317.48 1,791.50 1,295.5

gent Liabilities 1,422.59 326.08 278.74 362.56 788.2

alue (Rs) 47.65 42.10 35.70 27.28 33.4


13/54

1.4 Personnel Polices

Key Personnel >>

CorporateNameDesignation

Telephone

EPABX /Direct.

S M Trehan Managing Director022 24237777022 24237700

B R Jaju Chief Finance Officer - Finance & Admin.022 24237777

022 24382211

W HenriquesCompany Secretary & Legal CounselVice President - Human Resources

022 24237777022 24333399

T P Govindan General Manager - R&D and Quality022 67558803

022 25775180

Key Personnel >> Regional Management

REGION NAME DESIGNATION LOCATION

TELEPHONE

EPABX/

DIRECT

NORTH SA Kane General Manager Delhi011 30416300

011 23354879

EAST BS Bajwa General Manager Kolkatta033 22829681-85

033 22821312

WEST AM KamathDeputy General

Manager Mumbai022 67558000 /

022 25780234

SOUTH KN DesaiDeputy General

ManagerChennai

044 42247500 /

044 28235533

Key Personnel >> Power Systems

NAME DESIGNATION DEPARTMENTTELEPHONE EPABX/

DIRECT

DS Patil Vice President

Transformers &

Engineering Projects

022 67558000

022 67558201/02

J.G Kulkarni Vice President Switchgear0253 2382271

0253 2301103


14/54

Key Personnel >> Industrial Systems


DIRECT

SC Gupta Vice President LT Motors 0241 2777372/500

JC Pant Deputy General Manager Commercial Motors0832 39832000832 3983205/213

VK Salhotra General Manager Stampings022 67558000

022 25796866

AK Raina Vice PresidentLarge &

Traction Machines

07480 233116

07480 503238

Key Personnel >> Consumer Products


DIRECT

Manoj Verma Vice President Lighting022 67558000022 67558425

AN Ravichandran Vice President Fans & Appliances 0832 2331256/59

P Palaniappan General Manager Pumps0241 2777152

0241 2777262

Key Personnel >> Telecom Group


DIRECT

KN Neelkant General Manager Telecom080 41292300080 26787141

Key Personnel >> International

NAME DESIGNATION DEPARTMENT TELEPHONE EPABX/DIRECT

AC Rodrigues Vice President International022 67558000

022 67558931


15/54

1.5 Product and Operations

We are among the top 10 transformer manufacturers in the world, and one of the very few companies

worldwide that designs and manufactures a wide range of power & distribution transformers and

reactors.

The range of Power Transformers offered is from 25 kVA to 600 MVA, and 11 kV to 765 kV class,

and Reactors from 10 MVAr to 125 MVAr, and 33 kV to 765 kV class. These products are conforming

to IEC, ANSI, IS, BS and other international standards. It has recently made a foray in the manufacture

of 765 kV transformers with the execution of its maiden order for Power Grid Corporation of India. We

emerged as a large supplier of a wide range of transformers and reactors for all critical

applications. Our products are used in industries such as power utilities, process industries, railways,

mines, electricity boards, industrial users, etc. in global markets.

We have pioneered the technology for manufacture of compact, reliable SLIM transformers with high

overload capacity in collaboration with Duponts Nomex thermal insulating technology, rendering it a

world leader in wind farm installations, where these transformers have extensive utility. Its Hungarian

plant has over 125 years of experience in the production of power transformers.


16/54


17/54

1.6 Layout and Quality Control

The Quality focus is reflected in a number of company wide initiatives that include:

Corporate R&D and Quality Division of Crompton Greaves Ltd has been certified to ISO27001:2005 by UL India Ltd.

In accordance with plan, the second phase of Six Sigma implementation commenced during

2004-05 with increasing executives being trained in the methodology. Six Sigma methodologyhas been extended to the design activity of the products. Ten products have been covered in the

first phase, while nine products would be included in the second phase. Increasing coverage of

products with six sigma approach will progressively help the company achieve 'product qualityas perceived by the customer'.

Twenty-three divisions / regions have been accredited with ISO9001: 2000 Certification.

Seven manufacturing units have been accredited for ISO 14001 and four units for OHSAS

18001

The Light sources division is one of the few business units in India in lighting industry toreceive dual certificate of ISO 9000:2000 was well as ISO 14001

The company's Power Transformers and Switchgear are now compliant to internationalEuro/IEC norms and ANSI/NEMA standards for greater acceptance in international markets.

The Industrial Transformer Division located at Malanpur is amongst the few units in India, to

have been accredited both ISO 14001 and OHSAS 18001, Certification for Occupational Health

and Safety Management System.

The company's Fans, Motors, Automation and control products are approved by the CSA,

BASEEFA, and CE


18/54

1.7 Marketing

CG's business operations consist of 22 manufacturing divisions spread across in Gujarat, Maharashtra,

Goa, Madhya Pradesh and Karnataka, supported by well knitted marketing and service network through

14 branches in various states under overall management of four regional sales offices located in Delhi,

Kolkata, Mumbai and Chennai. The company has a large customer base, which includes State

Electricity Boards, Government bodies and large companies in private and public sectors.

Crompton Greaves' strength emanates from its business operations consisting of 21 divisions spread

across in Gujarat, Maharashtra, Goa, Madhya Pradesh, Karnataka and Tamil Nadu, supported by well

knitted marketing and service network through 14 branches in state capitals under overall management

of four regional sales offices located in Delhi, Kolkata, Mumbai and Chennai.

CG-House

Corporate Office

Transformers Plant, Mandideep Transformers Plant, Malanpur

Alternators & DC Machines Plant,

AhmednagarSwitchgear Plant, Nashik


19/54

LT Motors Plant, Ahmednagar. Transformers Plant, Kanjurmarg - Mumbai

Amorphous Core Transformers Plant,

MandideepCeiling Fans Plant, Goa

DC Machines Shopfloor, Mandideep.Transformers Plant - Winding Bay,

Kanjurmarg - Mumbai.

Research & Management Facility,

Kanjurmarg - Mumbai Light Sources Manufacturing Plant, Baroda.

Telecommunications Plant, Jigani - Bangalore


20/54

1.8 STRENGTH WEAKNESS

STRENGTH

Heavy range of products

Brand awareness

Best promotion by display.

Advertisement.

Training and Management

WEAKNESS

Lack of co-ordination of the demand put forth by dealers and the supply of appropriate greaves

from the plant.

The offerings given by the company are not enough for the business partners to make the

market operating rates competitive

The supply of truck radial greaves is not in proportion to the demand

Mode of counseling is not co-operative.

Monetory rewards are not given.

Crompton greaves quality for the employees is not good.


21/54

1.9 Special Points

At Crompton Greaves there is always a passion for quality. A quality trust

mark has emerged as Crompton's biggest brand ambassador. In fact, this is

reflected through quality certifications for its products and services. Further,

the commitment to responsible business through quality, technology and

productivity has helped the company to achieve a turnover of over Rs.2700

crore and receive many certifications in the ISO 9000/9001:2000/14001

series. The company has the unique distinction of being the first one to receive

an ISO 9000 certification for Finance and Administration.

The company has made considerable progress towards integration of the Six

Sigma methodology in its manufacturing processes with the ultimate aim of

achieving 'Product Quality as Perceived By Consumer'. This methodology

was actively pursued for 10 products for which Critical to Quality (CTQ)

characteristics were identified based on market feedback. Regional team has

also been trained in Six Sigma technology for capture of customer's voice.

In addition to this, the company has also introduced stringent control measures

with suppliers to ensure that inputs support the Six Sigma quality. In fact, all

these measures have resulted in manifold improvement in the CTQs with

substantial reduction in defects.

The Quality focus is reflected in a number of company wide initiatives that include:

Corporate R&D and Quality Division of Crompton Greaves Ltd has been certified to ISO

27001:2005 by UL India Ltd.

In accordance with plan, the second phase of Six Sigma implementation commenced during

2004-05 with increasing executives being trained in the methodology. Six Sigma methodology

has been extended to the design activity of the products. Ten products have been covered in the


22/54

first phase, while nine products would be included in the second phase. Increasing coverage of

products with six sigma approach will progressively help the company achieve 'product quality

as perceived by the customer'.

Twenty-three divisions / regions have been accredited with ISO9001: 2000 Certification.

Seven manufacturing units have been accredited for ISO 14001 and four units for OHSAS

18001

The Light sources division is one of the few business units in India in lighting industry to

receive dual certificate of ISO 9000:2000 was well as ISO 14001

The company's Power Transformers and Switchgear are now compliant to international

Euro/IEC norms and ANSI/NEMA standards for greater acceptance in international markets.

The Industrial Transformer Division located at Malanpur is amongst the few units in India, to

have been accredited both ISO 14001 and OHSAS 18001, Certification for Occupational Health

and Safety Management System.

The company's Fans, Motors, Automation and control products are approved by the CSA,

BASEEFA, and CE


23/54

CHAPTER -1

INTRODUCTION


24/54

INTRODUCTION

Performance management is the systematic process by which an agency involves its employees, as

individuals and members of a group, in improving organizational effectiveness in the accomplishment

of agency mission and goals.

Employee performance management includes:

planningwork and setting expectations,

continuallymonitoringperformance,

developingthe capacity to perform,

periodicallyratingperformance in a summary fashion, and

rewardinggood performance.
http://www.opm.gov/perform/overview.asp#5http://www.opm.gov/perform/overview.asp#5http://www.opm.gov/perform/overview.asp#4http://www.opm.gov/perform/overview.asp#4http://www.opm.gov/perform/overview.asp#4http://www.opm.gov/perform/overview.asp#2http://www.opm.gov/perform/overview.asp#2http://www.opm.gov/perform/overview.asp#1http://www.opm.gov/perform/overview.asp#1http://www.opm.gov/perform/overview.asp#1http://www.opm.gov/perform/overview.asp#3http://www.opm.gov/perform/overview.asp#3http://www.opm.gov/perform/overview.asp#3http://www.opm.gov/perform/overview.asp#1http://www.opm.gov/perform/overview.asp#2http://www.opm.gov/perform/overview.asp#4http://www.opm.gov/perform/overview.asp#5


25/54

The revisions made in 1995 to the Government wide performance appraisal and awards regulations

support sound management principles. Great care was taken to ensure that the requirements those

regulations establish would complement and not conflict with the kinds of activities and actions

practiced ineffective organizationsas a matter of course.

Additional background information on performance management can be found in the following articles:

Chronology of Employee Performance Management in the Federal Government

Setting the Stage for Performance Management Today

In an effective organization, work is planned out in advance. Planning means setting

performance expectations and goals for groups and individuals to channel their efforts

toward achieving organizational objectives. Getting employees involved in the planning

process will help them understand the goals of the organization, what needs to be done,

why it needs to be done, and how well it should be done.

The regulatory requirements for planning employees' performance include establishing

the elements and standards of their performance appraisal plans. Performance elementsand standards should be measurable, understandable, verifiable, equitable, and

achievable. Through critical elements, employees are held accountable as individuals for

work assignments or responsibilities. Employee performance plans should be flexible so

that they can be adjusted for changing program objectives and work requirements. When

used effectively, these plans can be beneficial working documents that are discussed

often, and not merely paperwork that is filed in a drawer and seen only when ratings of

record are required.
http://www.opm.gov/perform/overview.asp#6http://www.opm.gov/perform/overview.asp#6http://www.opm.gov/perform/overview.asp#6http://www.opm.gov/perform/chron.asphttp://www.opm.gov/perform/chron.asphttp://www.opm.gov/perform/setting.asphttp://www.opm.gov/perform/setting.asphttp://www.opm.gov/perform/setting.asphttp://www.opm.gov/perform/chron.asphttp://www.opm.gov/perform/overview.asp#6


26/54

In an effective organization, assignments and projects are monitored continually.

Monitoring well means consistently measuring performance and providing ongoingfeedback to employees and work groups on their progress toward reaching their goals.

Regulatory requirements for monitoring performance include conducting progress

reviews with employees where their performance is compared against their elements and

standards. Ongoing monitoring provides the opportunity to check how well employees

are meeting predetermined standards and to make changes to unrealistic or problematic

standards. And by monitoring continually, unacceptable performance can be identified at

any time during the appraisal period and assistance provided to address such performance

rather than wait until the end of the period when summary rating levels are assigned.

In an effective organization, employee Manage mental needs are evaluated and

addressed. Developing in this instance means increasing the capacity to perform through

training, giving assignments that introduce new skills or higher levels of responsibility,

improving work processes, or other methods. Providing employees with Performance and

Manage mental opportunities encourages good performance, strengthens job-related

skills and competencies, and helps employees keep up with changes in the workplace,

such as the introduction of new technology.

Carrying out the processes of performance management provides an excellent

opportunity to identify Manage mental needs. During planning and monitoring of work,

deficiencies in performance become evident and can be addressed. Areas for improving

good performance also stand out, and action can be taken to help successful employees

improve even further.
http://www.opm.gov/perform/overview.asphttp://www.opm.gov/perform/overview.asphttp://www.opm.gov/perform/overview.asp


27/54

From time to time, organizations find it useful to summarize employee performance. This

can be helpful for looking at and comparing performance over time or among various

employees. Organizations need to know who their best performers are.

Within the context of formal performance appraisal requirements, rating means

evaluating employee or group performance against the elements and standards in an

employee's performance plan and assigning a summary rating of record. The rating of

record is assigned according to procedures included in the organization's appraisal

program. It is based on work performed during an entire appraisal period. The rating of

record has a bearing on various other personnel actions, such as granting within-grade

pay increases and determining additional retention service credit in a reduction in force.

Note: Although group performance may have an impact on an employee's summary

rating, a rating of record is assigned only to an individual, not to a group.

In an effective organization, rewards are used well. Rewarding means recognizing

employees, individually and as members of groups, for their performance and

acknowledging their contributions to the agency's mission. A basic principle of effective

management is that all behavior is controlled by its consequences. Those consequences

can and should be both formal and informal and both positive and negative.

Good performance is recognized without waiting for nominations for formal awards to be

solicited. Recognition is an ongoing, natural part of day-to-day experience. A lot of the

actions that reward good performancelike saying "Thank you"don't require a

specific regulatory authority. Nonetheless, awards regulations provide a broad range of


28/54

forms that more formal rewards can take, such as cash, time off, and many nonmonetary

items. The regulations also cover a variety of contributions that can be rewarded, from

suggestions to group accomplishments.

Managing Performance Effectively. In effective organizations, managers and

employees have been practicing good performance management naturally all their lives,

executing each key component process well. Goals are set and work is planned routinely.

Progress toward those goals is measured and employees get feedback. High standards are

set, but care is also taken to develop the skills needed to reach them. Formal and informal

rewards are used to recognize the behavior and results that accomplish the mission. All

five component processes working together and supporting each other achieve natural,

effective performance management.

In their definitive text1

upon which this factsheet is based, Armstrong and Baron

define performance management as 'a process which contributes to the effective management of

individuals and teams in order to achieve high levels of organisational performance. As such, it

establishes shared understanding about what is to be achieved and an approach to leading and

developing people which will ensure that it is achieved'. They go on to stress that it is 'a strategy which

relates to every activity of the organization set in the context of its human resource policies, culture,

style and communications systems. The nature of the strategy depends on the organisational context

and can vary from organization to organization.'

In other words performance management should be:

Strategic - it is about broader issues and longer-term goals

Integrated - it should link various aspects of the business, people management, and individuals

and teams.


29/54

It should incorporate:

Performance improvement - throughout the organization, for individual, team and

organisational effectiveness

Management - unless there is continuous Management of individuals and teams, performance

will not improve

Managing behaviour - ensuring that individuals are encouraged to behave in a way that allows

and fosters better working relationships.

Armstrong and Baron stress that at its best performance management is a tool to ensure that managers

manage effectively; that they ensure the people or teams they manage:

know and understand what is expected of them

have the skills and ability to deliver on these expectations

are supported by the organisation to develop the capacity to meet these expectations are given

feedback on their performance

have the opportunity to discuss and contribute to individual and team aims and objectives.

It is also about ensuring that managers themselves are aware of the impact of their own behaviour on

the people they manage and are encouraged to identify and exhibit positive behaviours.

So performance management is about establishing a culture in which individuals and groups take

responsibility for the continuous improvement of business processes and of their own skills, behaviour

and contributions. It is about sharing expectations. Managers can clarify what they expect individual

and teams to do; likewise individuals and teams can communicate their expectations of how they

should be managed and what they need to do their jobs. It follows that performance management is

about interrelationships and about improving the quality of relationships - between managers and

individuals, between managers and teams, between members of teams and so on, and is therefore a

joint process. It is also about planning - defining expectations expressed as objectives and in business

plans - and about measurement; the old dictum is 'If you can't measure it, you can't manage it'. It

should apply to all employees, not just managers, and to teams as much as individuals. It is a

continuous process, not a one-off event. Last but not least, it is holistic and should pervade every

aspect of running an organisation.


30/54

Over time, the focus and emphasis of performance has shifted away from individual output to inform

Management or pay decisions, to individual contribution to organisational objectives through output,

behaviour and capability. As such, performance management is now as much about driving

engagement and collecting information and data to provide better insight into the drivers of

performance as it is about providing information about individuals.

See our recent publications which review how the practice of performance management has evolved

since the early 90s and look at the current trends and practice.


31/54

CHAPTER -2

OBJECT OF THE STUDY


32/54

Objectives

The objectives of Performance Management are to:

1. Increase two-way communication between supervisors and employees

2. Clarify mission, goals, responsibilities, priorities and expectations

3. Identify and resolve performance problems

4. Recognize quality performance

5. Provide a basis for administrative decisions such as promotions, succession and strategic

planning, and pay for performance.

Objectives

The primaryperformance managementobjectives include uncovering the strengths and weaknesses

of employees and departments and finding ways to remedy shortcomings. This can be done by having

quarterly or annual evaluations of employee output as well as the company's overall ability to meet

goals. Often, after an evaluation, there will be widespread company meetings where managers and

employees can discuss concerns and solutions to problems.

One of the main performance management objectives is to discover where a company and its

employees are falling short. This can be done by looking at profits earned, new clients acquired, and

which employees contributed the most to making these things happen. Workers who have not

contributed enough may be counseled on how to improve performance.

Performance management objectives also include the overall evaluation of a company and its ability to

follow through with setting and reaching goals.
http://www.wisegeek.com/what-is-performance-management.htmhttp://www.wisegeek.com/what-is-performance-management.htmhttp://www.wisegeek.com/what-is-performance-management.htmhttp://www.wisegeek.com/what-is-performance-management.htm


33/54

Where PM is applied

The PM approach is used most often in the workplace, can apply wherever people interact schools,

churches, community meetings, sports teams, health setting, governmental agencies, and even political

settings - anywhere in the world people interact with their environments to produce desired effects.

Armstrong and Baron (1998) defined it as a strategic and integrated approach to increasing the

effectiveness of organizations by improving the performance of the people who work in them and by

developing the capabilities of teams and individual contributors.

It may be possible to get all employees to reconcile personal goals with organizational goals and

increase productivity and profitability of an organization using this process. It can be applied by

organizations or a single department or section inside an organisation, as well as an individual person.

The performance process is appropriately named the self-propelled performance process (SPPP).[citation

needed]

First, a commitment analysis must be done where a jobmission statement is drawn up for each job.

The job mission statement is a job definition in terms of purpose, customers, product and scope. The

aim with this analysis is to determine the continuous key objectives and performance standards for each

job position.

Following the commitment analysis is the work analysis of a particular job in terms of the reporting

structure and job description. If a job description is not available, then a systems analysis can be done

to draw up a job description. The aim with this analysis is to determine the continuous critical

objectives and performance standards for each job.

Benefits

Managing employee or system performance facilitates the effective delivery of strategic and

operational goals. There is a clear and immediate correlation between using performance management

programs or software and improved business and organizational results.

For employee performance management, using integrated software, rather than a spreadsheet based

recording system, may deliver a significant return on investment through a range of direct and indirect

sales benefits, operational efficiency benefits and by unlocking the latent potential in every employees

work day (i.e. the time they spend not actually doing their job). Benefits may include:

Direct financial gain
http://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Mission_statementhttp://en.wikipedia.org/wiki/Mission_statementhttp://en.wikipedia.org/wiki/Mission_statementhttp://en.wikipedia.org/wiki/Mission_statementhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_needed


34/54

Grow sales

Reduce costs

Stop project overruns

Aligns the organization directly behind the CEO's goals

Decreases the time it takes to create strategic or operational changes by communicating the

changes through a new set of goals

Motivated workforce

Optimizes incentive plans to specific goals for over achievement, not just business as usual

Improves employee engagement because everyone understands how they are directly

contributing to the organizations high level goals

Create transparency in achievement of goals

High confidence in bonus payment process

Professional Management programs are better aligned directly to achieving business level goals

Improved management control

Flexible, responsive to management needs

Displays data relationships

Helps audit / comply withlegislativerequirements

Simplifies communication of strategic goalsscenario planning

Provides well documented and communicated processdocumentation

6. PERFORMANCE MANAGEMENT - OBJECTIVES

Performance management is the process of identifying, evaluating and developing

the work performance of employees so that the agencys goals and objectives are

more effectively achieved. Effective performance management is designed toenhance performance, identify performance requirements, provide feedback relevant

to those requirements and assist with career Management.

The primary objectives of performance management are:

employee or class of employees;
http://en.wikipedia.org/wiki/Legislationhttp://en.wikipedia.org/wiki/Legislationhttp://en.wikipedia.org/wiki/Legislationhttp://en.wikipedia.org/wiki/Scenario_planninghttp://en.wikipedia.org/wiki/Scenario_planninghttp://en.wikipedia.org/wiki/Scenario_planninghttp://en.wikipedia.org/wiki/Documentationhttp://en.wikipedia.org/wiki/Documentationhttp://en.wikipedia.org/wiki/Documentationhttp://en.wikipedia.org/wiki/Documentationhttp://en.wikipedia.org/wiki/Scenario_planninghttp://en.wikipedia.org/wiki/Legislation


35/54

Efficiently;

goals;

and skills and attitudes.

The management of medical incapacity, inability to discharge duties and disciplinary

processes are separate from an agencys performance management system and are to be seen as

separate.

7. PERFORMANCE MANAGEMENT SYSTEMS

Performance management systems are designed to clarify objectives, assist in the

management of individual employee performance and plan relevantPerformanceand

Management programs.

Consistent with the primary objectives, performance management should be seen as

a totally integrated system of personnel management. Personnel management

includes job and work design, job descriptions, selection process, induction,

identification of performance requirements, training, effective supervision,

performance feedback and counselling.

The following features should be considered by Chief Executive Officers for inclusion

in performance management systems:

agencys performance management system before participating in the program;

st any

individual on the basis of gender, cultural background or any other attribute not

relevant to the workplace;

with the planning and review of any employees performance (associated

documentation should only be available to the employee, the employees

supervisor and the supervisors manager, and is not to be placed on the

employees personnel file);


36/54

and the

employee;

each evaluation period and the provision of feedback on individual performance

against the set objectives;

kills for effective individual

performance and plans for staff to undertake relevant training, education and

Management programs; and

during the specified period based on the set objectives.

8. OTHER MATTERS TO BE CONSIDERED

Many factors may be considered when seeking to enhance performance, such as:

evaluation and feedback;

edical considerations.

A good performance management system will help identify such factors and an

integrated approach to personnel management within an agency should provide

mechanisms for dealing with them.

1. SCOPE AND PURPOSE

This Employment Instruction sets out the minimum requirements for the Management

and implementation of performance management systems in agencies. The structure

of systems will differ between agencies and will reflect the needs of employees and

the respective agencies.

The Office of the Commissioner for Public Employment will provide advice and


37/54

assistance to agencies on performance management systems on request.

2. LEGISLATIVE BASIS

Sections 24(f), 24(g) and 28(g) of thePublic Sector Employment and Management

Act(the Act).

Definition

Performance management is an ongoing, continuous process of communicating and clarifying job

responsibilities, priorities and performance expectations in order to ensure mutual understanding

between supervisor and employee. It is a philosophy which values and encourages employee

Management through a style of management which provides frequent feedback and fosters teamwork.

It emphasizes communication and focuses on adding value to the organization by promoting improved

job performance and encouraging skill Management. Performance Management involves clarifying the

job duties, defining performance standards, and documenting, evaluating and discussing performance

with each employee.


38/54

CHAPTER-3

RESULTS AND DISCUSSION


39/54

RESULTS AND DISCUSSION

1. What types of Performance have you gone through?

(i) Skill Enhancement (ii) Personality Enhancement (iii) IT Related

Total 45 workers have gone through these Performance programs. 2 out of them got the skill

enhancement training, 4 got personality Management, and 6 got skill enhancement & personality

Management program. Out of 45 workers 8 got skill enhancement & IT related training, 11 got

personality Management & IT related Performance and rest 14 got all three, skill enhancement,

personality Management & IT related training.

24%

33%

43%

Chart Title

Skill enhancement

Personality development

Skill enhancement &

personality development


40/54

2. Please indicate when should the study material be given to the trainees?

Before the Performance After the Performance

In any Performance program the material plays an important role. So it should be provided. But the

question is that, "when should be the materials be given, before the Performance orafter the training.

In the responses of such

Question, 30 out of 45 workers say that materials should be given before the Performance and 15 says

that it should be given after the training.

67%

33%

Chart Title

Before the training

After the training


41/54

3. Before startedPerformanceprogramme should you go through any test?

Yes No

A good trainee is essential for the successful completion of anyPerformanceprogram. A good trainee

can be selected by the test. So a test is required for selecting appropriate trainees. Responding this 27

out of 45 workers tell that they dont want to go through any test and rest 18 want to go throug h such

test process.

The evolution of any program is very much require for the future. It can be done by asking the trainees.

40%

60%

Chart Title

Ready to face test

Don't ready to face test


42/54

4. Rate thesePerformanceprogramme according to your Management.

Training Programme Poor Good Excellent

1. Skill Enhancement

2. Personality Enhancement

3. IT Related

Skill Enhancement:

Responding to skill enhancement programs, 11 out of 45 workers say that thePerformanceprogram was

good, 20 say that it ways very good and rest 14 trainees opine thatPerformanceprogram was very

helpful to enhance their skills and perform their job in batter manner.

25%

44%

31%

Chart Title

Good

Very good

Excellent


43/54

Personality Enhancement:

Responding to the personality Management questions there are different views of the trainees, 6 out of

45 workers say that the program was good, 18 say that it was very good and 21 workers say that

program was excellent.

13%

40%

47%

Chart Title

Good

Very good

Excellent


44/54

IT related:

Responding to the IT related Management questions trainees are very much conscious about their

improvement. 10 out of 45 have good experienced regarding IT Management, 13 say that program was

very good and rest 22 have excellent experienced regarding IT in thePerformanceprogram.

22%

29%

49%

Chart Title

Good

Very good

Excellent


45/54

5. In your opinion what should be the frequency of thePerformanceprogramme in your company.

Once in a month Once in 3 Months

Once in 6 months Once in 12 Months

Frequency ofPerformanceprogram:

The experienced of the Performance program is so impressive that all the trainees very much interested

in these types of programs. They want more of such types of Performance programs. So 7, out of 24

trainees want this type of Performance in every month .On the other hand 9 trainees want such

program once in every three month. 5 out of them want to hold such types of program twice in a year.

Rest of them wants to hold this once a year. In my opinion it should be twice a year.

29%

37%

21%

13%

Chart Title

Every month

Every three month

Every six month

Once in a year


46/54

6. In your opinion what should be the duration of this Performance

programmed?

4 Hours 8 Hours 16 Hours 20 Hours

The duration is an important factor for the successful completion of any program. It should be

according the requirement of the trainees. 2 out of 45 trainees say that duration should be 4 hours, 6 say

that duration can be 8 hours. 10 out of them want 16 hours and rest 27 wants 20 hours for

thePerformanceprogram.

4 hours

5%

8 hours

13%

16 hours

22%20 hours

60%

4 hours

8 hours

16 hours

20 hours


47/54

CHAPTER -4

SUGGESTION AND IMPLICATION


48/54

SUGGESTION

There is no gainsay regarding thePerformanceprograms enhance the quality of the performance. No one

is perfect in his respective field. A full flazedPerformanceprogram makes trainees complete performer

in their respective areas.

Every company looks for a worker, who can work effectively. They are in search of a person who has

the maximum skills required for the job. After selecting the right person, the companys main aim is to

make that person a perfect workman. For this they provide them training.

First of all the management should look for that areas where workers needs training. For this purpose

management should keep eyes on each and every activity of the workers and staffs whosoever may need

training. This is a long and time taking process. In this way the next step would be to select the trainees.

There should develop a mechanism for selecting the trainees. There should be a test for this purpose.

This will give the idea about the weak and strong points of trainees. It will be very fruitful in designing

the contents ofPerformanceprogram.

The printed material is very useful in training. These materials should be given before the training.

Written material would provide the overall idea about the Performance and make the trainees

understand better.

Before developing the Performance contents some points should be taken care of. There should be some

practical values in that. The Performance should include new ideas and should be helpful in the

Management of trainees. It must be relevant to the hob of workers and staffs. In the Performance

process the efficient use of time should be made as time is the most important factor in any job.

The frequency ofPerformanceprogram is according to the requirement and convenience of the trainees

as well as the management. Workers require more Performance so they need one in every six month.

Staffs required less Performance in the compression of workers, so they required at least on

Performance program every year.

The duration of any event is the most important, which maker any program successful or fail. It should

be according to the needs of the trainees of participants. In my opinion the duration of the Performancewould be 16 hours.


49/54

CHAPTER-5

CONCLUSION


50/54

CONCLUSION

To conclude, it is very clear that Performance should be provided but not at the loss of the company. It

is very costly and time taking affair. But it is most important for the Management of the company. So

management cant avoid it at any cost.


51/54

BIBLIOGRAPHY


52/54

BIBLIOGRAPHY

BOOK NAME AUTHOR

Human Resource Management Dr. N.K. Chadda

Training & Management Dr. P.N. Singh

Internet


53/54

ANNEXURE

TRAINING & MANAGEMENT

(QUESTIONNAIRE)

Name

Department

Designation

1. What types ofPerformancehave you gone through?

(i) Skill Enhancement (ii) Personality Enhancement (iii) IT Related

(i) (ii) (iii)

2. Please indicate when should the study material be given to the trainees?

Before the Performance After the Performance

3. Before started Performance programme should you go through any test?

Yes No

4. Rate these Performance programme according to your Management.

Training Programme Poor Fair Good Excellent

1. Skill Enhancement

2. Personality Enhancement

3. IT Related

5. In your opinion what should be the frequency of thePerformanceprogramme in your company.

Once in a month Once in 3 Months

Once in 6 months Once in 12 Months


54/54

6. In your opinion what should be the duration of thisPerformanceprogramme?

7.

4 Hours 8 Hours 16 Hours 20 Hours

8. Would you like to suggest some thing for thePerformanceprogramme?_____________________________________________________

_____________________________________________________

_____________________________________________________

_____________________________________________________

_____________________________________________________

Date : Signature

Documents

Cg Sukhendra Singh