Performance Planning PM Project

8/14/2019 Performance Planning PM Project

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Planning For

Performance

Organization-Tata DoCoMo

Performance Management Project

-By

Ramyaa Ramesh DM14266

Greatlakes Institute of Management



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Table of Contents

Abstract ................................................................................................................................................. 2

Literature Review .................................................................................................................................. 3

Tata Docomo,India................................................................................................................................ 7

Methodology12

Data Collection .....................................................................................................................................13

Data Analysis23

Findings and Conclusion44

References46



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Abstract

With the highly competitive environment,organizations are attempting different ways to meet the

challenges.The key problem of companies is,how to survive the new economy.It is recognized that

human resources are the only asset which can make a difference for the organization’s success.As such

lot of thrust is given in influencing employees behavior and motivation,so that they contribute towards

the achievement of organization objectives.Planning for performance management is hence essential

in achieving these objectives for competitive advantage of the organization. The objective of this report

is to understand how Organizations plan for performance management and to also understand how

KPIs are set at all levels across the organization.

The organization taken for the study is Tata DoCoMo.



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Literature Review

Performance management, in its broadest form, involves setting performance goals and managing and

measuring an organization against those goals. While methodologies vary from industry to industry,

and across companies, the basic steps are consistent. Performance goals are established through

planning activities and communicated throughout the organization. Performance metrics are

developed for each level and function within the organization. The organization will often enable the

achievement of goals by making changes to the way the organization operates. Data is collected and

analyzed from each function to measure its progress against the goals, and adjustments are made to

activities and policies as warranted. Finally, the results of the exercise are fed back into the planning

activities, and new goals are set.

The performance management process is designed to be a year-round partnership bettheyen

employees and supervisors in planning, coaching, and performance appraisal. The performance

management process takes into consideration the employees’ job duties, goals, key responsibilities,

and behaviors. Performance management is an interactive and ongoing process of planning,

communicating, monitoring and performing.

During the process, employees and supervisors work together to define goals and key result areas,

define and reinforce good performance, and identify and reshape poor performance in order to meet

the goals and mission of the organization. Performance Management is a process for establishing a

shared understanding about what is to be achieved and how it is to be achieved. It is an approach to

managing people that increases the probability of achieving success.

Performance planning is defined as “a systematic outlining of activities that the manager is expected to

undertake during a specific period so that he is able to make his best contribution to developmental and

organizational outcomes” (T.V Rao, 2004) It provides a framework for performing roles and indicates

the quality, magnitude and variety of contribution expected to make setting directions for time

management.

Performance Management consist of 4 key components which make the performance management

cycle namely Plan, Act, Monitor and Review (Armstrong.M, 2006)



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Performance planning is a critical component of the performance management process, since it

establishes the foundation for individual career success as they’ll as organizational success.

“Planning" refers to setting performance expectations and goals for individuals to channel their efforts

towards achieving departmental and/or organizational objectives. It also includes the measures, or“metrics,” that will be used to determine whether expectations and goals are met.

Effective performance planning requires clear communication of job duties, performance standards,

goals and objectives. Involving employees in the planning process helps them to better understand

their goals and responsibilities as they relate to the success of the organization. Performance planning

is fundamental to effective management.

The planning phase is an opportunity for the supervisor to explain what the performance management

process is, define roles, discuss job requirements, anstheyr the employee’s questions about

performance management, and work with the employee to reach a consensus on, and commitment to,

performance standards.

Performance planning involves identifying key result areas, identifying critical success factors and

drawing the development plan.

To set performance Objectives, employees and managers meet to clarify expected outcomes for the

year and set objectives that link the employee's job to department and campus objectives. Objectives

define "what" employees are expected to accomplish. Managers and employees aim to define

S.M.A.R.T. objectives namely Specific, Measurable, Attainable, Relevant and Timely.

Annual Performance Appraisal exercise provides good opportunities for performance planning. These

provides many ways in which performance can be planned, some of which includes-Key Performance

areas(KPAs),Key Result Areas(KRAs),Management by Objectives(MBOs) and other goal setting

exercises.

Key performance Area approach is best suited for the purpose of planning as it emphasizes individual

performance also gives scope for quantification.

KPA is defined as a measure of whether an employee's, team's or business unit's agreed performance

goals or results in targets have been achieved or met. (Keith Macky and Gene Johnson, Managing the

Human Restheirces in New Zealand, 2nd Edition.)



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Therefore, most organizations have set key performance indicators for any job based on the skills and

competencies required to be demonstrated for that job. The KPI should be incorporated and agreed

within the performance planning process, which outlines the areas of accountability, performance

objectives, performance standards, performance targets that are required to be met and what KPI's will

be used to measure their achievement.

KPIs make objectives quantifiable, providing visibility into the performance of individuals, teams,

departments and organizations and enabling decision makers to take action in achieving the desired

outcomes. Typically, KPIs are monitored and distributed in dashboards, scorecards and other forms of

performance reports. KPIs are best chosen and understood in the context of strategic plans that

identify goals at a higher level.( Judith Lamont,2012)

KPIs can be divided into a number of groups depending upon how they are used and what theyrepresent. KPIs need to take these factors into account and need to be represented across these groups

in an appropriate way to ensure an optimal and balanced outcome. The types include

Operational/Strategic, Result/Driver,Lead/Lag,Qualitative/Quantitative and Effectiveness/Efficiency

Because KPIs can span the entire business, the whole team can be involved.This helps ensure everyone

understands what is important and how their role fits into the overall business goals. Engaging staff in

these can lead to improved productivity. Setting the right KPIs, and having a robust system in place to

ensure they are regularly monitored and met is paramount from the outset. It is important to know

what drives ytheir business. You need to know what ytheir KPIs are, and how they compare to industry

averages which is known as benchmarking (Steve Alexander)

The KRA approach has three main advantages such as it is the first stage of objective setting, makes it

easier to assess current performance and areas such as employee development, innovation which are

included rather than being overlooked.

There is a complementarity bettheyen the concepts of management by objectives and the view of team

or group development proposed by Tuckman and Jensen. This complementarity can be seen when

Drucker (1954) asked the question: “What should the objectives of a manager be?” He argues that

objectives should lay out what performance the man’s own managerial unit is supposed to produce.

They should lay out what contribution he and his units are expected to make to help other units obtain

their objectives. Finally, they should spell out what contribution the manager can expect from other



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units toward the attainment of his own objectives. Right from the start, emphasis should be on

teamwork and team results.

Goal-setting is one of the most potheyrful motivational tools available to managers. When they work

with people to agree goals, they clarify the standards of performance required and enable teams andindividuals to monitor progress on plans, initiatives and projects.

Teams have become an important, even essential, workplace structure to get work done; they exist at

all levels of organizations and fulfill a wide range of purposes (Katzenbach & Smith, 2003)

The performance management processes of planning, monitoring, developing, and

rewarding performance surface time and again as critical factors for success. Hence it is now essential

to plan for conducive environment to deliver high performance for both individuals and teams in the

organization. The key to implementing high performance in organizations is clarity & effectiveness in

setting goals and objectives to meet stimulated improved performance which is most effectively

implemented through setting SMART goals.

Building high-performance teams and individuals is the product of determined intentionality. The use

of Key Performance Indicators to plan, delegate and manage an assignment will increase the manager’s

chances for really outstanding results. Once the project has been planned, and KPI’s established,

managing the execution through intense engagement with the business unit will assure the best

outcome.

Managers and employees should also work together to create development plans as part of the annual

performance management process. The plan can focus on skills aimed at job mastery or combine job

mastery with professional development skills. Job mastery skills are those that are necessary to

successfully perform one's job. Professional development skills are the skills and knowledge that go

beyond the scope of the employee's job description, although they may indirectly improve job

performance. Development plans commonly include elements such as cross-training and special

project participation.



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Tata DoCoMo

Tata Teleservices Limited spearheads the Tata Group’s presence in the telecom sector.

Incorporated in 1996,Tata Teleservices is the pioneer of the CDMA 1x technology platform in India.

Tata Teleservice Limited has also become the first Indian private telecom operator to launch 3G

services in India under the brand name Tata Docomo with its recent launch in all the nine telecom

circles where it bagged the 3G license.

TATA DOCOMO is part of the Indian conglomerate Tata Group. The company received the license to

operate GSM services in nineteen telecom circles and was allotted spectrum in eighteen of these circles

and launched GSM services on 24 June 2009. It began operations first in South Indiaand currently

operates GSM services in eighteen of ttheynty two telecom circles. It has licenses to operate

in Delhi but has not been allocated spectrum from the Government Docomo provides services

throughout India. Tata DOCOMO offers both prepaid and postpaid cellular phoneservices. It has

become very popular with its one second pulse especially in semi-urban and rural areas.

About Tata Teleservices Ltd.

Tata Teleservices Limited, serves over 85 million customers in more than 450,000 towns and villages

across the country, with a bouquet of telephony services encompassing the GSM, CDMA and 3G

platforms, offering Mobile Services, Wireless Desktop Phones, Public Booth Telephony and Wire line

Data Services across one unified and integrated brand-Tata DOCOMO.

Tata Teleservices Limited has established a significant presence in the GSM space, despite having

entered the market less than three years ago in a joint venture with NTT DOCOMO of Japan, and offers

differentiated products and services under the Tata DOCOMO brand name.

Tata DOCOMO marks a significant milestone in the Indian telecom landscape, and has already redefined

the very face of telecoms in India, being the first to pioneer the per-second tariff option-part of its ‘Pay



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for What You Use' pricing paradigm. TTL also has a strategic partnership agreement with retail giant

Future Group to offer mobile telephony services under the brand name-T24-on the GSM platform

About Tata Communications

Tata Communications Limited is a leading global provider of a new world of communications. The

emerging markets communications leader leverages its advanced solutions capabilities and domain

expertise across its global and pan-India network to deliver managed solutions to multi-national and

Indian enterprises, service providers and Indian consumers.

The Tata Global Network encompasses one of the most advanced and largest submarine cable

networks, a Tier-1 IP network, with connectivity to more than 200 countries across 300 Pops, and

more than 1 million square feet of data center and co-location facilities.

Servicing customers from its offices in over 80 cities in 40 countries, Tata Communications is the

number one global international wholesale voice operator and number one provider of international

long distance, enterprise data and Internet services in India.

InstaHRMS

InstaHRMS from TCL is an easy-to-use and powerful Cloud-based application that helps in

automating end-to-end HRMS functions like staffing, tests, induction, training, appraisals,

attendance and leave management, payroll, communication with candidates and employees etc.

With TCL’s HRIS & Leave solution all your employees' information can be stored on a centralized

database, and you will be able to view the talent pool in your group companies in seconds for

effective deployment of skills & speedy strategic decision making.

InstaHRMS ensures quicker technology ROI as compared to any on-premise option. Your Company is

instantly empowered to scale up HRIS users instead of ramping up HR manpower, resulting in



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increased productivity. Start instant communication with your employees using SMS features,

anytime and anywhere.

This solution is offered to you in collaboration with HRMantra.

Advantages Section: Key bullet points highlighting the distinct advantages

o Save on infrastructure costs -

o No on-premise server requirement

o Easily scale up your operations

o No Hassle of upgrades / updates

o

Access anywhere, anytime you have an Internet connection — whether on your mobile device,handheld or PC

o Reduce Support hassles through our unique ‘Managed Services’ model

o Lean on our 99.9% up-time guarantee

Core + HRIS Features -

• Organization Hierarchy Setup

•

Complete Portal management• Employees Data Capturing

• Edit Self Details

• Career Movement Tracking

• Communication with employees

• Reporting chart and Organization chart

• Email Connectivity and Chatting

• Reports and Dashboards

• Exit formalities

• Can access from anywhere through PC or mobile handset



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Staffing Module Features –

• Requisition Creation

• Interview Ratings Stored

• Online offer letter creation

• Employment Source tracking

• Candidate to Employee conversion

Payroll -

• Clients can do payroll processing from wherever, whenever in just a few EASY steps

• Clients can email pay slip, Income tax estimation etc. to all employees in one click

• Get integrated pay reports of all your locations and apply for leaves in a few clicks

• The employees can now apply leaves and receive pay-slips on mobile phones

Leave Management Features-

• Leave Types and Sub-Leave Types

• Flexible Leave Entitlement

• Carry forwarding of Leaves

• Leave deduction based on urgency of business

• Leave Escalation Workflow

• Leave data Import / Export

• Reports and Dashboards

Attendance Features -

• Connectivity with any 3rd party "Access Control System“

•

Basket of Public holiday (readily available)• Special Access Permission Cards

• Verities of Attendance Recording Methods

• Monthly Register,Daily Register or thru swipe card or biometric card and software

LogInLogOut.

• Workflow for Attendance Regularization / OD / OT



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Appraisal Module Features -

• 3D customizable dashboards

• 180 or 360 degree workflow

• KRA form

• Multiple appraisal forms formats

• Succession Planning

Training Module Features -

• Training Calendar

• Many Training cycles with in the year

• Training Cost included

• Questions for Training Need Analysis

• Program Feedback

Reports –

• 150 standard reports are included as part of the standard deployment

• Customized reports can be generated by the user with Administrative privileges



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Methodology

The Study is Primarily Based on the Primary data Collected from Tata Docomo Employees.

Sampling Plan:

Sample Size = 10 Employees

Sample Area = Chennai and Gurgaon Branch

Data Sources:

(i) Secondary Data through Internet

(ii) Primary Data through Telephonic Interview

(iii) Contact Method

(iv)Personal Interaction



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Data Collection

Table-1

Head PSG - SMS / OBD

Functional

/ Business

Objective

Key Performance Indicator Unit

Type of

Measur

e

KPI

Start

Date

Targe

t

Weightag

e

Revenue

Improveme

nt

Revenue through SMS / OBD INR

Positive

1-Apr-

12

130 30

Revenue

Improveme

nt

OBV in SMS / OBD INR

Positive

1-Apr-

12

63.28 30

Revenue

Improveme

nt

Introduction of New Streams- MaaS,

MaaS+

Numb

erPositive

1-Apr-

12

10 10

Employee

Engagemen

t

Regulatory Complaince, interacting

with various teams for complaince

Numb

erPositive

1-Apr-

12

10 10

Customer

Engagemen

t

Customer visits per monthNumb

erPositive

1-Apr-

12

10 10

Employee

Engagemen

t

Training conducted to TTEBNumb

erPositive

1-Apr-

12

10 10



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Table-2

Team Member - North- SMS / OBD

Functional /

Business

Objective


Type of

Measur

e

KPI

Start

Date

Targe

t

Weighta

ge

Revenue

ImprovementRevenue through SMS / OBD INR

Positive

1-Apr-

1255 30

Revenue

ImprovementOBV in SMS / OBD INR

Positive

1-Apr-

1229.32 30

Revenue

Improvement


MaaS+

Numb

er Positive

1-Apr-

1220 10

Revenue

Improvement

Market trends and leads generated

for new solutions to be proposed to

Head

Regular updates on performance

and progress

Numb

er

Positive

1-Apr-

12

10 10

Customer

Engagement Customer visits per month

Numb

er Positive

1-Apr-

12 40 10

Employee

EngagementTraining conducted to TTEB

Numb

er Positive

1-Apr-

1220 10



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Table-3

Team Member - South East - SMS / OBD

Functional

/ Business

Objective


Type of

Measur

e

KPI

Start

Date

Targe

t

Weighta

ge

Revenue

Improvem

ent


Positive

1-Apr-

12

36 30

Revenue

Improvem

ent


Positive

1-Apr-

12

14.98 30

Revenue

Improvem

ent


MaaS+

Numbe

rPositive

1-Apr-

12

20 10

Revenue

Improvem

ent



Head

Regular updates on performance

and progress

Numbe

r

Positive

1-Apr-

12

10 10

Customer

Engageme

nt

Customer visits per monthNumbe

rPositive

1-Apr-

12

40 10

Employee

Engageme

nt

Training conducted to TTEBNumbe

rPositive

1-Apr-

12

20 10



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Table-4

Team Member - East- SMS / OBD

Functional

/ Business

Objective


Type of

Measur

e

KPI

Start

Date

Targ

et

Weighta

ge

Revenue

Improveme

nt


Positive

1-Apr-

12

39 30

Revenue

Improveme

nt


Positive

1-Apr-

12

18.98 30

Revenue

Improveme

nt


MaaS+

Numb

erPositive

1-Apr-

12

20 10

Revenue

Improveme

nt



Head

Regular updates on performance and

progress

Numb

er

Positive

1-Apr-

12

10 10

Customer

Engagemen

t

Customer visits per monthNumb

erPositive

1-Apr-

12

40 10

Employee

Engagemen

t

Training conducted to TTEBNumb

erPositive

1-Apr-

12

20 10



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Individual KPIs

Table-5

KRA/Busine

ss Levers Key Performance Indicators Unit

Type Of

KPI Target

No. of BRMs having Funnel for SaaS

NUMBE

R

POSITIV

E

40% Of

BRMs

across the

country

OB Value for SaaS

NUMBE

R

POSITIV

E

As per OB

Plan

Revenue Plan for SaaS

NUMBE

R

POSITIV

E

As per

Revenue

Plan

Toll Free/ACS/IC/SNS Revenue as per PlanNUMBER

POSITIVE

%

achieveme

nt overPlan

New Product Launches

* 15% of BRMs to have funnel within 3 Months of

Launch

* 30% of BRMs to have funnel within 6 months of

Launch

* 2 Orders within 2 Quarters of Launch

* 10 Orders within 3 Quarters of Launch



KPI-Manager

Table-6

Table-7

The above data was collected from

management system at Tata Doco

a couple of HR and Sales managers to understand

mo.

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the performance



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Planning for Performance Management

Performance Management began around 60 years ago as a source of income justification and was used

to determine an employees wage based on performance. Organizations used Performance

Management to drive behaviours from the employees to get specific outcomes. In practice this worked

well for certain employees who were solely driven by financial rewards. However, where employees

were driven by learning and development of their skills, it failed miserably. The gap between

justification of pay and the development of skills and knowledge became a huge problem in the use

of Performance Management. This became evident in the late 1980s; the realisation that a more

comprehensive approach to manage and reward performance was needed. This approach of managing

performance was developed in the United Kingdom and the United States much earlier than it was

developed in Australia.

In recent decades, however, the process of managing people has become more formalised and

specialised. Many of the old performance appraisal methods have been absorbed into the concept of

Performance Management, which aims to be a more extensive and comprehensive process of

management. Some of the developments that have shaped Performance Management in recent years

are the differentiation of employees or talent management, management by objectives and constant

monitoring and review. Its development was accelerated by the following factors:



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The introduction of human resource management as a strategic driver and integrated approach

to the management and development of employees; and

The understanding that the process of Performance Management is something that's

completed by line managers throughout the year - it is not a once off annual event coordinatedby the personnel department.

Performance Planning may be defined as efficiently outlining the activities that a manager is required

to perform during a specified period of time so as to enable him to make his best contribution to

developmental and organizational outcomes. The activities sketched are indicative of the nature of

contributions the manager is required to make to the departmental goals. It also provides a framework

for performing the role.

Performance planning is a collaborative process between the employee and his supervisor which isdiscussed during the performance planning meeting held at the beginning of the performance

management cycle.

It is defined as the total approach to manage performance, which involves setting of aims/ goals and

expectations of the organization and the employees. This is a process which makes the job

expectations much clearer to the employees.



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• Both Supervisor and Employee sign this sheet and accept as a template for upcoming year.

• Changes are made as necessary.

• Responsibilities and expectations are clarified as and when needed.

• Used for next years performance Evaluation.

Benefits of Performance Plan



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Data Analysis

Analysis of the data collected can be done by understanding the plan for performance management

process at every step in the organization.

Step -1 :

Understanding the overall picture

Performance Management System -Emanating from Mission and Vision

The broad vision of the Group is to be a truly global company regarded for its commitment, quality and

trust. Tata Teleservices wants to be the leader market player and the initiator of innovations in the

Indian Telecom Industry.

Mission:

Balancing the needs of all stakeholders and encouraging value creation throughout the

organization

Continuously satisfying customer’s growing needs and expectations with innovative and

customized cutting edge solutions

Creating an engaged and empowered workforce committed to delivering high performance

FIVE CORE VALUESThe TATA Group has always sought to be a value-driven organization. These values continue to direct

the Group’s growth and businesses. The five core TATA values underpinning the way they do business

are:

Integrity:Must conduct the business fairly, with honesty and transparency. Everything action done must

stand the test of public scrutiny.

Understanding:

They must be caring, show respect, compassion and humanity for their colleagues and

customers around the world, and always work for the benefit of the communities they serve.



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Excellence:

They must constantly strive to achieve the highest possible standards in their day-to-day work

and in the quality of the goods and services they provide.

Unity:

They must work cohesively with their colleagues across the Group and with their customers and

partners around the world, building strong relationships based on tolerance, understanding and

mutual cooperation.

Responsibility:

They must continue to be responsible, sensitive to the countries, communities and

environments in which they work, always ensuring that what comes from the people goes back

to the people many times over.

Goal Alignment

To be effective, goals have been set to serve both the needs of the company and those of the

employees.

At Tata Docomo, goals contribute directly to short- and long-term business strategies. For every

employee, goals set are clear, objective, and understandable.

To achieve "goal alignment" at the organization, strategic business objectives are first clearly

communicated across the entire company. Interdepartmental goal visibility also helps speed the

process of alignment. By allowing managers to access and see the goals of other departments, Tata

Docomo greatly reduces goal redundancies and conflicts throughout the organization.

Additionally, many employee objectives are not entirely under the control of one individual. Enabling

and even mandating that individuals assign some goals to two or more people increases engagement

and shared accountability throughout the organization. Goal sharing also helps departmental heads

find ways to better support each other, as they’ll as identify areas where they may be inadvertently

working against each other.

Once company-wide goals have been established, managers set goals for their individual departments

which clearly support overall business strategies. Major Job functions and responsibilities can serve as a



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general framework when writing employee goals. Managers communicate to staff members not only

what is expected of them, but how each task is to be completed. For example, a customer service rep

might be given the goal to boost customer retention (the "what") by improving customer service (the

"how").

Anyone in an organization that has individual/team KPIs should be able to see a link through to the

overall company objectives.

To be most effective, goals are made to pass the S.M.A.R.T. test and be specific, measurable,

attainable, relevant and timely. This provides clarity up front to employees who will ultimately be

evaluated against these goals.

S.M.A.R.T. Goals: Intelligent By Design

S.M.A.R.T. goals have been found to be a very effective method of motivating employees to perform at

peak levels. To qualify as S.M.A.R.T., a goals set are:

SPECIFIC

Specific goals let people know exactly what's expected of them with no room for misinterpretation.

Specific goals answer the following:

Who is responsible?

When must this be done?

What is to be accomplished?

Which requirements/constraints are involved?

Where is this to be completed?

Why is this important or beneficial?

MEASURABLE

When setting goals, set specific criteria for measuring progress against those goals. This gives

employees a way to stay on track, aim for target dates, and reach milestones that will serve as



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ongoing motivation.

ATTAINABLE

Setting overly lofty goals that are truly unattainable serve to demotivate-rather than motivate

employees. By setting ambitious, yet realistic, goals, the company inspires employees to fully

leverage their talents and all available opportunities in order to achieve them.

RELEVANT

Employees must be able to see how a specific goal is relevant to them and the work they perform

every day. Plus by keeping goals relevant, employees better understand their connection to ytheircompany's objectives and the strategic importance of their individual goals.

TIMELY

To be most effective, goals are structured around a specific timeframe to provide a sense of

urgency. This serves to motivate individuals to begin working on their goals as soon as possible.

Step -2:

Determining Work Unit Accomplishments

Identifying work unit accomplishments lets you identify appropriate measures in the following steps of

this process.

A work unit is a small group of employees that, in a traditional work structure, is supervised by the same

first-line supervisor. Work units are generally the smallest organizational group on the organizational

chart and usually include between 5 and 20 people. A work unit can also be a team, permanent or

temporary where the team members work interdependently toward a common goal.

Because not all types of work situations and structures are the same, there are three different ways to

determine what to measure at the work unit level:

A GOAL CASCADING METHOD



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A CUSTOMER-FOCUSED METHOD

A WORK FLOW CHARTING METHOD

Tata Docomo however follows the Goal Cascading Method as it has with clear organizational goals and

objectives, such as those established in the strategic plans and annual performance plans.

Step-3

Determining Individual accomplishments that support work unit goals

The performance elements that will be measured in the overall employee performance plan can include

both individual and group assignments and responsibilities. The most important, results-oriented

aspects of a unit’s performance were identified by alignment role objectives with organization’s goals.

Other individual goals include internal group dynamics processes, such as decision-making or problem-

solving processes, or group/team development.

Elements that address individual accomplishments is identified using a role-results matrix.

A role-results matrix is simply a table that identifies the results each work unit member must produce

to support the unit’s accomplishments. To build the matrix, list the work unit’s products or services

across the top row of a table. List each member of the work unit or each job position down the left

column of the matrix. For each cell of the table, ask this question: List those employee products or

services (i.e., accomplishments) in the appropriate cell. The products or services you list for each unit

member are possible performance elements that might be included in the employee’ s performance

plan. All performance elements should be either quantifiable or verifiable and should be described as

accomplishments (nouns), not activities (verbs).

Individual Performance and Development

Agendas:

KPI-Selection and closure on KPIs for every performance period

Weights-Assigning weightages to each selected KPI for each performance period

Targets-Assign targets to each selected KPI for each performance period



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P Goals-Discussion around competencies, ICBs and development

Step-4

Converting expected accomplishments into performance elements,

indicating type and priority

After understanding the organization goals and objectives , the next step is to analyze the following:

Identifying which accomplishments should be included as elements in the performance plan

Selecting which type of element to use

Assigning weights or priorities

All employees must have at least one critical element in their performance plan. Critical elements must

address individual performance only, except in the case of supervisors who may be held responsible for

a work unit’s products or services. Work unit performance can be addressed through non-critical or

additional performance elements. In appraisal programs with only two summary levels, work unit

performance can be addressed only through additional performance elements.

Once you have classified elements as critical, non-critical, or additional, and if your appraisal program

allows, prioritize them so that work units and employees know which elements are most important.

One way to do this is to distribute 100 percentage points across the elements based on each one’s

importance to the organization.

To understand how to assign weights to critical elements:

Critical elements are work assignments or responsibilities of such importance that unacceptable performance

on the element would result in a determination that an employee’s overall performance is unacceptable.

Defining critical elements must be done thoughtfully because an employee’s unacceptable performance on

any critical element could be the basis for an adverse action. To help decide whether an element should be

classified as critical or not, the following questions are answered.



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Is the element a major component of the work? If you answered “yes,” the element might be critical.

Does the element address individual performance only? Elements measuring group performance cannot

be critical elements, except as explained for supervisors and only under certain circumstances.

If the employee performed unacceptably on the element, would there be serious consequences to

completing the work of the organization? If employee error on the element affects the work unit’s

accomplishments, the element may be critical.

Does the element require a significant amount of the employee’s time? If you answered “yes,” the

element might be critical.

Unless prescribed by the appraisal program, there is no fixed or uniform number of critical elements to be

included in the performance plan; the number varies with the work assignments and may vary from year to year in

response to changing program emphases. However, every employee must have at least one critical element.

From the Table-1 collected in Data Collection, we can find that at all levels in both Teams and Individual KPIs-

there is a weightage assigned for a positive type of Measure.The functional/business objective could include any

of the thrust areas of development-Employee Satisfaction, Customer Satisfaction, Return on Assets or Market

Share.

Step-5

Measuring Performance

After determining the critical, non-critical, and additional performance elements to be included in the

performance plan, Step 5 will determine how to measure performance on those elements.



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The performance pyramid below shows the types of general measures that are used at different levels in the

organization. Note that the balanced measures incorporating the business, customer, and employee perspectives

are appropriate for measuring managerial performance and are sometimes appropriate for supervisory or even

work unit performance. At the bottom of the pyramid, the four general measures normally used for measuring

work unit and employee performance are quality, quantity, timeliness, and cost-effectiveness.

QUALITY-addresses how well the employee or work unit performed the work and/or the

accuracy or effectiveness of the final product. Quality refers to accuracy, appearance, useful-ness, or effectiveness. Quality measures can include error rates (such as the number or

percentage of errors allowable per unit of work) and customer satisfaction rates (determined

through a customer survey).

QUANTITY -addresses how much work the employee or work unit produced. Quantity

measures are expressed as a number of products produced or services provided, or as a gen-

eral result to achieve.

TIMELINESS-addresses how quickly, when, or by what date the employee or work unit

produced the work.

COST-EFFECTIVENESS -addresses dollar savings or cost control for the Government. Y ou

should develop measures that address cost-effectiveness on specific resource levels (money,

personnel, or time) that you can generally document and measure in agency annual fiscal year

budgets. Cost-effectiveness measures may include such aspects of performance as maintaining



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or reducing unit costs, reducing the time it takes to produce or provide a product or service, or

reducing waste.

Step-6

Developing Organizational and individual standards

The next step in the process of developing a performance plan is to establish standards for the

elements. Performance standards are management-approved expressions of the performance

threshold(s), requirement(s), or expectation(s) that employees must meet to be appraised at particular

levels of performance.

Each critical element must have a Fully Successful or equivalent standard established. Technically,

neither non-critical elements nor additional performance elements require a Fully Successful or

equivalent standard.

Step-7

Determining how to monitor performance

Monitoring performance means measuring performance and providing feedback to employees. The

company provides ongoing appraisal, which includes, but is not limited to, conducting one or more

progress reviews during each appraisal period. Determining how to monitor performance is an

important step in developing performance plans.

To determine what data to collect for each performance element, the source of the data, and whether

to collect all the data or just a sample , Tata Docomo does the following:

Determine when to collect the data, who will collect it, and who will receive it

Review existing reports for possible use as feedback reports

Create feedback tables or graphs where necessary or applicable

Try to design feedback processes that give feedback automatically



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Step-8

Checking Performance PlanAfter developing a performance plan using the previous seven steps,the process is checked agin. Using

the checklist below ,the organization ensures that the elements and standards developed to include in

the performance plan are effective and meet regulatory requirements:

Are the critical elements truly critical? Does failure on the critical element mean that the

employee’s overall performance is unacceptable?

Is the range of acceptable performance clear? Are the performance expectations quantifiable,

observable, and/or verifiable?

Are the standards attainable? Are expectations reasonable?

Are the standards challenging? Does the work unit or employee need to exert a reasonable

amount of effort to reach the fully successful performance level?

Are the standards fair? Are they comparable to expectations for other employees in similar

positions? Do they allow for some margin of error?

Are the standards applicable? Can the appraiser(s) use the standards to appraise

performance? Can the appraiser(s) manage the data collected through the measurement

process?

Will work units and employees understand what is required?

Are the elements and standards flexible? Can they be adapted readily to changes in

resources or objectives?

If your program permits appraising elements at levels above the Fully Successful or

equivalent level, is the Fully Successful or equivalent standard surpassable? Is it possible for a

work unit’ s or an employee’s performance to exceed it?



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Performance Management Using KPIs

Performance measurement using KPIs is a process that requires substantial planning and effort to

achieve a successful outcome.Some of the following reasons for using KPIs at Tata Docomo will

typically apply:

To instill a performance driven culture whereby performance and its improvement are seen as a

core part of a broadcaster’s principles of operation;

Improve the quality of management decision making by providing the best information so that

restheirces are effectively and efficiently utilized by the broadcaster;

To identify whether the organizational strategy and milestones are on track so that stakeholders

can be confident that management are working towards their objectives and for management to

identify situations when objectives are not being met or need to be changed;

Help to communicate and align strategy across the broadcaster to ensure that all the key parts of

the organization are working to achieve the same strategic goals

Provide transparency and accountability at both management and stakeholder level so that all key

areas can be confident in the processes that they follow and understand their responsibilities in

achieving organizational success;

Assist in meeting compliance reporting requirements set by Government and regulators, for

example, the quality/reliability of transmission signals and local content requirements. These may

need to be reported through corporate external documents such as a broadcaster’s annual report to

government; and

Support a focus on continuous improvement which can be facilitated by tracking the progress of

KPIs overtime and bettheyen both internal and external benchmarks.

Relationship with performance management

Ideally once a program has been established maximum benefit will be gained by linking the KPIs to the

performance agreements of key staff. This then providesthe necessary feedback and incentive for staff

to track and utilize the KPIs under their control to improve performance.



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Understanding how KPIs are Set

When we look at how KPIs are set at individual level for managers (Refer Table 6 and Table-7) across

the organization we can understand that KPIs are categorized as follows, based on which an individual’s

KPI is developed:

• Strategic/operational

The key attribute here is longer term capability (strategic) versus shorter term activity (operational).

Both are important but often in different parts of the broadcaster, with strategic KPIs reported at more

senior levels in the organizationand perhaps at less regular intervals while operational KPIs are focused

at lower levels and are reported more frequently.

• Result/driver

A broadcaster and its processes can be viewed as many bundles of staff, services (internal and external)

and capital infrastructure which combine to drive activities that lead to outputs/outcomes, in other

words, results. KPIs can be set to measure either the drivers of activities or the results of these

activities. Both have there place and are crucial to understanding performance. Results tend to be

reported at higher levels in the broadcaster and less frequently, while drivers are at more lower levels

and more frequently reported.

• Lead/lag

A critical component of any KPI program is the idea that improved performance and the ability to deal

with uncertainty is facilitated by measures that are predictive of future performance or issues (lead)

rather than simplyastatement of historical results (lag). While the latter may be of some predicative

value it is only with lead type KPIs that future trend and results can be better identified.

• Qualitative/quantitative

While it is desirable to have measures that can be reliably and consistently calculated in an objective

way, this is not always possible. In the broadcasting industry there are a number of aspects of

performance that can be measured by quantity means (the amount of television output by the number



35

of broadcast hours) but there are others that can only be measured in more subject ways that are

qualitative (calibre or quality of output by the number of awards or audience feedback).

• Effectiveness/efficiency

A fundamental determining factor in how a broadcaster is performing can be segmented into two

areas. Effectiveness describes how well a broadcaster meets its Charter obligation generally in terms of

quality and quantity of output. KPIs tend to be non-financial and more indirect or surrogate (e.g.

measuring how a broadcaster informs, educates and entertains by using audience research or public

surveys). Efficiency goes to how well the broadcaster uses its available funding and resources to

maximise it outputs such that more output is achieved with the same level of resources or the same

level of output is delivered using less inputs(using such measures as, output per employee, cost per

broadcast hour and utilisation of production staff). Both effectiveness and efficiency outcomes areimportant in establishing the credentials of the broadcaster to the key stakeholders.

Half-yearly Review

A detailed discussion with HR head Mr.K.K.Vineed ( Chennaibranch), gave me the insight in the

performance appraisal system followed in the company. The appraisal model which is followed on

annual basis starting from the month of April till March has been extremely effective for the employees

of Tata Docomo.

Half yearly appraisal system, was started a year ago. This activity was started keeping in mind the

dynamic behavior of the industry. With a half yearly appraisal system, the employee gets feedback

twice a year, which gives him/her a chance to re-look at his/her approach of working. Necessary steps

are also undertaken for employees who deviate from their goals. They have introduced a

comprehensive system of quarterly appraisals’ where an employee selects his/her own goals or Key

Result Area (KRAs) every quarter and him/her self assesses his/her own performance against these

parameters. At Spice jet while formally the process is annual, for several of the frontline employees,

there are performance related quarterly payouts designed to reward them with incentives for their

performance. This has resulted in quarterly assessments which are aligned overall to annual KRAs

Tata Docomo have a midterm review for all those who have been performers, thereby creating an

expectation amongst the employees of an increase in salary twice a year if they perform well. They



36

used to have annual appraisals earlier, but then they felt that the incentives are not enough to

motivation the sales department, which generates major revenues or the organization.

They do give monetary increments and designation hikes, according to the performance. If the

employee deserves both, they give him/her both the advantages otherwise at least one of them.Designation hikes are given annually. These are proportional to effort of the individual, team and the

department. Designation changes are given keeping in mind the immense responsibility one has to

shoulder in a high rank. Monetary increments are primarily incentives that are given either in cash or

kind for example they give them travel package within India or outside. Also, they have an

accumulating incentive scheme in which employees can accumulate incentives and get them annually

with interest.

To meet the new demands of the business and to motivate the employees for higher performance, theyhave started linking a part of the salary increase to individual performance measures as variable pay. At

present, between 6 to 8 percent of the compensation is variable pay, which they are planning to

increase over a period of time. Executives are categorized in levels based on their performances in a

relative ranking and based on outcome performance-linked pay is awarded.

At Tata Docomo,Half yearly review will be conducted during the month of Oct and will include the

following:-

i. Review will focus on competency development and performance review. Individual’s

performance against goals will also be reviewed to ensure progress and further support

required.

ii. Review will be conducted by the immediate superior (First Appraiser) and the inidividual jointly.

A minimum half an hour should be spent with each employee for the appraisal process.

iii. Employee development will be assessed based on performance, learning and competencies.

iv. The review form will be sent to HR Department after review for further action.

PERFORMANCE APPRAISAL METHODS

Measurement of performance is a very crucial aspect for any organization. Performance appraisal can

be done quarterly or half yearly. It is very important to determine the methods of evaluation. To

measure the quantity and quality of employee’s job performance number of methods have been



37

devised. No method can be dismissed or accepted as they are closely related to the particular needs of

an organization or the type of employees. The most popular methods adopted by Tata Docomo are:

Management By Objectives (MBO)

360 Degree Appraisal

Critical Incident Method

Bell Curve Appraisal

Management by Objectives:

The method of management by objectives requires the manager to set up specific goals or objectives

with each employee in the organization and discuss with them periodically regarding the progress

towards the goals.

MBO has an important role in performance management, MBO is a process in which individual

performance and organizational performance is being consistently measured against objectives and

targets that have been mutually agreed between managers and employees. MBO can be determined

through regular meetings between managers and employees. This involves a top-down and bottom-up

approach.

MBO emphasizes collectively set goals that are tangible, verifiable, and measurable

Focuses attention on goals rather than on methods

Concentrates on Key Result Areas (KRA)

Systematic and rational technique that allowsmanagement to attain maximum results from

availableresources by focusing on achievable goals

Key Elements of MBO

Arranging organizational goals in a means-ends chain

Engaging in joint goal setting

This process has the following steps:

Identify KRAs

Define expected results

Assign specific responsibilities to employees

Define authority and responsibility relationship

Conducting periodic progress review



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Conducting annual performance review

The processes of MBO are more likely to be successful if they meet the SMART criteria:

Critical Incident Technique:

This method is one of the early attempts to move away from trait rating approaches. In this method,

the supervisor sets some incidents to each employee which is related to work behavior. In this method

rater is required to observe the positive and negative behaviors of the employees in the given review

period. It is the method which is based on the description of the events which does not depend on the

rating and ranking systems. Critical incidents can be exceedingly useful in helping employees improve

since the information in them is more detailed and specific than in methods that involve rating

employees.

Bell Curve Appraisal Method

Before the implementation of the Bell Curve Appraisal System, Please ensure the following –

Use of objective parameters for the performance appraisal system.

Determine the reason for poor performance of the employee if there is any.

Let the employee take responsibility for improved and only offer your assistance if needed.

Document all the performance related discussions with the employee because generally the

bell curve system attracts a lot of law suits by fired employees in the west and hence it’s better

to have all the discussions documented for organization’s safety

There are nine aspects to the current system –

1. Change of nomenclature – The present system is called the developmental appraisal,not

performance appraisal. This emphasizes the role of appraisal in promoting individual learning and

development.

2. Planning the job for the following year – This provides role clarity and builds a common

understanding between the individual and the team leader.

3. Counseling for development – Counseling is an integral part of the appraisal system emphasizing

openness and disclosure.

4. Team performance – The individual's contribution to team performance is of major importance.



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5. Process parameters – Process parameters with emphasis on quality, customer focus and systems

form the core of the appraisal.

6. Training – The appraisal system is used to identify the training needs for individuals and teams.

7. Focus – The appraisal system has a single focus, namely development of individual and teams.

8. Client-centered – The developmental appraisal system is exclusively client-oriented.

There is no complex web of procedures with perforated sheets and flow charts maintained by the

human resource department. The forms remain with the team leaders and team members.

9. Label-free ratings – There is no overall rating with labels such as 'outstanding', 'good', and 'average'.

Normalization Committee Decides on the final bell curve for eachfunction in the respective Business Unit.

Reviews the performance ratings proposed bythe HOD’s to ensure an unbiased relativeranking

of employees on overall performance, and thusfinalize the performancerating of each

employee

180/360 Degree feedback

Carrying out either a 180 or 360 degree feedback on an individuals’ competencies and performance is

an excellent way to begin a developmental programme.

It is difficult for people to give transparent feedback directly to an individual, especially if that person is

in a position of authority. The Feedback process can provide the individual with really helpful feedback

with a level of confidentiality that ensures the people giving the feedback are honest in their

assessment. The majority of people are pleasantly surprised by the results of their feedback process

It can help to boost their confidence and self-belief in areas of high competency. It can also highlight

where the individuals performance and competency needs further development. This is particularly

true of interpersonal skills, communication and personal impact. As these interpersonal skills are the

difference between a good and a great leader, it is essential that these are addressed.

180˚ Appraisal extends the traditional appraisal process to make the feedback process two-way.

Feedback from team members can be provided to their line manager on a one-to-one basis during the



40

individual’s appraisal discussion, or it can be collated and presented as group feedback from all team

members.

360˚ Appraisal involves capturing feedback about an individual from a range of people (respondents)

including his or her line manager, colleagues and direct reports. The data is then compared with the

individual’s own assessment of their performance. In some models, external contacts and partners may

also be involved.

What to Consider

180˚ and 360˚ appraisal processes both need careful planning and management.

Providing respondents with a questionnaire will help them to structure their feedback and encourage

them to focus on the individual’s behavior and performance rather than their personality.



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1. Deciding what data to gather

Two commonly used formats for questionnaires are:

Stop/Start/Continue Questionnaire –

This uses three basic questions:

What would you like the person to START doing? - Something they don’t currently do but

would be helpful if they did?

What would you like the person to STOP doing? - Something they currently do but isn’t helpful?

What would you like the person to CONTINUE doing? - Something they already do that you

would like to reinforce

ii. Development Questionnaire

This seeks feedback against a set of competences that are aligned with businessneed such as:

• People Management

• Problem Solving

• Interpersonal Skills

• Leadership.

• People Management

• Problem Solving

What Data to gather

How to design the Questionnaire

How to give Feedback



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• Interpersonal Skills

• Leadership

• Decision Taking

2. Designing the questionnaire

The questionnaire should be easy to understand. Here are some tips:

• Tell respondents what will happen to the feedback they provide, emphasizing whether it

will be provided directly to the individual, or whether it will be collated with the feedback

from other respondents to preserve their anonymity.

• Keep the questionnaire simple and short - it is more likely to be completed if it is easy to fill

in.

• Avoid multiple questions e.g. “Is the manager willing to listen and do they respond

appropriately?” This forces people to give one response to two subjects.

• Use appropriate scales - ensure enough scope for people to score their response, but avoid

giving people the option to select the ‘middle ground’.

• Use quality and frequency scales - How good is it and how often do they do it?

• Provide instructions for completing and returning the questionnaire - make surethese are

clear and easily understood.

• Pilot - try the questionnaire out with a small selection of staff. Review success andmake any

improvements



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3. Managing the feedback process

The feedback process is the key to the success of 180˚ or 360˚ appraisal feedback.

You need to consider whether:

• The individual should receive the completed feedback questionnaire(s) or a report that

aggregates the feedback. The latter is preferable as it preserves the anonymity of the

respondents.

• Direct reports should provide feedback to their line manager face-to-face. Some

organizations see that the easiest next step for their appraisal process is to encourage

upward as well as downward feedback during the appraisal discussion.This can be a difficult

option as without an open culture and a high level of interpersonal skills, individuals may

find it difficult to provide honest feedback to their line manager.

• The feedback is provided to the individual by his or her line manager or by an independent

third party.

• This works particularly well if the third party is skilled in giving feedback and can go on to

act as a coach.



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Findings and Conclusion:

Summing up the whole Planning Process

In an effective organization, work is planned out in advance. Planning sets performance expectations

and goals for groups and individuals to channel their efforts toward achieving organizational objectives.

Getting employees involved in the planning process helps 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 elements and standards should be

measurable, understandable, verifiable, equitable, and achievable. Through critical elements,

employees are held accountable as individuals for work assignments or responsibilities. Employeeperformance plans should be flexible so that they can be adjusted for changing program objectives and

work requirements. By monitoring continually, supervisors can identify unacceptable performance at

any time during the appraisal period and provide assistance to address such performance rather than

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

Compet it ive Advantage of Perf ormance Management Syst em at Tata DoCoMo are as follows:

Ability to set KRA and Competencies

Configurable Review Workflow

Review period can be defined

180 - 360 Degree review possible

Rating scale can be configured as per requirement

Status reports and dashboard at each stage

Online Normalization (Bell Curve) analysis & modifications

KPI Formation & Performance management workshops conducted by HR on a timely basis.

Different form formats can be configured

PMS System can be integrated to any ERP solution

Ensures transparency and unified performance

Ensures wealth creation for everybody



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Limit at ions of t he Performance management System

When the whole subject of KPIs is introduced, many peoples’ initial thoughts turn to traditional

measures such as costs, readily quantifiable production figures and financial ratios. There is a place for

such measures and they commonly form part of a ‘balanced scorecard’ of KPIs to measure and manage

a business process. If the only KPIs which are used to measure a process are these traditional measures,

the results will be narrowly focused.

At Tata DoCoMo,they find problems in selecting their KRA’s from the KRA master as there are so many

KRA’s and they have to select the KRA’s which are related to their work. The KPIs weren’t well

intertwined.

A very common problem with KPI management arises when, the emphasis is purely on cost

containment or reduction. In these circumstances it is common to see, despite ‘successful’ achievementof the KPI targets, a rise in incidents associated with safety, reductions in customer satisfaction,

environmental issues and low employee satisfaction.



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Conclusion:

Tata Docomo has a very organized Performance Management System.They have fool proofed the

whole process as such along the course of years. They have developed several methods that help in the

growth of the individual both personally and professionally and it directly leads the growth of the

organization. They have good and established ways and processes of developing individual, team and

organization performance by ways other than training. They make sure that they work towards the

career growth of employees by building competencies and by putting the top 10% of the employees on

the fast track leadership program. Apart from this they have good feedback systems in place that helps

the employee identify their short coming and help them bridge the gap between the present level and

perfection.Their performance management system is forward looking and developmental.



References:

1. Michael Armstrong (2000), Performance Management:Key Strategies and Practical Guidelines.

2. Fulk, H. Kevin; Bell, Reginald L.; Bodie, Nancy (2011), Team Management by Objectives:

Enhancing Developing Teams' Performance, Jtheirnal of Management Policy & Practice., Vol. 12

Issue 3

3. T.V. Rao (2004), Performance Management and Appraisal Systems: HR Tools for Global

Competitiveness.

4. Antoni, C. (2005). Management by objectives – an effective tool for teamwork?, International

Jtheirnal of Human Restheirce Management, 16(2), 174-184.

5. David Parmenter,Setting KPIs that genuinely support corporate strategy,Charter,July 1st,2013

6. Michael Armstrong (2009), Armstrong’s Handbook of Performance Management-As evidence

guide to delivering high performance, 4th Edition.

7. Collins, J., 2001, Good to Great: Why Some Companies Make the Leap – And Others Don’t,

Random House Business Books, London

Documents

Performance Planning PM Project