ACKNOWLEDGEMENT

It is a pleasant duty to acknowledge the valuable help I received from my quarters in

the completion of my project.

I would like to express my gratitude to Mr. R.P. Dubey DGM HR, R& P Section,

TEL BHAVAN, ONGC, Dehradun for providing me with an opportunity to work in

the prestigious ONGC Academy.

I would like to express my deep sense of gratitude to my Project guide Mr. Amit

Tripathi ,Sr. HR Executive, Recruitment Section, Tel Bhavan, Dehradun for

providing me with an opportunity to work on this project.

A Special thanks to Mr. Uday Raj Pandey AG-III (Recruitment) for his timely advice

and support. I would especially like to thank all employees & library of ONGC for

spacing their valuable time and filling the questionnaires and thereby assisting me in

my research.

AKANKSHA KUMAR M.B.A. 1st Year

MONIRBA,ALLAHABAD

1

EXECUTIVE SUMMARY

Human Resource Management is one of crucial activity in an organization. This project

basically deals with measurement of the effectiveness of Performance Appraisal System,

being practiced in ONGC. During the course of project, a comprehensive study of the

Appraisal System was carried out. The executives (from E1 to E6) were consulted formally

and informally. A detailed questionnaire was administered to know the responses of the

concerned people.

The first part of project deals with understanding the profile of ONGC as a whole covering

its vision & mission.

The second part deals with the introduction, objective and the methods of Performance

Appraisal System.

The third part deals with the Performance Appraisal System as being implemented in

ONGC. The fourth part deals with the Research Methodology as being used during the

course of our project.

The fifth part deals with Analysis as derived from the questionnaires and their respective

interpretation.

Finally, the conclusion, recommendations and annexure.

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CONTENTS TOPIC PAGE Chapter 1 ORAGANISATIONAL PROFILE 1.1 PROFILE OF ONGC ………………………………….5 1.2 HISTORY OF THE COMPANY ………….......................6 1.3 ORGANISATION CHART…………………..................10 1.4 HR IN ONGC……………………………..................18 NEED FOR THE STUDY ……………....................22

Chapter 2 BACKGROUND READING OF THE TOPIC 2.1 INTRODUCTION OF PERFORMANCE APPRAISAL….........25 2.2 OBJECTIVES OF PERFORMANCE APPRAISAL……………26 2.3 METHODS OF PERFORMANCE APPRAISAL……………...28Chapter 3 PERFORMANCE APPRAISAL IN ONGC……….38

Chapter 4 RESEARCH METHODOLOGY 4.1 JUSTIFICATION OF THE STUDY……………………………64 4.2 OBJECTIVE OF THE STUDY…………………………………65 4.3 LIST OF HYPOTHESIS………………………………………..66 4.4 SCOPE OF THE STUDY……………………………………….67 4.5 RESEARCH DESIGN…………………………………………68 4.6 SAMPLING PLAN……………………………………………..68 4.7 UTILITY OF THE STUDY……………………………………..69

Chapter 5 ANALYSIS AND INTERPRETATION……………..71

Chapter 6 CONCLUSION………………………………………..95

Chapter 7 RECOMMENDATIONS…………………………….98

Chapter 8 BIBLIOGRAPHY……………………………………101

ANNEXURES…………………………………………103

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4

1.1 PROFILE OF O.N.G.C.

SECURING SUSTAINED GROWTH

Oil and Natural Gas Corporation Limited (ONGC) born as a medium entity, was set

up as a Commission on August 14, 1956. The company got Incorporated on June 23,

1993, which has now grown into a full fledged horizontally integrated petroleum

company. Today, ONGC is a Flagship public sector enterprise and India’s highest

profit making corporate, achieving the record of being the first Indian corporate to

register a five digit profit figure of Rs. 12983 crores in the year 2004-05 and current

net Profit is Rs 16126.31 crore for the year 2008-2009.

Today, ONGC is the most valuable company in India, contributing 77 percent of

India’s crude oil production and 81 percent of India’s natural gas production. To

sustain this growth ONGC has drawn up ambitious strategic objectives. They are:-

Having accreted six billion tones oil and oil equivalent reserves in its first 45

years of operation, ONGC now aims to doubts these reserves by 2020.

The second strategic objective is to augment the global recovery factor from

the existing 28 percent to the global norm of 40 percent in next 20 years.

5

1.2 HISTORY OF ONGC

In 1955, Government of India decided to develop the oil and natural gas resources in

the various regions of the country as part of the Public Sector development. With this

objective, an Oil and Natural Gas Directorate was formed. In 1956 directorate raised

to the status of commission with enhanced powers. The directorate was converted in

statutory body by an act of parliament. So ONGC was setup to explore oil and natural

gas resources in the country.

Since its inception, ONGC has been important in transforming the country’s limited

upstream sector into a large viable playing field, with its activities spread throughout

India and significantly in overseas territories. ONGC went offshore in early 70’s and

discovered a giant oil field in the form of Bombay High, now known as Mumbai

High.

With the liberalized economy policy, adopted by the government of India in July

1991, ONGC was re-organized as a limited Company under the Company’s Act 1956

in February 1994.

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1.3 ONGC Today

Is the Best Oil & Gas Company in Asia, as per a recent survey conducted by

US-based magazine “Global Finance”.

‘Highest Wealth Creator’ distinction amongst all the listed Companies in India

for having created highest shareholder wealth during 1999-2004 in excess of

Rupees One Trillion.

Ranks as the second biggest E & P company (& 1st in terms of Profit), as per

the Platt’s Energy Business technology (EBT) survey 2004.

‘Golden Peacock Award’ for Corporate Governance from the World Council

of Corporate Governance UK.

Is placed at the top of all Indian Corporate Listed in Forbes 400 Global

Corporate (rank 133rd ) and Financial Times Global 500 (rank 326th), by

market capitalization.

Reached 99% level of accreditation for its installations with quality, health,

safety and environment certification.

Is recognized as the most valuable Indian Corporate by market capitalization,

Net worth & Net Profits, in current listings of Economics Times 500, Business

Today 500 and Business Week.

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ONGC’s CORPORATE RANKING

• ONGC ranks as the Numero Uno Oil & Gas Exploration & Production (E&P)

Company in the world, as per Platts 250 Global Energy Companies List for the year

2008 based on assets, revenues, profits and return on invested capital (ROIC).

• ONGC ranks 20th among the Global publicly-listed Energy companies as per ‘PFC

Energy 50” (Jan 2008)

• ONGC is the only Company from India in the Fortune Magazine’s list of the

World’s Most Admired Companies 2007.

• Occupies 152nd rank in “Forbes Global 2000” 2009 list (up 46 notches than last

Year) of the elite companies across the world; based on sales, profits, assets and

Market valuation during the last fiscal . In terms of profits, ONGC maintains its top

Rank from India.

• ONGC ranked 335th position as per Fortune Global 500 - 2008 list; up from 369th

Rank last year, based on revenues, profits, assets and shareholder’s equity. ONGC

Maintains top rank in terms of profits among seven companies from India in the list .

8

INDIA’S MOST VALUABLE PUBLIC SECTOR

ENTERPRISE

• Ranked as the most respected Public Enterprise in India in 2007 “Business world

Survey, with 19th position in the league of the most-respected Indian Corporate(s).

• Rated ‘Excellent’ in MOU Performance Rating for 2006-07 by the Department of

public enterprises, Ministry of Heavy Industries in Public Enterprises, GOI.

• Oil Industry Safety Directorate (OISD) has selected Ahmadabad Asset and MRPL

for the year 2006-07 (as number one in Group-4 category (Oil & Gas Assets) and

Second in Group-1 Refinery category respectively).

• Topped the visibility metrics in Indian Oil and Gas Sector and the only PSU in the

top 10 list of Indian Corporate newsmakers.

•”Golden Peacock Global Award 2007 for Excellence in Corporate Governance

2007”, for the 3rd consecutive time, conferred by World Council for Corporate

Governance.

• Bagged the coveted winner’s trophy of the maiden “Earth Care Award for

excellence in climate change mitigation and adoption” under the category of GHG

mitigation in the small/medium and large enterprises.

• Conferred with “Infraline Energy Excellence Award” for its services to the Nation

in Oil & Gas Exploration and Production category.

• Bestowed with “Amity Award for Excellence” in Cost Management.

9

1.4 ORGANISATION CHART

10

VISION AND MISSION

ONGC’s VISION

To be a world class oil and gas company, integrated in energy business with dominant

Indian Leadership and global Presence.

ONGC’s MISSION

To stimulate, continue, and accelerate exploratory efforts to develop and maximize

the contribution of hydrocarbon to the economy of the country.

WORLD CLASS

To be a world-class oil and gas company, ONGC is dedicated to excellence by

leveraging competitive advantages in R & D and technology with involved people

and Imbibe high standards of business ethics and organizational values, ONGC also

Fosters a culture of trust, openness and mutual concern to make working a stimulating

and challenging experience for our people and also strive for customer delight

through quality products and services.

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INTEGRATED IN ENERGY BUSINESS

The company strives to be integrated in energy business. This implies that the

company focuses on domestic and international oil and gas exploration and

production business opportunities and also creates growth opportunity and maximizes

shareholder value.

DOMINANT INDIAN LEADERSHIP

ONGC has retained dominant position in Indian petroleum sector and enhances

India’s energy availability.

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CORE ACTIVITIES OF ONGC

ONGC is mainly involved in the process of “Exploration & Production” which

broadly means

Establishing commercial accumulation of crude oil and natural gas in Sub-

surface at depth and at a given cost.

Introducing the established oil and gas reserve optimally as a economic viable.

EXPLORATION

It is the study of surface and sub surface parameters with aim to asses whether iol

reserves are available in commercially exploitable quantities; it includes services of

various discipline persons like

Geologists

Geophysicist

Reservoir engineer

Survey people

Chemistry people

Paleontology

Programming people to internet

Map and drawing people

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PRODUCTION

This is the exploitation of the oil reserves, which leads to actual production of oil. Its

primary function is to process and supply the produced oil to the refineries. As in the

case of gas it is also directly supplied to the customer. This function is supported by

Production people

Chemistry people

Instrumentation

Cementation

Construction and maintenance (C & M)

SUPPORT FUNCTIONS FOR CORE ACTIVITIES

Apart from the Core activities described above, there are a number of Institutes set up

in ONGC which are dedicated to Research & Development as their primary function

coupled with imparting training and skill enhancement.

14

ONGC ACADEMY

ONGC Academy at Dehradun accredited with ISO9001 Quality Certification, has

been developed as a centre of Excellence for imparting training and for enhancing

overall managerial capabilities of the work force. It is functionally under the control

of Director (HR) and is the nodal agency for formulating guidelines relating to

Human Resource development and its execution.

In addition to ONGC Academy, ONGC’s set-up also controls Regional Training

Institutes (RTIs) at Baroda, Panvel, Chennai and Sivasagar. At these institutes the

total number of programs conducted was 331 during 2000-01, which were attended

by over 8000 employees of the regions. It is expected that project SHRAMIK which

is based on SAP R/3 software platform will make training and development even

more effective in ONGC in future.

RESEARCH & DEVELOPMENT INSTITUTES

Following Research & Development Institutes are functioning with a view to provide

necessary support to the field operations:

Keshav Dev Malaviya Institute of Petroleum (KDIMPE), Dehradun.

Institute of Drilling Technology (IDT), Dehradun.

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Institute of Reservoir studies (IRS), Ahemdabad.

Institute of Engineering & Ocean techno logy (IEOT), Panvel

Institute of Petroleum Safety and environment Management (IPSEM), Goa

Institute of Oil & Gas Production Technology (IOGPT), Panvel

Institute of Biotechnology & Geotectonic Studies (INBIGS), Jorhat

Onshore Activity Offshore Activity

ONGC OFFICES IN INDIA

Head Quarters Dehra Dun

Registered Office New Delhi

Regional Offices Baroda, Kolkata, Nazira, Mumbai, Chennai

BASIN

Dehradun (Frontier Basin)

Baroda (Western Onshore Basin)

Mumbai (Western Off Shore Basin)

KG Basin

Cauveri Basin

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ASSETS

Mehsana

Ahmadabad Ankleshwar

Mumbai

Karalkal

Rajahmundry

Tripura

Assam

PLANT

Hazira

Uran Plant.

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1.5 HUMAN RESOURCE (HR) IN ONGC

“Not only had India… set up her own machinery for oil exploration… an efficient

oil commission had been built where a large number of bright young men and

women had been trained and they were doing good work”.

- Pandit Jawaharlal Lal Nehru, India’s first Prime Minister to Lord Mountbatten, on ONGC (1959).

Today, ONGC is the flagship company of India; and making this possible is a

dedicated team of nearly 35,000 professionals who toil round the clock. It is this toil,

which amply reflects in the performance figures and aspirations of ONGC. The

company has adapted progressive policies in scientific planning, acquisition,

utilization, training and motivation of the team. At ONGC everybody matters, every

soul counts.

ONGC has a unique distinction of being a company with in-house service capabilities

in all the activity areas of exploration and production of oil and gas and related oil

field services.

Needless to emphasize, this was made possible by the men and women behind the

machine. Over 24,000 experienced and technically competent executives mostly

scientists and engineers from distinguished Universities / Institutions of India and

abroad form the core of ONGC manpower. They include geologists, geophysicists,

geochemists, drilling engineers, reservoir engineers, petroleum engineers, production

engineers, engineering and technical service providers, financial and human resource

experts, IT professionals and so on.

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HR VISION, MISSION & OBJECTIVES

HR VISION

“To attain organizational excellence by developing and inspiring the true potential of

company’s human capital and providing opportunities for growth, well being and

enrichment”

HR MISSION

“To create a value and knowledge based organization by inculcating a culture of learning,

innovation & team working and aligning business priorities with aspiration of employees

leading to development of an empowered, responsive and competent human capital”.

HR OBJECTIVES

To develop and sustain core values.

To provides job contentment through empowerment, accountability and

responsibility.

To develop business leaders for tomorrow.

To build and upgrade competencies through virtual learning, opportunities for growth

and providing challenges in the job.

To fosters a climate of creativity, innovation and enthusiasm.

To enhance the quality of life of employees and their family.

To inculcate high understanding of ‘Service’ to a greater cause.

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Core Values

Team spirit social responsibility discipline

A Task Force was constituted to identify 5 crore values in ONGC along with their attributes

and desired behavior associated with them.

S.No. Core Values Attributes and Desired Behavior on the job

1. Sense of Belonging Commitment, loyalty, sense of ownership of the job and

company properties, improvements in personal work area

as a self starter, ensuring quality in individual work and

value addition.

2. Integrity Personal/Professional integrity by strictly abiding by rules

& regulations, processing/deciding cases in an

unbiased/dispassionate way, sense of ethics in behavior.

3. Team Spirit Working in groups, trust & openness, cooperation,

communication, sharing knowledge and information,

collective learning, target consciousness, cost and quality

consciousness.

4. Discipline Punctuality, work ethics, dress code, self discipline as

model to others, enforcing discipline in a fair and firm

manner.

5. Social Responsibility Caring of society and environment, projecting a lofty

image of ONGC to society.

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DIFFERENT CADRES IN HR DEPARTMENT

DIRECTOR (HR)

EXECUTIVE DIRECTOR :E9

GROUP GENERAL MANAGER :E8

GENERAL MANAGER (HR) :E7

DEPUTY GENERAL MANAGER :E6

CHIEF MANAGER (HR) :E5

MANAGER (HR) :E4

DEPUTY MANAGER (HR) :E3

SENIOR HR EXECUTIVE :E2

HR EXECUTIVE :E1

ASSISTANT HR EXECUTIVE :E0

CHIEF SUPERINTENDENT :S-IV

SENIOR SUPERINTENDENT :S-III

SUPERINTENDENT :S-II

ASSISTANT SUPERINTENDENT :S-I

NEED FOR THE STUDY

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The role of HR is very crucial in any organization.”HR Mantra” is changing continuously in most of the private sector companies yearning for better performance of its employees. On the other hand, public sector enterprises in India are characterized by the Resistance to “change and reformation”.

Since inception of planning in India, a system of mixed economy was introduced to materialize the speedier process of industrialization in the country. Both the public & private sectors were assigned responsibilities to play their effective roles in the development of the economy.

However, the PSUs were entrusted with greater responsibility mainly because of the expectation that public sector as an engine of growth will help achieve commanding heights of the India’s economy. The poor performance of PSUs has been criticized across the nation, even globally and the very existence of such organizations is being questioned.

Performance Appraisal in PSUs has therefore been considered necessary to assess their level of efficiency for its further improvement with a view to ensure the increased level of profitability. Its in fact a difficult task to develop suitable indicators for measurement of performance in PSUs.

As part of ONGC’s Vision & Mission statement, the HR policy was aimed to “Foster a culture of trust, openness and mutual concern to make working a stimulating and challenging experience for our people”. In a performance appraisal system, general characteristics such as “leadership, public acceptance, attitude toward people, appearance and grooming, personal conduct, outlook on life, ethical habits, resourcefulness, capacity for growth, mental alertness, loyalty to organization” are susceptible to partiality and to the personal taste, whim, or fancy of the evaluator” as well as “patently subjective in form and obviously susceptible to completely subjective treatment” by those conducting the appraisals.

ONGC as an organization emphasizes a lot on Performance Appraisal of its employees. With the objective of improving employee’s performance and fostering a culture that promotes enhancement of employee’s productivity qualitatively as well as quantitatively; ONGC has even introduced e-PAR IN 2008.

22

The current form of Performance Appraisal practice being used is that of Self-Appraisal or 180-degree Appraisal. Every employee lists his/her KRAs/KPIs annually and forwards it to their respective appraiser.

In such a milieu I felt the need to study Performance Appraisal in ONGC and make an attempt to know the viewpoints of employees. Another thing which I was inquisitive about was whether the employees in a PSU are open to the idea of 360-degree Appraisal or not.

Through this summer training project, I’ve tried to find out the effectiveness of the current form of Performance Appraisal in ONGC, the satisfaction and awareness among the employees and their willingness to accept an appraisal system whereby their performance is gauged not only by their boss but by their peers and subordinates as well.

23

24

2.1 INTRODUCTION OF PERFORMANCE APPRAISAL

MEANING OF PERFORMANCE APPRAISAL

Performance appraisal is a process of assessing, summarizing and developing the work

performance of an employee. It is the systematic evaluation of the individual with respect to

his performance for development. Performance appraisal should also be viewed as a system

of highly interactive processes which involve personnel at all levels in differing degrees in

determining job expectations, writing job descriptions, selecting relevant appraisal criteria,

developing assessment tools and procedures and collecting interpreting, and reporting results.

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2.2 OBJECTIVES OF THE PERFORMANCE APPRAISAL

The main objectives of performance appraisal are as follows:

1. To provide feedback to employees so that they come to know where they stand and can

improve their job performance.

2. To provide valid database for personnel decisions concerning placements, pay,

promotion, transfer, punishment etc.

3. To understand his own strengths and weakness with respect to his role in the organization

so as to identify further training needs.

4. To improve coaching, counseling, career planning and motivation to subordinates.

5. To improve relationship between the superior and the subordinate through the realization

that each is dependent on the other for good performance and success.

6. To facilitate research in personnel management.

7. To test the effectiveness of recruitment, selection, placement and induction

programmers’.

26

Thus Performance appraisal aims at both judgment and development efforts. The first two

objectives are judgmental whereas the remaining are developmental. Under developmental

efforts employees are helped to identify their weakness and take steps to overcome them.

APPRAISAL DATA IS NEEDED FOR -:

• Assessment of current employee performance

– are performance standards being met?

• Training needs

– what does the employee need to learn in order to improve current work

performance?

• Career planning and development

– assessing an employee’s strengths and weaknesses to determine

advancement

• Compensation programs

- provides a basis for rational decisions regarding pay adjustments (raises and

bonuses)

• Internal employee relations

– used for decisions in several areas of internal employee relations, including

promotion, demotion, termination, layoff, and transfer (transfers, layoffs,

terminations)

• Recruitment and selection

– generates data to validate selection criteria

• Human resource planning

27

– assessment data is helpful in building replacement or succession charts

2.3 METHODS OF PERFORMANCE APPRIASAL

PERFORMANCE APPRAISAL METHOD

TRADITIONAL METHOD MODERN METHOD

- Graphic Rating Scales - Behavior Rating Scales

- Ranking Method - Management by Objectives

- Paired Comparison Method

- Forced Distribution Method

- Checklist Method

- Critical Method

- Essay Appraisal

- Annual Confidential Reports

28

TRADITIONAL METHODS

1. Graphic Rating Scales

Graphic rating scales compare individual performance to an absolute standard. In this

method, judgments about performance are recorded on a scale. This is the oldest and widely

used technique. This method is also known as linear rating scale or simple rating scale.

2. Ranking Method

Under this method the employees are ranked from best to worst on some characteristics. The

rater first finds the employees with the highest performance and the employees with the

lowest performance in that particular job category and rates the former as the best and latter

as the poorest. Then the rater selects the next highest and next lowest and so on until he rates

all the employees in that group.

3. Paired Comparison Method

Under this method, the appraiser ranks the employees by comparing one employee with all

other employees in the group, one at a time this method results in each employee being given

a positive comparison total and a certain percentage of the total positive evaluation.

4. Forced Distribution Method

29

Forced distribution method is developed to prevent the raters from rating too high or too low.

Under this method, the rater after assigning the points to the performance of each employee

has to distribute his ratings in a pattern to conform to normal frequency distribution.

5. Checklist Methods

The checklist is a simple rating technique in which the supervisor is given a list of statements

or words and asked to check statements representing the characteristics and performance of

each employee. There are three types of checklist methods, viz., simple checklist, weighted

checklist and forced choice method.

6. Critical Method

Under this method, the supervisor continuously records the critical incidents of the employee

performance or behavior relating to all characteristics(both positive and negative) in a

specially designed note book. The supervisor rates the performance of his subordinates on the

basis of the notes taken by him.

7. Essay of Free From Appraisal:

The method requires the manager to write a short essay describing each employee’s

performance during the rating period. This format emphasis evaluation of overall

performance, based on the strength /weaknesses of the employees performance, rather than

specific job dimensions.

8. Annual Confidential Reports (ACR):

30

Assessing the employees performance confidentially is a traditional method of performance

appraisal. Under this method, superior appraises the performance of his subordinates based

on his observations, judgment and institutions. The superior keeps his judgment and report

confidentially. In other words the superior does not allow the employee to know the report

and his performance.

MODERN METHODS

1. Behaviorally Rating Scales (BRS)

The Behaviorally Rating Scales (BRS) method combines elements of the traditional rating

scale and critical incidents methods. Using BRS, job behaviors’ from critical incidents –

effective and ineffective behaviors’ are described more objectively. The method employs

individuals who are familiar with a particular job to identify its major components. They then

rank and validate specific behaviors’ for each of the components.

2. Management by Objectives:

The concept of management by objectives was advanced by Peter F. Drucker way back in

1954.Generally, the MBO process is undertaken along the following lines:

The subordinate and superior jointly determine goals to be accomplished during the

appraisal period and what level of performance is necessary for the subordinate to

satisfactorily achieve specific goals.

During the appraisal period the subordinates update and alter goals as necessary due

to changes in the business environment.

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360 Degree Appraisal

360 Degree Appraisal is basically Multi-Rater Appraisal and Feedback System, where an

individual is assessed by a number of assesses including superiors, subordinates, peers,

internal customers and external customers. In this system a candidate us assessed

periodically normally once a year but some times even half yearly.

Objectives of 360 Degree Feedback:

It is Possible to aim at the following through 360 degree:-

Insight into the strong and weak areas of the candidate in terms of effective

performance of roles.

Identification of developmental needs and preparing development plans more

objectively.

Data generation to serve as a more objective basis for rewards and other personnel

decisions.

Reinforcement of other change management efforts and organization

effectiveness directed interventions.

Basis for performance linked pay or performance rewards,

32

Alignment of individual and group goals with organizational vision, values and

goals.

Basis of 360 Degree Assessment

Helps in:-

Culture building

Leadership Development

Potential Appraisal and Development

Career Planning and Development

Team Building

Planning Internal customer satisfaction improvement measures

Role clarify and increased accountabilities

Advantages of 360 Degree Feedback:

It is more objective than a one person assessment of traits and qualities.

It adds objectivity and supplements the traditional appraisal system.

It provides normally more acceptable feedback to employees.

It can serve all the purposes served by the traditional appraisal system like

identifying the development needs, reward management, performance

development etc.

It helps focus on internal customer satisfaction.

33

It has the potential of pointing out the supervisory biases in the traditional

appraisal systems.

It is a good tool for enhancing customer service and quality inputs and services to

internal customers.

BENEFITS OF PERFORMANCE APPRAISAL;-

Benefits for the individual:

• Gaining a better understanding of their role

• Understanding more clearly how and where they fit in within the wider picture

• A better understanding of how performance is assessed and monitored

• Getting an insight into how their performance is perceived

• Improving understanding of their strengths and weaknesses and developmental needs

• Identifying ways in which they can improve performance

• Providing an opportunity to discuss and clarify developmental and training needs • Understanding and agreeing their objectives for the next year.

• An opportunity to discuss career direction and prospects.

Benefits to the line manager/supervisor/team leader:

• Opportunities to hear and exchange views and opinions away from the normal pressure of work

• An opportunity to identify any potential difficulties or weaknesses

• An improved understanding of the resources available

34

• An opportunity to plan for and set objectives for the next period

• An opportunity to think about and clarify their own role

• An opportunity to plan for achieving improved performance

• An opportunity to plan for further delegation and coaching

• An opportunity to motivate members of the team.

Benefits to the organization:

• A structured means of identifying and assessing potential

• Up-to-date information regarding the expectations and aspirations of employees

• Information on which to base decisions about promotions and motivation

• An opportunity to review succession planning

• Information about training needs which can act as a basis for developing

LIMITATIONS OF PERFORMANCE APPRAISAL:-

The main problems involved in performance appraisal are as follows:-

1) Error In Rating- Performance appraisal may not be valid indicator of performance

and potential of employees due to the following types of error:

a) Halo effect- It is tendency to rate an employee consistently high or low on the basis of

overall impression. One trait of the employees influences the rater’s appraisal on all other

traits.

35

b) Stereotyping- This implies forming a mental picture of a person on the basis of his

age, sex, caste or religion.

c) Central tendency- It means assigning average ratings to all the employees in order to

avoid commitment or involvement. As a result the ratings are clustered around the midpoint.

d) Constant error- Some evaluators tend to be lenient while others are strict in assessing

performance.

e) Personal biases- Performance appraisal may become invalid because the rater dislikes

an employee. Such bias or prejudice may arise on the basis of region beliefs and habits or

interpersonal conflict.

2) Lack of reliability- Reliability implies stability and consistency in the measurement.

Lack of consistency over time and among different rates may reduce the reliability of

performance appraisal.

3) Incompetence – Raters may fail to evaluate performance accurately due to lack of

knowledge and experience.

4) Negative approach – Performance appraisal loses most of its value when the focus of

management is on development of employees.

5) Multiple objectives – Raters may get confused due to two many objectives or unclear

of performance appraisal.

6) Lack of knowledge – The staff appraising performance of employees might not be

trained and experienced enough to make correct appraisal.

36

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PERFORMANCE APPRAISAL IN ONGC

EXECUTIVE PERFORMANCE APPRAISAL RULES

1. TITLE:

These rules are called Oil & Natural Gas Corporation Ltd. Executive Performance

Appraisal Rules, 1995.

Performance Appraisal Report is an index of an employee/ executive’s works

performance over a given period of time. It is crucial for his/her career growth as it

indicates the strengths, weaknesses (if any), training needs, nature of job being

performed, problems faced in work situation.

2. OBJECTIVES:

The objectives of the performance appraisal system are:

a) To set norms and targets of work performance, as well as, to monitor the work

progress of employees.

b) To facilitate placement of employees in accordance with their suitability for

different types of assignments.

38

c) To provide an objective basis for determination of merit, efficiency and suitability

for the purpose of promotion.

d) To identify areas requiring exposure for training/development.

3. EVALUATION:

The performance appraisal system seeks to evaluate:

a) The work performance of an employee on the present job in relation to the

expected levels of performance, both qualitative and quantitative.

b) The extent of development achieved by the employee during the period under

Review.

c) Evaluation of behavioral attributes and abilities.

d) Evaluation of potentials for assuming higher responsibility.

4. COVERAGE:

The Appraisal shall over

a) Performance during the period from 1st April to 31st march of every year.

b) All regular employees of the company. There shall, however, be 5 different

formats for:-

1) class III and IV

2) E-0

3) E-3

4) E-4 to E-6

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5) E-7 and above (PESB format)

c) The appraisal form PAR/ ACR will have to be filled in respect of all such

employees who have served for a period of at least 4 months in the organization

during the relevant year.

5. DEFINITION OF EXECUTIVE:

An Executive is a person employed under the authority of ONGC in any of the

executive grade E1 and above but shall not include a trainee. This would not include

Directors or any of the other person appointed by the President of India, for any of the

offices or its subsidiaries and associated offices.

6. APPRAISAL YEAR:

The appraisal period is 12 months of Financial Year between 1st April to 31st March

of succeeding year.

7. APPRAISEE:

i) An appraisee is an executive who was worked under the direct control and

supervision of another executive for a minimum period of 4 months within the

time span of 1st April – 31 March (12 months) in an appraisal year.

ii) SECOND APPRAISEE:

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Second Appraise is an executive who belongs to a professional group but

works under control of different group.

8. APPRAISERS:

i) There are two levels of appraisers. The first appraiser, also called Reporting

Authority, means an executive under whose direct control and supervision the

appraise operates. In case of second appraise, immediate functional senior

executive (who may be equal in status to 1st appraiser) could be the joint

appraiser with the reporting authority, and he would only record, whether or

not, he agrees with the observations of the 1st appraiser.

ii) The second appraiser also called Reviewing Authority means a senior

executive who overseas the activities of the appraise, and who offers

professional advice to, or controls, the first appraiser. Normally the

assessment of performance of an appraise is considered in detail by these two

appraisers and they should briefly explain the rationale for the grade. Specific

observation must be recorded for very high or low grading in comments

columns.

9. PROCEDURE:

1. PAR/ ACR in respect of an employee is required to be assessed/written by levels

indicated below:-

a) By the reporting officer under whom employee is working.

b) By the reviewing officer.

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2. Class III & E-0 employees:

The reporting officer for writing PAR of an employee of Class III/IV and E-0 Level

category will be the executive under whose control the employee is working. The

Reviewing officer will be of one grade above the grade of Reporting officer.

The PARs in respect of CLASS III and IV employees duly reviewed/accepted is

maintained at region/institutes/ headquarters group-wise in the concerned

establishment section/PAR sections.

3. The PAR in respect of E-0 to E-6 level executives are being maintained in PAR

Department at Headquarters of R&P division. As regards, E-7 and above all such

reports which are received from regions/institutes/headquarters are maintained at

chairman-cum-managing director’s office.

4. The reporting officer will be the officer to whom the executives reports for his day

to day work. Review of the PAR will be done by the executives to whom the

reporting officer is responsible for his functions. Accepting authority will be the

executive higher than reviewing officer at different stages depending upon the nature

of the grades, as per delegation of powers in PAR rules.

5. a) The Performance appraisal reports of executives of E-6 level i.e. deputy general

manager and above will be submitted to concern functional director for final review

and acceptance.

b) The Performance appraisal reports of Executives of E-5 level i.e. CM and

equivalent will be reviewed by the RD/ED/Nominee of the director concerned.

c) The Performance appraisal reports of Executives up to E-4 level i.e. Manager and

equivalent would be reviewed by the functional Head/GM/GGM not less than E-7

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10. ADVERSE REMARKS:

1. In the event of the overall assessment being not satisfactory, or carrying some

adverse remark, a communication will need to be issued to the concerned employee after

the report has been accepted by the concerned authority.

2. The adverse remark will be conveyed to the concerned employee by the personnel

department. The grading of fair and poor are considered as adverse and as per the rule these

are required to be communicated to be concerned employees. In case an employee has been

assessed poor or fair against a specific attribute, even this also needs to be communicated to

the employees so that he gets a feedback for improvement.

3. Any employee who may be aggrieved by the adverse remarks in the ACR/PAR as

communicated to them and who desire to prefer an appeal against the same will be required

to follow the following procedure:

a) An employee aggrieved by the adverse remarks may make an appeal within 90days of

receipt of the adverse communication.

b) The appeal made by the employee shall contain briefly his contention along with

documentary evidence, if any in support of the same and shall be routed through proper

channel. A copy of the appeal made may be submitted to the personnel department.

10. ACCEPTING AUTHORITY:

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A very senior officer who is designated under the rules to re-look at the performance of the

appraise, and review the observations of the first and second appraisers. He would finally

determine and evaluate the performance of the appraise. In case of disparity between his

assessment and that of the first and second appraisers, he has to record the basis of his

revised assessment. He is expected to record specifically his comments in cases of overall

performance grading A+ or D, and low score for personality traits by either of the earlier two

appraisers.

11. APPELATE AUTHORITY:

The PAR activities are a part of personnel function, but the PAR system is essentially based

on support of various departments. This demands that a senior officer not less than E-4 of the

personnel department is designated as PAR officer, who will have responsibility to respond

quickly to the enquiry. Each regional office/institute will have a PAR officer will report

directly to head of P&A in regional offices, which has the overall responsibility of

development of human resources. In respect of offices in ONGC HQ in Dehra Dun, and

Delhi, Corporate PAR officer will function under G.M. (Recruitment and Promotion).

12. PERFORMANCE APPRAISAL REPORT (PAR) OFFICER:

The PAR activities are a part of personnel function, but the PAR system is essentially base

On support of various departments . This demands that a senior officer not less than E-4 of

the personnel department is designated as PAR officer, who will have the responsibility to

Respond quickly to enquiries. Each Regional Directorate will have a PAR officer.PAR

Officer will report directly to Head (P&A) in Regional offices, who has the overall

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Responsibility of development of human resources . In respect of offices in ONGC

Headquarters in Dehradun and Delhi, corporate PAR officer will function under General

Manager (recruitment and promotion) .

13. APPRAISAL FOR PART PERIOD:

1) The minimum period of four months of linkage between the appraise and the

Appraisers (reporting authority, reviewing authority and accepting authority) may be

Disturbed due to transfers etc. in some cases . The guiding principle for ensuring fair

Assessment in the event of loss of linkage in such cases would be as under:

A minimum of four months interaction period must subsist between the appraise

and the first appraiser. In case this is not so, the second appraiser would make

his comments on the performance of the appraise, in case he had the

opportunity of overseeing activities of the executive for a minimum of four

months during the appraisal period in consultation with the existing new

reporting authority, i.e. first appraiser.

In case there is less than four months interaction between the appraise and the

second appraiser, the necessity of having second appraisers would be waived,

and the final assessment will be by the accepting authority on the bias of the

report of either first or second level appraiser or both.

2) In case of an appraise’s transfer, when he has worked for less than four months

period with the reporting authority, the erstwhile reporting authority will forward past

period report about the appraisee’s performance to the appropriate authority. This

report will be attached to the PAR format when the appraisal procedure is initiated for

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the for the current year. The new reporting authority or the reviewing authority may

consider the part report for appraising the appraisee’s performance for the total year,

and to this in his statement.

3) Employee on study leave- The reporting officer/PAR is to initiate action to secure a

Report from the head of the institute where the appraise has been placed for advanced

Learning/training without waiting for the Appraise to fill the personal details etc . The

Appraiser would prepare summary report about his performance on the basis of the

Report received from the institutional head. In the event of the non-compliance on the

Part of the institution to send a report, appraise be advised to send a report of his

Studies to the appraiser through the institutional head .

4) Employee on long leave-In case an appraise is on medical leave for four months or

More, the reporting officer in this case would record the nature of medical

Problem/reasons for long medical leave. The medical report, if available, be attached

With the PAR .

14. ROLES AND RESPONSIBILITIES OF THE REPORTING AUTHORITY:

The overall performance classifications in grades is to be determined by examining both

(a) Performance

(b) Personality of the appraise.

The parameters of this task are listed in part 2 of the PAR Format in blocks A, B, C, D, E and

F. In evaluating performance (block A) due consideration is to be given to the benchmarks

Indicated there in and one block is only to be ticked. In respect of personality traits, in blocks

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B, C, D, E and F only one numerical block is to be ticked after considering the benchmarks

Indicated therein . The reporting authority must offer explanation for his assessment for the

Special features while ticking the numerical blocks from A to F. The grade classification

with Explanations are indicated in 21 & 22.The performance and grade/marks assigned to an

Appraise by the reporting officer (first appraiser) may be shown to the appraise by the

Reporting officer at an informal meeting. To begin with, this system be adopted in respect of

Executives of E-5 level and above.

15. OVERALL ASSESSMENT BY ACCEPTING AUTHORITY:

The accepting authority will minutely examine the observations made by the first appraiser

And the reviewing authority, and also the self appraisal of the appraise, and after taking due

Consideration of all the aspects, determine overall grade and also comment on the total

Performance. There should be specific observation about any adverse comments which need

to be communicated to the appraise. He could also mention personality traits on which

Appraise needs to be counseled/advised for further improvement of his performance and

Which is not to be considered as an adverse entry.

16. ASSESSMENT SYSTEM:

The two PAR formats for executives belonging to junior (E-1 to E-3) and middle (E-4 TO E-

6), reflect both performance and managerial competency components. These have been

assigned block numerical values, merely to help in arriving at the final assessment and

Grading of individuals . The numerical scores are notional only. The appraisers have to use

their judgment in the context of the numerical scores, and the total job situation for deciding

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the grade of performance.

1. EXECUTIVE ON DEPUTATION:

Whenever an ONGC executive goes out on deputation to another organization, or vice-versa ,it should normally be insisted that the ONGC PAR formats are used. In case the concerned

outside organization does not comply with the directives, the reporting officer will record his

views on ONGC format alongside the report received from the organization where the

ONGC executive has been deputed.

2. PERFORMANCE APPRAISAL ON TENURE BASIS:

A separate form to be designed for such employees for continuance or otherwise for

Completion/extension of tenure .

17. THE GRADING SYSTEM:

The block numerical values have been assigned to assist the 1 st appraiser in making an

overall assessment. The overall total source for determining a grade is merely a guide and the

final grade may be at variance with the total score. The second appraiser i.e. the reviewing

authority and the accepting authority, have to take an overall view, both of the performance

and the personality, have to take an overall view, both of the performance and the personality

of the appraise, while determining the ‘FINAL GRADING’

The overall rating in grades in respect of appraisals would be as under:

A+ = Exceptional ( rare occasions)

A = Top Performer

B = Very Good

C = Adequate

D = In Adequate

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The final grade given by the Accepting Authority after detailed and the consideration to the

rating by the 1st and 2nd appraisers, will be the DECISIVE GRADE of the appraise executive.

In case this final rating is different from those of the 1 st and 2nd appraiser, adequate

justification MUST be mentioned by the accepting authority. There must be adequate

explanation by the 1st and 2nd appraisers and the accepting authority for any grades assigned

to the appraise. In the absence of adequate explanation the report will be considered

incomplete and returned back to the appraisers for confirming to the directives contained in

the instructions.

18. THE GRADES:

The performance categories are defined as follows:

EXCEPTIONAL (A+)

This is a person whose job performance and personality attributes are clearly remarkable.

This person meets or exceeds company’s highest standards and achieves extraordinary results

in extraordinary circumstances. A rare individual who achieves this once in a while .

TOP PERFORMER (A)

This is someone whose job performance is noteworthy and he makes valuable contribution to

the organization. He does not have any negative personality attributes. He is one of the top

performers.

VERY GOOD (B)

This is an individual whose performance consistently meets company’s expectations. This is

a person who is unquestionably above average.

ADEQUATE (C)

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This is a person whose overall performance meets basic requirements of the job and the basic

targets

IN-ADEQUATE (D)

This is an individual who needs to improve his or her performance and has not achieved

results in spite of guidance and counseling by appraisers. This aspect must be specially stated

in the comments/remarks column of the PAR format by the appraisers.

18. PEN PICTURE:

In addition to assigning the grade, the appraisers must depict in precise language the

dimensions of appraiser’s total performance which justifies the grade and mention his

personal attributes.

19. MONITORING OF PARS:

Progress of movement and compliance to the rules of the PARs through the different stages

would be the objective of monitoring system. The monitoring report will:-

a) Ensure that the PAR exercise is done on time.

b) Reports on propriety of objectively.

c) Locate cases of appraiser’s bias of being excessively liberal or rigorous in judgment.

In respect of executives between E-1 to E-3, the exercise will be conducted by the head of

personal department in the regional offices.

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In respect of executives belonging to E-4 to E-6, monitoring will be conducted by general

manager (HRG), ONGC Headquarters.

Monitoring exercise must be completed by 15th June every year. Regional heads/G.M.

(P&A)/GM(HRG) will send monitoring reports to GM(R&P) For information.

20. MODERATION:

This means revaluation of the PAR of an Appraise and the grade awarded by the accepting

authority to correct any aberrations.

i. REGIONAL OFFICE – The head of the personal department at the region i.e.

G.M.(P&A) will review the PARs of the executives up to E-3 level, and advise

the regional. Director of moderation if required on the basis of analysis of report.

The regional director in consultation with the functional head(which has to be

recorded in the PAR) will have authority to moderate PARs as under:-

- All PARs which are graded A+ and D

- Cases referred by General Manager (P&A) of the regions, on the basis

of monitoring.

ii. INSTITUTES- The institutional heads will moderate PARs of Executive’s up to

E-3 level in the same manner as Regional Director.

iii. ONGC HEADQUARTERS, DEHRADUN- General Manager (HRG) will

conduct an analysis of the PAR Reports for all E-4 to E-6 level executives

including regions institutions and approaches Director (HR) for correcting

aberrations. Director (HR), on the basis of detailed analysis, may moderate the

final grade of individual PARs in consultation with head of the functional group

which has to be duly recorded.

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iv. EXECUTIVE COMMITTEE OF THE BOARD:- The executive committee of the

board of directors may moderate the final grade awarded to an executive

belonging to E-7 to E-9

T he task of moderation by the above mentioned three levels must be completed

by 15th of July.

21. GUIDELINES FOR MODERATION:

A. DESIGNATED AUTHORITY:

It is considered difficult to design a moderation system through an empowered committee

for final grade assigned to an appraise executive by the accepting authority because of a

large variety of specialized cadres. In view of this, a designated authority has been

determined, instead of a committee which will be required to seek advice/guidance from

head of professional groups for each case, to be duly recorded, in the PAR format itself.

The designated authorities would be:

Professional groups for each case, to be duly recorded, in the PAR format itself. The

designated authorities would be:

a. Regional Director- For the Executives up to E-3 level in the projects and the Regional

offices.

b. Heads of institutes- For Executive up to E-3 Level working in the institutes.

c. G.M.(R & P)- Executive in ONGC Headquarters, Dehradun and Delhi offices ( up to

E-3 level)

d. Director (HR)- For E-4 to E-6 level executives in projects, Regional offices,

institutes, ONGC Headquarters and Delhi offices.

e. Chairman & Managing Director, ONGC- For E-7 and above Executives.

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B. NORMS

The Designated Authority for moderation has special Responsibility to ensure that by and

Large , the final grading of PARs of executives (E4 to E6) of various disciplines conform to

the broad pattern indicated below:

Percentage of the total number of executives in the Business Group to be placed in different

Grades (E4 to E6 only) are indicated below:1. Exceptional (A+) 5% :10% 2. Top Performer 20%3. Very Good (B) 50%4. Adequate (C) 20%5. Inadequate (D) not more than 5%

N.B. The above percentage norms will be achieved over a period of three years i.e. there

would be grateful reduction each year for executives graded A+ (particularly those in grades

E4 and above , which at present is very high).

The Moderation Authority will be assisted by the PAR monitoring system in the data

analysis in achieving the above percentage distribution of PARs for a particular year .

During the initial Years , say up to 1988, the moderation exercise may not conform to the

above percentages, for each Business Group , but it would be desirable to achieve overall

norms for the total strength

C) ONGC HEADQUARTERS DEHRADUN E-4 TO E-6 LEVEL:

Moderation exercise would be undertaken after detailed analysis of PAR in respect of

appraise awarded A+, A and D grades. The basis of analysis would be determined by

Director (HR) , on the basis of suggestion of GM (R&P).

Instead of formal meeting of members of Moderation Committee, the views of concerned

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Functional Director relevant to the appraise will be secured , and final grading after

Moderation will be recorded on PAR sheet (page 4) by GM (R&P) as authorized official on

behalf of Director HR.

The revised Moderation Procedure will be implemented for all Executives (E-1 to E-4) at RO

, Head Quarter Dehra Dun and Institutions from the year 1988-99.

As far as moderation of ‘A’ PARs are concerned this may be enforced by various Accepting

Authorities as per laid down norms at present . This can be taken up only when the system is

fully computerized .

D) THE PROPOSED METHODOLOGY FOR MODERATION:

GM (R&P) would list out all A+ and D cases only discipline-wise and scale-wise and submit

original PARs , when at least 80% PARs of that particular disciplines/scales have been

received by him , to the Concerned Functional Director indicating major observations and

norms for moderation . Concerned Director will consider all dimensions of Appraisee’s

potential , personality and performance and then rank them (highest- lowest) in respect of all

the Appraisers of the group graded A+ . The reasons may be recorded in case of down

grading and PAR section at headquarters for record.

E) DOCUMENTATION OF MODERATION:

ED/RD/Institutional Head/Director (HR) would determine whether he would himself

exercise authority to make entries or assign this task to Designated Authority through an

office Memorandum.

22. COMMUNICATION OF LETTERS OF APPRECIATION:

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Letters of appreciation of performance may be communicated by the Chairman and

Managing Director/Director /Regional Director / Head of Institute at their discretion to an

executive who makes special contribution to the organization. Copies of letters of

Appreciation and also details of Awards secured by the Appraise should be mentioned by

him while recording Self Appraisal .23. DEFINITION OF ADVERSE ENTRY:

Adverse entry will be determined by the Accepting Authority only , within the area with Red

Border Line in PAR form and will be communicated by the Head of P&A as per Time

Schedule. It will mean (A) Award of grade of inadequate i.e. ’D’ or (B) Any other specified factors, which militate against better Performance . These

aspects may also be communicated to the concerned Executive by Head of P&A concerned.

Any suggestion by way of counseling only on which Appraise may be required to make

special efforts to improve his performance /personality ,is not to be considered as adverse

.This aspect need not be communicated to the Appraise unless there is specific Adverse

Entry as suggested in Rule 22. However ,the suggested improvement by the appraise

could be taken by the Counseling Group to verbally communicate the observation to the

Appraisers, if considered desirable.

24. COMMUNICATION OF ADVERSE ENTRIES TO THE APPRAISEE:

1. Communication of Adverse Entry indicating ‘Inadequate’ for overall grading be

issued to the Appraise if this is the final verdict of the Accepting and Moderation

Authority. The communication must be issued under the signature of concerned Head

of Personnel of the Region/Headquarters within 15 days of the receipt of PAR for the

55

year ended 31st March.

2. The Appraise may appeal against the adverse entry to the nominated Appellate

Authority within a month of the receipt of the communication . The appeal will be

disposed off within 30 days by the Appropriate Appellate Authority . The initial

examination of the representation will be done by the Reviewing Authority (not by

the Reporting Authority). In case the aggrieved executive’s appeal is not disposed off

by the Appropriate Authority within 60 days the deemed entry will be deemed to be

in ‘abeyance’. Director (HR) will hold an enquiry to ascertain the reasons for the

inordinate delay on the part of ONGC officials in dealing with employee’s

representation.

3. The Appraise has the option to suggest a change of place of posting, if he so desires

to enable him to perform better, but the final decision in this regard will be left with

the management.

4. Expunging of adverse entries:

In cases where the competent authority on the basis of representation of an executive

against communication of ‘Adverse Entries’ expunges the observations/comments of

the Accepting Authority , the competent authority will have the option of assigning

higher grade (one stage above only). This higher grade , is not to be communicated to

concerned executive while informing him of the disposal of his representation .

However the justification may be recorded by the competent authority in case of

up gradation .

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25. COUNSELLING SYSTEM :

It is proposed to adopt Counseling System for executives up to the level of E-5 at Regional

Offices , Institutes , Headquarters’ at Dehra Dun and Delhi. The counseling procedure will be

as under :

The Group Of Counselors Will Compromise :

1. Regional Director/Head of the Institution or his representative not below the rank of E-7

2. Head of the Personnel Division3. An outside Management expert selected by Director (HR)

Counseling Group For Executives For Level E6 And Above :

Director (HR) will be the Chairman of this Group for executives of E-6 level and above and

will co-opt one of the concerned Functional Directors and an outside Management Expert as

member it will operate in the same manner as suggested above for Regional Offices.

The Counseling Group for executives belonging to E-7 and above grades will be constituted

by Chairman and Managing Director (who will also be the Chairman of the Group) and it

will function in the manner suggested above. Director (HR) and an outside management

expert will be members.

The counseling Group will not review the final grading of the appraise, assigned to him by

Accepting/ Moderation Authority.

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28. BUSINESS OF THE COUNSELLING GROUP :

1. The Groups will consider the following cases :a. An executive who has been finally graded ‘Adequate’ during the last two years in

succession.b. An executive who has been finally graded ‘Inadequate’ during the year .c. An executive for whom Counseling has been suggested by the Accepting

Authority, may not belong to categories (a) and (b) above .

2. The Counselors during the interview of the executives belonging to (a)and(b)

categories, will ascertain the reasons (specially situational), system constraints and

the behavioral dimensions of the executives.

3. In case of category (c) executives, efforts will be made to develop awareness for

correcting personality trait.

The Counseling Groups will send a report on each case to Director (HR) for

information.

28. CUSTODY OF PARs :

1. At present all Executive PARs are kept at ONGC Headquarters, Dehra Dun.

2. PAR officer at Regional Director’s Office and ONGC Headquarters , should

normally have all the fully complete PARs for the year ending 31st March, with them

by 31st July.

The PAR Officer will inform the concerned appraise about the non-receipt of the

PAR by 1st September, after he has obtained information from the Monitoring

Authorities about the status and whereabouts of PARs, which are not available in his

office as indicated in (2) above.

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3. PAR Officers at Regional Offices , ONGC Headquarters, Dehra Dun and C&MD

office, Dehra Dun will be required to respond to the enquiry of an appraise executive

about non-availability of PAR for a particular year within two weeks of such an

enquiry.

E- PAR:

PROCESS

E-PAR in ONGC is a four step process:

1. At the beginning of year KRA/KPI’s are finalized between the appraise and the appraiser.

2. Provision exists for mid-term review of the KRA/KPI’s filled by appraise due to

a) Change of assignment

b) Change of place (in case of job rotation)

3. At the end of the assessment year performance feedback is obtained from the appraiser.

4. In case of adverse remarks the concerned employee is referred to for respective counseling

program.

NEED FOR e-PAR:

Address the need for a transparent, multi-dimensional evaluation system in sync with industry practices.

Introduce performance contracting and objective evaluation.

Supplement efforts to enable speed up HR processes like promotions, special

assignments, deputation out, rewards and incentives etc. through system.

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IT enabled performance management system already in use in organizations like

IOC, HPCL, SAP, etc.

Streamlining of PAR process.

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BENEFITS ENVISAGED :

Uniform application across the company and standardize performance criterion,

Minimize subjectivity.

System driven control and monitoring mechanism.

Single point data capturing and authentification .

Reduce cycle time and adherence to time schedules.

Enhanced data security and confidentiality.

Authenticity and audit trail of transactions.

Availability of online information.

Linkage to performance based rewards/incentives and HR processes like promotion

awards, etc.

Change in evaluation methodology in e-PAR system

Activity Paper PAR e-PAR1. KRA/KPIs No predefined KRA/

KPIs.Predefined KRA/ KPIs in the system.

2. Time Schedule Appraise/ Appraiser could exceed the time limit.

Centralized system control ensures strict compliance to the time schedules.

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3. Mid Term Review

No provision for mid-term review

Compulsory mid-term review

4. Benefit Time consuming process

Time saving Process.

CALENDAR FOR PAR PROCESS

Date Activity1st April of the Appraisal Year

Forwarding of PAR format to appraise for self appraisal through the Reporting Officer.

Date of issue

30th April Appraisal of the performance by the Reporting Officer and forwarding of tear sheet to PAR officer at the location

15 days

15th May Forwarding of Training tear-sheet to ONGC Academy by the PAR officer.

05 days

31st May Appraisal by the Reviewing Officers and forwarding to Core viewing Officers, if required / forwarding to PAR Officers for transmission to Moderating Authorities.

10 days

15th June Appraisal by the Co-Reviewing Officer and forwarding to PAR Officers for transmission to Moderating Authorities.

15 days (45 days)

15th July Moderating Authorities to send their recommendations to Accepting Officer.

20 days

31st July Appraisal by the Accepting Officer/Forwarding of PAR forms of officers, wherever

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accepting authority is Director, to corporate PAR section for acceptance by Directors.

31st August Last date for reaching completed PAR forms to corporate PAR section.

10 days

05 months 2 & ½ months

REPORTING, REVIEWING AND ACCEPTING OFFICERS:

(A) Evaluation to be carried out at three levels i.e. Reporting, Reviewing and Accepting.

The reviews accepting officers will be based on the organization hierarchy in the

reporting chain and not on the seniority relevant discipline. However the following

has to be taken care of:

(B)

Levels Reporting Level /Positions

Reviewing Level/Positions

Accepting Level/ Positions

E-1 Controlling officer/ Not below E3

Next higher Position Level – III officers not below E-5 or above

E-2 Controlling officer Not below E3

Next higher Position Level – III officers not below E-5 or above

E-3 Controlling officer Next higher Position Level – II officers not below E-6 or above

E-4 Controlling officer Not below Level- IV

Next higher Position Level – II officers not below E-7 or above

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E-5 Controlling officer Level – II not below E6 or above

Level – I Officers

E-6 Controlling officer Level – I not below E7 Director

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4.1 JUSTIFICATION FOR THE TOPIC

I got the opportunity to work with ONGC HR as a summer trainee on the project

‘Effectiveness of Performance Appraisal System’. The project involved the study on the

employees satisfaction level with regard to the current Performance Appraisal System which

will help in gauging the employees performance and commitment towards their work. The

paradigm shift from Paper PAR to e-PAR for executive’s level has helped to a great extent in

increasing the effectiveness of the Performance appraisal system and also helped in

promoting the organizational culture and taking to new heights.

The project also aimed at informing the employees of ONGC about the new concept of

the 360 degree appraisal method where the employee’s performance is assessed by self, his

Colleagues, Controlling Officer and Sub-ordinates. At the same time to what extent the

implementation of 360 degree feedback mechanism would be acceptable by the employees.

This project will give practical exposure and understanding of performance

appraisal practices in ONGC HR. Using questionnaire as a tool of survey will inculcate in me

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a better perspective about the employees opinion regarding e-PAR, their satisfaction level

and their attitude towards dynamic and upcoming tools i.e. 360 degree appraisal.

4.2 OBJECTIVES OF THE STUDY:

1) To find out satisfaction level of employees with respect to the current appraisal

System in ONGC .

2) T o find out effectiveness of PAR practices in ONGC with special reference to e-PAR

Being introduced in ONGC in 2008 .

3) To find out how much the employees in ONGC fromE-1 TO E-6 are aware with

Respect to performance appraisal system.

4) To find out effectiveness of self-appraisal I.e. 180-degree appraisal as being currently

Practiced in ONGC .

5) To identify post PAR training and development needs for employees in ONGC.

6) To diagnose organizational issue’s like communication, Teamwork and superior

subordinate relationship.

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4.3 LIST OF HYPOTHESES

1) Performance Appraisal System in an organization has significant effect on

Organizational commitment as it helps in integrating individual and organizational

Goals .

2) In case of an employee whose performance is not up to the mark, provision exists in

the organization for “counseling” of such an employee for improvement in

Performance of that particular employee .

3) General attitude among employees towards Performance Appraisal System, whether

Positive or negative or even lackadaisical attitude depends upon annual Performance

Appraisal Reports (which are kept confidential). Promotions and incentives granted

on that basis play an important role in moldings an employee’s mindset towards

Organization’s welfare and overall upliftment which in turn contributes directly in

Increasing organization’s profitability .

4) Performance Appraisal System is regarded as an integral and inherent part of an

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Employee’s career development and thus Performance Appraisal as process is not just

a routine activity but aimed at enhancing employee’s potential as well.

5) The current form of Performance Appraisal System that of 180-degree appraisal is

Yielding good results, a change from 180-degree to 360-degree appraisal might yield

even better results and open new avenues for employees in ONGC in near future

4.4 SCOPE OF THE STUDY

Geographical Scope:

The scope of the study is limited to ONGC Headquarters, Tel Bhavan, Dehra Dun. It is

comprised of 3000 employees. But for the study, our focus is only on:

The management staff i.e. Executives from E-1 to E-6 level in Tel Bhavan.

The different sections in Tel Bhavan covered:

i. B S Negi Bhavan

ii. Old Secretariat Building

iii. Civil section

iv. Finance section

v. Frontier basins

Functional Scope:

The functional scope of the study is limited to the study of HR Performance AppraisalSystem in ONGC ltd which is one of the Navratnas among the PSUs in India. The scope forthe same involves

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Study of effectiveness of the Performance Appraisal System in ONGC across all the sections in Tel Bhavan and thereby gathering information regarding the satisfaction level of the employees with respect to Performance Appraisal System in ONGC.

Conducting a survey among the Executives will give us an insight into the various practices of performance appraisal as implemented in ONGC at present and will help in identifying the Pro’s and Con’s of the process. So, that the employees could be train on those aspects in order to fill the existing gaps.

4.5 RESEARCH DESIGN

Type of Research

Descriptive research was carried out. It includes survey and fact finding enquiries of different

kinds. The survey method include questionnaire.

4.6 Sampling Plan

Population

ONGC Headquarters at Dehra Dun currently has around 3000 employees working in

different sections, in different business areas (namely finance, HR, technical, etc.) at different

positions in different departments which is the population of my study.

Sample Size

The sample size should be such that it represents the population fully & is simple to

Administer. For the purpose of this study the sample size includes 75 Executive from various

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departments in different business areas.

Sample Unit

Executive (E1 to E6) level

Sample Area

ONGC Tel Bhavan Dehra Dun.

A total of 100 questionnaires well distributed and 75 of them replied, indicating a response

rate of 75%.

4.7 UTILITY OF THE STUDY

ONGC India is undergoing phases of transformation in its Performance Appraisal

System. The journey began in 1995 with the transformation of ACR (Annual Confidential

Report) to PAR (Performance Appraisal Report),a dramatic shift from Paper-PAR to e-PAR

in 2008. With these changes in view, The study on Performance Appraisal will address the

Following areas:

The study will help to have an overview of the practices involved in Performance

Appraisal System, their implementation and their effect on organizational culture and

Employee attitude and commitment towards the organization.

The study will open doors to the new concept of 360-degree appraisal to the

Employees of ONGC who are accustomed to the process of self –appraisal; the study

Will increase the periphery of the employee’s perspective towards appraisal as a

Process .

Further by analyzing the response given by the executives in the questionnaires the

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Training needs are identified and thus the gap in their performance could be bridged

By providing the respective trainings.

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Question 1 - Does PAR help in fostering a climate of “creativity ,

Innovation and enthusiasm ” in ONGC.

INTERPRETATION:

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About 85.94% of the respondents ‘Agree’ that PAR do help in fostering a climate of

“Creativity, innovation and enthusiasm” in ONGC . Thus majority of the respondents

Perceive PAR as an inevitable and universal tool of creating a favorable environment in

ONGC .

Question- 2 The goal are set clearly (quantitatively and qualitatively) at

The beginning of the Performance Appraisal Period .

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INTERPRETATION:

Majority i.e. 71 % of the respondents ‘Agree’ that goals /targets are set clearly (quantitatively

and qualitatively) at the beginning of the Performance Appraisal Period. Only a minor

Section of the respondents i.e. 4 % disagree and 3% strongly disagree

Question- 3 Are the current PAR practices helpful in setting,

“Stretching” and “challenging” goals in ONGC.

INTERPRETATION:

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Majority i.e. 76.81 % of the respondents ‘Agree’ that the current PAR practices are helpful

in setting “ Stretching” and “Challenging “ goals in ONGC. Usual goals may seem

Monotonous and thus “Stretching” and “Challenging “goals help in pushing the employee

in the direction where they put in efforts naturally.

Question- 4 Does “Performance Appraisal” help in integrating

Organization’s (ONGC) and individual’s goals .

INTERPRETATION:

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Majority i.e. 57.53 % of the respondents ‘Agree’ that “Performance Appraisal” help in

Integrating organization (ONGC’s) and individuals’ goals. This is a very positive sign in

the interest of ONGC because every organization has to ensure that an individual’s goals and

Objectives have to be accomplished and in the process the targets set by the company are

Also to be achieved.

Question- 5 Performance Appraisal System effectively monitors work

Progress quantitatively and qualitatively.

INTERPRETATION:

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Majority i.e. 61.67 % of the respondents ‘Agree’ that Performance Appraisal System

Effectively monitors work progress quantitatively and qualitatively. Thus majority of the

Respondents do believe that monitoring work progress provides opportunities to check how

Employees are doing and to identify and resolve any problem that may seem to arise.

Question- 6 Performance Appraisal is effectively used as a tool for the

Assessment of training and development needs of employee in

ONGC .

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INTERPRETATION:

About 39.73 % of the respondents ‘Agree’ that Performance Appraisal is effectively use a

tool for assessment of training and development need of employee in ONGC. This is again a

positive sign that employees in ONGC are able to ‘relate’ Performance Appraisal with

training and development needs and do not perceive the two as separate entities.

Question- 7 Appraisals in ONGC are an annual activity; are you in

Favor of appraisal cycles having smaller frequency.

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INTERPRETATION:

Majority i.e. 55.22% were not in favor of Appraisal cycles having smaller frequency,

Whereas 44.78% of the employees were in favor of Appraisal cycles having smaller

Frequency. However, provision exists for ‘Mid Term Review’ of KRA/KPIs in the current

Appraisal process of ONGC .

Question- 8 Are you well-aware of the parameters for appraisal? Are the

Parameters clearly communicated to you in advance.

INTERPRETATION:

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Majority i.e. 81.43 % of the respondents seemed to be ‘well aware’ of the parameters for

Appraisal . Since 18.57% of the respondents disagree this indicates that there are people in

the organization that are unaware of the parameters.

Question- 9 The PAR system is essentially based on support of various

Departments . Do various departments extend a full-fledged

Support while PAR is in progress.

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INTERPRETATION:

Majority i.e. 76.19 % of the respondents ‘Agree’ that various departments in ONGC extend a

full fledged support while PAR is in progress . Thus majority of the employee agree that

various department do cooperate with the PAR section of ONGC.

Question- 10 In case of “adverse remark” in PAR of an employee does

Counseling with the identified person regarding possible

Areas of improvement lead to conclusive results.

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INTERPRETATION:

About 45.59% of the respondents agree that in case of an “adverse remark” in PAR of

An employee, counseling with the identified person regarding possible areas of improvement

Leads to conclusive results. About 10.29% of the respondents who disagree indicate that

There is scope for improvement in the counseling programs.

Question- 11(A) should there be a Performance Appraisal System where

Performance of an Employee is assessed by Self, his

Colleagues, Controlling Officer and sub-ordinates .

INTERPRETATION:

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Majority i.e. 66.67 % are in ‘favor’ of 360 o Appraisal. Thus their appears to be a possibility

of transformation of current Appraisal System in the Organization.

Question- 11(B) If yes, how can 360 degree feedback mechanism help

ONGC revamp its Performance Management.

Answer 11.(b) These are the suggestions given by the respondents:-

“ The subordinates and superiors or an individual employee are bound to be biased

( Either negative or positive bias). Whereas peers, who are an integral part of the

Individual’s work environment, can become an instrument/means of fair and

Unbiased judgment about performance . Hence a 360- degree feedback, if

Implemented in ONGC, would be a definite enhancement in the Evaluation process”

“It’s the team work and if the team assesses you, the shortcomings can be worked on

Easily .”

“This will help in aligning the performance parameters from the top to the bottom,

This will help in overall improvement in the output.”

“ The 360-Degree feedback mechanism can help ONGC revamp it’s Performance

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Management by:

Providing transparency and fairness in PAR Mechanism.

Reducing Rating and Bias Errors

Providing complete feedback of Appraise and Appraiser

“The 360-degree feedback mechanism will enhance better communication between

All for better output ”.

“ The 360-degree feedback mechanism will remove any bias that might creep in

During single person assessment/evaluation .”

Question-12 Performance Appraisal System in ONGC is fair and

transparent.

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INTERPRETATION:

About 48.48 % ‘Agree’ that Performance Appraisal System in ONGC is fair and

Transparent, but there is a small section i.e. 18.18 % of respondents who ‘Disagree’

Indicating that the current appraisal system in ONGC is not wholly flawless .

Question- 13 The aims and objectives of Performance Appraisal System

Are well communicated and fully understood.

INTERPRETATION:

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Majority i.e.55.07% of the respondents ‘agree’ that the aims and objectives of Performance

Appraisal System in ONGC are well communicated and fully understood by them. The main

Objective of Performance Appraisal System in any organization is to carry out a fair and

Impartial assessment of the quality, quantity and style of the work performance of the

Individual’s working in the organization.

Question- 14 Is PAR playing a vital role in bringing a sense of

Accountability and responsibility among various sections of

Employees .

INTERPRETATION:

Majority i.e.75.76% of the respondents agree that PAR is playing a vital role in bringing a

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Sense of accountability and responsibility among various sections of employees in ONGC .

Question- 15 Do you find predefined KRA useful while filling e-PAR.

INTERPRETATION:

Majority i.e.75.76% of the respondents agree that predefined KRA’s are useful while filling

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E-PAR. A small section i.e. 24.24% of the respondents does not find predefined KRA useful

While filling e-PAR, So KRA/KPIs list should be exhaustive covering all the positions.

Question- 16 Does Paper PAR makes the Performance Appraisal System

Slow and time consuming.

INTERPRETATION:

Majority i.e.55.88% of the respondents agree that Paper PAR, which was earlier in use in

ONGC makes the Performance Appraisal System slow and time consuming as a lot manual

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Labor was associated with Paper-PAR. Thus the employees are finding e-PAR Process more

Comfortable and time saving .

Question- 17 What is your comfort level with e-PAR?

INTERPRETATION:

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About 43.08 % of the respondents have High comfort level with e-PAR. About 40%, 3.08%

Of the respondents have medium, low comfort level respectively indicating that there are

Certain complexities in the e-PAR Process as well.

Question- 18 Is e-PAR process more effective than paper-PAR process.

INTERPRETATION:

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Majority i.e.61.19% of the respondents Agree that e-PAR process is more effective than

Paper-PAR process in ONGC which shows that the respondents have accepted e-PAR as a

Process which saves time and speeds up the appraisal process .

Question- 19 ONGC since its inception is known for its unique

organizational culture. Has the introduction of e-PAR

Helped in promoting that culture and taking it to new

Heights .

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INTERPRETATION:

Majority i.e.85.94% of the respondents Agree that the introduction of e-PAR has helped in

Promoting the culture of ONGC, broadened it’s horizon and has helped in taking that culture

To new heights .

Question- 20 Do the current PAR practices seem fair for reward and

Promotion decisions .

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INTREPRETATION:

Majority i.e.55.22% of the respondents Agree that the current PAR practices seem fair for

Reward and Promotion decisions .

Question- 21 Do you agree that to some extent the current PAR practices

Can have some potential for rating error and bias?

INTERPRETATION:

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About 29.43% of the respondents Agree that the current PAR practices can have some

potential for Rating error and bias to some extent. The respondent seemed to agree that PAR

of an employee depends on the relationship between the appraise and the appraiser and thus

PAR could be flawed with respect to Halo Error and Horn Error.

Question- 22 Rate the overall effectiveness of Performance Appraisal

System in ONGC .

INTREPRETATION:

Majority i.e. 51.47% of the respondents have rated the overall effectiveness of Performance

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Appraisal System in ONGC as ‘Medium’, indicating that there is a scope for improvement in

the current system of PAR as being practiced in ONGC. About 35.29% have expressed High

Response and 2.95%, 2.94 % expressed low and very low response respectively.

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CONCLUSION

One particular question showed a tremendous level of satisfaction or agreement,

which was regarding the 360-degree appraisal. There is a very strong demand

amongst the respondents towards the need for an appraisal system that uses the 360-

degree approach. More than 97% people feel that 360-degree should be present there

to judge the performance.

Majority of the employees are comfortable with the new Performance Appraisal

System i.e. e-PAR Process.

The present system of Performance Appraisal helps in bringing to the knowledge of

the employees the organization’s goals and objectives.

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PAR in ONGC is used as an effective tool for assessment of training and

development needs, whereby the employees lacking in performance are given the

opportunity to fill the gaps in their performance.

Most of the executives feel that the current PAR practices in ONGC do have potential

for rating error and bias which can affect the overall accuracy of the Performance

Appraisal System.

The various departments in ONGC cooperate and extend a full-fledged support to the

PAR section while the appraisal process is in progress.

Therefore Performance Appraisal in ONGC can be viewed as

the process of assessing and recording an individual’s performance annually on the

basis of his/her respective KRAs/KPIs. In an organization Performance Appraisal

should also be viewed as an “Interactive Process” which aims at career development

of the employees and fosters an environment of growth and optimism. So , ONGC

needs to strengthen it’s current self appraisal process before the organization moves

in the direction of 360-degree appraisal.

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RECOMMENDATIONS

On the basis of the responses given by the respondents through questionnaires.

Taking them into consideration, some suggestions which may be considered while

designing the Performance Appraisal System are:

It was found that communication is issued to the concerned employee only in case of

adverse remarks or the overall assessment being not satisfactory, However it is very

essential to communicate positive feedback also, which the management can use as a

motivating tool.

In the PAR form, there should be an opportunity for the employees to express their

views and do a type of self-assessment on all parameters to make it more effective

and acceptable.

In e-PAR the list of KRA/KPIs should be more exhaustive and self explanatory.

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It was noticed that many employees felt that PAR is fair transparent and well

communicated to them and they were in favor of implementing 360 degree appraisal

system in which the employees performance can be judged by superiors, peers and

subordinates so that appraiser’s biases (if any) can be avoided.

The PAR form should be modified such that there are two sections-one where

employees himself is able to identify the areas where he feels he is lacking and needs

training and the other sections where appraiser identifies the employee’s training

needs and individual and organizational objectives can be easily achieved.

Performance Appraisal in ONGC should not be restricted to an annual activity rather,

appraisal cycles having smaller frequency (monthly, six monthly, etc.)Should be

implemented in near future.

It is human to work for materialistic and instant reward, so, the satisfactory

performers should be rewarded in the due course of time.

The shortcomings or the faults of the employees should be communicated to them in

such a way that they feel that the organization cares for their development and is

always ready to support them.

Trust between the superiors and the subordinate is a key for coordination in the

activities being performed. An impartial and transparent environment provided by the

appraisers can prove beneficial.

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The main aim of Performance Appraisal is to assess and develop the potential of the

human capital present in the organization.

Apart from the current counseling process, which is a part of the Appraisal process,

Provision should be made for “Informal Counseling Sessions” as well, whereby

Counseling is given to the employees weekly, fortnightly, etc. depending on the need

For such kind of assistance.

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BIBLOGRAPHY

BOOKS REFFERED

1. Prof. P.A. Noronha- Human Resource Management, Pg 108 - 116

2. Kothari, C.R. – Research Management, Wishwa Prakashan, Pg 139,117,151

JOURNAL REFFERED

HRM the New Frontiers – ONGC

HRM Manual – ONGC

WEBSITES

www.ongcreports.org

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www.hr.com

www.hrtools.com

www.google.com

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QUESTIONNAIRE TO MEASURE THE EFFECTIVENESS OF

PERFROMACNE APPRAISAL SYSTEM IN O.N.G.C.

Dear Respondent,

I am Ankita Aggarwal, student of Institute of Management Studies, Dehradun, working as a

trainee in your organization. I am working on a project namely “EFFECTIVENESS OF

PERFORMANCE APPRAISAL IN O.N.G.C” as a part of this project; I need to collect of

the views of the employees of this organization regarding their satisfaction level with the

performance appraisal system being practiced here. For this purpose I have designed a

questionnaire, which would help me analyze the same.

This questionnaire will be used for academic purposes and the responses will be kept

confidential. Your co-operation in filling up this questionnaire is essential for the successful

completion of my project work.

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Thank You

QUESTIONNAIRE

Name (optional): ________________________________________

Discipline: ________________________________________

Level: _________________________________________

No. of years in ONGC: _________________________________________

1. Does PAR help in fostering a climate of “creativity, innovation & enthusiasm” in ONGC.

Yes/no

2. The goals / targets are set clearly (quantitatively and qualitatively) at the beginning of Performance Appraisal Period.

a) Strongly Agree b) Agree c) Agree To Some Extent d) Disagree e) Disagree to some extent f) Strongly Disagree

3. Are the current PAR practices helpful in setting, stretching and challenging goals in ONGC

Yes/ No

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4. Does “Performance Appraisal” help in integrating organization’s (ONGC’s) and Individual’s goals .

a) Strongly Agree b) Agree c) Agree To Some Extent d) Disagree e) Disagree to some extent f) Strongly Disagree

5. Performance Appraisal System effectively monitors work progress quantitatively and qualitatively.

a) Strongly Agree b) Agree c) Agree To Some Extent d) Disagree e) Disagree to some extent f) Strongly Disagree

6. Performance Appraisal is effectively used as a tool for assessment of training and development needs of employee in ONGC.

a) Strongly Agree b) Agree c) Agree To Some Extent d) Disagree e) Disagree to some extent f) Strongly Disagree

7. Appraisals in ONGC are an annual activity; are you in favour of appraisal cycles having smaller frequency?

Yes/ No

8. Are you well-aware of the parameters for appraisal? Are the parameters clearly communicated to you in advance?

YES/NO

9. The PAR system is essentially based on support of various departments. Do various departments extend a full-fledged support while PAR is in progress?

YES/NO

10. In case of “adverse remark” in PAR of an employee, does counselling with the identified person regarding possible areas of improvement lead to conclusive results?

a) Strongly Agree b) Agree c) Agree To Some Extent

d) Disagree e) Disagree to some extent f) Strongly Disagree

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11.(A) Should there be a Performance Appraisal System where performance of an Employee is assessed by Self, his Colleagues, Controlling Officer and Sub-ordinates.

Yes/ No

11.(B) If yes, how can 360-degree feedback mechanism help ONGC revamp it’s Performance Management?

12. Performance Appraisal system in ONGC is fair and transparent.

a) Strongly Agree b) Agree c) Agree To Some Extent d) Disagree e) Disagree to some extent f) Strongly Disagree

13. The aims and objectives of performance appraisal system are well communicated and fully understood.

a) Strongly Agree b) Agree c) Agree To Some Extent

d) Disagree e) Disagree to some extent f) Strongly Disagree

14. Is PAR playing a vital role in bringing a sense of accountability and responsibility among various sections of the employees.

YES/NO

15. Do predefined KRA/KPI render any help in filling up e-PAR.

Yes/no

16. Does Paper PAR make the performance appraisal system slow and time consuming.

a) Strongly Agree b) Agree c) Agree To Some Extent

d) Disagree e) Disagree to some extent f) Strongly Disagree

17. What is your comfort level with e-PAR.

1-VERY LOW2-LOW3-MEDIUM4-HIGH5-VERY HIGH

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18. Is the e-PAR process is more effective rather than paper PAR process.

a) Strongly Agree b) Agree c) Agree To Some Extent

d) Disagree e) Disagree to some extent f) Strongly Disagree

19. ONGC since its inception is known for its unique organisational culture. Has the introduction of e-PAR helped in promoting that culture and taking it to new heights?

Yes /no

20. Do the current PAR practices seem fair or reward and promotion decisions.

a) Strongly Agree b) Agree c) Agree To Some Extent

d) Disagree e) Disagree to some extent f) Strongly Disagree

21. Do you agree that to some extent the current PAR practices can have some potential for rating error and bias?

a) Strongly Agree b) Agree c) Agree To Some Extent

d) Disagree e) Disagree to some extent f) Strongly Disagree

22. Rate the overall effectiveness of Performance Appraisal System in ONGC.

1-VERY LOW2-LOW3-MEDIUM4-HIGH5-VERY HIGH

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