SUMMER TRAINIG PROJECT REPORTONPerformance Management SystemInBharat Heavy Electrical Limited HERP Varanasi

SUBMITTED IN PARTIAL FULFILLMENT FOR THE AWARD OF MASTER OF BUSINESS ADMINISTRATION

SUBMITTED TO:- Ms. Divya VatsASSISTANT PROFESSOR,SUBMITTED BY:-Vakil Kumar YadavRoll No. : 1474770044

Affiliated to UPTU, LucknowPREFACE

Learning categorizes us and practicing on that learning specialize us.

Theoretical concepts taught and discussed in the classroom prove useful if they have to remain relevant. Practice orientation of management student is must generating competence to deal with issues at grass root level it is for this reason that training & project study is prescribed as a part of syllabus for MBA in UPTU.

This training is the mode of imparting practical training to the student. The objective is to provide a deep insight into practical aspects of the functioning of the organization. The training apprises the student to the actual function, responsibility and problem faced by an organization. It provides him with the knowledge of the various kind of problem that crop up in the day to day functioning of the organization .The way they are solved by the departments and appraisal of the crucial decision taken by the manager at the crucial time.

I was fortunate enough to complete my personnel management training at Bharat Heavy Electrical Limited (BHEL, HERP), Shivpur, Tarna Varanasi. This has given me an altogether new experience, which would be immense help to me in my days to come.

ACKNOWLEDGEMENT

I take this responsibility to express my profound and sincere gratitude to my HOD MISS Shiva Singh, my project guide Miss Divya Vats for providing me with the opportunity to explore the corridors of the corporate world and gather invaluable knowledge and practical experience via the Summer Training Project.I take the privilege of offering a deep sense of gratitude and indebtedness to MY FATHER and MY MOTHER for providing me their able guidance and inspiration to complete the Summer Training Report.I express my sincere gratitude to MISS DEEPIKA MISHRA (ASSISTANT OFFICER HR), HERP, BHEL who guided me how to carry on with the project. Her able guidance and support have been constant source of knowledge and motivation for me.I wish to give my sincere regards to my respected teachers who guided me to build a concrete platform before sending me on training so that I can land out firmly in all respects.My parents blessing and co-operation from entire family had been my strength to complete this study.

DECLARATION.I hereby declare that the project report entitled STUDY OF PERFORMANCE MANAGEMENT SYSTEM IN B.H.E.L AT VARANASI is a genuine research work undertaken by me under the guidance of MISS DEEPIKA MISHRA(ASSISTANT OFFICER ,HR) The information has been collected from the genuine authentic sources.The report is being submitted in fulfillment of the requirement of SUMMER TRAINING PROGRAMME.

Vakil Kumar YadavROLL NO -1474770044

INDEXSerial noParticularPage no

1PREFACE2

2ACKNOWLEDGEMENT3

3DECLARATION4

4INDEX5

5COMPONY HISTORY6

6MANUFACTURING UNITS OF BHEL7

7EXECUTIVE SUMMARY8

8OBJECTIVE OF THE PROJECT09

9COMPONY PROFILE10

10BHEL ORGANISATION15

11BHEL,A CANDIDATE FOR MAHARATNA COMPONY25

12LEVELS OF EMPLOYEES37

13ANALYSIS OF PERFORMANCE MANAGEMENT SYSTEM44

14SWOT ANALYSIS85

15RESEARCH METHODOLOGY86

16DATA ANALYSIS88

17RESEARCH FINDINGS97

18CONCLUSION98

19SUGGESTION99

20LIMITATION100

21ANNEXTURE101

22QUESTIONNAIRE102

23BIBLIOGRAPHY104

Company HistoryBharat Heavy Electricals Limited (BHEL) (BSE:500103, NSE:BHEL) is one of the oldest and largest state-owned engineering and manufacturing enterprise in India in the energy-related and infrastructure sector which includes Power, Railways, Transmission and Distribution, Oil and Gas sectors and many more. It is the 12th largest power equipment manufacturer in the world. BHEL was established more than 50 years ago, ushering in the indigenous Heavy Electrical Equipment industry in India. The company has been earning profits continuously since 1971-72 and paying dividends since 1976-77. 74% of the total power generated in India is produced by equipment manufactured by BHEL.It is one of India's nine largest Public Sector Undertakings or PSUs, known as the Navratnas or 'the nine jewels.

Manufacturing Units of BHEL

Main Manufacturing Facilities Bhopal (Madhya Pradesh) Bharat Heavy Electrical Limited, Ranipur, Haridwar (Uttarakhand) Bharat Heavy Electricals Limited, Ramachandrapuram, Hyderabad (Andhra Pradesh) Jhansi (Uttar Pradesh) High Pressure Boiler Plant and Seamless Steel Tube Plant, Tiruchirapalli(Tamil Nadu) [11] Boiler Auxiliaries Plant, Ranipet (Tamil Nadu) Electronics Division and Electro Porcelain Division, Bangalore (Karnataka) Jagdishpur (Uttar Pradesh) Rudrapur (Uttrakhand) Industrial Valves Plant, Goindwal (Punjab) Bharat Heavy Plates and Vessels Limited (Vizag)

EXECUTIVE SUMMARY

The Performance Management System is a process of setting objectives, making plans to achieve those objectives and accomplishing the desired results. Rewards and recognition are the end stage of this process. Organizations use this system to assess the performance of an individual, a team, a function and then the organization as a total. In this project, the whole performance management system is described for the company BHEL. This cycle starts when BHEL signs a Memorandum of Understanding (MoU) with the Government of India. In this memorandum the vision, mission and values, targets and action plans are mentioned. In BHEL, system have been devised to cascade Organizational Goals into individual goals by framing out objectives of the company from the MoU at corporate level and there by preparing a Balance Score Card both at corporate and unit level. The summarized feature of this process is sequentially breaking down the organizational goals into an individuals e-MAP.This project describes about the E- Map system i.e. the Performance Management System which is followed in BHEL. This project also describes the problems faced by the appraisees and the appraisers in this system. It also elaborates about the steps taken by the appraisers to improve the performances of the appraisees so that their efficiency can be increased and later the rewards and recognitions are given in the form of promotions, incentives and empowerment.

OBJECTIVE OF THE PROJECT

To study the process and to understand the importance of Performance Management System in BHEL that synchronizes the performance of the employees so as to make the work effective.

To analyze the Performance Management System (e-Map) of BHEL in detail and its effectiveness. To analyze the problems faced by the appraisee and the appraiser in this system. To analyze the steps taken by the appraisers for the improvement of the performances of the appraisees.1840), electromechanical (18401940) and electronic (1940present).[5] This article focuses on the most recent period (electronic), which began in about 1940.

COMPANY PROFILE

PROFILE OF BHARAT HEAVY ELECTRICALS LTD.

Foundation:BHEL is the largest engineering and manufacturing enterprise in India in the energy related /infrastructure sector .BHEL is one of the nine large public sector undertakings known as Navratnas or Nine jewels. BHEL offers over 180 products and provides systems and services to meet the needs of the core sector like: power, transmission, industry, transportation, oil & gas, non-conventional energy source and telecommunications.BHEL was found in 1950s. The operation are organized in three business sectors; Power, Industry- including Transmission, Transportation, Telecommunication & Renewable Energy and overseas business. Today BHEL has a wide-spread network comprising 14 manufacturing units, 8 service centers, 4 power sector regional centers, 18 regional offices, and a large no. of project sites spreads all over India and abroad. BHEL is one of the largest exporters of engineering products and services from India. BHEL has established its references in around 60 countries of the world, ranging from United States in the west to New Zealand in the Far East. Its export range include: individual products to complete power station, turnkey contracts for power plants, EPC contracts, HV/EHV Sub-Stations, O&M services for familiar technologies, specialized after-market services like Residual Life Assessment(RLA) studies and retrofitting, refurbishing & overhauling and supplies to manufacturers & EPC contractors.

THE VISION, MISSION & VALUES OF BHEL:

BHEL developed its Vision, Mission and Values in 1996, which were reviewed and revised in 2002 and further revisited in 2006.A). THE COMPANYS VISION AND MISSION:Vision- A World Class Engineering Enterprise Committed to enhancing stakeholders Values.Mission- To be an Indian Multinational Engineering Enterprise providing total business solutions through quality products, system and services in the field of Energy, Industry, Transportation, Infrastructure and other potential areas.

B). The Core Values:. Zeal to excel and zest for changes . Integrity and fairness in all matters . Respect for dignity and potential of individuals. Strict Adherence to commitments. Ensure speed of response. Faster learning, Creativity and team-work . Loyalty and Pride in the company

BHEL Organization

BHEL Operations are organized around three business sectors: Power, Industry & overseas business. These are catered to by a country wide network of- . 14 Manufacturing units . 8 Service centre . 4 Power sector regional centre . 18 Regional Offices

Present Status:

# The turnover of BHEL was Rs.421.4 Billion in the year 2009-10.

# The Turnovers and order inflow have almost doubled in just three years, and the profit before.

# Tax and Net profit have doubled in two years.

Central Foundry Forge Plant, HaridwarThe Central Foundry Forge Plant was set up at Haridwar with French collaboration. The construction started in 1974 and production was commenced in 1976. This plant has an in-built high degree of sophistication normally associated with much larger plants & has successfully developed various intricate castings and forgings, which were hitherto imported. CFFP has successfully manufactured various types of steels, e.g. creep resistant steel, heat resistant steel, stainless steel, armour steel etc. as per Indian and International Standards.

ings (500 kg to 50T piece wt)1. Plain carbon Steels2. Alloy Steels3. Creep Resistant steels4. Stainless steels

Forgings (Upto 55T/pc wt)1. Rotors (Max dia 2000mm)2. Discs(Max dia 3500mm)3. Tube Sheets4. Blooms5. ESR Components

Manpower1. Well trained professionally qualified 2. 147 Engineers 3. 221 Supervisors 4. 870 workmen

Steel Melting1. 3Arc Furnaces- 10T,30T∓ 70T 2. 70 T VAD/VOD Furnaces3. ESR Furnace

Press1. 2650T & 9000 T Pneumatic Forging press 2. 18M HT Furnace,CircularFurnace,Mist Quenching Facilities etc.

Machining Facilities1. 7.3 M V. borers, WD160/220 H.Borers, 18M Deep Hole Boring machines 2. 18 M/10M centre lathes etc.

Testing Facilities1. Latest Spectrometer, Hydrogen , Carbon/Sulphurdeterminators2. No of sophisticated US Flaw detectors, Boroscopes, Radiographic Chambers and creep testing facilities.

Quality Certification1. Well known Boiler board certification 2. Approved by LLoyd Register of Shipping 3. IS0-9000 Certification by BVQI 4. TUV certification

PROFILE OF HEAVY ELECTRICAL EQUIPMENT PLANT (HEEP):

It is one of the four major manufacturing units of BHEL. It was established in the year 1962 with the Russian collaboration. HEEP follows the corporate policies on HR, Materials Management, Finance Management and Work Management etc. and focus on customer needs captured through S-maps. To align objective of the units and its different function with corporation, unit has developed its business Policy, CSFs and functional Pole Star Statements. HEEP is consistently earning profit since its breakeven in 1974-75.It achieved an all time high turnover of Rs.20.03 billion, PBT of Rs.4.41 billion, and EVA of Rs.2.14 billion in 2006-07. The 210, 250 and 500 MW thermal sets, made by HEEP, constitute of 65% of total thermal coal based power plants. These contribute to 71% of total generation by coal based thermal sets in the country. In 2005-06 HEEP added 1250 MW to National grid and 312 MW added in Libya by export. And latest HEEP added 1500 MW NEW TURBINE Shop in Haridwar Grid.

The Important Milestones in the History of HEEP (up to March 2009)

Year Event

1962 Technical collaboration with Prommasho export, USSR, for setting up HEEP

1967 First product (Electric Motor) rolled out

1969 Manufacturing of first 100MW steam turbine

1971 Manufacturing of first 100MW Turbo Generator

1974.Breakeven achieved.Technical collaboration with KWU(Siemens), Germany for coal based thermal sets

1976 First 200MW coal based Thermal Set commissioned

1983 First 500MW coal based Thermal Set commissioned

1989 Technical collaboration with KWU for gas turbine

1991 Collaboration with Oto-Melara, Italy, singed for Defense Project

1993 Accreditation of ISO-9001 Quality System

1995 TQM Movement launched in HEEP

2000 Accreditation of ISO-14001 Environment Management System

2001 Technical collaboration with KWU for coal based thermal setup up to 1000MW extended for 10 years

2002 Accreditation of OHSAS-18001

2004 New Blade Shop Established

200620082009HEEP wins CII-EXIM Bank Prize for Business ExcellenceHEEP employees won Prize for setting good quality productProvided Biggest Dynamo to JAPAN.

S.No. Products Percentage of Turnovers

1. . Steam Turbine & Generators : 210-800 MW . Condensers, Heat Exchangers and Pressure vessels . Nuclear Turbines & Generators : 210-540MW . Gas turbines & Generators : 156 MW (ISO) 91.5%

2. Hydro Turbines & Generators : 5-250 MW 4.5%

3 Defense Equipment : Super Rapid Gun Mounting (SRGM) 2.5%

4. Large size AC Motors 1.5%

Range of Products: Main products of the unit are higher rating Thermal sets (210MW and above). Apart from these HEEP also manufactures Hydro sets, large size AC motors, naval Guns (SRGM). The percentage distribution of product profile is as follows-

MANUFACTURING:

. Marketing and Servicing:

. Manufacturing and other facilities

Manufacturing Plants:

HEEP has state-of-art manufacturing facilities to deliver 3500MW of power generating equipments. HEEP has absorbed world class technology through collaboration with M/s Siemens, Germany and plan to modernize its manufacturing facilities to enhance the manufacturing capacity to 5250MW and its capability to manufacture higher rating sets. Facilities added for manufacturing of Turbo Generators with total Impregnated Stator core enabling development of Turbo Generators with higher efficiency. New Blade Shop with world-class machine tools has led to indigenous developments & manufacture of advanced blades with improved heat rate. HEEPs product profile necessitates tailor made designs with contemporary features. These products are realized through modern machining processes, insulation systems, fabrication, assemblies and testing. Transportation of large and heavy consignments is done through prudent logistic management.

Major Manufacturing Units are:

. Block - 1 & 4 : Electrical Machine Shop . Block - 2 : Fabrication Shop. Block - 3 : Turbine Manufacturing

MARKET AND COMPETITION:

Market-

HEEPs customer profile ranges from state electricity boards, Govt. Power utilities like NTPC, NPC and NHPC to IPPs like Reliance Energy. HEEP has also exported gas turbines sets to Libya and Iraq. Power Sector Regions of BHEL are its key internal customers. Their key customer, NTPC has drawn up plan for capacity addition of 17,000 MW by 2012. HEEP has planed for execution of 34,619 MW by 2012.

Competition -:Acquisition & mergers by Power Equipment Manufacturers have left BHEL, Siemens, GE and Alstom as major players in India. SEPCO (China), LMZ (Russia), Dang Fang (China) and Skoda (Czech Rep.) are emerging competitors. To meet the emerging challenges, focus is given on increasing manufacturing capacity and introduction of new technologies. It helps HEEP to maintain it leading position in domestic market. Challenges posed by china and other competitors has prompted HEEP to become aggressive in introducing 300/350 MW sets to be ready for 800MW sets. HEEPs position has further strengthened as global competitors could not fulfill expectations of Indian customers. BHEL was offered work of RAYALSEEMA PROJECT after failure of CMEC, China. Similarly, BHEL is part of consortium in restarting Dabhol project after failure of Enron.

Changing Business Environment -:

Power sector has to grow over 10% annually commensurate with GDP growth of 7-8%. Thus, the demand for thermal sets will remain high. Central Electricity Authority (CEA) is the guiding authority for Power Sector strategies in our country. Representatives of BHEL and power utilities are members of various committees formed by CEA. HEEP will strategically concentrate on higher rating coal based thermal sets to fulfill the countrys vision of adding 107,000 MW capacity to achieve POWER ON DEMAND by 2012. Govt. of India has reposed its faith on BHELs capabilities and has asked it to get prepared for bulk ordering of 8 nos. 800MW sets in collaboration with Siemens. CEAs stress on R&M of ageing Power Plant is also providing business opportunity to HEEP.

Strategic Challenges -:

The fast changing power scenario emerging with rapid growth in national power capacity has given unit a major challenge of establishing power infrastructure in close in co-ordination with its key customers. To cater the needs of higher rating sets of 800 MW, HEEP has collaboration with Siemens. To capture future customer needs and expectations and emerging market scenario Strategic Map (S-Map) is prepared.

PRINCIPLE FACTORS OF SUCCESS:

Satisfied Customers:

Customer satisfaction and success is reflected in the theme:GrahakSafal Hum Safal.The business policy also focuses on customer focused business leadership. HEEP regularly conducts independent Customer Satisfaction Surveys that are used to identify priorities of customers and draw out strategy accordingly. Focused efforts of HEEP has resulted in improvement of customer satisfaction index from 55.39 in 2004 to 70.14 by 2005 having most of the parameters better than its competitors and sister units. In 2006 perception of customers was collected internally.

Excellence Initiative for performance Improvement:

Excellence initiative is their Balance Score Card (BSC), Overall Equipment Effectiveness (OEE), Award Scheme (IMPRESS Copyright of HEEP) and performance appraisal through e map. To measure and increase the effectiveness of these initiatives HEEP uses internal audits (Financial, ISO 9000, HSE audits, OEE audits). Engineers are frequently deputed to collaborators works to enhance technical knowledge. Knowledge Management & intellectual Property Right Management has been identified as CSF since 2004.

Partnership with Suppliers:

To remain competitive it is vital for HEEP to reduce the cost and procurement time cycle of raw materials, components and assemblies. Strategic Outsourcing of processes, components & assemblies is considered the most important CSF to meet units challenges of cost & cycle time reduction. To this end, HEEP has focused on increasing supplier base & win partnerships through one to one discussions and MOUs. A B2B portal has been installed for communication and transparency in dealing. HEEPs sister unit CFFP, Collaborator Siemens, SAIL and IOC are the key suppliers and unit has maintained the partnership with them for more than 15 years. Ancillaries developed by HEEP are vital to its success and are supported with technical guidance and training, material, special tools, calibration and testing facilities.

WORK CULTURE:

Vision, Mission and Values drive the organization behavior and work culture towards excellence. One of the major strength of HEEP, Haridwar is its free, open participation of the employees in improvement projects, Suggestion, quality circle and other new initiatives. HEEP has been Pioneer among the other BHEL units to adopt many excellence initiatives. Special thrust on IT has led to development of many engineering and business application by in-house development team. To promote excellence, in-house competitions are organized through out the year. Unit has given award to the winners in Special Award Distribution Function. HEEP has been awarded National Award for 14 consecutive years by INSSAN and National Award for Excellence in Energy Conservation as Energy Efficient Unit by CII.

Competent and Educated Employees:

The capable and skilled HR asset of HEEP has placed it among top engineering organizations in India. This is aptly demonstrated in the records number of prestigious National Award like Vishwakarma and Prime Ministers awards won by employees.

Employee Strength:

Employee Profile ( As on 30 May 2010)

Category Number

Executive 952+124 (ET)

Supervisors 938+111 (ST)

Workmen 5883

Total 8008

BHEL, a candidate for Maharatna Company

For getting Maharatna status, a company needs to have a three-year track record of annual net profit of over Rs 5,000 crore, net worth of more than Rs 15,000 crore and turnover of more than Rs 25,000 crore. It should also be a listed firm.BHEL's turnover was Rs 33,173.34 crore in the fiscal 2009-10. However, the company's annual average net profit was Rs 3,433 crore during the last three years.Its shares were trading at Rs 2192.5, down 0.05 per cent from the last close at the Bombay Stock Exchange.Maharatna scheme was announced by the government in December 2009 to give more operational freedom to the top-performing PSUs.When that several PSUs lack the required number of independent directors on their board, Patel said the positions would be filled up soon."Many PSUs have independent director vacancies. The independent director position has to be fulfilled at the earliest and Department of Public Enterprises will make sure that all the position have eminent people," he added.As per the Clause 49 of the listing agreement between companies and stock exchanges requires companies to have independent directors in half of the board positions.Some large listed state-run companies do not have the required number of independent directors.This has impeded the government's effort to divest part of its stake in public sector firms, forcing it to name retired bureaucrats as independent directors.Out of 47 listed government companies, the boards of 17 companies like Indian Oil, BHEL and SAIL do not have the required number of independent directors," a recent government report had said.There are 246 Central Public Sector Enterprises in the country, as on March 2009.

BHEL Human Resource Departments IntroductionHuman resource is a term used to describe the individuals who make up the workforce of an organization, although it is also applied in labor economics to, for example, business sectors or even whole nations. Human resources is also the name of the function within an organization charged with the overall responsibility for implementing strategies and policies relating to the management of individuals (i.e. the human resources). This function title is often abbreviated to the initials "HR".

Description of HR DepartmentsThe Human Resource Department of BHEL , Bhopal is broadly divide into two Category :-I.HRDCII.HRMI.HRDC (Human Resource Development Centre) :-The principal objective of training and development division in BHEL is to make sure the availability of a skilled and willing workforce to anorganization.The training system in BHEL is to create a smarter workforce and yield the best results.

Human Resource Development Centre in BHEL performs the following activities:-1. Apprenticeship Training 2. Faculty Work3. Vocational Training 4. Induction Training 5. Developmental Training for employees.II.HRM (Human Resource Management):-HRM covers the various departments, performing the different functions, which are as follows:-1.Establishment2.Industrial Relations & Welfare3.Human Resource Systems Development4.Law5.Administration6.Others6.a Policy6.b Single Window Cell6.cRajbhasha6.d Contract Labour Cell

1. EstablishmentAll the Establishment Matters comes under this department . It deals with a wide range of activities starting from induction of an employee till retirement. It includes record keeping of all the employees & its verification (as per required). For Example; Sanction of leave , bus pass , higher qualification matters , passport , promotions , transfers , social security forms and their nominations , loans etc.

2. Industrial Relations & WelfareIndustrial Relations is a multidisciplinary field that studies the employment relationship. It is a bridge between workers and top management. It focuses on labour relationship which includes resolving the grievances of the workers. Contract Labour Administration and Industrial Dispute Cases also comes under it.

BHEL has various labour unions which are actively giving shape to IR.The main Trade Unions are:-1.HMS(Hind MajdoorSangh)2.INTUC(Indian National Trade Union Congress)3.KTU(Karamchari Trade Union)4.CITU5.AITUC

During all these years, Indian National Trade Union Congress (INTUC) had the monopoly over four other trade unions in the plant.

3. Human Resource Systems DevelopmentIt consist of all the functions like:-

a. Staffing (MPP, Recruitment , Placement & Exits)Understanding & Over staffing reduces the competitive efficiency of the business. Planning staff levels requires an assessment of present and future needs of the organization be compared with present resource and future predicted resources which is accomplished by Man Power Planning.

Recruitmentsis an essential & indispensable part of HR which deals with hiring process, which may be from outside or inside the company. Internally through transfers, promotions etc. , and externally through campus selection , written examinations and interviews etc.

b. Performance ManagementBHEL being a very big & widely spread organization which has large number of manpower. Thus to appraise its performance need a comprehensive & exhaustive method.Performance appraisal in BHEL is done in 2 ways:-Supervisors and Workmen: - ACR (Annual Confidential Report)Executives: - e Map

c. New Business InitiativeBHEL have a separate department for new Business technique which performs various functions like designing SAP , ERP , e-Map , PCMM etc, exclusively for BHEL.d. Rewards & Recognitione. Career Planning f. Succession Planning g. Competency Management h. Compensation Management i. Communication Systems

4. LawThis Department performs all the legal activities of the BHEL. It covers:-Litigation Regarding Service Matters Arbitration Court Cases Legal AdvicesContract Labour Matters5. AdministrationFor the welfare of the employees the many other facilities were provided by the BHEL which is administered very efficiently. They are as follows:- Township Administration Office Administration Hospital Administration Sports Administration Transport

6. Others There were so many other departments of HR which are working for the benefits of the employees. It facilitates the information to the employees, which indirectly encourage the employees to perform their best. They are as follows:-6. a. PolicyPolicy matters include check on various implementation processes. It deals with endorsing & distribution of Corporate HR circulars etc. Many concepts like e-Map, competency mapping , HR Software packages (SAP , ERP etc) are its concern areas.

6. b. Single Window CellThis department facilitates the convenience of work dealt by an employee who is unable to go to different cell to process his/her need. So, all the work can be done through a single window or cell.

6. c. RajbhashaHindi speaking enables proper communication & flow of work within an organization, where majority of people are Hindi speaking. BHEL being a governmental organization needs to do its entire works (as far as possible) in Hindi.

6. d. Contract Labour CellBHEL employee structure comprises many workers who are not the employees of it. They are working on contract basis. A large chunk of work is done by them thus they are very crucial to the organization. It can be of two types:-a) Job Contract- Registered Societies of contract labour supply this kind of labours.b) Work Contract These are brought on temporary basis on fixed priced order value by the contractor.

Functions of Some HR Departments1. Recruitment DepartmentRecruitment refers to the process of attracting, screening, and selecting qualified people for a job. For some components of the recruitment process, mid- and large-size organizations often retain professional recruiters or outsource some of the process to recruitment agencies.The stages in recruitment include sourcing candidates by advertising or other methods, screening potential candidates using tests and/or interviews, selecting candidates based on the results of the tests and/or interviews, and on-boarding to ensure the candidate is able to fulfill their new role effectively.2. Manpower Planning DepartmentManpower Planning which is also called as Human Resource Planning consists of putting right number of people, right kind of people at the right place, right time, doing the right things for which they are suited for the achievement of goals of the organization. Human Resource Planning has got an important place in the arena of industrialization. Human Resource Planning has to be a systems approach and is carried out in a set procedure. The procedure is as follows:1. Analysing the current manpower inventory 2. Making future manpower forecasts 3. Developing employment programmes4. Design training programmes

3. Promotion Department4. Transfer Department5. A promotion is the advancement of an employee's rank or position in an organizational hierarchy system. Promotion may be an employee's reward for good performance i.e. positive appraisal. 6. Before a company promotes an employee to a particular position it ensures that the person is able to handle the added responsibilities by screening the employee with interviews and tests and giving them training or on-the-job experience. 7. A promotion can involve advancement in terms of designation, salary and benefits, and in some organizations the type of job activities may change a great deal. The opposite of a promotion is a demotion.A transfer is a lateral move to a position in the same classified pay range (classified position) or to a position with comparable duties and responsibilities (non-classified positions).8. Policy DepartmentA policy is typically described as a principle or rule to guide decisions and achieve rational outcome(s). The term is not normally used to denote what is actually done, this is normally referred to as either procedure or protocol. Whereas a policy will contain the 'what' and the 'why', procedures or protocols contain the 'what', the 'how', the 'where', and the 'when'. Policies are generally adopted by the Board of or senior governance body within an organization where as procedures or protocols would be developed and adopted by senior executive officers.A Policy can be considered as a "Statement of Intent" or a "Commitment". For that reason at least, we can be held accountable for our "Policy"

Levels of Employees

Executive Category:E1Engineer/Executive Trainee

E1AEngineer/Executive /Officer

E2Sr.Engineer/Executive /Officer

E3Deputy Manager

E4Manager

E5Sr.Manager

E6DGM

E6ASr.DGM

E7AGM

E8GM

E9Executive Director

Supervisors Category:S1Assistant Engineer Grade 2

S2Assistant Engineer Grade 1

S3Deputy Engineer

S4Additional Engineer Grade 2

S5Additional Engineer Grade 1

S6Sr.Additional Engineer Grade 2

S7Sr.Additional Engineer Grade 1

Workers Category:A1/B1Unskilled Labours/Attendant

A2/B2Semi-Skilled Labours

A3/B3Artisan Grade 4

A4/B4Artisan Grade 3

A5/B5Artisan Grade 2

A6/B6Artisan Grade 1

A7/B7Technician

A8/B8Sr. Technician

A9/B9Master Technician

A10/B10General Technician

A11/B11Chief Technician

Organizational Hierarchy

Human Resource Practices in BHEL1. Ensuring a Safe, Healthy and Happy Workplace .In BHEL there is a system to capture the needs of employees through Employee Perception Surveys on environmental factors which are followed up by in-depth analysis, focused group discussions and interactions with workforce so as to improve their work environment. A full fledged WEX department functions along with HR department to bring about these changes. They have very recently introduced ESS which online captures such requirements of employees on a Companywide bases. BHEL has embarked upon a massive modernization of its offices to suit the new age style of functioning

2. Creating an atmosphere of openness and knowledge sharing- creative communicationTo promote transparency BHEL has incorporated MECOM (Management Employee Communication Meeting), at its Bhopal unit. This plan entitles each worker to a presentation which facilitates open communication among workers and the senior management. This unique practice welcomes free criticism, appreciation, complaints and feedback from one and all. BHEL intends to bring about a revolutionary change through the incorporation of its new concept MECOM. BHELs initiative is a step towards understanding the organization at every level of management. It identifies the importance of its people and how people are its greatest assets which will finally take the organization to greater heights. Through this initiative, it seeks to strengthen the character of disclosure and transparency so that there is an unrestricted flow of information, which will create a conducive atmosphere for employee as well as organizational growth.There are ship councils, canteen committee, township committee etc to promote sharing and soliciting employees ideas. There are specifically dedicated knowledge management portals, a full scheme on developing knowledgeworkers, a Mentoring scheme , a multi-skilling scheme; where sharing is done on a very continuous basis.3. Developing an atmosphere of Performance linked payments BHEL Reward performance through a very well documented Reward Scheme that rewards both individual and group performance and certainly there are no rewards below a certain level of performance. They have introduced a PRP scheme based on which the employees are paid bonus linked to their performance. There are many other schemes like IMPRESS and an IPR (Patent) scheme that reward excellence in performance.

4. Fair Evaluation System for EmployeesBHEL e-MAP system ensures all the parameters of fair Evaluation. All executives and supervisors are mapped through their balanced score cards. The measurement is not only of performance but also that of quality of performance. We at BHEL tend to measure behavioral traits too for identifying futures leaders and specialists. The whole process provides effective feedback leading to discussions and improvements. There have been continuous improvisations in this scheme for better and just evaluation.

5. Getting the right person in right timeBHEL has been the first PSU to introduce an online system of recruitment even at artisan level. This has ensured a very quick yet transparent system of recruitment, they announce the results the next day of written test or interview and today this stand as a bench mark process amongst PSUs. They have gone into exercises of identifying the core and non core areas for recruitment, effective redeployment of existing manpower through retraining. They have retainership scheme for retaining the expert manpower much needed in the organization. Thus in BHEL we have been exploring all the resources to get the best person in time and for the right job.

6. Training and development: BHEL have invested hugely here. They have specially designed focused training programmes at executive, supervisor and worker level inductees. A full fledged system is in place to identify the training needs of existing employees. Multi-skilling with a host of behavioral training programmes forms the back bone of our training objectives. BHEL mentoring scheme takes special care of their endeavors like LEAN, DTC , 6 sigma, 5S have been introduced through extensive training

7. Compensation and benefits: BHEL have been extremely good when it comes to pay packages and benefits. The recent wage revision has led to a very handsome increase in salary of workers. Insurance coverage, death relief, medical care , township facilities, parks, schools, colleges, community centers, holiday homes, education fees, libraries, various allowances, places of worship, extensive sports club, swimming pool, Yoga Centre, cooperative societies etc. are all various benefits that ensure at BHEL. 7. A culture of Continuous Improvement The PCMM model and SAP for HR BHEL have introduced a model called PCMM (People Capability Maturity model) for continuous improvement of HR practices. The model is based CMM model practiced in software industry and BHEL is first PSU to introduce this model for HR practices. This shall hels in establishing the best form each HR practice and that too uniformly across the organization. BHEL have introduced SAP for HR function and HR deliverables are now sourced through SAP only.

Analysis of Performance Appraisal System in BHEL

IntroductionA performance appraisal, employee appraisal, performance review, or (career) development discussion is a method by which the job performance of an employee is evaluated (generally in terms of quality, quantity, cost, and time) typically by the corresponding manager or supervisor. A performance appraisal is a part of guiding and managing career development. It is the process of obtaining, analyzing, and recording information about the relative worth of an employee to the organization. Performance appraisal is an analysis of an employee's recent successes and failures, personal strengths and weaknesses, and suitability for promotion or further training. It is also the judgement of an employee's performance in a job based on considerations other than productivity alone.People differ in their abilities and their aptitudes. There is always some difference between the quality and quantity of the same work on the same job being done by two different people. Performance appraisals of Employees are necessary to understand each employees abilities, competencies and relative merit and worth for the organization. Performance appraisal rates the employees in terms of their performance.

Performance appraisals are widely used in the society. The history of performance appraisal can be dated back to the 20th century and then to the second world war when the merit rating was used for the first time. An employer evaluating their employees is a very old concept. Performance appraisals are an indispensable part of performance measurement.

Objectives of Performance Appraisal

The Employees ability, potential and performance are judged in the appraisal process. It is being tested that whether employee meets the declared objectives and how far the decided parameters are justified.The factors like Quality of work, Cost Effectiveness, Process Orientation, Contribution to the Group and Objective being met are analyzed in the process.The Objective of Appraisal system is to analysis the effectiveness of the employee in performing his/her job successfully or in an effective way.The Performance Appraisal Process gives a clear picture of the efforts placed by an employee in performing his/her job and the way he/she meets the deadlines of the project. This acts as an input to the promotion system of the organization.

Purpose of Appraisal System Give employees feedback on performance Identify employee training needs Document criteria used to allocate organizational rewards Form a basis for personnel decisions: salary increases, promotions, disciplinary actions, bonuses, etc. Provide the opportunity for organizational diagnosis and development Facilitate communication between employee and employer Validate selection techniques and human resource policies to meet federal Equal Employment Opportunity requirements. To improve performance through counseling, coaching and development.

List of Skills/Competencies to be assessed for executives in grades E1A To E5 1 Functional / Technical Knowledge : Possesses of knowledge related to function, understands and appropriately applies technical ability related to functional / technical expertise2 Leadership: Motivates & develops individuals. Sensitive to the needs and problems of others. Encourages participants in decision making by members of the Team3 Interpersonal Relations & Team Playing :Sensitive to the needs and problems of others. Collaborates with colleagues to seek solutions that are beneficial to the team. Supports others contribution and helps in achievement of teams goals.4 Analytical Ability: Displaying the ability to analyse the information and draw logical conclusions.5 Openness to Continuous Learning :Assesses and recognizes own strengths and weaknesses; pursue self-development.6 Communication: Skill to give and receive instructions accurately, ability to present issues lucidly and shares information will all concerned. 7Initiative &Resourcefulness :Able to act effectively / imaginatively to accomplish mission ; initiative taken to solve problems, improve processes8 Achievement / Result Orientation :Display zeal to achieve by aggressively and passionately pursuing targets which have a standard of excellence.9 Sense of Responsibility / Tenacity :Meeting targets, shouldering responsibility, extent of follow up required.10 Quality of Work :Thoroughness, accuracy and general excellence of output ; extent of work free from errors; consistency of output under varying conditions.11 Customer Focus & Service Orientation : Ability to strive for success of both internal & external customers through high responsiveness and delivering value.12 Administrative / Executive Ability :Abilityto objectively view administrative situation and demonstrate courage in enforcing financial and personal discipline; ability to appraise subordinates objectively.13 Decision Making &Flexibility :Ability to diagnose and analyse problems and generate effective solutions by taking practical and calculated decisions; open and flexible when required.14 Planning &Organising :Displaying the ability to plan dynamically and implement the same for achieving desired goals. 15Creativity &Innovation :Develops new insights into situations; encourages new ideas and innovations; solves problems creatively

List of Skills/Competencies to be assessed for executives in grades E6 & E71 Business Environment Knowledge : Knowledge and understanding of economic, legal, socio-political trends.2 Profession Specific Knowledge: Knowledge related to profession as a whole. Knowledge which is determined by authority & responsibility pf other positions, knowledge of mission, values and standard operating procedures, policies. 3 Making Business Decisions : Use business related data to sport effective and timely business decisions by *Systematically gathering relevant business information *Identifying the strengths and weaknesses of a particular business line Recognising opportunities or threats and acting on them rapidly *Using business facts collected in daily decision making.4 Vision: Develop a vision for the future of the organization by : Grasping the meaningoftrends & interrelationships between the organization and its environment at the local, national and international level Identifying fundamental values and beliefs to guide the organization into the future.5 Systematic Thinking : Identifying connections between situations that are not obviously related *using common sense, past experience and basic roles to identify key underlying issues *Generating and testing hunches which may explain complex situations or problems. 6 Networking : To cultivate an informal network which may help to get things done through *Developing contacts with people outside of the immediate work Unit *Using networks as a source of information & sport.7 OrganisingResources :Ensure that all financial, personnel and/or other resources are in place to meet needs by *Identifying and acquiring the resources. *Allocating and utilizing the resources in a timely and cost effective way *Monitoring and controlling all resources required to maintain the efficiency of operations.8 Inspire People : To generate a sense of purpose for the work done by the organization instilling enthusiasm, loyalty and commitment among team members at all levels of the organization *Inspiring, motivating and guiding others towards organizational goals and objectives *Setting an example for others by behaving in ways that are consistent with espoused beliefs and values and the organisations vision and direction.

Values1 Fairness :Decisions are made objectively, free from patronage and reflect the just treatment of employees and applicants.2 Transparency :There is open communication about every aspect of managerial decisions which concern people.3 Trust :Trustworthiness leading to confidence *Allow staff the freedom to grow and develop *Relate to others on the basis of mutual respect * Courage to stand by your convictions.4 Candour: Frank and forthright *Give and receive constructive criticism/suggestions *openly discuss performance deficiencies and take corrective action *Appreciate good performance *Be consistent in words and deeds *Face up to your mistake.

5 Collaboration :Working in tandem *Be open in sharing information and in seeking suggestions / opinion. Be sensitive to concerns of *Honour your commitment Encourage team work across departments / functions.

6 Involvement :Total commitment *Be dedicated and committed to work. *Build commitment by encouraging wide participation in decision making process to the maximum extent.7 Flexibility :Ability to participate and adapt to changing circumstances using sound judgement *Be open to accepting new ideas *Be willing to learn from anyone and to do things differently *Be prepared to operate and adapt to different environments.8 Willingness to Accept Challenge :*Be willing to experiment*Allow for freedom to fail, but learn from it too.9 Discipline :Adherence to accepted norms *Honours the promises and adhere to agreed system *Respect for others time and space *Exercise self control.10 Ethical Behaviour :Demonstrate honesty and sincerity in every action *Apply sound business and professional ethics *Show consistency with principles, values and behaviours.

Generic Values1 Leadership Abilities: Demonstrates ability For guiding collective decision making For succession planning Crisis management and Ability to take risks.2 TeamBuilding: Demonstrates effectiveness in re-organizing his/her own department Manage diverse and divergent views and group processes without losing sight of objectives.3 Ability to Build a Strategic Vision: Demonstrates ability to manage change Focus on long term issues Strategic thinking Translate vision into goals.4 Business Sense: *Commitment to bottom line results by enhancing revenue generation by addressing interest of customers and stakeholders *Balancing need for viable short and long term performance *Optimizing unit/organizations contribution while supporting corporate objectives *Spotting and pursuing new business opportunities wherever possible.5 Communication Skills:Communicate ideas and information effectivelyand market key points effectively through public speaking and presentation * Ability to convert ideas through action plan and ensure acceptability within the organization and performance at Board meetings

Role of Intermediary Level Executives Intermediary is that executive who comes in the line of Reporting between the Reviewer and the Accepting Authority of the individual. Intermediaries will be identified by the MAP system based on the reporting relationships built in the system. Only Part-B of the individuals MAP will go through the Intermediary. Intermediary will be able to view the scores given by Appraiser & Reviewer but will not be able to make any changes. He will be required to only record his comments in the comments box.

Role of Accepting Authority Accepting Authority (AA) is the one marked specifically for a set of individuals in the MAP system for finalising the scores of Part-B. AAs score of Part-B will be taken as Final Score of Part-B for the individual & used for calculating the Composite Score of Part A+B. AA will be able to view the Part-A score of the individual but will not be able to change it. AA will also be able to get a comparative view of scores of Part-A & B of all individuals under his purview through a report on his dashboard.

PERFORMANCE APPRAISAL PROCEDURE IN BHEL

The Performance Appraisal process in BHEL mainly categorized in two way-

PERFORMANCE APPRAISAL SYSTEM AT BHEL

EXECUTIVESTHROUGH e - MAPNON EXECUTIVE (WORKER/SUPERVISOR)THROUGH ACR

SUPERVISOR(S4 AND ABOVE)ARTISIAN/WORKERS

1 The WorkFlow

Part-A1 (as existing):

Appraisee Appraiser Appraisee Reviewer Explanation:The Appraise does his self assessment by selecting certain KRA and allocating certain percent of work rate to it and forward it to the supervisor i.e. The Appraiser. The Appraiser gives his assessment on Part A and Part B and forwards it to the Appraise. The Appraise can have discussion only on the score of the Part A while Part B score is kept hidden. When Both Appraise and Appraiser are satisfied with their Part A score the report is forwarded to the reviewer who gives his final assessment score on Part A and Part B. This Ends the Phase 1 Process of Performance Appraisal. Note: No Self Assessment for Part-A2.

Part-A2 (new):

Appraiser Reviewer Intermediaries (if any) Final Authority (NC Head)

Explanation:The data from Phase 1 acts as an input to this phase 2. The intermediaries levels can only add comments to the performance score but cannot change anything. Its like a read only phase. And, then finally the report reaches the final authority , who gives the final score for Part B only on individual competencies. And then a final Performance Score Card is generated for the Employee for that year.

2.2 KRA (Key Result Areas)

In the performance appraisal process an employee has to select some KRA per department to a net sum of 100. Some KRAs are optional functional while some are core functions. The KRAs that ends with 00 are termed as Mother Care KRAs . It includes all sub child KRAs under it. While if an employee wishes to choose just some child care KRAs he/she can do that also!Example: Mother Care KRA: HRX02200 (Ends with 00)Child Care KRAs: HRX002201, HRX002202, HRX002203, HRX002204, HRX002205, HRX002206, HRX002207

Mother Child KRA:

Many of the KRAs derived from the Balanced Scorecard are group level activities that cannot be performed by a single executive. Such KRAs can normally be taken up by the group head and people at the working level may not find it suitable for their plans as they would be doing only part of the activity. Such group level KRAs have been marked as Mother KRAs. These Mother KRAs are further broken down into smaller activities which can be performed at the level of the individual team members. Such individual level KRAs are called Child KRAs. The purpose of the Mother-Child Concept is to break down major activities into smaller ones which are executable by the working level executives for which they are accountable.In case the entire work related to an activity is being done by a single individual, he will select the Mother KRA in his plan. In such a case he cannot select the Child KRAs However, if an individual is responsible for only a part(s) of a Mother KRA, he has to choose the specific Child KRA (s). He can choose more than one Child KRA of the same Mother, in case it is applicable.

Critical KRAs:

Certain KRAs have been identified and marked as "Critical" for their function. These KRAs are essential for the fulfillment of the objectives of that function and must be taken by someone in that function. Functional HODs should ensure that all Critical KRAs have been taken by some individual or the other of that function. They have been identified with an Asterisk (*) mark towards the Left Hand Side Panel in the KRA Master (Near the Check Boxes).

Part A1The Part A1 deals with the KRA Target Achievement. It focuses on: It consists of KRA assessment.It will have the WEIGHTAGE of 80 %.The score of part A1 will be finalized by reviewer itself.

Part-A1 (as existing):

Appraisee - Appraiser Appraisee Reviewer .

Part A2 will apply to all executives except the PG/ Function Heads and the Unit Heads where the assessment of performance is being done by Committees.Note: Part A2: Qualitative Assessment1. Quality of work :Has demonstrated awareness of the quality requirements of the job and has at his level delivered results/ output of the expected standard free from deficiencies.2. Cost effectiveness:Understands cost implications of own work and has at his level ensured efficiencies to optimize the same.3. Process orientation:Employee has performed the job in a systematic manner following defined/ desired processes. And, the employee did not resort to shortcuts that may impact the quality, cost etc. of the output.

4. Contribution to Group Objective:Displayed strong ownership of Group objectives and accepted challenging tasks to achieve them, even if they were not part of his/ her agreed work plan.

2.3 Part B To assess the Skills/ Competencies possessed by individuals and factor in this assessment for the purpose of Promotion decisions. Assessment of Part-B will be done on-line as part of Final Review Module of e-MAP. It will be available to the assessment authorities after the assessment of Part-A is completed. The final authority to approve Part-B score will be called the Accepting Authority. There will be two sets of Skills/ Competencies mapped to different levels of executives as follows: E1A to E5 - Skill/ Competency Set-1 E6 & E7 - Skill/ Competency Set- 2

Note: Assessment will be on a 5-point scaleEXECUTIVEBAND WEIGHTAGE OF PART-A (KRAs of e-MAP) WEIGHTAGE OF PART-B (Skills/ Competencies)

E1A to E3 80%20%

E4 & E5 70%30%

E6,E6A& E7 50%50%

2.4 Scores

1-Score of Part-A will constitute the Performance Score of the individual for the year. Going forward this score will be used for determining the payout of Performance Related Pay (PRP) at individual level after Normalisation.

Consolidated Score of Part-A and Part-B will constitute Composite Score of the individual for the year and will be reckoned for the purpose of promotion decisions.

The following formula will be used to arrive at the Composite Score:

Composite Score

(Score of Part-A * Weightage of Part-A) +(Score of Part-B * Weightage of Part-B)

2.5 Screen Shots

2.8 Performance Appraisal for Non-Executive

2.8.1 PERFORMANCE APPRAISAL SYSTEM FOR ARTISIAN/WORKERS:-

The Performance Appraisal of Artesian/workers is done through ACR (ANNUAL CONFEDENTIAL REPORT).The ACR is a confidential report and is assigned by the controlling officer and not disclose to the employees.PROCEDURE-STEP 1-Firstly the basic information of the employees is written in the ACR form such as-

SECTION AND DIVISION which is followed by :

A) PERSONAL DATA Name Staff number Designation Date of birth Pay scale Present grade Date of entry in present grade Qualification Number of time EL/SL taken Number of LWP taken during a year (The LWP is considering of past 3 year, if the leave without pay i.e. LWP is more than 90 days, then employee is not eligible for the promotion and removed the name of such employee from promotion list.) Nature of work done during a period.

B) PERFORMANCE EVALUTION-

The performance evaluation mainly includes the various parameters through which the performance of employee is to be evaluated. Here quality is assessed with brief explanation .the maximum number is allotted for every parameter through which employees are assessed.Some of parameter is as follow-

ParametersMaximum markJobperformance 15Knowledgeof work 5Planning housekeeping and safety 10Attendance and punctuality. 10C) PESONAL TRAITSConduct 10Willing to work Total:- 50

STEP 2-The controlling officer of the employees assigns numbers on above parameter in the form.STANDARD FORM FOR MARKING AS GIVEN BELOW MAY BE ADOPTED-ASSESSEMENTRANGE OF MARKFOR A MAXIMUM OF 15 MARKSRANGE OF MARK FOR A MAXIMUM OF 10 MARKSRANGE OF MARKS FOR A MAXIMUM OF 5 MARKS

EXECELLENT13-159-105

HIGH AVERAGE10-127-84

AVERAGE7-95-63

BELOW AVERAGE4-63-62

POOR0-30-30-1

STEP 3-Now other information about the employees are recorded as-1)a) Disciplinary action takenb) Any other defect in character which may affect his/her efficiency.2)a) Any distinctive award or reward received by employee.b) Any meritorious or innovative task taken up or significant improvement made.c) Any specific contribution during a year toward official language Hindi, Productivity, Suggestion, Scheme and quality circles.

3)a) Honesty including loyalty to the company through fullness ,frankness and observance of secrecy.b) Assessment of integrity. If anything adverse has come to your notice, please specify it also.NOTE:In case there is any doubt the integrity of the employee ,the column in the ACR form should be left blank and a secret note may be recorded and follow up action the doubt are cleared, the employees integrity should be certified and if the doubt are confirmed this should be recorded in the ACR and communicated to the employees.

4) There basic strength and aptitude is mentioned.5) State of his/her health.6) Is he/she fit for promotion which is assessed as- Yes or No7) Check whether the employee is fit for house changing or not. If the employee has the leadership quality, ability skills etc. then the employee is recommended for the house changing, promotion by the controlling officer.STEP 4-General remarks were given by initiative officer.STEP 5-Remark were given by the approving officer as-Outstanding (41-50)Very good (35-42)Average (15-24)Below average (25-34)Poor (0-14)

NOTE:1) If the employee get outstanding grade then the initiating officer have to give citation for outstanding justification.2) If the employee get poor and below average grade, then same is communicated to the employees.STEP 6- Remark of countersigning officer taken as-1) Grading accepted2) Whether adverse mark/grading communicate. Yes or No or Not applicable

2.8.2 PERFORMANCE APPRAISAL SYSTEM FOR SUPERVISORS (S4 AND ABOVE):-

1. Broad Frame WorkThe system will have three phases:a. Performance Planningb. Mid-year Reviewc. Final ReviewAssessment will be on two aspects:Part A :PerformancePart B :Competencies Part A will comprise three sections: KRA Section (40%) Routine Responsibilities (40%) Relative Contribution to Group Objectives (20%)

2. ROLES INVOLVEDi. Appraisee: The Supervisor being assessed.ii. Appraiser: Necessarily an Executive as per current DOP as under.

AppraiseeAppraiser

S4Not below E2

S5Not below E3

S6Not below E4

S7/S8Not below E5

iii. Reviewer:Appraiser s Appraiser in MAP.

3. DETAILS OF THE SYSTEMA. PERFORMANCE PLANNING: WORK FLOW: APPRAISEE APPRIASER REVIEWER

Appraisee (supervisor) will initiate performance planning; it will be reviewed by his Appraiser and finalized by his Reviewer.

There will be two sections in the Performance Plan KRA Section and Routine Responsibilities Section.

KRA Section:

a.Total Weightage for the KRA Section will be 40%.b. A standard list of KRAs will be available in the system to select from. b.There will be Provision to select minimum three and maximum five KRAs. c.Appraises can select KRAs from the standard KRA list or type out their KRAs directly in their plan. d.Appraise will assign five target levels to each KRA - Level 5 being the highest and Level 1 the lowest. e.Appraisee will assign weightage to each KRA in the range of 5-20. f.There will be an Action Plan box where the Appraise will have to write Action Plan, Resources, Assumptions& Milestones for each KRA.

Routine Responsibility (RR) Section:

a. Total Weightage for the RR Section will be 40%. b. There will be a provision to take minimum five and maximum eight RRs.c.Individuals can select from the Suggestive list of RRs or type directly in the box provided.d.Appraise will assign weightages to each RR in the range of 5-10. e.There will not be any targets for this section.

Note: 20% weightage will be reserved for year end assessment of Relative Contribution to Group Objectives.

B. MID YEAR REVIEW: WORK FLOW:APPRAISEE APPRIASER

To be done by Appraise and Appraiser only for KRA Section. Mid-year Review will be initiated by the Appraisee and accepted by the Appraiser. Comments on progress of each KRA will be documented by the Appraisee. Feedback and suggestions for mid-course correction, if any, will be given by the Appraiser. There would be no mid-year Review for RR section. No scores will be assigned at this stage.

C. FINAL REVIEW: Assessment of Part-Ai) KRA Section WORK FLOW : APPRAISEE APPRIASER REVIEWER Appraisee will initiate and give his assessment of Actual Targets achieved against each KRA and record his comments. He will not give any score for the KRAs. Appraiser and Reviewer will give their assessment of Target achieved against each KRA & record comments. They will not give any score for the KRAs. Score for each KRA and Final Score for KRA section ( weighted average) will be calculated by the system on a 5-point scale based on achievement reflected by Reviewer.The score of KRA Section will be calculated up to a maximum of 2 decimal places and also displayed upto 2 decimals in the system.

ii) Routine Responsibilities Section WORK FLOW : APPRAISEE APPRAISER REVIEWER Appraisee will give comments on performance against each RR but no score. Appraiser and Reviewer will assign Score on 5-point scale against each RR based on the performance and the effort involved. Scores can be given upto one decimal point. Final RR Score (weighted average) will be calculated by the system on a 5-point scale based on assessment score given by Reviewer. No two individuals under the same Reviewer can have the same score for RR section.The score of RR Section will be calculated up to a maximum of 2 decimal places and also displayed upto 2 decimals in the system.

iii) Relative Contribution to group Objectives (Weightage 20%): [APPRAISER REVIEWER] Assessment of this section will be done by Appraiser and Reviewer only. Appraiser and Reviewer will assign a single Score on this parameter on a 5-point scale, upto one decimal point. Final Score of this section will be based on assessment score given by Reviewer. No two individuals under the same Reviewer can have the same score. Calculation of Final Performance Score (Part A) Final Performance Score will be calculated by the system on a 5- point scale as a weighted average of scores of (i) KRA section (40%) (ii) RR section (40%) and (iii) Contribution to group Objectives (20%). No two individuals under the same Reviewer can have the same Performance Score. The Final Performance Score will be calculated up to a maximum of 2 decimal places and also displayed upto 2 decimals in the system.Assessment of Part B (Competencies)[ WORK FLOW: APPRAISER REVIEWER] Assessment of this section will be done by Appraiser and Reviewer only. Appraiser and Reviewer will assign score on each competency on a 5-point scale upto one decimal point. Final Competency Score ( average) will be calculated by the system based on scores assigned to each competency by the Reviewer. No two individuals under the same Reviewer can have the same Competency Score. The Final Competency Score will be calculated up to a maximum of 2 decimal places and also displayed upto 2 decimals .Performance Rating Through Normalization, the Final Performance Score (Part-A) will be converted to Rating (A+ / A / B+ / B / C) for calculation of PRP.

4. USAGE OF SCORES/ RATINGS Part-A Performance Score converted to Rating (A+ / A / B+ / B / C) will be used for PRP payments every year. Part B Competency Score along with Part-A Performance Score will be used for Promotion in ratio of 20:80.5. SHARING OF SCORES Appraise will be able to view the break up of Performance Score (Part-A) and Competency Score (Part-B) separately as well as the final Consolidated Score (A+B). Appraises will be provided 15 days for appeal to higher authority, in case they are not in agreement with the final assessment.6. IMPLEMENTATION The new system will be implemented on-line from year 2010-11. For ease of administration it is recommended that e-MAP Administrators at Units may also handle implementation and maintenance of PMS for Supervisors.

SWOT ANALYSIS

Strength ROBUST RESEARCH AND DEVLOPMENT ACTIVITY LEADING MARKET POSTIONWEAKNESS SAFETY ISSUE NON AUTONOMYOPPORTUNITIES EXPANDING MANUFACTURING CAPACITY STRONG ORDER INTAKETHREATS INTERNATIONAL LAWS AND REGULATIONS INCREASING PRICE OF RAW MATERIAL

RESEARCH METHODOLOGY

The research design in my case was exploratory research design, which is also known Formulative Research Design.The main purpose of my study was getting the opinion of people regarding the performance appraisal system and what are the problems which are faced by the appraisees and the appraisers.The research design in my study was flexible to provide opportunities for considering different aspects of the problem under study.

Types of Data collected:Primary: First hand information was received from the employees through questionnaires and personal interviews.Secondary: The data from internet was collected to get a better insight and the companys manual.

SIMPLE RANDOM SAMPLING:Simple random sampling refers to the sampling technique in which each and every item of the population is given equal chance of being included in the sample.Random sampling is sometimes referred to as REPRESENTATIVE SAMPLING. If the sample is chosen at random and if the sample is sufficiently large, it will represent all groups in the population. A random sample is also known as PROBABILITY SAMPLE because every item of the population has equal opportunity of being selected in the sample.

DATA ANALYSIS

1. Are you satisfied with the present performance appraisal system (E-map)?(a) Yes [ ](b) No [ ] If No, then why ..

Interpretation:-More than half of the employees are satisfied with the present performance appraisal system. The employees who are not satisfied are mainly from E-1 to E-3 level.

2. Do you think the present system is effective / better than the previous appraisal system?(a) Yes [ ](b) No [ ]

Interpretation:-70% of employees think that the current system (e-Map) is better than the previous system (ACR) because earlier their result was totally confidential and was not known to them.3-Do you think the e-map system reduces biasness?(a) Yes [ ](b) No [ ]

Interpretation:- 60% of the employees think that this system reduces biasness because the KRA evaluation is transparent to each appraisee.

4-As an appraisee do you face any problem while selecting the KRAs?(a) Yes [ ](b) No [ ]

Interpretation:-80% executives have no problem in selecting the KRAs because everything is completely elaborated and they are given choices to choose among many of their caliber.

5-Does your appraiser help you in selecting the KRAs?(a) Yes [ ](b) No [ ]

Interpretation- 85% executives are helped by their appraisers in selecting KRAs. This shows the good inter personal relationship between the appraisee and the appraiser.

6-Do you think the present list of KRAs cover all aspect of your job?(a) Yes [ ](b) No [ ]

Interpretation:-Only 25% executives feel that the present list of KRAs doesnt cover all aspects of their job. The Executives which are under grade E1- E3 are unsatisfied.

7-Do you think the part B of e-map system should be transparent to an appraisee?(a) Yes [ ](b) No [ ]

32%68%YESNO

Interpretation:- More than 65% appraisers feel that part-b should not be transparent to an appraisee as this is the only part through which they can control the performance of their subordinates.

8-Do you get any formal feedback regarding your performance?(a) Yes [ ](b) No [ ]

Interpretation:70% executive says that they get the formal feedback regarding their performance by their superiors regularly while carrying out their work.

9-Are any steps taken to improve the performance if not up to the mark?(a) Yes [ ](b) No [ ]If yes, then what .

70%30%NOYES

Interpretation: 30% executives say that the proper training is given to them for upgrading their job whenever required.

RESEARCH FINDINGS

Most of the appraisees find problem in selecting their KRAs. Some appraisers dont help their appraisees in selecting the KRAs as they think its not their work. Formal feedback is given by the appraisers on day- to- day basis. Job related training is given to the executives and they think it really helps them in their further growth. Most of the executives are satisfied with the current scenario of performance appraisal as compared to older one.

CONCLUSIONFrom the research it has been concluded that most of the executives who are not satisfied with the present performance appraisal system are the executives from E1 to E3 level as they think it is quiet complicated. They find problems in selecting their KRAs from the KRA master as there are so many KRAs and they have to select the KRAs which are related to their work. Appraises also want that the score of Part- B of E- Map should be known to them and the basis on which their score is given. But appraisers feel that the score of Part B should not be known to appraises as the think it is the only way by which some how they can control the behavior of the executive. Appraisers dont have any problem with this system as they are quite experienced.Appraisers give proper feedback to their appraises on day today basis and proper training or challenging tasks are given to improve their performance. mainly the formal training is given at the time of joining the organization but if the employees face any problem later at the time of their job, their superiors help them in resolving their problems at the same time. But some appraises feel that they are not given proper feedback and even they dont want any feedback as they think that they know their work very well.

SUGGESTIONS

Proper training program should be conducted about the E-Map system for the new trainees.1. Whenever there are any changes in the KRAs the executives should be informed about it in advance.2. Executives should be know that on what basis they performance is being measured in Part-B as this plays an important role at the time of their promotion.3. Some personality development trainings should also be provided apart from mere job oriented training.

LIMITATIONS

Little co-operations of some person due to conservative mind.

Some people have no time to give answer.

Sometimes people do not tell truth and fill it just for fun sake.

ANNEXURE

Dear Sir / Madam, I,amVakil Kumar Yadav a student of RAJ, SMS, Varanasi. I am doing summer training on the topic Performance Management System in B.H.E.L, Varanasi.This survey is for study purpose only and the information provided by you will be kept strictly confidential.

Date : Initial :

QUESTIONNAIREQ1. Are you satisfied with the present performance appraisal system (E-map)?a. Highly Satisfied b. Fairly Satisfied c. Partially Satisfied d. Not Satisfied Q2. Do you think that the present system is effective / better than the previous AppraisalSystem?a. Highly Agree b. Fairly Agree c.Partially Agree d. Disagree Q3. Does this e-map system reduces biasness as per your opinion?a. Highly Agree b. Fairly Agree c.Partially Agree d. Disagree Q4. As an appraisee do you face any problem while selecting the KRAs?a. Highly Agree b. Fairly Agree c.Partially Agree d. Disagree Q5. Does your appraiser helps you in selecting the KRAs?a. Always b. If Needed c. If Asked d. Not at all

Q6. Do you think the present list of KRAs cover all aspect of your job? a. Highly Agree b. Fairly Agree c. Partially Agree d. Disagree Q7. Do you think the part B of e-map system should be transparent to an appraisee?a. Highly Agree b. Fairly Agree b. Partially Agree d. DisagreeQ8. Do you get any informal feedback regarding your performance?a. Always b. If Needed c. If Asked d. Not at all Q9. Does the training helps you to improve your performance? a. Highly Agree b. Fairly Agree c. Partially Agree d. Disagree

BIBLIOGRAPHYBooks of these kinds naturally proved to be very helpful by dealing with subject matter that is presented here.BOOKS Research Methodology, R. Panneerselvam (2008), Research design, Sixth Edition 2008, Prentice Hall of India Pvt. Ltd. Publishers. pg. 285-298 Kothari, research methodology, new Delhi ,vikas publishing house pvt.ltd.pg 125-128,150-154

Annual Reports of BHEL of 2012-2013 pg 4,8,10,15,16,18,20,22

General Articles of BHEL (HERP), Varanasi of 2013-2014

WEBSITE www.bhel.com as on 30th July 2015 www.indianinfoline.com as on 30th July 2015

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Appraiser Screen Part A (New feature)Submit option takes you to Part B of the AppraiseeNew feature for proceeding to Part-B

Appraiser Screen Part B ( New screen)List of Skills and Competencies applicable to the Appraisees Grade appearsin the Part B Screen

Appraiser Screen Part BBottom of the ScreenReviewer Screen Part A

Scores of Part A as given by Appraisee and Appraiser are visible. The Score which Reviewer will give also get calculated and displayed dynamically. The percentage distribution of Part A and Part B Scores for the individual also get displayed at the top of the screen

Reviewer Screen Part BAppraiser Score on all Part B parameters and Comments appears. Reviewer to enter his inputs in the blank boxes.

Reviewer Screen Part BReviewer can see the Total Score as given by himself and the Appraiser, give his feedback on Integrity of the individual, enter remarks & overall comments & Save.

Accepting Authority ScreenThe report Status of Scores of entire Team is available to the AAto view the Final Scores of all executives for whom he has been markedas AA.

Appraisee Screen Final Review (as existing)The Normal Final Review Screen for the AppraiseeAppraiser Screen Part A (as existing)

Part A Screen remains the same for Appraiser