Akanksha Performance Appraisal[1] Project Report

HINDALCO INDUSTRIES LTD

Our Vision

To be a premium metals major, global in size and reach, with a

passion for excellence.

Our Mission

To relentlessly pursue the creation of superior shareholder value by

exceeding customer expectations profitably, unleashing employee

potential and being a responsible corporate citizen adhering to our

values.

Our Values

Integrity

Commitment

Passion

Seamlessness

Speed

pg. 1

THE MARKET LEADER

Hindalco is a leading domestic player in two metals business segments — aluminum and copper.

The aluminium division's product range includes alumina chemicals, primary aluminium ingots

and billets, wire rods, rolled products, extrusions, foils and alloy wheels.

The company has a significant market share in all the segments in which it operates. It enjoys a

domestic market share of 42 per cent in primary aluminum, 63 per cent in rolled products, 20 per

cent in extrusions, 44 per cent in foils and 31 per cent in wheels.

As a step towards expanding the market for value-added products and services, Hindalco has

launched several brands in recent years, which include Aura for alloy wheels, Freshwrap for

kitchen foil and Everlast for roofing sheets. Our exclusive showroom, The Aluminium Gallery,

seeks to promote Hindalco products to its customers. It is a platform for the company to

showcase quality products to a quality audience in an appropriate ambience. The exhibits include

products like windows, doors, furniture, ladder, roofing sheets and ceiling and cladding panels.

Hindalco's products are well received not only in the domestic market, but also in the

international market. The company's metal is accepted for delivery under the high grade

aluminium contract on the London Metal Exchange (LME). The company exports about 17 per

cent of its total sales volume of aluminium.

pg. 2

The Company’s alumina chemical business is a leader in manufacturing and marketing of

speciality alumina and alumina hydrate products in the country. It has a major market share in

the country. These speciality products find wide usage in diversified industries including water

treatment chemicals, refractories, ceramics, cryolite, glass, fillers and plastics, conveyor belts

and cables, among others. The company also exports these alumina chemicals to over 30

countries covering North America, Western Europe and the Asian region.

Birla Copper, Hindalco's copper division at Dahej in Gujarat, enjoys a leadership position in

India, having built over 40 percent of the domestic market share within three years of its

commissioning. It has also made successful forays into the export markets of the Middle East,

Southeast Asia, China, Korea and Taiwan.

The copper plant produces world-class copper cathodes, continuous cast copper rods and

precious metals. Sulphuric acid, phosphoric acid, di-ammonium phosphate, other phosphatic

fertilizers and phospho-gypsum are also produced at this plant.

Hindalco businesses — Share of net sales value 2006-2007

Aluminium

pg. 3

key products and brands

locations capacities country

Hindalco Industries Ltd.

alumina chemicals Renukoot (Uttar Pradesh), Muri (Jharkhand), Belgaum (Karnataka)

1,160,000 tpa India

primary aluminium Renukoot, Hirakud (Orissa), *Taloja

489,000 tpa

extrusions Renukoot, Alupuram 27,700 tpa

rolled products Belur (West Bengal), Taloja (Maharashtra), Renukoot, Mauda (Maharashtra)

200,000 tpa

wire rods Renukoot, Alupuram (Kerala)

64,400 tpa

aluminium foil Silvassa (Dadra & Nagar Haveli), Kalwa (Maharashtra)

11,000 tpa

aluminium wheels Silvassa (Dadra & Nagar Haveli)

300,000 pcs

*For Taloja recycling plant

Indal (subsidiary of Hindalco)

foil rolling

Kollur (Andhra Pradesh) 4,000 tpa

COPPER

pg. 4

key products and brands

locations capacities country

Birla Copper (Hindalco Industries Ltd.)

copper cathodes Dahej (Gujarat) 500,000 tpa India

continuous cast copper rods

97,200 tpa

sulphuric acid 1,670,000 tpa

phosphoric acid180,000 tpa

gold (Birla Gold) 15 mt

silver (Birla Silver) 150 mt

power 135 mw 

DAP and complexes (Birla Balwan)

400,000 tpa

Hindalco Industries Ltd. (Aditya Birla Minerals Resources Pty. Ltd.)

copper cathodes Nifty mines 25,000 tpa Australia

copper in concentrate Mt. Gordon mines 40,000 tpa Australiapower Mt. Gordon mines 28 mw Australia

Landmarks

pg. 5

2007

India Today Group's Readers Digest Gold Award 2007 in recognition of the work that truly exemplifies the highest values of society as well as those of Reader's Digest at the Pegasus Corporate Social Responsibility Awards.

Hindalco awarded the CII - Sorabji Green Business Centre "National Award for Excellence in Water Management 2007".

In May 2007, Novelis became a Hindalco subsidiary with the completion of the acquisition process. The transaction makes Hindalco the world's largest aluminum rolling company and one of the biggest producers of primary aluminum in Asia, as well as being India's leading copper producer.

2004

Hindalco receives, India CFO Award 2004 for excellence in finance in a large corporate.

2003

Hindalco receives the Asian CSR Award for its "Rural Poverty Alleviation Programme". The Asian CSR Awards are Asia's premier awards programme on Corporate Social Responsibility.

HR VISION

pg. 6

To provide an enabling environment where employees’ competencies are nurtured and harnessed towards sustainable

business growth and leadership.

HR MISSION

To proactively assess and provide services for the HR needs of the business & customers for the attainment of organizational goals.

HR OBJECTIVES

To collaborate with and support internal Customers of HR services viz. effective manpower planning, ensuring harmonious industrial relations etc.

To review and redesign the structure of the organization with clarity of role, responsibilities and accountability for overall organizational effectiveness and speedy response to emerging business challenges.

To develop knowledge and skills of the employees’ and groom leaders with functional and business competencies to meet future demands of the organization (viz. flexibility and change management).

To benchmark best HR practices in order to enhance Human Resource effectiveness.

To enhance employee productivity through rationalization of jobs and manpower optimization.

pg. 7

To promote employee involvement in decision making, team working, creativity and empowerment.

To institutionalize transparency by framing, updating and communicating systems and processes.

To maintain good liaison with government/ external agencies in order to better serve the organizational cause.

To provide a safe and healthy work environment and continuously benchmark and update the standards of safety and hygiene; and

To work towards improving the quality of work life of employees and the life of their families.

HR Department Structure

pg. 8

The following diagram describes the departmental structure. The chart illustrates various

positions in the HR department at HINDALCO Industries Ltd.

PREAMBLE

Performance management system (PMS) is the heart of any “people management " process in

organization. Organizations exist to perform. If people do not perform organizations don't

pg. 9

survive. If people perform at their peak level organization can compete and create waves.

Performance management systems if properly designed and implemented can change the course

of growth and pace of impact of organizations.

Performance management is process of goal setting, mentoring, coaching and evaluating

performance. This system is important to the organization because the employees are

accountable for achieving results that are clearly tied to organizational goals. Information about

linkage between mission goal and individual accountability is reviewed during the performance

management process. The system also incorporates performance plans which have specific

business results with clear measures of performance.

Hindalco Industries has an online performance management system portal developed in

POORNATA which is a Peoplesoft HRMS 8.9 implementation project. This system was

implemented 2 years ago. This system was taken up for project study, as it is an upcoming

technology in all industries, to gain information about the process, its importance and to

understand the various modules included in POORNATA. The understanding of online

performance management system is of utmost importance as the trend of implementing HR

policies through system driven program to achieve organizational goals is increasing. The Aditya

Birla Group also backed the best employer award, so I found it necessary to study the human

resource management system at HINDALCO INDUSTRIES as it is one of the important

component in the policies of the group.

The project includes the study and evaluation to check the effectiveness of the online

performance management system. The effectiveness was evaluated through a questionnaire,

which included questions based on the online Performance management process. This

pg. 10

questionnaire was administered to a sample of 50 employees and the data was collected for

analysis. This survey was undertaken to find out the loop holes in the system, areas where the

employees have difficulty in operating the system, any changes employees want in the system

and overall feedback about the online system.

I had to scan 10 pages before I could reach the Preamble. I would rather use the conventional title of Introduction.

Pages 1-9 should come after the introduction, in a project report.

I did not see any title page or contents’ page.

I hope you have seen the links I have suggested on writing dissertations or project reports.

The methodology section is good; succinct and you have explained why you selected the methods chosen. However, in the tabulation, you should have shown the number of staff in each of the sections. That would have helped the reader to assess if you really used ‘Quota Sampling’.

pg. 11

OBJECTIVE OF THE STUDY

To study and evaluate the effectiveness of overall online performance management system.

Reasons for the study

Study the HRMS at HINDLACO INDUSTRIES LTD.

Critically evaluate the effectiveness of online Performance Management System.

To get the feedback of the employees on the online Performance Management System.

pg. 12

RESEARCH METHODOLOGY

Primary Data Source:

The source of primary data in the research was Structured Questionnaire. This method of

collecting data by mailing the questionnaire to respondents is most extensively employed in

various economic and business surveys. This method of data collection was chosen because:-

As the employees are located at different geographical location so, the method was low in

cost and adequate.

It is free from the bias of interviewer, answers are in respondents own words.

Respondents have adequate time to give well thought answers.

The questionnaire developed for the study included the Five Point Rating Scale. The scale items

were-

5- Strongly Agree

4-Agree

3- Neutral

2- Disagree

1- Strongly Disagree

Items in the questionnaire were included depending upon the various aspects of e-PMS in

POORNATA Portal at HINDALCO Industries Ltd.

pg. 13

Secondary Data Source

Source of secondary data were various books, reckoner and websites.

Sample Size

The sample size selected was of 50 employees.

Sampling Design & Technique

The sampling design was the Non- Probability Sampling. In this type of sampling items for the

sample are selected deliberately by the researcher; his choice concerning the items remains

supreme. In other words, under non-probability sampling the organizers of the enquiry

purposively choose the particular units of the universe for constituting a sample on the basis that

the small mass that they so select out of the huge one will be representative of the whole. In

small enquiries and researches, this design may be adopted because of the relative advantage of

time and money inherent in this method of sampling.

Quota Sampling was adopted as the sampling technique. In this technique, the interviewers are

simply given quotas to be filled from the different strata with some restrictions on how they are

to be filled. The actual selection of the items for the sample is left to the interviewer’s discretion.

This sampling is very convenient and relatively inexpensive.

Sample Distribution Hindalco Industries limited

Total population=200(Metals+Marketing)

Sample size selected=50(25% of total population)

Total no. Of respondents= 40

Non-respondents= 10

pg. 14

METALS

DEPARTMENT NO. OF EMPLOYEES

CPO-MET 3

BUSINESS IT-MET 6

TREASURY AND ACCOUNTS 3

RISK MANAGEMENT 1

OFFICE OF CFO 5

BH-MET 5

DIRECT TAX-MET 1

PROJECT-MET 1

MARKETING

pg. 15

Everlast -HHM 3

Business Finance Domestic- HHM 2

ERP- HHM 1

Regional Extrusion-HHM 5

IT-HHM 2

Rolled Export Product Head-HHM 3

Regional Rolled Domestic –HHM 4

Territory Rolled Delhi- HHM 1

Territory Primary – HHM 1

CMO- Marketing Hindalco 1

Export –MHO-HHM 1

Regional Primary 3

The sample consist only the management cadre employees like the secretary, deputy manager, manager, general manager, assistant manager, officer, senior manager, vice president etc. It does not include the supervisory level staff as the online PMS is applicable only to the management cadre employees.

pg. 16

INFORMATION AND ANALYSIS

Theoretical framework of the topic

Performance Management System

Performance management system is the process of performance planning (goal setting),

performance mentoring, coaching, measuring (evaluation). Individual performance linked to

organizational goals, giving him/ her feedback, rewarding the individual achievements against

set performance goals and required competencies, and working out a plan for his/ her

development.

The system of Performance Management for an organization is a strategic and integrated process

that establishes a culture of sustained success by improving the performance of the people who

work in them and by developing the capabilities of individuals’ contributors and teams.

Performance Management ….

Aligns individuals goals to organizational goals

Is a tool to channel employee efforts in the right direction and get work done

Ensures clarity of role to be performed

Encourages feedback and creates an environment for development

Facilitates better understanding and rapport between manager and team members

Measures and assesses all performance against jointly agreed goals.

pg. 17

Performance management has two objectives-

Evaluation objective: To provide feedback to individuals on their performance levels and on current

competency levels.

Performance evaluation and assessment of the readiness of an individual to take on higher

responsibilities

To generate data required for decisions on compensation, training etc.

Development objective: To counsel and coach subordinates so that the improve their

performance and develop competencies

To motivate subordinates through recognition and support

To strengthen supervisor subordinates relations

To diagnose individual and organizational competencies, so that actions can be taken on problem

areas

To define the training requirements based on individual competency

pg. 18

Linkage of performance management system to various other processes

The theoretical framework section is very shallow. There is hardly any reference to any work that you have referred. If it is for an academic purpose, it needs beefing up.

pg. 19

Performance Management System

Performance Assessment Promotion/ Upgradation

Job rotation and Transfer

Training and Development

Compensation Management

PROJECT STUDY

Introduction to POORNATA

POORNATA is a Group wide People Soft HRMS 8.9 implementation project. This project was

started in May 2005 with the functional and technical training; it was implemented in 18 months

from the start date. The purpose of this project is to implement HR policies through a system

driven program, to achieve organizational objectives. POORNATA is implemented across 78

domestic units and 26 units overseas. It covers all management cadre employees across the group

and all employees for transworks, approximately 1600 employees.

Objectives

Poornata automates and standardizes HR processes across the group for all management

cadre employees.

Poornata introduces best- in- class HR processes through out the group.

Poornata gives employees access to data which was hitherto available only to the HR

department and thus enables them to plan their own development.

Poornata also gives managers access to information about their direct reports and thus

enables managers to plan the development of their direct reports more proactively.

Scope of POORNATA

Modules included in POORNATA are:

Recruitment

Workforce Administration

pg. 20

Position Management

Compensation

Performance Management System

Enterprise Learning Solution

Talent Management

Significance of POORNATA

1. Employees

Empowers employees by making development self driven.

Creates career opportunities for employees by enabling knowledge sharing of likely

vacancies and jobs amongst varied businesses.

2. Business

Delivers faster services.

More- database decision-making.

Put Line Managers in control of People and development.

3. Group

Takes the group to a league of Global Organizations with cutting edge HR-ERP

operational that enables seamless delivery of common HR processes a diversified multi

location group.

Builds employer brand.

pg. 21

4. HR Department

Enables faster service delivery.

Facilitates continuous improvement.

Builds a more professional image.

Makes HR department more data driven.

The online Human Resource Management System at HINDALCO is called as

“POORNATA” .This on- line Performance Management system enables the group to

proactively manage their performance appraisal .The module delivers maximum business benefit

by helping an employee and manager to set goals and track them on an ongoing basis.

The Performance Management business process includes the following basic steps-

1. Identification of goals for the next year.

2. Review of performance against goals set for current year.

This guide is both a reference tool for use in your day- to- day role and also a training manual. It

is a common appraisal process, an automated, system driven; goal focused and standardized

process across the group. Performance management at Aditya Birla Group will be focused to-

1. set goals for coming financial year

2. half- yearly review of performance

3. Annual appraisal.

pg. 22

Performance Management system in POORNATA includes the following basic processes:

1. Annual goal setting: in the months of April/may every year, after the annual planning

and budgeting rounds, all teams will identify their KRAs and Goals for the forthcoming

financial year. This process will largely happen off-line. An employee will fill in his Goal

Setting Document in Poornata System, listing the KRAs, Goals, and Measurement Criteria

and due date for completion of specific goals. He will then notify the same to his manager.

The

Manager recommends changes and approves the document. The approved document is

available to the employee and his manager for reference throughout the year.

Organizational Goal Setting:

Individual Goal Setting:

pg. 23

Start

Senior Management sets Annual Organizational Goals

Function Head sets Annual Departmental goals

Employee with Manager sets Individual goals

A

Employee and Manager get a view only access of the job description while assigning KRAs

Employee sets goals and assigns weightages and measures

Manager agrees

Goal setting document is finalized

B

2 Mid- Year Review: of goals set at the beginning of financial year will be held in the months of

October/ November every year. It will be initiated by manager. The main focus of the mid year review is

to check if the goals set at the beginning of the year are relevant or if they need to be updated. It gives an

opportunity to Manager and his team members to identify and discuss about any performance issues,

initiate corrective action for the same.

2. Annual Performance Appraisal: against goals set and achieved will be held during the

months of April- May every year. The employee will complete his self appraisal against

goals set online in the Poornata System and submit the same to his manager for review. The

manager will discuss the performance of employee offline, give him feedback on his

performance and capture his own comments and performance ratings. The document is send

to the HR department for further processing.

Hindalco has two types of employees on payroll and on contract. Payroll employees are of

two types- Management employees (Job band 11- Executives) and Supervisory employees

(S3- S1 level). POORNATA system covers only management level employees. POORNATA

is under HRMS. It has various employee and manager self- service options like personal

information, recruitment, enterprise learning solutions, performance management system,

and talent management system.

pg. 24

HR Administrator sends email to all employees and managers to initiate half yearly review

Manager will reopen the document

Employee goes to ‘goals’ edit details and enter the ‘status’ and ‘complete percent’

Manager reviews the results against the agreed goals

C

D

Three different people are a part of POORNATA:

Employee

Manager

Administrator ( Human resource department)

The administrator of the system is the HR department, it has the accountability and responsibility

for the entire process .POORNATA has different modules they are- work force administration,

recruitment, and performance management system and position management.

The performance management system process is completed in POORNATA by an employee

(employee self service) and by manager (manager self service).As the system includes 3

processes. The first process is Goal Setting, mid year review and Annual performance appraisal.

There are nine sections in Performance document: Job Purpose, KRA, Goals, Value, Overall

Summary, Employee Comments, and Manager Comments, Training need identification, Career

Aspiration.

Both the employee has to log on to www.portal.poornata.com by giving their User ID and

Password and then access the document through HRMS > Self service> Performance

Management> My performance document> current document > ABG Performance Document

Performance Management Process in POORNATA by Employee

The goal setting process starts with defining the job purpose, the KRAs and then the goal is

finally set. Goals include the job description, start and end dates, measurement criteria of the

goal, giving weightages to each goal, stating the progress status of the goal (initially not started

status). The second process is the mid year review, the HR department will notify to start the mid

pg. 25

year reviews, the goal status (in progress/ complete, percentage achieved will be updated by the

employee. The last process is the Annual performance appraisal, here no updates are made to

thejob purpose and KRAs, only the goal status is updated (100% achieved, complete status). The

employee gives his comments stating all the facilitating and hindering factors in achieving the

goals, after which employee gives rating to each goal on a 5 point rating scale-

5- Far exceeds expectation

4- Exceeds expectation

3- Meets expectation

2- below expectation

1- Far below expectation

After the goal rating is completed, a goal summary is given by the employee; mid year review

comment is given by the employee. Next the employee rates the values (commitment,

seamlessness, integrity, speed, passion) with the following rating scale-

* Needs improvement

** Meets standards

*** Strength

The next step involves training need identification i.e. the training employee needs in the coming

year and the career aspirations (short term as well as long term) are identified.

pg. 26

The performance management process in POORNATA by manager.

Now the Manager reviews the goals set by the employee, mid year performance status and

annual performance appraisal of the employee is reviewed and appraised.

The manager reviews the job purpose, KRAs and goals along with weights, after receiving an

offline e-mail from HR administrator to initiate half yearly assessment; manager will reopen the

performance document and will review the current status of the completion of each goal. Annual

Performance review is done by the manager. The manager will review the document of

employee by logging in to the POONATA portal. The employee will be evaluated by the

manager by rating the employee’s performance against each goal by selecting a rating from the 5

point rating scale and by rating employee’s performance against each value by selecting a rating

from the scale.

Training needs and career aspirations will be identified by the manager. By clicking on the

calculator icon, the overall rating will be available to the manager. Manager will then forward

the document to the HR department for further processing.

The HR department gets a prenormalised report which has a rating to be given to the employee.

In case the rating finalized by the moderation committee is different as compared to the one

given by the manager, the HR department would deny the document. The prenomalisation

process has 3 people involved – the HR administrator, Top management level employee and

department head. The prenomalisation process is based on –

How the manufacturing industry has performed

How the company has performed

How the unit has performed

pg. 27

How the department has performed

How the functional unit has performed

How the team has performed.

When there is a new employee the HR department conducts induction program for employee self

service and manager self service to access POORNATA and refresher training program is

conducted by the department 15 days prior to the appraisal process in the organization.

Various Modules in POORNATA

1. Personal Information :

Employee self service- employee self service is used by the employees to view and update their

own information in POORNATA. Information pertaining to Name, address, marital status,

education, honors and awards, languages, licenses, memberships, email-id , phone numbers,

emergency contacts. There are 3 kinds of processes to update information through employee self

service.

Process without approval or notification

This updating of information does not need the approval of HR administrator.

pg. 28

Employee updates

a. Phone number

b .Email address

c. Emergency contact number

Database updated

Process with HR notification

Process with HR approval

pg. 29

Employee updates

a. Education

b. Honors& awards

c. Languages

d. Licenses& certificates

e. Memberships

Database updated

Supervisor notified

HR administrator

notified

Employee updates

a. Name

b. Address

c. Marital status

HR to approv

e

Database updated

Employee notified

Name- employee submits a name change request online, he/she must provide sufficient proof to

the concerned HR manager to get an approval like, marriage certificate, divorce certificate.

Manager self service- the e-Profile manager desktop in POORNATA is a web based application

that allows the managers to view personal and job related data of all the employees to them. The

manager can view the details

of the employees reporting to them with the help of manager self service. Following details can

be viewed by a manager using manager self service – Name, address, marital status, education,

honors& awards, languages, licenses, membership, email ID, phone numbers, emergency

contacts.

2. Recruiting:

Manager self service- creating a job opening, the hiring manager is typically a line manager who

is of a department head and above level. The process flow is as follows-

pg. 30

Manager selects the employee whose data he/she wishes to see

Manager clicks on the hyperlinks to view the data

Hiring manager initiates job opening

Adds job details: BU, Position, Location, Salary, Staffing &

hiring team information

System sends job opening details to the supervisor of the hiring manager for approval

Employee self service- The process flow is as follows-

The employee views the job postings on the careers page through self service.

3. Interview calendar and Evaluation

Employee self service- recruiter schedules interview for an applicant

a. Interview calendar

b. Interview team schedule

c. Interview evaluations

- job band 10 & below

- job band 7,8 &9

- job band 4,5 &6

- job band 3 & above

pg. 31

Employee views job details posted in portal

Employee applies by filling online application form

Employee submits application form

3. Enterprise learning solution:

Employee self service- POORNATA that enables, the group to proactively manage their

learning environment, ensuring that employees acquire knowledge and skills, consistent with

corporate objectives. Employee learning solution will focus on session based trainings.

Employee learning solutions process at Aditya Birla Group is used for entire range of end- to-

end training process. The objective is to standardize and automate training processes across the

group-

- to create and foster a learning culture.

- to enable the learners to plan and review their learning.

In employee learning management system employee can enroll himself to an activity according

to the training needs identification and objectives assigned to him. His/ her manager will approve

or decline the activity to be attended by him / her .If approved then learner can attend the

activity.

Manager self service- manager can browse or search the catalog for activities and programs in

which to enroll and register any team member directly reporting to them. They can add activities

to employees learning plans and enroll the employees in the planned activities later.

4. Talent management system:

Purpose- the Talent Management system (TMS) within Poornata enables the group to proactively

manage talent. The module delivers maximum business benefit by helping a Manager to assess

competencies and track them on a going basis. The talent management business process as

envisaged in the system focuses on the potential and competencies associated with the role of the

employees.

pg. 32

Competency Evaluation Cycle- competency evolution form will include evaluation of the

employee on set of competencies which are attached to his/her job profile. Each position will be

linked to a job profile where competencies will be defined based on the current role and

responsibilities.

pg. 33

Manager will evaluate the employee on the pre defined competencies defaulting in the competency evaluation form and give potential

Submits the document for approval to the reviewer

Reviewer

Reviews

Reviewer approves and submits it to HR Administrator

HR Administrator process the document

RESEARCH ANALYSIS-

A survey was undertaken to study and evaluate the effectiveness of online performance management system. The data obtained is analyzed below.

Graphical Presentation

Table 1- Graphical representation of percentage responses of employees on the parameter

‘Clarity in understanding’ the online performance management system.

pg. 34

Table 2- Graphical representation of percentages responses of employees on the parameter

‘external factors’ in the online performance management

Table 3- Graphical representation of percentages responses of employees on the parameter

‘career growth’ associated with the online performance management system.

pg. 35

Table 4- Graphical presentation of percentage responses of employees on the parameter ‘timely

notification’ associated with the online performance management system.

Table 5- Graphical representation of percentage responses of employees on the parameter

‘Grievance redresses’ related to the online performance management system.

pg. 36

Table 6- Graphical representation of percentage responses on the parameter ‘ satisfaction with

goal setting and weightages given’ in the online performance management system.

The above shown graphical presentation shows the percentage distribution of responses on the

parameters set to check the effectiveness of the online performance management system. The

percentage responses are calculated based on the responses given by the employees on the five

point rating scale.

pg. 37

Table 7- Pie- chart distribution table presenting the percentage distribution of ‘Agree

Responses’ to the parameters set on the online performance management system.

pg. 38

FINDING AND OBSERVATION

The sample study was undertaken to check the effectiveness of the online Performance

Management System.The sample taken up for the study was of 50, out of which 40 respondents

gave their feedback.

A structured questionnaire was developed with five point rating scale.The no. of questions

included were 19 .These questions are put under six parameters which are as follows, 1. Clarity

in Understanding 2. External Factors 3. Career Growth 4. Timely Notification 5. Grievance

Redressal 6. Satisfaction with goal setting and weightages given. Let us analyse each parameter

in detail.

Clarity in Understanding- this includes questions pertaining to the navigation path given, to

operate the Performance Management System in HRMS ( Poornata) and the manager assists the

employee in getting a clear idea of the task to be performed. 40 respondent’s feedback on this

parameter shows that 66.25% of respondents agree with the parameter and 30% strongly

agree ,2.5% disagree and 0% strongly disagree with the set parameter. This indicated that

maximum no.of employees have clear understanding of operating the online performance

management system and the tasks to be performed.

External Factors – This parameter includes factors which are external to the online performance

management system. The questions related to feedback on goal setting, basis of final rating,

facilitating and hindering factors in performance are taken into consideration. The percentage

responses are as follows, 58.33% agree, 22.5% strongly agree, 11.66% disagree, 0% strongly

disagrees and 10% neutral. This clearly indicates that external factors are also taken into

consideration other than those included in the system.

pg. 39

Career Growth- this parameter essentially deals with whether the online performance

management system helps to appraise factors related to the career aspirations, future

performance improvement, career planning and rewards of the employees in the organization.

The responses are as follows, 59.37% agree, 16.25% strongly agree, 13.12% neutral, 10%

disagree and 0.625% strongly disagree. This clearly indicates that career growth is taken into

account by the online performance management system.

Timely Notification-with this parameter feedback was taken to check factors like timely updates

given by the HR dept pertaining to the online performance management system and the deadlines

set to complete the performance document in the online performance management system. The

responses are as follows, 52.5% agree, 18.75% strongly agree, 13.75% neutral, 7.5% disagree

and 6.25% strongly disagree. This clearly shows those employees are given proper notifications

when required.

Grievance Redressal- This parameter deals with factors like, addressing the doubts and queries

by the Performance management system operator and whether the employees feel free to express

their disagreement regarding the appraisal decision, are taken into consideration by the online

performance management system. The responses are as follows 67.5% agree, 17.5% strongly

agree, 18.75% neutral, 5% disagree and 1.25% strongly disagree with the set parameter. This

clearly indicates that employee’s grievances are properly addressed.

Satisfaction with goal setting and weightages given to the goals- This parameter includes

factors related to goal setting, weightages given to the goals, time period set for goal setting, key

result areas associated with goal setting which is performed in the online performance

management system. . The responses are as follows 63.12% agree, 20% strongly agree, 6.87%

neutral, 4.37% disagree and 0.62% strongly disagree with the set parameter.

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Figure 7 illustrates the overall percentage of employees satisfaction with the parameters defined

in the questionnaire relating to the online performance management system. It can be seen that

the maximum satisfaction and agreement is with the “Goal Setting” parameter i.e. 24%. This

means that, the process of goal setting and assigning weightages to the respected goals is

adequate in the online performance management system. Employees agree that, goals are set and

with mutual agreement between the manager and the employee. Employees also agree to the

point that, the weightages given against respective goals is adequate and the goals are also

revised based on changing business needs of the organization.

The maximum dissatisfaction is seen with the parameter “Timely Notification” i.e. 10%. This

indicates that employees are not very satisfied with the updates that they receive from the HR

regarding their case. Employees also exhibit dissatisfaction with the deadlines set to complete

and submit the performance documents.

But the study and analysis did reveal that the online performance management system is

effective one.

Rather than place all the exhibits together and then discuss what they mean, it

would be better to comment on the findings exhibit by exhibit. But make sure

that you do not just repeat what can be seen in a bar chart or a pie chart.

Summarise the findings, i.e. rather than say certain % strongly agreed, etc. ,

combine the findings into couple of key groups. First present all the findings

and then have a separate section for discussing the implications. You also have

not said how you grouped the 19 items into 7 categories and why? What

weights did you give each of the items in a construct, and why such a

weighting?

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CONCLUSION-

From the above data it can be observed that the online performance management system at

HINDALCO INDUSTRIES LTD is extremely effective. Employees are satisfied with the online

performance management system and the coverage given to various factors of performance

appraisal.

LIMITATIONS OF THE STUDY The study performed encompasses following limitations:-

1. The sample size selected was 50 out of the total population of 200; hence the study and evaluation cannot be generalized to the whole population.

2. The sampling does not include all the divisions of HINDALCO INDUSTRIES LTD.

3. As the survey was conducted online, no personal interview was taken.

4. Due to the non respondents few aspects of the research analysis got defeated.

5. As the sampling technique is Quota sampling, statistical analysis cannot be performed.

There is problem with on-line surveys? How do you know who responded?

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SUGGESTIONS –

According to my observation following suggestions should be taken into consideration,

It is customary to avoid writing in first person.

Gap Analysis- Training needs are given by the employees online, once the identification

is done and training is imparted to the employees, some feedback about the training is to

taken from the manager and the respective employee. Feedback in terms of whether the

program met the objective, did it make value addition to the knowledge of the employee

and its application in the present job should be undertaken. Thus the gap between training

need identification and imparting of training should be analyzed.

Quarterly performance reviews should be undertaken for short term goals.

Some employees are not satisfied with the updates given by the HR department related

to their case, while assessing the online performance appraisal system. Thus proper

feedback should be given to the employees to further increase the effectiveness of the

system.

Training need identification should be done half-yearly, so that it helps the employees in

improving the performance in the remaining time period.

The career growth factor should be given more attention in the online performance

management system. As 13.12% neutral and 10% disagree responses are observed in the

study, which means that some percentages of employees are not satisfied with their career

growth. This factor is important, from the view of employee performance and retention.

pg. 43

ANNEXURE-

Blank questionnaire and five copies of the filled in questionnaire by the employees attached.

pg. 44

BIBLIOGRAPHY

Sahu, R.K., Performance Management System, New Delhi, Excel Books, 2007

Kothari, C.R., Research Methodology, New Delhi, New Age International (P) Ltd., 2008

www.adityabirla.com/the_group/heritage.htm

www.adityabirla.com/the_group/corp_hrcell.htm

www.adityabirla.com/the_group/corporate_cells.htm

www.adityabirla.com/the_group/management.htm

www.adityabirla.com/the_group/our_values.htm

www.adityabirla.com/the_group/milestones.htm

www.adityabirla.com/products/index.htm

www.hindalco.com/products/overview.htm

POORNATA for me, ePMS Reckoner

sections. The mere fact that you have listed only a book each on PMS and

Research Methodology shows that you did not do enough literature survey

before conducting your project.

Overall a creditable effort has gone in. But as an academic, I would like to see

a bit more literature survey added to say why the project is of importance.

You also should say when you accessed the web pages. Pl see my post on

Research Methodology, where I have attached ppt slides.

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Wish you all the best.

Narasimhan

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