project work of shailesh gururani

8/7/2019 project work of shailesh gururani

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A

PROJECT REPORT

ON

The Performance Appraisal System

In

Indian Glycols Ltd., Kashipur

for the partial fulfillment of the

Degree of the

Bachelor of Business Administration

SUBMITTED BY: -

Shailesh Gururani

BBA IVth sem

Kumaun University, S.S.J. Campus Almora 2010


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Students Declaration

I, Shailesh Gururani declare that the project report prepared and submitted by me, is my original workand the observation and suggestion in this report are based on the information collected by me duringmy survey period.`

(Name & full signature of the student)

Shailesh Gururani


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PREFACE

At INDIA GLYCOLS LTD., KASHIPUR, the employees are considered as most valuable asset andstrength for sustained growth in the development of the company. It believes in the testingcontinuously in human resources for employees personal growth. Young professional leads the

company .It has an open work environment, which is achievements oriented and its driven byautonomy and receptive to innovations.

Like any other organization, INDIA GLYCOLS LTD.,KASHIPUR has framed Rules, Regulation,Policies and Systems etc.for running the business smoothly.India Glycols Ltd.,Kashipur has alsointroduced various schemes for the welfare of employees. For smooth business operations and to takeadvantage of the benefits under these schemes, it is necessary that every employee understand theseRules, Regulations, Policies, Systems and Schemes fully andclearly.

ACKNOWLEDGEMENT

In difficult moments, behave like duck, keep calm and unruffled on the surface, but keep

paddling away like crazy underneath

First of all I would like to thank Mr. R.S.Yadav (General Manager) for granting permission to me forthe summ4r training at INDIA GLYCOLS LTD., Kashipur. I would also like to thanks to Mr. S.Devrajan (Senior Manager HR) who provided me sincere guidance at every possible juncture. I wasinfact able to complete my work because of his direction.

Last but not the least; I thank my institute S.S.J. Campus, for providing me with the experience of

performing my project at a reputed company like INDIA GLYCOLS LTD.,KASHIPUR.

Shailesh Gururani

BBA 5th Sem.

S.S.J. Campus, Almora

Almora, Uttarankhand


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CONTENT

CHAPTER I

1. Introduction

2. Objectives of study3. Period of study4. Research Methodology5. Method (Tools of Analysis)6. Limitations of study7. Scope of the study8. Operational definitions of the concept

CHAPTER II

2.1 Industry Profile

2.2 Company Profile

CHAPTER III

3.1 Data Analysis

3.2 Interpretations and findings

CHAPTER IV

4.1 Recommendations

4.2 Conclusion

Bibliography

Annexure


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CHAPTER I

1.1 Introduction

In the so highly competitive and rapidly changing environment to survive the companies need welltrained and skilled worker. India is a very rich country in the term of resources, weather natural ortechnical and scientific .But it is very sad to state that India, till now, has not perfectly learnt how todevelop its man power and tap its human resources for the betterment of its citizenry and businessgoal.

For summer training I got an opportunity to do my summer training in INDIA GLYCOLS LTD.,KASHIPUR because it is one of the biggest, well established and renowned in its field and seriousabout training its worker and intent to make it understood that they really care for them. Time to timetraining and development program are held to evaluate the employee performance

1.2 Objectives of Study

To understand the Performance Appraisal activities of To find out if the Performance Appraisal activities help the employee in his performance. Take the response of employees towards the Performance Appraisal activities carried on upon

them.

1.3SAMPLE SIZE

The sample size is 100 Employees, from INDIA GLYCOLS LTD., KASHIPUR

1.4 PERIOD OF STUDY

The pilot study was conducted during July 2006. The study was done during 3rd JULY to 30th JULY in2010.

1.5 RESEARCH METHODOLOGY

The study was done with the help of primary as well as secondary data. Primary data werecollected through the questionnaire while secondary data were collected through:

Internet Company report


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Brochures etc.

1.6 Scope of the study

The topic chosen Performance appraisal was aimed for the betterment of the organization in terms ofquality as well as quantity keeping in this view in mind the researcher had tried to bring out the scopeof the study the under mentioned points depicts the same.

1. To increase the productivity by increasing the level of performance.2. The program would help the organization in meeting it future personal need.3. The program will help the employee in their personal group by improving their knowledge as

well as skill.

1.7 Limitation of the study

1. Lack of expertise trainer handed in the prosecution of Performance Appraisal program.2. Lack of feeling in people of against the awareness for the Performance Appraisal t

program.3. Search for the exact Appraisal was also difficult to define.

4. Assessment of the Appraisal period was also a tuff work to decide for how long itshould continue


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8. operational definition of the concept

PERFORMANCE APPRAISAL SYSTEM

Performance appraisal is a process of evaluating employee performance for

The purpose of placements, selections for promotions, career planning , financial rewards,motivation etc, performance appraisal seeks to achieve following objective.

To assess the performance, personal attributes and potential of the employee. Performance based rewards in terms of promotion, increments etc.

To identify training needs.

To assess strengths, areas of improvements and give feedback to the employee.


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CHAPTER II

2.1 Industry Profile

India Glycols Ltd comes under the Chemicals though it manufactured Organic - Alcohol based

products too. The core products of the company is chemical

Chemical industry is one of the oldest industries in India. It not only plays a crucial role in meeting thedaily needs of the common man, but also contributes significantly towards industrial and economicgrowth of the nation. Chemical Industry is one of the oldest industries in India, which contributessignificantly towards industrial and economic growth of the nation. It is highly science based andprovides valuable chemicals for various end products such as textiles, paper, paints and varnishes,leather etc., which are required in almost all walks of life. The Indian Chemical Industry forms thebackbone of the industrial and agricultural development of India and provides building blocks fordownstream industries.

Segment Market Value (billion US$)Basic Chemicals 20

Specialty Chemicals 9

High End / Knowledge Segment 6

Total 35

Chemical Industry is an important constituent of the Indian economy. Its size is estimated ataround US$ 35 billion approx., which is equivalent to about 3% of India's GDP. The total investmentin Indian Chemical Sector is approx. US$ 60 billion and total employment generated is about 1

million. The Indian Chemical sector accounts for 13-14% of total exports and 8-9% of total imports ofthe country. In terms of volume, it is 12th largest in the world and 3rd largest in Asia. Currently, percapita consumption of products of chemical industry in India is about 1/10th of the world average.Over the last decade, the Indian Chemical industry has evolved from being a basic chemical producerto becoming an innovative industry. With investments in R&D, the industry is registering significantgrowth in the knowledge sector comprising of specialty chemicals, fine chemicals andpharmaceuticals. The Indian Chemical Market Segment wise is as under: -

The Indian Chemicals Industry comprises both small and large-scale units. The fiscal concessionsgranted to small sector in mid-eighties led to establishment of large number of units in the Small ScaleIndustries (SSI) sector. Currently, the Indian Chemical industry is in the midst of a major restructuring

and consolidation phase. With the shift in emphasis on product innovation, branch building andenvironmental friendliness, this industry is increasingly moving towards greater customer orientation.Even though India enjoys an abundant supply of basic raw materials, it will have to build upontechnical services and marketing capabilities to face global competition and increase its share ofexports.

As the Indian economy was a protected economy till the early nineties, very little large-scale R&Dwas undertaken by the Chemical industry to create intellectual property. The Industry would,


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therefore, have to make large investments in R&D to successfully counter competition from theinternational chemicals industry. India has a number of scientific institutions and the countrysstrength lies in its large pool of highly trained scientific manpower.

2.2 Company Profile

Introduction of the company

India Glycols is a leading company that manufactures green technology based bulk, specialtyand performance chemicals and natural gums, spirits, industrial gases, sugar andnutraceuticals.

The company was established as a single mono-ethylene glycol plant in 1983. Since then,

IGL has brought together cutting-edge technology, innovation and an unflagging commitmentto quality, to manufacture a wide range of products that have found global demand.

IGLs state-of-the-art, integrated facilities manufacture chemicals including glycols,ethoxylates, glycol ethers and acetates, and various performance chemicals. Its productrange spans the chemicals, spirits, herbal and other phytochemical extracts and guar gum,industrial gases and realty sectors, and finds application across an increasing number ofindustries.

These products are manufactured in compliance with stringent global standards of plantoperations, quality and safety. The companys facilities have been approved and certified by

international agencies including Det Norske Veritas (DNV). The operations at all plants areclosely monitored through distributed control systems (DCS), which facilitate a high degree ofcontrol over the quality of products.

IGL businessesIGLs flagship chemicals division started out with a path-breaking green approach tomanufacturing ethylene oxide and derivatives. Using the molasses-ethyl alcohol-ethylene'green route', the company is the only one of its kind in the world. With the emphasis nowincreasingly shifting to green manufacturing, the chemical division is well poised to meet theindustrys need for environmentally responsible products and production techniques.

Keeping in mind the critical dependence on agricultural feedstock, the company has taken upseveral initiatives including backward integration into sugar manufacturing to ensureseamless raw material availability. Other complementary initiatives include co-opting thecane growing community to ensure cane availability while providing adequate returns to thefarmer.

Apart from chemicals, India Glycols has a significant presence in the natural activepharmaceuticals and nutraceuticals space with Ennature Biopharma; a well-established


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natural gum division manufacturing guar gum and a variety of derivatives; a spirits divisionthat manufactures country and Indian-made foreign liquor adhering to the highest qualitystandards; and Shakumbari Sugar a well-established player in the Indian sugar industry.

Exports

IGL has traditionally looked to leverage the export potential of its products. The company hastherefore initiated the process of aligning to emerging global trends and has establishedfacilities and operations that are in compliance with global good manufacturing practices.

Customer focus

The company strives to achieve excellence through proactively addressing customer needsand requirements. Integral to this approach is the identification and development ofcustomised products backed by research and development support.

IGL's R&D function is not only driven by organizational needs, but more importantly bycustomer needs. Its R&D centre employs state-of-the-art equipment that empowers IGL

scientists and engineers to consistently deliver customized solutions that meet, and at times,even exceed customer expectations.

History of Company

Set up in 1983, India Glycols has come a long way in establishing itself as a leading chemicals

manufacturer. Here are some of the key milestones the company has achieved along its journey:

YEAR EVENTS 1983 - India Glycols Ltd was incorporated at New Delhi on 19th November as a

public limited company as `U.P. Glycols Limited' and obtained the Certificate of Commencement ofBusiness on 3rd February, 1984. The company was promoted by Vam Organic Chemicals Ltd. Thecompany manufactures mono-ethylene glycol (MEG), diethylene glycol (DEG) and triethylene glycol(TEG).

- The company entered into a technical know-how agreement with `Scientific Design Company Inc.,USA (SD) for the supply of process know-how only for the conversion of ethanol into MEG as thepromoter VAM agreed to advise free of cost on the conversion process of molasses into ethanol.

- The company also entered into an agreement with Toyo Engineering India Ltd., for implementing theproject within guaranteed cost and time limit.

1986 - The name of the Company was changed to `India Glycols Limited' effective from 4thSeptember.

1988 - 70 shares subscribed for by the signatories to the Memorandum of Association. 244,99,930shares then issued at par of which 84,69,930 shares to promoters, directors, etc., and Vam OrganicChemicals Ltd., and its wholly owned subsidiaries and 25,00,000 shares to shareholders of VamOrganic Chemicals Ltd., Ramganga Fertilisers Ltd., and Hindustan Wires Ltd., were reserved and


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allotted. Out of the remaining 135,30,000 shares, the following shares were reserved for preferentialallotment: (i) 15,00,000 share to UTI, (ii) 7,50,000 shares to SBI Capital Markets Ltd., (iii) 30,00,000shares to NRIs on repatriation basis, (iv) 2,50,000 shares to business associates, (v) 10,00,000 sharesto farmers and rural investors and (vi) 12,25,000 shares to employees/workers of the company as alsoof the Vam Organic Chemicals Ltd. (Except 12,01,100 shares of the employees quota all shares taken

up.) The balance 58,05,000 shares along with 12,01,100 shares not taken up by employees wereoffered to the public in July 1988.

- Additional 33,82,500 shares allotted to retain oversubscription (7,50,000 shares to NRIs, 62,500shares to business associates, 8,12,500 shares to farmers and 17,57,500 shares to public).

1990 - The Company received approval for expanding the MEG capacity upto 60,000 MT per annum.The Company proposed to diversify into the field of Ethylene Oxide (EO) derivatives and hadreceived letter of intent for the manufacture of 1000 MT per annum of EO derivatives.

1991 - Steps were initiated to undertake divesification programme to manufacture Ethylene Oxide

condensate/derivatives. The Company undertook the expansion of effluent treatment and Biogasgeneration facilities.

1992 - The Capacity of MEG was enhanced to 25,000 tonnes per annum.

1995 - The company had tied up with Sanyo Chemical Industrial Surfactants Covering majorindustries like textiles, toiletries, pharmaceuticals, agrochemicals, paper, lubricants etc. The Companyalso proposed to set up facilities for chlorosulphation to produce other specialty chemicals to maintainbetter quality standards.

1996 - The Company was implementing cholorosulphation project.

2003 -The Board of Directors at their meeting held on December 4, 2003 have approved the merger ofwholly owned subsidiary company CDS International Ltd with the company. The Board of Directorsat their meeting held on December 4, 2003 have approved the merger of wholly owned subsidiarycompany CDS International Ltd with the company.

2005

Expansion of MEG production to 1 lakh MTPA.Commissioning of ASU - III.Commissioning of RAB unit.

2006Commissioning of Gorakhpur unit.

2007

Acquisition of Shakumbhari Sugar.


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2008

Commissioning of CO2 plant.Expansion of MEG plant to 200,000MTPA.

2009

Commissioning of Ennature Biopharma, Dehradun.Commissioning of DEGEE acetate plant.Expansion of formulation plant - CABS.Expansion of ethoxylate plant (stirred reactor).

MISSION STATEMENT

STRIVE TO BRING VALUE ADDITION SELF, ORGANISATION AND

customer through

improving quality

identifying opportunities

total customer focus

minimizing errors and wastage of scarce resource


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THIS WILL BE ACHIEVED BY

positive attitude

being sensitive and responsive

continuous self up gradation

positive approach

being creative ,analytical, and objective

Timely actions

Technical collaboration

1 Scientific design inc., USA MEG, EOP, EO derivatives2 Sanyo, Japan Formulation/Specialtychemicals


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3 EJM Consultants, Canada Sulphation

Finished goods and their uses

S.N

.Products Uses

1 M.E.G. Polyester staple fiber, polyester filament yarn, packaging material, explosives,coolants, wire-enamels, unsaturated resins etc.

2 D.E.G. Pesticides, rubber compounding, brake fluids, plasticizers etc.

3 T.E.G. Oil exploration and refinery.

4 E.O.Derivates

Leather, textile wool scouring, pesticides, agro-chemicals, cosmetics, detergents,medicines, emulsifier ,etc.

5 GlycolEther

Industrial solvents for paints, coatings , polymers and automotive industry

6 Guar Gum Food and its products, ice-cream bakery Cosmetics(hair & care, skin care)

Industrial application-explosive textile, oil field chemicals

MANUFACTURING FACILITIES at India Glycols Ltd.,Kashipur

1.

Distillery Ethanol 265kl/day

2 Bio-gas Methane(fuel) 130 knm3/day3 Air separation unit Oxygen/nitrogen 2100/990nm3/Hr.4 Monoethyleneglycolmeg,deg,teg 25000 mt/pa(meg)

5 Ethoxylates eo Derivatives 20000 mt/pa6 Formulations specialty chemicals 10000 mt/pa7 Sulphation specialty chemicals4000mt/pa8 Glycol ether industrial solvents 10000mt/pa9 Bottling plant imfl/Country liquor100000mt/pa


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The plants and laboratories are equipped are with highly sophisticated instruments, such as digitaldistributed control system, on line analyzers, mass spectrometer and G.C. spectrometer, H.P.C.L,

F.T.R.I., etc.

Basic raw material of the company is molasses, a by product of sugar mills. It is the first plant I theworld, which produces MEG from Molasses route as against conventional petro-route.

Major milestones

S.N.Year Achievements1 198

9 Commissioning of 20,000 MTPA-MEG Plant Commissioning of 120 KBL, per day Distillery Plant based on batch

fermentation process

Commissioning of 6 MW captive power generation unit2 199

4 Commissioning of 20,000 MTPA

Commissioning of 13,000MTPA-EO purification plant3 199

5

De-bottlenecking of existing MEG plant to increase capacity from

20,000MTPA to 25,000 MTPA.4 199

7 Commissioning of 10,000 MTPA formulation plant.

5 1998

De-bottlenecking of existing MEG plant to increase capacity from 25,000to 30,000 MTPA.

Commissioning of 6,000 MTPA Sulphation plant by chlorosulphantionroute

6 1999

Commissioning of 85 KBL/ day new Distillery plant based on state of theart continuous fermentation process

De-bottlenecking of existing MEG plant to increase capacity from 30,000to 33,000 MTPA

7 2000

Commissioning of de-bottlenecking plant from 33,000 MTPA to 43,000MTPA

8 200 Work-in-progress of the RAB unit. A project of near about 300 crore Rs. By


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4 which the company will make its own good quality molasses

Organization Structure

The company has well defined hierarchical organizational structure. This structure is divided intofourteen levels. At the top is the Board of Director while at the bottom is the Junior Programmer,Junior Accountant etc. this has been done so as to facilitate smooth working of the organization andalso for the effective implementation of rules, regulations and policies of the company.

The various levels in the hierarchy are given below:

Board of Director

Chairman & Managing Director

Managing Director

President

Vice President

General Manager

Joint General Manager

Deputy General Manager

Senior Manager

Manager

Joint Manager


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Deputy Manager

Assistant Manager

Senior Engineer / Officer / Executive, etc.

Engineer /Officer /Executive, etc.Assistant engineer /Officer / Executive, etc.

Junior Engineer / Officer / Executive, etc.

The previous classification is according to the different level in the organization, the organizationalstructure based on department is as follows:

Each department under operation & commercial is either headed by General Manager or Joint

Manager. Every individual irrespective of position in the company is responsible for his work.

Personnel & Administration Department

Personal and administration department is like a backbone of every company. Since human is mostimportant resource of a company a resource which does not depreciate with time.

The personnel and administration department in Glycols Limited is headed Joint General Manager.This department can be divided into two main departments - administration and personnel. Thepersonnel department can be further divided into two areas Personnel Management and industrialrelation (PM&IR) & human resource development (HRD) thus.

Research & development centre

The company has set up and R&D centre to cater the requirement ofEO derivative and theirapplication business. It has been recognized by department of science and technology, Government ofINDIA.

Present turnover of the company is about RS-1,000 crores.

ORGANISATIONAL HIERACHY


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A- Executives Designation

L- 14 a

L- 14

L-13 a

13

12 a

12

11

10 a

10

9 a

9

8

7

6

j

president

SR. vice president

vice president

General Manager

Joint. General Manager

DY. General Manager

Asstt. General Manager

Manager

Joint Manager

DY. Manager

Asstt. Manager

Sr. engineer, officer, executive, chemist Alcohol, technologist Sr.programmer.

Engineer, officer, Executive chemist

Alcohol, technologist programmer.

Asstt Engineer, Asstt officer, Executive, chemist

Chemist-11 programmer steno- secretary FM panel controller,accountant.

B- Clerical staff


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Grade / level Designation

S-5

-4

-3

-2

-1

Asstt, steno-typist

clerk, typist

clerk, typist

Attendant

Messenger.

C- Workers

Grade/ level Category Designation

W-5aa

W-5a

5b

4

3

2

W-1a

-1b

-0

super specially

Skilled

speciallyskilled

highly skilled

skilled A

skilled B

skilled C

semi skilled-A

semi skilled B

unskilled

operator, electrician,

Fitter welder machinist.

- do -

- do -

- do -

- do -

- do -

attendant-1 JR- operator

Electrician, fitter, welder

Inst mech, Rigger.

Attendant 2

_


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D-Trainees

Level category Qualification

T-8

8

7

6

management trainee

Engineer trainee

Executive trainee

JR. Executivetrainee

MBA, CA, PHD.

Graduate/PG Engineer.

MSC, PG dey/dip in mgmt.

MSC, PG dey/dip in mgmt

Professional diploma.

E- Apprentices

Level Category Qualification

At-8

At-6

At-2

At-3

PCM). At-2

Apprentices Engineer

Apprenticestechnician

Trade Apprentices

Deg.in Engg &

technologist.

3 years diploma from

Polytechnic

I T I.

Fresher

BSC (PCM), BSC. (Non

ISC, H.SC.
http://h.sc/http://h.sc/http://h.sc/


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Name of the departments members

SL.No. Department

Section

sectional

head

HODS D.H.S

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

Pers&admn

Security

Medical

Account &EDP

Commercial

Stores

Distillery

Botting

Bio gas

MEG &ASU

Ethoxylates

Glycol ether

Formulation

R&D

Quality control

Tech. servs

Fire & Safety

Mech. Maint.

Mr. R.S.Yadav

Mr. Pankaj Sheel

Dr. A.Sabharwal

Mr. madhup misra

Mr. V.M. Tiwari

Mr. L.R. Murthy Mr. A.KDubey

Mr. Deepak Jan

Dr. A.Goutam

Mr. GauravSaxena

Mr. A.K Yadav

Mr. A.K Yadav

Mr. A.K Yadav

Mr. N.C.MSharma

Mr. A.C Dixit

Mr. M.K Rao

Mr. R.K Sharma

Mr. V.K Kapoor

Mr. G.R. Rao

Mr.R.S.Yadav

Do

Do

Do

DoMr.MadhupMisra

Mr. S.R. Soni

Do

Mr. M.K Rao

Mr. J.D Kumar

Mr. M.K Rao

Do

Do

Mr. N.C.M Sharma

Mr. M.K Rao

Do

Do

Mr. K.K Lal

Do

Head of works

Do

Do

Do

Do

Do

Do

Do

Do

Do

Do

Do

Do

Do

Do

Do

Do

Do


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19.

20.

21.

22.

23.

24.

Instrumentation

Boiler & DMP

Power House

Electrical

Civil & Project

Guar gum

Mr. S.C Tiwari

Mr. M.K Goyal

Mr. R.K Pundit

Mr. K.K Lal

Mr. N.K Verma

Mr. M.K Rao

Do

Mr. K.K Lal

Do

Mr. N.K Verma

Do

Do

Do

Do

Do

Do

Do

President (GG)

HUMAN RESOURCES DEVELOPMENT

Performance appraisal

Company considers its human resources as the most valuable resources for its growth in line With thisINDIA GLYCOLS LTD., KASHIPUR is committed& professional development. Performanceappraisal seeks to achieve the following.

1. To set realistic & challenging targets/ key performance area on annual basis for the individual.2. To assess employees performance based on person at attributes. Job performed targets

achieved/ specific achievement.3. To assess the strengths, weakness& potential of the employee.4. Performance based reward in terms of increment& promotion etc.

Appraisal period


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Appraisal period is from April to March. Every employee is appraised at the end of the Appraisedperiod. Employees joining during appraised are appraised on completion of their one year service&employees joining after March are appraised in next appraisal.

Method of appraisal

The employees performance is appraised by the department &sectional head in consultation with hisimmediate supervisor on personal attributes, job performed targets achieved/ specific achievement.Finally the appraisal is reviewed & approved by the review committee to ensure uniformity&objective.

Appraisal feedback

The appraisal is being discussed with the employee by the appraises to give the employee feed backabout his performance, strength& weakness employee is also suggested area of consolidation&improvement.

Employees co-operation

The appraisal system requires active because its effectiveness depends on realistic self Assessment &positive approach towards the feed back.

Training & development

Training & development is an important aspect of the H.R.D. the company believes in training &development of its employees to take higher responsibility and to meet the challenges of the individualemployee is assessed by his sectional & departmental head in consolation with employee in hour &

outstation programs are arranged for employees by H.R.D. on recommendation of sectional &departmental head. On the job training is arranged by sectional head.

Personal growth

Career growth

At INDIA GLYCOLS LTD., KASHIPUR we have an objective selection process which ensures thatonly the most competitive join the team. We strive to develop& gear our human resources for higherachievements through constant motivation, training & employee development programs. We believethere is more to human resources than merely meeting companys targets.

The employee development in INDIA GLYCOLS LTD., KASHIPUR is carried out mainly by on thejob training. This is further supplemented by group & individual training methods. The performanceappraisal system aims at identifying the development needs of the employee.

Career advancement at INDIA GLYCOLS LTD., KASHIPUR is based on one performance in his/ hercurrent assignment how well one meets the requirements of the higher/ additional job. We try to


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provide both opportunities as well as the environment to learn develop& grow. However the employeeis supposed to take its own initiative to equip himself for growth & advancement.

Promotions

Promotion is an employee has shown the abilities he may be considered for promotion provided.

1. His current job content has increased.2. His performance is good or better & he meets the requirement of higher position.3. He is doing a job of a higher level.4. There are vacant positions in the organization.

Increment

Normal increment date is 1st July to 31st March are given their first increment on completion of Oneyear& next increment is given from July on prorate basis. The employees joining below 1st April to

30th

June are given their first increment from rent 1st

July. The amount of increment depends on theperformance of individual in his grade/ category& department.


Performance appraisal is a process of evaluating employee performance for the purpose of placements,selections for promotions, career planning, financial rewards, motivation etc, and performanceappraisal seeks to achieve following objective.

To assess the performance, personal attributes and potential of the employee.

Performance based rewards in terms of promotion, increments etc.

To identify training needs.

To assess strengths , areas of improvements and give feedback to the employee.

APPRAISING AND REVIEWING AUTHORITIES

Employee is appraised by his superiors as per the details given as under:

CATEGORY OFEMPLOYEES

To be appraised by To be reviewedby

Below S.H. S.H. along with immediate supervisor, if any

H.O.D.

S.H. H.O.D. D.H.H.O.D. President along with D.H. MD/CMDD.H. President MD/CMD


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PERFORMANCE APPRAISAL PROCESS

1. HR to prepare the Appraisal Form of individual employee to be Appraised and send it to concerned

Reviewing Officer/HOD.

2. Reviewing Authority/HOD will arranged distribution of form to

Individual employees through Appraising Officer/S.H.

3. Employee shall fill his part in the Appraisal form in the appraisal form And shall hand over thesame to Reviewing Officer/S.H.

CRITICAL ATTRIBUTE RATINGS

REASONS FOR THIS SECTION

There are certain important critical attributes displayed by an individual that have no correlation withstrong and effective management and have a very strong effect on the function that they areresponsible for . These attributes relate to perform awards and assignment of greater responsibility interms of position and have a strong bearing have an appraisal as a whole.

It helps in identifying leader and future manger and help in grooming them.

INDIVIDUAL COMPONENTS DEFINED

ATTRIBUTES

There are seven specific and major attributes that have been broken into sub components againstwhich ratings to be provided. The various attributes are explained.

WORK PLANNING

ABILITY TO PLAN

ORGANISE

EXECUTE


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MEET DEADLINES

INTEGRITY

RESPONSIBILITY

COMMUNICATION

ARTICULATING PERSUASION SUPPORT CONFIDENCE

CONCEPTUAL DEPTH

VISION LONG RANGE PLANNING VERSATILITY CREATIVITY AND INNOVATION

OVERALL BUISNESS APPROACH

TECHNICAL BASIS appreciates the technical up gradations and the technologicalapplications in the organization.

FINANCIAL KNOWLEDGE has been appreciated of the financial ratios and instruments.

STRATEGIC PRIORITIES has appreciation of situations and strategies based on thosesituations .

CONSUMER DRIVEN: has a customer friendly approach to both internal and externalcustomer.

RATINGS

Ratings in the terms of to be awarded to the individual, by his immediate

superior and the departmental head in the specific columns. The points are

given as:

OUTSTANDING 4


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STRONG 3

CAPABLE 2

WEAK 1

AREAS OF STRENGTH

As a part of the performance review discussions, the appraise, section Head and HOD shouldindividually list out three most important strengths in the appraisee, in order to utilize the same

optimally and develop it for future productivity.

AREAS OF IMPROVEMENT

The appraise, section Head and the HOD should individually list out three most important areasrequiring improvement, of the apprise. This will develop the employee in identifying his own

development needs and make suitable learning processes to overcome these areas.

KEY TRAINING AND DEVELOPMENT

The appraise, Section HEAD and the HOD should individually list out important training needs of theappraise for him to impart his specific functions of his job effectively and in the manner that generatesoptimum output.

This section of form can also help the Departmental Heads and the HR Manager to plan a training

calendar for the employee and effectively Conduct the same.


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MULTIPLE PURPOSES OF PERFORMANCE APPRAISAL

General applications Specific purpose

Developmental uses Identification of individual needs.

Performance feedback.

Determining transfers and job assignment.

Identification of individual strengths and developmentalneeds.

Administration uses Salary

Promotion

Retention and termination

Reorganization of individual performance.

Lay off

Identification of poor performanceOrganizationalmaintenance/objective

HR planning determining training need

Evaluation of goal achievement

Information of goal identification

evaluation of HR systemDocumentation criteria for evaluation research

Documentation for HR decision

helping to meet legal requirement

ISSUES IN APPRAISAL PROGRAMMES


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Performance appraisal system in any organization depends substantially on five factors concept,criteria, context, culture and contingency.

Concept: - The performance dimensions are several. They include duties, responsibilities, behaviorand traits. Performance appraisal involves at least two persons/parties: the appraiser (who does theappraisal) and the appraise (Whose performance is being appraised).

Appraise expect

to know what his duties and responsibilities are

to know what is expected of him and whether theexpectations are reasonable enough

to know how he is doing

to have appraisers help, if need be

Appraiser should

prepare job descriptions

Facilitate appraise to setgoals/targets

analyze results withappraise

advice, gude, coach andcounsel


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rewards to be commensurate with performance

reward for good results

Criteria: - Several performance measures such as output, quality, punctuality, cost controlcontribution, job knowledge, discretion, initiative, team work, resourcefulness honestly, and leadershipqualities are usually reckoned as some of the criteria against which performance is assessed.

Context: - The top management philosophy values and belief system in the organization influence thenotions about people in the organizations and the type of control, motivation and communicationsystems.

Culture: - The cultures of people in general seem to effect appraisal system. Studies and

commentaries on Indian organizations seem to point to a pattern where the loyalties of employees ismore to the people than to the tasks or to organizations.

Contingency: - There is a systematic effort to link performance appraisal to other sub-systems ofhuman resource management such that all personnel decisions use the performance appraisal data as acritical input, it becomes difficult to impart seriousness in to the system. The result would be apathy onthe point of both the appraiser and the appraise to the entire process.

Methods of appraisal-

The last to be addressed in the process of designing an appraisal programme is to determine method(s)of evaluation. All the approaches to appraisal can be classified into

i. past-oriented methods


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ii. future oriented methods

Appraisal Techniques

Different techniques are used for performance appraisal.

They include:-

Methods

Past oriented Future oriented

Appraisal by objectives Management by objectives

Confidential Report

Trait Appraisal

Rating Scales

Ranking Technique

Simple or straight Ranking

Forced distribution Ranking Psychological appraisals

Paired comparison

Narrative & Descriptive method

The Essay method

The Critically incident method Assessment Centers


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Behaviorally anchored scales method

PAST ORIENTED APPRAISALS

Appraisal by objectives: - The objectives for the evaluation period (usually 12 months) are determinedthrough joint discussion and negotiation between the superior and subordinate. This system isfollowed even in organization which does not have a formal programme of Management byObjectives. Invariably, in many organizations where the objectives are predetermined, Keyperformance Areas (KPAs) or Key Result Areas (KRAs), are also decided in advance through jointeffort.

Confidential Report: - A confidential report is a report on the subordinate by the immediate superior

and covers a limited range of aspects like the candidates strengths, weakness, major achievements orfailures and information on some personality traits and behavior aspects. The confidential reportsystem is usually a descriptive one and permits a lot of subjectivity.

Trait Appraisal: - Commonly used individual traits include several distinguishing characteristicsfirmly anchored in human behavior that manifest themselves on the job and influence performance.These characteristics include the following listed below.

Ability for sustained hard work Drive

Acceptance of responsibility Effort

Adaptability Efficiency

Analytical ability Honesty

Appearance industriousness

Attendance Initiative

Attitude towards criticism Integrity

Capacity to train Intelligence

Commitment to task Judgment

Communication Leadership

Conduct Loyalty


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Confidence Motivation

Rating Scales :- These are techniques where performance is measured through assigning numbers (0to 4, 1 to 5 or 1 to 9), (A to D or E) or words which are descriptive adjectives (e.g., outstanding, verygood, good, fair, poor) to items or events to describe differences.

In all rating scales, most organizations are finding it useful to have an extra column ot record N.A. (notapplicable) or N.O.

(Not observed) or any other comment as appropriate.

Ranking Technique :- Ranking techniques encourage superior or peers to rank-order all theirsubordinates or peers as the case may be. This is a form of comparative measurement.

Simple or straight ranking :- This technique provides for an ordianl scoring; first, second, third and so

on.

Forced Distribution Ranking :- This is ranking technique where raters are required to allocate acertain percentage of ratees to certain categories (e.g., superior, above average, etc.) or percentiles(e.g. Top 10%, Bottom 20% etc.) Both the number of categories and percentage of employees to beallotted to each category are a function of the performance appraisal design and format.

Paired Comparison :- This technique requires the rater to appraise which of the two employees issuperior, instead of having to rank order all the employees in the same work unit doing the same job.This is widely used when one is comparing a small number of people.

The final ranking is determined by the number of times that an individual is judged better than theothers.

Narrative or Descriptive Methods :- The ongoing search for newer and better techniques of appraisingemployees performance led to several descriptive methods. These include the essay and the criticalincident methods among others.

The Essay method :- In this method, the rater describes the ratee in terms of several broad categories

such as the persons strengths and weakness, major achievements and failures, potential training anddevelopment needs and overall performance of the rater.

The Critical Incident method: - This method requires the rater to maintain a record of majorobservations of what he feels are work behaviors critical to the difference between success and failure.It provides information based on systematic observation of actual job performance.


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Behaviorally Anchored Rating Scales (BARS):- These are descriptions of various degrees of behaviorrelating to an aspect of performance dimension. The behaviors are described for a set of intervalsranging from the most negative to most positive.

FUTURE ORIENTED APPRAISALS

Management by objectives :- It was peter F. Drucker who first gave the concept of MBO to the worldway back in 1954 when his The Practice of Management was first published.

Application of MBO in the field of performance appraisal is a recent thinking.

MBO works can be described in four steps :-

1. Is to establish the goals each subordinate is to attain.2. Involves setting the performance standard for the subordinates in a previously arranged

time period.3. The actual level of goal attainment is compared with goals agreed upon.4. Involves establishing new goals and, possibly, new strategies for goals not previously

attained.

Psychological Appraisals: - Large organization employs full-time industrial psychologists. Whenpsychologists are used for evaluations, they assess an individuals future potential and not pastperformance. The appraisal normally consists of in-depth interviews, psychological tests, discussionswith supervisions and a review of other evaluations. The psychologist then writes an evaluation of theemployees intellectual, emotional, motivational and other work-related characteristics that suggestindividual potential and may predict future performance. From these evaluations, placement and

development decisions may be made to shape the persons career.

Assessment Centres :- An assessment Centre is a central location where managers may come togetherto have their participation in job related exercises evaluated by trained observers. The principal idea isto evaluate managers over a period of time, say one to three days, by observing (and later evaluating)their behavior across a series of selected exercises or work samples. Assesses are requested toparticipate in in-basket exercises, work groups (without leaders), computer simulations, role playing,and other similar activities which require the same attributes for successful performance, as in theactual job. After recording their observations of rate behaviors, the raters meet to discuss theseobservations. The decision regarding the performance of each assessee is based upon this discussion

of observations. Self-appraisal and peer evaluation are also thrown in for final rating.

APPRAISAL INTERVIEW AND FEED-BACK

Focused Objective:- The Appraisal interview is a part of the effort for a face-to-face review of thesubordinates performance. Performance appraisal has multiple objectives. But Appraisal interview


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should have a focused objective.

DESIGN OF AN EFFECTIVE APPRAISAL SYSTEM

It is useful to focus on aspects such as the following so that the appraisal system can be effective:

i. Appraisal objectives and uses should be specific, clear, relevant, timely, adequate, openand fair. It should be adequately and appropriately linked with the other subsystems ofhuman resource management and capable of being put to use in a manner beneficial tothe individual employee and the organization.

ii. It should be an ongoing process of managing performances with employee activelyparticipating and supervisor playing the role of coach and developer.

iii. The information generated should be tailored to the needs of the organization,

performance requirements and norms of behaviour.

iv. Recognize individual differences in system design. Identify the needs of ratees in termsof feed back, mobility, Self esteem etc.

v. The overall purpose should be developmental than jedgemental. It is important toseparate evaluation of performance and potential.

X

Impact on Employee performance and Job satisfaction

Source T.H. Hammer, Academy of management general, Dec 1978, p. 573

IMPLICATIONS FOR PERFORMANCE AND SATISFACTION


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Selection Practices :- An organizations selection practices will determine who gets hired. If properlydesigned, it will identify competent candidates and accurately match them to the job. The use of theproper selection device will increase the probability that the right person will be chosen to fill a slot.

Training and Development Programs:- Training programs can affect work behaviour in two ways.The most obvious is by directly improving the skills necessary for the employee to successfullycomplete his her job. An increase in ability improves the employees potential to perform at a higherlevel. Of course, whether that potential becomes realized is largely an issue of motivation.

A second benefit from training is that it increases an employees self-efficacy. Self-efficacy is apersons expectations that he or she can successfully execute the behaviors required to produce anoutcome.

Organizations that provide formal career development activities and match them to needs thatemployees experience at various stages in their careers reduce the likelihood that productivity will

decrease as a result of obsolescence or that job frustrations will create reduced satisfaction.

Performance Evaluation:- A major goal of performance evaluation is to assess accurately anindividuals performance contribution as a basis for making reward allocation decision: if theperformance evaluation process emphasizes the wrong criteria or inaccurately appraises actual jobperformance, employees will be over- or under rewarded. This can lead to negative consequences suchas reduced effort, increases in absenteeism, or search for alternative job opportunities.

Reward systems:- If employees perceive that their efforts will be accurately apprised and if theyfurther perceive that the rewards they value are closely linked to the evaluations, the organization willhave optimized the motivational properties from its evaluation and reward procedures and policies.

We can conclude that rewards are likely to lead to high employee performance and satisfaction whenthey are

1. Perceived as being equitable by the employee.2. tied to performance and3. tailored to the needs of individual

Union Management Interface:- The existence of a union in an organization adds another variablein our search to explain and predict employee behavior. The union has been found to be an importantcontribution to employees perceptions, attitudes, and behavior. The informal norms that unioncohesiveness fosters can encourage or discourage high productivity, organizational commitment, and

morale.

ORGANISATION STRATEGY AND PERFORMANCE APPRAISAL

The performance-appraisal system serves many organizational objectives and goals. Besidesencouraging high levels of performance, the evaluation system is useful in identifying employees withpotential, rewarding performance equitably, and determining employee needs for development. Theseare all the activities that should support the organizations strategic corporate plans and long term


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growth, typical appraisal systems in most organizations have been focused on short-termsgoals.

From the strategic management point of view, organizations can be grouped in to three categories-defenders, prospectors and analyzers. Performance appraisal has defined roles in all the three

strategies.

i. Typically, defenders have a narrow and relatively stable product-market domain, Because ofthis narrow focus, these organizations seldom need to make major adjustment in theirtechnology, structure or methods of operations.

ii. Organizations with a prospector strategy continuously search for different product and marketopportunities.

Organizations with an analyzer strategy operate in two types of product market domains. One domainis stable while the other is changing.

CHAPTER III

DATA ANALYSIS

Question no 1: Number of service years in this organization.

(a) 5-10 years (b) 10-15 years (c) More than 15 years

Question 5-10 Years10-15 YearsMore Than 15 YearsSample Size 100 Employees36 38 26


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Fig. 1.1

Findings: The response collected is based on the period of their service in the organization. More theperiod of service will be the more the experience would be the percentage of 10-15 years of servicewas more which is considered.

Question no 2: Do you aware about your performance appraisal or any evaluation done by yoursuperior.

(a) Yes (b) No

Question YesNo

Sample Size 100 Employees80 20

Fig. 1.2

Findings: 80 % the employees had responded in favor of that they were aware about performanceappraisal.

Question no 3: Are you aware about the modern techniques used in performance appraisal?

(a) Yes (b) No (c) cant say

Question AB CSample Size 100 Employees6 8

014


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Fig. 1.3

Findings: Near about 80% of the employees had not aware about modern performance appraisaltechniques.

Question no 4: Performance appraisal techniques make you better eligible for promotion, demotion, &transfer.

(a) Agreed ( ) (b) Not Agreed ( ) (c) Cant say ( )

Question A B CSample Size 100 Employees5

030

20

Fig. 1.4

Findings: The 50% of the respondents shows that PAR as a good strategy to go head with promotionwhile 30% of respondents not agree with it & rest of respondents cant say anything.

Question no 5: Do you think performance appraisal is useful or just a waste of time?

(a) Useful ( ) (b) waste of time ( )

Question Yes UsefulNo UsefulSample Size 100 Employees64 36


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Fig. 1.5

Findings: More than 64% of the employees say that performance appraisal is useful for there self-assessment and promotions. Thus, they cannot ignore it.

Question no 6: Proper and adequate performance appraisal plays a crucial role in your careerdevelopment.

(a) Agreed ( ) (b) Not Agreed ( )

Question YesNoSample Size 100 Employees67 33

Fig. 1.6

Findings: 67% of the responses show that Performance Appraisal Report helps a lot in thepromotional activities.

Question no 7: Does performance appraisal report is helpful in identifying Training and Developmentneed or it lay development plan for you?

(a) To a large extent (b) To some extent (c) Not at all

Question A B C

Sample Size 100 Employees60

30

10


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Fig. 1.7

Findings: 60% of the respondents are satisfied by the performance appraisal report as it helps them tounderstand the job profile and helps in training need identification.

Question no 8: Performance appraisal is most of the time fair and unbiased.


Question YesNo


Fig. 1.8

Findings: 64% of the respondents show that Performance Appraisal report is time fair & unbiased.

Question no 9: Have you understood clearly, as to what is expecting from you?

(a) Yes (b) No (c) Cant say

Question A B CSample Size 100 Employees4

022

38


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Fig. 1.10

Findings: There is a close response from the respondents on Performance appraisal report where on

one hand (near about 40%) say that it makes feel refreshed & know there better responsibility. On theother hand some say that it has helped them in improving their skills not to define there futureresponsibility and performance.

Question No 10: Does the organization provide counseling after appraisal?

(a) Yes (b) No

Question YesNo


Fig. 1.9

4.1 FINDINGS

1. The response collected was based on the period of their service in the organization the morethe period of service will be the more the experience would be the percentage of 10-15 years ofservice was more which is considered.

2. 80% the employees had responded in favor of that they were aware about performanceappraisal.

3. Near about 80% of the employees had not aware about modern method of the performanceappraisal techniques.

4. The 50% of the respondents shows that PAR as a good strategy to go head with promotionwhile 30% of respondents not agree with it & rest 20% of respondents cant say anything.

5. More than 64% of the employees say that performance appraisal report is useful to them.


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6. 67% of the responses show that Performance Appraisal Report helps a lot in the promotionalactivities.

7. 60% of the respondents are satisfied by the performance appraisal report as it helps them tounderstand the job profile and helps in training need identification.

8. 64% of the respondents show that Performance Appraisal report is time fair & unbiased.

9. There is a close response from the respondents on Performance appraisal report where on onehand (near about 40%) say that it makes feel refreshed & know there better responsibility. Onthe other hand some say that it has helped them in improving their skills not to define therefuture responsibility and performance.

10. Near about 75% of the respondents, say that Organization provides counseling afterperformance appraisal report.

4.2CONCLUSION

It is truth that no work is completed in itself. In fact, completion of one job is actually the beginning of

another job. Likewise, performance Appraisal is never ending process. It is essential for personal &professional Development.

This project has been considering all possible aspects mentioned in the project aspects mentioned inthe project booklet. The project is made very clear and precise with the help of the relevant data whichis provided by the company & through various annexure. This project reports to me a greatersatisfaction.

In the concluding remark of my project report, I would like to state that At INDIA GLYCOLS LTD.,

KASHIPUR, the employers are considered as most valuable assets & strength for sustained growth &development of the company.

They believe in investing continuously in human resource for their growth. The company is led byyoung professionals. They have an open work environment which is achievement Oriented.


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In spite of these merits, there are some demerits also in the company that the goals of the company arenot decided in advance and no feedback fixed for workers and executives in INDIA GLYCOLS LTD.,KASHIPUR.

CHAPTER IV

RECOMMENDATION

1. This situation realize that there were 20% of the employee who are unaware of theperformance appraisal report which will be reduced by providing them all counseling

2. They should have to be aware about the performance appraisal techniques because they have topass through it for taking better promotions & greater responsibility.

3. This shows there negligence towards their career & awareness. Thus, it can avoid by providingenough information to employee with the help of training & development exercise.

4. The 50% of respondents responses shows that they are not aware about importance ofperformance appraisal report. They should be aware about that how they can take promotionand greater responsibility through better performance.

5. They have to introduced career development graphs and necessary skills to reach that position

after experiencing some years.6. Respondents should have to better understand the job responsibility and training need

identification through schedule chart or through the job analysis.


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.

BIBLOGRAPHY

1. Human Resource Management

by K. Aswathapa


by L. M. Prasad


by S. K. Gupta


by Robbinson


by C. B. Gupta


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by C. V. Memoria


by R. Sharma


by B. Ghosh

Performance Appraisal Questionnaire

M/s. India Glycols Ltd., Kashipur

APPENDICES

Name:

Designation/Post:

Salary Grade:

Qualification:

Experience:

(1)No. of years of service in the organization:

(a) Less than 5 (b) 5-10

(c) 10-15 (d) More than 15

(2)Do you aware about your performance appraisal or any evaluation done by your superior.


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(a) Yes (b) No

(3)Are your aware about the modern techniques used in your performance appraisal?

(a) Yes (b) No

(4)Performance appraisal techniques make you better eligible for promotion, demotion, & transfer.


(5)Do you think performance appraisal is useful or just a waste of time?

(a) Useful ( ) (b) waste of time ( )

(6)Proper and adequate performance appraisal plays a crucial role in your career development.

(a)Agreed ( ) (b) Not Agreed ( )

(7)Does performance appraisal report is helpful in identifying training & development need or it laycareer development plan for you?

(a) To a large extent (b) To some extent (c) Not at all

(8)Performance appraisal is most of the time fair and unbiased.

(a)Agreed ( ) (b) Not Agreed ( )

(9)Have you understood clearly, as to what is expecting from you?

(a) Yes (b) No

(10)Does the organization provide counseling after appraisal?

(a) Yes (b) No

Any suggestions:

.. .

project work of shailesh gururani

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