PEOPLE MANAGERS' GUIDE TO THE

PERFORMANCE MANAGEMENT
PROCESS AT PIRAMAL
PERFORMANCE PLANNING AND
GOAL SETTING FOR FY18
 PREFACE

Dear Colleagues,
In line with our 2020 Vision, we aim to deliver exponential growth that will help
us live our purpose of “Doing Well and Doing Good”. To create a high
performance organization at Piramal, we need to nurture an environment
where every individual works like an entrepreneur, teams collaborate
seamlessly across boundaries and there is alignment at every level towards a
common Purpose and Vision. This is the objective of the performance
management process at Piramal.
To achieve our fullest potential, ongoing feedback and development is critical.
Our performance management process delivers this by using the framework of
the Piramal Success Factors to help us channelize our everyday behaviors
effectively. We also believe that performance management is not just about the
formal review conversations, it is also about the year-round feedback and
coaching that managers offer employees. Each of us as people leaders
therefore has a critical responsibility to share candid, constructive feedback
and make time for coaching conversations with our team members throughout
the year.
As we expand across businesses and geographies, we have now introduced a
world-class technology backbone for the performance management process
through MyPiramal, powered by the Oracle Fusion platform. This allows you to
set your goals online, share it with your peers and colleagues, align your goals
to organizational and departmental goals and also track progress against
them through the year.
I am confident that through this new technology enabled process, we will
together shape a high performance culture at Piramal.
Warm Regards,

Vikram Bector
Chief Human Resources Officer, Piramal Group

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 TABLE OF CONTENTS

• Preface 2

• Table of Contents 3

• The Performance Management Philosophy at Piramal 4

• Key Principles of Performance Management at Piramal 4

• Your Role as a People Manager in Managing Performance 6

• Performance as a combination of “Goal Achievement” and Behavior 7

• Introducing the Piramal Success Factors 8

• Overview of the Performance Management Process 10

• The Goal-Setting Process 13

• How the Business Strategy is converted into Goals for the

Leadership Team 14

• Cascading Goals to your Team 15

• Cascading Goals on MyPiramal system 17

• What Do Great Goals Look Like? 29

• Creating Bandhan Goals 36

• Goal Audit 36

• Frequently Asked Questions 37

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 THE PERFORMANCE MANAGEMENT
PHILOSOPHY AT PIRAMAL
Key Principles of Performance Management at Piramal

Performance management at Piramal is an ongoing, systematic process by

which the overall performance of the organization is improved by improving the
performance of every individual employee, in alignment with the
organizational goals.

This is done in stages starting from identifying organizational goals,

translating these into team and individual goals, setting up clear targets and
measures to achieve these goals, course correction during the year if
required, continuous feedback and coaching throughout the year, and then
concluding at the end of the year by understanding how one performed in
discussion with the line manager.

04
Through the process, our approach is to create a high performance culture in
Piramal through:

1) Alignment of goals across levels to the Piramal 2020 Vision:

This implies all our goals should be contributing to the organizational goals,
and we use a strong goal cascading process to ensure alignment of individual
and team goals to the larger organizational goals.

Piramal Group: Our Purpose and 2020 Vision

Doing Well and Doing Good

– Making a positive difference, serving people and living our values
– Achieving a market capitalization of US$20bn by 2020

2) Focus on individual growth and development:

The performance management process serves as a powerful tool for an
individual’s growth and development. This can be achieved by ensuring that
one does not see this process as an “assessment” of any sort but instead
leveraging its facets such as feedback and coaching throughout the year.

3) Differentiated rewards for high performance:

It is our aim to identify and motivate our high performers and reward them in a
clearly differentiated manner. Through the process, we also aim to offer clear
performance feedback and support to our colleagues who may not be able to
perform at their fullest potential.

Through a strong and well-implemented performance management process,

we aim to build a high performance, merit-oriented work culture, which
demonstrates our commitment to our values of Knowledge, Action, and Care.

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Your Role as a People Manager in Managing Performance

Performance management at Piramal is not just a once-a-year evaluation.

Good performance management is a continuous, positive collaboration
between you and your team members all year round.

Most employees want to be successful contributors. They want to know what is

expected of them and how they can most effectively achieve those
expectations. As a people manager at Piramal, it is your job to:

• Clearly communicate expectations

• Provide employees with the tools, training, and information they need
to succeed
• Offer regular, timely, and constructive feedback
• Be reasonable and fair when evaluating performance
• Recognize successes and achievements often
• Address performance issues in a proactive and timely manner in
order to resolve them before they become significant

Good performance management doesn’t just help the employee. It can make
your job a lot easier and help you build a high-functioning, productive team.

Other benefits of effective performance management include:

• Motivated and engaged employees

• Increased retention of good employees
• Higher productivity, lesser errors, greater customer satisfaction
• Reduced costs related to recruiting and training new employees
• Less time dealing with corrective action issues
• Building the Piramal Group’s ( as well as your own team’s) reputation
as a great place to work

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Performance as a Combination of “Goal Achievement” and Behavior

At Piramal, we believe that outcomes achieved through undesired behaviours

are not “real” performance. With our purpose of ‘Doing Well’ & ‘Doing Good’ in
mind, performance in Piramal is based on not only the results (based on your
Key Result Areas – KRAs / goals) but also the behaviours you display every day
at work (based on the Piramal Success Factors - PSFs).

Performance
at Piramal

Results ie. Behaviors ie.

Piramal
KRAs / goal
Success
achievement Factors

• The X – Axis: Focuses on the Goal / KRA
aspect of performance in alignment to
Balanced Scorecard methodology
• Eg. Performance measures such as
EBIDTA, OTIF, Yield Improvement and
Employee Engagement
• The Y – Axis: Focuses on the Behavior
aspect of performance in alignment to the
Piramal Success Factors
• Uses behavioral evidence through critical
incidents
• Involves stakeholders across functions

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Introducing the Piramal Success Factors

Thinks Big Serves Customer Commits and Delivery

• Focuses on the long term
• Translates vision into actionable
plan
• Welcomes new ideas
• Leads change
• Identifies customer needs
• Delivers on customer
expectations every time
• Finds new ways to add value to
customers
• Builds trusted partnerships
with customers
Results
• Identifies and acts on opportunities
• Sets high standards for self and
team
• Persists despite setbacks
• Takes ownership for business and
quality goals

Display Humility Collaborates Empowers and Develops

• Is humble
• Is open and transparent
• Treats others with respect
• Values diversity
• Works cooperatively with others
• Prioritizes team goals
• Builds relationships across
boundaries
• Creates consensus
• Shares and accepts feedback
• Builds own and team’s capability
• Creates a learning environment
• Encourages others to take on
larger roles

What is the Piramal Success Factors (PSF) Framework?

The Piramal Success Factors (PSF) is a framework of high performance
behaviors aligned to our 2020 Vision. They build on our values of
Knowledge, Action and Care, and convert them into a set of everyday
behaviors that will drive high performance as described below.

All employees are expected to embed the Piramal Success Factors in their
daily work and demonstrate proficiency levels in line with their bands.
Examples of situations where you have demonstrated behaviour in line with the
Piramal Success Factors are presented by your manager in the TopX
discussions alongside inputs from other managers and stakeholders. This is
used to identify your key strengths and areas of development. For more
information on the PSF behaviors appropriate to your band or level, please
refer to the booklet on the Piramal Success Factors.

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 ** As a people manager, it may be useful for you to record instances of
exemplary behaviour on the Piramal Success Factors for each of your
team members through the year. This is very handy when you have your
coaching conversations with your team members and will also make sure
you have all the relevant examples consolidated in one place, well in time for
the formal TopX discussions.

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Overview of the Performance Management Process
The performance management process has three distinct steps at Piramal and
the annual cycle is from April to March, coinciding with the financial year. The
three steps are:

1. Planning Performance – Performance Planning and KRA Setting

2. Managing Performance – Ongoing Progress Review, Feedback and
Coaching
3. Assessing Performance – End Year Performance Review

Planning Performance – Performance Planning and Goal Setting

The first step of the performance management process is to define the
performance expectations from employees in alignment with organizational
goals. Planning of performance is enabled through the Goals module on Oracle
Fusion and consists of the following steps:

• Develop organizational goals (Business Unit scorecard mapped to the

CEO / Business Head)
• Cascade organizational goals to departmental level
• Set individual goals

Managing Performance – Ongoing Progress Review, Feedback and Coaching

This is an ongoing activity throughout the performance cycle and involves
managing employee performance throughout the year. The focus here is on the
manager providing specific, constructive feedback through the year and also
offering coaching to the employee on his / her performance and developmental
goals. This should also be a two-way dialogue where the employee voices his /
her views, identifies obstacles, shares feedback and asks for support from the
manager. There is a Mid-Year Review as well, which is a formal checkpoint for
the manager to look at progress against goals and offer suggestions for
course-correction. A mid-year TopX forum is also recommended to be
conducted to take feedback from stakeholders, focusing on the employee’s
development needs.

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Assessing Performance – End Year Performance Review
This is the final stage where the employees’ performance for the year is
assessed and formal feedback is provided. Performance on goals is assessed
through the End Year Performance Review. There is also an End Year TopX
forum conducted to make sure that the employee’s performance on the
Piramal Success Factors is also considered through stakeholder feedback.
Based on goal / KRA achievement as well as behaviors exhibited against the
Piramal Success factors, performance ratings are arrived at.

At the beginning of During the Performance At the end of Performance

Performance Cycle Period Period

Performance Planning On Going Progress Review,

End Year Performance
and KRA Setting Feedback and Coaching
Review
Mid Year Review

Common Denominators in all these three stages

Results ie. KRAs / goal Behaviors ie. Piramal
achievement Success Factors

Performance can be defined as a combination of:

• Results (The outcomes! goals achieved by the employee as measured by KRAs)
• Behaviors (The approach, behaviors and values demonstrated during the process of achieving KRA5)
• Will be measured through the Piramal Success Factors, a framework of high performonce behaviors aligned to our 2020 Vision

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Note: While there are two formal documented discussions at the Mid-Year and
End-Year, as a people manager, you have a very important role in offering
specific performance feedback and coaching to improve the performance of
your team members. This needs to be a year-round process. It is strongly
recommended that you conduct at least quarterly performance “check-ins”
with each of your team members, over and above informal feedback sessions
through the year.

In line with feedback received from employees in Bandhan as well in our

various people connect forums / town halls, from FY 2018, we will be moving to
an online performance management system that is far more streamlined and
transparent on the MyPiramal system supported by Oracle Fusion. As a people
manager, this offers you a system to track performance of your team members
through the year – it also stores performance records of all your team
members in one place. It also has many additional functionalities including the
ability to solicit feedback from stakeholders for each of your team members
online at the end of the performance cycle.

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 THE GOAL-SETTING PROCESS

At Piramal, we first align on organizational goals at the Group and Business

level, and this then gets cascaded across levels. The end result is that
employees create goals that are linked to the overall organizational objectives;
this also encourages a more transparent “line of sight”. Employees have a
greater visibility on how they are contributing to the Piramal Group’s and their
business / function’s success.

Goal setting needs to be settled by the start of the financial year, or in case of
new joinees within a month of their joining.

As a people manager, you have the accountability for ensuring that

all your team members including new joinees have clarity on their
goals, and also understand how their goals contribute to your (their
manager’s) goals, to the team goals, departmental goals and
organizational goals.

This entire process is now facilitated online through the MyPiramal system.

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How the Business Strategy is converted into Goals for the Leadership Team

In the month of January, preliminary budgets are circulated for the next
financial year and based on the business strategy for next year the organisation
/ business goals are decided. Final KRAs and budgets for each business are
presented to the Chairman for final approval.

After approval, the Business Head/ CEO puts in the organisational goals online
as shown below. You will receive a notification on MyPiramal when your
business head CEO publishes his / her goals online to the entire organization.

Sample Online Screenshot of Business Head creating organizational goals

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Cascading Goals to your Team

After the Business Head publishes the organizational goals for the entire
organization, there is a cascade process of the organizational goals to the
Excom / direct reports of the Business Head. Further, the Excom shares their
KRAs with their teams, who prepare their KRAs in alignment with their
manager and the business objectives. In this manner, the cascade of
organizational goals happens till the last mile, and at every level, goals are
aligned to the level above. This process is completed by 31st March to make
sure that everyone is clear on their goals for the new financial year.

It is strongly recommended that you encourage your team members to align

their goals not just with your (the manager’s) goals, but also with their own
peers / cross-functional colleagues to ensure that interdependencies and the
need for collaboration is addressed.

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 What is a Goal / Key Result Area (KRA)?

Key result areas (KRAs) are those things that you expect your team
members to absolutely, positively do to fulfill their responsibilities and
achieve team, departmental and business goals. There are seldom more
than five to seven key result areas in any job or in any business. It is a
good idea to challenge yourself to make sure you are able to identify 5-7
key result areas for each of your team members as well as for yourself.
This makes sure there is clarity and focus of what is expected for your
team members and you. It also ensures you are prioritizing deliverables
for your team.

How Goal Cascade Works: An Example

Level Cascaded Goals

Business Goal Double revenues from $100 Mn to $ 200 Mn in

this financial year

Division Goal Increase sales of Product1 by 100%

Department Goal Recommend two new markets for Product 1 with

$50 Mn in potential by the end of Q1

Team Goal Conduct comprehensive market research into

potential new markets for Product 1 by March 1

Individual Goal Complete thorough competitive intelligence studies

of suggested Product 1 markets by February 1

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Cascading Goals on MyPiramal system
Logging into the “Goals” module of the MyPiramal System

1. Login to MyPiramal using the below link or scan the QR code for
accessing the link.

Link: https://goo.gl/HRwmwM

2. Use your single sign-on credentials to log onto the MyPiramal

portal.

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 3. Go to Navigator >My Team> Goals to access the “Goals” module

4. The Goal Plan will be pre-set for the relevant Financial Year, eg. KRA
Goal Plan FY 2017-18. Also you may access the previous years’ goal
plans (in future years once we have completed multiple cycles of the
performance management process) by clicking on the arrow beside
the current goal plan name.

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Creating, aligning and approving your teams’ goals:
1. Creating goals for your team member
2. Assigning a goal to your team member
3. Approving your team members goals

Creating goals for your team member

1. Click on add goals.

2. Select the employee that you want to add the goal for. Also do remember
to check the “Allow employees to update key attributes” in case you want
to allow the employee to change certain attributes such as weight
measurement etc for the goal created by you.

19
Also note you may choose to add this goal for all your reports (direct and
indirect), for your direct reports only as well as for your dotted line reporting by
selecting from the drop down above.

3. Each goal has four key sections on the MyPiramal System: Goal Details,
Measurements, Target Outcomes and Tasks. The “Target Outcomes” and
“Tasks” sections are optional and are for your additional utility.

On the left hand side of the above screen, you may notice four sections (in red
box); let us go through them one by one.

3. Fill in the Goal Details page: This page allows you to key in the various
parameters of the goal. The key elements of this page include the following:

1. Goal name: This is a specific and concise statement of the goal, typically
in one short phrase or sentence
2. Start date: This indicates the start date of the goal. The default date is 1st
day of the financial year.
3. Target completion date: This indicates the planned end date of the goal.
The default date here is the last day of the financial year.

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4. Actual completion date: This is filled with the actual end-date when
the goal has been completed or at year-end as the case may be.
5. Category: You may choose an appropriate one from the 4 quadrants
of our Balanced Scorecard – Financial/ Profitable Growth, Customer
(Internal and External), Internal Resources, Learning and Growth/
People
6. Level: This indicates whether the goal is a “stretch” goal (going
beyond expectations) or “target” (meeting expectations)

2 8
3 9
4
5 10
6 11

12

13

7. Description: This is open text space for you to provide more

information on the goal.
8. Completion percentage: This section helps to track the progress of
your goal. This field is useful during the mid-year discussions or any
of your performance review discussions through the year. Choose
from 0, 25, 50, 75, 100, as percentage options.

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 9. Status: This indicates the overall status of the goal. You may choose
from Not Started, In Progress, Completed to show the goal status.
10. Priority: This optional field allows you to choose how important this
goal is for you and your organisation, by choosing from options - High,
Medium, Low, Neutral.
11. Source of the goal: This field is auto-filled based on the source of the
goal- Manager shared goals, colleague shared goals, organisational
goals.
12. Success Criteria: In this section, you can mention the key milestones,
activities, timelines or measures that will help to assess goal
achievement.
13. Comments: Here, you may mention anything else that could not be
mentioned elsewhere in this sheet.

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4. Fill in the Measurements page: This page helps you quantify or put specific
success measures for the goal. It also helps the you and your team member
assess his/ her performance against the goal in an objective manner.

The key elements of this page include the following:

1. Name: This is the only mandatory field in this section. Here you can
name the measure or metric you would like to use for the goal. This
measure helps you evaluate progress against your goal.
2. Unit of measure: Here, you can choose from one of the four options for
unit of measure: None, Currency, Number, and Percent. For qualitative
measures you many use the “None” option.
3. Start Date: This is the start date of the measure. It is generally the
same as the start date of the goal. You only need to modify this in case
the KRA measure has a delayed start.
4. Target Value: Put in the value of the Target as per the unit of measure.
5. Comments: Any comments for clarification or additional notes may be
keyed in this section.
6. Target type: Choose between options - Maximum and Minimum, to
define the target value further. This indicates whether this is an
“upward” or a “downward” measure.
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 7. End date: This is the end date of the measure, in case it is not the end of
the financial year.
8. Actual value: This is the actual achievement against the target set. You
can mention this during the mid-year or end-year evaluation process.

Click on ‘Save and Close’. A confirmatory pop-up confirms the addition of the
measurement.

5. Fill in the Target Outcomes page: This sheet gives you an option to specify
the expected result. This sheet is not mandatory; however the employee may
fill it up if it helps to improve the quality of the KRA and expected outcome. This
sheet is useful for defining developmental goals further through licenses and
certifications, competencies, language. Remember, this is also an optional tab.

24
6. Fill in the Tasks page: This sheet helps an employee in listing down the
tasks to be done to reach a specific goal. It helps you break down your team
members’ goals further into specific tasks and activities. This is an optional
tab.

7. After keying in the required details, you can click on “Save and Close” to
save the KRA / goal and the goal would be assigned to your team member and
would be visible in his notification tab.

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Assigning a goal to your team member

1. Go to Navigator > About Me > Goals to access the “Goals” module

2. Click on Orange Arrow and then the Assign button in the dropdown

3. Select the employee that you want to assign the goal to. Also do remember
to check the “Allow employees to update key attributes” in case you want to
allow the employee to change certain attributes such as weight measurement
etc for the goal assigned by you.

26
Also note you may choose to assign this goal to all your reports (direct and
indirect), to your direct reports only as well as to your dotted line reporting by
selecting from the dropdown above.

4. After selecting the team members, you can click on “Next” to assign the
KRA / goal.

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Approving your team members goals

1. Navigate to Navigator > My Team > Goals

2. Validate the KRAs of your team members based in the principles
mentioned below in the section “What Do Great Goals Look Like?”

3. Click on Approve or Reject for each goal or all goals together for a tem
member. Then click on submit to communicate back to your team member

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What Do Great Goals Look Like?
An effective and consistent approach to goal setting includes four facets:

1. Goals should be, at a minimum, SMART

On the journey toward achieving great business results, well-written goals are
the fuel that drives performance. SMART is an acronym that stands for specific,
measurable, achievable, relevant, and time-bound.

Specific Measurable Attainable Relevant Time-Based

The goal The You have the The goal The goal
clearly defines achievement of resources, addresses clearly
the outcomes the goal can be time and work and specifies a
to be delivered objectively access to results that target date
and clarifies assessed people, data clearly align or deadline
any according to a etc. to allow with the
interpretation pre- you to overall
as agreed upon determined achievable the Piramal Group
by you and your measurement goal. At the vision, as well
manager in same time, as the vision
advance the goal is not of your
too easy to business unit,
attain-it department or
stretches and division
challenges
you

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 “SMART” Questions to ask yourself as you freeze goals Your
Element for your team member Response

Specific-Goals Is each goal clearly defined and results-oriented?

are clearly Can you identify what the goal will accomplish?
defined

Measurable- What are the specific measures within your team

Clear member’s goals that you will use to assess
Measures to performance?
track and Can you identify both qualitative and quantitative
assess measures within your team member’s goals? Are the
employee measures identified controllable by the team
performance member ie. within their influence?

Achievable- Does each goal provide the opportunity for your team
Goals are member to be successful in accomplishing the goal?
consistently Does achieving the goal depend on someone else? If
challenging, so, has this dependency been discussed with all
yet within parties?
reach Do team members with similar levels of job
responsibility have comparably challenging goals?
Is the level of complexity appropriate for your team
member’s level?
Does the goal stretch and challenge them, while not
being an impossible goal to achieve?

Relevant- Which one of the departmental or business goals

Goals drive does each of your team member’s goals align to? All
desired goals should align to a departmental or business
business goal.
results

Time-Bound- Does the goal have specific start and end dates?
Goals have Are there other competing demands that would
clear dates prohibit a goal from being completed on time?
or completion Do other team members with similar goals have
similar time-frames to complete the goal?

Checklist for assessing SMARTness of your team member’s goals

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2. Goals should be manageable in number

Five to seven meaningful stretch goals are sufficient to challenge you and keep
you engaged in your contribution to the business. Adding more goals is likely to
have a negative impact on productivity and derail progress toward achieving
any of them.

3. Goals should address all aspects of performance, not just financial

Each year, the goal-setting process establishes a new contract between you
and your team member; both should be equally invested in achieving the
desired results. Well-written, regularly monitored goals provide the
framework for accountability and the basis for productive performance
conversations between you and your team member.

Make sure your team member’s goals strike the right balance between
financial parameters, process parameters, customer related parameters and
learning related parameters. With this spirit in mind, at Piramal, we use the
“Balanced Scorecard” approach to performance management.

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 What is the Balanced Scorecard Approach to Performance?
What you measure is what you get. The competitive environment today
demands us to focus not just on financial performance, but also on
continuous improvement, learning and deep customer-centricity. In line
with this, at Piramal, we use the Balanced Scorecard approach to
performance management to make sure each of us take a holistic view of
our individual, team and organizational performance. The goals we set at
the beginning of the year look at four dimensions:

1. Financial / Profitable growth – How do we look to our shareholders?

2. Customer(Internal and external) – How do customers see us?

3. Internal Process - What must we excel at?

4. Learning and growth / People – Can we continue to improve and

create greater value?

Each goal is mapped to one of these four dimensions and together, they
make sure we take a more integrated, long term view of performance.

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4. Goals should have weightages that are neither too little, nor too much

At work, we have many priorities and deliverables. How do these goals

compare against each other? Which one is most important and which are
others which may not be the most important but are still necessary to be
achieved? We calibrate this by giving weightages to each goal helping us assess
its relative importance with respect to our other goals. At Piramal, we believe
that a goal / KRA should have between 5-30% weightage to be effective.

It’s a good idea to have your KRAs (hand-written or printed) put up in a place
where you can view them anytime e.g., on the softboard at your work desk, on
your computer’s desktop, as your mobile wallpaper etc. so that you can focus
on those items through your work day.

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 Practical Tips while setting goals for your team
Designing and agreeing on goals should be a joint effort between you and the
team member. Allow the team member a voice in their own performance
management. Encourage them to advocate for their own professional
growth.

Here are some helpful tips while you go through the goal setting process for
your team:

• Set goals with not for the team member. Employees who help set
their own goals are more motivated to achieve them.
• Use the SMART formula for setting goals:
Specific, Measurable, Achievable, Relevant, Time-bound.
• Tie individual goals to departmental goals. Doing so helps your team
member see the importance of their own work and increases their
job satisfaction.
• Assess the team member’s competencies on the Piramal Success
Factors. What are his / her strengths and areas of development?
Does he / she need to develop any skills or knowledge to successfully
perform their job?
• Consider the team member’s long-term professional goals and
aspirations. Do this year’s goals help the team member reach their
long-term goals?

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Creating Bandhan Goals
Post the annual employee engagement survey, all people managers are
strongly urged to include a Learning & Growth / People goal on improving
employee engagement within their teams. This ensures that there is adequate
focus on people development and team management by all managers.

• As a best practice, all managers are requested to create a goal on

Bandhan – “Bandhan: Employee Engagement” in your Learning /
People & Growth section of the Balanced Scorecard. The goal could be
linked to the focus areas for improving employee engagement within
your team – you can use your Bandhan scorecard as an input to identify
the one or two key areas for your team eg. Recognition for team,
Regular feedback and coaching for team members, team member
development etc.
• The goals should have a detailed action plan associated with it with 3-4
tasks
• Action plan for improving on the identified key areas is to be created in
discussion with their team members
• It is recommended that you transparently share the Bandhan goal with
the complete team. This help drive collective ownership for improving
team engagement.
• You may add various Bandhan tasks related to this goal through the
Tasks tab
• Each task under the Bandhan goal can have a start date and an end
date

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Goal Audit
Following the goal-setting processat Piramal, goals / KRAS are audited for
quality using SMART principles by your Business HR lead. All KRAs at a
Business leadership level (n & n-1) along with arandom sample set of KRAs
across bands are audited in depth, to ensure aligned-to-business, SMART
KRAs, and usage of Balanced Scorecard (BSC) template in the goal-setting
process by all employees

Going forward the mid-year review and end-year review will also be done
through the system wherein you will be able to update your progress in these
goals through the system.

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 FREQUENTLY ASKED QUESTIONS

1. What are the approximate timelines for the Goal-Setting Process?

Stage Timeline

Finalization of the Preliminary Financial and People By 20th Jan'17

Budgets of Businesses

Training / Onboarding sessions on effective Between 20th Jan

performance planning and KRA setting using the to 28th Feb'17
new Oracle Fusion platform (e-PMS)

Business heads will meet with his/her direct By 7th Feb'17

reportees and chalk out the preliminary KRAs. The
preliminary KRAs need to be sent to respective
business HR and finance controller

The Group CFO and Corporate Finance will have By 13th Feb '17
meetings with business heads to finalise the budgets

The Finance Controller to incorporate the changes By 17th Feb '17

agreed during these meetings

Meeting with the Chairman and Group CFO by By 22nd Feb '17
Business Heads to finalize budgets and KRAs

Business heads to meet his/ her direct reportees and By 28th Feb '17
update the changes in budgets/ KRAs

Cascading of the KRAs across the business By 31st Mar '17

KRA Audit of each business and feedback where By 31st May ‘17
required

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2. When do I need to set goals for new joinees in my team?
It is expected that you complete the goal setting process for any new joinee in
your team within a month of their joining. Even in case the team member is not
eligible for performance appraisal on the online system, you must still make
sure their goals are created, so that there is clarity of expectations.

3. Do my team members need to necessarily fill KRAs under each category of

the Balanced Scorecard?
It is recommended that you look at goals for your team across all four
categories to make sure that you have a holistic view of their performance for
the year. However, in some cases (especially at Band 1 / 2 levels), you may find
that the bulk of your team member’s KRAs are concentrated around Customer
and Internal Process perspectives, if their job does not have clear Financial
impact. If a team member is at Bands 1 / 2, you need not necessarily create
financial KRAs such as EBITDA for them. Instead, they may have other KRAs
such as sales, cost reduction, productivity, managing raw materials within X
cost, meeting budgets etc. which are more relevant to their role and
responsibilities.

It is strongly recommended that even for team members who are individual
contributors, you must set Learning and Growth / People goals around
developing oneself, gaining new skills etc. This makes sure that your team
members focus equally on performance and self-development.

4. Why are the goals / KRAs set by March-end while the appraisals are
finalized in June?
Goals / KRAs are set for the next financial year while the performance appraisal
is done for the year gone by. Since the new financial year starts from April,
hence it is important for all the employees to have their goals / KRAs set for the
year before that.

Financial performance of the organization for the year under review, is an

important aspect of the appraisal process and subsequent outcomes. Since the
financials are approved by the Board members only by May of the next financial
year, and subsequently performance decisions are taken based on it, the
process can only be completed by June of the new financial year.

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5. How often should I review performance and offer feedback to my team
members?
As often as you can, through the year.The mid-year and end-year reviews are
only provided as formal windows for performance conversations between the
team member and manager. However, your performance dialogue with your
team member must be year-round – make sure you set aside time for this. It is
strongly recommended that you plan for at least quarterly check-ins with each
of your team members to review performance and offer clear, specific
feedback. Apart from this, an ongoing focus on providing both positive and
developmental feedback, as well as offering coaching support, will help you
make sure your team members are fully engaged at work.

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