PROJECT REPORT ON

PERFORMANCE
MANAGEMENT SYSTEM
AT

FOR THE PARTIAL FULFILLMENT OF

MBA DEGREE
TWO-YEAR FULL TIME COURSE
(SESSION 2009-2011)

Submitted By:

1
 Raj
Kumar Khadka
Roll
No. 10416603909
MBA, Sem-III

CERTIFICATE

This is to certify that this Project report titled

“Performance Management System at
BEL” is prepared and completed successfully
by Raj Kumar Khadka, Roll no.
10416603909 under my guidance and same
has been submitted to University School of
Management Studies, Guru Gobind Singh
Indraprastha University.
The project report has been completed to my
satisfaction and I wish him all the best in his
future.

_________________________
(Mr. Amit Sharma)
Associate Professor

2
Acknowledgement

“For any successful work, it owes its thanks to many”

I take it as my pleasant duty to acknowledge the

valuable help I received from different sources in
completion of my project work. At the very outset, I
express my reverential regards and profound gratitude
to Mr. S R Tyagi, Assistant manager HR department,
BEL Sahibabad, for giving me his valuable time and for
providing me with the required information in the
context of this project.

I would also like to express my sincere gratitude to Mr.

Amit Sharma for his valuable guidance and
suggestions and for helping me complete this project
successfully.

3
I also wish to give my sincere regards to my respected
teachers who guided me to build a concrete platform
before sending me on training so that I can land out
firmly in all respects.

Name-Raj Kumar Khadka

Signature-

Dated 10th Aug 2010

TABLE OF CONTENTS

4
S. No Topic Page
No.
1. Company Profile 5

2. Significance of study 11

3. Objectives 12

4. Research Methodology 13

5. Methods of data collection 14

6. Performance Appraisal 15

7. Performance Appraisal System at 21

BEL

8. Data analysis & Interpretation 26

9. Limitations 40

10. Major Findings 41

11. Recommendations 42

12. Questionnaire 43

13. Bibliography 46

5
 COMPANY PROFILE

About the company:

Bharat Electronics Limited (BEL) is a state-owned
electronics company with about nine factories, and few
regional offices in India. It is owned by the Indian
Government & primarily manufactures advanced
electronic products for the Indian Armed Forces. BEL is
one of the eight PSUs under Ministry of Defence,
Government of India. It has even earned the
government's Navratna status.

As of April 1, 2008, BEL's order book is estimated to be

around 9,450 crore (US$ 2.15 billion).

VISION

- To be a world-class enterprise in professional

electronics.

MISSION

- To be a customer focussed globally competitive

company in defence electronics and in other
chosen areas of professional electronics, through

6
quality, technology and innovation.

VALUES

- Putting customers first.

- Working with transparency, honesty & integrity.
- Trusting and respecting individuals.
- Fostering team work.
- Striving to achieve high employee satisfaction.
- Encouraging flexibility & innovation.
- Endeavouring to fulfil social responsibilities.
- Proud of being a part of the organization.

OBJECTIVES
- To be a customer focussed company providing
state-of-the-art products & solutions at competitive
prices, meeting the demands of
quality, delivery & service.
- To generate internal resources for profitable
growth.
- To attain technological leadership in defence
electronics through in-house R&D, partnership with
defence/research laboratories &
academic institutions.
- To give thrust to exports.
- To create a facilitating environment for people to
realise their full potential through continuous learning
& team work.
- To give value for money to customers & create
wealth for shareholders.
- To constantly benchmark company's performance
with best-in-class internationally.
- To raise marketing abilities to global standards.
- To strive for self-reliance through indigenisation

7
HR VISION
"To attain organizational excellence by developing and
inspiring the true potential of company’s human
capital and providing opportunities for growth, well
being and enrichment".

HR MISSION
"To create a value and knowledge based organization
by inculcating a culture of learning, innovation & team
working and aligning business priorities with aspiration
of employees leading to development of an
empowered, responsive and competent human
capital".

HR OBJECTIVES
➢ To develop and sustain core values
➢ To develop business leaders for tomorrow
➢ To provide job contentment through empowerment,
accountability and responsibility
➢ To build and upgrade competencies through virtual
learning, opportunities for growthnand providing
challenges in the job
➢ To foster a climate of creativity, innovation and
enthusiasm
➢ To enhance the quality of life of employees and their
family
➢ To inculcate high understanding of 'Service' to a
greater cause

History:
Bharat Electronics Limited (BEL) was established at
Bangalore, India, by the Government of India under the
Ministry of Defence in 1954 to meet the specialized
need of Indian defence services. Over the years, it has
grown into a multi-product, multi-technology, multi-
unit company serving the needs of customers in
diverse fields in India and abroad.

8
BEL, is a strategic electronics company of the Ministry
of Defence. The company specialises in the
manufacture of a wide spectrum of technology like
Radars, Military Communications, Naval Systems,
Electronic Warfare Systems, Telecommunications,
Sound and Vision Broadcasting, Opto-Electronics, Tank
Electronics, Solar Photovoltaic Systems, Embedded
Software and Electronic Components. The company
also claims to provide turnkey systems solutions.

Defence continues to be BEL’s prime focus but the

company has also diversified into civilian areas. Some
of the successful civilian products include electronic
Voting Machines, solar Powered LED-Based traffic
signal lighting, simputers, set top boxes etc.

BEL offers contract-manufacturing services for both

domestic and international customers. It has
automated assembly, inspection and testing facilities
as well as precision machining capabilities.

BEL has its corporate office at Bangalore and

manufacturing units at nine locations in India. A
network of marketing and customer support centers
across India completes the vertically integrated
company profile. Two offices, one in New York and the
other in Singapore mark the company’s current
international presence.

The BEL R&D lab is located in Ghaziabad.

Naval weapons developed by BEL are tested at plants

in Mumbai, Vishakhapatnam and Kolkata . Its radar
equipment is tested in its Hyderabad plants as well as
series production of weapons. Series production plants
of different weapons are located at Ghaziabad,
Panchkula, Pune, Hyderabad, Vishakhapatnam,
Machlipattam, Taloja, Chennai, Mumbai.

BEL developed weapons are tested and improved for

cold weather and mountainous regions in its Kotdwara
plant.
9
Products:
BEL Weapon Locating Radar
BEL Battle Field Surveillance Radar(BFSR-SR)

BEL designs, develops and manufactures products in

the fields of:

• Electronic Voting Machines

• Radars
o BEL Weapon Locating Radar
o BEL Battle Field Surveillance Radar
o Indian Doppler Radar
o Samyukta Electronic Warfare System
o Central Acquisition Radar (3D-CAR)
• Telecommunications
• Sound and Vision Broadcasting
• Opto-electronics
• Information Technology
• Semiconductors
• Missile
• Sonars
• CCS
• FCS
• Radar
• Electronic Warfare Systems
• Simulators
• Tank electronics
• Defence Communications
• Solar systems
• Naval systems

Awards:
The R&D Divisions of BEL have been receiving a
number of National R&D awards. A list showing the
various R&D awards received by BEL since 2000 is
given below:

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Award for Excellence in R&D for the year 1998
(Sponsored by Ministry of Information Technology,
Govt of India - for BEL-Ghaziabad's development of
various IFF Systems)

Award for Excellence in Professional Electronics

for the year 1998
(Sponsored by Ministry of Information Technology,
Govt of India - for BEL-Kotdwara's excellent
performance in Production, R&D & its commitment to
Quality & Service)

DSIR National R&D Award for 2001

(For in-house R&D efforts under Electronic Industries
Sector - for D&E project handled at BEL-GAD & CRL-
Delhi)

FICCI Award for Research in Science &

Technology for 2003-04
(For Corporate initiative for R&D)

Raksha Mantri’s Award for Excellence under

Group and Individual category for Design
Efforts / Innovation / Import Substitution for the
years 2002-03, 2003-04, 2004-05 & 2005-06

DSIR National Award for R&D Efforts in Industry

for 2005
(For successful commercialisation of the Battle Field
Surveillance Radar -ShortRange (BFSR-SR) by BEL-
Bangalore, designed by LRDE)

9th IETE Corporate Award for Performance

Excellence in the field of development of
software

Society for Defence Technologists (SODET)

Award for innovation and award for Technology
Development for the R&D engineers for 2006-07
& 2007-08

11
Gold Trophy of SCOPE Meritorious Award for
R&D, Technology Development & Innovation for
the year 2006-07

12
SIGNIFICANCE OF STUDY
Human Resource Development is the basis of success
of any organization. HRD helps to enhance employee’s
effectiveness and helps to achieve organizational
goals. Now with the emergence of so-called “NEW
ECONOMY”, the increasing role of knowledge in
industry is becoming obvious. In the emerging
knowledge age, incessant learning by employees
through effective Training and Development is going to
be a key to survival and growth for organizations.
Without effective Training and Development no
enterprise can claim to be giving due importance to
HRD. Performance appraisal in the real sense can be
carried out only when the employees are provided with
the required amount of training. In the unfolding
economic scenario it is increasingly being realized that
employees are the most precious assets of any
company. Any investment in introducing performance
appraisal techniques is worth only when the above
mentioned criterion is fulfilled. Every organization
nowadays is using various methods for appraising the
performance of the employees so that the real
potential of the human asset can be known and utilized
in the proper way. Performance appraisal not only
evaluates the work done by the employees but also
tries to boost the morale and motivate them to do their
best. The methods used by the organization should be
communicated to all the employees who come under
its purview. They should be satisfied with the
procedure and if they are not then it should be looked
upon that what are the reasons behind it and what
changes are to be brought about. Performance
appraisal has a very important aspect to it and that is
development of the employees.

13
OBJECTIVES:
1) To study the performance appraisal
system of BEL, Sahibabad
Branch.

2) To assess the training and

development needs of employees.

3) To find out the strength and

weakness of the appraisal system.

14
RESEARCH METHODOLOGY

The approach used for the study was Survey Method.

For this Literature and Diagnostic Survey were carried
out:

LITERATURE SURVEY

Secondary sources were referred to get the basic

culture and working pattern of BEL. All the required
information was collected from the in-house journals,
magazines, web pages, reference books, manuals and
the other related sources.

DIAGNOSTIC SURVEY

It was done with the help of a questionnaire to check

the efficiency and effectiveness of the system.

Scope of the Study

The scope of the study is limited to Ghaziabad.

15
Population of the Study
All those persons who are working in BEL,
Ghaziabad are the population of this study.

Sample Size
The sample size is 60.

METHOD OF DATA COLLECTION

PRIMARY DATA

The primary data to be selected was based

upon the response of the respondents to the
questionnaire designed. The questionnaire
consists of closed ended questions.

A part of Questionnaire was targeted to know

the personal details of the respondents. Second
part consists of closed ended questions on the
scale of 1 to 5. Third part comprised of
questions to be answered in Yes or No.
16
SECONDARY DATA

The secondary data was collected by referring

through manuals, journals and intra net, web
sites, and the final data was analyzed
systematically to achieve the desired result.

PERFORMANCE APPRAISAL
Performance appraisal can be defined as the process
of evaluating the performance of an employee &
communicating the result of the evaluation to him for
the purpose of rewarding & developing the employee.
According to Michael Armstrong, “Performance
appraisal is a formal assessment & rating of individual
by their managers at usually at annual review
meeting.” Performance can be defined as the degree
of accomplishment of tasks by an employee in his job.
In some organizations it is measure of the result
achieved & target accomplished whereas in others, it
is a measure of employee efforts & behavior. However
most organizations use a combination of both efforts &
results. Performance appraisal is also termed as
performance review, annual review & annual appraisal.

17
THE APPRAISAL PROCESS
1. The first step in the appraisal performance
process is the determination of standard of
performance based on the organizational
objectives & job descriptions.

2. The next step of performance appraisal is the

measurement of employee performance against
the pre-determined goal & standards.

3. The next step is the actual process of

measurement. Performance appraisal has to be a
continuous process & feedback should be given to
the employee at regular intervals.

4. The next step is the very critical step & involves

communicating the result of the appraisal to the
employee concerned.

5. Once appraisal is finalized after discussing it with

the employees, it has to be put effective use.

THE APPRAISER
The appraiser is that person who access the
performance of a person or an employee. In more
recent concept like 360 degree feedback, the
peer/colleagues of the employee, his supplier, his
customer, & even his subordinate play a role in
assessing his performance.

SELF-APPRAISAL

18
As has been discussed earlier self appraisal is the
common practice today, with the employee being
given a role in evaluating their own performance. The
employee himself is best equipped to evaluate his
performance because he understands his strengths &
weaknesses the best.

SUPERVISOR
It is the responsibility of the supervisor to ensure that
his subordinate perform their jobs well. Hence the
authority to evaluate the employees’ performance has
traditionally been with the supervisor.

PEERS
Peer evaluation is very sensitive area as it may lead to
false & unhealthy appraisal because of competition
among peers. The organization has to reach an
advanced stage of development before it can handle
peer appraisal.

CUSTOMERS
The performance of an employee has a direct &
immediate impact on his customer either internal or
external. In service organization like banks & hotels
customer feedback has become the most important
tool in evaluating the employee’s performance.

SUBORDINATES

The concept of subordinate evaluating the

performance of his supervisor yet to gain acceptance

19
in most Indian companies. The Indian culture does not
encourage the idea of subordinate appraisal.

PERFORMANCE APPRAISAL METHODS

1. Management by objective or goal setting.

2. Graphic rating scale.

3. Work standard approach.

4. Essay appraisal.

5. Critical incidence method.

6. Forced choice rating method.

7. Point allocation method.

8. Ranking method.

9. Check list.

10. Behavioral anchored rating scale(BARS).

11. 360 degree performance appraisal.

12. Team appraisal.

13. Balanced scorecard method.

MANAGEMENT BY OBJECTIVE (MBO)

20
The main aspect of MBO is clear & well defined goals, a
definite time span to achieve the goals, action plan &
finally, timely & constructive feedback. It is also called
a goal setting approach; MBO is more commonly used
for managers & professionals.

GRAPHIC RATING SCALE

This method of appraisal requires the rater to rate the

employee on factors like quantity & quality of work, job
knowledge, dependability, punctuality, attendance etc.
This method is also used for performance appraisal of
employees. They check their employees daily by using
this method.

WORK STANDARD APPROACH

This method of appraisal is more suitable in a

manufacturing scenario, where the goals are
predetermined work standard. These work standards
can be set based on the average output of a typical
employee in the organization or by bench marking
against the work standard of a competitor in a similar
business.

ESSAY APPRAISAL

In the essay appraisal method, the appraiser prepares

a document describing the performance of the
employees. Questions or guidelines are provider to the
appraiser based on which analyses & describes the
employees’ performance.

CRITICAL INCIDENT METHOD

In this method of performance appraisal, the appraiser

makes a note of the critical incident that reflect the

21
performance & behavior of the employee during the
appraisal period. These are recoded as & when they
occur & can demonstrate either positive or negative
traits or performance.

FORCED CHOICE RATING METHOD

In this method the appraiser is required to assign ranks
to different attributes are all seemingly positive, but
have different weights which are unknown to the
appraiser. Once the employees’ attributes are ranked
the human resource department applies the weights &
arrives at a score which is the final appraisal score.

POINT ALLOCATION MATHOD

In this method of appraisal, the appraiser has to

allocate points to different members in his team. He
has at disposal, a specific number of points which he
has to distribute among his team members, based on
their performance during the appraisal period.

RANKINNG METHOD

There are three commonly used methods of ranking

namely alternation, paired comparison & forced
distribution. The first two methods are used when
there are only a few employees to be ranked, whereas
forced distribution method is used in large companies
which have thousands of employees.

CHECKLIST

In this method the rater has to respond ‘yes’ or ‘no’ to

a set of questions which assess the employee’s
performance & behavior. Normally weights are
attached to each of these questions based on which
the final appraisal score of the employee is calculated.

22
BEHAVIOR ANCHORED RATING
SYSTEM (BARS)

BARS concentrates on the behavioral traits

demonstrated by the employees instead of his actual
performance. Some of the other methods like graphic
rating scale & checklist also measure the behavior
based on the assumption that desirable behavior result
in effective performance.

360 DEGREE PERFORMANCE

APPRAISALS

A 360 degree appraisal system aims at a

comprehensive & objective appraisal of employee
performance. In a 360 degree appraisal system the
employees’ performance is evaluated by his
supervisor, his peers, his internal external customers,
his internal external suppliers & his subordinates. This
system reduces the subjectivity of a traditional
supervisor appraisal.

TEAM APPRAISAL

In the new economy era, where team work is essential

for any venture to succeed, team appraisal has
emerged as one of the best tool for the performance
management. In the team appraisal method the
individual team member evaluate their colleagues in
the team & provide feedback.

BALANCED SCORECARD

The balanced scorecard as a method of measuring

performance channelizes the efforts of people to
achieve organizational goals. The implementation of
balanced scorecard involve formulating a strategy &
23
deciding what each employee needs to do to achieve
the objectives based on strategy.

PERFORMANCE APPRAISAL
SYSTEM AT BEL
Performance appraisal report is an index of an
employee’s work performance over a given period of
time. It is crucial for his or her career growth as it
indicates the strengths, weaknesses, training needs,
nature of job being performed and problems faced in
work situation.

The objectives of the performance

appraisal system at BEL are:

 To set norms and targets of work performance, as

well as, to monitor the work progress of
employees.
 To facilitate placement of employees in
accordance with their suitability for different
types of assignments.

24
  To provide an objective basis for determination of
merit, efficiency and suitability for the purpose of
promotion.
 To identify areas requiring exposure for training
and development.

The performance appraisal system seeks

to evaluate:

 The work performance of an employee on the

present job in relation to the expected levels of
performance, both qualitative and quantitative.
 The extent of development achieved by the
employee during the period under review.
 Evaluation of behavioural attributes attitudes and
abilities.
 Evaluation of potentials for assuming higher
responsibility.

The appraisal covers:

 Performance during the period from 1st April to

31st march of every year.
 All regular employees of the company.
1. Non Executives.
2. Executives
 The appraisal form PAR/ACR is filled in respect of
all such employees who have served for a period
of at least four months in the organization during
the relevant year.

Procedure

 PAR/ACR in respect of an employee is required to

be assessed by levels indicated below:
 By the reporting officer under whom employee is
working.
 By the reviewing officer.
25
 The reporting officer for writing PAR of an
employee of class III/IV and E-0 level category will
be the executive under whose control the
employee is working. The reviewing officer will be
of one grade above the grade of reviewing officer.
The PAR’s in respect of class III/IV employees duly
reviewed is maintained at
Region/Institute/Headquarters group wise in the
concerned establishment section/PAR sections.
 The PAR in respect of E-0 to E-6 level executives
is being maintained in PAR departments at
headquarters of R&P division.
 As regards E-7 and above all such reports which
are received from
Regions/Institutes/Headquarters are maintained
at Chairman-cum-managing Director’s office. The
reviewing officer will be the officer to whom the
executive reports for his day to day work. Review
of the PAR will be done by the executives to
whom the reporting officer is responsible for his
functions. Accepting authority will be the
executive higher than the reviewing officer at
different levels depending upon the nature of the
grades as per delegation of powers in PAR rules.
 The performance appraisal reports of executives
of E-6 level i.e. Deputy general manager and
above will be submitted to concern functional
Director for final review and acceptance.
 The performance appraisal reports of executives
of E-5 level i.e. chief manager and equivalent will
be reviewed by the RD/ED/Nominee of the
Director concerned.
 The performance appraisal of the executive up to
E-4 level i.e. manager and equivalent would be
reviewed by the functional head/GM/CGM not less
than E-7.

26
Performance Appraisal Format for
Executives
1. Personal Data
This includes personal details of the individual being
appraised.

2. Self Appraisal
In this section the appraisee is required to mention the
tasks achieved in the appraisal period including
enabling and constraining factors. These achievements
are then rated by the individual itself and the
appraiser.

3. Performance Appraisal
Performance appraisal is done on the basis of Key
Result Areas and a certain weightage is assigned to
each. Following are the Key Result Areas:

Performance in respect to volume….. 40

Quality of output…..30
Timeliness of jobs completed…..30

The total of the score gained by the individual is noted

and termed as P.

B. Potential Appraisal
Potential of the candidate is appraised on the scale of
1 to 5 keeping the existing role as well as future
positions in perspective.

Scale 1 to 5 is given for (1-poor, 2-fair, 3-good, 4-very

good, 5-excellent)

Potential is appraised on the basis of following traits:

· Result oriented approach
· Willingness to accept challenges
· Diligence and reliability
· Initiative
· Professional competence

27
· Communication skills
· Commitment and dedication
· Personal conduct and discipline
· Leadership
· Inter personal relationship
Total of score gained by an individual in this section is
again noted and termed as Q.

C. Overall Grade

Total score(S) is calculated as

S=a*P+b*2*Q

Where a & b are weightages for performance and

potentials. This weightage is as per the level.

Level A b
E1 0.9 0.1
E2 0.8 0.2
E3 0.7 0.3
E4 0.6 0.4
E5 0.5 0.5
E6 0.4 0.6

The grading system:

A+ 95 and above
A 85 and above but less than
95
A- 75 and above but less than
85
B+ 65 and above but less than
75
B 55 and above but less than
65
C 45 and above but less than
55
D D less than 45

28
 4. Assessment by Reviewing
Officer
 Training Needs
The appraisee himself mentions the training
requirements which are then remarked by the
appraiser.
 Co- Review

5. Moderation

6. Assessment by accepting
officer
 Final grade with score

7. Communication to executive

8. Counselling

The final grade given by the accepting authority

after detailed and due consideration to the
rating by the 1st and 2nd appraisers, will be the
decisive grade of the appraisee executive. In
case this final rating is different from those of
the 1st and 2nd appraiser, adequate
justification must be mentioned by the
accepting authority. There must be adequate
explanation by the 1st and 2nd appraisers and
the accepting authority for any grade assigned
to the appraisee. In the absence of adequate
explanation the report will be considered
incomplete and returned back to the appraisers

29
for confirming to the directives contained in the
instructions.

DATA ANALYSIS &

INTERPRETATION

COUNT OF SAMPLE SIZE DESIGNATION WISE

Analysis based on Designation:

30
 DESIGNATION

Department Heads
15% Managers
Coach 35% Managers
10% Executives
Coach
Dept. Heads
Executives
40%

Designation No. of employees

Managers 21
Executives 24
Coach 6
Department Heads 9

 Our total sample size for the survey was 60.

 We took employees from different departments
as our Population.
 75% of sample size consisted of managers &
executives.

COUNT OF SAMPLE SIZE ACCORDING TO

WORK EXPERIENCE

Analysis based on the following question:

31
Q. Since how long you have been a part of BEL

Ghaziabad?

18
16
14
12
10
8 No. of Emp
6
4
2
0
4y 5y 6y 7y 8y 9y 10y 11y 12y

Work Experience No. of employees

4 Years 6
5 years 3
6 years 3
7 years 9
8 years 3
9 years 18
10 years 6
11 years 7
12 years 5

32
In the sample size people with different work

experience were considered. 51.67% of the sample

size consisted of people with 9-11 months of

experience.

(Response in YES or NO only)

Q1. Individual feedback should be provided after

the appraisal.

Responses
YES - 87%
NO - 13%

As of now the system of providing the appraisal

feedback to every individual is not there in BEL.
However 87% of the respondents want that there
should be such system. The general opinion of the
employees is that the basic purpose of the appraisal
process is not fulfilled until or unless one gets to know
how he has performed. Ultimately the aim of the
performance appraisal is to develop the individual
through proper monitoring and feedback system.
13% of the respondents feel that the individual
feedback should not be provided. They are still of the
opinion that the performance appraisal should be
treated as confidential report only. They consider that

33
the individual feedback system will give rise to
discrepancies.

Q.2 The management helps provide an

atmosphere where all are encouraged for
teamwork and comradeship.

Responses
YES - 69%
NO - 31%

Majority of the respondents feel that the management

helps provide an atmosphere where all are encouraged
for teamwork and comradeship. This thing is necessary
because you can expect the performance only when
you provide the suitable atmosphere for it. It has been
proved that the office atmosphere plays a critical role
in the overall performance of the individuals and in
turn of the organisation. Providing congenial
environment fuel up the performance. Through
personal interaction I came to know the kind of
environment prevailing in the organisation. Though
management is not putting much efforts to do so, it is
there in the system. People help out each other
without any expectations. However still 31% of
respondents feel that the management doesn’t help
providing an atmosphere where everybody is
encouraged for teamwork. What I feel is that the
teamwork is only possible when everybody in the team
or a group is willing to put in effort and this thing can’t
be enforced upon somebody. So I would suggest to
these respondents to take the plunge and rest will
automatically follow and comradeship will develop.

Q.3 My Superior appreciates me when I do a

good job.

Responses
YES - 86%
NO - 14%

34
86% of the respondents responded as YES. This thing
may appear to be very small but the fact is that this
thing helps an individual to give its best. A small token
of appreciation or just a pat on the back is enough to
keep that individual motivated for the next week
atleast. Praise is such a thing that can make the king
to work provided that should be genuine one. There is
a difference between praise and flattery. And if this
difference is not clearly understood it can prove fatal.
But exceptions are always there so here also 14% of
the respondents don’t feel the same. They don’t
consider that their superiors appreciate them when
they do a good job. Some of the
respondents are of the opinion that the superior
seldom appreciates their work and if at all they
appreciates, it is not genuine one.

Q.4 The employees are provided with the

opportunity to respond to the feedback of the
appraisal.

Responses
YES - 37%
NO - 63%

Majority of the respondents don’t agree with the above

statement. According to them they are not provided
with the opportunity to respond to the appraisal
feedback. However 37% respondents says that they
can respond to the feedback. As such there is no
procedure to respond to the appraisal result in the
current performance appraisal system of BEL. The
reason being that the result itself is not shared with
the individual appraised. Why some people then think
that they do get the opportunity to respond to the
appraisal result? This is because the system in BEL is
such that in case an individual gets very poor rating or
very excellent rating then individual counselling is
provisioned to confirm the ratings and the reason
behind such ratings.

35
Q.5 Are you rated on your competencies-
Knowledge, skills, and attributes?

Responses
YES - 72%
NO - 28%

72% respondents believe that they are rated on their

competencies- knowledge, skills and attributes.
However 28% deny the same. In the appraisal sheet
itself there is one section called potential appraisal. In
this section the appraisee is rated on the various traits
keeping the existing role as well as future positions in
perspective. One of the traits is Professional
Competence, which I think covers knowledge as well as
skill part of an individual.

Q.6 There should be some incentives based on

the individual and group performance?

Responses
YES - 88%
NO - 12%

Majority of the respondents want that there should be

some incentives based on the individual and group
performances. They agree to the point that a star
performer and a low performer of same managerial
level are getting paid exactly the same. This
sometimes acts as a demotivating factor for the star
performer as well. A slight differentiation should be
there for the performer and non performer. Further
incentives on group performance increases the group
cohesiveness and boost up the integrity.

Q.7 Are you provided with the genuine

feedbacks?

36
Responses
YES - 27%
NO - 73%

Majority feels that they are not given genuine

feedbacks. On the basis of personal interaction I can
say that people are not satisfied with the kind of
feedbacks they get. They say that the appraisal result
is confidential but apart from the appraisal feedback,
otherwise also they are not provided with the routine
feedback on their performance. They are of the opinion
that if they are provided with the genuine feedback
then they can improve their performance manifolds.
But there are 27% people who think they are provided
with the genuine feedback. In that case I would say
that they are lucky to have those sort of superiors.

8. Do you think management take a serious note

of training requirements shown in the appraisal?

Responses
YES - 38%
NO - 62%

38% respondents feel that the management takes a

serious note of training requirements shown in the
appraisal. At the same time 62% respondents are of
the opinion that the management doesn’t pay any
heed to the training requirements shown in the
appraisal sheet.
In performance appraisal sheet every individual has to
mention the training requirements which is then
assessed by the reviewing officer and then by
accepting officer. Once it is over the requirements are
sent to the Academy. In my opinion if this thing is
mentioned in the performance sheet then it should be
taken care of properly. But the respondents say that it
is mere formality.

37
 (1-5 Scale Rating)

SATISFACTION WITH PERFORMANCE RATING

PROCEDURE

Analysis based on the following question:

Q.1 Are you happy with the procedure of rating

the performance at BEL, Ghaziabad?

25

20

15
No. of Emp
10

0
ES S US EUS DN

Satisfaction With Number of

Performance Rating Employees
Extremely Satisfied 6
Satisfied 16
Unsatisfied 21 38
Extremely
Unsatisfied 11
Don’t Know 6
 Only 36.67% of the sample size is extremely

satisfied & satisfied with the performance rating

procedure in the BEL, Ghaziabad whereas

53.33% of the sample population is unsatisfied &

extremely unsatisfied.

AWARENESS ABOUT PIP (PERFORMANCE IMPROVEMENT

PLAN)

Analysis based on the following question:

Q.2Do you know about PIP?

39
 AWARENESS ABOUT PIP

20

15

10
Number of Employees
5

0
Yes
No

Number of
Awareness about PIP Employees
Yes 18
No 2

90% of the employees are aware about the PIP

(Performance Improvement Plan) whereas 10%

are unaware.

SATISFACTION WITH PIP

Analysis based on the following question:

Q.3 Do you think PIP is an effective improvement plan?

40
 25

20

15
No. of Emp
10

0
EE E IE EIE DN

Satisfaction with Number of

PIP Employees
Extremely Effective 19
Effective 25
Ineffective 8
Extremely Ineffective 5
Don’t Know 3

73.33% of the sample size agrees that PIP is an

extremely effective & effective Performance

Improvement Tool whereas only 21.67% of sample size

thinks it is ineffective & extremely ineffective.

NEED FOR TRAINING AND DEVELOPMENT

41
Analysis based on the following question:

Q.4Do you think training and development helps in

improving your performance?

25

20

15
No. of Emp
10

0
EH N DH PTR DK

Need for Training & Number of

Development Employees
Extremely Helpful 16
Natural 22
Don’t Helpful 8
People Themselves Responsible for
T&D 10
Don’t Know 4

63.33% of the sample size found that training and

development extremely & naturally helpful for

performance appraisal.

42
IMPACT ON PERFORMANCE

Analysis based on the following question:

Q.5 Rank them in the order you feel they had an

impact on your performance?

IMPACT ON PERFORMANCE

14
12
10 Rank 1
Rank 2
8
Rank 3
6
Rank 4
4 Rank 5
2
0
Training Positive HR awareness R&R Feedback From
Environment session Manager

Preference Order
IMPACT ON Ran Ran Ran Ran Ran
PERFORMANCE k1 k2 k3 k4 k5
Training 24 21 12 3 0
Positive Environment 36 12 9 3 0
HR awareness session 0 0 9 24 27
R&R 0 27 9 15 9
Feedback From
Manager 0 0 21 15 24

43
TRAINING

40% of the employees consider training as the

most effective factor for improving performance
amongst the given preferences.

POSITIVE ENVIRONMENT

60% of the employees consider training as the

most effective factor for improving
performance.

HR AWARENESS SESSIONS

45% of the sample size considers it the least

effective factor for improving the performance.

R&R

45% of the employees consider R&R as the

second most effective factor for enhancing the
performance.

FEEDBACK FROM THE MANAGER

44
40% of the employees consider it the least
effective factor for enhancing the performance.

ENHANCE PERFORMANCE

Analysis based on the following question:

Q.6 To what extend the following factors enhance your

performance?

a. Maintaining regular records and feedback

b. Setting goals
c. Unity in teamwork
d. On-job activities
e. Adapting to changing circumstances

Enhance Performance

18
16
14 To Some extend
12
10 To Large extend
8
6 Not at all
4
2
0
Activities
records and

teamwork

circumstances
Maintaining

Setting Goals

On-Job
Unity in
feedback

Adapting to
changing

ENHANCE To Some To Large Not at all

45
 PERFORMANCE extend extend
Maintaining records and
feedback 9 51 0
Setting Goals 12 48 0
Unity in teamwork 15 45 0
On-Job Activities 12 48 0
Adapting to changing
circumstances 9 51 0

INTERPRETATION

Based on the above analysis 36.67% of the

employees are happy with the procedure of
rating the performance. 90% of the employees
are aware about the PIP. 41.67% of the
employees found that PIP is an effective
improvement plan. 36.67% of the sample size
found that there is need for training and
development. 40% of the people considers
training and development as the most effective
tool for enhancing performance and 45% of the
total population found that R&R the least
effective tool for performance improvement.

46
LIMITATIONS
 Due to time constraint and hectic schedule of BEL
employees some time I found difficulty in
interaction with employees.

 Organization being very large an effort was made

to do the tasks effectively and efficiently but
more detailed study could have done by having
large sample size.

 Employees delayed in submitting the feedback

form so it effected the time in compiling and
analyzing data for findings and suggestions.

 Many questions were responded as “Don’t Know”

due to the subjectivity of the topic and some
information was not revealed due to certain
reasons like being confidential in nature.

47
MAJOR FINDINGS

 Performance Appraisal System in BEL is not

transparent.
 Appraisers are usually unbiased.
 The management is serious about the
appraisal process.
 The appraisal process provides them an
opportunity for development and growth.
 Relations with the superior affect the
evaluation.
 There are fixed standards to evaluate the
performance but those are not clear due to
the subjectivity of the topic.

48
  Superior-subordinate relations are good.
Superior helps them set and achieve
meaningful goals. This makes the
environment amiable and congenial.
 Performance appraisal sheet is lucid and
easy to understand and fill.
 Individual feedback is not provided.
 Employees are not provided with the
genuine feedback.
 Appraisal counselling is considered
beneficial for future developments.
 Management doesn’t bother much about
the training requirements mentioned in the
appraisal sheet.

RECOMMENDATIONS

The performance appraisal system of BEL is of good

quality. With the introduction of new e-PAR system, the
PMS system is refined further. On the basis of the
analysis of responses and findings I have reached to
some conclusions. So taking them into consideration
few steps may be considered to strengthen the
performance appraisal system.

 The system should be made more transparent.

This can be achieved by creating awareness
among the employees regarding each and every
aspect of the appraisal process. They should be

49
 made aware about the standards and the
criterions for evaluation.

 The appraiser and appraisee should sit together

and then the appraiser should rate the appraisee
for his performance and should state the reason
for the same. This will increase the level of
transparency.

 The genuine feedback should be provided to the

employees. So that they may be in a position to
know where they stand exactly. So that they can
identify their performance gaps and prepare
accordingly for the future.

 The general belief among employees is that the

relations with the superior affect the evaluation
process. This is not good as this creates a sense
of favoritism in the organization. For this the
raters should always consider the performance as
the only measure for the evaluation.

 Management should take serious note of the

training requirements shown by the individual in
the appraisal sheet. Training plays a vital role in
the development of an individual and helps
improve the performance.

 Some incentives should be introduced on the

performances basis. This thing creates a sense of
healthy competition among employees which
boost up the growth of the individual as well as
the organization.

ANEXXURE

QUESTIONNAIRE

50
Name (Optional):
Designation:

1) Since how long you have been a part of BEL,

Ghaziabad?

_______________________________

2) Are you happy with the procedure of rating

the performance at BEL, Ghaziabad?

a) Extremely Satisfied
b) Satisfied
c) Unsatisfied
d) Extremely Unsatisfied
e) Don’t know

3) Do you know about the PIP (Performance

Improvement Plan)?

a) Yes b) No

4) Do you think PIP is an effective improvement

plan?

a) Extremely Effective
b) Effective
c) Ineffective
d) Extremely Ineffective
e) Don’t Know

51
5) Do you think training and development helps
in enhancing your performance?

a) Extremely Helpful
b) Natural
c) Don’t Helpful
d) People themselves Responsible for T&D
e) Don’t Know

6) Rate them in the order you feel they had an

impact on your performance?

a) Training

b) Positive Environment

c) HR awareness sessions

d) R&R

e) Feedback from the Manager

7) Please encircle the appropriate column:

To some To large Not at

extend extent all
1 2 3

52
 a) Do you think that maintaining regular
records and feedback will help improve your
performance?

( 1 2 3
)

b) Setting goals will enable me to achieve a

better work life balance.

( 1 2 3
)

c) Maintaining unity in our teamwork improves

efficiency and able to finish the task within a
period
( 1 2 3
)

d) I firmly believe that one can improve oneself

by involving in on-job activities and active
participation.
( 1 2 3
)

e) Adapting to changing circumstances is the

key for my success

( 1 2 3
)

8) Suggestions? If any, to enhance your

performance.

53
 “Thank You”.

BIBLIOGRAPHY

1. http://www.bel-india.com/

2. http://www.google.co.in/

3. http://en.wikipedia.org/wiki/Bharat_Electronics_Li
mited

4. http://humanresources.about.com/od/retention/Re
tention_of_Employees_Tips_and_Tools_for_Employ
ee_Retention.htm

5. Mathis, R. L & Jackson, J. H. (2004). Human

Resource Management. Thomson Asia Pte. Ltd.,
Singapore

6. Chadha, P. (2003). Performance Management: It’s

About Performing – Not Just Appraising. McMillan
India Ltd.

54
55