CONTENTS

CERTIFICATE ACKNOWLEDGEMENT PREFACE 1. About the Project 2. About the Company a. Reliance Group b. Business c. Reliance Major Mile Stones d. Vision e. Mission f. Organization Structure g. Work Levels 3. Research Methodology 4. General Introduction a. Human Resource Planning b. Recruitment c. Selection d. Induction Induction In Reliance Infocomm Ltd. 5. General Introduction Performance Appraisal Objective Suggested Format Methodology Methods

Appraisal System At Reliance Infocomm Ltd. 6. Findings & Analysis 7. Recommendations 8. Suggestions 9. Bibliography

The Summer Training of a management student plays an important role to develop him a well, groomed professional. It is a golden opportunity for him to give the theoretical

concepts a practical shape in the field of application. It gives him an idea of dynamic and versatile professional world as well as an exposure to the intricacies and complexities of corporate world. My summer training for 2 months at Reliance Infocomm Limited, Jaipur was an eye opening experience to see the impact of liberalization of 90s. It has brought the corporate sector into global mainstream and momentous market reforms. As the telecommunication industry is marching with gushing speed towards the horizon, Reliance Infocomm Limited is also heading with great speed to keep pace with the basic telephony. In M.B.A we are taught above the subjects, which if not applied properly is a simple waste of time. At Reliance Infocomm Limited I got a chance to apply my theory to the latest technological, general management and marketing environment. In the 2 months of exposure I learned a lot on various aspects of organizational structure, departments, technology, communication and their impact. Now after 2 months I can say one thing for sure that the best way to learn is at work. It was a real interesting experience and I enjoyed every part of it and hope that it would be helpful in my future.

COMPANY PROFILE
Reliance Infocomm is the out come of the Late visionary Dhirubhai Ambani's (1932-2002) dream to herald a digital revolution in India by bringing affordable means of information and communication to the doorsteps of India's vast population. "Make the tools of Infocomm available to people at an affordable cost, they will overcome the handicaps of illiteracy and lack of mobility", Dhirubhai Ambani charted out the mission for Reliance Infocomm in late 1999. He saw in the potential of information and communication technology a once-in-a-lifetime opportunity for India to leapfrog over its historical legacy of backwardness and underdevelopment. Working at breakneck speed, from late 1999 to 2002 Reliance Infocomm built the backbone dream into reality for a digital India 60,000 kilometers of fiber optic backbone, crisscrossing the entire country. The Reliance Infocomm pan-India network

was commissioned on December 28,2002, the 70th birth anniversary of Dhirubhai. This day also marked his first birth anniversary after his demise July-6, 2002.

RELIANCE GROUP
The Reliance group founded by Dhirubhai H. Ambani (1932-2002) is India's largest business house with total revenues of over Rs 99,000 crore (US $ 22.6 billion), cash profit of Rs 12,500 crore (US $ 2.8 billion), net profit of Rs 6,200 crore (US $ 1.4 billion) and exports of Rs15, 900 crore (US$ 3.6 billion). The group activities span exploration and production (E&P0 of oil and gas, refining and marketing, petrochemicals (polyester, polymers and intermediates), textiles, financial services and insurance, power, telecom and infocomm initiatives. The group exports its products to more than 100 countries the world over. Reliance emerged as India's Most Admired House, third year Mode 2003. in Business for a the TNS for successive survey

Reliance Group revenue is equivalent to about 3.5% of India's GDP. The Group

contributes nearly 10% of the country's indirect tax revenues and over 6% of India's exports. An investor family of over 3.1 million India's largest, trusts reliance. The Reliance Group companies include: Reliance Industries Limited, Reliance Capital Ltd., Reliance Industrial Infrastructure Ltd., Reliance Telecom Ltd., Reliance General Insurance Company Ltd., Indian Petrochemicals Corporation Ltd. and Reliance Energy Ltd.

BUSINESS
Reliance Infocomm offers a complete range of telecom services, covering mobile and fixed line telephony including broadband, national and international long distance services, data services and a wide range of value added services and applications that helps enhancing productivity of enterprises and individuals. Reliance India mobile, the first of Infocomm initiatives was launched on December 28, 2002, the 70th birthday of the Reliance group founder, Shri Dhirubhai H. Ambani. This marks the beginning of Reliance's dream of ushering in digital revolution in India by becoming a major catalyst in improving quality of life and changing the face of India. It aims to achieve this by putting the power of information and communication in the hands of the people India at affordable costs.

Reliance Infocomm will extend its efforts beyond the traditional value chain to develop and deploy telecom solutions for India's farmers, businesses, hospitals, government and public sector organizations. Reliance Infocomm is in the process of setting up best- -in-class work facilities across major cities in India. At Mumbai, the Dhirubhai Ambani Knowledge City hosts more than 3000 professionals with a range of office complexes, food courts, avenues and boulevards, fountains, video conferencing and other advanced communication infrastructure. Apart from the physical work setting, Reliance Infocomm is fostering a work climate marked by positive energy, teamwork and performance ethic.

We are committed to building a non-hierarchical and open work environment... a result driven meritocracy. "We bet on people" said Dhirubhai Ambani, the legendary founder. This is at the core of Reliance Infocomm Business philosophy. Reliance Infocomm believes in hiring world-class talent and supporting them with an enabling organizational framework.

Reliance - Major Milestones

1977 First IPO to the Indian Public. 1982 Launched Phase 1 of the Polyester Filament Yarn (PFY) Plant. 1985 Entered Phase 2 of the Polyester Filament Yarn (PFY) plant. 1986 Started the Polyester Staple Fiber (PSF) Plant. 1986 Started PTA Plant. 1987 Started the Linear Alkyl Benzene (LAB) Plant. 1988 Started the PX Plant. 1991 Launched Phase 1 of MEG plant. 1991 Set up the Vinyl Chloride Monomer (VCM) and PVC plants). 1992 Commenced the production of High Density Polyethylene (HDPE). 1992

Offered the first ever Euro Issue of Global Depository Receipts by an Indian company.

1992 Set a record with Reliance Twin issues that received over 1 million investor applications. 1993 Sales crossed Rs. 4,000 crores making Reliance Indias largest private sector company. 1993 Offered the first Euro Convertible bond issue. 1993 Indias largest public offering Reliance Petroleum Issue. 1994 Offered the second Euro issue of GDR. 1995 Net profit crossed the Rs.1, 000 crore mark (Rs 1,065 crores or US$ 338 million), Unparalleled in the Indian Private sector. 1995-96 Reliance became the first private sector company to be rated by international credit rating agencies. S&P rated BB+, stable outlook, constrained by the Sovereign Ceiling. Moodys rated Baa3, Investment grade, constrained by the Sovereign Ceilings. 1996-97 Completion of Rs. 9,000 crore (US $ 2.5 billion) Hazira complex increasing production capacity From 1.5 million tonnes to more than6 million tonnes. 1997 First corporate in Asia to issue 50 and 100 years bond in US debt market.

1998

Following plants commissioned, 000 TPA bottle-grade PET plant120, 000 TPA MEG plant, 000 TPA PTA plant 200,000 TPAPE plant. 1999-2000 Jamnagar Petrochemicals complex and bulk of integrated refinery complex commissioned Comprising: Worlds largest grassroots refinery Indias largest port with capacity of 50 million TPA Worlds largest PX Plant of 1.4 million TPA Worlds largest PP plant of 0.6 million TPA Captive power plant of over 300 MW World class product handling, storage, and dispatch facilities. 2000 Started commercial production of million TPA refineries, the 5th largest in the world. 2000 Increased stake in BSES by an open offer. 2000 Launched share buyback program. 2000 Reliance Infocomm plans announced. 2001 RIL and RPL become Indias two largest companies in terms of all major financial parameters.

2002 RPLs merger with RIL to create Indias first and only private sector Fortune Global 500 company. 2002 Reliance acquires governments 26% stake in IPCL, Indias 2nd largest petrochemicals company.

VISION

MR. ANIL AMBANI CHAIRMAN RELIANCE GROUP "We will leverage our strengths in executing complex global-scale projects to make leading edge information and communication services affordable by all individual consumers and businesses in India. We will offer unparalleled value to create customer delight and enhance business productivity. We will also generate value for our capabilities beyond Indian boarders while enabling millions of knowledge workers to deliver their service globally." Reliance Infocomm envisions a digital revolution that will sweep the country and about a new way of life. A digital way of life for a new India. With mobile devices, network and broadband linked to powerful digital networks, Reliance Infocomm will usher fundamental changes in the social and economic landscape of India.

Reliance Infocomm will help men and women connect and communicate with each other. It will enable citizens to reach out to their work place, home and interests, while on the move. It will enable people to work, shop, educate and entertain themselves round the clock, both in the virtual world and in the physical world. It will make available television

programmes, movies and news capsules on demand. It will unfurl new simulated virtual worlds with exhilarating experiences behind the screens of computers and televisions. Users of Reliance Infocomm's full range of services would no longer need audiotapes and CDs to listen to music. Videotapes and DVDs would not be necessary to see movies. Books and CD ROAMs would not be needed to get educated. Newspaper and magazines would not be required to keep abreast of events. Vehicles and wallets will become unnecessary for shopping. Reliance Infocomm will disseminate information at a low cost. " Make a telephone call cheaper than a post card." These prophetic words of Dhirubhai Ambani will be a metaphor of profound significance for Reliance Infocomm. Reliance Infocomm will regularly unfold new applications. Continually adapt new digital technologies. Create new customer experiences. Constantly strive to be ahead of the world.

Reliance Infocomm will transform thousands of villages and hundreds of towns and cities across the country. Above all, Reliance Infocomm will pave the way to make India global leader in the knowledge age.

RELIANCE INFOCOMM MISSION

To create an integrated infrastructure with state of the art digital technology to provide innovative, cost effective and world class convergent services to our customers. Reliance Infocomm will be India's defining services provider and the most preferred one among other companies. Reliance Company will achieve dominant market share in India in coming one or two years and will rank among the world's top 10 companies by 2007.

HR MISSION
Facilitate, coach and enable best in class and leading edge HR practices across the extended enterprise of Reliance Infocomm and thereby nurture a customer center, positive energy organization that will maximize stakeholder satisfaction.

OBJECTIVES OF THE COMPANY

To provide integrated services combining infrastructure related services and connectivity to deliver and results. Exploit convergence of Infotech and Telecom. Provide end-to-end services and managed applications. Reliance is building a nationwide, unlimited bandwidth, connecting top 115 cities in 1st phase and then eventually reaching to a level of connecting 1500 cities by the end of year 2005 representing 50% of India's GDP. All optics, facilities based. Intelligent IP networks robust and scalable. Reliance will leverage its bandwidth and related infrastructure to capture value across the entire digital chain. A complete bouquet of services, and high quality end-to-end connectivity, will enable it to offer a superior value proposition to customers.

ORGANIZATION STRUCTURE

The organization structure defines various levels of organization i.e. Business, Work Centers, Functions, Circles, Cities, etc. The Reliance Inocomm Organization structure includes: Business Unit: Enterprises, consumer, Wholesale, & Web stores Work Centers: Network (O&M - Wireless, O&M - NLD/ILD, O&M - IDC, O&M - OSP, EWCLong Distance, EWC-Wireless, EWC-Wire line, OSS, ITC, NOC), Call Center, BSS, (CRM, RA) m, Billing and Collection, Applications and Solutions Group Functions: Staff Function Infocomm operations are spread over 673 cities in the following Circles: 1. Andhra Pradesh 3. Gujrat 5. Kerala 7. Rest of Maharastra 9. Punjab, Harayana & H.P. 11. U.P. (East & West) 2. Delhi and Rajasthan 4. Karnataka 6. M.P.& Orissa 8. Mumbai 10. Tamilnadu 12. West Bengal & Bihar HR, Commercial, Purchase/Logistics, IT Infrastructure, And Corporate

WORK LEVELS
The organization structure also defines the organizational functions, considering the nature and scope of functions to be performed. The following four work levels broadly indicate the nature of accountability and responsibility assigned to role holders at the work level. WORK LEVELS 1. L1-Leadership 2. L2- Managerial

3.

L3-Executive role -

4. Accountable

L4-Support for participating and leading strategy

L1-Leadership

creation/direction. Overall business/team performance responsibility for designated area. L2-Leadership Role- Accountable for execution of business plan and achievement of team/individuals targets .Be responsible for maintenance of key company assets (customers, physical assets, people) L3- Leadership Role- Responsible for achieving individual/ team target. L-4 -Support Role- Responsible for performing assigned activities and support other work levels.

TELECOM SECTOR AN OVERVIEW

The $8 billion telecommunications sectors in India have undergone a major

transformation in the past couple of decades. From a complete monopoly of the public sector, the telecom industry has witnessed the breaking down of monopolies and significant policy reforms, favoring the entry of private players. The private sector has been allowed to make a foray not only into value added services, such as cellular and paging services, but also the basic telephony services. Reforms have taken place in the telecom sector in three phases. The first phase began in the 1980s when in 1984; private manufacturing of customer premise equipment was given the go- ahead. Proliferation of individual STD/ISD/PCO network took place through out the country by way of private individuals franchisees. Also, two large corporate entities, the Mahanagar Telephone Nigam (MTNL) and Bharat Sanchar Nigam Ltd. (BSNL) were created out of the department of telecommunications (DOT) to handle the sectors of Mumbai and Delhi respectively. A high-powered telecom commission was set

up in1989 and Videsh Sanchar Nigam Ltd. (VSNL) was made the international service provider catering to all telecom services originating from India. The second phase of reforms in the telecom sector Commenced in 1991 with the announcement of the new economic policy. To

begin with, the manufacturing of telecom equipment was delicensed in 1991, while radio paging services were opened up in the 1992. In 1994, the basic telephony sector was opened up by providing licenses to six companies to operate in the basic areas. These companies were: Bharti Telenet, Essar Commvision, Shayam telecom, Hughes

Telecom, Tata Teleservices and reliance Telecom. The National Telecom Policy in 1994 emphasized on Universal Services and Qualitative Improvement in telecom services. While an independent statutory regulatory was established in 1997, the Internet services were opened up in 1998. Since then, more companies have been given the go-ahead to basic telephony, such as Reliance, Tatas, HFCL, Bharati, Aircel, Digilink and Birla AT&T. The third phase of reforms in the telecom sector began in the late 1990s, with the announcement of the New Telecom Policy in 1999. The underlying theme of the reform process of NTP was to usher in full competition through unrestricted entry of private players in all service sectors. The policy favored the migration of existing operators from the era of fixed license fee regime to that of revenue sharing. The duopoly rights of the MTNL and VSNL (VSNLs monopoly ended in April 2002 when the sector was thrown open to the private sector) were discontinued to herald the era of unlimited competition in the industry.

RELIANCE INFOCOMM

Range of services and Areas of Operations: Telecommunications is now universally recognized as one of the prime movers of the modern economy. According to a world Bank study, a 1% increases in tele density, leads to a 3% increase in GDP, lending support to the fact the availability of adequate telecom infrastructure leads to an acceleration of economic development. India has the lowest mobile penetration at around 0.3%. In terms of fixed line penetration, Hong Kong and Taiwan lead with 57%, while India and Indonesia lag with around 3.4% penetration. India has more than double the number of television households compared to telephones. It is necessary to change this and unleash a communications revolution that will transform India socially and economically. Reliance Infocomm was launched in the year 2000 with the above in mind. Highlights Only private sector Company to have all services, all India strategy. Fixed line services in 18 telecom circles. Cellular services in 13 state covering 380 million people. Long distance services in 229 of the country's 323 Long Distance Charging Areas (LDCAs) International long distance services 1,000,000 Sq. Ft. of state of art data centers.

National Backbone Created a 60,000km, pan India optical fiber transmission network, which is "Best in Class" This G-655, 48-fiber cable network will carry terabits of voice, data and video information. Ring network architecture will provide resilient, secure and scalable super Info ways. Over this backbone will ride our mobile, broadband access, national long distance and international traffic? Connected to this network are our International Gateways for world connectivity using submarine cables and satellite bandwidth.

In December 2002, Reliance Infocomm ushered a digital revolution in India. The company's catch line 'A New Way of Life' reflects the dream of Reliance Founder chairman Dhirubhai Ambani to place the power of information and communication in the hands of common people at an affordable cost. Reliance Infocomm has created an overarching digital infrastructure using state of the art technology on the strength of a 60,000km terabit capacity optic fiber network linking more than 600 cities and towns in India. The goal Of Reliance Infocomm is to progressively expand its optic fiber network and eventually cover 116,000 km, with the ability to seamlessly connect every individuals, home, and office in all 640,000 villages and 2,500 towns and cities of India.

Further, Reliance India Mobile has captured nearly 60 percent of the incremental post paid market or 25 percent of the total postpaid segment, all in a matter of just ten weeks. Reliance Industries is the lead investor in Reliance Infocomm. The overall capital expenditure for Reliance Infocomm has been estimated at Rs. 18,000 crore (US $ 3.5 billion) compared to the initially announced Rs. 25,000 crore (US $ 5 billion)

RESEARCH METHODOLOGY

RESEARCH METHODOLOGY
Critical Incident Score The basis of this method is the principle that there are certain significant acts in each employees behavior and performance, which makes all the difference between success and failure on the job.

The supervisor keeps a written record of the events (either good or bad). Feedback is provided about the incidents during the performance review session. Various behaviors are recorded under such categories as the type of job, requirement for employees, judgment, learning ability, Several research studies are undertaken and accomplished year after year but in most cases very little attention is paid to this important dimension relating to research. Research design is a model of master plan for gathering formal information. It calls for certain specification of methods and procedures for obtaining the required information. Marketing Research Project is defined as either EXPLORATORY RESEARCH or DESCRIPTIVE RESEARCH depending upon the objectives of the study.

The object of the Exploratory is to seek new ideas and to discover new relationship between different set of factors in a way that will permit statement of specific hypothesis. To find out this hypothesis, study of secondary sources of information, survey of knowledgeable person or case studies are conducted. Descriptive research describes situation and provides information, which helps in decision-making. Such research requires a formal design, which helps the researcher to identify cause and affect relationship. This can be done by case statistical study and experimentation. The present research is a descriptive research, as it wants to find out effectiveness of present performance appraisal system. The information has been gathered from survey of sample people selection from the company. At last the research design is the conceptual structure within which research is conducted. In brief we can say the research problem. Research design is related to purpose or objective of research problem and also finds the nature of the problem to be studied.

COLLECTION OF DATA
Data collection is an integral part of the marketing research. There are several ways of collecting the appropriate data, which differ considerably in context of money costs, time and other resources at the disposal of the researcher. The researcher should keep in mind two types of data viz. Primary and Secondary. The primary data are those, which are collected afresh and for the first time, and thus happen to be original in character. Primary data can be collected by various methods, i.e. by observation, telephonic interviews, through scheduled or self-administered questionnaire. The secondary data are those, which have already been collected by some one else like various journals and publications of the company and that are used for quick compilation of the report. Thus they are second hand in nature. The data for this research project has been collected through self-administered.

QUESTIONNAIRE

Quite often questionnaire is considered as the heart of survey operation for this research project a survey questionnaire has: been prepared and in this type of questionnaire the

questions are presented with exactly the same wording and in the same order to all respondents. Structured questionnaire may also have fixed alternative question in which responses of the informants are limited to the stated alternatives. Choices like dont know, can not say which help the respondent to skip questionnaire have been avoided as it is technically inefficient due to time limitation and other constraints direct personal interview method was used, to gather the point information and for easy tabulation and compilation of data

GENERAL INTRODUCTION
HUMAN RESOURCES PLANNING RECRUITMENT SELECTION

INDUCTION

HUMAN RESOURCES PLANNING

Human Resource planning is the process of determining the number and kind of human resources required in an organization for a specific time period in future.

PROCESS OF HUMAN RESOURCES PLANNING Analysis Organizational Plans

Objectives and strategies Market Forecasts & budgets Financial Plans Production Targets

Demand forecasting
Number of people required Skill Requirements Job categories

3. Supply Forecast
Number of people employed Addition due to transfers and promotions External supply

4. Estimating Manpower gaps

Surplus Shortages

5. Manpower Plan
Recruitment & Selection Training and Development Redeployment/retrenchment Redundancy Retention/Internal mobility Productivity

6. Monitoring and control

MANPOWER PLAN
1. Recruitment Plan Number and type of person required Time period when required Possible resources of recruitment Selection techniques to be used Any special problems anticipated and how they are to be overcome Transferring to other units Retraining for new jobs Number and names of redundant Departments/units where redundancy exists Time of redundancy Retraining whenever possible Voluntary separation Retrenchment and layoff Ratio of promotion to external recruits Basis of promotion Reservation, if any, in promotion

2. Redeployment Plan

3. Redundancy Plan

4. Promotion Plan

5. Transfer Plan Transfer policy and rules

Channels of transfer Number of people to be trained Existing employees to be retrained Skill areas for training Availability of trainers Training period Methods of training New courses to be developed and changes to be made in existing courses Work specialization Mechanization and automation Job redesign Training and refresher training Incentives and profit sharing schemes Participation Productive bargaining Improving compensation levels Providing opportunities for career development Changes in work requirements Opportunity for participation

6. Training and Development plan

7. Productivity Plan

8. Retention Plan

RECRUITMENT
Recruitment is the process of searching for prospective employees and stimulating and encouraging them to apply for job in an organization.

RECRUITMENT PROCESS

1. Recruitment process generally begins when the personnel department receives requisition for recruitment from any department. The personnel requisitions contain details about the position to be filled, number of person to be recruited, the duties to be performed, qualification required, terms and conditions of employment etc. 2. Locating and developing the sources of required number and type of employees. 3. Identifying the prospective employees with required characteristics. 4. Communicating the information about the organization, the job and the terms and conditions of service. 5. Encouraging the identified candidates to apply for job in the organization. 6. Evaluating the effectiveness of recruitment process.

RECRUITMENT POLICY
a) To find and employ the best qualified persons for each job. b) To retain the most promising of these hired. c) To offer promising opportunities for life time working careers. d) To provide facilities and opportunities for personal growth on the job.

SOURCES OF RECRUITMENT Recruitment

Internal Sources a) Transfers b) Promotions (c) Placement Agencies External Sources (a) Press Advertisement (b) Educational Institutions

(d) Employment Exchanges (e) Recommendations

METHODS OF RECRUITMENT
Recruitment methods or techniques are the means by which an organization establishes contacts with candidates, provides them necessary information and encourage them to apply for jobs. Methods of Recruitment Direct Method 1. Direct Method (Educational and Training Institutions) 2. Indirect Method (Advertisements in newspapers, journals on the radio and televisions) 3. Third Party Method (Public employment exchanges, management consulting, firms, professional societies, trade unions, labour contractors) Indirect Method 3rd Party Method

SELECTION
Selection is the process of choosing the most appropriate person from the available candidates. Selection may be described as a process of Rejection because generally more candidates are turned away than are hired. The purpose of selection is to pick up the right person for every job.

SELECTION PROCESS
1. Preliminary interview Initial screening is done to weed out totally undesirable/ unqualified candidates. Preliminary interview is a sorting process in which prospective candidates are given the necessary information about the job and the organization If the candidate is found suitable, then he is selected for further screening. 2. Application Blank Application Blank form should provide all the information relevant to selection. Generally an application form contains the following information: (a) Identifying Information (b) Personal Information (c) Physical characteristics (d)Family background (e) Education (f) Experience (g)References

3. Selection Test Psychological tests are used in employee selection. A test is a sample of same aspect of an individuals attitude, behavior and performance. Tests are helpful in better matching of candidate and job. Tests are useful when the number of applications is large. 4. Employment interview An Interview is a conversational between two persons. In selection it involves a personal, observational and face appraisal of candidate for employment. 5. Medical Examination Applications who have crossed above stages are sent for a physical examination to serve the following purpose: (a) It determines whether the candidate is physically fit to perform the job. (b)It identifies candidates who are otherwise suitable but require specific jobs due to physical handicaps and allergies. 6. Reference Checks The applicant is asked to mention in his application form the name and addresses of two or three persons who know him well. 7. Final Approval In most of the organizations, the HR department carries out selection process. Employment is offered in the form of an appointment letter mentioning the post, the rank, the salary, the date by which candidate should join and other terms & conditions.

INDUCTION
Orientation or induction is the process of receiving and welcoming an employee when he first joins a company and giving him the basic information he needs to settle down quickly and happily and start work.

Induction is the technique by which a new employee is rehabilitated into the changed surroundings and introduced to the practices, policies and purposes of the organization. It is concerned with the problems of introducing or orienting a new employee to his work group, supervisor and the organization. It is the beginning of the fusion process and it helps integration and agreement between the organizational goals and the personal goals of the new employee. Induction may also be viewed as the socializing process by which the organization seeks to make an individual its agents for the achievements of its objectives and the individuals seeks to make an agency of the organization for the achievement of his persona goals.

PURPOSE
To promote the feeling of belongingness and loyalty, and confidence among the new employees. To give the new information he needs such as rules and regulations, cafeteria and other facilities, time to break off, etc. To foster a close relationship between new workers, old workers and supervisors.

INDUCTION PROCEDURE
These exists no model procedure. Each industry develops its own procedure as per its need. The procedure should basically follow these steps:(a) The new person needs time and a place to report to work.

(b)It is very important that the supervisor or the immediate boss meet and welcome the employee to the organization. (c) Administration work should be completed. Items as vacations, probationary period, medical absences, suggestion systems, should be covered. (d)The department orientation can be conducted which include acquainted talk, introduction to the department, explanation to the function department, and job

(e) Instruction and to whom he should look for help when he was any problem. (f) Verbal explanations are supplemented by a wide variety of printed material, employee handbooks; flyers employee manuals house journals, picture stores, pamphlets etc., along with short guided tour around the plants. Orientation programme usually cover things like employee compensation benefits, personal policies, the employers daily routine, company organization and operations and safety measures and regulations.

Orientation is generally provided on the following: Company policies, practices, objectives and regulations. Personal policies and source of information. Terms and conditions of service, ammonites and welfare facilities. The company, its history, products, process of production and major operations involved in his job. Structure of organization- the geography of plant and functions of various departments. Grievance procedure and disciple handling. Social benefits and recreation services. Opportunities, promotions, transfers, suggestion schemes and job satisfaction.

INDUCTION IN RELIANCE INFOCOMM

A 2-day induction programme (INEP) is offered to all new employees. This program provides information on the history of the company (Reliance Group), the fundamentals of telecomm business and introduces technologies and key concepts of the business. The program shares the companys strategic objectives, organization structure and processes and systems. Presentations are made from representatives from various business units and functions.

PROCESS FOLLOWED BY RELIANCE INFOCOMM LTD.

RECRUITMENT PROCESS
Business Finalization of Manpower Requisition Requisition Planning Form to be HR Dept. Manpower Sourcing Placement consultants Web Based Job Sites Print Media n Referrals Internal sourcing Rejected Manpower By Dept. Plan Head

Form to Be Filled In Forwarded to

Initial Screening of Applications Aptitude Test Preliminary Interview Psychomotor Test Short-listed n Final Interview Offer Letter Issued y n

Short Listed Rejected Rejected

Candidate Selected

Rejected

1.

Business Planning The process by which management determines how an organization should move from its current position to its desired position? Approach To ensure that the right person is hired for the right job at right times so that there should maximum long-range benefits. Step-1 Analyzing Organization Plans: The objectives and strategic plans of the company analyzed. Plans concerning technology, production, marketing, finance, expansion and diversification give an idea about the volume of future work activity. A companys plans are based on economic forecast, companys sale and expansion forecast. Step-2 Forecasting Demand: (1) Assess factors affecting the demand e.g. growth plan, expansion plan (2) Assess the skills/ competencies required in each area -Plan should contain the nos required per function/level -Proposed manpower budget and time form The plan will be prepared annually by the HR unit along with respective department heads with final approval of the unit head and the president mobility.

Step-3 Supply Forecasting Assess factors affecting the manpower supply both externally and internally -External Factors- HR practices, business competition, macro environment, technology - Internal Factors- HR policies, employee development, salary levels, company image, interpersonal relations, job challenges

Step-4 Estimating Manpower Gap Manpower gap can be identified by comparing demand forecasts and supply forecasts -Deficit suggests the no of person to be recruited from outside. -Surplus us- Redundant to be redeployed or terminated. Step-5 Action Plan/ Manpower Plans Plans are prepared to bridge the manpower gaps -Plans to meet the surplus manpower- redeployment plan by transferring to other units or retraining from new jobs. -Deficit can be met through by recruiting no and type of person required, selection techniques to select the employee can be used

Step-6 Monitoring & control This phase involves allocation and utilization of human resources over time. Review of manpower plan and programmes help to reveal deficiencies Manpower inventory should be updated periodically. 2. Finalization of Manpower Plans The manpower plan is finalized by keeping the following points in the mind: -Demand variables -Supply variables -Market position of the job -Alternatives (Channels) 3. Manpower Requisition Form to be filled in by Head of the Department Manpower Requisition Form contains the following:-Title -No of vacancies -Level/ Grade -Place of Posting

-Nature of Requirement (Permanent/ Temporary) -Age Limit -Educational Qualification -Experience range -Job responsibilities -Supervised by/ supervises whom

4.

Requisition Form forwarded to HR Department The above detail of manpower requisition filed by head of the department is then forwarded to HR Department.

5.

Manpower Sourcing HR Department identify the source of recruitment (both internally and externally) (a) Internally SourceWhenever a vacancy access, it is filled through transfers or promotions. The organization personnel files should provide useful information as to which employees might be considered for the positions opening within the organization. (b) External SourceI. Employment Agencies There are 2 forms of employment agencies II. State or Public Agencies- Help the job seekers find suitable employment and employers to find suitable workers Management Consultants these types of agencies are specialized in middle level and top-level executive placement. Print Media When an organization desires to communicate to the public that it has a vacancy, advertisements are one of the most popular methods.

III.

Web Based Job Sites

Recommended Level: Junior to Middle Management Types of Position All kinds of positions can be advertised but positions which are genetic in nature i.e. I.T., Sales, Finance. Lower level positions are easier to fill through Job sites. List of web based Job Sites 1. 2. 3. Naukri.com Jobstreet.com Jobsahead.com

IV.

Campus Visits The objective is to induce fresh and young blood in the organization and groom them for future senior positions by retaining them. This Young and fresh blood is taped from various educational institutions (i.e. IIMS, IITs, Engineering Colleges, it is, Universities) are good source for recruiting well-qualified executives, engineers, etc. Responsibility for recruitment centrally lies with HR Corporate. Business will inform then requirement, to corporate every year for centralized action.

V.

Recommendations/Referrals In some organization there are formal agreements to give priority in recruitment to the candidates recommended by Trade Unions. Relatives & Friends of employees are given priority in recruitment in some companies.

Each recommended/-referred candidate goes through recruitment and selection process.

SELECTION
It is the process of choosing the most suitable person out of the entire applicant. Matching qualification with the job requirement. Selection divides applicants into two categories (a) Suitable (b) Unsuitable

Objective Hire right the first time. Before selection following key points should be kept in mind (1)Recruit with todays and tomorrows skills in mind (2)Interview for selection not for rejection (3) Step-1 Scrutiny of applications Each and every applications are checked or screened Certain guidelines for screening are: I. Look objectively for experience and job fitment job satisfaction II. Checks for gaps in employment III. Pre degree (college/school/past employers) IV. Roles and responsibilities Hire talent that can be grown

V. Achievements in assignments

Step-2 Aptitude test Aptitude test measures the ability or potential of a candidate to learn a new job skill. This test mainly focuses on a particular type of talent such as reasoning, learning, mechanical bent of mind. Aptitude test is also known as personality test. Step-3 Preliminary Interview Initial screening as done to weed out totally undesirable / unqualified candidates is given the necessary information about the nature of the job and the organization.

Interview
Interview - Dos/ Donts assessment sheet. -Communicate the to the candidates the stipulated time frame within Post Interviewgap between

e Interview

chedule sufficient time

-Complete the interview

andidates.

o not schedule more than

-6 interviews in a day.

eople from same organization

hould not be called on the

ame day

INTERVIEWS
Only experts will conduct interviews. Unit HR either as an internal exercise or in partnership with external resources. All HODs and recruitment Managers should be trained. DO's Plan the interview using the competencies manual. Establish easy and informal environment. Ask open-ended questions. Encourage talk. Analyze career interests. Probe wherever necessary. Question employment. Analyze career interests. Assess strengths and weaknesses. gaps in candidates to At least two members will interview a candidate. At least one of the interviewers should be from the same function. A few Dos and Donts for the interviews are: DON'Ts Start unprepared. Jump to conclusion on inadequate evidence. Talk too much. Pay too much attention to isolated strengths and Weaknesses. Entertain phone calls or other visitors. Reject/ select based on a short interaction.

Maintain direction

control and

over time

taken for the interview. Be well aware about the organization and Plans. Take details on current whether or not. Must ask the candidate for questions towards the end of interview. he/ she has been interviewed earlier

Step-4 Application Blank (form) The application form should provide all relevant information i.e.: Identifying information- Name, Address, and Telephone no. Personal Information- Age, Sex, Place of birth, marital status Physical Characteristics- Height, Weight, Eyesight. Family background Education- Academic, Technical & professional. Experience- Jobs held, Employers, Duties performed, Training, Assignments References Miscellaneous- Extra curricular activities, hobbies, games & sports.

Objectives of Application Form: 1. 2. 3. Step-5 Psycho- Motor test or Skill test Scrutiny of the form helps to weed out candidates who are lacking in education, experience or some other eligibility traits. It helps in formulating questions to be in interview. Data contained in the form can be stored for future reference.

These test are primarily used for selecting workers who have to perform semi skilled and respective jobs. These tests measure a persons ability to perform a specific job. Step-6 Reference Checks The applicant is asked to mention in his application form the names and address of two or more persons who know him well. Some of the broad suggestions are At least two references should be obtained for each candidate. The references should have known the candidate well professionally. There should be a standardized format for reference checks. In case, candidate is hired through consultants/ search partners, then the reference checks would lie on them.

Step-7 Physical Examination All candidates who have been giving job offers and who have accepted the same will be required to undergo a health checkup. It determines whether the candidate is physically fit to perform the job. Physically unfit----- Rejected The company ties up with a reputed hospital/clinic. Some of the suggested tests are: Blood test Complete Haemogram Blood Sugar (Fasting & PP) ECG TMT Eye Examination X-Ray Chest PA

The cost towards the check up will bear by the company.

Step-8 Final Approval The executives of the concerned dept/ unit finally approve the candidate short-listed by the department/unit. Employment is offered in the form of an appointment letter mentioning the post. The rank, the salary grade, the date by which the candidate should join the other terms and conditions.

MAKING JOB OFFER

(After the final approval Job Offer is given)

1- Job offer should be made Face to Face and not over the phone. 2- Details of the candidates compensation and expectation should be taken well
in advance to some time.

3- Details of the offer should be kept ready before the candidate arrives. 4- Do not make commitments, which you cannot keep. 5- The following documents/ information should be provided to the prospective
employee along with the job offer. Company Brochure Latest Newsletter/ Magazine Working hours/ Dress code 6. The offer letter should be handed over to the prospective employee in

an envelope.

PERFORMANCE APPRAISAL
Performance Appraisal is the systematic evaluation of individual with respects to his/ her performance on the job and his potential for development. The performance being measured against such factors as job knowledge, quality and quantity of output, initiative, leadership abilities, supervision, dependability co-operation, judgment, versatility, health and the like. Assessment should not be confined to past performance alone. Potential of the employee for future performance must also be assessed. A Performance Appraisal is a formal structured system of measuring and evaluating an employees job, related behavior and outcomes to discover how and why the employee is presently performing on the job and how the employee can perform more effectively in the future so that the employee, organization and society all benefits.

IMPORTANCE AND PURPOSES

Performance appraisal is considered to be most significant and indispensable tool for an organization for the information it provides is highly useful in making decision:

1. 2. 3.

Regarding various personal aspects such as promotions, salary increase, transfers, demotion and termination. They are means of telling a subordinate hoe he is doing, suggesting needed changes in his behavior, attitudes, skills or job knowledge. The superior uses them as a base for coaching and counseling the individual.

OBJECTIVES OF PERFORMANCE APPRAISAL

To help each employee to understand more and more about his role and become clear about his functions. To help each employee to understand his own strengths and weaknesses with respect to his role and functions in the company. To identify the developmental needs of each employee with respect his role and functions. To increase mutually between each employee and his supervising officer so that every employee feels happy to work with his supervisor and thereby contributes his maximum to the organization.

To increase communication between the employee and his supervising officer so that each employee gets to know the expectations of his boss from him and each boss also gets to know the difficulties of his subordinates and attempts to solve them and thus they together accomplish the tasks.

To provide an opportunity for the employee for self-reflection and individual goal setting so that individually planned and monitored development takes place.

To help every employee internalize the culture norms and values of the organization so that an organizational identity and commitment is developed through out the organizations.

To prepare employee for performing higher-level jobs by continuously reinforcing the development of behaviors and qualities registered for higher-level position in the organization.

To create positive and healthy climate in the organization that drives people to give their best and enjoy doing so.

In addition to assist in a variety of personal decisions by generating data about each employee periodically.

A SUGGESTED FORMAT
In order to achieve these objectives the appraisal format should have the following components: 1) IDENTIFICATION OF KEY PERFORMANCE AREAS (KPAS) Every job has a set of functions to be performed by its holder. In manual jobs generally these are clear and specific. As one goes up in the organizational hierarchy for supervisors and managerial jobs, the activities and functions become complex and many keep on changing priority from time to time. In view of these changing priorities and complexity it is necessary to identify, review, recapitulate and reflect upon the key functions, periodically. In addition to identification of KPAS, it is useful to set targets for the period of appraisal. These targets should deal with the tasks expected to be accomplished by appraise under each KPA during the period that will be review able later. Such target setting helps the appraisal to be clear of the expectations and also provides an opportunity for him to ask for the assistance required from his boss in order to accomplish whatever was set for him. The target setting should be done through a process of mutual consultations and discussions.

2) IDENTIFICATION OF QUALITIES REQUIRED FOR PRESENT AND FUTURE JOBS IN THE COMPANY Another important aspect of employee performance is the extent to which each employee exhibits the qualities desired for the employees of that organization. These qualities may be managerial qualities or behavior constellation. These qualities are also the one that are required for performing functions associated with the higher level jobs in the company. 3) SELF-APPRAISAL At the end of the year of the appraisal period, the appraisal process should begin with self-appraisal by every employee. To appraise ones own self on KPAS targets and qualities appraise would go through a process of reflection and review. Selfassessment may help people to discover their developmental needs and plan for development that also helps the organization. 4) ANALYSIS OF PERFORMANCE BY IDENTIFYING FACILITIES AND INHIBITING FACTORS IN PERFORMANCES Performance analysis is an important component of appraisal. Any ratings to appraise should be given only after analysis of the performance.

Performance analysis should lead to the following: I. Identification of factors that have helped appraise to reach the level of performance he achieved in relation to various KPA targets and various other functions associated with his job. These may be called facilitating factors.

II. Identification of factors that have prevented the appraisal from doing better or those that hindered his performance. These may be called as hindering factors. III. Identification of factors (from those above) about which appraise can do something which the reviewing officer or somebody else in the organization can do something and those for which not much can be done. Such identification would suggest action plans for appraise as well as for the appraisal. IV. Identifying development needs for better performance on critical functions associated with the present role. V. To gain a better under standing about appraise His role requirements and the situation in which he is working.

METHODOLOGY
For doing performance analysis is following steps should be followed: 1. After discussions on KPAS objectives and other dimensions with the reporting officer, appraise should periodically keep reflecting about how well he is progressing in his work and in relation to KPAS. 2. During the performance period whenever the employee comes across success experiences or feels helped in his performance he should be on the factors that are helping him do well and how these are facilitating his performance. 3. 4. Similarly, whenever he experiences failure or runs in to difficulties or feels prevented from doing better he should note the factors that are causing this. At the end of the performance period, appraise consider his own performance on each of the KPAS and other dimensions.

5.

After assigning himself such rating, he should now start listing down all the factors in detail that have prevented him from doing better or that have become constraints on his better performances.

6.

After listing down the facilitating and hindering factors exhaustively appraise should then classify these factors into following categories.

FACILITATING FACTORS
a. Personal or Individual facilitating Factors: All those factors that are attributable to the performance, his abilities effort etc. (e.g. Job Knowledge, Hard Work, etc.) b. Facilitating Factors Attributable to the Reporting Officer: All those actors that is attributable to the reporting officer (e.g. Fast etc.) c. Facilitating Factors Attributable to the Organization and its System: all those factors, which are part of the organization, its structure policies, procedures etc. (e.g. Good working Conditions, Flexible Policies, Open Climate, etc.) d. Facilitating punctuality) e. Facilitating Factors attributable to external environment: These are attributable to the larger socio- economic-politico and other condition of the environment external to the organization (e.g. liberalization of some policies by government, poor image of competitors, etc.) Factors attributable to the Subordinates: Those factors attributable to the approvees own subordinates (e.g.- hard work, cooperation, Decision Making, Guidance,

INHIBITING FACTORS
a. b. c. d. e. Inhibiting Factors attributable to the Individual: e.g. Poor memory, family Problems, Languages, etc. Inhibiting Factors attributable to the Reporting Officer: e.g. Delays in decision-making, Lack of Guidance and direction, Busy Boss, etc. Inhibiting Factors attributable to Subordinate: e.g. Lack of cooperation, absenteeism, Union Problem, etc. Inhibiting Factors attributable to the Environment: e.g. sudden change in the economic, social or political climate, strikes, etc. Inhibiting Factors attributable to the Organization and its System: e.g. Policies like that of unplanned transfers, changes in top management etc. 7. After such an analysis individual appraise may reflect about individual facilitating factors to be should like to maintain or further strengthen and the inhibiting factors that he would like to overcome in future. 8. He then should pass on his performance analysis to his reporting officer for his comments additions to the factors identified and performance required and counseling discussion.

5) PERFORMANCE DISCUSSION After performance analysis is done, appraise should reflect about his own performance and prepare notes of his assessments. He should then fix a time for review discussion. The review discussion is intended to understand each other more, increase mutuality and help each other so that they can jointly do better in future. The form of self-appraisal and analysis submitted by the appraisee serves

as an initiator of discussion. The purpose of review discussions for the appraised is to know more about the perception, expectations and assessment of his boss and also to communicate his difficulties of his boss and also to communicate his difficulties and ask for support if needed. 6) IDENTIFYING DEVELOPMENTAL NEEDS AND ACTION PLANNING The performance analysis and review discussion would generally lead to the identification of developmental needs. Targets not accomplished or KPAS poorly performed may be indicators of inadequate understanding or lack of capabilities. If poor performance is due to lack of motivation, it should be dealt during the counseling session. Alternatively remedial actions action like transfer to other jobs, issuing working letters, etc. may be done in special cases. Developmental needs flow directly from the assessment of performances. The appraiser should therefore

indicate the developmental needs of the employee and suggest action. 7) FINAL ASSESSMENT The appraiser should give the final assessment after completing all the steps mentioned above. By this stage he would have thorough understanding of his subordinates his strengths and weaknesses, developmental needs, etc. and thus in a position to assess him on a rating scale. It is these ratings that should be used to reward high performances.

SOURCES OF PERFORMANCE DATA

There are basically four sources of collecting performance data regarding an employee. These sources are as follows: Immediate Superior Subordinates Peers

Self Appraisal

METHODS OF PERFORMANCE APPRAISAL METHODS

Traditional Method 1. 2. 3. 4. 5. 6. 7. 8. 9. Straight Ranking Grading Graphic or linear scale Checklist Forced Distribution Free Essay Critical Incident Method Group Appraisal method Field review Method Modern Method 1. 2. 3. MBO Assessment Center Behaviorally Anchored rating scale (BARS)

TRADITIONAL METHOD
1. Straight Ranking Method: It is the oldest and simplest method of performance appraisal, by which man and his performance is considered as entity by the rater. This is the simplest method of separating the most efficient from the least efficient; relatively easy to develop and use. But the greatest limitation of this method is that in practice it is very difficult to compare single individual with human beings having varying behavior traits secondly, this method only tells how a man stands in relation to the other in a group

but does not indicate how much better or worse he is than other. Thirdly the task of ranking is difficult when a large number of persons are to be rated.

EXAMPLE:
If 5 persons A, B, C, D, E is to be ranked the ranking may be as follows: Employee A B C D E 2. Grading Methods: Under this system, the rater considers certain features and marks them according to a scale. These selected features may be analytical ability, cooperatives, self-expression, job knowledge, judgment, leadership and organizing ability. They may be AOUTSTANDING, B VERY GOOD, C- AVERAGE, D- FAIR, POOR. The rater allots the grade, which describes his best performance. Rank 2 1 5 4 3

3. Graphic or Linear scale: Under this method employees traits are evaluated on a continuous scale or multiple type scale. Under these qualities such as initiative, leadership, co-operative ness, dependability, industry, attitude, loyalty are evaluated. Employees contribution such as quality and quantity of work, the responsibility assumed, and specific goals achieved, regularity of attendance, attitude towards superiors and associates etc. are also evaluated.

4. Forced Distribution Method This method eliminates or minimizes ratters bias, so that all personnel may not be placed at the higher end or at lower end of the scale. It requires the rater to appraise an employee according to a predetermined distribution scale. For this purpose, a fivepoint performance scale is used without any descriptive statement mainly for JOB PERFORMANCE and PROMOTIABILITY. Employee are placed the two extremes of GOOD or BAD job performances.

For Example: 10% are placed at the top end of the scale, given outstanding rating. 20% are given above average rating. 40% are given satisfactory rating. 20% are given fair. 10% are given unsatisfactory.

5. Checklist: Under this method the rater does not evaluate employees performance, he supplies reports about it and personnel department does the final rating. A series of question are presented concerning an employee about his behavior.

Checklist Method
Simple Checklist For e.g. forced Choice Block Weighted Checklist

Simple Checklist
(1) (2) (3) (4) Is the employee really interested in his job? Is he respected by his subordinates? Is he always willing to help other? Does he follow instructions properly? YES/NO YES/NO YES/NO YES/NO

(5)

Does he give recognition and praise to employee for work well done? YES/NO

This method suffers from bias on the part of rater. A separate checklist is developed for different class of jobs. This process can be expensive and time consuming.

Example: Forced Choice Block

Most 1. Regularity on the job (a) Always regular (b) Informs in advance absence/delay (c) Never Regular (d) Remain absent for Least

without

prior notice (e) Neither regular nor irregular

Weighted Checklist
(Weights are assigned to different statements to indicate their relative importance) Traits Weights Performance Rating (Scale 1 to 5) 1. 2. 3. 4. 5. 6. 7. 8. Attendance Knowledge of the Job Quantity of the Work Quality of the work Dependability Interpersonal Relations Organizational Loyalty Leadership Potential 0.5 1.0 1.0 1.5 1.5 2.0 1.5 1.5

6. Free Essay Method: Under this method the supervisor makes a free form, open ended appraisal of an employee in his own words and put down his impression about the employee. He takes note of these factors. a) Relations with fellow supervisors and personnel assigned to him. b) General organization and planning ability. c) Job knowledge and potential. d) Employees, characteristics and attitude. e) Understanding and application of companys policies and procedure. f) Production, quality and cost control. 7. Critical Incident Method: In this method, the supervisor keeps a written record of critical (good or bad) events and how different employees behaved during such events. These events are known as critical incidents. The rating of an employee depends on his positive and negative behavior during these events. For Example: A fire, a sudden breakdown of machinery, a serious accident, etc. may be identified as critical incidents for the working for a factory.

Work er A B C D E

Reaction Informed the supervisor immediately Became anxious of loss of output Tried to repair the machine Complained of poor maintenance Was happy to get forced rest

Score 5 4 3 2 1

Critical Incident Score The Basis of this method is the principle that there are certain significant acts in each employee's behaviour and performance, which makes all the difference between success and failure on the job. The supervisor keeps a written record of the events (either good or bad). Feedback is provided about the incidents during the performance review session. Various behaviors are recorded under such categories as the type of job, requirement for employees, judgment, learning ability, productivity, and precision in work, responsibility and initiative. These critical incidents are discovered after through study of the personnel working on a job. The collected incidents are then ranked in order of frequency and importance.

8. Group Appraisal Method: Under this method appraisal group rates employee, consisting of their supervisor and 3 or 4 other supervisors and who have some knowledge of their performance. The group determines the standard of performance for the job, measures actual performance of an employee, analyses the cause of poor performance and offer suggestion for improvement in future. 9. Field Review Method: In this method, a training officer from the personnel department interviews line supervisors to evaluate their respective subordinates. The interviewer prepares in advance the question to be asked. By answering these questions a supervisor gives his opinions about the level of performance of his subordinate, the subordinates

work progress, his strengths and weakness, promotion potential etc. the detailed notes of the answers are then placed in the employees personnel service file. The success of this system depends upon the competence of the interviewer.

MODERN METHODS Management by Objectives (MBO)

Peter Drucker developed the concept of MBO in 1954. He called it Management by objectives and self-control. It is also known Work Planning & Review or Goal setting Approach to appraisal. MBO is potentially a powerful philosophy of managing and effective way for operational zing the evaluation process. It is a process whereby the superior and subordinates manager of an organization jointly identify the common goals, define each individuals major areas of responsibility in terms of results expected of him and use these measures as guides for operating the unit and assigning the contribution of each of its members. The main objective of MBO is to change behavior and attitude towards getting the job. In other words it is result oriented it is performance that counts.

BENEFITS OF MBO PROGRAMMES: 1. MBO helps and increases employee motivation because it relates overall goals to the individual goals.

2.

Managers are more likely to compete with themselves than with other managers.

3.

MBO results in a means end chain. Management at succeeding lower levels in the organization establishes targets, which are integrated with those at the next higher levels.

4. 5.

MBO reduces role conflict and ambiguity. MBO provides more objective appraisal criteria. The targets that emerge from MBO process provide a sound set of criteria for evaluating the managers performance.

6.

MBO identifies performance deficiencies and enable the management and the employees to set individualized self-improvement goals and thus prove effective in training and development of people.

7.

MBO helps the individual manager to develop personal leadership.

ASSESSMENT CENTER METHOD:

The most important feature of the assessment center is job related simulations. These simulations involve characteristics that manager feels are important to the job success. Under this method many evaluators join together to judge employees performance in several situations with the use of a variety of criteria. Assessments are made to determine employee potential for the purpose of promotion. The assessment is done with the help of couple of employees and involves situational exercises such as in baskets, business game, and role-playing incidents. Evaluators are drawn from experienced managers with proven ability and they

evaluate all employees individually and collectively and each individual is given one of the 4 categories more than acceptable, acceptable, less than acceptable, unacceptable. An assessment center generally measures interpersonal skills, communicating ability,

ability to plan and organize etc. Personal interviews & projected tests are used to assess work motivation, carrier orientation and dependence on others. Paper and pencil tests are used to measure intellectual capacity.

BEHAVIORALLY ANCHORED RATING SCALES (BARS)

This is a new appraisal technique, which has recently been developed. The procedure for bars is usually in 5 stepped1. Generate Critical IncidentsPersons with knowledge of the job to be appraised are asked to describe specific illustrations (critical incidents) of effective and ineffective performance behavior. 2. Develop Performance DimensionsThese people then cluster the incidents into a smaller set (usually 5 to 10) of performance dimension. Each cluster is then defined.

3.

Reallocate IncidentsAny group of people who also know the job then reallocates the original incidents. They are given cluster definition and critical incidents and asked to redesign each incident to the dimensions it best describes.

4.

Scale of IncidentsThe second group rates each incident on a seven or nine point scale. This second group is generally asked to rate the behavior described in the incidents as to how effectively or ineffectively it represents performance in the appropriate dimensions. Incidents that have standard deviation of 1.5 or less (on a seven point scale) are included in the final anchored scales.

Always 7

shows,

understanding Could

be

expected

to

explain to patient that the

sensitivity, support, courtesy, tact and cooperation in interaction with others.

nurse is supposed to roll up the bed and show patient how to call the nurse. Could remain when be calm expected and by to an polite offering

confronted visitor,

abrupt problem.

assistance to help with the

Could be expected to feel for "weaker" subordinates occasionally and trade her easy tasks for their more difficult ones. Usually 5 and cooperation in shows understanding Could be expected to become frustrated in some interaction Could be expected to

sensitivity, support, courtesy, tact staff dealing. with others resent assistance offered by coworker or supervisor. 4 Seldome and with 3 shows understanding in interaction Could be expected to be others concerned with own problems and not to help sensitivity, support, courtesy, tact cooperation

others. 2 Could speak answering inquiry about be expected to and when customer's an entire abruptly

discourteously

dish and was new to the regular menu.

5.

Develop Final Instruments A set of incidents is used as behavior anchors for the performance dimensions. Individual are provided with adequate notice of what is expected of them. All relevant evidence to proposed violation is aired in a fair hearing so individual affected can respond. Final decision is based on evidence and free from biases.

When due process is the part of evaluation system, employees report positive reaction to the appraisal process, perceive the evaluation result as more accurate and express increased intent to remain in the organization.

APPRAISAL SYSTEM AT RELIANCE INFOCOMM LTD.

SETTINGS OBJECTIVES IN THE COMPANY

WHY BOTHER SETTING OBJECTIVES???????????

It makes it easier to measure performance/success. People are more likely to work towards achieving objectives if they are sure what is expected to them. There is an old adage that says " That which is measured gets done" and there is some truth in that if people are aware that their performance is being measured, they are likely to be more effective. Objectives help to identify potential training needs.

PERFORMANCE MANAGEMENT SYSTEM???

 A system for Managing organizational Performance. A system for Managing Employee Performance. A system for Integrating the Management of Organizational and Employee Performance. A system for Integrating Rewards to performance and plan

development.

NEW PERFORMANCE MANAGEMENT SYSTEM HIGHLIGHTS System to capture -Responsibilities in brief by Appraise.

-Achievement of goals and rating by Appraise -Rating of Critical attributes. -Overall appraisal based on KRAS and Critical Attributes. Review of Strengths and areas of improvement. Identification of Training needs. Settings SMART GOALS.

RELIANCE PERFORMANCE MANAGEMENT SYSTEM Purpose

To institutionalize an integrated system to support the organization growth and create a performance driven culture, encompassing performance planning, monitoring, support and evaluation with a focus on employee learning and development. The Performance Management System acts as major integrating factor with the other HR systems of the organization as follows: Development Strategies -Training -Coaching -Mentoring -Job Rotation/ Enrichment/ enlargement

Recognition & Reward -Individual Recognition - Inputs to earnings

PMS

Management Resources Planning - Inputs to Succession Plans

- Company Resourcing Plan Career & Selection planning -Mapping towards competencies required

RELIANCE PERFORMANCE MANAGEMENT MODEL

Performance Planning/ Objective setting - Understanding & agreeing of role - Defining performance objectives - Linkage to company goals Performance Planning Annual: 31st March Rewards/ Recognition -Recognition- Monetary/non Monetary -Compensation (increments, Incentives, bonus, etc.) Performance Assessment - Self Review - Assess performance - Against objectives -Assess how the individual Exhibited behaviors in On going support of performance Annual Increments: April end factors (Effective 1st April)` Task/Performance factors Assessment Annual: 1-15 April Mid year Review 1-15 Oct Quarterly Review 1-15 Jul 1-15 Jan Performance Development Development Planning

- Competency Development - Regular Counseling and feedback - Mentoring - Coaching - Training - 360-degree feedback Development Planning 1-15 June Development Plan Roll Out: July- June

CHECKLIST FOR ESTABLISHING GOALS

In order to goals to be an objective means of evaluating performance they should follow these S-M-A-R-T guidelines: Specific: - Result oriented and not merely descriptive. Avoid generalities. Deal with the most important aspects of the job. Measurable: - Concrete and measurable, Or at least observable. Quantify as much as possible in terms of: Time units Frequency rates Production units Volume amounts

Achievable: - within the individual's authority, ability and skill level. Realistic: - Consistent with available resources, market conditions, and business environment.

Time: - Frame- Clearly set time limits for completion.

S M A R T
S- SPECIFIC M- MEASURABLE A- ACHIEVABLE R- REALISTIC T- TIME LIMITED

WHAT SHOULD BE RATED?

One of the steps in designing an appraisal programme is to determine the evaluation criteria. It is obvious that the criteria should be related to the job. The six criteria for assessing performance are: 1. Quality The degree to which the process or result of carrying out an activity approaches perfection in terms of either conforming to some ideal way of performing the activity, or fulfilling the activity's intended purpose. 2. 3. Quantity - The amount produced, expressed in monetary terms, number units, or number of completed activity cycles. Timeliness The degree to which an activity is completed or a result produced, at the earliest time desirable from the stand points of both coordinating with the outputs of others and of maximizing the time available for other activities. 4. Cost Effectiveness - The degree to which the use of organization's resources (e.g. human monetary. technological and material) is maximized in the sense of getting the highest gain or reduction in loss from each unit or instance of use of a resource. 5. Need of Supervision The degree to which a job performer can carry out a job function without either having to request supervisory assistance or requiring supervisory intervention to prevent an adverse outcome. 6. Interpersonal Impact The degree to which a performer promotes feelings of self-esteem, goodwill and cooperation among co-workers and subordinates.

360-DEGREE SYSTEM
Where superiors, peers, subordinates and clients make appraisal, it is called the 360degree system of appraisal. First developed at General Eclectic, US in 1992, the system has become popular in our country too. GB (India), Reliance Industries, Crompton Greaves, Godrej Sodas, Wipro, Infosys, Thermax and Thomas Cook are using the method with greater benefits. The Arthur Anderson Survey (1997) reveals that the 20% of the organization use the 360-degree method. In the 360 degree method, besides assessing

performance, other attributes of the assesses talents, behavioral quirks, values, ethical standards, tempers, and loyalty are evaluated by people who are best placed to do it.

TYPES OF APPRAISAL REPORTS AT RELIANCE INTERIM REPORT

These reports are recorded for the newly joining staff members. The period for this report is 3 months from the date of joining. This report is aimed to judge the suitability of employees.

PROBATIONARY REPORT
This report is recorded for the staff members who have completed six months of service or as decided by the management. This report is aimed to judge the continuity of the employees in the company's employment.

SPECIAL REPORT
These categories of appraisal reports are directly sent to reporting officer of the employee and are recorded by the reporting and reviewing officer recommending confirmation or extension in confirmation or recommending necessary actions. The recorded reports along with the remarks of functional heads are sent to HR department for necessary action.

FINDING AND ANALYSIS

ANALYSIS OF QUESTIONNAIRE

The questionnaire consists of 11 questions in all, with a combination of both open-ended and close- ended question. The questionnaire was designed to know the effectiveness of the appraisal system present in the organization. It helps us to know much the employees were aware of concerning their performance. The questionnaire started with the name of name of the employee and his date of joining. Q.1: Are you working part time or full time? This question was asked to know that how many employees are working on part time basis and how many employees are working as full time employees. The part time employees have a duty of only 4 hours a day, whereas the full time employees work 8 hours a day. Part time employees may not be aware of the company's performance appraisal system. Ans.: FULL TIME: 40 PART TIME: 10

TYPE OF JOB PROFILE

20% FULL TIME PART TIME 80%

According to the sample chosen, the answer to this question showed that approximately 80% of the employees are full time employees and 20% are part time and they may not be aware of company's appraisal system. Q.2: How many times is your performance judged every year? This question was asked to know that whether the employees are aware of performance appraisal and if they had any idea as to how many times are they appraised in a year. Ans.: NONE: ONCE: TWICE: MANY: 1 7 16 26

Answer to this question showed that out of a sample of 50 employees, 26 said that the appraisal took place many times in a year and only one of the employees was not aware of the appraisal system at all.

Q.3: Are you satisfied with present appraisal system? The question aimed to find out if the employees were satisfied at the present appraisal system at the company, and if not why was it so. Ans.: YES: 43 NO: 7

SATISFACTION LEVEL AMONG EMPLOYEES

14% SATISFIED DISSATISFIED 86%

The answer to this question showed that 86% of the employees were quite satisfied with the appraisal system. The reason why they remaining 14% were not satisfied was not disclosed. These employees might be those who had recently joined the organization and were not aware of the appraisal system. Q.4: what changes do you want it this regard? This question was related to the previous question. This was specially designed for those who were not satisfied by the appraisal system present at the company. Ans.: The employees stated that the management should be more cooperative. They should not penalize those who are not able to put in their maximum efforts sometimes due to certain reasons.

Q.5

Who judges your performance in the work place, immediate superior or top management? This question was designed to know that whether the employees thought that the immediate superior, who knew them well, or the top management judged their performance, with which they have little contact.

Ans.: Immediate Superior: Top Management:

2 27

PERFORMANCE JUDGEMENT

46% 54%

IMMEDIATE SUPERIOR TOP MANAGEMENT

For this question 46% employees said that their immediate superior judged their performance. The rest of the employees said that their performance judgment rested in the hands of the top management.

Q.6: Do you think your appraisal form reaches the top management in case of their judgment? This question was designed to find out whether the employees were aware of the fact that their appraisal form ultimately went to the top management. Ans.: YES: 35 NO: 15

JUDGEMENT BY TOP MANAGEMENT

30% YES 70% NO

For this question 17% of the employees believed that the top management ultimately did their appraisal. However 30% of the employees thought that the appraisal never reaches the top management. Q.7: Do you get proper feedback of your work from your superiors? This question was put in to find out if the employees were aware of their performance as appraised by the superiors and if they were communicated of their good as well as their weak points.

Ans.: YES: 33 NO: 17 AVAILABILITY OF PROPER FEED BACK

34% YES 66% NO

According to the answers obtained, 66% felt that they were fully communicated of their performance whereas 34% felt that they were not made aware of the results of their performance.

Q.8: Do you think '360 degree' feedback will help you improve? This question was asked to know to know whether the employees were of the '360 degree' appraisal system or not and do think it will help them. Ans.: YES: 44 NO: 6

EFFECTIVENESS OF 360 DEGREE APPRAISAL SYSTEM

12% YES 88% NO

For this question 88% employees were of the appraisal system and they felt it would help them improve further. Only 12% employees gave a negative answer for this question. Q.9: Do you have any reverse effect in case of negative feedback of your performance? This question was framed to know whether the negative feedback of the performance was a motivational factor for the employees or not. Ans.: YES: 11 NO: 39

REVERSE EFFECT OF NEGATIVE FEEDBACK

22% YES 78% NO

As an answer to this question 22% of the employees stated that the negative feedback had a reverse effect on them. 78% of the employees had a positive attitude and said that it was a motivational factor for them. Q.10: Does the company provide 'in service' training facilities?

This question was designed to know whether the organization provides training to the employees after performance appraisal or not. Ans.: YES: 48 NO: 2

AVAILIBILTY OF 'IN SERVICE' TRAINING FACILITIES

4% YES 96% NO

For this question 96% employees agreed that the organization provided training as and when required after performance appraisal. Only 4% employees thought that proper training on the job was not made available. Q.11: Do you have good communication with your immediate superiors

and the top management? This question was designed to know whether employees had good communication with their immediate superiors and the top management. This also indicated whether they were able to communicate their problems in an effective manner so as to solve them together. Ans.: With immediate superior YES: 49 NO: 1

COMMUNICATION WITH IMMEDIATE SUPERIORS

2% YES 98% NO

With the immediate superior, 98% employees felt they were able to communicate freely. Only 2% employees felt that their communication was not good. With Top Management YES: 16 NO: 34

COMMUNICATION WITH TOP MANAGEMENT

32% YES 68% With others felt that they were not in direct contact with the top management. the top NO

management only 32% of the employees felt that the communication was good. The

Q.12: Ans.:

Is

performance 75%

contributed

to

my

departments

achievement of our strategic goals? Agree: 25 Disagree: Q.13:

What were the actions or factors that inhibited my performance?

Ans.: Non Punctuality: Laziness: Carelessness:

50% 30% 20% Q.14: The new skill add employee developed this has &

PERFORMANCE INHIBITING FACTORS

20%

50% 30%

NON PUNCTUALITY LAZINESS CARELESSNESS

demonstrated are Ans.: Communication 50% Interaction Skills: 20% Skills:

Computer Literacy:

30%

FACILITATING FACTORS OF EMPLOYEE CONTRIBUTION

20% 40% HONESTY PUNCTUALITY 40% SINCERITY OF WORK contribution to the achievement of our

Q.15: I can facilitate this employees Goals by Ans.: Honesty: Punctuality: 20% 40% 40%

Sincerity for Work:

FACILITATING FACTORS OF EMPLOYEE CONTRIBUTION

20% 40% HONESTY PUNCTUALITY 40% SINCERITY OF WORK

RECOMMENDATIONS

RECOMMENDATIONS

1- A system of psychological appraisal can be introduced where psychologists are used to

specifically assess an individual's future potential. The appraisal normally consists of in depth interviews, psychological tests, discussions with supervisors and a review of other evaluations. The psychologist then writes and evaluation of the employee's intellectual, emotional, motivational and other work related characteristics that suggest individual potential, This will make the potential appraisal more specific and a reliable date source for making employee's promotion decisions and future development.

2- The counseling sessions are conducted and the reporting officer obtains the signature of
the ratee after the session but a post appraisal interview report, handwritten may be introduced. The report may consist of(a) Main points conveyed by the superior. (b)Reactions of the employees appraised. (c) Summary of the agreed programme. (d)Finally the date of post appraisal interview and signatures of both the employee and the reporting officer.

3.

A concept of 360-degree appraisal can be introduced whereby an individual will be appraised not only by his seniors but also by his peers subordinates and customers (in case of marketing department employees). This system will help in reducing the chances of biased appraisal. 360-degree appraisal can be introduced in the appraisal system to make it more open and operative. Other terms used to describe appraisal include multi rater system and full circle feedback. The purpose of 360-degree appraisal is usually to provide feedback to individuals of how their performance is viewed by a number of organizational constituencies. There are a number of issues associated with administrating a 360-degree appraisal programme. Firstly behavioral, rather than trait rating scale, should be employed. Secondly, selection of rates should be managed carefully to avoid e.g. Ratee nomination only friendly rates to provide them with feedback. Thirdly, ratings should be made to encourage honest appraisals. Finally Ratee should be trained to use the rating form properly to help them make accurate appraisals.

While 360-degree appraisal may indicate the future direction of performance appraisal a number of issues need to be addressed. This includeI. Ensuring that participation is voluntary unrolling rates is likely to provide accurate or useful feedback.

II. Deciding whether feedback provider would be identified or remain anonymous. III. Deciding who should see the feedback and whether the names of those providing feedback should be shared. IV. Assessing whether scores should be reported separately or pooled. This will have an impact on the quality of feedback and on whether the person being appraised is likely to be included to make change as a result of it. Good trust levels, clarity about the objectives of the appraisal and a participative team based culture are likely to be all-important for 360-degree appraisal system to be effective. Implementation of a 360-degree system is a very crucial process. Therefore for its successful implementation following action plan can be suggested-

Objectives should be defined very clearly. The 360-degree appraisal system should be positioned as an employee developmental tool. We can say that the organization should change to the 360-degree feedback system with a focus on development instead of promotions and increments.

A survey audit should be done on the culture and values prevalent in the organization openness, trust, authenticity, autonomy, collaboration, and experimentation.

Manager should first get fully aquatinted with the 360-degree feedback system by gathering the experiences of companies, which have introduced such a system and then examine some of their own paradigms on authority and hierarchy.

Workshops can be organized at various critical levels in the organization with the help of experts, starting with the top management at which 360 degree feedback has to be obtained should be covered so that they can fully

understand, appreciate and accept the system. After sometime junior levels can also be included. HR Department should provide interpretation and counseling when managers get 360 degree feedback for development suitable action plans should be developed by the managers for Self-improvement and which should be a part of the key result areas of the future.

4. Team appraisal. The individual appraisal system can be converted into the team appraisal i.e. the evaluation of the performance of the team will be done instead of the performance of the individual. For the team performance based appraisal system whole of the organization should be divided into various small business units. Under this system the entire manpower of a unit is considered as a team and the performance measures which can be identified for each unit are Volume of business growth. This is important because markets of all products are expanding rapidly, which allows each division to set a higher growth target. Net contribution of the division. This parameter will eliminate the cost of common overheads over which that unit has no control. Net working capital returns. The measure is used to gauge operational excellence. For the support services the parameters for their achievements can be identified as staying within the budgets, company profits manpower costs, success at meeting deadlines and internal customer satisfaction. These parameters can be used as the measures of performance using three benchmarks levels 1, 2, 3. Level 3 refer to the minimum acceptable performance an increase over the previous year is recorded. The other two represent stretch targets, with level standing for a superlative performance that surpasses all expectations. Unless a division reaches level 3 there should be neither a team reward nor an individual one.

Star performers within each team should be given additional rewards too. The underlying spirit of this system is to create a homogeneous group and yet as per a competitive environment in which everyone is performance driven, both as an individual and as a team leader. 5. It has been seen that individuals who are rated as outstanding receive a substantially high amount of increment and a promotion is awarded in recognition to their excellent performance. In addition to this, a system of awarding certificates and memento/ shields to outstanding employees on a particular day fixed for this purpose may also be introduced. Such a system would increase a sense of recognition and achievement in the outstanding ratees and would also help in motivating other employees. The day may be designated as outstanding achievers day the awards may be given away to all the outstanding ratees by the president in the presence of the other employees gathered for this purpose.

SUGGESTIONS

SUGGESTIONS
The following suggestions can be recommended:

1.

INTRODUCTION OF 360-DEGREE APPRAISAL SYSTEMS 360-degree appraisal is a separate system in itself. It sought for appraisal no only by the seniors but also by ones peers, subordinates and customers. It can be

suggested to use it as a development tool through self-awareness, thus helping to discover the blind spots. It can also provide more authentic data for decisionmaking. The introduction of his system has the advantage of emphasis on customer orientation, thus providing total quality. The system may create a culture of openness and participation; therefore, serves as a team building tool too. There exist a variety of issues regarding administering a 360-degree appraisal programme: I. Behavioral rather than trait rating scale should be employed. II. Selection of rater should be managed carefully to avoid rather nominating only Friendly Raters.

III. Ratee should be well trained to use the rating form, so as to make accurate appraisals. Honest appraisals should be encouraged. Implementation of 360-degree appraisal system is a crucial process. Good trust levels, clarity about the objectives of the appraisal and a participative team based culture are its important ingredients. Some of the following action plan can be suggested for its arrival to successful destination. A. The system should be projected as a development tool. It should be planned and managed as a change programme. B. The system should be communicated across the organization. The welldefined objectives are a pre requisite for the system to be effective. C. Organizational support should be provided to aid individual development. D. Continual organizational monitoring can maximize effectiveness. E. Conduction of the re- assessments on a periodic basis is also main consideration to be implemented. F. Noticing changes and rewarding the same should be done in a systematic way.

G. The trends related to commonly shared weaknesses should be collected and training and other organizational actions should be initiated.

H. Proper usation of the potential appraisal career planning and development data should be done. Thus, in lieu of the above arguments it can be said that this system is a delicate and sensitive issue that should be handled carefully, lest it can politicize the work place and can finally damage the whole of the system.

2.

EFFECTIVE COUNSELING Counseling is a means and not an end in itself, this should be well included in ones mind. Development does not occur just because there is counseling could be used as an effective instrument in helping people integrates with their organization and have a sense of involvement and satisfaction. There should exist a dialogic relationship in goal setting and performance review. With such a collaborative effort, counseling effort, counseling can result in more objective results.

More emphasis should be pondered on; General climate of openness and mutuality.

 3.

Empathic attitude of management. Sense of uninhibited participation by the subordinates in the performance review process. Focus on work oriented behavior and work related problems. Avoidance of discussion of salary and other rewards.

TEAM BUILDING AND TEAM APPRAISAL Team spirit should be more emphasized. The individual appraisal system can be converted into the team appraisal that is individual performance should not be preferred rather there should exist a team performance evaluation system.

For this to happen the whole organization can be divided into various small business units (SBUS). Under it, the entire manpower of a unit is considered as a team. Performance can be measured along with the pre-divided parameters as net working capital relines, volume and business growth, net contribution of the division, etc.

4.

PERIODIC THERAPY SESSION Periodic psychotherapy sessions can be conducted for assessing the employees' emotional, intellectual motivational and other work related problems if any. This will help removing their problems and work more efficiently psychotherapy can be given through interviews, questionnaires, case study method, etc. The work in itself never ceases at mere assessing task but a proper planned action and feedback programme are rather most important of all. This psychotherapy session will also help in including a feeling of consideration of the company towards its employees.

5.

STANDARD TARGETS Standard targets should be set, helping measures performance accurately and there should exist a clear ASSOCIATION BETWEEN APPRAISAL AND REWARDS; test feedback will lose its meaning and authenticity.

QUESTIONNAIRE

QUESTIONNAIRE
Name: Date of Joining: 1. Are you working Part Time Full Time

2.

How many times is your performance judged every year?

3.

Are you satisfied by the present appraisal system? If yes, why? If no, why?

4.

What changes do you want in this regard?

5.

Who judges your performance in the work place? Immediate superior Top management

6. Do you think your appraisal form reaches the top management in case of their judgment?

7.

Do you get proper feedback of your work from your superiors?

9.

Do you think 360 degree feedback will help you to improve?

10.

Do you have any reverse effect in case of negative feedback of your performance?

11.

Does the company provide in service training facilities?

12.

Do you have good communication with your Immediate Superiors Top Management

BIBLIOGRAPHY

BIBLIOGRAPHY

1) Bradwell, Lan & Holder, Human Resource Management, Macmillian India Ltd., New Delhi, 1996. 2) C.B. Gupta, Human Resource Management, Sultan Chand & Sons, New Delhi. 3) Reinforce. 4) www.ril.com 5) www.businessballs.com 6) www.relianceinfo.com