PART-III

Dated: 1st March 2012

Performance Evaluation Parameters and Target for MOU 2012-13

S. No. STATIC FINANCIAL PARAMETERS UNIT Nature of Para meter Parameter weight Excellent 1 (a) Financial Performance Indicators (i) Gross Margin / Gross Block (ii) Net Profit / Net Worth (iii) Gross Profit / Capital Employed (b) Financial Indicator (i) Gross Margin (ii) Gross Sales (c) Financial Returns-Labour Productivity and Total Factor Productivity. (i) PBDIT / Total Employment (ii) Added Values / Gross Sales Total Weightage (in Rs.) Positive % age 9 50 -4.51 -4.85 -5.09 -5.35 -5.61 5.37 -20.78 -2.74 7 166,899 155,980 148,181 140,772 133,733 393,724 16,726 86,184 (Rs. in Crores) (Rs. in Crores) 8 Positive 4 33,235 31,061 29,508 28,033 26,631 37,000 14,118 28,237 4,280 4000 3,800 3,610 3,430 10,670 459 2,319 % age % age % age Positive 2 10 10 2.41 -8.54 -8.51 2.25 -9.18 -9.15 2.14 -9.64 -9.61 2.03 -10.12 -10.09 1.93 -10.63 -10.59 5.74 -2.95 -0.85 0.27 -5.92 -6.49 1.35 -10.65 -11.97
All the Four BUs in Corporate office. Target setting on the Expenses by Sr. GM (BFC&I). Monitoring of the Same by Sr. GM (CA) / Sr,. GM (BFC&I)

MOU 2012-13 Target Very Good Good Fair Poor Target (Very Good)

MOU 2011-12 Achmt. up to 30.09.2011 Anticipated achmt. during 2011-12

Concerneed Unit in Corporate Office

PART III (Cont2)

Performance Evaluation Parameters and Target for MOU 2012-13
DYNAMIC PARAMETERS UNIT Nature of Parameter Parameter weight MOU 2012-13 Target Excellent Very Good Good Fair Poor Target (Very Good)

Dated: 1st March 2012

MOU 2011-12 Achmt. up to 30.11.2011 Anticipated achmt. during 2011-12

Concerneed Unit in Corporate Office

a) Quality:- Call Completion Rate

i) STD ii) Junction iii) Local % age % age % age % age % age % age % age % age % age % age

Positive

1 1.5 1.5 1.5 1 0.5 0.5 0.5 0.5 0.5 0.5 0.5 5 5 0.5 0.5

56.18 65.10 69.41 4.51 84.21 94.50 99.00 99.00 99.00 99.00 99.75 1.90

53.50 62.00 66.10 4.75 80.20 90.00 96.00 98.00 96.00 95.00

50.83 58.90 62.80 4.99 76.19 85.50 91.20 93.10 91.20 90.25

48.28 55.96 59.66 5.24 72.38 81.23 86.64 88.45 86.64 85.74

45.87 53.16 56.67 5.50 68.76 77.16 82.31 84.02 82.31 81.45 81.45 2.32

53.40 58.70 66.90 4.95 80.00 91.00 97.00 98.00 96.00 95.00

53.15 62.47 66.45 4.73 80.16 88.08 95.70 97.78 95.62 93.34

53.20 61.80 65.80 4.78 80.20 88.00 95.99 97.20 95.50 94.35

Sr.GM (NW.O-CFA)

b) Customer Satisfaction
i) Fault Rate per 100 telephones/ month ii) Clearance of fault on telephone On Same Day By Following Day Within 3 Days (iii) Provision of Services in area on demand New Connections within 7 Days Local Shift within 3 Days Inter-Exchange Shift within 5 days (iv) QoS in GSM Network ** Call set up success rate in GSM network Call drop in GSM network %age %age

Negative

Positive

Sr.GM (NW.O-CFA)

Positive

c) Human Resource Management ** d) R & D activity ** e) Completion of delayed projects i) Commissioning of GSM Phase V Equipment ** ii) Commissiong of Rural Wi-Max Phase II ** f) Capital Expenditure
i) Net addition in OF Cable ii) Net addition in GSM capacity ** iii) Net addition in broadband capacity **

Positive Negative Positive Positive

95.00 90.25 85.74 2.00 2.10 2.21 Detailed as Per Annexure C Detailed as Per Annexure A 31/12/2012 28/02/2013 30000 75 3.2 18 31/03/13 31/03/13 28500 71 3.0 17 27075 68 2.9 16

GM (NW.O-CM) Sr.GM (Training) Sr.GM (NWP-GSM-II) GM (NWP-CDMA/Wi-Max)

Timelines Timelines RKMs No of Lines (Lakhs) No of Lines (Lakhs) Nos. Positive Positive Positive Positive Positive Compliance Timelines Positive Negative

30/09/2012 31/01/2013 31500 79 3.4 19

1 0.5 0.5 1 5 5 1 35

25721 64 2.7 15

30,000

8,304

30,000

Sr. GM (CNP) Sr.GM (NWP-GSM-II) Sr.GM (NWP-BB)

Sr.GM (NW.O-CM) PGM (Electrical) CS & Sr.GM (Legal)

g) Globalization
i) Net addition in direct International Roaming agreements with operators in other countries

30 55

17 10

30 55

h) Sustainable Development activities: Use of Solar Power Base Stations ** i) Compliance of Corporate Governance guidline issued by DPE dated 22/1/2011 j) Timely submission of data by BSNL for Public Enterprises Survey published by DPE
Total Weightage

Detailed as Per Annexure B Yes On or before the due date No

On or before the due date

Done

Done

CS & Sr.GM (Legal)

Note: [1] The parameter / sub parameter indicated with ** (double star) are new parameter /sub-parameter introduced in MOU 2012-13 Other forms /returns are required to be filed within the time limits set against respective forms by the Rules under Companies Act 1956.

PART III (Cont3)

Performance Evaluation Parameters and Target for MOU 2012-13
MOU 2012-13 Target S. No. SPECIFIC PARAMETERS UNIT Nature of Parameter Parameter weight Excellent Very Good Good Fair Poor Target (Very Good)

Dated: 1st March 2012

MOU 2011-12 Achmt. up to 30.11.2011 Anticipated achmt. during 2011-12 Concerneed Unit in Corporate Office

Sector Specific (a) Net addition in Telephone Connections (i) Net addition in Land Line w.r.t. connections as on 31/03/2011. (ii) Net addition in Mobile w.r.t.. connections as on 31/03/2011 (iii) Initiation for implementation on ERP (b) Net Addition in Broadband Connections (i) Broadband connections ADSL (ii) 3G, EVDO & Wi-Max. (iii) Establishment of Data Centres Total Weightage Enterprise Specific (c1) Accessibility of Call Center/Customer care. (c2) % of call answered by the operators (Voice to voice) within 60 seconds. See Note 3(c) below. (d) % age reduction in the provision for Obsolete Inventory as on 31.03.2011 after exclusion of current year provisions (e) % age reduction in the amount of the unlinked debit & credit items in bank reconciliation as on 31.03.11 as reported in the Audit Report for the year 10-11 (f) Repair & Maintenance Expenditure: as % of Income (g) Net Sundry debtors at the end the year as % age of Income (h) % age reduction in doubtful debts over the previous year (i) Compliance of DPE's guidelines during 2012-13 **
i) Reservation for SC,ST and OBC in appointment ii) Posting of deputationists iii) Submission of Report of Compliance of DPE Guidelines iii) Implementation of 2007 Pay Revision iv) Switching over from CDA to IDA pattern of pay scales (j) %age settlement of Arbitration cases ** (k) Fromulation of inventory policy **

Nos in Lakhs Nos. in Lakhs Timelines

Positive Positive Negative

0.5 1 0.5

0.00 105.00 28.02.2013

0.00 100.00 31.03.2013

0.00 95.00

0.00 90.25

0.00 85.74

0.00 200

-30.02 56.83

-30.00 100
Four POC Circles/ Units are expected to go live.

Sr. GM (NWP-CFA)

PGM (NWP-GSM-I) GM (CoIT)

Expression of Two POC Circles/ interest Units have gone live.

Nos. in Lakhs Nos. in Lakhs Nos.

Positive Positive Positive

1 1 1 5

31.50 47.25 4

30.00 45.00 4

28.50 42.75 3

27.08 40.61 3

25.72 38.58 2

35.00 40.00 5

9.68

35.00

Sr. GM (NWP-BB) PGM (NWP-GSM-I)/GM (NWP-CDMA/WiMax) Sr. GM (IT-CFA)

All 2G customers had been enabled for 3G access. So, there is no separate figure for 3G customers w.e.f. 01.04.2011 onwards.

% age % age % age

Positive Positive Positive

0.5 0.5 0.5

102.90 99.75 10.50

98.00 95.00 10.00

93.10 90.25 9.50

88.45 85.74 9.03

84.02 81.45 8.57

98.00 95.00 10.00

99.12 90.27

98.00 Sr. GM (NW.O-CM) 95.00 GM(CA)

Will be available on completion of Financial year

% age % age % age % age Yes/No Yes/No Yes/No Yes/No Yes/No %age Timelines % age % age

Positive Negative Negative Positive

0.5 0.5 1 0.5 1 0.5 0.5 1 1 0.5 0.5 0.5 0.5 10

99.75 4.75 19.00 5.25 Yes Yes Yes Yes Yes 53 31.12.2012 52.50 31.50

95.00 5.00 20.00 5.00

90.25 5.25 21.00 4.75

85.74 5.51 22.05 4.51

81.45 5.79 23.15 4.29 No No No No No 43 42.87 25.72

95.00 3.94 13.41 5.00

Will be available on completion of Financial year

GM(BFC&I)

2.44 43.30

2.44 21.65

GM (CA)

Will be available on completion of Financial year

GM (Rectt.) Sr.GM (Pers) GM(CP&M) GM(Estt.)

Sr. GM (MM) & GM(F-CFA) Sr. GM (MM)

Positive Negative Positive Positive

50 28.02.2013 50.00 30

48 31.03.2013 47.50 28.50

45 45.13 27.08

(l) Settlement of C&AG Report Paras (m) Reduction in Statutory audit Paras Total Weightage

50 30.00

37.48

50

PGM (IA)
GM (CA)

Note: [1] The parameter / sub parameter indicated with ** (double star) are new parameter /sub-parameter introduced in MOU 2012-13