SUMMER TRAINING PROJECT REPORT On Performance appraisal of employs

Batch-2010-2012 Session-2011-2012

Submitted in the partial fulfillment for the award of the degree of Master of Business Administration (MBA) To

GLA

GLA Institute of Business Management, Mathura FACULTY GUIDE Dr. Rajiv Sikroria Assistant Professor GLAIBM Mathura CORPORATE GUIDE Mr. Rajkumar HR manager Star track fasteners pvt. Ltd.

SUBMITTED BY Ritika Agrawal University Roll No: 1025170135 GLA Institute of Business Management, Mathura Affiliated by MTU, Noida 1

TABLE OF CONTENTS

S.NO 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14.

CONTENT Preface Acknowledgement Student Declaration Introduction of the topic Introduction of the organization Objective of the study Scope of the study Research methodology Data analysis Findings Recommendations and suggestions Conclusion Limitations Bibliography

PAGE NO. 2 3 4 6 20 49 51 54 61 66 69 71 75 80

PREFACE

I have pleasure to bring out this document incorporating my views on human resource Management; especially highlighting the performance appraisal of the employs Human resource became a subject of study in almost all universities besides the management institution worldwide. The project consists of comprehensive discussion of the elements that go to make up the Haman resource Management. This project report is prepared pursing my summer training of MBA. The project is a part of my academic curriculum.

The information provided in this project is derived with reference from various books, internet sites & professional guidance from people related to this field.

I confirm that this particular project is true to best of my knowledge.

ACKNOWLEDGEMENT
I, Ritika Agrawal, III Semester MBA student of GLA Institute of Business Management, Mathura, hereby declare that the Research report work titled Performance Appraisal on startrack pvt Ltd. submitted in partial fulfillment of the requirement for the award of the degree of Master of Business Administration under of Mahamaya Technical University, Noida, is my original work. The contents of the study in full or parts have not been submitted to any other institution or university for the award of any Degree.

Place : Mathura Date :

Ritika Agrawal M.B.A. 3rd Sem. 102570135

STUDENTS DECLARATION

No task is single mans effort .Any job in this world however trivial or tough cannot be accomplished without the assistance of others. An assignment puts the knowledge and experience of an individual to litmus test. There is always a sense of gratitude that one likes to express towards the persons who helped to change an effort in a success. The opportunity to express my indebtness to people who have helped me to accomplish this task.

I deem it a proud privilege to extend my greatest sense of gratitude to my Project Guide DR. Rajiv sikroria (lecturer M.B.A) for the keen interest, inspiring guidance, continuous encouragement, valuable suggestions and constructive criticism throughout the pursuance of this report.

I am thankful to HOD Sir of GLA ITM MR. ANIL KUMAR GUPTA for giving me the opportunity to undertake the study. I would also like to thank MR. Rajkumar (Startrack fasteners pvt ltd) for their valuable support in helping me to gain this opportunity of being associated with an organization of such esteem. Last but not the least; it would be unfair if I dont express my indebtness to my parents and all my friends for their active cooperation which was of great help during the course of my training project.

Chapter: 1

INTRODUCTION TO THE TOPIC

PERFORMANCE APPRAISAL
What is Performance Appraisal? A Performance Appraisal is a process of evaluating an employees performance on jobs in terms of its requirements or we may call it a postmortem of a subordinate performance by his superior during a predetermined period of time, often the proceeding year.

It is systematic evaluation of the individual with respect to his or her performance on the job and his or her potential for development.

According to Hegel-

It is the process of evaluating the performance and qualification of the employees in terms of the requirements of the job for which he is employed, for the purpose of administration including placement, selection for promotion, providing financial reward and other actions which requires differential treatment among the member of a groups as distinguished from action all members equally.

Job Analysis sets out requirement, which are translated into performance standards, which in turn form the basis for performance appraisal.

OBJECTIVE OF PERFORMANCE APPRAISAL

The aim of performance appraisal is to encourage employees to set his objectives for the next time period following his past performance in order to improve his performance on the job. These objectives should be mutually agreed, for twelve months, as far as every employee should be aware of transaction objectives, since they provide a basis for individuals performance objectives. The other basis is the appraisal on the wish of employee himself, in order to set worthwhile objectives, it is necessary.

Objectives of Appraisal includes effective promotions and transfers, assess training needs etc. These objectives are appropriate as long as the approach in individual is individual. Appraisal in future would assume system orientation. In system approach, appraisal aims at improving the performance instead of merely assessing it. Emphasis is not on individual assessment, rewards or punishment, but it is on how the work system affects the individual performance.

ADVANTAGES OF PERFORMANCE APPRAISAL

Performance Appraisal replaces casual expert with formal, systematic procedures. Employees know they are being evaluated and are told the criteria that will be used in the course of arrival. It offers competitive advantage to a firm by improving performance, helping make correct decisions, ensuring legal compliance, minimizing job

dissatisfaction and employee turnover and ensuring consistency between organizational strategy and behavior.

MBO method is helpful in identification of training needs. Employees set their own goals and hence are internally motivated to accomplish goals.

In BARS method, employees behavior is measured not their traits. This method aims at specific dimensions of job performance. It is said to be behaviorally anchored as the scales represent a range of descriptive statements of behavior varying from the least to the most effective.

360-Degree method provides a wider perspective about an employees performance. In such a method, employee is evaluated by himself, his peers, his superiors and his subordinates too. This brings with it a circular assessment of the individual.

MULTIPLE USES OF PERFORMANCE ASSESSMENT

GENERAL APPLICATIONS

SPECIFIC PURPOSES

Developmental Uses:

1. Identification of individual 2. Performance feedback.

needs.

3. Fixing transfers and job assignments. 4. Identification of strength and Weakness.

Administrative Uses:

1.Salaries. 2. Promotion. 3. Retention, Termination. 4. Layoffs.

Organizational Maintenance Objectives:

1. HR Planning 2. Determining training needs. 3.Evaluation goal achievement. 4. Evaluation of HR systems. 10 of organizational

Documentation:

1. Help meeting legal requirement. 2. Useful for future research.

To discriminate between efficient and inefficient workers. To assign the individual work for which they are best suited. To prevent employee grievance.

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APPRAISAL PROCESS IN GENERAL

Objective of Performance Appraisal

Establish job expectation

Design an Appraisal Program

Appraise Performance

Performance Interview

Use Appraisal data for appropriate purpose

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WHAI IT ACHIEVES? The Performance Appraisal system aims at achieving the following objectives of employees development:

1. Training and Development of individuals.

2. Improving efficiency/effectiveness.

3. Involvement of the review in his self-development.

4. To lay basis for maximum objective advancement/promotion.

5. To lay basis for career planning.

6. To identify exceptional talents for special assignment.

7. To understand the strengths and weakness of the subordinates and help to realize this.

8. To understand the difficulties of their subordinates and try to remove them.

9. To encourage subordinates to accept more responsibilities.

10. To help the subordinates to become aware of the prevailing conditions.

11. To help subordinates to acquire new capability.

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Performance Appraisal is common in government as well as in private sector in the form of Annual Confidential Reports. However in private industries more systematic performance appraisal also called Merit Rating or Employee Rating in some organization has been developed to some extent. These appraisals are often needed as a basis of selecting candidates for promotion for better jobs; hence, sometime it may also be called Potential Appraisal. There are also so many methods of performance appraisal and out of them three are major namely; the free report, the checklist and the analysis of critical incidents. The appraisal writes in effects, an essay about the assess or to report on a predetermined checklist in respect of each subordinate. Headings for assessment includes punctuality, reliability, enthusiasm, productivity, speed of work, accuracy of work and so on. Appraiser can locate any worker to various grades of ability (e.g. Outstanding, above average, average, below average).

Hasty competition of such reports might lead to carelessness and unfair assessment; list of factors, considered may not be relevant to the subordinates apart from headings for assessment previously mentioned (productivity, accuracy, initiatives etc.).

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An appraisal might ask from the assigning officer to consider the following attributes and characteristics: Knowledge of skills/formal qualifications, utilized during the review period. Abilities to delegate/plan supervision. Personal qualities; appearance, personality, deposition, enthusiasm, compatibility with colleagues, physical makeup, health. Establish priorities, assume responsibilities, cope with stress, exercise/leadership. Critical analysis like creativity, judgmental, problem solving and decision taking abilities. Interpersonal skills like verbal communication, willingness to accept ideas, relationship with supervisor/subordinates.

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METHODS/TECHNIQUES OF PERFORMANCE APPRAISAL

However, broadly these are following appraisal methods each of which is described in brief:

1. RATING BY SUPERVISOR:-

This can be done by several methods like graphic rating scale, under it; each person is rated with the help of printed form. The rater can mark at any point on the scale according to his evaluation. In forced distribution system, the employees are rated only on two characteristics i.e. job performance and profitability. In ranking, it involves arranging individual in order of the merit for particular characteristics. In free written rating, the supervisor describes the subordinates performance and feels how good it is. This method is simple but time consuming. In forced choice appraisal, there are some choice and superior are asked to give one choice which best suits the subordinate. In critical method, the appraiser makes rates of the positive instances on the job performance as well as indicates instances soon after the event had occurred.

2. THE FIELD REVIEW TECHNIQUE:-

In this method, a personnel man goes to the field to obtain information about the work of the individual employee. He asks questions and informally converse with appraiser of the persons who are being evaluated. Replies or answers are noted by the personnel man. It does not include any paper work and is linked to the appraiser.

3. RATING BY SELF OR GROUP:-

In self-appraisal a person appraises himself on a form provided and in group appraisal; a group of persons appraises an individual.

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4. APPRAISAL USING PERFORMANCE STATISTICS:-

In recent times quantitative methods are being supported for rating. Here standards of performance are used for appraisal, subordinates may be made profit centers and their performance is appraised as per their achievements. Standards are prepared for each activity.

5. FEEDBACK OF APPRAISAL INFORMATION:-

An employee being appraised is informed of his performance and appropriate knowledge of results is given to them, this helps them to work better and develop further.

6. FORCED CHOICE METHOD:-

It contains a series of group of statements and the rater checks out effectively the statement describing each individual being evaluated. Contents of both the statements may be positive or negative. Though both of them describe the feature of an employee, the rater is forced to mark only one, which appears to be more descriptive. Out of these two statements only one statement is considered for final analysis.

7. MANAGEMENT BY OBJECTIVE (MBO):-

MBO has become a popular method of planning, setting standards, motivating and appraising performance. MBO makes comparative assessment of multiple personnel rather difficult while in traditional methods all persons are rated on common factors. In MBO each person will have different set of goals of non-comparable complexity and

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difficulty of accomplishment. Management may make various decisions on a comparative basis.

8. 360-DEGREE FEEDBACK:-

360-Degree method provides a wider perspective about an employees performance. In such a method, employee is evaluated by himself, his peers, his superiors and his subordinates too. This brings with it a circular assessment of the individual.

9. BEHAVIORALLY ANCHORED RATING SCALE:-

These are rating scales whose scale points are fixed by statement of effective and ineffective behavior. They represent a range of descriptive statements of behavior varying from least to most effective. Scales are anchored by description of actual job behavior.

Thus the scales have dimensions and anchors that are precisely stated. People who use the scale identify the areas of performance.

10. ASSESSMENT CENTRES:-

It is a central location where manager come together to have participation in job related exercises evaluated by trained observer.

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19

The company, STAR TRACK FASTENERS Pvt. Ltd. was incorporated on February 1991 as a part of the Digvijay Groups of companies which have been existing since the year 1946. The group is having diverse interest. In Star Track Fasteners Pvt. Ltd. we manufacture/supply following items: 1. Grooved Rubber Sole Plates 2. Rice Dehusking Rubber Rolls 3. Resilient Track Fasteners 4. Ballast Mats 5. Buffer Stops/Track End Closure Systems. 6. Railway and Industrial Barriers 7. Loading Ramps 8. Metal to Rubber Bonded Items

track work products for Indian Railways and ISO 9001:2000 certified.

The Company is managed by competent, well qualified technical, commercial and managerial professionals merging international and local Indian expertise

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21

The Company, Star Track Fasteners Pvt. Ltd. (henceforth to be read as Star Track) was incorporated on February 1991 as a part of the Digvijay Group of companies which have been existing since year 1946. The group is having diverse interest ranging from highly engineering oriented steel industries to the general industries such as processing and exporting rice and other agro products. The group Turnover was more than 500 crores in 2008-2009. The STARTRACK has been established with the object to manufacture all types of fasteners, fittings, and accessories, wire drawing and all types of hardware e.g. bolts, nuts, screws, supports, handling materials, points,

crossings, signaling equipment, intersections, signals, steering etc. In 1995, the company sucessfully implemented a project for the manufacture & supply of Grooved Rubber Sole Plates (GRSP) and Glass Filled Nylon Liners (GFNL) which are widely used by the Railways all over the world as fasteners/ couplings in Railway tracks and have huge potential in terms of requirements. The company has started commercials production in December 1995. To maintain uninterrupted power supply the company has installed DG set of 250KVA as 22 standby arrangements of power supply. Star Track Fasteners Pvt. Ltd. has obtained ISO

Our Objectives
Continuous quality-improvement of services and products Introduction of latest technology production processes Application of engineering know-how accessible from Sister Companies around the world

Reduction of Life-Cycle Costs of products supplied Decrease maintenance / reconditioning requirements Optimize materials, processes and designs

Increase of track-safety through excellence of products Supply of high-quality products according to latest designs

New-technology partner of Indian Railways Research and development of new products required by Indian Railways jointly develop solutions for further improvement in the track network

Design & Development of complete turnout systems to become one-stop shop for track work-customers Provide complete process to customer - from site-specific design to installation on track

Positive, motivated environment for our employees to enable their individuality to unfold and generate outstanding performance for our customers Open communication channels throughout the organization Improvement Proposal Scheme

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TRACK MASTER

BALLAST MATS

ELECTRONIC RAIL GREASING DEVICE

GROOVED AND
BUFFER STOPS / TRACK END CLOSURE SYSTEMS

CLAMP MOUNT (METAL TO RUBBER BONDED PRODUCT)

COMPOSITE RUBBER SOLE PLATES

RICE DEHUSKING RUBBER ROLL

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Management

Naresh Aggarwal Naresh AGGARWAL Managing Director & Co-Chairman Marketing / Sales / Administration

Michael Deckan Michael DECKAN Joint Managing Director / CFO Finance / IT / Logistics

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Peter Liesens Peter LIESENS Executive Director Technical / R&D

Vikas Aggarwal Vikas AGGARWAL Director Operations

Kapil Aggarwal Kapil AGGARWAL Director Commercial

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Organization
MANAGEMENT TEAM Naresh Aggarwal / Managing Director Michael Deckan / Joint Managing Director, CFO Peter Liesens / Executive Director Vikas Aggarwal / Director Operations Kapil Aggarwal / Director Commercial

COMPANY SECRETARY Lalita Jindal

ADMINISTRATION Naresh Aggarwal (PU) HUMAN RESOURCE DEVELOPMENT Lalita Jindal (PU) / Senior Manager (HR & Marketing)

FINANCE / LOGISTICS / IT Michael Deckan (PU) FINANCE & ACCOUNTS Sunil Goel / General Manager Finance PURCHASE Bharat Bhushan / General Manager Puchase INFORMATION TECHNOLOGY

MARKETING - FOUNDRY PRODUCTS 27

Vikas Aggarwal (PU) Peter Liesens (PU)

MARKETING - TURNOUT SYSTEMS Kapil Aggarwal (PU) MARKETING Deepak Talwar / Vice President (Marketing) Mukesh Kumar / Deputy General Manager (Marketing) Lalita Jindal (PU) / Senior Manager (HR & Marketing)

OPERATIONS MANAGEMENT Vikas Aggarwal (PU) QUALITY, DESIGN & R&D Anuranjan Prasad / Senior Vice President (Technical)

TURNOUT DESIGN and R&D Anuranjan Prasad (PU) QUALITY K.K. Sharma / General Manager Quality

WORKS SONEPAT Pawan Garg / General Manager (Works) MOULDING

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MELTING D.D. Sharma / General Manager Melting MACHINING Pawan Garg (PU) PROCESSING & FINISHING N.N PRODUCTION PLANNING Puneet Gupta / Deputy General Manager (Production Planning) FACTORY MANAGER Puneet Gupta (PU) PROJECTS & MAINTENANCE Pawan Garg (PU)

Joint-Venture Partners
STARTRACK is a multinational joint-venture company, having the following parters:

Aggarwal Family (the Promoters) India

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STAR Track GmbH www.voestalpine.com/vae Austria

JEZ Sistemas Ferroviarios S.L. www.jez.es Spain

Sister Companies of STARTRACK

STARTRACK isenbahnsysteme, Austria WWG Worth, Austria SST, Germany CONTEC, Germany

JEZ, Spain

STARTRACKUK, United Kingdom

STAR TRACK Italia, Italy

BWG, Germany Butzbach, Germany Gotha, Germany Kirchmser, Germany

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HBW, Netherlands WBN, Netherlands

STARTRACKRiga, Latvia

STARTRACKLegetecha, Lithuania

STARTRACKSofia, Bulgaria

STARTRACKApcarom, Romania

VAMAV, Hungary

STARTRACKPolska, Poland

STARTRACKSA, South Africa Kimberly Bloemfontein Isando

Digvijay Steels, India

STARTRACKRailway Systems, Australia

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STARTRACKBrasil, Brazil

STARTRACKNortrak North America, USA Canada Alabama Wyoming Newton Pueblo Chicago Seattle

Know-How since more than 40 years

Foundation of STARTRACK Industries in 1964

First operation in Batala, Punjab

Switches Elastic Rail Clips Nuts and Bolts

Expansion to Sonepat, Haryana in 2000

Cast Manganese Crossings (CMS)

Approved vendor from RDSO since 1994 for switches 32

Approved vendor from RDSO since 2001 for CMS Crossings

Approval of 4 prototypes of CMS in record-time of 8 months

Joint-Venture with STARTRACKand JEZ in 2004

Only performing single-source supplier for complete Diamond Crossing (w/o, single and double slip) in India

Only approved vendor in India for CMS Crossing

1:16, UIC60 1:20, UIC 60 1:8.5, IRS 52kg for Meter Gauge UIC 60 Scissor Crossover

STARTRACK Industries Pvt. Ltd. T+91-130-3298714 F+91-130-2381698 E-Mail: office@STARTRACK.in

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Registered Office: 42, Milestone, G.T.Road, Bahalgarh - 131021 Sonepat, Haryana, India

Castings for Tooling & Wear Resistance

Using our specialized infrastructure for quality castings for the railway industry, we are also manufacturing various wear-resistant castings in our ISO 9001 certified workshop in Sonepat, Haryana, India.

Wear Resistant AMS Castings

Our Product Range comprises Wear parts for crushing, milling and dredging equipments, such as:

Cones for gyratory crushers Jaws for jaw crushers Milling wheels Hammers for impactors Teeths

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Dredging buckets

All of those products are made in AMS HIGH AUSTENITIC MANGANESE STEEL Ductile cast Iron castings (1 T max.) Gray Cast Iron Castings (1 T max.) Heat resistant steel castings (400 Kg max.) Technical Attributes / Materials Wear Parts 12 / 14 % Mn with or without Cr Ni Mo 17 /19 % Mn with or without Cr Ni Mo 19 / 21 % Mn with or without Cr Ni Mo

Sales Contacts

Kapil AGGARWAL Position: Sales / Turnout Systems T.: +91/11/23965651 F.: +91/11/23965653 E-Mail: kapil@vaevkn.com

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Vikas AGGARWAL Position: Sales / Foundry Products - India T.: +91/11/23965651 F.: +91/11/23965653 E-Mail: vikas@vaevkn.com

Peter LIESENS Position: Sales / Foundry Products - Export T.: +91/11/23965651 F.: +91/11/23965653 E-Mail: liesenspeter@yahoo.fr

Engineering Competence
The Star group is proud of its high potential for engineering and R&D capacity. More than 150 engineers worldwide are working on

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- customized requirements - challenges in the high-speed and heavy haul areas - LCC (Life Cycle Cost) optimized turnouts and diamonds.

Some locations have their specific strengths, like high-speed, heavy haul or light rail (metro and tramways) or hydraulic and electronic systems (hytronics):

Each STARTRACKfactory has its own engineering department so that customers' needs are dealt with locally.

The central engineering department of the parent company coordinates the flow of know-how within the Star group.

We analyze the requirements of our customers and recommend the best technical and economical solution. The excellent staff potential together with outstanding technical knowledge ensures that customized solutions are put into practice within a short time.

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RAMS (Reliability, Availability, Maintainability, Safety) Management

The close connection between safety, reliability and life cycle costs asks increasingly for optimized products with regard to reliability, availability and safety.

Within the scope of the RAMS Management of STARTRACKanalysis of risks, reliability, maintainability and safety for each product are carried out in accordance with EN 50 126 standards.

To The goal of our RAMS Management is to minimize potential risks for humans and the environment and maximize the reliability and safety of our products.

ISO 9001:2008 Certificate Cast Products for both railways and industrial clients, Switches as well as other Turnout Components have always been developed, designed and produced with especially strict quality requirements.

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To guarantee safe and reliable functioning of STARTRACK Turnout Components and Wearresistance Castings, we endeavor to achieve a high quality level in all our products and optimize our processes according to ISO 9001:2000

ISO 14001:2004 Certificate In our aim to manufacture products not only at highest quality but also with a view of contributing to a sustainably protected environment, our environmental protection activities have resulted on the accreditation according to ISO 14001:2004

OHSAS 18001:2007 Certificate We are convinced that in order to achieve a premium product, it is imperative that we provide a proper and safe work environment for our team of staff members. Our Occupational Health and Safety Management system has been certified according to OHSAS 18001:2007

Vacant Positions

It is our aim always to be one step ahead: We think and act internationally. We seek new ways of innovating, and tackle them boldly and enthusiastically.

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Take the next step by joining our team Vacancies STARTRACK Industries Pvt. Ltd. Manager Maudling Manager (Finishing) Engineer (Quality Control) Design Engineer Senior Chemist Meltzer / Shift In charge Store In charge Store Assistant

MRTS-Seminar 2007
As follow-up to 2006, CII organized another National Seminar on Mass Rapid Transit Systems which has taken place on December 13, 2007 in New Delhi. Honorable speakers on the dais were:

Mr. Rajeev Jyoti, Chairman Railway Equipment Division, CII & Managing Director Bombardier Transportation

Mr. Gajendra Haldea, Advisor (Infrastructure) Planning Commission Mr. Satish Kumar, Director (Electrical), Delhi Metro Rail Corporation Ltd. Mr. Naresh Aggarwal, Managing Director and Co-Chairman, STARTRACK Industries Pvt. Ltd.

This was a most interesting event and a platform that brought together metro & railway organizations, construction companies & track work and rolling-stock manufacturers. It provided an update on the latest developments of MRTS projects in India and fruitful discussions on the ways forward for further and faster introduction of efficient, environmentalfriendly metro systems in the country 40

Naresh Aggarwal Mr. Naresh Aggarwal, Managing Director & Co-Chairman of STARTRACK, addressing the plenum

IREE 2007 Modernization of Railways & Heavy Haul Track

These where the main topics at the International Railway Conference organized by CII together with Indian Railways parallel to the IREE. Amongst the visionary, elite speakers were the Honorable Minister of State for Railways, Mr. Maranbhai J Rathwa, senior officials from Indian Railways & RDSO, and railway-industry leaders from around the world.

Marc Kaddoura (CEO Star group) & Naresh Aggarwal (MD STARTRACK) with Honorable Minister of State for Railways, Mr. Ma

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ranbhai J Rathwa at the Inauguration of the IRC 2007

Enter A New Dimension

This was the credo of our stall at the International Railway Equipment Exhibition. We were providing an outlook on future track solutions for India with dedicated Freight and High-Speed lines, focusing on turnouts and turnout components which ensure optimized Life Cycle Costs, highest availability of track and fulfilling highest safety standards.

Award for Export Excellence

Economic Times, 16. Oct. 2006 Our continuous efforts to supply our high-quality products not only to our domestic but also to our export customers have been recognized and acknowledged by the Engineering Export Promotion Council (Northern Region) of India by granting an Award for Export Excellence to STARTRACK. 42

Innotrans 2006
STARTRACK @ Innotrans We participated again in 2006 through our parent company JEZ Sistemas Ferroviarios in the Innotrans 2006-exhibition in Berlin. This not only gave us the opportunity to showcase our own developments and achievements. More importantly we were updating ourselves to the latest international developments and trends in the track work industry in order to keep up our high quality of services to assist our customer in their own developments and up gradations.

MRTS-Seminar 2006
VAE, the world-market leader in turnout technology, participated actively through STARTRACK in the National Seminar on Mass Rapid Transit Systems organized by CII on July 21, 2005 in New Delhi. Mr. Naresh Aggarwal, MD & Co-Chairman of STARTRACK, who acted as Conveyor of this event of behalf of CII, had the special privilege to welcome Dr. E. Sreedharan, Managing Director of DMRC, as the Guest of Honor. Other honorable speakers on the dais were:

Mr. J P Chowdhary, Chairman Railway Equipment Division, CII & Managing Director Titagarh Wagons Ltd

Dr. K K Gokhale, Managing Director Konkani Railways Corporation Ltd Dr. Marc Kaddoura, President & CEO, STARTRACKGmbH & Chairman, STARTRACK Industries Pvt. Ltd. 43

This was a most interesting event and a platform that brought together metro & railway organizations, construction companies & track work and rolling-stock manufacturers

Dr. E. Sreedharan Dr. E. Sreedharan, Managing Director of Delhi Metro Rail Corporation, sharing his experiences from DMRC and giving a visionary speech on the future potential and importance of Mass Rapid Transit Systems in India

Naresh Aggarwal & Dr. E. Sreedharan Mr. Naresh Aggarwal, Managing Director & Co-Chairman of STARTRACK, who acted as convener of this event for CII, is thanking Dr. E. Sreedharan for his participation

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The success of this event was reflecting in significant coverage in both print and online-media such as:

The Financial Express The Hindu Hindu Business Line Hindustan The Political and Business Daily The Tribune Shah Times Veer Arjun Dainik Bhaskar Rashtriya Sahara 45

Virat Vaibhav India Infoline News South Asia News

IPWE-Seminar 2006
Annually, the Institute for Permanent Way Engineers IPWE is organizing a seminar on PWErelated items which in 2006 was taking place in Chennai. STARTRACK participated in the seminar as well as in the exhibition to showcase its latest developments and to provide an outlook on the new-tech track work components which partly are already manufactured indigenously in our works in Sonepat, Haryana.

Naresh Aggarwal, MD & Co-Chairman STARTRACK, welcoming the honorable delegation from Indian Railways / IPWE at our exhibition stall

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Active discussions on the problem areas of existing track work items and demonstration of solutions (like in these case Weld able CMS crossings)

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48

IMPORTANCE AND PURPOSE

Performance Appraisal has been considered as a most significant and indispensable tools for an organization. It is highly useful in making decisions regarding various personal aspects such as promotion and incentives to be given. Accurate information plays a vital role in organization as a whole. They help to pinpoint weak areas in the primary system (e.g. Marketing, Finance and Production). It is easy for manager to see which employee needs training or counseling because jobs are grouped by categories. If valid performance data are available; timely, accurate, objectives, standardization, and relevant management can maintain consistent promotion and compensation policies throughout the total system. To effect promotions based on compensation & performance. To confirm the services of probationary employees upon whether they are completing the probationary period satisfactorily. Access the training and development needs of employees. To decide upon a pay rise. To let the employees know, where they stand in so far, as their performance is concerned and to assess them with constructive criticism and guidance for the purpose their development. To improve communication. To evaluate whether HR programs such as selection, training, transfers are being effective or not.

Another important aspect to consider is the employees right to privacy. Employees must have complete access to their personnel files, but others
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should have controlled access. The records should be accurate, relevant, and current. VI. Rewards

Effective reward systems are often hard to establish when creating performance appraisals. The question of how specific the reward, when the reward should be given, and how to reward group efforts can be a tricky subject to master. Our advice on this is to keep it simple. It is important to have an established reward system

. However, rewards can be as simple as more autonomy on the job, praise for progress, additional professional development funding, and vacation time. The important aspect to remember when establishing reward systems is to be consistent. If two employees are being evaluated in the same way, their rewardopportunities should reflect their evaluation

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 UNIVERSE OF THE STUDY SAMPLE SIZE SAMPLING METHOD TOOLS FOR DATA COLLECTION

RESEARCH METHODOLOGY USED

Research Methodology may be understood as a science of studying how research is done scientifically. In it we study the various steps that are generally adopted by a researcher in studying the research problem along with the logic behind them.

Following are the steps and techniques, which were used by the investigator for methodology:-

UNIVERSE OF STUDY:Universe covers the whole defined field on which the study is based. The present study is carried in Sonepat STARTRACK located on the outskirts of DELHI city. The environment of this area is peaceful with green atmosphere. Various products including railway tracks parts are manufactured. The working staff of Sonepat STARTRACK is the universe of study was all working members including both staff and officers.

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SAMPLE SIZE:Sample size=120 Sample size depends on the nature of the universe, so it should represent the whole universe without any bias. As there is huge manpower in Sonepat STARTRACK, so it was very difficult to study each and every individual. The limitation of time and money has not permitted the researcher to study the whole universe. So the researcher has studied only 120 employees of Sonepat STARTRACK and covered nine departments that were

Personnel & Administration, Finance, Production, Fire and Safety, Mechanical, Planning and Maintenance, Power and Utilities, Instrumentation and Material department which represent the whole staff of the organization.

SAMPLING METHOD:Out of various types of sampling methods, the researcher had used Random Sampling, as it was both, time saving as well as easy method of picking up the sample. As random sampling is also of many types, so the researcher had used stratified random sampling for study because it was more reliable. In this method, whole population that is required for study is divided into different groups and sample were selected from them.

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ANALYSIS AND INTERPRETATION Awareness of the performance appraisal system

YES(1) 95%

NO(2) 5%

100 90 80 70 60 50 40 30 20 10 0 Category 1 Category 2 Column1

Interpretation The result clearly shows that overall officers are aware about the performance appraisal system, only 5 % are not aware

TRANSPARENCY IN THE PERFORMANCE APPRAISAL SYSTEM

LOW(1) 10%

MODERATE(2) 55% 54

HIGH (3) 35%

Sales

low moderate high

Source: primary data collected by summer trainee

Interpretation

According to the collected data 55% officers opinioned that the transparency in the performance appraisal system is moderate, but 35% officers viewed that the transparency is high and 10% officers opined that transparency is low.

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CLARITY IN THE PERFORMANCE APPRAISAL SYSTEM

YES(1) 80%

NO(2) 20%

90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Category 1 Category 2 Series 3

Interpretation Result clearly shows that 80% officers are opined that there is clarity in performance appraisal system, only 20% viewed that there is no clarity in the system.

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LIMITATIONS ASSOCIATED WITH THE PERFORMANCE APPRAISAL SYSTEM

YES(1) 60%

NO(2) 40%

70% 60% 50% 40% 30% 20% 10% 0% Category 1 Category 2

Series 3

Interpretation The result show that 60% officer opined that there does not have any limitations in the appraisal system. But 40% opined that there is a limitation Associated with appraisal system

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FEEDBACK:

YES(1) 70%

NO(2) 30%

80% 70% 60% 50% 40% 30% 20% 10% 0% Category 1 Category 2 Series 1

Interpretation

The result shows that 70% officers are getting feedback by their immediate supervisors. 30% are not getting feedback from their bosses.

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E-PMS FOR NON-OFFICERS

YES(1) 95%

NO(2) 5%

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Category 1 Category 2 Column1

Interpretation

The data clearly shows that 95% officers opined that E-PMS for non officers will improve the efficiency. But 5% are denied.

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TRAINING TO APPRAISEE AFTER APPRAISAL

YES(1) 100%

NO(2) NIL

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Category 1 Category 2 Series 3

Interpretation

According to the collected data, all the officers opined that training should be provided to appraise after every appraisal.

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TRAINING TO APPRAISER

YES(1) 90%

NO(2) 10%

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Category 1 Category 2 Series 1

Interpretation

According to the above data 90% officers opined that training should be provided to appraiser, but according to 10% officers there is no need of training for appraiser.

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MONETARY LINKAGE OF APPRAISAL SYSTEM AS BONUS

YES(1) 60%

NO(2) 40%

70% 60% 50% 40% 30% 20% 10% 0% Category 1 Category 2 Series 1

Interpretation

The result shows that 60% officers are satisfied with the monetary linkage of appraisal system as a bonus. BUT 40% are not satisfied

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APPRAISAL SYSTEM BEING USED IN SONEPAT REFINERY

YES(1) 85%

NO(2) 15%

90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Category 1 Category 2 Series 1

Interpretation

According to the collected data 85% officers are satisfied with the appraisal system using in Sonepat and 15% are not satisfied.

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APPRAISAL SYSTEM ON A 5-POINT RATING SCALE

UNSATISFACT ORY (1)

BELOW

SATISFACTORY (3)

ABOVE SATISFACTI ON (4)

OUTSTANDING (5)

SATISFACTO RY (2) 10% 10% 20%

30%

30%

1st 2nd 3rd 4th 5th

Interpretation According to the collected data 60% officers above satisfactory, 20% satisfy and 20% are below satisfactory with the appraisal system in the star track.

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PERIODICITY OF PERFORMANCE APPRAISAL

QUARTERLY(1) 25%

HALF-YEARLY(2) 25%

ANNUALY(3) 50%

1st 2nd 3rd

Interpretation

According to the above data mostly officers opinioned that performance appraisal should be annually, but some of them are not satisfied. Performance appraisal according to them should be half-yearly and quarterly.

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66

FINDINGS

According to the above data interpretation, most of the officers i.e. 77 think that performance appraisals periodicity should be annually. But 26 of the officers wait to be half-yearly and rest 17 would like to see it quarterly.

The results clearly show that 90% of the officers are aware about the performance Appraisal factors and 10% of the officers are not aware of such responsible factors The result shows that about 70 officers are getting the proper feedback and the rest 50 officers are not getting the feedback

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68

RECOMMENDATIONS AND SUGGESTIONS

The following are the recommendations/suggestions which came into light after the completion of the study:-

1. People are not very much aware of filling the ePMS, so more number of training programs should be there.

2. Emphasis on feedback should be there.

3. All employees should be aware of promotion policies of STARTRACK and the link of their promotions with the performance appraisal system.

4. Post performance appraisal measures should be strengthened so that employees get to know their areas where focused improvement is required.

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70

CONCLUSION

After completing the research study on 120 employees (officers) of STARTRACK regarding effectiveness of PERFORMANCE APPRAISAL SYSTEM, my

suggestions would be that in future the research on STARTRACK should be such that: The subordinates are encouraged to accept more responsibilities and challenges. The subordinates need to be appraised more frequently on their positive contribution. The strength and limitations of the subordinates should be realized, in which the problems faced by the subordinates are taken in a systematic way and in which the supervisor attempts to understand the problems of the subordinates. Subordinates should be encouraged to acquire new capabilities and to handle more responsibilities. To identify developmental needs in which the employee is prepared for discussion through self-assessment. Identify factors that are contributed to employees performance and the factors that hinder it. Understanding and communication between supervisor and subordinates.

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72

LIMITATIONS

Though the data collected is proper but still there were certain limitations which were hindrance in making the data more appropriate. The limitations were:-

1. Because of shutdown activities, employees were engaged with their shutdown jobs and thus were not very readily available. This would have hampered the flow of input in some way.

2. As the questionnaire method was followed, people were not very comfortable in releasing the information.

3. As the questionnaire method was followed, limitations would have creped in while administering the same.

4. Many a time, employees were very reluctant in releasing the information, considering it to be confidential. Thus, it was a hindrance in study.

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74

SCOPE FOR FURTHER RESEACH

As I have conducted the research study with just a sample of 100 employees and thus if the study can be extended to 500 employees than the study will be more reliable and valid.

Also the preciseness of the results will increase after expanding the sample size. Also the scope of the study can cover the other dominant players of the industry to analyse the competence standards prevailing in the industry. Further we can also consider the data available with consulting and national surveys so that the benchmark competence standards can be judged. The study can then be expanded for the applications for promotions, transfers, and increments relevant works of employees whose competence

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76

BIBLIOGRAPHY

HUMAN RESOURCE MANAGEMENT By Prasad L.M

HUMAN RESOURCE AND PERSONNEL MANAGEMENT By Aswathappa K

RESEARCH METHODLOGY By Kothari C.S

STARTRACK HR Manual

Websites:

www.STARTRAC.in www.Google.Com www.Wikipedia.Org

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REFERENCES

Mr.Naresh Agrawal (MD) Mr. Vikas Aggarwal (DO) Mr. Kapil Aggarwal (DC) Mr. Rajkumar Indian Products Annual Report

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79

QUESTIONNAIRE
1. Are you aware of the performance management system in your organization?

(a)

Yes

(b) No

2. In your opinion what is the degree of transparency in Appraisal system? (a) Low (b) Moderate (c) High

3. Do you think there is clarity in the Appraisal system? (a) Yes (b) No

4. Are there drawbacks associated with the Appraisal system? (a) Yes (b) No

5. Is a direct feedback provided to you by your immediate supervisor regarding your assessment? (a) Yes (b) No

6. In your opinion what should be the preferred period of performance Appraisal?

(a)

Quarterly

(b) Half-yearly

(c) Annually

Do you feel that computerization of performance appraisal system for nonofficers will help in improving the efficiency & transparency in the system?

(a) Yes

(b) No

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7. Should training in lacking areas be given to appraise after every appraisal? (a) Yes (b) No

8. Do you think there is a need of training to appraisers? (a) Yes (b) No

9. Are you satisfied with the monetary linkage of appraisal system as a Bonus?

(a)

Yes

(b) No

10. Are you satisfied with the Appraisal system using in Sonepat Refinery? (a) Yes (b) No

11. How do you rate the Appraisal system on a 5-point rating scale? _____1_____________2____________3____________4___________ Unsatisfactory below Satisfactory ____5_____ Outstanding. Above satisfactory

Name & Designation of Respondent:_____________________

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