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INTRODUCTION TO HUMAN RESOURCE MANAGEMENT

Human Resource Management is the management of employees, skills, knowledge, abilities, talents, aptitudes, creative abilities etc. Employee in HRM is treated not only as an economic man but also as social and psychological man. Thus, the complete man is viewed under this approach. Employee is treated as a resource. Employees are treated as a profit centre and therefore, invest capital for HRD and future utility.

Features of Human Resource Management:


1 HRM is concerned with employees both as individuals and as a group in attaining goals. t is also concerned with behavior, emotional and social aspects of personnel. 2 HRM covers all levels !low, middle, and top" and categories !unskilled, skilled, technical, professional, clerical and managerial" of employees. t covers both organi#ed and unorgani#ed employees. 3 4 t is a continuous and never ending process. ndividual employee$goals consist of %ob satisfaction, %ob security, high salary, attractive fringe benefits, challenging work, pride, status, recognition etc. 5 t is the central sub$system of an organi#ation and it permeates all types of functional management.

Nature of Human Resources:


&eople in any organi#ation manifest themselves, not only through individual sections but also through group interactions. 'hen individuals come to work place, they come with not only technical skills, knowledge etc, but also with their personal feelings, perception, desires, motives, attributes, values etc, therefore, employee management in an organi#ation does mean management of only technical skills but also other factors of the human resources.

Scope of Human Resource Management:


The )cope of Human Resource Management in the modern days is vast. n fact, the scope of HRM was limited to employment and maintenance of payment of wage and salary. The scope is gradually enlarged to providing welfare facilities, motivation, performance appraisal, human resource management, maintenance of human relations, strategic human resources and the like. The scope has been continuously enlarging. The scope of Human Resource Management includes* +b%ectives of HRM +rgani#ation of HRM )trategic HRM Employment Development 'age and )alary ,dministration-.ompensation Maintenance Motivation ndustrial Relations &articipative Management

MEANING OF HUMAN RESOURCES MANAGEMENT:


Different terms are used to denote HR/s management. They are labour management, labour$ management relations, employee$employer relations, industrial relations, &ersonnel ,dministration, &ersonnel Management, Human .apital Management, Human ,sset Management, and the like. Though these terms can be differentiated widely, the basic nature of distinction lies in the scope or coverage and evolutionary stage. n simple sense, human resource management means employing people, human resources, utili#ing, maintaining and compensating their services in tune with the %ob and organi#ational re0uirements.

DEFINITIONS:
2HRM is a process consisting of four functions, ac0uisition, development, motivations and maintenance of Human resources3. Robb n ! Decen"o HRM has been defined as a strategic and coherent approach to the management of an organi#ation in which the most valued assets, the people, work for these, individually and collectively contribute to the achievement of its goals. Armstrong #$%%%&

O'(ECTI)ES OF HUMAN RESORCE MANAGEMENT:


The basic aims 4 ob%ectives of HRM are to help the reali#ation of the organi#ational goals. To ensure effective utili#ation of human resources. To ensure respect of human beings by providing various services and welfare facilities to the personnel. To ensure reconciliation of individual group goals with those of the organi#ation in such a manner that the personnel feel a sense of commitment and loyalty towards it. To identify and satisfy the needs of individuals by offering various monetary and non$monetary rewards. To achieve and maintain high morale among employees in the organi#ation by securing better human relations. To establish and maintain an ade0uate organi#ational structure of relationships among all the members of an organi#ation by dividing of tasks within the organi#ation into functions, positions, and %obs, and by defining clearly the responsibility, accountability, authority for each %ob and its relation with other %obs in the organi#ation. HRM tries to improve morale by providing ade0uate

training to workers and by achieving for itself knowledge of human nature which is 2the totality of motives that cause human actions.3

INTRODUCTION TO *ERFORMANCE A**RAISA+

&erformance appraisal is an important part of the system of developing human resources and developing a culture of maturity and collaboration in an organi#ation. t provides input for better management of salary and reward system. Effective functioning of &erformance appraisal system depends on a minimum level of trust and commitment to the development of employees in an organi#ation. &eople differ in their abilities and aptitudes. These differences are natural to a great e6tent and cannot be eliminated completely by imparting training and development. There will always be some differences in the 0uality and 0uantity of work done by different people. Therefore, it is necessary for the management of an organi#ation to know this difference so that it may develop certain programmes for those employees who possess better potential so that they may be developed to accept the responsibilities and challenges associated with higher %obs. The individual employee may also like to know his capability in terms of his performance on the %ob 0ualitatively in comparison to his fellow employee so that he may improve upon his own. His peers may similarly change for the better, looking at his performance. n ancient days, when kings and emperors were the rulers, the way of evaluating a person/s performance was different. t was through the process of information gathering. 7ater, the process was improved and formali#ed. 8ormal appraisal of an individual/s performance thus began in 'ie Dynasty in .hina !11($ 19: ,D" where an imperial rater appraised the performance of members of the royal family. )imilar system was followed in many countries. n (;;5, the <ew =ork civil service in >), introduced a formal appraisal system. Employee appraisal techni0ues are said to have been used for the first time during the 8irst 'orld 'ar, when, at the

instance of 'alter Dill )cott, the >) army adopted the 2Man$to$Man3 rating system for evaluating military personnel.

7ater during (@1A$5A period, rational wage structures for hourly paid workers were adopted in industrial units. These early employee plans were called up to the middle fifties, however, attention began to be devoted to &erformance appraisal of technical, professional and managerial personnel. )ince then, as a result of e6periments and a great deal of study, the philosophy of &erformance appraisal has undergone tremendous changes. .onse0uently, a change has also taken place in the terminology used. <ow, the older phrase merit rating is largely restricted to the rating of hourly paid employees, and is used fre0uently in developing criteria for salary ad%ustments, promotions, transfers, etc. The later phrase, personal appraisal, places emphasis on the development of the individual and widely used to evaluate technical, professional and managerial personnel. Though formal &erformance appraisal system started in >), with only few organi#ations, at present large number of ,merican companies adopt &erformance appraisal system to evaluate their employee performance. , formal appraisal system has been perceived to be e0ually important in ndian business and industry. <umber of companies have &erformance appraisal system in one form or the other. The system of &erformance appraisal varies in different countries. ,merican companies use &erformance appraisal mainly to determine wage increase, promotion and transfers. There is little emphasis on providing feed back to the employees and assessing the need for their further training. ndian companies, in contrast, use &erformance appraisal for training and development, providing feed back to employees and also in determining wages, promotions and transfers etc as the ,merican companies do.

The appraisal of individuals in an employment has been labeled and described by e6perts over the years in different ways. .ommon descriptions include performance appraisal, merit rating, behavioral assessment, employee evaluation, personnel review, progress report, staff assessment, service rating and fitness report. However, the term performance appraisal or evaluation is most widely used.

&erformance appraisal has been considered as a most significant and indispensable tool for an organi#ation, for, the information it provides is highly useful in making decisions regarding various personnel aspects such as promotions and merit increase. &erformance measures also link information/s gathering and making process, which provides a basis for %udging the effectiveness of personnel sub$ divisions such as recruiting, selection, training and compensation. Thus accurate information plays a vital role in the organi#ation as a whole. They help pin point the weak areas in the primary system. t is easier for managers to see which employees need training or counseling. Management can maintain consistent promotion and compensation policies throughout the total system. Thus &erformance appraisal is a powerful tool to calibrate, refine and reward the performance of the employee. t helps to analy#e his achievements and evaluate his contribution towards the achievements of the overall organi#ational goals. By focusing the attention on performance, &erformance appraisal goes to the heart of personnel management and reflects the managementCs interest in the progress of the employees.

INDUSTR, *ROFI+E
Intro-uct on to fert . "ers n-ustr/
8ertili#ers refer to any material which supplies nutrients to plants which can be readily absorbed by them. )ince the essential physiological attribute of seeds is their ability to convert a great deal of nutrients into grain, the spread of this variety lead for greater consumption of fertili#ers simultaneously, with increasing demographic pressure on the agricultural productivity has assumed more importance. This is also contributed to the raising demand for fertili#ers. The fertili#ers which are most widely used are classified as under, basing the nutrients available. The most widely used nutrients are nitrogen, phosphorus and potash. )traight nitrogenous fertili#ers!>rea, ,.),.,<" )traight phosphoric fertili#ers !))&,R+.D,&H+" <& fertili#ers !D,&,1A.1A.A,1;.1;.A" )traight potash fertili#ers!M+&,)+&" <&D fertili#ers !<&D.(E.(E.(E etc.," +ther fertili#ers !F) etc" .onse0uently, fertili#ers have become a key agricultural input so that the e6istence of a domestic fertili#ers industryG in crucial to ensure the regular supply of fertili#ers and attain goals of self sufficiency and food security. ,ccordingly government policy has also encouraged the industry by giving several benefits. ndia

has made great studies in the development of fertili#ers industry and ranked as the fourth largest producer in the world during (@@($@1.

.onsumption of fertili#ers has gone up marginally to (1 million tones in (@@($(@@1. +n the recommendations of %oint parliamentary committee on fertili#er pricing and potassic fertili#ers were with drawn. n order to encourage indigenous manufacture of di$ammonium phosphate and to compete with the imported D,&, the customs duty on import of phosphoric acid and ammonia was abolished. The fertili#er industry is the core sector of the economy rightly, since it is one of the Ma%or industries which provide a vital input for agricultural growth. The crucial brand importance of the fertili#ers has now been recogni#ed and all imports have now been e6empted from levy of customs duty. This will have a significant impact on the cost of production of fertili#ers.

Nee- of fert . "ers*


The primary sector, agriculture plays a dominant role in our ndian economy. <early EA.9H of population depends on agriculture for their livelihood. The agricultural sector contributes 5AH of national income and (AH of the earth/s surface area is used to grow agricultural crops now. This is in past nearly all that can be utili#ed for the purpose while the planets population is increasing continually and even greater 0uantities of food is re0uired to feed. +bviously since the cultivates area cannot be e6panded to any considerate degree the only way to supply the needed nutrition is to raise soil fertility. 8ertili#ers are mined commercial by$products which contain one or more essential plant nutrients from a material to the 0uantity of fertili#ers and it should contain nutrients in appreciable amount and in readily.

n addition, a fertili#er which is to6ic to the soil plants or human being above permissible limits should be taken into consideration. Many countries including ndia have laws as to what can or cannot be labeled as fertili#ers.

8ertili#ers are used for improving soil fertility so that it can support larger invests. 8ertili#ers represent the most common currently used by farmers to deposited plant nutrients into their soil to ensure that ade0uate nutrients are available to feed the crop. 8ertili#ers have played a key role much towards achieving self sufficiency in food grains production while we have achieved a great deal towards self reliance in fertili#ers and food that future is more challenging than it was in the past. ndia needs about ( million tones incremental fertili#er nutrient per annum in the @A/s to feed our growing population. The incentive orientation of the administrated pricing system linked to efficiency, had not only attracted fresh investment but also encouraged the e6isting units to improve operational efficiency and overall better management of resources. The fertili#ers consumption in ndia has invested many folds during the last two decades, most of it being applied manually, in regard to low fertili#er use efficiency crop production. ndia has undergone a reasonable change in last 1: years. Modern agriculture is high energy dependent. n addition, this energy input is predominantly based on fossil fuels. 8ertili#ers account for :A percent of total commercial energy input used in modern ndian agriculture. The advent of chemical fertili#ers has helped solving one of the most challenging tasks of food production and sustaining soil fertility. +ur country/s re0uirements of fertili#ers are continuously increasing year after year. 8ertili#ers use has increased from ?.9 kg-ha in (@9:$99 to :A kg-ha in (@;? $;:. n ndia, total fertili#er consumption <&D for the country e6ceeded ;.E1 million tones. The number of farms holding use of fertili#ers is above 9:H. f remaining farmers are also motivated to come within the fold of adopters, and fertili#ers use is increased to recommended level, the fertili#ers will certainly go much higher.

.ommercial fertili#ers are used in modern agriculture* to correct known plant nutrient deficiencies to provide high levels of nutrition to maintain optimum soil fertility conditions to improved crop 0uality. The ma%or factors influencing the selection of the rate and placement of fertili#er are the crop characteristics and climate, especially moisture supply and the cost of fertili#er in relation to the sales price of the crop.

Agr cu.ture n In- a:


The growth of ndian economy is based on food grains consumption. t is estimated that ndia will need 15: million tones of food grain by 1AAA ,.D. During the (@;A$;( and (@@A$@( food gain production increased by about ?A million tones. +ver the ne6t (A years period this has to be increased by about 9A million tones which are needed a challenging task. Due to population e6plosion in ndia, the net per capital availability of cultivated land that was %ust A.5 hectares in (@:A is reduced to less than A.(? hectare by turn of the century during the past three decades i.e (@9A$9( to (@@A$ @(, the total food grain production increased by about @Amillion tones. +f this, @AH increase in other commodities, further the crops growth is nearly EAH of country/s rain fed areas. These areas contributed to production of more than ?AHof food grains, ;AH of Mai#e, @AH of pellet and sorghum. ,bout @:H of pales and E:H of oil seeds are also grown in these areas. <early :9H of rice is grown in high rainfall areas without supplementary irrigation. )imilarly EAH of cotton and almost whole %ute and menthe are grown under rain fed conditions. The average annual growth in agriculture production during the ;th five year plan has addressed itself to meet due challenge for agriculture production, agriculture being the most vital sector of the economy. The strategy for agriculture development in the ;th plan aims not agriculture commodities for e6port but to increase the income level of the farmer. The e6istence of a domestic fertili#ers

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industry is crucial to ensure the regular supply of fertili#ers and action goals of sufficiency and food security, as fertili#ers have become a key agricultural input. ,ccordingly government policy has also encouraged the industry by giving several benefits ndia ranks as the ?th largest producer in the world during (@@($@1 as a result of great studies made in the development of fertili#ers industry.

Or g n an- -e0e.o1ment of fert . "ers n-ustr/ n In- a:


The first plant for production of nitrogenous fertili#ers was built in (@?A, in small capacity, which augmented with production of about :A,AAA per annum. <itrogen, in the form of ammonium sulphate in (@:(, formed the first public sector fertili#ers plant in ) <DR . )ince then, the government of ndia has taken up the idea to build fertili#ers plants at every state of the country. The real e6pansion of the industry took place in (@9A/s and since then, it has been e6panding at rapid rate in public, private or %oint sector to meet growing demand for fertili#ers, both nitrogenous and phosphoric. The farmers always wanted the fertili#ers at low form gate price. The producers always wanted to increase the e6$factory pride. n (@EE, the ndian Iovernment took a decisive step towards food sufficiency. t argued that the best way to increase the fertili#ers consumption and through that food grain producers would not be willing to sell at their price, the government made the good differential by paying them a subsidy.

T2e Go0ernment f 3es t4o 1r ces:


(. The price at which the manufacturer should sell fertili#ers to farmers. This price is fi6ed at levels affordable to the farmers and is uniform for all manufacturers.

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1. , fair price at which the manufacturer ought to have received from the farmer. This price is based on prescribed efficiency norms in regard to capacity utili#ation. .onsumption of raw materials and usage of utilities differs with every plant. Thus, each plant would have a different retention price that is so designed that often covers the mandatory cost the company that operated at @AH would earn a (1H post ta6 return on net worth. , unit operating at higher operating rates would benefit by way of enhanced recovery of fi6ed operating rates would relate charges. The Iovernment remembers difference between the retention price and the Iovernment reimburses the selling price to the manufacturer as subsidy. The cost of transporting the material from the factory to the consumption point it is also reimbursed to the producers as e0uated freight. The retention pricing !R&)" was first introduction for nitrogenous fertili#ers in (@EE, for phosphoric fertili#ers other than signal super phosphate !))&" in (@E@ and for ))& in (@;1. n the same year, imports of D,& were canali#ed through MMT. in order to pro%ect the local market by (@@(, the spiraling e6penditure on fertili#ers as fertili#er subsidy has led to the widening of the budgetary deficit. The Rao Iovernment then on a tough ride towards economic liberali#ation, was under pressure to knock off fertili#er subsidies, which has snow balled from Rs.1: core in fiscal (@E; to Rs.5E5A core in fiscal (@@(. n July(@@(, nitrogenous fertili#ers namely ,mmonium sulphate !,s", calcium ,mmonium nitrate !.,<" and ammonium chloride !,.&" were decontrolled while the selling price of all other fertili#ers were raised by ?AH. n the political noise that followed, this was reduced to 5AH, with small and marginal farmers fully e6empted from the like. The e6emption in the market place land so, had to be abandoned soon. n ,ugust (@@( the government tracked at the nitrogenous segment by putting ,), .,< and ,. again under control, reintroduced subsidy, decontrolling phosphoric and potash fertili#ers, dropped the retention pricing and subsidy scheme and declared D,&. The decontrol sent the prices of phosphoric fertili#ers very high !by (AAH". This led to a sharp fall in the consumption of these fertili#ers. To partially compensate

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the increase, the government got into the act of introducing a subsidy of Rs.:AA-$ to Rs.;AA-$ per tone on other comple6 fertili#es. The idea was that there would be corresponding reduction in the selling price of these fertili#ers. 7ater it made certain smart concessions like, it removed customs duty on imported phosphoric fertili#ers at the lower official rate of e6change.

DA* un ts n In- a 4 t2 annua. ca1ac t/ of 1ro-uct on S5 No


(

State6

Name

of

t2e

factor/ Annu. Ca1ac t/ #F gures n 777 MT&


1AA.AA

+ocat on
,<DHR, &R,DE)H D&R 8ertili#ers 7td,!))&" Biccavol I+, Fuari ,gro .hemicals!D," Fuari <agar I>J,R,T

(:A.AA

Iu%arat )tate 8ertili#ers .o.,!D,&" )ikka Iu%arat )tate 8ertili#ers .o.,

519.AA

!(;*?9*A-1A*1A" Kadodara D,R<,T,D,

(A;.AA

D&R 8ertili#ers 7td, !D,&"!)," D+&&,7 DER,7,

<.,

8,.T, !D,&" ,mbalamedu +R )),

<.,

&radeep &hosphates 7td., &aradeep

E1A.AA

(5

T,M 7<,D> ; Madras 8ertili#ers 7td., !M8."!D,&" Manali )& . !D,&" @ Tuticorin 'est Bengal Hindustan 7ever !D,&" Haldia (:?.AA <.,

IM*ORTANCE OF DA*:
,s regards the D,& that provides 9:H of the total re0uirement of &1o:nutrient, the present demand of four million tones p1o: would definitely go up on million tones by 1AA: and by another one million tones by 1A(A.>nlike 2<3 production where the raw material could be indigenously sourced. D,& or other phosphate fertili#ers production in ndia calls for sourcing all the raw materials from the international market. .onsidering the fact that the international market with respect to phosphate fertili#ers is heading toward a tight situation, it would be prudent on the part of the Iovernment and industry to tie up as many %oint venture as possible at this stage itself to ensure a sustained availability of flow of &1+:. Raw materials for D,& are imported from Jordan, Iermany, .anada, Rumania, >D, Japan, .#echoslovakia, <orway, )audi, ,rabia, &hilippines, Me6ico and others. The two ma%or fertili#er products namely >rea and D,& are e6pected to remain pivotal in providing L</ and sustained availability of flow of &1+: respectively in the foreseeable future. t is therefore, essential that the fertili#er industry devotes more and more efforts and resources to improve the productivity and efficiency of the e6isting products and in particular urea and D,&-<&D fertili#ers. 'ith the continuing threat of e6haustion of the energy sources any improvement in the process technology of manufacture of fertili#ers should primarily focus on cutting down the energy consumption, which should in turn help being down the cost of production. (?

NEED OF THE STUD,


,s &erformance ,ppraisal is treated as a deciding factor of an employee/s performance, there arises the need for a detailed study of the concept. The need of the study is to reali#e the aspirations of the employees with respect to good performance and the various measures needed to be taken for the betterment of &erformance ,ppraisal. The need of study is to find out the key points that have to be considered by the employers in appraising the performance of their employees. The study will also help in understanding how &erformance ,ppraisal influences the employee/s attitude in performing the %ob. This pro%ect is mainly handled in order to study the &erformance ,ppraisal )ystem in D.&.R 8ERT 7 )ER) 7TD to study how the employees are rated based on their performance, whether the system fulfills the re0uirements and purpose of the organi#ation, and whether the &erformance ,ppraisal )ystem adopted is really helpful in the effective evaluation of the employees. The pro%ect, which has been done, will help the organi#ation immensely in locating any drawback, which may be present in their e6isting &erformance ,ppraisal )ystem. This pro%ect will also help the organi#ation in formulating a better appraisal system in the organi#ation in planning to evolve a new &erformance ,ppraisal )ystem in near future.

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SCO*E OF THE STUD,


The )cope of the study covers employees of all the departments in D.&.R. 8ERT 7 )ER) 7TD in order to understand their point of view with respect to &erformance ,ppraisal )ystem. The scope is also widened to find out the e6pectations of the employees from the management with respect to the above concept. The scope also includes the importance attributed to the grievance settlement procedure as a part of &erformance appraisal system by the employees. The scope is in reference to D&R 8ertili#ers Doppal, Darnataka only.

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O'(ECTI)ES OF THE STUD,


(. To study fertili#ers industry in general. 1. To find out the effectiveness of the &erformance ,ppraisal system followed at D&R 8ertili#ers and to monitor the performance of its employees. 5. To find out discrepancies if any in the system and suggest some remedies to over come the discrepancies. ?. To evaluate the level of interaction between appraiser and appraisee during &erformance ,ppraisal. :. To understand whether &erformance ,ppraisal has any influence in changing the behavior and performance of employees in D&R 8ertili#ers. 9. To know how &erformance ,ppraisal system evaluates the performance of the employees in D&R 8ertili#ers. E. To obtain views and suggestions from both appraisers and appraisees about the &erformance appraisal system.

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METHODO+OG,
SOURCE OF DATA: How best the management can take the 0ualitative decisions depends on the 0uality of data. ,ll the data collection is carried on with the cooperation of the management of D.&.R 8ertili#ers 7td, who permitted me to carry on the study and provided the re0uisite data. The data has been mainly collected through two principal sources* &rimary data )econdary data

*r mar/ -ata: Data which is collected with out the interference of the middle men and data which is a fresh and is original in nature. The primary data for the research work was collected from first hand information in course of the interaction with the employees of the organi#ation in the oral form and other e6planation forms which are the basic parts of primary data. The primary data has been collected from the personnel and related departments of D.&.R fertili#ers 7td.directly by consulting them as and when re0uired. , well structured schedule has been administered for collecting data from the employees.

Secon-ar/ -ata: Data, which is already there and is collected from %ournals, books, maga#ines etc.

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The secondary data is mainly dependent upon the annual reports provided by the organi#ation and the company policies. .ertain standard te6t books of eminent authors were also referred for the purpose of theoretical back drop of the sub%ect. )ome of the data has also been taken from internet.

There are several methods of collecting primary data. They are (. +bservation method 1. interview method 5. Through )chedules ?. Through Muestionnaires Here in the 2)tudy on &E.T !&erformance Enhancement and .oaching Tool" )ystem in D&R 8ertili#ers3 the data has been basically collected through primary sources with the help of 0uestionnaires.

Too.s use- for -ata co..ect on are as fo..o4s: Discussions !>nstructured Discussions" Muestionnaire !)tructured Muestionnaire"

Unstructure- D scuss on: >nder this method of data collection the researcher personally interviews the respondents to gather the information. The respondents are asked to present their views and opinions about the topic under discussion. The opinions of the respondents are used as the primary source of information for preparing the study report. Structure- 8uest onna re: t is usually associated with the self$administered tools with items of the closed or fi6ed alternative type. The respondents feel greater confidence in the anonymity of 0uestionnaire than in that of any interview. t places less pressure on the sub%ect of immediate response. These were the reasons for choosing 0uestionnaire as one of the tools for data collection. (@

The 0uestionnaire consists of two types of 0uestions* C.ose9en-e- :uest ons: The close$ended 0uestions consist of multiple choices, which offer the respondents with a choice of specific answers. O1en9en-e- :uest ons: ,n open$ended 0uestion is a 0uestion where no choices of answer are given to the respondent and the respondent is given freedom to respond according to his wish.

SAM*+E SI;E: t refers to the number of items selected from the universe to constitute a sample. Here the universe consists of (:A employees. )ample si#e of the present study from the universe is :A, and the people in the sample are 2gents and ladies whose working e6perience in D&R 8ertili#ers 7td is more than ( year3. , Random sample si#e of :A employees has been selected from e6ecutive manager level employees from different departments for the collection of information on the study of &erformance appraisal. The above data is collected personally and is tabulated and presented in table form and interpreted with the help of graphs and charts and the re0uired percentages are calculated to arrive at logical conclusion and suggestions.

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+IMITATIONS OF THE STUD,


Time factor of 1 months is the key limiting factor which is not sufficient to make a complete study of all the aspects for full pledged pro%ect. Though care has been taken to record the responses correctly, personal perceptions and attitudes can be e6pected to influence the study conducted. The comparison in not made between D&R 8ertili#ers and other pesticides companies as the scope of the study is limited. The opinion of all the employees is not considered due to shift system in some of the departments like &roduction, Research and development. The sample si#e being small, could not consider the views of all the employees which carries certain sampling errors with it. There may be scope for bias in response of the employees. This may be due to various institutional factors which are out of our study. )o this can be considered as a suggestive report rather than an authenticated one.

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COM*AN, *ROFI+E

INTRODUCTION:
D&R 8ERT 7 )ER) 7TD. a subsidiary of D&R groups is one of the leading players in the fertili#ers industry in ndia along with its sibling D&R .HEM .,7). Head0uartered in the D+&&,7 !Darnataka" and with operations based in the ,&, the new company is one of the industry leaders. The .ompany is having its plants in Biccavolu, Balabadrapuram !,ndra&radesh" ORIGIN OF <5*5R: #INDIA& D. &. R. 8ertili#ers 7imited was incorporated on A1 nd January 1AA( with the main ob%ect of carrying on the activity of manufacturing of pesticides and fertili#ers. The annual turnover in 1AAE reached to >)D 1A millions among which the domestic business occupied EAH and the 5AH we e6port to Middle East and Iulf countries. 'e have poultries and rice mills >nit in south ndia market. 'e can able to supply Rice, Eggs and Egg powder. 'e are in agriculture field since 5A years. D.&.R. Iroup is founded by )hri. Dovvuri &apa Reddy in l@EA D.&.R. Iroup is diversified large$scale group company mainly focusing on manufacturing activity and currently its business has e6panded to the fields of manufacturing of 8ertili#ers, &esticides, ,nimal Health$<utrition$feed and &harma, .hemicals, )eeds* &ower Mill. Rice Mills, )olvent E6traction >nit, &oultries and etc. D.&.R. will provide you a wider choice in agrochemical products and detailed service. &roduct and services are the visible elements we provide. These can be sourced from many .ompanies. However, at D.&.R, our actively working attitude, reflected by our fast and reliable 11

responses to problem solving and our honesty and integrity in all aspects of our dealing with customers has, we believe, set us apart. 'e care about our customers and their success and seek to ensure that all of our relationships are long term and not opportunity sales.

<ow$a$days the world is governed by the principle of 2)>RK K,7 +8 THE 8 TTE)T3. This is a challenge that implies either success or failure we here in D&R8ertilisers 7td,have chosen to go through this challenge devoting all our hard working and our years of e6perience to maintaining our solid steps on the way to )uccess. Thus we are committed to our three main goals* T+&&ER < )>&&7= &R+&ER < M>,7 T= H+<+>R < TR>)T Taking these elements in to consideration, supported by our confidence in the ndians capability of rendering impossible a reality. 'e can easily and consistently achieve these +b%ectives. AIM: To be a leader in the phosphatic industry, producing high 0uality fertili#ers at low cost and giving satisfaction to all stake holders.

<*R MISSION:
NT+&&ER < )>&&7=,&R+&ER < M>,7 T=,H+<+>R < TR>)TN To enhance the prosperity of the farmer through supply of 0uality farm inputs and related services to ensure value for money. 8armers while promoting the economic interest of shareholders in line with the national priorities. n consideration of the promotional role played by 88.+, so long as 88 .+/) the legal and beneficial owner of not less than E@,EA,AAA issued and fully paid up e0uity shares of D&R 8ertili#ers.

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Com1an/ *rof .e 'as c Informat on


Com1an/ Name: 'us ness T/1e: *ro-uct6Ser0 ce #=e Se..&: D&R 8ERT 7 )ER) &KT 7TD Manufacturer, +ther )ingle )uper &hosphate,<&D,Dicalcium &hosphate,)ulphiric ,cid,&esticides,Eggs,Rice,D+RB,)+=, D+.,Egg &owder Rock&hosphate,)ulphur,D,&,>rea,M+&,)ulphuric,cid,Monocr otophos Technicals,Methyl &arathion Technicals,He6acona#ole Technicals,.ypermethrinTechnicals,,cephateTechnica,Butachlor *ro-uct6Ser0 ce #=e 'u/&: Technicals,.artaphydrochloride Technicals,7ambdacyhalothrin

Technicals,&hosphamidonTechnicals,,tra#ineTechnic, midaclopr ideTechnicals,.arbenda#imTechnicals,Manco#eb Technical,Tricyclo#ole E:H 'p Tota. Number of Em1.o/ees In a.. branc2es Number of em1.o/ees >o11a. un t n ,round :AA

,round (:A

1?

O4ners2 1 ! Ca1 ta. Registered .apital* Below >)O(AA Thousand +wnership Type* .orporation-7imited 7iability .ompany 7egal Representative-Business +wner* D. K. Mukund Reddy Tra-e ! Mar>et Main Markets*,frica Middle East Eastern ,sia Total ,nnual )ales Kolume* >)O(A Million $ >)O:A Million E6port &ercentage* 1(H $ 5AH Total ,nnual &urchase Kolume* >)O(A Million $ >)O:A Million Factor/ Informat on 8actory )i#e* ,bove (AA,AAA s0uare meters 8actory 7ocation* ndia M,-M.* n House <o. of &roduction 7ines* 9 <o. of R4D )taff* 1( $ 5A &eople <o. of M. )taff* ,bove (AA &eople Management .ertification* )+ @AA(*1AAA .ontract Manufacturing* +EM )ervice +ffered 7abel +ffered Design )ervice +ffered Buyer

<*R INTENT:
2'E ',<T T+ BE.+ME THE ><D )&>T,B7E 7E,DER <D>)TR=3. < +>R

1:

COM*AN, AT G+ANCE .ompany =ear of incorporation &romoter 8ertili#er Trade ,nnual production of D,& .apital .ost Means of 8inance Ma%or Raw Materials * * * * * * * * D&R 8ERT 7 FER) 7 M TED 1 nd January 1AA( Iovernment of ,ndhra &radesh, 88.+ (;*?9*A 5AAAAMMT ;A ?AH E0uity, 9AH Borrowed .apital &hosphoric ,cid ,mmonia )ulphuric acid 8iller >tilities 'ater &ower Bags Marketing Territorities Transportation 8ertili#ers &esticides Registered office Bankers 8actory * * * * * * * ,ndhra &radesh, Darnataka. Rail 5AH, Road EAH. D,&, ))&, )ulphuric acid. Monochrotophos, Munolphos, Edhosulphon, .arbondasin Halavarthy, Doppal Taluk, Darnataka ,ndhra Bank, (" <allamilli Road, Biccavolu, East Iodavari dt ,ndhra &radesh 1" ). <o. (A;, (A@, Halavarthi Killage <ear Dunikeri Thanda, Doppal Darnataka.

19

ORGANI;ATION CHART

HIERARCH,: The factory is headed over by )ite Director who reports to vice$president, operations at head office. >nder )ite director are the departmental heads, who looks after different functions of the factory. 'OARD OF DIRECTORS

H erarc2/
.hairman Directors * * Mr. )imon )carff )ri Dovvuri &apa Reddy )ri Darri Kenkata Mukunda Reddy )ri Dovvuri Ra%sekhar Reddy ,lternative Director &resident and whole Time$ Director * Mr. Ravi .handra * Mr. Dishan Reddy

*ro-uct *rof .e:

n our technology$ leading <&D mi6ing and granulating plant :?A MT&D in ,.&. 4 1AA MT&D in Darnataka and )ingle )uper &hosphate 9AA MT&D in ,.& 4 5AA MT&D in Darnataka D&R, we are manufacturing a series of $ high 0uality <&D mi6tures granular and ))& granular for 0uality crop protection cum growth along with More yield and etc.,

1E

S ng.e Su1er *2os12ate Cro1s : Cotton? )egetab.es? *a--/? Sugarcane Use- to : O0ercome 12os12ate ! Su.12ur -ef c enc/? Root De0e.o1ment Dosage 6 Acre : @7 9 $77 <gs

n our uni0uely$designed formulation plant , we can do the following formulation 'I, )I, '), '&, )&, 8), )., )7, E', >7, +7 ET.., 'e are pursuing not only the constant improvement of 0uality and packing, but also the innovation of formulation technology.

n our )ulphuric ,cid &lant 1AA MT&D along with 1 M' power cogeneration by waste heat steam recovery, advanced technology $ superior 0uality acid for mainly batteries, treatment, Technical grade, ore production, ndustrial uses and fertili#er creation.

1;

S1ec f cat on of Su.12ur c Ac The chemical industry in ndia is well established and has recorded a steady growth in the overall ndian industrial scenario. The chemical and allied industries have been amongst the faster growing segments of the ndian industry. The sulphuric acid is considered the barometer of growth in the chemical industry, the per capita consumption is only about :kg per annum in ndia as compared to ?Akg in industrially developed countries. n our )eed two plant at 'arangal, ,.& , we are processing the &addy, Mai#e and )un flower )eeds with (5A MT&D capacity of each to produce the D&R brands standard Muality for the farmers to get the e6cess yield.

H,'RID SUNF+O=ER

A <g See- 1er Acre Cro1 Durat on %@ 9 $A7 -a/s *.ants D stance A Feet Ro4 - stance A Feet

1@

*ADD, SEEDS A@ 9 B7 <gs See- *er Acre Cro1 Durat on <2ar ff $@7 -a/s Rab $A7 -a/s MTU $7$7? $77$? $7C$? D7A%? BCAC '*T @A7E? ((+ $D%F? IR CE etc fert . "ers N9*9< BA9BC9$A

n our 8eed and &harma &lant , we produce the Di .alcium &hosphate:A MT&D 8eed grade and &harma - Dentifrice grade 5A MT&D. 'e also &roduce the Mineral Mi6tures for &oultry and cattle feed ngredient from our n house Di .alcium &hosphate.

<*R DC* 9 Fee- ! *2armac/ D 0 s on .alcium and phosphorous are the two vital nutrients for healthy body. Di$calcium phosphate and Mono calcium phosphate considered being good source of calcium and phosphorus sub%ected the to6ic element and heavy metal -fluorine should be within permissible prescribed limit.

5A

+ur state of art plant maintaining the optimum level of production procedures to produces highest Bio$available D.&. <e/ Features of our Fee- ! *2arma D 0 s on 'e ndia we are the only one D.& manufactures having our own sulphur melting plant hence use vergin 0uality of sulphuric acid for our 8eed 4 &harma product. +ur products does not manufactured by any spent - effulent acid of other plant which in general content ha#ardous chemical - unidentified to6ic element pesticide residues etc. 'e use very safe and pure 0uality of input raw material to provide safe product to customer. 'e also keep heavy metals - flourine under prescribed B ) limit. +ur product does not contain any undigested rock phosphate. +ur product does not contain any organic - microbes impurity.

'e have ) mark for D.& $ ,nimal 8eed Irade and Mineral Mi6ture for cattle.

*ESTCIDES

A<RAMAN C/1ermet2r n A@G E5C5 Cro1s : Cotton? Groun-nut? 'r nHa.? C trus? '2enInsects : +eaf Fo.-er? +ucern? Cater1 ..ar? +eaf M ner Dosage 6 Acer : $@7 9 A77 m. #$m. 6 $ . =ater

5(

CHA<RA Tr a"o12os E7G E5C Cro1s: *a--/? Cotton? )egetab.e? F.o4er ng 1.ants? Coconut Insects: +eaf ro..er? 'orer? A12 -? (ass -? T2r 1s? =2 tef./? 'o.. 4orm? Fru t borers Dosage6 AcerI E779@77#A5@ m.6 $ .t 4ater&

A)IAN In-o3acorb $E5@G S5C5 Cro1s : Cotton? Cabbage Insects : Re- Cotton 'ug? Dus>/ Cotton 'ug Dosage 6 Acre : A779A@7 m. #$m. 6 $ .t 4ater&

51

=IND *O=ER

n the (@EAs, oil shortages pushed the development of alternative energy sources. n the (@@As, the push came from a renewed concern for the environment in response to scientific studies indicating potential changes to the global climate if the use of fossil fuels continues to increase. 'ind energy is an economical power resource in many areas of the country. 'ind is a clean fuelG wind power plants !also called wind farms" produce no air or water pollution because no fuel is burned to generate electricity. Irowing concern about emissions from fossil fuel generation, increased government support, and higher costs for fossil fuels !especially natural gas and coal" have helped wind power capacity in the >nited )tates grow substantially over the past (A years. Today, wind energy is mainly used to generate electricity. 'ind is a renewable energy source because the wind will blow as long as the sun shines.

The )ankaneri D.&.R 'ind >nit, Tamil <adu, ndia/s southern peninsular region in Tamil <adu is blessed with more than 9:AM' of installed capacity. This wind farm comprises of )u#lon/s time tested wind turbines of 5:A D', 9AA D', (1:A D', and (:AA D'. The one of the best wind power potential . . Thanks to its uni0ue topography that e6poses it to two monsoon seasons in a year, the windy season e6tends over a longer period. )u#lon/s )ankaneri wind farm hosts.

55

. The D.&.R 'ind >nit is generating 5 M' power and fully grid to the Tamil <adu Electricity Board, T< Iovernment of ndia. D str but on of 4 n- s1eeThe strength of wind varies, and an average value for a given location does not alone indicate the amount of energy a wind turbine could produce there. To assess the fre0uency of wind speeds at a particular location, a probability distribution function is often fit to the observed data. Different locations will have different wind speed distributions.

Gr - management nduction generators, often used for wind power pro%ects, re0uire reactive power for e6citation so substations used in wind$power collection systems include substantial capacitor banks for power factor correction. Different types of wind turbine generators behave differently during transmission grid disturbances, so e6tensive modelling of the dynamic electromechanical characteristics of a new wind farm is re0uired by transmission system operators to ensure predictable stable behaviour during system faults !see* 7ow voltage ride through". n particular, induction generators cannot support the system voltage during faults, unlike steam or hydro turbine$driven synchronous generators. Doubly$fed machinesPwind turbines with solid$state converters between the turbine generator and the collector systemP generally have more desirable properties for grid interconnection. Transmission systems operators will supply a wind farm developer with a grid code to specify the re0uirements for interconnection to the transmission grid. This will include power factor, constancy of fre0uency and dynamic behaviour of the wind farm turbines during a system fault.

5?

<E, *EO*+E* <on E6ecutive .hairman $ Mr. )imon )carff Managing Director $ Mr. Fubair ,hmed <*R S*IRIT: 2'e undertake our 0uest with enthusiasm of entrepreneurs, e6cited by the constant search for innovation. 'e value performance achieved with effort. 'e will attain success as a 'orld class leader with each and every one of the people contributing with passion and unmatched sense of urgency. nnovation and Entrepreneurship

.ompetitive advantage through well e6ecuted ingenuity )ense of urgency

, nimble, focused resilient and fast learning organi#ation. Every one committed and everyone contributing ,ll employees have opportunity to make meaningful contribution and to succeed based on merit. &erformance with ntegrity Delivering on promised with organi#ational and individual trustworthiness &eople with passion &eople are enabled and motivated to do their best work. ,ccountability for achievement .lear e6pectationsG focus on critical few performance matters and will be rewarded. ,lignment with I)D interest +ne team, in a single$minded pursuit of our mission, reflecting a common spirit and integrated strategies Develop self and others , norm of career long learning ability across the organi#ation

5:

<*R DRI)ERS: 2'e face a highly competitive market place, populated by other e6cellent companies, with their own gifted people, and their own determination to succeed. How do we, as a company, e6pect to focus our energies to stay ahead of the competition by achieving e6cellence in five areas that are primary drivers for our business3Q

Strateg/ an- Out.oo>


+ur company aims at 0uality$ innovation$ commitment. 'e focus on 0uality products ,nd best service. )incerely welcome all friends to our company for business talks. 'e employ lots of famous e6perts and have a group of R4D personnel with abundant theoretical and practical e6perience. 'ith wide specialty and advanced e0uipment, our company has set up good relationships of technical coordination with do#ens of scientific research units and universities which gives us powerful support and guarantee for keeping our products Muality at leading levels. +ur products have won a good reputation at home for stable 0uality. 'ith the concern and support from Iovernment 4 .ustomers, we will keep on progressing to create a brilliant future. O'(ECTI)ES OF THE COM*AN,: &roviding a product with good 0uality )atisfying needs of consumers 8ollowing policies i.e. Muality policies, )afety policies.

D.&.R.8ertilisers 7imited is a subsidiary of D.&.R. Iroup one of the 7argest and leading manufactures of agrochemical &roducts in ndia with a wide range of advanced, environmentally friendly products. +ur company has si6 manufacturing units in )outh ndian Market. +ur range of &roducts$ <&D 8ertili#ers , )ingle )uper &hosphate , )ulphuric ,cid , feed 4 &harma , )eeds , &esticides >nit includes nsecticides, 8ungicides, Herbicides. The .ompany has stick to the rule of providing high 0uality chemicals product to Domestic and overseas markets, supported by our e6perienced technical team, strong 59

manufacturing capability, 8le6ible devoted personal.

FACTOR, *ROFI+E

)ulphuric acid was an instant success in ndia and the product was always in short supply. To meet the growing demand of the product the management foresaw the need of another factory in ndia, in a lots of surveys were carried out to find a suitable location. Bikkavolu was found to be an ideal location for the second factory because of the following reasons* The wide availability of sulphur R one of the most important raw materials for the production of )ulphuric acid .ost of labour being cheap. 'ide availability of water R a natural resource The pro6imity to the biggest market R )outh The enthusiastic and co$operative government

D&R, Doppal is in the forefront of implementing new technological initiatives to enhance its competitiveness and ensure safe work place. *RODUCTION: Doppal plant produces broadly three products in its unit. (. )ingle )uper &hosphate, 1. <&D, 5E

5. Dicalcium &hosphate, ?. )ulphuric ,cid, Horlicks manufacturing section consist of five production lines.

*ro-uct on . nes*
The plant has five lines of production of which two are dedicated to sulphuric acid production and the other three are used to produce )ingle )uper &hosphate, <&D, Dicalcium &hosphate per the demand and production schedule. The plant runs three shifts 59: days a year. The rated plant capacity is :9 batches per day, but the actual production varies between ?A to ?: batches. Each batch corresponds to (1E:kgs of )ulphuric acid or (AAAkgs of )ingle )uper &hosphate,<&D,Dicalcium &hosphate .

THE *ROCESS: 8inished goods are transported to the packing stations 8rom the packing station products are taken to each one of the .anteen )tores Departments !.)D" outlets. The work of Regional )ales +fficers !R)+" located in the four metropolitan cities after the production process is complete. n other words they ensure that the products are distributed from the depots to wholesaler and retailers.

Act 0 t/
The main activity of the company is manufacturing of pesticides and fertili#ers which have huge market potential both in the domestic and overseas markets. The company mainly deals in the manufacturing of the following products R

1.1.Present Business Activities of Fertilizers Division


D&R 8ertili#ers &rivate 7td has been setup with a capital e6penditure of Rs. (A(.5; .rores availing a term loan of Rs E:.EA crores and has working capital facilities with ,ndhra bank. The company has two units, one in ,& and the other unit is in Darnataka state. 5;

The aggregate manufacturing capacities of the .ompany, product wise are

&roducts &esticides )ingle &hosphate

)uper !))&"

.apacity 7icensed $$ $$

nstalled $$ 9AA T&D

&resent +perating $$ 9:H

&owder <&D D.& )ulphuric ,cid DM) ,lum .), &ower &lant >nits in Darnataka ))& <&D Mi6tures D.& )ulphuric ,cid DM) ,lum

$$ $$ $$

1A M' $$ $$

:?A T&D :A T&D 1AA T&D 5A T&D 5A T&D 5A T&D 1A M' (:A T&D 5AA T&D 5A T&D 1AA T&D 5A T&D 5A T&D

9:H 9:H EAH 9:H 9:H 9:H ;AH 9AH 9AH 9:H EAH 9:H 9:H

1.2Expansion Plan of KPR Fertilizers Private Limited


The company has drawn business plans for the ne6t two year which include capacity e6pansion at ,ndhra &radesh and Darnataka Divisions and product diversification in a big way.

The business plan is proposed as under

5@

&roduct ,ndhra &radesh Di Methyl )ulphate ,lum .hloro )ulphonic ,cid &ower Ieneration !Ias Based" Darnataka Di Methyl )ulphate ,lum )ulphuric ,cid D.&

.apacity 5A T&D 5A T&D 5A T&D 1A M' 5A T&D 5A T&D 1AA T&D 5A T&D

THEORITICA+ FRAME=OR< OF *ERFORMANCE A**RAISA+

Def n t on:
(" This is the process of analy#ing an individual/s performance on the %ob in terms of re0uirements of the %ob.

?A

1" &erformance appraisal is the process by which employee/s contribution to the organi#ation during a )pecified period of time is assessed. 5" The formal systematic assessment of how well employees are performing their %obs in relation to the established standards and the communication of the assessment to employees.

NEED FOR *ERFORMANCE A**RAISA+


From In- 0 -ua. *o nt of ) e4:
(. To identify the strengths and weaknesses of the individual. 1. To provide feedback to the individual about his performance. 5. ?. ncreases motivation. ncreases loyalty.

From Organ "at ona. *o nt Of ) e4:


(. Helps to see who the potential people are. 1. Basis for increasing the compensation including salary etc. 5. Basis for promotion, demotions and transfers. ?. &roviding ob%ective data for providing feedback. COM*ONENTS OF A**RAISA+ E)A+UATION: &erformance evaluation can be done for a variety of reasons$counseling, promotion, research, salary administration or a combination of these. )o it is necessary to begin by stating very clearly the ob%ectives of the evaluation program. Having done this, the personnel evaluation system should address the 0uestions 'hoQ 'hatQ 'hyQ

?(

'henQ 'hereQ HowQ

+f performance appraisal T2e J=2oK of t2e a11ra sa.L The appraisal can be done by one or more individuals involving a combination of the immediate supervisor, other manager ac0uainted with the assesses work, a higher level manager, a personal manager, the assesses peers, the assessor himself and the assesses subordinate. The appraisal should be conducted by the person who has thorough knowledge about the %ob content, contents to be appraised, standards of contents and who observes the employee while performing a %ob. The appraiser should be capable of determining what is more important and what is relatively less important for the %ob. He should prepare the report and make %udgement without personal bias, favoritism etc., J=2atK of a11ra sa.L The 2what3 of a performance appraisal consists in appraising non$ supervisory employees for their current performance and managers for future potential. t includes evaluation of human traits. ,ppraisers were asked to rate appraisees, using five$point scale, on such characteristics as tact, willingness, enthusiasm and maturity. T2e J42/K of a11ra sa.L t is concerned with .reating and maintaining a satisfactory level of performance of employees in their present %obs. Highlighting employee needs and opportunities for personal growth and development. ,iding in decision making for promotions, transfer, lay$off and discharges. &romoting understanding between supervisor and his subordinate. ?1

T2e J42enK of a11ra sa.L The 2when3 answers the 0uery about the fre0uency of appraisal. n most organi#ations, employees are formally evaluated once in a year, twice in other year. <ew employees are rated more fre0uently than older ones. The ideal thing is that each employee should be rated 5 months after being assigned to a %ob and every 9months thereafter. The time of rating should not coincide with the time if salary reviews, for, if the two occur together constructive evaluation of self development will probably take second place to the pressures of pay. T2e J42ereK of a11ra sa.L The 2where3 indicates the location where an employee may be evaluated. t is usually done at the place of work or office of the supervisor. T2e J2o4K of a11ra sa.L >nder 2how3, the company must decide what different methods are available and which of these may be used for performance appraisal. +n the basis of the comparative advantages and disadvantages, it is decided which method would suit the purpose best.

EFFECTI)E *ERFORMANCE A**RAISA+ S,STEM:


, performance appraisal system can be effective when it is concerned with* Behaviour rather than personality. nformation rather than belief. .hange rather than evaluation. .ommitment rather than compliance. )upport rather than direction.

?5

)kills rather than forms.

ETHICS OF A**RAISA+:
n any performance appraisal system, due consideration must be given to ethics of appraisal, failing which, many organi#ational problems may crop up and the very purpose of appraisal may be defeated. )ome of the do/s and don/ts are* Don/t appraise without knowing why appraisal is needed. ,ppraise on the basis of representative information. ,ppraise on the basis of sufficient information. ,ppraise on the basis of relevant information. n offering an appraisal, make it plain that this is only your personal opinion of the facts as you see them. Be honest in your assessment of all the facts you have obtained.

The most significant reasons of using &erformance appraisal are* Making payroll and compensation decisions R ;AH

??

Training and development needs R E(H dentifying the gaps in desired and actual performance and its cause R E9H Deciding future goals and course of action R ?1H &romotions, demotions and transfers R ?@H +ther purposes R 9H !including %ob analysis and providing superior support, assistance and counseling"

ObHect 0es of *erformance A11ra sa.


(. To create and maintain a satisfactory level of performance. 1. To provide feedback. 5. To plan career goals of employees to identify career potential. ?. To provide important database for management. :. To facilitate fair and e0uitable compensation based on performance. 9. To identify training and development programs. E. To help in promotional decisions. ;. .ontribute to employees/ personal growth and development

'enef ts of t2 s S/stem:
(. t provides database, i.e. valuable information for making personal decisions like promotions, demotions etc. 1. Helps in %udging the effectiveness of recruitment, selection and induction. 5. &rovide positive work environment, which contributes to productivity. ?. )upervision becomes more observant. :. &rotect against discrimination and favoritism. n case of new employees, after training R they will be appraised by* ?:

(. &ersonal management. 1. mmediate boss.

5. Departmental Head. ?. Top Management :. .olleagues. 9. &eers. E. ndividual is also going to appraise himself.

;. )ubordinates also appraise the superior.

*rocess of *erformance A11ra sa.:


(. Establish )tandards of &erformance. 1. .ommunicating the standards of performance to Employees. 5. Measuring ,ctual &erformance. ?. .ompare The ,ctual &erformance 'ith The )tandards. :. Taking corrective ,ctions if <ecessary

?9

Met2o-s of *erformance A11ra sa.:


There is Two Method s of performance ,ppraisal. . Tradition Methods. . Modern Methods.

Tra- t on Met2o-s:
)traight Ranking Method. &aired .omparison Method. Irading )ystem. ?E

Iraphical Rating )cale. .onfidential Reports. 8orced Distribution Method. .heck list. .ritical ncidents. 8ree Essay Method. Iroup ,ppraisal. 8ield Review Method. 'ork )ample Tests.

II5 Mo-ern Met2o-s:


,ssessment .enters H.R accounting MB+ )elf ,ppraisal 59Ao ,ppraisal. B,R) !Behaviorally ,nchored Rating )cale"

?;

$5 STRAIGHT RAN<ING METHOD This is one of the oldest and simplest techni0ues of performance appraisal. n this method, the appraiser ranks the employees from the best to the poorest on the basis of their overall performance. t is 0uite useful for a comparative evaluation. A5 *AIRED COM*ARISON

, better techni0ue of comparison than the straight ranking method, this method compares each employee with all others in the group, one at a time. ,fter all the comparisons on the basis of the overall comparisons, employees are given the final rankings. B5 CRITICA+ INCIDENTS METHOD n this method of &erformance appraisal, the evaluator rates the employee on the basis of critical events and how the employee behaved during those incidents. t includes both negative and positive points. The drawback of this method is that the supervisor has to note down the critical incidents and the employee behaviour as and when they occur. E5FIE+D RE)IE= n this method, a senior member of the HR department or a training officer discusses and interviews the supervisors to evaluate and rate their respective subordinates. , ma%or drawback of this method is that it is a very time consuming method. But this method helps to reduce the superiors/ personal bias. @5CHEC< +IST METHOD The rater is given a checklist of the descriptions of the behaviour of the employees on %ob. The checklist contains a list of statements on the basis of which the rater describes the on the %ob performance of the employees. C5GRA*HICA+ RATING SCA+E

?@

n this method, an employee/s 0uality and 0uantity of work is assessed in a gra12 c sca.e indicating different degrees of a particular trait. The factors taken into consideration include both the personal characteristics and characteristics related to the on the %ob performance of the employees. 8or e6ample a trait like Job Dnowledge may be %udged on the range of average, above average, outstanding or unsatisfactory. D5 FORCED DISTRI'UTION To eliminate the element of bias from the rater/s ratings, the evaluator is asked to distribute the employees in some fi6ed categories of ratings like on a norma. - str but on cur0e. The rater chooses the appropriate fit for the categories on his own discretion

MODERN METHODS OF *ERFORMANCE A**RAISA+: ASSESSMENT CENTRES ,n assessment centre typically involves the use of methods like social-informal events, tests and e6ercises, assignments being given to a group of employees to assess their competencies to take higher responsibilities in the future. Ienerally, employees are given an assignment similar to the %ob they would be e6pected to perform if promoted. The trained evaluators observe and evaluate employees as they perform the assigned %obs and are evaluated on %ob related characteristics.The ma%or competencies that are %udged in assessment centres are interpersonal skills, intellectual capability, planning and organi#ing capabilities, motivation, career orientation etc. assessment centres are also an effective way to determine the tra n ng an- -e0e.o1ment needs of the targeted employees. 'EHA)IORA++, ANCHORED RATING SCA+ES

:A

Behaviorally ,nchored Rating )cales !B,R)" is a relatively new techni0ue which combines the gra12 c rat ng sca.e and critical incidents method. t consists of predetermined critical areas of %ob performance or sets of behavioral statements describing important %ob performance 0ualities as good or bad !for eg. the 0ualities like inter personal relationships, adaptability and reliability, %ob knowledge etc". These statements are developed from critical incidents. n this method, an employee/s actual %ob behaviour is %udged against the desired behaviour by recording and comparing the behaviour with B,R). Developing and practicing B,R) re0uires e6pert knowledge. HUMAN RESOURCE ACCOUNTING METHOD Human resources are valuable assets for every organi#ation. Human resource accounting method tries to find the relative worth of these assets in the terms of money. n this method the &erformance appraisal of the employees is %udged in terms of cost and contribution of the employees. The cost of employees include all the e6penses incurred on them like their compensation, recruitment and selection costs, induction and training costs etc whereas their contribution includes the total value added !in monetary terms". The difference between the cost and the contribution will be the performance of the employees. deally, the contribution of the employees should be greater than the cost incurred on them.

360-Degree-Performance-AppraisalMethod
BC7 -egree fee-bac>, also known as Mmu.t 9rater fee-bac>M, is the most comprehensive appraisal where the feedback about the employees/ performance comes from all the sources that come in contact with the employee on his %ob. 59A degree respondents for an employee can be his-her peers, managers !i.e. superior", subordinates, team members, customers, suppliers- vendors $ anyone who comes into contact with the employee and can provide valuable insights and information or feedback regarding the Non9t2e9HobN performance of the employee. 59A degree appraisal has four integral components* (. )elf appraisal

:(

1. )uperior/s appraisal 5. )ubordinate/s appraisal ?.&eer appraisal.

MANAGEMENT ', O'(ECTI)ES The concept of OManagement b/ ObHect 0es #M'O& was first given by Peter Drucker in (@:?. t can be defined as a process whereby the employees and the superiors come together to identify common goals, the employees set their goals to be achieved, the standards to be taken as the criteria for measurement of their performance and contribution and deciding the course of action to be followed. The essence of MB+ is participative goal setting, choosing course of actions and decision making. ,n important part of the MB+ is the measurement and the comparison of the employee/s actual performance with the standards set. deally, when employees themselves have been involved with the goal setting and the choosing the course of action to be followed by them, they are more likely to fulfill their responsibilities.

:1

THE MBO PROCESS

Essent a.s of Goo- A11ra sa. S/stem:


(. Mutual trust and confidence. 1. Reliability and validity of appraisal. 5. Measure specific ob%ectives which are relevant, timely and open. ?. )tandardi#ation of appraisal. :. Training of appraisals. 9. 8eedback and post appraisal interview. *ERFORMANCE A**RAISA+ IN <5*5R5 FERTI+ISERS +TD5

:5

D&R 8ertili#es has designed and developed &E.T system, which helps the organi#ation to know what the employee wants and needs. This is a uni0ue feature of D&R 8ertili#ers apart from evaluating the performance of the employees &E.T system also seeks to show a path for development and enhancement of performance of employees. t also helps in identifying the training needs and provide coaching.

*ECT #*erformance en2ancement an- coac2 ng too.&:


The &erformance enhancement and coaching tool !&E.T" is to guide employees at each phase of performance management R performance planning, performance review and feedback 4 conse0uence management R in order to build a high performing and learning organi#ation. This tool re0uires employees to be true to the principles of fairness, truth and integrity while facilitating the system, thus upholding and promoting D&R/s values.

ObHect 0es ! *2 .oso12/:


&E.T at D&R 8ertili#ers is essentially focused on enhancing performance through employee development. +ur endeavor is to build a sustainable performance culture. This means that the superior must take a predominantly developer or coach role vis$S$vis the employee. This also implies that the focus is on performance improvement, growth 4 employee alignment with organi#ation strategy 4 values and not merely on rewards and differentiation. &hilosophy of &E.T at D&R 8ertili#ers is to* (. ,lign employees with organi#ation strategy and values. 1. Be perceived as transparent 4 fair in the process. 5. Be oriented to people development and yet, permit the onus of development on the individual. ?. Encourage teamwork and collaboration. :. .reate a system of assessment by team rather than individuals. 9. Differentiate among team members based upon performance and potential. :?

E. Raise the performance bar. ;. )how intolerance to mediocrity.

<e/ *rocess of *ECT


(. performance planning - goal setting 1. &erformance coaching 5. &erformance reviews, half yearly - annual review ?. 8eedback and conse0uence management

$5 *erformance 1.ann ng 6 Goa. sett ng:


+nce functional score card is given, the superior and employee should meet to and clarify with each other. This input should be converted into performance goals to be met during the review period to create a healthy balance. ,ll goals should be classified into four clear perspective* 8inancial outcomes, .ustomers outcomes !<ew customers ac0uisition, promise vs. delivery etc", Business building !&ipeline, alliances etc", +rgani#ation building !critical competencies, process e6cellence, leadership development, high talent grooming etc". 'hile setting ob%ectives - goals in section , of the &E.T, employees need to

identify and have clear understanding of the desired business outcomes and build that into the goals. Ioals must be outcomes focused and not merely activity focused. The goals articulated are not merely a routine set of activities, but ideally should result in value creation for the organi#ation through either continuously improving or reducing gaps in the e6isting products, processes and services. To improve organi#ation performance, the goals must necessarily incorporate Lperformance stretch/. Measurement criteria are for tracking performance against goals. The superior and employee must free#e the criteria as relevant to their work. &ossible criteria may be 0uantity !tons produced, units sold", 0uality !<umber of defects, service levels", cost !>nit cost, cost reduction targets", time !lead$time", human reaction !feedback" and compliance. ::

)ection

B of the form meant for the pro%ect goals the employees take up in

addition to their functional goals. &ro%ect goals at times may not be possible to be set at the beginning of the year, in such cases they can be incorporated as and when the pro%ect materiali#es. The employee is also re0uired to mention managerial, Behavioral, skill enhancement or any other developmental aspect that could be an area for improvement in the review period under )ection employees previous years &E.T form. Ioals can be added, deleted or modified in response to changing business priorities. ,ll modifications must be recorded and signed off. . of the form. The self development goals should also flow from the development plan as outlined in

A5 *erformance coac2 ng:


&erformance coaching is an ongoing process and based on continuous dialogue between the superior and employee. t is important to spend time preventing performance problems rather than evaluating them at the end of the year. The superior and employee should meet periodically to review performanceG learning/s and process against set goals. Regular dialogue enhances employee engagement and is the foundation of coaching.

Conce1tua. a11roac2:
To be good coach one must believe that* (. ,n individual has the capacity to grow. Every individual has an innate capability to grow and e6cel. The role of the developer is to create an enabling climate. 1. Human nature is essentially constructive and social at heart, people are self$ motivated to develop themselves. 5. )elf$respect is a basic human need. The superior under no circumstances should ill R treat their subordinate as this may Lkill the spirit/ of the employee.

:9

?. &erception determines e6perience and behavior. Employees e6hibit the kind of behavior that you e6pect to them. &ositive strokes or praise help reinforce a particular behavior. , relation ship based on empathy, warmth, respect and genuineness is necessary for the success of any coaching initiative.

B5 *erformance Re0 e4:


a" Half yearly review* , formal half yearly review is important for the superior and employee to take stoke of the progress made course correction. The focus during the review should primarily be on overcoming constraints and planning for the rest of the performance cycle. The superior collects feedback from the customers, suppliers and peers and collates this feedback. The superior calls pro%ect managers to the review if the employee has pro%ect goals. The superior is e6pected to give feedback on achievement of goals and behavior aspects for the period under review. Employees are also provided with an opportunity to give their feedback and seek clarifications from the superior. n addition to these regular discussions, the superior may need to conduct and document an interim review if the employee is being transferred to another department. This must also be done if the employee demonstrates any e6treme performance. b" ,nnual review* The annual review starts with a self$ review. The employee fills )ection with the status of achievement on goals for the review period. n )ection , , the

employee has to briefly describe his or her contribution towards organi#ation building if any, identifies development needs in both behavioral and functional areas. The onus of development is on the employee.

Re0 e4 ng:

:E

The superior while reviewing the performance of the employee shall try to take feedback from as many sources as possible in order to arrive at a reasonably ob%ective conclusion. t would be ideal if the superior regularly gets this input from the relevant stakeholders to avoid any bias. The superior then analy#es goal achievement data, self R development efforts and the feedback from customers, suppliers or pro%ect managers as the case may be and produced )ection K ,. The superior may call the employee to present his - her performance during the review period and seek clarification wherever re0uired. During the e6ploratory meeting, the superior must not give any performance feedback or the rating to the employee. The superior notes his comments about performance of the employee in )ection K B and the proposes a rating based on the guide lines given below* E6ception contributor !E."* ,n e6ceptional contributor is one who* s passionate about the company/s ob%ectives and goal Has set new standards of e6cellence Has gone beyond the defined role to assimilate latest developments 4 e6ceptional achievements for the company Demonstrates e6ceptional - breakthrough accomplishments in all ma%or areas of responsibility. .onstantly strives to raise the bar. Demonstrates e6cellent people skills. &erforms at much higher level than his peer group. s a role model and easily recogni#ed by others outside the function as a star.

Note: The re0uirements in the category have been kept stringent almost to the point of this being inspirational. 'hile deciding someone in this category, the superior,

:;

reviewer 4 review committee must clearly satisfy himself - herself with the help of relevant stakeholders that the employee meets all the criteria. )ignificant .ontributor !)."* , significant contributor is one who* .onsistently demonstrates superior performance both in terms of 0uality and 0uantity of output. Maintains stretch performance in critical areas. )hows high degree of initiative, commitment, and energy and performance orientation. .omes close to the top performance in his peer !similar role holders" group. Has good people orientation.

.ontributor !."* , contributor is one who* Has met acceptable stands of performance. Has e6hibited good understanding in the area of operation. .onsidered a valuable member. Iets along with others Has potential for achieving higher standards of performance if improved upon a few areas &artial .ontributor !&."* , partial contributor is one who - whose &erformance has partially met the acceptable standards of the company. Re0uires improvement in functional skills and needs constant support to perform his - her role. )hows resistance to feedback and change.

:@

7ow .ontributor !7."* , 7ow .ontributor is one who - whose* &erformance is poor and far below e6pectation. Has shown no understanding or interest in the role. Has not focused on the ob%ectives. Has a negative attitude towards performance. s generally rigid and infle6ible.

+n completion of the review by the immediate superior !7T(", the reviewer !7T1" proposes a final rating in )ection K as per the rating template. The reviewer is e6pected to 0uestion the superior on why a certain rating has been proposed and may agree or disagree with superior/s rating. 'hile superiors make every possible effort to be as ob%ective as possible in the assessment of their team, it would be wise to be aware of factors that may affect assessments. Halo Effect* The Halo effect is the tendency to rate someone high or low in all categories because he or she is high or low in one or two areas. Regency Bias* Tendency to access people based on most recent behavior and ignoring behavior that is older. 7eniency Bias* Tendency to rate higher than is warranted, usually accompanied by some rationali#ation as to why this is appropriate. )trictness Bias* Tendency to rate lower than is warranted. >sually by %udgment as to why this is inappropriate. .entral Tendency* .entral tendency is when intends to put every one in the middle of the road and rate all of your subordinates as .ompetent.

9A

&ersonal Bias* This occurs when a rater gives rating because the employee has the 0ualities similar to him or her ! or a lower rating because the employee has dissimilar 0ualities"

A1e3 re0 e4 comm ttees:


The ,pe6 Review .ommittee !,R." would constitute a group of people who have clear visibility of the employees they are reviewing. There can be multiple ,R./) for a particular department or unit. The final assessment and overall rating is decided at the ,R..

E5 Fee-bac> an- conse:uence management:


)uperior gives feedback and review performance of their team at various times during the year. However the feedback and development plan at the end of the performance cycle is important, as it is a holistic review taking inputs from various stakeholders. ,t the same time, the development plan needs to be prepared in congruence with the self$development plans, technical 4 behavioral needs and career aspirations as spelt out by the employee in the &E.T form to enable better performance. t is likely that some employees would be disappointed when they receive the final rating. t is the %ob of the superior to manage the aspirations of different levels of performers and keep them motivated. t is necessary that the superior discuss the rating in detail with the employee and e6plains the rationale. &erformance appraisal is also linked to the reward system of the organi#ation, merit pay increases and individual bonuses are a function of individual, business and organi#ational performance. 8or bottom :percentage performers across the organi#ation, a detailed @A days rolling performance improvement plan!& &" is drawn up to provide them with an opportunity to bring them to the desired level of performance. Human resource manager will facilitate this process.

*ECT *rocess:
9(

a" &erformance planning - Ioal setting .E+ -.++ shares board guidelines for business planning process Business heads submit first draft of business plan. M. discusses the consolidated business plan 4 score card for the organi#ation. Detailed budget review with .8+ - .HR .E+ - .++ approve the business plan. The direct repartees of business Head - functional heads cascade the score cards to unit - Dept heads. >nit - department heads cascade score card and facilitate goal setting for their teams and mutually sign$off. Human resource internal team audits the goals setting process.

b" &erformance coaching - half yearly review Half Ryearly review and mutual sign$off by employee and superior. Human resource internal team audits on Half$=early review process.

c" &erformance Review - ,nnual Review ,nnual review R employee fills section 4

)uperior may call employee for clarification wherever re0uired but shall not give performance feedback - rating to employee.

&erformance review R superior fills section K and gives to reviewer &erformance review R reviewer fills section K and hands over the rating to human resource manager.

91

Human resource manager collects and collates the rating of all and gives to ,pe6 Review .ommittee.

,pe6 Review .ommittee finali#es the rating !including & &" and gives the final ratings to their human resource who hand over the forms to reviewers.

Reviewers fill section K and hands over the form to superiors.

d" 8eedback 4 .onse0uence Management )uperior calls employee and gives feedback and completes development plan in )ection K and employee fills closure remarks in )ection K . Human resource manager generates the compensation letters and hands over to superiors. )uperior hands over increment - performance improvement letter to employee. )uperior keeps a copy and hands back to human resource manager for filling in personal file. )uperior set goals for employees under & & and guides employee to raise the performance levels. Human resource internal team audits the entire process. Human Resource manager analy#es )ection R 4 K and prepares a development plan.

Ro.es of <e/ *.a/ers n *ECT:


Ro.e of t2e em1.o/ee*
Employees are e6pected to clarify e6pectations from

their key stake holders who may be their immediate superior, peers and subordinates at the beginning of the review period and the same as input for forming goals in )ection . Employees are also e6pected to proactively seek performance feedback. During the half yearly review, the onus is on the employee to seek clarification on the e6pectations and give an honest feedback to his superior.

95

The employee is also re0uired to give honest input at the end of the review period about the 0uality of the process, feedback and the improvement areas in )ection K .

The employee should proactively seek the e6ecution of the development plan in )ection K with both the superior and the concerned human resource manager.

Ro.e of t2e Su1er or #+P$&:


)uperior is e6pected to ensure that the goals are set and signed R off as per organi#ational timeliness. n business units or functions where goals change fre0uently based on changing upstream priorities, the superior must chart out a board road map as goals for his team, in case the employee has pro%ect goals. The superior needs to involve the pro%ect manager at the time of goal setting. The superior has to proactively follow the &E.T schedule and complete goal setting, half yearly review and annual review in time. The superior should use the half R yearly review to clarify e6pectations and issues of resources and constraints. During the assessment period the superior has to be honest and fair in applying the rating template. The superior should give sufficient comfort to the employee so that he - she is able to respond with honest feedback in )ection K . However, it must be made clear by the superior that the ratings given in )ection K are non R negotiable and cannot be altered following the final discussion and closure unless it is prima facie evident that a gross in %ustice has been made. The superior may call the employee during the review period to understand what the employee had written in )ection and seek clarification wherever re0uired.

The superior is e6pected to follow up with respective human resource manager to implement the development plan in )E.T +< K .

Ro.e of t2e Re0 e4er #+PA&:


The reviewer is e6pected to help the superior in arriving at a fair and unbiased assessment of the employee and provide key developmental inputs. The reviewer is

9?

re0uired to 0uestion the superiors to why a certain rating has been proposed as per the guidelines in the rating template. The reviewer is also e6pected to 0uestion the superior of the proceedings at ,pe6 Review .ommittee and the rationale if ratings get altered. The reviewer should at point directly communicate with the employee over performance should at no point directly communicate with employee over performance ratings. Ro.e of A1e3 Re0 e4 Comm ttee #ARC&: ,pe6 Review .ommittee constitutes of a group of people who have clear visibility of the employees they are reviewing. There can be multiple ,R./) for a particular department or unit. The primary role of the committee would be to ensure Transparency and 8airness by taking an unbiased and ob%ective view based on facts. The committee would e6amine any Le6cesses/ like abnormal numbers of E./s - 7./s etc. The ,R. finali#es the ratings.

Ro.e of 2uman resource manager:


Human resource manager has to support and educate the line managers !superiors and reviewers" in administrative and technical areas such as coaching and feedback. Human resource manager will facilitate discussion at ,pe6 Review .ommittee, ensure the implementation of &E.T philosophy and monitor overall 0uality of &E.T. Human resource manager will also help in implementing the development plan in )ection K and analy#e the closure section for monitoring 0uality of feedback.

Fun-amenta. R g2ts of Em1.o/ees un-er *ECT:


The employees are guaranteed the following rights under &E.T* The superior shall treat the employee with respect at all times. This means that the superior does not have a right to publicly critici#e - ridicule the employee. The superior shall spend a reasonable amount of time dialoguing with the employee and taken an active coach role to enhance employee/s performance.

9:

The superior shall give continuous performance feedback to the employee and not surprise him - her at the end of the year.

The superior shall take a long R term view of the employee/s development and not be guided only by the here and now needs of his - her team - role.

The superior shall be open to upward feedback and try to act on constructive suggestions.

DATA ANA+,SIS AND INTER*RETATION


$5 C+ASSIFICATION OF RES*ONDENTS 'ASED ON A=ARENESS OF
*ERFOFMANCE ENHANCEMENT AND COACHING TOO+ #*ECT& S,STEM5

S5No
( 1 TOTA+

O1 n on
=es <o

No5 Res1on-ents
:A A :A 99

Of5 *ercentage res1on-ents


:A A :A

of

INTER*RETATION:
8rom the above table it can be interpreted that all the :A Respondents i.e (AAH are aware of &E.T system in D&R 8ertili#ers.

CONC+USION:
,ccording to the data, it is clear that all the employees are aware of the &E.T system followed in D.&.R.

9E

A5

C+ASSIFICATION

OF

RES*ONDENTS

'ASED

ON

THEIR

AGREEMENT +E)E+ THAT THE GOA+S =HICH ARE SET OF THE 'EGINNING OF THE ,EAR ATTAINA'+E5

S5No

O1 n ons

No5 Of5 Res1on-ents

*ercentage of res1on-ents
(A 5A ? 9 A

( 1 5 ? :

)trongly ,gree ,gree <eutral Disagree )trongly

(A 5A ? 9 A

9;

Disagree TOTA+ :A :A

INTER*RETATION:
8rom the table, it can be analy#ed that 1Apercentage respondents )trongly agree, 9Apercentage respondents ,gree, ;percentage Respondents <eutral, (1percentage respondents Disagree, that goal which are set at the beginning of year is attainable.

CONC+USION:
,ccording to the data, it can be stated that ma6imum number of employees agree that they can achieve the goals which are set at the beginning of the year.

No. Of. Respondents

12% 8%

0%

1 Strongly Agree 20% 2 Agree 3 Neutral 4 Disagree

60%

Strongly Disagree

9@

B5 C+ASSIFICATION OF RES*ONDENTS 'ASED ON THEIR O*INION


TO=ARDS *ECT S,STEM IN <*R FERTI+I;ERS

S5No

O1 n ons

No5 Of5 Res1on-ents

*ercentage of res1on-ents
: (: 1A : : :A

( 1 5 ? :
TOTA+

E6cellent Kery Iood Iood &oor <eed to improve

: (: 1A : : :A

EA

INTER*RETATION:
t is clear from above table that (Apercentage respondents felt the &E.T system is e6cellent, 5A percentage respondents feel the &E.T system is Kery good, ?A percentage respondents feel the &E.T system is good, (A percentage respondents feel the &E.T )ystem is &oor, (A percentage respondents feel the &E.T system needs to improve.

CONC+USION:
8rom the data, ma%ority of respondents agree that &E.T system followed in D.&.R. was good.

!er"entage of respondents

10%

10%

10%

#$"ellent %ery &ood &ood 30% !oor Need to i'pro(e

40%

E(

E5 C+ASSIFICATION OF RES*ONDENTS 'ASED ON THEIR O*INION


A'OUT THE *UR*OSE OF *ECT S,STEM IN <*R FERTI+I;ERS

S5No

O1 n ons

No5 Of5 Res1on-ents

*ercentage of res1on-ents
5 (1 : (A 1A :A

( 1 5 ? :
TOTA+

To identify the training needs mprove of performance level To provide coaching and guidance To decide increments ,ll the above

5 (1 : (A 1A :A

INTER*RETATION:
t can observed from above table that 9 percentage of respondents feel that &E.T system useful to identify the training needs, 1? &ercentage of respondents feels E1

that &E.T system useful to mprove of performance level, (A percentage of respondents feel that &E.T system useful to provide coaching and guidance, 1A percentage of respondents feel that &E.T system useful to decide increments, ?A percentage of respondents feel that &E.T system useful for all the above.

CONC+USION:
8rom the data, it is clear that the purposes provided by the &E.T system are conducive and accepted by ma%ority of employees.

!er"entage of respondents )o identify t*e training needs 6% 40% 24% +'pro(e of perfor'an"e le(el )o pro(ide "oa"*ing and guidan"e )o de"ide in"re'ents All t*e a,o(e

20%

10%

E5

@5

C+ASSIFICATION

OF

RES*ONDENTS

'ASED

ON

THEIR

E)A+UATION THAT *ECT S,STEM IS CARRIED OUT IN FAIR AND UN'IASED MANNER5

S5No
( 1

O1 n ons
=es <o

No5 Res1on-ents
1E 15 :A

Of5 *ercentage res1on-ents


1E 15 :A

of

TOTA+

INTER*RETATON:
t can observe above table that :? percentage respondents feel that &E.T system is carried out in fair and unbiased manner, ?9 percentage respondents feel that &E.T system is not carried out in fair and unbiased manner.

CONC+USION:
,ccording to the data, most of the employees agree that the &E.T system is carried out in fair and unbiased manner.

E?

E:

C5 C+ASSIFICATION OF RES*ONDENTS 'ASED ON THEIR O*INION


TO=ARDS THE COO*ERATION +E)E+ =HICH THE, GET FROM THEIR SU*ERIOR TO EQ*+AIN (O' RE+ATED *RO'+EMS5

S5no ( 1 5 ? : TOTA+

O1 n ons
Highly )atisfied )atisfied <eutral Dissatisfied Highly Dissatisfied Total

No5
9 1; (A ? 1 :A

of *ercentage res1on-ents
9 1; (A ? 1 :A

Of

res1on-ents

INTER*RETATION:
8rom the above table it is clear that (1 percentage of respondents are highly satisfied with the cooperation which they get from their superior,:9 percentage of respondents are satisfied with the cooperation which they get from their superior. 'hile 1A percentages of respondents are neutral with the cooperation which they get from their superior, ; percentage of respondents are dissatisfied with the cooperation which they get from their superior, ? percentages of respondents are highly satisfied with the cooperation which they get from their superior.

CONC+USION:

E9

8rom the data, it is clear that ma%ority of employees are satisfied with the co$ operation from superiors in e6plaining %ob$related problems.

EE

D5 C+ASSIFICATION OF RES*ONDENTS 'ASED ON AN, OSA, IN


RES*ECT OF EQ*RESSION OF O*INION ON E)A+UATION OF *ECT S,STEM

S5no ( 1 5 TOTA+

O1 n ons
=es <o <eutral

No5 res1on-ents
1A 19 ? :A

of *ercentage res1on-ents
1A 19 ? :A

of

INTER*RETATION:
t can be analy#ed from above table that ?A of respondent/s i.e.?Apercentage have e6pressed that have say with respect to the e6pression of opinion on evaluation of &E.T system, :1 of respondent/s i.e. :1 percentage have e6pressed that they don/t have say with respect to the e6pression of opinion on evaluation of &E.T system.

CONC+USION:
,ccording to the data, ma%ority of employees do not have any ob%ection in respect of e6pression of opinion on evaluation of &E.T system.

E;

No. of respondents

8 40 -es No Neutral 2

E@

F5 C+ASSIFICATION OF RES*ONDENTS 'ASED ON THEIR +E)E+ OF


SATISFACTION =ITH FEED 'AC< GI)EN IN HA+F ,EAR+, RE)IE=5

S5no ( 1 5 ? : TOTA+

O1 n ons
Highly )atisfied )atisfied <eutral Dissatisfied Highly Dissatisfied Total

No5 of res1on-ents
? 1; @ 9 5 :A

*ercentage of res1on-ents
? 1; @ 9 5 :A

INTER*RETATION:
8rom the above table it is clear that ; percentage of respondents highly satisfied with the feed back given by their superior during half early review, :9 percentages of respondents satisfied with the feed back given by their superior during half early review. 'hile,(; percentage of respondents neutral with the feed back given by their superior during half early review,(1 percentage of respondents dissatisfied with the feed back given by their superior during half early review, 9 percentage of respondents highly dissatisfied with the feed back given by their superior during half early review.

CONC+USION:
8rom the data, it is clear that ma%ority of employees are satisfied with the feed back given in half yearly review based on their performance.

;A

No. of respondents

12

.ig*ly Satisfied Satisfied Neutral

18 6

Dissatisfied .ig*ly Dissatisfied

;(

%5

C+ASSIFICATION

OF

RES*ONDENTS

'ASED

ON

THEIR

SATISFACTION +E)E+ =ITH TRAINING *ROGRAM CONDUCTED 'ASED U*ON *ECT S,STEM5

S5no

O1 n ons

No5 of res1on-ents

*ercentage of res1on-ents
: 1: (1 : 5 :A

( 1 5 ? : T+T,7

Highly )atisfied )atisfied <eutral Dissatisfied Highly Dissatisfied Total

: 1: (1 : 5 :A

INTER*RETATION:
8rom the above table it can be analy#ed that(A percentage of respondents are highly satisfied with programs conducted based on &E.T system, :A percentage of respondents are satisfied with programs conducted based on &E.T system, 1? percentage of respondents are neutral satisfied with programs conducted based on &E.T system. 'hile, (A percentage of respondents are dissatisfied with programs conducted based on &E.T system, 9 percentage of respondents are highly dissatisfied with programs conducted based on &E.T system.

CONC+USION:
,ccording to the data, ma%ority of the employees are satisfied with the training programme conducted based upon &E.T system.

;1

!er"entage of respondents

10%

6%

10%

.ig*ly Satisfied Satisfied Neutral

24% 0%

Dissatisfied .ig*ly Dissatisfied

$75

C+ASSIFICATION

OF

RES*ONDENT

'ASED

ON

=HICH

MOTI)ATES THEM TO *ERFORM =E++ IN <*R FERTI+I;ERS5

;5

S5no

O1 n ons

No5 of res1on-ents

*ercentage of res1on-ents
; A (E E 5 (A : A :A

( 1 5 ? : 9 E ; TOTA+

'orking Environment .ompensation .areer growth and +pportunities 7earning +pportunities .ompanies policies ,nd &rocedures .hallenging roles ,nd responsibilities ,ll The ,bove ,ny +ther 8actor

; A (E E 5 (A : A :A

INTER*RETATION:
8rom the above table it can be analy#ed that (9 percentage of respondents felt that working environment motivates them to perform well, 5? percentage of respondents felt that career growth and opportunities motivates them to perform well in,(? percentage of respondents felt that 7earning +pportunities motivates them to perform well.'hile, 9 percentage of respondents felt that .ompanies policies ,nd &rocedures motivates them to perform well, 1( percentage of respondents felt that .hallenging roles ,nd responsibilities motivates them to perform well,@ percentage of respondents felt that all the above motivates them to perform well in D&R 8ertili#ers.

CONC+USION:

!er"entage of respondents

/or0ing #n(iron'ent

1o'pensation 8rom the data, it is stated by ma%ority of employees that career growth and

opportunities provided by the company motivates them much than other factors to perform well in D.&.R.
20% 10% 0% 16% 1areer gro2t* and Opportunities 0% 3earning Opportunities 1o'panies poli"ies And !ro"edures 1*allenging roles And responsi,ilities All )*e A,o(e Any Ot*er 4a"tor

6% 14%

34%

;?

$$5

C+ASSIFICATION

OF

RES*ONDENTS

'ASED

ON

THEIR

SATISFACTION =ITH THE EFFORTS *UT ', SU*ERIOR IN *RO)IDING GOOD =OR<ING CONDITIONS IN ORDER TO IM*RO)E THEIR *ERFORMANCE5

;:

S5no

O1 n ons

No5 of res1on-ents

*ercentage of res1on-ents
5 55 (A 5 ( :A

Highly )atisfied ( )atisfied 1 <eutral 5 Dissatisfied ? Highly Dissatisfied : TOTA+

5 55 (A 5 ( :A

INTER*RETATION:
t is clear from above table,9 percentage of respondents are highly satisfied with effort put by their superior in providing good working condition order to improve perform,99 percentage of respondents are satisfied with effort put by their superior in providing good working condition order to improve perform,1A percentage of respondents are neutral with effort put by their superior in providing good working condition order to improve perform.9 percentage of respondents are dissatisfied with effort put by their superior in providing good working condition order to improve perform,1percentage of respondents are highly dissatisfied with effort put by their superior in providing good working condition order to improve perform.

CONC+USION:
,ccording to the data, it is clear that ma%ority of employees are satisfied with the efforts of superiors in providing good working conditions to improve their performance.

;9

!er"entage of respondents

6% 20%

2%

6%

.ig*ly Satisfied Satisfied Neutral Dissatisfied 66% .ig*ly Dissatisfied

$A5 C+ASSIFICATION OF RES*ONDENTS 'ASED ON THEIR O*INION


THAT *ECT S,STEM AT <*R FERTI+I;ERS IM*RO)ES EM*+O,EES *ERFORMANCE

S5No (

O1 n ons
=es

No5 Of5 Res1on-ents


1;

*ercentage of res1on-ents
1;

;E

1 TOTA+

<o Total

11 :A

11 :A

INTER*RETATION:
t can be analy#ed that ?? respondents i.e. ?? percentage feel that there is no improvement in their performance due to &E.T system, :9 respondents i.e. :9 percentage feel that there is improvement in their performance due to &E.T system .

CONC+USION:
8rom the data, it is clear that ma%ority of employees are of the opinion that &E.T system at D.&.R. improves employees performance.

!er"entage of respondents

44% -es No 6%

;;

$B5

C+ASSIFICATION

OF

RES*ONDENTS

THEIR

FEE+INGS

REGARDING THEIR INTERACTION =ITH SU*ERIOR DURING HA+F9 ,EAR+, RE)IE= AND ANNUA+ RE)IE=5

S5no ( 1 5 ?

O1 n ons
E6cellent Kery good Iood )atisfactory

No5 of res1on-ents
? (: 1A E

*ercentage of res1on-ents
? (: 1A E

;@

: TOTA+

<ot )atisfactory

Total

:A

:A

INTER*RETATION:
8rom above table it is clear that ; percentage of respondent/s opinion that their interaction with their superior during half yearly review 4 annual review is e6cellent, 5A percentage of respondent/s opinion that their interaction with their superior during half yearly review 4 annual review is very good. 'hile ?A percentage of respondent/s opinion that their interaction with their superior during half yearly review 4 annual review is good,(?percentage of respondent/s opinion that their interaction with their superior during half yearly review 4 annual review is satisfactory,; percentage of respondent/s opinion that their interaction with their superior during half yearly review 4 annual review is not satisfactory.

CONC+USION:
8rom the data, ma%ority of employees stated that there was good interaction with superior during half yearly review and annual review.

!er"entage of respondents

14%

8%

8% 30%

#$"ellent %ery good &ood Satisfa"tory Not Satisfa"tory

40%

@A

$E5 C+ASSIFICATION OF RES*ONDENTS 'ASED ON O*INION A'OUT


RAN< IN THE ORDER OF DOMINANCE5

S5no

O1 n ons

No5 of res1on-ents

*ercentage of res1on-ents
(A (: 1 1

( 1 5 ?

Review )uperior &eers )ubordinates

(A (: 1 1

@(

: 9 TOTA+

.ustomers ,pe6 .ommittee

5 (; :A

5 (; :A

INTER*RETATION:
t can be analy#ed from the above table that.1A percentage of respondents ranked reviewer first in order of dominance, 5A percentage of respondents ranked )uperior first in order of dominance, ? percentage of respondents ranked &eers first in order of dominance, ? percentage of respondents ranked )ubordinates first in order of dominance, 9 percentage of respondents ranked .ustomers first in order of dominance, 59 percentages of respondents ranked ,pe6 .ommittee first in order of dominance.

CONC+USION:
8rom the data, it is clear that, among peers, subordinates, customers, ,pe6 committee and review, the superiors occupy dominant position.

@1

$@5 C+ASSIFICATION OF RES*ONDENTS 'ASED ON O*INION A'OUT


SU**ORT OF HUMAN RESOURCE DE*ARTMENT DE)E+O*ING AND ENHANCING THEIR *ERFORMANCE5

S5no

O1 n ons

No5 of res1on-ent s

*ercentage of res1on-ents
1 (: 1A E 9 :A

( 1 5 ? : TOTA+

E6cellent Kery good Iood )atisfactory <ot )atisfactory

1 (: 1A E 9 :A

INTER*RETATION:

@5

t can be analy#ed from table that ? percentage of respondents opinioned that Human Resource support is e6cellent in developing and enhancing their performance, 5A percentage of respondents opinioned that Human Resource support is very good developing and enhancing their performance. 'hile ?A percentage of respondents opinioned that Human Resource support is good developing and enhancing their performance,(? percentage of respondents opinioned that Human Resource support is )atisfactory developing and enhancing their performance, (1 percentage of respondents opinioned that Human Resource support is <ot )atisfactory developing and enhancing their performance.

CONC+USION:
8rom the data, ma%ority of employees stated that there was good support of Human Resource Department in developing and enhancing their performance.

!er"entage of respondents

12% 14%

4% 30%

#$"ellent %ery good &ood Satisfa"tory Not Satisfa"tory

40%

@?

FINDINGS
Most of the employees/ felt that the grading of employees of (, and Below level should not be liked with ,pe6 committee. )ome of the employees/ felt that, there should be scope for better interaction with the superior. )ome of the employees/ felt that more importance should be given to superior !7T(" and reviewer !7T1" than ,pe6 committee. Most of the respondents felt that &E.T system is not transparent. Many of the respondents felt, that the feed back from the peers and subordinates should be taken into consideration during this evaluation process.

@:

)ome of the employee/s felt that training needs that are identified through &E.T system are to be satisfied by conducting training programmers. Most of the employees/ felt that, this system is not looking lower level employees.

SUGGESTIONS
The review should be done in presence of the Human Resource department because the superior may show some personal bias in evaluating the performance of the particular employee if it takes place in the presence of Human Resource department it can be avoided. More awareness should be given about &E.T system as some of the employees have negative opinion on it. t the responsibility of Human Resource and ,&EU committee to change the attitude of the employee.

@9

The &E.T system should be made more transparent as most of the respondents viewed that evaluation is not taking place in fair and unbiased manner.

Management and superiors of the employee should be clear what they are e6pecting from the employee. Their e6pectations should be clear and in the written form. They should provide good working condition and motivate them to achieve their e6pectations.

CONC+USION
,s some of the employees felt that, there is no improvement in performance, because of lack of fair and unbiased evaluation, the management need to create positive impression in the minds of employees that evaluation is carried out in fair manners. +therwise the organi#ation may loose the efforts of the efficient workers. This will lead to decreasing the productivity of workers and leads to negative motivation. This will have impact on overall performance of the organi#ation.

@E

>ndoubtedly &E.T system is best among the performance management systems!if it is used in constructive manner", as it focuses on enhancing the performance rather than appraising the performance.

'I'+IOGRA*H, 'OO<S:

$5 A5 B5

*5SU''A RAO C5'5GU*TA ED=IN '5F+I**O

HUMAN RESOURCE MANAGEMENT HUMAN RESOURCE MANAGEMENT *ERSONNE+ MANAGEMENT

?. ASH=ATA**A
@5 C5'5 MAMORIA

HUMAN RESOURCE AND *ERSONA+ MANAGEMENT HUMAN RESOURCE MANAGEMENT

=eb s te:
@;

www.scribd.com www.kpr.com www.kprfertil#ers.com

8UESTIONNAIRE
'5RAM,A, 8inal M5'5A student of I-ea. Co..ege doing my pro%ect works in *ERFORMANCE A**RAISA+. )o time and fill the 0uestionnaire. Employee name* Department ,ge * * kindly re0uest you to spare your valuable

(. ,re you aware of &E.T system in D&R 8ertili#ers 7tdQ a" =es b" <o

@@

1. Do you agree that the goals which are set at the beginning of the year are attainableQ a" )trongly ,gree d" Disagree b" ,gree c" <eutral e" )trongly Disagree

5. 'hat is your opinion on &E.T system in D&R 8ertili#ers Q a" E6cellent d" &oor b" Kery good c" Iood e" <eed to improve

?. 'hat is the purpose of &E.T system in D&R 8ertili#ers your opinionQ a" To identify the training needs b" mprovement of performance level c" To provide coaching and guidance d" To decide increments e" ,ll the above ?. Do you think the evaluation under &E.T system is carried out in fair and unbiased mannerQ a" =es b" <o :. ,re you satisfied with the cooperation which you got from your superior to e6plain about %ob related problemsQ a" Highly satisfied d" Dissatisfied b" )atisfied e" highly dissatisfied c" <eutral

9. =ou have any Lsay/ in respect of e6pression of opinion on Evaluation of &E.T systemQ a" =es b" <o c" <eutral

E. The level with the feedback given to you in half yearly reviewQ a" Highly satisfied d" Dissatisfied b" )atisfied c" <eutral e" highly dissatisfied

(AA

@.The satisfaction level of you with the training programs conducted based upon &E.T systemQ a" Highly satisfied d" Dissatisfied b" )atisfied e" highly dissatisfied c" <eutral

(A. The following motives you to perform well in D&R 8ertili#ersQ a" 'orking Environment b" .ompensation c" .areer growth and opportunities d" 7earning opportunities e" .ompanies polices and procedures f" .hallenging role and responsibilities g" ,ll The ,bove ((. The level of your satisfaction with the efforts put by your superior in providing good working conditions in order to improve your a" Highly satisfied d" Dissatisfied b" )atisfied e" highly dissatisfied c" <eutral performanceQ

(1. ,ny improvement in employee/s performance due to &E.T system at D&R 8ertili#ersQ a" =es b" <o

(5. =our feel regarding your interaction with your superior during the half yearly review and annual reviewQ a" E6cellent d" )atisfactory b" Kery good c" Iood e" <ot satisfactory

(?. n the &E.T system, whose appraisal is more dominantQ Rank in the order of dominance a" Reviewer b" )uperior c" &eers VVVVVVVVVVV VVVVVVVVVVVV VVVVVVVVVVVVV

d" )ubordinates VVVVVVVVVVVV (A(

e" .ustomers

VVVVVVVVVVVVV

f" ,pe6 committee VVVVVVVVVVV (:. The superior of human resource department to develop and Enhance your performanceQ a" E6cellent d" )atisfactory b" Kery good e" <ot satisfactory c" Iood

(A1

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