STUDY OF PERFORMANCE MANAGEMENT SYSTEM IN NATIONAL STOCK EXCHANGE

IN PARTIAL FULFILLMNT OF THE REQUIREMENTS FOR Post Graduate Diploma in Management (PGDM) 2011-2013 ROLL NO. PG 10 SUBMITTED TO DR. V.N. BEDEKAR INSTITUTE OF MANAGEMENT STUDIES, THANE

STATEMENT BY THE CANDIDATE

I wish to state that the work embodied in this Project titled Study of Performance

Management System

in National Stock Exchange of India forms my

own

contribution to management.

Wherever references have been made to intellectual

properties of any individual / Institution / Government / Private / Public Bodies / Universities, research paper, text books, reference books, research monographs, archives of newspapers, corporate, individuals, business / Government and any other source of intellectual properties viz., speeches, quotations, conference proceedings, extracts from the website, working paper, seminal work et al, they have been clearly indicated, duly acknowledged and included in the Bibliography.

_________________________ Signature of Candidate

ACKNOWLEDGEMENT

I would like to express my sincere thanks to Mr. Chandrashekhar Mukherjee ,Vice President Human Resource at National Stock Exchange of India Limited (NSE) for giving me the opportunity to work in the organisation. I would also like to thank Mr. Soumick Roy, Manager and Mr. Prasad Joshi, Manager Human Resource at National Stock Exchange of India Limited (NSE).for their valuable information and support during the training period. I would also like to thank them for providing me all the documents and text material for project.

I would like to thank Mrs. Deepika Dabke for teaching me and continuous help and support during the project.

I would like to thank all working members and my colleagues of the organisation for continuous support.

I would all like to thank all my professors for their support and guidance throughout the project.

INDEX Chp.no. 1) Title Introduction to the company profile Pg.no. 1-4

2)

Objective of the project

5-7

3)

Introduction to the topic

8-16

4) 5)

Nature and scope of the project Research methodology Previous Performance Management System in NSE Process flow chart of the Existing PMS Frame work of the Proposed PMS New Performance Management system Process flow chart of New PMS Data Analysis & Interpretations Conclusion of the Research

17-18 19-20 21-23 24 25-27 28-31 32-33 34-36 37 38-39 40-42 43-44

6) 7) 8)

Outcome of the project Learning of the project Bibliography Annexure

List of Tables
Figures
Fig 1.1 Fig 1.2 Fig 5.1 Fig 5.2 Fig 5.3 Fig 5.4 Fig 5.5 Fig 5.6 Fig 5.7 Positions Chart of NSE Job Families & Sub Families Of NSE Competency Matrix of Existing PMS Rating Scale of Existing PMS Process Flow of Existing PMS Identified Competencies Competency Matrix of Proposed PMS Rating Scale of Proposed PMS Process Flow of Proposed PMS

Contents

Pg.No
3 4 22 23 24 28 30 31 32-33

GENESIS OF THE PROJECT

This report contains all the information gathered during two months of summer internship in National Stock Exchange of India.

This project is about the study focused on assisting in exploring and finding the ideal Performance Management System suitable for the National Stock Exchange (NSE) of India by establishing an understanding of employees experiences and perceptions of the previous and a proposed Performance Management Systems and their value to NSE employees.

Performance Management System has the objective to promote a performance culture in NSE. Performance culture is a culture where all individuals and teams strives to excel in whatever they do in achieving organisational goals and values. It helps to encourage team work , sense of belongingness and ownership. It helps to develop employees competencies.

The research has studied the changes brought in the new performance management system in NSE. The previous Performance Management System of NSE needed a change therefore the top management of NSE had decided to renew the system and strengthen it.

A qualitative research was used to seek the answer to the research questions. The researcher had done an in-depth interview on focus group consisting of manager in Human resource department of NSE.

The findings indicated that there was a fair understanding of the previous Performance Management System but there was also need of some changes to add value to the employee performance as well as value to the organisation. The new Performance System was

developed because of the organizational change which had incorporated balance score card approach along with some additional behavioural competencies through a Talent Management framework.

The recommendations are that the revised Performance Management System should have a stronger emphasis on effective management, monitoring, feedback and reward. Furthermore, the system should close the current gaps of reward for high performance and correction of low performance. It should further conclude that for a Performance Management System to be effective, it should incorporate updated job descriptions, performance measures and standards, as well as evaluator training and guidelines for improvement, employee input, compensation and/or rewards.

To summarize Performance Management involves defining performance, understanding the competencies required to do the job or various task associated with the job, developing the competencies, creating the motivation needed, or putting hard work or effort to do the job and getting all the support need to do the job or series of tasks associated with that job or role. Thus NSE has highlighted the behavioural competencies of the employees for its development and ensuring performance improvement.