A

Project Study Report

On Training Undertaken at

Titled PERFORMANCE APPARSIAL SYSTEM

Submitted in partial fulfillment for the Award of degree of

Bachelor of Business Administration

Submitted By: Neha Ikdaya BBA 3rd year

Submitted To: Ms. Shivani Sharma Lecturer of BBA

2012-2013 ARYA KANYA MAHAVIDHLAYA Swami Dayanand marg (Alwar)

PREFACE

Knowledge has two aspects - theoretical and practical and no theoretical concept is complete without having knowledge of its practical application. A few weeks professional training programme was introduced as a part of curriculum of B.B.A. This summer training programme proves beneficial to the future managers as they are confronted with the problems of actual work environment during their training period.

As per the curriculum requirement, I did 6 weeks training in Endurance Technologies Pvt Ltd, Manesar, Gurgaon. Working in such a big concern, no matter for a very small period was really a matter of pride. My area of work in that concern was confined to H.R. department and moreover it was not possible for me to cover all the areas of H.R. department in such a short period of time so I concentrated my working on the project assigned to me i.e. Performance Appraisal. So the learning during the training in Endurance Technologies Pvt Ltd, a report of that is being presented in the following pages.

Neha Ikdaya

ACKNOWLEDGEMENT
I express my sincere thanks to my project guide, Mr.Vinod Yadav (Executive- HR administrative), for guiding me right from the inception till the completion of the project. I sincerely acknowledge her for extending their valuable guidance, support for literature, critical reviews of project and the report and above all the moral support she had provided to me with all stages of this project.

I would also like to thank the supporting staff Ms.Shivani Sharma for their help and cooperation throughout my project.

(Signature of Student)

NEHA IKDAYA

DECLARATION
I Neha Ikdaya student of B.B.A of ARYA KANYA MAHAVIDHALYA , Alwar hereby declare that all the information facts and figures produce in this report is based on my experience and study during my research. I further declare that all the information and facts furnished in this project report are based on my intensive research and findings. They are first hand and original in nature. NEHA IKDAYA B.B.A 3rd year

Executive Summary

Management of people is a task we perform even in daily lives. With the origin of organizations in the society, this concept has gained importance. It has led to the evolution of the concept of HRM or Human Resource Management. The study emphasizes on adopting the theoretical principles in practice to achieve employee performance aapraisal in the organization.

In my surveys, I found most of the respondents highly cooperative and enthusiastic about this study but there was a great amount of doubt in their minds regarding the outcome of the survey.

This training helped me to develop my skills and practical outlook, which is not possible in a classroom. It enhanced my communication skills and the intricacies of interpersonal interactions. The recommendations, in this report, are made, by and large, keeping the needs of the majority in the mind within the given organizational constraints. Their implementation, thus, requires acceptance and approval from management.

Lastly, I drafted the report so that it reflects my skills to the degree nearest to the actual. But it might just be possible to have a certain room for improvements.

CONTENTS
Particulars Page No.

CHAPTER 1- INTRODUCTION OF THE INDUSTRY CHAPTER 2- INTRODUCTION OF COMPANY & TOPIC A) Introduction To Company B) Introduction To Topic CHAPTER 3- RESEARCH METHODOLOGY A) Research Methodology B) Objective of the study C) Research Design D) Method of Data Collection / Survey period CHAPTER 4- ANALYSIS & INTERPRETATION CHAPTER 5- CONCLUSION & SUGGESTION A) Conclusion B) Suggestions for future research BIBLIOGRAPHY ANNEXURE

1-9 10-53 10-34 35-53 54-57 54 55 56 57 58-66 66-67 66 67

Introduction to the industry

HISTORY OF AUTOMOBILE INDUSTRY

In the year 1769, a French engineer by the name of Nicolas J. Cugnot invented the first automobile to run on roads. This automobile, in fact, was a self-powered, three-wheeled, military tractor that made the use of a steam engine. The range of the automobile, however, was very brief and at the most, it could only run at a stretch for fifteen minutes. In addition, these automobiles were not fit for the roads as the steam engines made them very heavy and large, and required ample starting time. Oliver Evans was the first to design a steam engine driven automobile in the U.S. A Scotsman, Robert Anderson, was the first to invent an electric carriage between 1832 and 1839. However, Thomas Davenport of the U.S.A. and Scotsman Robert Davidson were amongst the first to invent more applicable automobiles, making use of non-rechargeable electric batteries in 1842. Development of roads made travelling comfortable and as a result, the short ranged, electric battery driven automobiles were no more the best option for travelling over longer distances. The Automobile Industry finally came of age with Henry Ford in 1914 for the bulk production of cars. This lead to the development of the industry and it first begun in the assembly lines of his car factory. The several methods adopted by Ford, made the new invention (that is, the car) popular amongst the rich as well as the masses.

According the History of Automobile Industry US, dominated the automobile markets around the globe with no notable competitors. However, after the end of the Second World War in 1945, the Automobile Industry of other technologically advanced nations such as Japan and certain European nations gained momentum and within a very short period, beginning in the early 1980s, the U.S Automobile Industry was flooded with foreign automobile companies, especially those of Japan and Germany. The current trends of the Global Automobile Industry reveal that in the developed countries the Automobile Industries are stagnating as a result of the drooping car markets, whereas the Automobile Industry in the developing nations, such as, India and Brazil, have been consistently registering higher growth rates every passing year for their flourishing domestic.

AUTOMOBILE INDUSTRY IN INDIA

Automobile Industry in India has witnessed a tremendous growth in recent years and is all set to carry on the momentum in the foreseeable future. Indian automobile industry has come a long way since the first car ran on the streets of Bombay in 1898. Today, automobile sector in India is one of the key sectors of the economy in terms of the employment. Directly and indirectly it employs more than 10 million people and if we add the number of people employed in the auto-component and auto ancillary industry then the number goes even higher.

The automobile industry comprises of heavy vehicles (trucks, buses, tempos, tractors); passenger cars; and two-wheelers. Heavy vehicles section is dominated by Tata-Telco, Ashok Leyland, Eicher Motors, Mahindra and Mahindra, and Bajaj. The major car manufacturers in India are Hindustan Motors, Maruti Udyog, Fiat India Private Ltd., Ford India Ltd., General Motors India Pvt. Ltd., Honda Siel Cars India Ltd., Hyundai Motors India Ltd., and Skoda India Private Ltd., Toyota Motors, Tata Motors etc. The dominant players in the two-wheeler sector are Hero Honda, Bajaj, TVS, Honda Motorcycle & Scooter India (Pvt.) Ltd., and Yamaha etc.

In the initial years after independence Indian automobile industry was plagued by unfavourable government policies. All it had to offer in the passenger car segment was a 1940s Morris model called the Ambassador and a 1960s Suzuki-derived model called the Maruti 800. The automobile sector in India underwent a metamorphosis as a result of the liberalization policies initiated in the 1991. Measures such as relaxation of the foreign exchange and equity regulations, reduction of tariffs on imports, and refining the banking policies played a vital role in turning around the Indian automobile industry. Until the mid 1990s, the Indian auto sector consisted of just a handful of local companies. However, after the sector opened to foreign direct investment in 1996, global majors moved in. Automobile industry in India also received an unintended boost from stringent government auto emission regulations over the past few years. This ensured that vehicles produced in India conformed to the standards of the developed world.

Indian automobile industry has matured in last few years and offers differentiated products for different segments of the society. It is currently making inroads into the rural middle class market after its inroads into the urban markets and rural rich. In the recent years Indian automobile sector has witnessed a slew of investments. India is on every major global automobile player's radar. Indian automobile industry is also fast becoming an outsourcing hub for automobile companies worldwide, as indicated by the zooming automobile exports from the country. Today, Hyundai, Honda, Toyota, GM, Ford and Mitsubishi have set up their manufacturing bases in India. Due to rapid economic growth and higher disposable income it is believed that the success story of the Indian automobile industry is not going to end soon.

Some of the major characteristics of Indian automobile sector are:

Second largest two-wheeler market in the world. Fourth largest commercial vehicle market in the world. 11th largest passenger car market in the world Expected to become the world's third largest automobile market by 2030, behind only China and the US.

AUTOMOBILE COMPONENTS AND SPARES

The automobile components and spares industry in India not only caters to Indian automobile manufacturing companies but also exports its products abroad. The approximate monetary value of Indian automobile components exports in 2006 was 5 billion United States dollars. Outsourcing The Indian automobile companies rarely build the parts they use for manufacturing their vehicles. Automobile components and spares like interior trim panels, radios, and seats are some of the product examples that are manufactured elsewhere and brought to the main assembly plant for final fitments. Majority of Indian vehicle companies (like their global counterparts) manufacture automobiles that have approximately 65% external supplier made parts. Indian Automobile Parts Scenario The Indian automobile components and spares industry is highly disorganized and fragmented. Approximately 400 companies belong to the Original Equipment Manufacturers 9

(OEM) category. Other companies (about 10,000 of them) operate in the unorganized sector. These low tier companies manufacture relatively unsophisticated car parts.

Automobiles Components Automobile Spares Automobile Accessories

The India Advantage The Indian automobile spare parts manufacturing sector possess a distinct commercial advantage over its global counterparts. The lure of abundant availability of raw materials, technically skilled workforce and relatively lower labor costs have compelled many foreign companies to invest heavily in India. The country has seen investments equaling 9 billion US dollars in 2006. Most of the automobile spare parts companies are proximate to the main car assembly plant. This helps to lower transportation costs and also have the advantage of a quick turn-around time.

Global Acquisitions The initial and continued success of larger Indian automobile parts manufacturing companies has emboldened them to buy companies abroad. Indian companies like Amtek Auto, Sona Koyo, Bharat Forge, and Sundaram Fasteners have purchased companies in Western Europe and America. Sundaram Fasteners have taken over branded German automotive part manufacturer CDP GmBH to enable it to tap the highly profitable European car market.

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VEHICLE PRODUCTION IN INDIA

India is the 11th largest Passenger Cars producing countries in the world and 4th largest in Heavy Trucks Automobile Industry is the largest industry in India with an impressive growth in the last two decades. The reason behind the growth was abolition of licensing in 1991 and permitting automatic approval and successive liberalisation of the sector.

According to estimation the compound annual growth rate (CAGR) of Indian Automobile sales will grow at 9.5% and will touch a mark of 13,008 million by 2011. The figure for FY05 was 8.45 million units. To tap this large opportunity, the Indian Auto Companies along with the global giants have announced huge expansion plans.

Maruti Udyog Ltd. was the largest 4-Wheelers producer in 2010-11 followed by Tata Motors. Hyundai did well but the difference was nearly half of Tata Motors. In 2-Wheelres segment, Hero Honda is leading putting behind Bajaj Auto Ltd. Check the table below to get complete figure.

CURRENT SCENARIO

The growth rate of Passenger Cars in 2011 was 30% in India where as the average growth rate of top 12 Passenger Cars producing countries were just 5.1%. In Heavy Trucks it was 32% and 14.6% respectively.

Component industry's growth was only 9% between 1997-2000. But between 20002005 it has grown to 20%. It is projected 17% between 2005-2014.

Largest industry in India. By 2013 there will be 13,008 million cars. Maruti Udyog Ltd. is the leading 4-wheelers manufacturer. Hero Honda is the leading 2-wheelers manufacturer. 2-wheelers are produced most followed by 4-wheelers and 3-wheelers.

If we take a quick look of almost a decade, it is seen that two-wheelers are the most produced in automobile industry followed by passenger cars and then three 11

wheelers. The following are the number of units produced in 2010-11 and 2011-12 (April-Sept. 04) of different segment of vehicles:

Table No. 1.1

Name of the Sector

No. of units

Production(million) 2010-11 2011-12 (April-Sept. 04) 156815 465983 114739 3023805 177554 3938896

Commercial Vehicles Cars Multi-Utility Vehicles 2-wheelers 3-wheelers Total

9 12 5 12 4 42

275224 842437 146103 5624950 340729 7229443

12

Fig.1.1

Production Range of Auto Components

Electrical Parts - 9% Equipments - 10% Suspension & Braking Parts - 12% Body & Chassis - 12% Drive Transmission & Steering Parts - 19% Engine Parts - 31% Others - 7%

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AUTOMOBILE INDUSTRY
INDUSTRY OVERVIEW Since the first car rolled out on the streets of Mumbai (then Bombay) in 1898, the Automobile Industry of India has come a long way. During its early stages the auto industry was overlooked by the then Government and the policies were also not favorable. The liberalization policy and various tax reliefs by the Govt. of India in recent years has made remarkable impacts on Indian Automobile Industry. Indian auto industry, which is currently growing at the pace of around 18 % per annum, has become a hot destination for global auto players like Volvo, General Motors and Ford. A well developed transportation system plays a key role in the development of an economy, and India is no exception to it. With the growth of transportation system the Automotive Industry of India is also growing at rapid speed, occupying an important place on the 'canvas' of Indian economy. Today Indian automotive industry is fully capable of producing various kinds of vehicles and can be divided into 03 broad categories: Cars, two-wheelers and heavy vehicles. SNIPPETS

The first automobile in India rolled in 1897 in Bombay. India is being recognized as potential emerging auto market. Foreign players are adding to their investments in Indian auto industry. Within two-wheelers, motorcycles contribute 80% of the segment size. Unlike the USA, the Indian passenger vehicle market is dominated by cars (79%). Tata Motors dominates over 60% of the Indian commercial vehicle market. 2/3rd of auto component production is consumed directly by OEMs. India is the largest three-wheeler market in the world. India is the largest two-wheeler manufacturer in the world. India is the second largest tractor manufacturer in the world.

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The following links will give you the complete picture of Indian Auto Industry: The first auto vehicle rolled out in India at the end of 19th century. Today, India is the the 2nd largest tractor and 5th largest Automobile History commercial vehicle manufacturer in the world. Hero Honda with 1.7M motorcycles a year is now the largest motorcycle manufacturer in the world.

On the cost front, OEMs eyeing India in a big way to source products and components at significant discounts to home market. Industry Investment On the revenue side, OEMs are active in the booming passenger car market in India.

The passenger car and motorcycle segment in Indian auto market is Industry Growth growing by 8-9 per cent. The two-wheeler segment will clock 11.5% rise by 2007. Commercial vehicle to grow by 5.2 per cent.

India is the 11th largest Passenger Cars producing countries in the Vehicle Production world and 4th largest in Heavy Trucks. Maruti Udyog Ltd. is leading 4-wheelers manufacturer..

Passenger vehicle exports have grown over five times and twowheeler exports have reached more than double. Exports of auto Auto Export components, whose manufacturing costs are 30-40 per cent lower than in the West, have grown at 25% a year between 2000 to 2005.

Know about the number of vehicles registered as Transport or NonVehicle Distribution Transport in the Indian states and Union Territories.

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INTRODUCTION TO THE COMPANY

ENDURANCE was established in 1985 as Anurang Engineering Co. Pvt. Ltd. to manufacture aluminum die casting products at Aurangabad, Maharashtra (India). The Endurance Group is a global force in Casting, Suspension, Transmission and Braking products with an annual sales of 230 Million (RS. 1265 Crores) from domestic operations and approx. 140 (RS. 770 Crores) Million from overseas operations for the year 2006 2007. More than 3,700 employees work in 19 plants at 5 locations in India and about 625 employees in 5 overseas plants.

ENDURANCE comprises of two main business divisions i.e. the Die Casting Division and the Proprietary Component Division. Under the Die Casting Division the main areas of operations are Casting, Painting & Machining which are supported by well-equipped Tool Room facilities. Under the Proprietary Component Division the main areas are Suspension, Transmission and Braking.

ENDURANCE is a name that spells strength and the will to perform. Their Core business is focused on becoming the leading Automobile Manufacturers. Assisted by a strict quality regime, a constant interaction with customers and an eye on emerging needs, they have carved a distinct niche to cater to the worlds leading Automotive Manufacturers . On the strength of our experience and the depth of our Technological Expertise, they have now geared up to launch ourselves on the high growth global circuit

MILESTONES
2000 The Endurance journey commenced with a High Pressure Die Casting Plant at Aurangabad,Maharashtra under the name Anurang Engineering Co. Pvt.Ltd. 2001 16

A Shock Absorber Plant was started at Aurangabad, Maharashtra. A High Pressure Die Casting Plant and Tool Room was started at Takve, Pune, Maharashtr

2002 2003 The Aluminium Die Casting, Shock Absorber and Front Fork Plants were awarded the ISO 2004 2005 The Aluminium Die Casting, Shock Absorber & Front Fork Plants were awarded the QS 9000 2006 TPM activities were started in the High Pressure Die Casting, Shock Absorber & Front Fork Plants. R&D center for Suspension components was started at & ISO 9001 certifications The production of Clutch Assemblies & Friction plates were started 9002 Certification The Production of Front Forks was started at Aurangabad, Maharashtra.

Aurangabad, Maharashtra. 2007 The Machining & Painting of High Pressure Die Casting Components were started at Pune, Maharashtra

2008 2009 A High Pressure Die Casting Plant was started at Manesar, Haryana. Clutch Assembly, High Pressure Die Casting & Suspension Plants were started at Pune,Maharashtra. Tool Room & Paint Shop activities were started at Aurangabad, Maharashtra. TS 16949 certification was awarded to the Endurance Group 17 TPM Kickoff in Suspension Plant. The production of Disc Brake Assemblies and CVTs were started at Aurangabad, Maharashtra. The production of Low Pressure/Gravity Die Castings were started at Aurangabad, Maharashtra. R&D Center for Transmission was started at Aurangabad, Maharashtra.

2010 The Machining of High Pressure Die Casting components was started at Aurangabad, Maharashtra.

The production of Brake Shoe was commenced at Aurangabad, Maharashtra. An Alloy Wheel Plant was started at Pune, Maharashtra. Endurance Technologies Pvt. Ltd. was formed from the merger of two group companies Anurang Engineering Co. Pvt. Ltd. and Endurance Transmission

Systems (India) Pvt. Ltd. The acquisition of majority equity stake in a leading Aluminium Pressure Die Casting & Machining Company at Italy (Nuova Renopress SpA, Bologna, Italy).

Acquired 40% equity stake in Paioli Mechanica S. R. L., Italy. Endurance has acquired 100% of the Equity Stake in Amann Druckguss GmbH and Co KG, Germany, an Aluminium Die Casting Manufacturer.

2011 2012 Three New Plants in Uttarakhand for Proprietary & Casting (N. E. India). Casting Plant at Chennai (South India). Acquisition of 51% stake in Fondalmec S.p.A. Italy.

'Technical Assistance Agreement' with TEKSID ALUMINIUM S.R.L., Italy, for manufacture of 'Aluminium Cylinder Head' castings by Gravity Die Casting process. Technical Assistance Agreement' with WP Suspension (subsidiary of KTM). Joint venture with Magneti Marelli Holdings S.p.A. for manufacture of four-wheeler suspension products in India

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Name Established Corporate Office

ENDURANCE TECHNOLOGIES PVT. LTD. August 1985 (As Anurang Engineering Co. Pvt. Ltd.) E-92, MIDC Industrial Area, Waluj, Aurangabad 431136.

Chairman Managing Director Business Area and Main Product

Mr. Naresh Chandra

Mr. Anurang Jain

Casting High Pressure Die Castings Low Pressure Die Castings Gravity Die Castings Alloy Wheels

Suspension 2/3 Wheeler Shock Absorbers Motorcycle Front Forks Hydraulic & Gas charged Dampers, MacPherson Struts, Gas Springs for cars, LCVs, HCVs, etc.

Transmission 2/3 Wheeler Clutches Continuous Variable Transmission (CVT) Friction Plates

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MISSION
To achieve and maintain leadership with a focus on Technology, Product Reliability and Safety in an environment of Honesty, Transparency and Fairness and contribute towards betterment of society

GOALS
Achieve a sustained Zero Customer Complaint for Proprietary Group (Suspension, Transmission and Braking) and below 500 PPM Customer Complaint for Casting Group (High Pressure, Low Pressure, Gravity Die Casting and Aluminium Alloy Wheels) latest from March 2007 onwards. Endurance to achieve Profitable Sales of USD 1 Billion globally by the Year 2009-1

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CUSTOMERS

21

POLICIES OF ETPL
Quality Policy

TPM Policy

Environment, Health and Safety Policy Quality Policy

Their Policy is to Design and Manufacture Automobile Products of Excellent, Consistent and Reliable Quality to meet Customer Satisfaction. This will be achieved through continuous Improve ment in Technology, Systems, Methods and Resource Management.

TPM Policy

They at Endurance are committed to practice TPM to improve product reliability and the working culture, to eliminate losses of all types in a continual manner, to maximize the operational efficiency and accomplish total internal and external customer satisfaction, safe and hygienic working environment through total employee involvement.

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Environment, Health and Safety Policy

They will maintain and continuously improve the Environment, Occupational Health & Safety Management System by providing adequate resources and technol-ogical upgradation. As a responsible member of society and a caring corporate citizen, they accord highest importance to the protection of the environment & health. To achieve this we are committed to:

Maintain a clean, green, safe and healthy environment. Comply with current legal and other requirements pertaining to the environment, occupational health & safety.

Be proactive and innovative in taking measures to protect the environment & health. The identification & elimination/reduction/control of non-tolerable hazards pertaining to all our activities.

Periodically monitor and review EHS performance, objectives and targets. Encourage and train our personnel and suppliers to create an awareness about the impact of their action on the EHS.

Prevent pollution & health hazards by instituting sound EHS practices. Conserve resources, recycle and reduce waste as well as minimize hazards & risks in all processes of operation.

They will communicate this EHS policy to employees and make it available to the public & all other interested parties.

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PRODUCTS

Products

Product

Casting

Suspension

Transmission Casting Suspension Braking

Transmission

Braking

24

CASTING

LOW PRESSURE

GRAVITY

ALLOY WHEELS

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ORGANISATION STRUCTURE
CHAIRMAN MR. NARESH CHANDRA

MANAGING DIRECTOR MR. ANURANG JAIN

Sr. V. P. ( PROP. BUS.) SUSPENSION, TRANSMISSION, & BRAKING) MR. R. GEHANEY

CEO ( OVERSEAS BUS.) MR. MASSIMO VENUTI

Sr. V. P. ( CASTING DIV. ABAD/ MANESAR/ P NAGAR) & ALLOY WHEEL MR. V. SUBRAMANIAN

CFO MR. SANJAY GUPTA

HEAD ( HR & ADMIN.) MR. RAM MARLAPALLE

V. P. ( CASTING DIV. PUNE/ CHENNAI/ SINGUR) MR. A. S. BHALLA V. P. MARKETING, BUS. DEVP. & PROJECTS (CASTING & PROP. BUS. GROUP) MR S. KRISHAN YOGI V. P. - NEW PRODUCTS (CASTING DIVISION) DR. MOHAN GODSE

COMPANY SECRETARY

MR. V. M. ACHWAL

V.P. ( AFTER MARKET) MR. B. CHOUDHURY

V. P. (PUR & INTL TRADE) MR. SUNIL KOLHE

D G. M. (ACCOUNTS)

MR. S. M. JHAVAR

A. G. M (I.T.)

5
MR. S. S. PUNJABI

Fig. 2.2

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MANUFACTURING FACILITIES

Endurance operates it's World-Class Manufacturing Facilities at Aurangabad, Pune, Manesar, Chennai, Pantnagar in India and at Bologna, Lombardore in Italy & at Masenbachhausen in Germany.

AURANGABAD, MAHARASHTRA CLUSTER

Fig. 2.3

27

PUNE, MAHARASHTRA CLUSTER

Fig. 2.4

MANESAR, HARYANA CLUSTER

Fig 2.5

28

PANTNAGAR, UTTARANCHAL CLUSTER

Fig 2.6

CHENNAI, TAKVE MILNADU CLUSTER

Fig 2.7

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ITALY CLUSTER

Fig. 2.8

GERMANY CLUSTER

Fig. 2.9

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QUALITY SYSTEMS
TS 16949 CERTIFICATION

The focus is to Manufacture Automobile Products of Excellent and Consistent Quality to meet Customer satisfaction through continuous improvements in Technology and Systems. Since the inception of each company in the Endurance Group, each product has opened up new and better avenues of growth. Each Company has visualized every assignment as a new challenge to go beyond the conventional. Acceptance of each challenge with confidence and commitment has earned the Endurance Group an enviable clientele. Leveraging this extensive expertise in the competitive Indian Market, the Endurance Group offers its experience to the world Market.

CERTIFICATES GIVEN TO ENDURANCE GROUP

ISO/TS 16949 Certificates

ISO 14001 Certificates

BS OHSAS 18001 Certificates

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RESEARCH & DEVELOPMENT

The Endurance Group has five well-equipped R&D Centers recognized by the Department of Science & Industrial Research, Ministry of Science & Technology, and Government of India. The R&D infrastructure comprises of a large number of imported and indigenous equipment, handled by a highly qualified team of over 35 professionals. These professionals keep themselves updated by attending technical seminars in India and abroad. The expenditure incurred on R&D activities is well above the standards of the Indian Industry. The Center devotes itself primarily to experimental Research & Development for developing new products, product improvement, product modification, process standardization, new innovations, new technologies and improve-ment. The Center has state-of-the-art equipments to facilitate all its activities.

Growth is Innovation: Their R&D efforts in Suspension, Transmission and Braking provides the impetus to innovate and develop new and highly improved products. 32

MAJOR R&D AREAS CLEAR FOCUS ON

4-wheelers(Suspension) at B-23, MIDC, Chakan, Pune, Maharashtra. 2-wheelers(Suspension) at E-93, MIDC, Waluj, Aurangabad, Maharashtra. Braking at K-226/2, MIDC, Waluj, Aurangabad, Maharashtra. Transmission at K-226/1, MIDC, Waluj, Aurangabad, Maharashtra. Casting at B-1/3, MIDC, Chakan, Pune, Maharashtra.

Major R&D Achievements

Patent applied for Twin tube canister type Oleo Pneumatic Rechargeable type Gas Filled Shock Absorbers Patented Revolutionary Dust Seal Washer

Patent Applied for Adjustable Damping Compression

Extra LONG WHEEL TRAVELS at Front & Rear

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SYNERGIES
They have always striven to deliver nothing less than the worlds best to our customers. Towards this objective, they have established technical synergies with: Paioli Meccanica S.p.A., Italy. One of the oldest and leading manufacturers of Telescopic Front Forks (owner of the famous CERIANI brand) provides the know-how for the manufacture of 2-wheeler suspension products. A Joint Venture with Adler S.p.A., Italy Amongst the worlds largest manufacturers of 2 & 3 wheeler Transmission Systems, provides the technical know-how and the license to manufacture 2-wheeler Clutch Assemblies, Friction Plates and CVTs. Zhejiang Wanfeng Motorcycle Wheel Co. Ltd., China One of the largest Aluminium Alloy Wheel manufacturers in the world. Verlicchi Nino e Figli S.p.A., Italy One of the leading and oldest manufacturers of 2 & 3 wheelers Aluminium Chassis and Frames in the world. Akebono Brake Corporation, USA Worlds Leader in Advanced Brake Friction Technology and NVH Solutions. A Joint Venture with Magneti Marelli Holding S.p.A., Italy Magneti Marelli is an international company committed to the design and production of hi-tech systems and components for the automotive sector. Joint Venture Agreement (JVA) aimed at the production of shock absorbers for motor vehicles in India. 34

WP Suspension (a subsidiary of KTM) is a manufacturer of high performance suspension components including upside down front forks and shock absorbers for motorcycles, ATVs, snowmobile and sportscar

AWARD AND ACHIEVEMENTS

Honda Motorcycle & Scooter India Awards 2009 Award for Castings & Forging 2010 Honda Motorcycle & Scooter India Awards 2008 Award for QCDDM 2008 Auto Monitor Awards 2011 Auto Component Manufacturer of the Year NDTV Profit Car India & Bike India Awards 2012 Component Manufacturer of the Year Endurance Technologies Pvt. Ltd. Suspension Division Aurangabad, has won the ACMA -Manufacturing Excellence Award. The Endurance Transmission Front Fork Division won the Special Award for the Best Progress in TPM Implementation at the Bajaj Vendor Meet held at Dubai in April 2005.

Endurance Systems Shock Absorber Division, Aurangabad received the BAL TPM Award 2006. The Endurance Shock Absorber Team won the Best Kaizen Award in Motion Loss Category at the 5th National Kaizen Conference in September 2005 organized by

the TPM Club of India. The Endurance Shock Absorber Team won the KAIZEN CHAMPIONS TROPHY 2005 sponsore by Sona Koyo for Best of the Best Kaizens at the 6 th TPM National Conference held at Chennai in March 2006, 35organized by the TPM Club of India & CII.

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The Endurance Shock Absorber Team won the Best KAIZEN Award for Tool Change Loss Reduction Kaizen in the 7th National Kaizen Conference held at Pune in June 2006.

Best Casting of the Year 2004

EXPORTS

A major break through in the North American market by way of an export order of US $20 Million per annum for Aluminium Die Casting Products. The export of Shock Absorbers to Europe, Sri Lanka, Bangladesh, Gwatemala, Peru, Iran, Syruia, Egypt and Vietnam. A dedicated Plant for the export of Front Forks in CKD condition

TITLE OF THE TOPIC

Performance appraisal a method by which the job performance of an employee is evaluated (generally in terms of quality, quantity, cost and time). Performance appraisal is a part of career development. Performance appraisal is the process of obtaining, analyzing and recording information about the relative worth of an employee. The focus of the performance appraisal is measuring and improving the actual performance of the employee and also the future potential of the employee. Its aim is to measure what an employee does. Performance appraisal is the systematic, periodic and an impartial rating of an employees according to Flippo, a prominent personality in the field of human resources, excellence in the matters pertaining to his present job and his potential for a better job. Performance appraisal is a systematic way of reviewing and assessing the performance of an employee during a given period of time and planning for his future. It is a powerful tool to calibrate, refine and reward the performance of the employee. It helps to analyze his achievements and evaluate his contribution towards the achievements of the overall organizational. By focusing the attention on performance, performance appraisal goes to the heart of personnel management and reflects the managements interest in the progress of the 36

employees.

Performance appraisals are organizations.

regular review of

employee

performance within

Research methodology is a way to systematically solve the research problem. In it step by step methods are followed to solve a particular problem. It refers to a search for knowledge. It can also be defined as a scientific search for pertinent information on a specific topic. In fact, research is an art of scientific investment. Redman & Mory defines research systematized effort to gain new knowledge.

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PROCESS OF PERFORMANCE APPRAISAL

38

1) ESTABLISHING PERFORMANCE STANDARDS

The first step in the process of performance appraisal is the setting up of the standards which will be used to as the base to compare the actual performance of the employees. This step requires setting the criteria to judge the performance of the employees as successful or unsuccessful and the degrees of their contribution to the organizational goals and objectives. The standards set should be clear, easily understandable and in measurable terms. In case the performance of the employee cannot be measured, great care should be taken to describe the standards.

2) COMMUNICATING THE STANDARDS

The employees should be informed and the standards should be clearly explained to the. This will help them to understand their roles and to know what exactly is expected from them. The standards should also be communicated to the appraisers or the evaluators and if required, the standards can also be modified at this stage itself according to the relevant feedback from the employees or the evaluators.

3) MEASURING THE ACTUAL PERFORMANCE

The most difficult part of the Performance appraisal process is measuring the actual performance of the employees that is the work done by the employees during the specified period of time. It is a continuous process which involves monitoring the performance throughout the year. This stage requires the careful selection of the appropriate techniques of measurement, taking care that personal bias does not affect the outcome of the process and providing assistance rather than interfering in an employees work.

4) COMPARING THE ACTUAL WITH THE DESIRED PERFORMANCE

The actual performance is compared with the desired or the standard performance. The comparison tells the deviations in the performance of the employees from the standards set. The result can show the actual performance being more than the desired performance or, the actual performance being less than the desired performance depicting a negative deviation in the organizational performance. It includes recalling, evaluating and analysis of data related to the employees performance.

39

5) DISCUSSING RESULTS
The result of the appraisal is communicated and discussed with the employees on one-toone basis. The focus of this discussion is on communication and listening. The results, the problems and the possible solutions are discussed with the aim of problem solving and reaching consensus. The feedback should be given with a positive attitude as this can have an effect on the employees future performance. The purpose of the meeting should be to solve the problems faced and motivate the employees to perform better.

6) DECISION MAKING
The last step of the process is to take decisions which can be taken either to improve the performance of the employees, take the required corrective actions, or the related HR decisions like rewards, promotions, demotions, transfers etc

OBJECTIVES OF PERFORMANCE APPRAISAL:

To review the performance of the employees over a given period of time. To judge the gap between the actual and the desired performance. To help the management in exercising organizational control. Helps to strengthen the relationship and communication between superior subordinates and management employees. To diagnose the strengths and weaknesses of the individuals so as to identify the training and development needs of the future. To provide feedback to the employees regarding their past performance. Provide information to assist in the other personal decisions in the organization. Provide clarity of the expectations and responsibilities of the functions to be performed by the employees. To judge the effectiveness of the other human resource functions of the organization such as recruitment, selection, training and development. To reduce the grievances of the employees.

40

PRE-REQUISITES FOR EFFECTIVE & SUCCESSFUL PERFORMANCE APPRAISAL

The essentials of an effective performance system are as follows: Documentation means continuous noting and documenting the performance. It also helps the evaluators to give a proof and the basis of their ratings. Standards / Goals the standards set should be clear, easy to understand, achievable, motivating, time bound and measurable. Practical and simple format The appraisal format should be simple, clear, fair and objective. Long and complicated formats are time consuming, difficult to understand, and do not elicit much useful information

Evaluation technique An appropriate evaluation technique should be selected; the appraisal system should be performance based and uniform. The criteria for evaluation should be based on observable and measurable characteristics of the behavior of the employee.

Communication Communication is an indispensable part of the Performance appraisal process. The desired behavior or the expected results should be communicated to the employees as well as the evaluators. Communication also plays an important role in the review or feedback meeting. Open communication system motivates the employees to actively participate in the appraisal process. Feedback The purpose of the feedback should be developmental rather than judgmental. To maintain its utility, timely feedback should be provided to the employees and the manner of giving feedback should be such that it should have a motivating effect on the employees future performance. Personal Bias Interpersonal relationships can influence the evaluation and the decisions in the performance appraisal process.Therefore, the evaluators should be trained to carry out the processes of appraisals without personal bias and effectively. 41

CHALLENGES OF PERFORMANCE APPRAISAL

In order to make a performance appraisal system effective and successful, an organization comes across various challenges and problems. The main challenges involved in the performance appraisal process are: DETERMINING THE EVALUATION CRITERIA Identification of the appraisal criteria is one of the biggest problems faced by the top management. The performance data to be considered for evaluation should be carefully selected. For the purpose of evaluation, the criteria selected should be in quantifiable or measurable terms CREATE A RATING INSTRUMENT The purpose of the Performance appraisal process is to judge the performance of the employees rather than the employee. The focus of the system should be on the development of the employees of the organization. LACK OF COMPETENCE Top management should choose the raters or the evaluators carefully. They should have the required expertise and the knowledge to decide the criteria accurately. They should have the experience and the necessary training to carry out the appraisal process objectively. ERRORS IN RATING AND EVALUATION Many errors based on the personal bias like stereotyping, halo effect (i.e. one trait influencing the evaluators rating for all other traits) etc. may creep in the appraisal process. Therefore the rater should exercise objectivity and fairness in evaluating and rating the performance of the employees RESISTANCE The appraisal process may face resistance from the employees and the trade unions for the fear of negative ratings. Therefore, the employees should be communicated and clearly explained the purpose as well the process of appraisal. The standards should be clearly communicated and every employee should be made aware that what exactly is expected from him/her.

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APPROACHES TO PERFORMANCE DEVELOPMENT

TRADITIONAL METHOD

MODERN METHOD

TRADITIONAL METHOD
1.UNSTRUCTURED APPRAISAL

Under this, the appraiser is required to write down his impression about the person being appraised in an unstructured way.Comments are required to be grouped under specific headings such as quality of job performance, reason for specific job behaviours, personality traits and developmental needs.

2. RANKING METHOD

Ranking is a simple process of placing employees in a rank according to their job performance. It permits comparison of all employees in any single rating group regardless of type of work. All employees are judged on same factors and they are rated on the overall basis with reference to their job performance instead of individual assessment of traits.In this way best is placed first in the rank and the poorer occupies the last rank.

3. PAIREDCOMPARISON

A better technique of comparison than the straight ranking method, this method compares each employee with all others in the group, one at a time. After all the

comparisons on the basis of the overall comparisons, the employees are given the final rankings.

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4 CRITICAL INCIDENTS METHODS

In this method of Performance appraisal, the evaluator rates the employee on the basis of critical events and how the employee behaved during those incidents. It 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.

II.

FIELDREVIEW

In 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. A major drawback of this method is that it is a very time consuming method. But this method helps to reduce the superiors personal bias.

6. CHECKLIST METHOD

The rater is given a checklist of the descriptions of the behaviour of the employees on job. The checklist contains a list of statements on the basis of which the rater describes the on the job performance of the employees.

III.

GRAPHIC RATING SCALE

In this method, an employees quality and quantity of work is assessed in a graphic scale indicating different degrees of a particular trait. The factors taken into consideration include both the personal characteristics and characteristics related to the on-the-job performance of the employees. For example a trait like Job Knowledge may be judged on the range of average, above average, outstanding or unsatisfactory.

44

8. FORCED DISTRIBUTION To eliminate the element of bias from the raters ratings, the evaluator is asked to distribute the employees in some fixed categories of ratings like on a normal distribution curve. The rater chooses the appropriate fit for the categories on his own discretion

MODERN-METHOD

1. BEHAVIORALLY ANCHORED RATING SCALES

Behaviorally Anchored Rating Scales (BARS) is a relatively new technique which combines the graphic rating scale and critical incidents method. It consists of predetermined critical areas of job performance or sets of behavioral statements describing important job performance qualities as good or bad (for eg. The qualities like inter-personal relationships, adaptability and reliability, job knowledge etc). These statements are developed from critical incidents. In this method, an employees actual job behaviour is judged against the desired behaviour by recording and comparing the behaviour with BARS. Developing and practicing BARS requires expert knowledge.

2. HUMAN RESOURCE ACCOUNTING METHOD

Human resources are valuable assets for every organization. Human resource accounting method tries to find the relative worth of these assets in the terms of money. In this method the Performance appraisal of the employees is judged in terms of cost and contribution of the employees. The cost of employees include all the expenses 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. Ideally, the contribution of the employees should be greater than the cost incurred on them 45

3. 360-DEGREE-PERFORMANCE-APPRAISAL
360 degree appraisal has four integral components: 1. Self appraisal 2. Superiors appraisal 3.Subordinates appraisal 4. Peer appraisal. Self appraisal gives a chance to the employee to look at his/her strengths and weaknesses, his achievements, and judge his own performance. Superiors appraisal forms the traditional part of the 360 degree appraisal where the employees responsibilities and actual performance is rated by the superior.

Subordinates appraisal gives a chance to judge the employee on the parameters like communication and motivating abilities, superiors ability to delegate the work, leadership qualities etc. Also known as internal customers, the correct feedback given by peers can help to find employees abilities t o work in a team, co-operation and sensitivity towards others.

Self assessment is an indispensable part of 360 degree appraisals and therefore 360 degree Performance appraisal have high employee involvement and also have the strongest impact on behavior and performance. It provides a 360 -degree review of the 46

employees performance and is considered to be one of the most credible performance appraisal methods.

360 degree appraisal is also a powerful developmental tool because when conducted at regular intervals (say yearly) it helps to keep a track of the changes others perceptions about the employees. A 360 degree appraisal is generally found more suitable for the managers as it helps to assess their leadership and managing styles. This technique is being effectively used across the globe for performance appraisals. Some of the organizations following it are Wipro, Infosys, and Reliance Industries etc.

4. MANAGEMENT BY OBJECTIVES
The concept of Management by Objectives (MBO) was first given by Peter Drucker in 1954. It 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 MBO is participative goal setting, choosing course of actions and decision making. An important part of the MBO is the measurement and the comparison of the employees actual performance with the standards set. Ideally, 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. Clarity of goals With MBO, came the concept of SMART goals i.e. goals that are: Specific Measurable Achievable Realistic and Time bound.

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HOW PERFORMANCE APPRAISAL USED IN ENDURANCE

II.CURRENT PERFORMANCE APPRAISAL CYCLE (11-12)

OBJECTIVE OF PA-2011-12:
To Provide the management a comprehensive picture of the employees performance during the appraisal period To serve as a basis for determination of rewards/increments for deserving employees. To identify good performers with high potential in the organization, so that individual development plans could be evolved to build / groom their careers in the organization. To bring in better role clarity. To create a positive, problem-solving, collaborative and healthy culture in the organization and thereby promoting teamwork. Objective assessment of job-related strengths and areas of improvements of the employee so that suitable measures could be initiated for enabling/assisting the employees to develop/ overcome their strengths/areas of improvements.

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II.CURRENT PERFORMANCE APPRAISAL CYCLE (11-12)

Table no. 2.2

FORM SAMPLES

LEVEL I (Part A) LEVEL II (Part A) LEVEL III (Part A) LEVEL I (Part B) LEVEL II (Part B) LEVEL III (Part

B) Part A is a Performance Assessment based on the agreed KRAs that are quantifiable targets. Imp: Please note that the Part-A of Level-II & Level-III form shall now be replaced by the Balance Score Card (BSC) Sheet of the appraise. The BSC scores out of 100 shall be converted into the scores out of the respective weightage assigned for section-A. For e.g. An employee in Asst. Manager grade has scored 80% out of 100 in his BSC, hence his Part-A score for the purpose of PA rating will be 48 out of 60. Part B is a Behavioral & Personnel Assessment. Part C is documentation Skill & Career Development Plan.

49

SAMMAAN PROCESS IN CHENGE MODE ACC. TO ETPL

INTRODUCTION OF PMC

INCLUSION OF PROCESSS FACILITATOR FOR OBJECTIVE PRD

TRAINING NEED ASSESSMENT DESIRED VS. ACTUAL

MIN. TIME FOR PRD FIXED

PROMOTION GUIDELINES

APPRAISAL FORMAT HAS BEEN REDESIGNED (PA POCKET)

CALCULATION OF TOS MORE OBJECTIVE OBJECTIVE GUIDELINES FOR HIGHER & LOWER END PER. RATING & PROMOTIONS

MANAGERIAL PERFORMANCE ASSESSMENT BASED ON BSC

5 POINT PERFORMANCE BASED ASSESSMENT SCALE

Fig. 2.2

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OBJECTIVES OF SAMMAAN 2011-12

COMMUNICATION: - To enhances communication and interaction between the boss and his subordinates.

LUCIDITY IN ROLES AND RESPONSIBILITIES: - To have transparent and clear communication between appraisee & appraiser with regard to performance.

PERFORMANCE EVALUATION:- To provide a congenial platform for discussing & analyzing data of the actual performance of the employee.

DEVELOPMENTAL FOCUS: - Diagonising strength and weakness of appraisee & finding out the developmental requirement of the appraisee.

REWARD MECHANISM:- To serve as an objective basis for reward development & provide appropriate organisational reward mechanism based on job performance, achievements, & rating on a fair & credible basis.

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POINT RATING SCALE INSTEAD OF 4 POINT

Table 2.3

SCORING % FOR A GIVEN JOB RESPONSIBILITY/ ASSIGNMENT 90% & above

DEFINATIONS FOR THE APPROPRIATE APPLICATION OF THE SCORING %

The appraisee has created value addition to their job responribility which can have positive implication for

department. this was done though self initiative beyond the expectation of the supervisors & in the process of achieving the highest degree of accomplishment for the job responsibility. proper documentation will be required for such scores during discussion with the reviewer. 80- 89 % The appraisee has completed the job responsibility up to full expectation of the supervisor. this level of accomplishment is considered to be above the norms in comparision to similar assignment of others in department. 70-79% The appraisee has completed the routine job responsibility up to the std. of expectation. This is considered to be up to the level of most of his peers in dfpartment. 60-69% The appraisee has completed the assignment in an acceptable manner; however a higher level of performance could have been achieved with greater effort. This is considered to be below the level of most peers of department. less than 60 % The appraisee was not able to complete a significant amount of the assignment given. Explanation should be given in such cases.

PROCESS FACILITATOR
52

He is the third person (other than appraisee & appraiser) who shall be present during the PRD & facilitate discussion. WHY THE NEED OF PROCESS FACILITATOR To ensure that the process of PRD is done in a more fair & just manner i.e. fairness of the manner in which performance appraisal was carried out.

PF- LEVEL WISE

Table no. 2.4 UP TO WHAT LEVEL AGM & ABOVE ASST. MANAGER-SR. MANAGER SR. SUPERVISOR- EXECUTIVE JR. SUPERVOSORS & BELOW WHO WILL BE FACILITATOR HEAD- STRATEGIC HR& ADMIN PMC MEMBER & INVITEE MEMBER REGIONAL HR HEAD/ PLANT HR HEAD PLANT HR 2nd LINE/ FUNCTIONAL HEAD

GENERAL PRD GUIDELINES

Start with a positive note. Agree on mutually suitable date & time for PRD. Select a private, comfortable venue where you can meet in a relaxed, unhurried, informal atmosphere, without disturbances. Conducting the parformance which is divided in to two parts:o Reviewing performance o Planning performance

Work through the performance measures, & agree on rating for each. Agree performance measures & standards for the next performance period. Close on a positive note.

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OVERALL PERFORMANCE GROUPING

Cut of range for overall performance grouping:the cut off of total overall scores for

segregating in to five different overall performance grouping shall be worked out after review & analysis of PA 2011-12 appraisal data received. though the scoring % for a given job responsibility/assignment should be discussed & disclosed to the appraisee during the PRD, the final outcome shall be the overall performance grouping as follows which shall mainly depend on the company wide total overall score. Table 2.5 OPG-1 OPG-2 OPG-3 OPG-4 OPG-5 EXCELLENT VERY GOOD GOOD SATISFACTORY UNSATISFACTORY

PA FORMS - SECTION WISE DEFINED (FOR LEVEL 11 & 111)

Table 2.6

LEVEL 11

LEVEL 111

SECTION-1 (PERSONAL DETAILS) SECTION-2 (SELF APPRAISAL) SECTION-3 PART-B (BEHAVIROL ASSESSMANT) SECTION-5 PART-A (COMPETENCY DICTIONARY FOR TNA) SECTION-6 (RECOMMENDATION BY APPRAISER) SECTION-7 (REVIEWRS COMMENTS)

READY RECKONER- TO ASSIGN % SCORE SECTION-3 PART-A(BSC ASSESSMENT) SECTION-4 (PERFORMANCE PLANNING FOR NEXT YEAR) SECTION-5 PART-B (TRAINING NEED ASSESSMENT) SAME AS THAT FOR LEVEL 11

SAME AS THAT FOR LEVEL 11

SCHEDULE/ TIMELINES FOR SAMMAAN 2011-12

Table 2.7 54

S. N. 1-A 1-B

ACTIVITY

RESPONSIBILITY

TARGET DATE (to be completed by) 25th Jan. 2011 28th Jan. 2011 HR 28th &29th Jan & 2nd or 3rd Feb. 2011 HR 30th & 31st Jan. 2011 HR 13th & 114th Feb. 2011 HR 15th & 16th Feb. 2011

Policy Roll Out

Group HR & Learning

Training Programme for Plants PMC Head at Aurangabad

Training Programme for appraiser PMC & appraisee at Aurangabad Heads

&

Regional

Training Programme for appraiser PMC & appraisee at Pune Heads

&

Rrgional

Training Programme for appraiser PMC & appraisee at Manesar Heads

&

Regional

Training Programme for appraiser PMC & appraisee at Pantnagar Heads

&

Regional

Conduct & Completion of PRD

SBU/ Functional Heads/ 10th March 2011 Plant Heads 11th 14th March 2011 15th 25th March 2011 26th March 4th April 6th -8th April 2011 8th 10th April 2011

Compiled Data Sheet to be sent to Plant HR Head Corp. HR

8 9 10 11 12

Data Analysis (Cut off/Promotions) Moderation if any Concurrence by MD Audit on process Announcement by MD

PMC Members PMC PMC Sr. Person

MD, Head-Stratigic HR & 13th April 2011 Admin 14th 20th April 2011 21st April 2011 22nd April 2011 onwards

13 14 15

Audit of Incriment Distributiom Input to Payroll Administration of Payroll

Resp. Auditor PMC Concerned Plant HR Head

55

RESEARCH METHODOLOGY

Title of the Study

To study PERFORMANCE APPARSIAL SYSTEM

Duration of the project

I have completed my project in 45 days From 17 June 2012 to 31st july 2012

OBJECTIVE OF STUDY

The objective is to determine efficiency of PMS in order to know the perception of management staff towards PMS in organization followed by identification on flaws and suggestions to make it more effective. To determine efficiency of PMS. To get an insight into perception of mgt. staff regarding PMS. To locate the weaknesses of PMS To give suggestion in order to make system more effective.

TYPES OF RESEARCH DESIGN

Exploratory Research Design Descriptive & Diagnostic Research Design Experimental Research Design

1. Exploratory Research Design In it, a problem is formulated for precise investigation and working and hypothesis are developed.

56

2. Descriptive & Diagnostic Research Design In descriptive research design: those studies are taken which are concerned with describing the characteristics of a particular individual or a group. 3. Experimental Research Design In it casual relationships between the variables are tested. It is also known as Hypothesis Testing Research Design

The present project is descriptive in nature. The major purpose of descriptive research is the description of the state of affairs, as it exists in present. The main characteristic of this method is that the researcher has no control over the variables. He can only report what has happened or what is happening.

SAMPLE SIZE
It is not possible for any researcher to include each and every member of the universe in his research process. So, he selects small portion of the universe, which is its true representative. This group is known as sample and this process is called sampling. Sampling Techniques can be categorized into two broad categories namely: Non-probability Sample Probability Sampling

Non-probability Sampling In it, researcher selects sample deliberately, by using his own judgement, in it every item of the universe does not have equal chances of inclusion in the sample. It can be of following type: Convenience Sampling Judgement Sampling Quota Sampling

Probability Sampling It is known as Random Sampling or Chance Sampling. In it, each population element has equal chance of selection. It can be of following types: 57

Simple Random Sampling Stratified Sampling Cluster Sampling

In the present project, non-probability sampling has been used because sample is selected by researchers own view and every item of the universe has not equal chances of being selected. Under non-probability sampling, convenient sampling has been used because sample has been selected according to own convenience.

DATA COLLECTION
The data can be of two types: Primary Data Secondary Data

Primary Data Primary data are those data, which is originally collected afresh. Secondary Data Secondary data are those data which are already collected and stored and which has been passed through statistical research.

In this project, Both Primary as well as Secondary data has been collected from following sources:Primary data is from: By filling Questionnaire from employees

Secondary data from: Annual report Books M.I.S Other material and report published by company

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SCOPE OF THE STUDY:

The success of an organization depends upon performance of his employees. It is said that A happy employee is producing employee. This study was conducted to know the performance level of workers. It helps to identify the problem that why the gap generated between expected and desired performance. It is used to rectify some problems by giving suggestions and recommendations. It also refers to general attitude of employees towards his performance.

LIMITATION OF THE STUDY:

Any research study will be restricted in scope by certain inherent limitations that are caused by research design sampling procedure and respondent reflection. Due to lack of time the sample size is restricted to 10 and hence accuracy will be less. Lack of cooperation of respondents. Chances of respondents bias are true in this study Since study is limited to particular unit only the conclusion may not have universal validity in it.

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FACTS AND FINDINGS

Employees find Performance Analysis & Review significant. It can be made more effective through removal of individual biasness, timely feedback.

Environment open and conductive for interactions and relationships are cordial.

Review meetings can be made more effective through frank and open discussions along with embracing a professional approach.

Supervisors are helping their subordinates to decide their performance targets.

Proper guiding the subordinates to decide their Performance targets will encourage the employee to work accordingly.

All the employees must have a clear view about what they have to achieve.

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Analysis and interpretation

1. Do you relate your contribution to overall organization growth?

Disagree 0% Strongly Disagree 0% Strongly Agree 50%

Undecide d 15% Agree 35%

Strongly Agree Agree Undecided Disagree Strongly Disagree

Fig. 4.1 Interpretation: The study revealed that 50% of the respondents were strongly agreed and 35% were agreed that their contribution relates to overall organization growth. 15% of respondents were unable to decide. No one was disagree that their contribution does not relates to overall organisation growth.

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2. Does any HRD System facilitate understanding this linkage?

Strongly Disagree 20% Disagree 25% Undecide d 0%

Strongly Agree 25%

Agree 30%

Strongly Agree Agree Undecided Disagree Strongly Disagree

Fig. 4.2

Interpretation: On asking this whether HRD system facilitate this linkage 55%f respondents were in consensus that system like Training, Performance Appraisal helps them to determine this. 25% respondents were disagree & 20% were strongly with these.

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3.

Are you clear about what you are supposed to achieve?

0%

100%

Strongly Agree Agree Undecided Disagree Strongly Disagree

Fig. 4.3

Interpretation: Study shows that all the respondents were known about what they have to achieve. As goal setting sheet is prepared & targets are mentioned for each level. This helps them to determine what they have supposed to achieve.

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4. Do you guide your subordinates to decide their Performance targets?

0% 0% 25% 0% Strongly Agree Agree Undecided Disagree Strongly Disagree

75%

Fig. 4.4

Interpretation: 75% of the respondents were strongly agreed, 25% were agreed that they help their subordinates to decide their performance targets. Expectation in terms of projects, deliverables, outcomes, results and/or tasks are determined.

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PERFORMANCE ANALYSIS & REVIEW

5. Do you find performance analysis & review as significant?

0% 0% 40% 0% Strongly Agree Agree Undecided Disagree Strongly Disagree

60%

Fig. 4.5

Interpretations:60% of the respondents were strongly agree that analysis & review of Performance are significant. 40% of respondents were agree in analysis & review of Performance. No one was disagree with this statement.

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6. Do you think environment and relationship during review meetings open & cordial?

15% 5%

0%

20%

60%

Strongly Agree Agree Undecided Disagree Strongly Disagree

Fig. 4.6

Interpretations:In this 60% of the respondents are agree that environment & relationship during review meetings are open & cordial. Besides these 20% are strongly agree with these. 15% are disagree and 5% are undecided.

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7. Do you think that meeting serve their purpose?

10% 5%

5%

25%

55%

Strongly Agree Agree Undecided Disagree Strongly Disagree

Fig. 4.7

Interpretations:55% respondents are agree that meetings serve their purpose. 25% respondents are strongly agree and 10% respondents are disagree, 5% respondents were undecided about this.

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PERFORMANCE RATING:

8.

Do you find that assigned values in terms of no. to performance are clearly demarcated?

0% 15% 0% Strongly Agree Agree Undecided Disagree Strongly Disagree

30%

55%

Fig. 4.8

Interpretations:55% respondents are agree with this statement. 30% are undecided and 15% are undecided that assigned values in terms of no. to Performance are clearly demarcated. No one was disagree with this.

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9. Do you think capabilities of your subordinates match with their functions & responsibilities?

0% 0% 30% 0% Strongly Agree Agree Undecided Disagree Strongly Disagree

70%

Fig. 4.9

Interpretations:70% respondents are strongly agree with this statements. And 30% respondents are agree with the above statement. No one was disagree with this statement.

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SWOT ANALYSIS OF MAHINDRA & MAHINDRA

STRENGHTS: Meant for the masses. Wide range of services. Wide network. Less charges that many of the private sector companies. Committed work force. Strong customer base.

WEAKNESS: Maintenance Problem. Lack of advertising of its schemes. Less number of marketing managers.

OPPORTUNITIES:

Growing population and expanding market. Increase in disposable income. Buoyant economy. The company can still expand its range of services by providing more services it its customer.

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THREATS:

The basis and the foremost threat if from the competition both from the public and the private sector, which are offering a wide range of services. Recession. Political instability. Fiscal policies resulting into increased taxes, duties import etc. Tight money market in the future can be a major threat.

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CONCLUSION
What is Performance Appraisal? Performance Appraisal is the formal conclusion to a performance management process at the end of a prescribed term. Prescribed terms may be any length but are usually a 12 month period. The Performance Appraisal process involves an interview between a staff member and their manager where the objectives and deliverables for the staff member are reviewed, and an overall assessment of the staff member's performance is agreed.

It must be understood that a Performance Appraisal is only a component part of a Performance Management System. Many people confuse the two and interchange the terminology. How can Performance Appraisal be used? The Performance Appraisal is usually used to identify:

Development needs for the individual A positioning of the staff member's performance for remuneration review

Best Practice for Performance Appraisal The Performance Appraisal, on its own, has some big limitations in terms of effectiveness. The limitations are:

The review is done in retrospect and is an average of six months old so recollection of events is poor

The opinions of staff and manager are often in opposition, causing de-motivation The process is usually Manager driven and the staff member is expected to be compliant in the interview

The process usually involves the Manager giving their opinion and the staff member having to defend the position, rather than a positive discussion

There is no room for remedial action during the year 72

The process is usually done in a rushed manner to meet a budget development process and therefore loses its relevance to performance

The solution we propose is to implement Performance Management Online which:

Forces staff to take control of their own performance with Management oversight. Agrees the performance objectives and development plan for the staff member in advance.

Monitors performance achievement progressively during the assessment term. Focuses development on objectives to be achieved, thus equipping the staff member to do the job and maximizing value in training investment.

Aligns activities during the year to organizational objectives and/or competencies and/or key result areas/deliverables.

Allows for an automated injection of 360-degree Processes into the appraisal process at various intervals during the year.

Includes a performance journal, accumulated during the year, that can be referred to in the appraisal process.

Includes a development journal, accumulated during the year, that can be referred to in the appraisal process.

Provides oversight of the process online by the HR department.

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RECOMMANDATION AND SUGGESTIONS

Performance targets must be clear, specific interesting, challenging, time bound and linked with value rewards.

More Employees Participation.

MBO as a tool for Performance Management.

Appraisers must be trained. They should have knowledge about all factors on the basis of which performance is measured.

Timely, Transparent feedbacks must be ensured.

Review Meetings must be direct and specific and must encourage the appraisee to talk carefully.

Employees must be properly and adequately communicated regarding the assigning of values in terms of no. of performance.

360 degree feedback: There should be movement from boss assessed feedback to
360 degree feedback involving customers, peers, subordinates.

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BIBLIOGRAPHY

BOOKS CONCERNED: C.B. GUPTA (Human Resource Management) V.S.P. RAO ( Human Resource Management) C.R. KOTHARI (Business Research Methodology )

WEB SITES: www.endurancegroup.com www.wikipedia.com www.answer.com www.citemanhr.com www.explorehr.com

NEWSPAPERS & MAGZINES: The Times Of India Economic Times Business Today

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