Académique Documents
Professionnel Documents
Culture Documents
Performance Appraisal
At
MPPTCL
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INDEX
Sr. No. Particulars Page No.
Forward (i)
Declaration (ii)
Certificate of company (iii)
Acknowledgement (iv)
1. Executive Summary
2. Introduction
3. Company Profile
4. Objective of The Study
5. Research Methodology
6. Data Analysis & Interpretation
7. Findings
8. Suggestions
9. Conclusion
10. Bibliography
11. Annexure
Executive Summary
Few functions better illustrate the conundrum of how to quantify the "people" side of
business than performance management. Leaders across the U.S. are challenged with
defining desirable employee behaviors and refining systems that truly shape good
outcomes - for individual workers and for the organizations that employ them.
Taking another approach, 360-degree appraisals involve not only supervisors, but
also peers, subordinates and, in some cases, customers in evaluating employees'
work. Although this method can provide a broad perspective, some participants are
uncomfortable rating another's performance. Others may avoid criticizing a peer with
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whom they must work on a daily basis. When raises or promotions depend on a 360-
degree review, concerns may be heightened.
Despite misgivings about forced ranking, peer reviews and other appraisal systems,
organizations remain obliged to keep productivity levels up and to make the most of
the resources at their disposal. Effectively managing the performance of a firm's
workforce lies at the very heart of those capabilities.
The first section of my report deals with a detailed company profile. It includes the
companys history: its activities and operations, organizational structure, etc. this
section attempts to give detailed information about the company and the nature of its
functioning.
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The second section deals with performance appraisal. In this section, I have given a
brief conceptual explanation to performance appraisal. It contains the definition,
process and significance of performance appraisal.
In the third section of my report, I have conducted a research study to evaluate the
process of performance appraisal at MPPTCL India.; this section also contains my
findings, conclusions, suggestions and feedback.
The forth and final section of this report consists of extra information that I related to
the main contents of the report. These annexure include some graphs and diagrams
relating to the company, graphs relating to the research study and important
documents upon which the project is based.
People are our most valuable asset is a clich, which no member of any senior
management team would disagree with. Yet, the reality for many organizations are
that their people remain under valued, under trained and underutilized.
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Human Resource (or personnel) management, in the sense of getting things done
through people, is an essential part of every managers responsibility, but many
organizations find it advantageous to establish a specialist division to provide an
expert service dedicated to ensuring that the human resource function is performed
efficiently.
People are our most valuable asset is a clich, which no member of any senior
management team would disagree with. Yet, the reality for many organizations are
that their people remain under valued, under trained and under utilized.
The market place for talented, skilled people is competitive and expensive. Taking on
new staff can be disruptive to existing employees. Also, it takes time to develop
cultural awareness, product / process / organization knowledge and experience for
new staff members.
1. Recruitment
2. Selection
3. Induction
4. Performance Appraisal
Characteristics
1. Performance Appraisal is a process.
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Process
The process of performance appraisal:
3. Measuring Performance
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Limitations
1. Errors in Rating
2. Lack of reliability
3. Negative approach
4. Multiple objectives
5. Lack of knowledge
Essay Appraisal
In its simplest form, this technique asks the rater to write a
paragraph or more covering an individual's strengths, weaknesses,
potential, and so on. In most selection situations, particularly those
involving professional, sales, or managerial positions, essay
appraisals from former employers, teachers, or associates carry
significant weight.
This technique may not yield the depth of an essay appraisal, but it
is more consistent and reliable. Typically, a graphic scale assesses a
person on the quality and quantity of his work (is he outstanding,
above average, average, or unsatisfactory?) and on a variety of
other factors that vary with the job but usually include personal
traits like reliability and cooperation. It may also include specific
performance items like oral and written communication.
Field Review
The field review is one of several techniques for doing this. A
member of the personnel or central administrative staff meets with
small groups of raters from each supervisory unit and goes over
each employee's rating with them to (a) identify areas of inter-rater
disagreement, (b) help the group arrive at a consensus, and (c)
determine that each rater conceives the standards similarly. .
Forced-Choice Rating
Like the field review, this technique was developed to reduce bias
and establish objective standards of comparison between
individuals, but it does not involve the intervention of a third party.
Management By Objectives
To avoid, or to deal with, the feeling that they are being judged by
unfairly high standards, employees in some organizations are being
asked to set - or help set - their own performance goals. Within the
past five or six years, MBO has become something of a fad and is so
familiar to most managers that I will not dwell on it here.
Ranking Methods
For comparative purposes, particularly when it is necessary to
compare people who work for different supervisors, individual
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1. Alternation ranking:
2. Paired-comparison ranking:
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Assessment Centers
So far, we have been talking about assessing past performance.
What about the assessment of future performance or potential? In
any placement decision and even more so in promotion decisions,
some prediction of future performance is necessary. How can this
kind of prediction be made most validly and most fairly?
Most 360 Degree Feedback system contains several common features. Appropriate
parties peers, supervisors, subordinates and customers, for instance complete
survey, questionnaires on an individual. 360 degree feedback is also known as the
multi-rater feedback, whereby ratings are not given just by the next manager up in the
organizational hierarchy, but also by peers and subordinates. Appropriates customer
ratings are also included, along with the element of self appraisal. Once gathered in,
the assessment from the various quarters are compared with one another and the
results communicated to the manager concerned.
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Advantages
Instead of assuming traits, the MBO method concentrates on actual outcomes. If the
employee meets or exceeds the set objectives, then he or she has demonstrated an
acceptable level of job performance. Employees are judged according to real
outcomes, and not on their potential for success, or on someone's subjective opinion
of their abilities.
The guiding principle of the MBO approach is that direct results can be observed
easily. The MBO method recognizes the fact that it is difficult to neatly dissect all the
complex and varied elements that go to make up employee performance.
MBO advocates claim that the performance of employees cannot be broken up into so
many constituent parts, but to put all the parts together and the performance may be
directly observed and measured.
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Disadvantages
This approach can lead to unrealistic expectations about what can and cannot be
reasonably accomplished. Supervisors and subordinates must have very good "reality
checking" skills to use MBO appraisal methods. They will need these skills during
the initial stage of objective setting, and for the purposes of self-auditing and self-
monitoring.
Variable objectives may cause employee confusion. It is also possible that fluid
objectives may be distorted to disguise or justify failures in performance.
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Leniency or severity: - Leniency or severity on the part of the rater makes the
assessment subjective. Subjective assessment defeats the very purpose of
performance appraisal. Ratings are lenient for the following reasons:
a) The rater may feel that anyone under his or her jurisdiction who is rated
unfavorably will reflect poorly on his or her own worthiness.
b) He/She may feel that a derogatory rating will be revealed to the rate to
detriment the relations between the rater and the ratee.
Central tendency: - This occurs when employees are incorrectly rated near the
average or middle of the scale. The attitude of the rater is to play safe. This safe
playing attitude stems from certain doubts and anxieties, which the raters have been
assessing the rates.
Halo error: - A halo error takes place when one aspect of an individual's
performance influences the evaluation of the entire performance of the individual.
The halo error occurs when an employee who works late constantly might be rated
high on productivity and quality of output as well ax on motivation. Similarly, an
attractive or popular personality might be given a high overall rating. Rating
employees separately on each of the performance measures and encouraging raters to
guard against the halo effect are the two ways to reduce the halo effect.
Rater effect: -This includes favoritism, stereotyping, and hostility. Extensively high
or low score are given only to certain individuals or groups based on the rater's
attitude towards them and not on actual outcomes or behaviors; sex, age, race and
friendship biases are examples of this type of error.
Primacy and Regency effects: - The rater's rating is heavily influenced either by
behavior exhibited by the ratee during his early stage of the review period (primacy)
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or by the outcomes, or behavior exhibited by the ratee near the end of the review
period (regency). For example, if a salesperson captures an important contract/sale
just before the completion of the appraisal, the timing of the incident may inflate his
or her standing, even though the overall performance of the sales person may not
have been encouraging. One way of guarding against such an error is to ask the rater
to consider the composite performance of the rate and not to be influenced by one
incident or an achievement.
a) Reporting Manager
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d) HR Head
e) Normalization Committee
Decides on the final bell curve for each function in the respective
Business Unit / Circle
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o What are the guidelines for setting the KRAs for an employee?
o How is the KRA score calculated for an employee on the basis of the
targets sets and targets achieved?
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Develops others
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COMPANY
PROFILE
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INTRODUCTION
Under Power Sector Reform Programme, Government of Madhya Pradesh has
unbundled the M.P. State Electricity Board into five wholly owned State
Government Companies, out of which one each has been independently assigned
Electricity Generation and Transmission functions and the balance three are
Distribution companies responsible for electricity distribution in their respective
jurisdiction. M.P. Power Transmission Company Ltd. (MPPTCL) is one of such five
companies carved out of MPSEB to undertake the activities relating to electricity
transmission within the State of M.P.
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Subsequently, in May'2006 one more Company, namely MP Power Trading Co. Ltd.
has been carved out of MPSEB to look after trading of Power and other associated
activities.
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Thus, with effect from 01.06.2005, the Company has assumed the functions of intra-
state transmission of electricity, State Transmission Utility and State Load Despatch
Centre as its own business and not as an Agent of Madhya Pradesh State Electricity
Board.
The constitution and composition of the State Electricity Boards, is laid down
under section 5 of the Electricity (supply) Act, 1948. Accordingly the Board shall consist
of not less than three and not more than seven members appointed by the State
Government, one of whom would be appointed a Chairman. The chairman conducts its
full time conduct the day-to-day work. The ex-officials members attend the meeting of
the Board and they represent the policy of the government.
The Government of Madhya Pradesh vide order dated 1 st July, 02 has incorporated
Madhya Pradesh Power Transmission Company Limited as a wholly owned Government
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of Madhya Pradesh corporations under the Companies Act, 1956 to undertake activities
of distribution and retail supply for and on behalf of Madhya Pradesh State Electricity
Board in the areas covered by the Commissionaires of Indore and Ujjain.
Govt. of MP proposed a transient phase in which the assets and liabilities would
continue to be serviced by the Board, with only the operational activities being vested
onto this order dated 16th July, 02 has granted approval to this reorganization and bringing
in economy and efficiency in the operational activities of electricity sector.
i. Enhance productivity
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Research Methodology
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Research Methodology
Research
The research design of this project is exploratory. Though each research study has its
own specific purpose but the research design of this project on MPPTCL is
exploratory in nature as the objective is the development of the hypothesis rather than
their testing. The research designs methods of financial analysis. Through of
comparative balance sheet in comparative statement, I am studying on balance sheet
of MPPTCL of five year. So taking comparative statement, I am going to analyzed of
five years balance sheet of MPPTCL.
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Methodology
Every project work is based on certain methodology, which is a way to systematically
solve the problem or attain its objectives. It is a very important guideline and lead to
completion of any project work through observation, data collection and data
analysis. Research Methodology comprises of defining & redefining problems,
collecting, organizing & evaluating data, making deductions & researching to
conclusions.
Research design:
Research Design refers to "framework or plan for a study that guides the collection
and analysis of data". A typical research design of a company basically tries to
resolve the following issues:
e) Developing Questionnaires
Explorative studies are undertaken with a view to know more about the problem.
These studies help in a proper definition of the problem, and development of specific
hypothesis is to be tested later by more conclusive research designs. Its basic purpose
is to identify factors underlying a problem and to determine which one of them need
to be further researched by using rigorous conclusive research designs.
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Conclusive Research Studies are more formal in nature and are conducted with a
view to eliciting more precise information for purpose of making marketing
decisions.
a) Descriptive or
b) Experimental
Thus, it was mix of both the tools of Research Design that is, Explorative as well as
Conclusive.
SAMPLING PLAN:
Jabalpur
DATA COLLECTION
Data Sources:
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Data Analysis
&
Interpretation
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Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
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INTERPRETATION :-
80% of the sample respondents were agreed that the Effectiveness of Welfare Measures were
Sufficient, where as 13% of the respondents agreed that the Effectiveness of Welfare Measures were
hardly, while 7% of the respondents agreed that the Effectiveness of Welfare measures are Fully
Effective.
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Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
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Fig.2
Over the analysis of objective of appraisal system are clear to all employees out of 20
respondents, 7% of the respondents were strongly agree, 13% of the them were
agree, none of the respondents each were neutral 60% of the respondents were
disagree and 20% of the respondent were strongly disagree.
Agree 54 54%
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Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
Fig. 3
Over the analysis of Appraisal system inMPPTCL ensures that that every individual
is clearly aware about its functions and responsibilities out of 20 respondents, 60% of
the respondents were strongly agree, 20% of the them were agree, 7% of the
respondents each were neutral 7% of the respondents were disagree and none of
the respondents were strongly disagree.
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Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
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Fig. 4
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Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
Fig. 5
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Over the analysis of The counseling is satisfactorily done to judge the low
performance and to improve his/ her performance, out of 20 respondents 13% of the
respondents were strongly agree, 20% of the them were agree, 47% of the
respondents each were neutral 13% of the respondents were disagree and 7% of
the respondents were strongly disagree.
5. Most of the training programme are initiated after a need analysis has indicated
that programme is needed.
Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
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Fig. 6
Over the analysis of Most of the training programme are initiated after a need
analysis has indicated that programme is needed, out of 20 respondents 13% of the
respondents were strongly agree, 7% of the them were agree, 7% of the
respondents were neutral 13% of the respondents were disagree and 60% of the
respondents were strongly disagree.
Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
Fig. 7
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Over the analysis of The present performance appraisal system is able to focus on
personality trait of employees for better performance, out of 20 respondents 20% of
the respondents were strongly agree, 7% of the them were agree, 13% of the
respondents each were neutral 53% of the respondents were disagree and 7% of
the respondents were strongly disagree.
Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
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Fig. 8
Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
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Fig. 9
Over the analysis of Promotion and rewards are a major factor in influencing
performance if administered objectively, out of 20 respondents 27% of the
respondents were strongly agree, 47% of the them were agree, 13% of the
respondents each were neutral 13% of the respondents were disagree and none of
the respondents were strongly disagree.
Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
Fig. 10
Over the analysis of Performance appraisal is carried out to assess the potential of
employees to assign higher responsibility and more task, out of 20 respondents 7% of
the respondents were strongly agree, 13% of the them were agree, 7% of the
respondents each were neutral 27% of the respondents were disagree and 46% of
the respondents were strongly disagree.
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Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
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Fig. 11
On the analysis over Potential appraisal help in succession planning inMPPTCL out
of 20 respondents 67% of the respondents said yes and 33% of the respondents said
no.
Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
Fig.12
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Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
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Fig.13
Over the analysis of objective of appraisal system are clear to all employees, out of
60 respondents 18% of the respondents were strongly agree, 10% of the them were
agree, 4% of the respondents were neutral 46% of the respondents were disagree
and 22% of the respondent were strongly disagree.
Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
Fig. 14
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Over the analysis of Appraisal system inMPPTCL ensures that that every individual
is clearly aware about its functions and responsibilities, out of 60 respondents 54% of
the respondents were strongly agree, 22% of the them were agree, 2% of the
respondents were neutral 14% of the respondents were disagree and 8% of the
respondents were strongly disagree.
Agree 54 54%
Neutral 13 13%
Disagree 13 13%
Strongly Disagree 0 0%
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Fig. 15
Finding
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Suggestions
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Rewards should also be provided to the employees who have done outstanding
jobs in their field.
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Conclusion
1) It is concluded that performance appraisal is an important tool to evaluate
performance of employee in MPPTCL.
4) On the analysis over most of the training programme are initiated after a
need analysis has indicated that programme is needed.
.8) On the analysis over the appraisal system encourages open communication
between each appraiser and appraise through performance review it was
concluded that most of the respondents were in the opinion over this.
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Bibliography
Bibliography
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Journals
WEBSITES
www. mpptcl.in
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Annexure
Questionnaire
Interview Schedule for Identifying the Performance Appraisal
4. Department: ___________________________________________________
5. Designation: ____________________________________________________
7. Monthly Income:
Yes No
8. Were you informed about the performance appraisal model, used in the MPPTCL,
during your Induction?
Yes No
a. Evaluation of Employees
b. Promotion of Employees
d. Motivation
Yes No Never
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a. Once in a year
c. Continuous
d. Never
e. Cant say
12. If continuous appraisal- what is the gap between two appraisal period
a. Quarterly
b. Half Yearly
c. Yearly
a. Ranking Method
b. Paired Comparison
c. Critical Incidents
d. MBO
e. 360 degree
f. Assessment centre
a. Superior
b. Peer
c. Self-Appraisal
d. Sub-ordinate
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e. Consultant
g. Superior + peer
a. Retention of Employees
b. Promotion
Yes No
Yes No
18. If given a chance or an opportunity would you like that the current Appraisal
procedure should be reviewed?
Yes No
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