Satish Summer HR Project For MBA in Mumbai

A PROJECT REPORT On Study of HR Practices & Process of Performance Appraisal
With special reference to ADITYA BIRLA GROUP GRASIM I DUSTRIES

R.M.C Division Head Office - MUMBAI
Submitted To TILAK MAHARASHTRA U IVERSITY, PU E Submitted by SATISH PRAKASH GOYA
L MBA- H.R (2007-2009)
I STITUTE OF BUSI ESS STUDIES & RESEARCH
IBSAR Navi Mumbai (satishpgoyal@yahoo.co.in) Page 1
Table of Contents CHAPTER O.
1 2 3 4 5 6
TITLES
Acknowledgement Executive Summary Company Profile Organizational Chart Introduct
ion About the project Recruitment Selection Performance Appraisal Training & Dev
elopment Talent Management Job Analysis Organisation Structure Human Resource In
formation System Company Philosophy Exit Interview
PAGE O.
3 8 9 16 18 20 22 25 28 34 40 42 47 51 56 58
7 8 9 10 11 12
Learnings Observations & Findings Recommendations Nomenclatures and Abbreviation
s Limitations & Bibliography Annexure
65 66 67 68 69 71
IBSAR Navi Mumbai (satishpgoyal@yahoo.co.in)
Page 2
Acknowledgement
It is not possible to prepare a project report without the assistance & encourag
ement of other people. This one is certainly no exception. On the very outset of
this report, I would like to extend my sincere & heartfelt obligation towards a
ll the personages. Without their active guidance, help, cooperation & encouragem
ent, I would not have made headway in the project. I would like to express my si
ncere thanks to Major P.K.Das (GM-HR,Grasim Industries) who gave me the opportun
ity to work with such an esteemed organization. I owe profound sense of regards
& gratitude towards Mr.Sujit Kumar (Manager- HR) who has continuously guided me
& supported in all the tasks by giving me valuable insight into issues like the
meaning of HR practices, its uses, objectives and tools as well as steps to be c
onsidered in developing and studying an organizational structure. I owe debt of
gratitude to Ms. Deepika Mehta (Executive-HR) who has given me enough support &
cooperation to me by finding time from her hectic schedule. I also thank her for
guiding me, clearing the doubts & advising me in the right time to make this pr
oject a real learning experience. I am thankful to the entire employee at Grasim
Industries (RMC Div.) for their cooperation during the internship. Last but not
the least, I would thank Dr.M.L.Monga,( Executive Director), Dr.Ginlianlal Buhr
il, (Director, Navi Mumbai) , Mr.Anurag Shrivastava,(Asst.Dir.) & all my lecture
rs for giving me an opportunity to work with such an esteemed organization ,guid
ing& encouraging me throughout.
Thanking You: Satish P.Goyal
Page 3
CERTIFICATE FROM THE FACULTY GUIDE
This is to certify that the project work entitled “Study of HR Practices & Process
of
Performance Appraisal ”, worked under Aditya Birla Group ( Grasim Industries ) is
a
bonafide work carried out by Mr. Satish P.Goyal ,a candidate for the MBA June (2
007-2009) Examination of Tilak Maharashtra University, Pune under my guidance an
d direction.
Signature of the Guide. ame : Dr.Ginlianlal Buhril
Designation : Director Address Date Place : IBSAR, avi Mumbai. : :
Page 4
CERTIFICATE FROM THE U IVERSITY
This is to certify that the project work entitled “Study of HR Practices & Process
of Performance Appraisal ”, worked under Aditya Birla Group ( Grasim Industries )
is a bonafide work carried out by Mr. Satish P.Goyal , a candidate for the MBA J
une (2007-2009) Examination of Tilak Maharashtra University, Pune. The project r
eport has been approved as it satisfies the academic requirements in respect of
project work prescribed for the Masters of Business Administration Degree.
Head
:
Internal Guide : External Guide: Date Place : :
Page 5
Executive SummaryThe importance of personnel management is being increasingly re
alized in industrial and nonindustrial organization both in India and abroad. Th
e realization has come about because of increasing complexity of the task of man
agers and administrators. In most organizations the problems of getting the comp
etent and relevant people, retaining them, keeping up their motivation and moral
e, and helping them to both continuously grow and contribute their best to the o
rganizations, are now viewed as the most critical problems.
So with this reference the project titled Study of Study of HR practices
& process of
Performance Appraisal has been conducted, based on the primary research in Ultra
tech Cement Limited, RMC Division has been prepared to get a better insight into
the management practices adopted by UTCL with reference to HR Policies prepared
by the HR department in organization. It emphasizes on the importance of a clea
r cut organization structure and culture to avoid any confusion in order to achi
eve maximum result with minimum resources. The project is aimed to cover maximum
knowledge of the HR practices followed in the organization and how the performa
nce is evaluated of employees, what primary factors are considered , how data is
maintained and finally the evaluation done. Here the HR practices of the compan
y have been explained to understand how the company follows these practices and
the performance appraisal process adopted. The practical knowledge has been gain
ed mainly by observing all the activities taking place in the H.R. department. T
his is a brief study done to have understanding of the subject H.R., how it is p
ractically implemented, why it is necessary, its implications & the benefits. Wi
th reference to the HR Practices brief knowledge has been gained how the Recruit
ment cycle functions, Selection done, Training Calendar prepared, what does comp
ensation & cost to company means and the steps of performance appraisal.
Page 6
Company Profile
Aditya Birla Group is India's first truly multinational corporation. The group h
as an annual turnover of US$ 24 billion and has over 1,00,000 employees belongin
g to over 25 different nationalities on its rolls. Aditya Birla Group has its pr
esence in 20 countries – India, Thailand, Laos, Indonesia, Philippines, Egypt, Can
ada, Australia, China, USA, UK, Germany, Hungary, Brazil, Italy, France, Luxembo
urg, Switzerland, Malaysia and Korea. Globally the Aditya Birla Group is: • A meta
ls powerhouse, among the world’s most cost-efficient aluminium and copper producer
s. Hindalco, from its fold, is a Fortune 500 Company. It is also the largest alu
minium rolling company and one of the 3 biggest producers of primary aluminium i
n Asia. In India: • A premier branded garments player. • The 2nd largest player in v
iscose filament yarn. • The 2nd largest in the Chlor-alkali sector. • Among the top
5 mobile telephony companies.
Hindalco: It has established been in 1958, Hindalco deals in Aluminium and Coppe
r and is an industry leader in both. Hindalco is the world s largest aluminium r
olling company and one of the biggest producers of primary aluminium in Asia. It
s copper smelter is today the world s largest custom smelter at a single locatio
n. In 2007, Hindalco acquired Novelis and in the process became the world s larg
est aluminium rolling company and one of the biggest producers of primary alumin
ium in Asia, as well as India s leading copper producer. IBSAR Navi Mumbai (sati
shpgoyal@yahoo.co.in) Page 7
Aditya Birla
uvo: Aditya Birla Nuvo is a diversified business conglomerate with interests in
viscose filament yarn (VFY), carbon black, branded garments, fertilizers, textil
es and insulators. Aditya Birla Nuvo, through its subsidiaries and joint venture
s has made forays into life insurance, telecom, business process outsourcing (BP
O), IT services, asset management and other financial services. Ultra Tech Cemen
t: The Groups cement business is under both Grasim and UltraTech cement. Togethe
r the two companies under the group account for a substantial share of the cemen
t market in India. UltraTech cement comprises the erstwhile cement business of L
&T which was acquired by the group.Ultra Tech Cement manufactures and markets Or
dinary Portland Cement, Portland Blast Furnace Slag Cement and Portland Pozzolan
a Cement. It is the country s largest exporter of cement clinker. Its export mar
ket includes countries around the Indian Ocean, Africa, Europe and the Middle Ea
st. GRASIM I DUSTRIES LIMITED is the flagship company of Aditya Birla Group. Gra
sim itself is a multi-product company with cement being the major area of focus.
Now a day the cement division of the Grasim industries Limited works under the
banner of the Ultratech Cement limited (UTCL). In August 1998, Grasim acquired t
he well-known Dharani Cements Ltd situated at Reddipalayam, Perambalur District.
Soon after the acquisition, Grasim embarked on a most prestigious project of on
e million top capacity cement plant at the existing locations.
READY MIX CO CRETE
Page 8
Concrete is a hardened building material created by combining a binder i.e. ceme
nt (commonly Portland cement), aggregate (generally gravel and sand), water and
admixtures. Although people commonly use the word cement as a synonym for concre
te, it is only one of several components in modern concrete. As concrete dries,
it acquires a stone-like consistency that makes it ideal for constructing roads,
bridges, water supply and sewage systems, factories, airports, railroads, water
ways, mass transit systems. Concrete is used more than any other man made materi
al on the planet. It was in 1824, when Joseph Aspdin and Isaac Charles Johnson r
efined synthetic cement that Portland cement came into existence. However, it wa
s not widely used until World War II, when several large docks and bridges were
constructed. Today, different types of concrete are categorized according to the
ir method of installation. Ready or pre-mixed concrete is batched and mixed at a
central plant before it is delivered to a site. This type of concrete is someti
mes transported in an agitator truck and is also known as transit-mixed concrete
. Shrink-mixed concrete is partially mixed at the central plant and its mixing i
s then completed en route to the site. The secret of good concrete lies in the d
egree of quality control and technical parameters of the mix. UltraTech, the Adi
tya Birla Group Company, which makes good concrete better, maintains a high leve
l of precision in its quality assurance procedures and produces world-class conc
rete that comes in a package of highly reliable durability, strength and perform
ance. The making of concrete is a science as well as an art. Science because the
right proportions of all the ingredients as per the standard Bureau of Indian S
tandards (BIS) code assures the desired strength and durability. And an art beca
use it is not just the accurate proportioning which determines the quality of co
ncrete, but the way it is mixed, placed, compacted, cured and protected also pla
y a great role. UltraTech Concrete makes good concrete better because the compan
y takes extra care to make sure it is perfect both ways — proportion wise and hand
ling wise. To ensure quality, each and IBSAR Navi Mumbai (satishpgoyal@yahoo.co.
in) Page 9
every sample of concrete passes through stringent tests in fresh and hardened st
ate to ensure strength, durability and performance. How does UltraTech Concrete
make good concrete better? Right from selecting the raw materials to batching an
d mixing, transportation, placing of concrete till testing of concrete — UltraTech
ensures flawless operation in every stage. Clearly, it s all about putting toge
ther the right ingredients for that perfect recipe. Cement Fresh cement, protect
ed from weathering conditions and influence of external environment such as air,
moisture etc., is an important ingredient of concrete. UltraTech Concrete plant
uses fresh cement directly procured from the cement plants through cement bulke
rs, which in turn pump it directly into the concrete silos thus protecting it fr
om the external environment. Coarse aggregates Coarse aggregates — free from clay,
weeds and other organic materials, cubical or rounded with a combination of dif
ferent sizes and not elongated or flaky — ensure proper strength of the concrete a
nd make it non-porous. These coarse aggregates are a vital ingredient of good co
ncrete. UltraTech Concrete directly sources the aggregates from selected and app
roved suppliers, tested as per BIS for size, shape, gradation, impact value and
crushing value etc. Fine aggregate Sand, the fine aggregate used in concrete mus
t be free from silt, clay, salts and organic materials to prevent shrinkage crac
ks, which affect the concrete quality and durability.
UltraTech Concrete directly purchases sand from selected and approved suppliers
tested for moisture content. To maintain the correct water-cement ratio, UltraTe
ch Concrete plants use moisture sensors and an automatic water correction proced
ure. Water Potable water, free from impurities such as oil, alkalies, acids, sal
ts, sugar, organic materials is IBSAR Navi Mumbai (satishpgoyal@yahoo.co.in) Pag
e 10
ideal for concrete. UltraTech Concrete uses water tested at frequent intervals a
nd uses water purifiers whenever necessary. Admixture Admixtures used in concret
e during mixing ensures its workability (the ease of placing of concrete in moul
ds) and the setting time is carefully chosen from reputed companies. The workabi
lity is measured for every batch through the slump cone and is controlled using
a scientific method of dosing. UltraTech Concrete is equipped with computerized
batching and mixing plants to strictly monitor the quality of the concrete. It u
ses a computerized recipe for the raw mix design (cement : sand : coarse aggrega
te : water : admixture) and quantities of raw materials are weighed automaticall
y as per the design mix. The water-cement ratio, very important to satisfy the s
trength and durability criteria of concrete, is pre-designed through a scientifi
c mix design as per the BIS standards and kept constant throughout to maintain t
he consistency in quality for a particular mix. Mixing is generally done through
high efficiency pan mixers (machine mixers / turbo mixer) to ensure uniform and
consistent quality concrete. Transportation
The transport of concrete from its place of mixing to the delivery point is very
critical, as there is possibility of the concrete drying out and losing its wor
kability and plasticity. UltraTech Concrete transports concrete from its ready m
ix concrete plants to the site through transit mixers. Further, the concrete is
pumped to the actual point of concreting using high efficiency concrete pumps, t
hus maintaining the homogeneity of the concrete throughout the transit till the
final deposition. Placing the concrete is expedited scientifically by specialize
d delivery trucks. Qualified and experienced engineers monitor the entire operat
ion.
Page 11
It is anchored by an extraordinary force of 100,000 employees, belonging to 25 d
ifferent nationalities. In India, the Group has been adjudged “The Best Employer i
n India and among the top 20 in Asia” by the Hewitt-Economic Times and Wall Street
Journal Study 2007. Over 50 per cent of its revenues flow from its overseas ope
rations.
Beyond business — the Aditya Birla Group is:
Working in 3,700 villages
Reaching out to seven million people annually through the Aditya Birla Centre fo
r Community Initiatives and Rural Development, spearheaded by Mrs. Rajashree Bir
la Focusing on: health care, education, sustainable livelihood, infrastructure a
nd espousing social cause. .
Page 12
About Ultratech Cement Ltd
Ultratech Cement Ltd is having its own vision, mission and values. Vision of the
company: To be a premium global conglomerate with a clear focus on each busines
s. Mission of the company: To deliver superior value to the customers, sharehold
ers, employees and society at large. Values of the company: People contribute wh
en they relate to an organization and they relate, when they understand the orga
nization. People understand an organization through its values by experiencing t
he culture that values create and by using the systems and processes that values
define. In large organizations, such shared understanding cannot be created thr
ough leadership of individuals alone; it requires leadership of principles, of b
eliefs, of conviction. Integrity, Commitment, Passion, Seamlessness, Speed. Thes
e together constitute what they call their “Value”.
Page 13
Organizational Chart
RMC Central
Page 14
Head RMC
Head HR
Head Mktg & Sales
Head Tech. Service
Head
Operation
Head
F&C
Head
SCM
Head
Projects
Head Sales
Head Mktg
Head O&M
Head IT
Head Aggregate
Head logistics
IBSAR Navi Mumbai (satishpgoyal@yahoo.co.in) satishpgoyal@yahoo.co.in)
Page 15
RMC HR
Head HR
Recruitment specialist Assistant Poornat a/MIS
Org. Development MS/PM S Training School
Zonal Coordinators North/East/West/South
City HR/IR & Safety
Page 16
Introduction
HR PRACTICES The success of any business depends as much on appropriate, effecti
ve, well-communicated, HR and business practices as it depends on meeting the re
quirements of mandated laws and regulations. In fact, good planning and the deve
lopment of effective practices make regulatory compliance much easier. HR practi
ces helps in increasing the productivity and quality, and to gain the competitiv
e advantage of a workforce strategically aligned with the organization’s goals and
objectives.
KPI s For HR PRACTICES Some of the key performance indicators for Human Resource
s include but are not limited to the following.
• Employees’ clarity on HR policies • Employees’ clarity on roles, responsibilities and
expectations • Development of qualitative staff • Number of HR issues arising for wh
ich there are no clear policies and guidelines • Competitiveness of compensation s
tructure relative to industry benchmark • Usefulness and accuracy of compensation
survey • Lead time to respond to staff welfare issues • Employees’ assessment of promo
tion criteria and process (clarity, fairness) • Measurement of HR policy violation
• Average time required to fill vacancies • Proportion of training programs resulti
ng in productivity improvement • Staff attrition rate • Understanding / Clarity of t
he Organizational philosophy • Outline Internal capabilities and identify gaps on
skills-competencies-behavioral aspects
Page 17
• Prepare HR strategic Objectives and bring in clarity as to how the HR strategy s
upports the organizational strategy • Develop KPI s for each of the strategic obje
ctives. • Track and measure performance
Human Resources Best Practices
The best practices in the management of human resources are the ones which optim
ize a workforce so that it can not only get work done, but also ensure a greater
level of efficiency, timeliness and quality as it accomplishes increases produc
tivity overall. Hence the job of the best practices human resources firm is to m
ake sure that these benefits and pay scales meet the company’s budget while remain
ing attractive and competitive enough to pull in the very best talent possible.
We should know that these figures put the company in a good light while also pre
senting themselves as engaging and competitive for company’s recruitment efforts.
OBJECTIVE OF HR PRACTICES:The main objective of HR Practices is to differentiate
the organization from its competitors by effective and efficient HR Practices.
By following this, the organization does its whole work process. The objective o
f HR Practices is to increase productivity and quality, and to gain the competit
ive advantage of a workforce strategically aligned with the organization’s goals a
nd objectives. As The Transparent HR practices can reduce attrition, BecauseTran
sparent HR practices ensure continuous business growth in every organization. It
gives the suitable working environment to the employees. The success of company
motivates the employees of organization to continue relationship with it. As al
l the employees Perks chart has been mentioned according to their designation in
the HR practices, it helps the employees to know what their perks charts are. S
o it creates a transparency.
Page 18
OBJECTIVE of the PROJECT
As we know the whole function of HR department depends upon the HR Practices of
the organization. The HR management is done according to the HR Practices of the
company. Which things to be done and which things should not be done depend upo
n this only. It also helps the organization to achieve the target of the organiz
ation.
The HR policies of the organization have been mentioned in the HR Practices. All
the rules & regulations for the employees have been also mentioned in this. All
the welfare of the employees’ processes is also mentioned in this.
So the study of the HR Practices means basically the brief study of all HR funct
ions in the organization. I believe the HR Practices is a vital part of an organ
ization, which helps the organization to achieve the goal of the organization.
All companies are having their HR Practices but the company who is having the be
st, is the most successful company among its competitors. So the company can get
success within its competitors by applying best, effective HR Practices.
The main objective of the project is To understand the HR practices followed & P
rocess of Performance Appraisal. To know what are the uses of HR practices for a
ny organization. How these HR Practices help any organization to know its stand
in the market and to be competitive by implementing good HR Practices for their
employees. To understand how the organization would achieve its goals by impleme
nting good HR Practices. To understand the work culture of the organization.
HR function is very important in every organization. It helps the organization t
o manage not only the people of the organization but to manage all the working p
rocesses in it also. HR is IBSAR Navi Mumbai (satishpgoyal@yahoo.co.in) Page 19
management function that helps managers to recruit, select, train and develop me
mbers for an organization. Obviously HR is concerned with the people’s dimensions
in organizations. HR refers to set of programs, functions, and activities design
ed and carried out.
HR practices of ULTRATECH Cement Ltd (RMC Division)
Effective and Efficient HR practices are very much important for every organizat
ion. So, UTCL has also its HR Practices, which helps it a lot to achieve the tar
gets. Human Resource Management initiatives in any Organization endeavor to chan
ge, redefine, revisit, renew, reinvent, revitalize & restructure the Organizatio
n architecture. This is effectively done with the help of alignment & integratio
n of HR policies & strategies with business goal & objectives. Definition of HRM
HRM is concerned with the people dimensions in management. Since every organizat
ion is made up of people, acquiring their services, developing their skills, mot
ivating them to higher levels of performance and ensuring that they continue to
maintain their commitment to the organization are essential for achieving organi
zational objectives. HRM is planning, organizing, directing and controlling of t
he procurement, development, compensation, integration, maintenance and separati
on of human resources to the end so that individual, organizational and social o
bjectives are accomplished.
The HR practices of Ultratech Cement Ltd (RMC Division) are as follows:
Page 20
1. Recruitment and Selection:
RECRUITME TIt is a process to discover the sources of manpower to meet the requi
rements of the staffing schedules and to employ the effective measures for attra
cting that manpower in adequate numbers to facilitate effective selection of an
efficient workforce. Edwin B. Flippo has defined it as “ the process of searching
for prospective employees and stimulating them to apply for jobs in the organiza
tion. “
OBJECTIVES of RECRUITME T
• To attract people with multi-dimensional skills and experiences that suti the pr
esent and future organizational strategies, • To infuse fresh blood at all levels
of the organization, • To develop an organisational culture that attracts competen
t people to the company, • To search for talent globally and not just within the c
ompany, • To design entry pay that competes on quality but not on quantum, • To anti
cipate and find people for positions that do not exists yet.
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PROCESS
• Finding out the requirement (hiring vs. exit), upcoming vacancies, kind of emplo
yees needed. • Developing suitable techniques to attract suitable candidates. • Stim
ulating as many candidates as possible.
FACTORS affecting RECRUITME T
I TER AL FACTORS Employer’s brand Company’s pay package Quality of work life Organis
ation culture Career planning & growth Company’s size Company’s products, services R
ole of trade unions Cost of recruitment Company’s name & fame. EXTER AL FACTORS So
cio-economic factors Supply & Demand factors Employment Rate Labour market condi
tions Political, Legal, Governmental factors
Page 22
SOURCES of RECRUITME T
I TER AL SOURCES Present employees Retired employees Dependent of present Employ
ee Referrals Trade Unions Walk-ins Head Hunting Mergers & Acquisitions E-Recruit
ment
EXTER AL SOURCES Campus Recruitment Private employment consultant Data Banks Cas
ual Applicants
It helps in translating Business Strategy into people requirements. A combinatio
n of internal recruitment, campus recruitment, and executive search is leveraged
to meet up to the changing needs of the organization In today’s rapidly changing
business environment, organizations have to respond quickly to requirements for
people. Hence, it is important to have a well-defined recruitment policy in plac
e, which can be executed effectively to get the best fits for the vacant positio
ns. Selecting the wrong candidate or rejecting the right candidate could turn ou
t to be costly mistakes for the organization.
Page 23
Selection
It is one area where the interference of external factors is minimal. Hence the
HR department can use its discretion in framing its selection policy and using v
arious selection tools for the best result. Recruitment of staff should be prece
ded by: An analysis of the job to be done (i.e. an analytical study of the tasks
to be performed to determine their essential factors) written into a job descri
ption so that the selectors know what physical and mental characteristics applic
ants must possess, what qualities and attitudes are desirable and what character
istics are a decided disadvantage.
Effectively, selection is buying an employee (the price being the wage or sala
ry multiplied by probable years of service) hence bad buys can be very expensive
. For that reason some firms (and some firms for particular jobs) use external e
xpert consultants for recruitment and selection.
Equally some small organizations exist to head hunt , i.e. to attract staff wit
h high reputations from existing employers to the recruiting employer. However,
the cost of poor selection is such that, even for the mundane day-to-day jobs,
those who recruit and select should be well trained to judge the suitability of
applicants. Outsourcing is also done through consultancies by mentioning the re
quirement, number and time.
Where the organization does its own printed advertising it is useful if it has s
ome identifying logo as its trade mark for rapid attraction and it must take car
e not to offend the sex, race, etc. antidiscrimination legislation either direct
ly or indirectly. The form on which the applicant is to apply (personal appearan
ce, letter of application, completion of a form) will vary according to the post
s vacant and numbers to be recruited.
Interviewing can be carried out by individuals (e.g. supervisor or departmental
manager), by panels of interviewers or in the form of sequential interviews by d
ifferent experts and can vary
Page 24
from a five minute chat to a process of several days. Ultimately personal skil
ls in judgment are probably the most important.
Training in interviewing and in appraising candidates is clearly essential to go
od recruitment. Largely the former consists of teaching interviewers how to draw
out the interviewee and the latter how to rate the candidates. For consistency
(and as an aid to checking that) rating often consists of scoring candidates for
experience, knowledge, physical/mental capabilities, intellectual levels, motiv
ation, prospective potential, leadership abilities etc. (according to the needs
of the post). Application of the normal curve of distribution to scoring elimina
tes freak judgments
The Recruitment Process of UTCL-
The recruitment process of UTCL Cement Ltd starts from the requirement of differ
ent departments as per to the org chart. Then they tell to the HR Department. HR
Department takes the candidates IBSAR Navi Mumbai (satishpgoyal@yahoo.co.in) Pa
ge 25
from Data bank of company, Poornata etc, then does the short-listing, then does
the scheduling for the interview. After this the selection and negotiation proce
ss occurs. Then offer letter is been given to the selected candidate. The employ
ee then joins in the organization. Then the company arranges the Induction Progr
am for the employee. After this the recruitment process ends with this.
The Chart of Recruitment & Selection Process has been given here.
HOD
Requisition for Vacancy to be as per Org Chart HR 1. Data bank 2. Req Agency 3.
Poornata E D Scheduling the interview Induction Joining Offer Letter Selection &
egotiation Short Listing
Page 26
2. Performance Management System
It is a structured method of formally and objectively evaluating employees’ perfor
mance with respect to their objectives. It addresses the issue of an employee’s de
velopment by providing them with structured and in-depth analysis of strengths a
nd areas of improvement. It provides with input for annual increments, training
and development. For an organization the aim should not be just to have the best
people, but also to retain them and get best out of them. Employee Performance
management includes planning work and setting expectations, developing the capac
ity to perform, continuously monitoring performance and evaluating it.
Most organizations focus on an annual evaluation process for employees and call
that Performance Management. However, annual evaluations are often subjective an
d can lack specific measurements and supportive data to help the employee truly
improve their behavior.
Simply putting, a Performance Management System is essential to the success of a
ny organization because it influences the effort expended by employees, which in
turn, drives bottom-line business results. Furthermore, the Performance Managem
ent System helps an organization identify, recruit, motivate, and retain key emp
loyees.
An effective Performance Management System should achieve the following: Review
the employment cycle of every employee, Beginning with the recruiting process, E
mployee development, Ending with effective exit interviews. Employee’s knowledge,
skills, and abilities with the organization s human capital needs and business o
bjectives.
Provide managers and employees with the tools necessary to focus on short-term a
nd long-term goals that contribute to both career and organizational success. IB
SAR Navi Mumbai (satishpgoyal@yahoo.co.in) Page 27
Support the organization in developing and sustaining a culture that recognizes
and rewards individual contributions and team performance. Promote a work climat
e that requires employees to remain flexibly focused. For instance, employees ca
n manage current tasks and unit goals while keeping pace with, and adapting to,
change in the work environment. HR Performance Management System can be performe
d in three steps: Needs Analysis Identifying Competencies Development of effecti
ve Performance Management System.
PURPOSE For Administration• • • • • • • • Document HR decisions with regards to performance
s related issues. Determine promotion of employees. Determine increment in pay o
f employees. Determine transfer & change in job assignments. Determine retention
or termination. Decide on layoffs. Decide need for training Decide salary & rel
ated issues.
For Development• Provide performance feedback to all concerned. • Identify individua
l skills, core competencies, strength & weaknesses. • Assist employees in setting
goals. • Identify training needs. • Improve communication.
Page 28
Method employed • Rating & Contribution Management by Objectives (MBO)-
•
Advanced by Peter F. Drucker, way back in 1954. During last decade about 50 orga
nisations have adopted MBO in work settings. MBO is a process whereby superior &
subordinate managers of an organization jointly identify its common goals, defi
ne each individual’s major areas of responsibilities in terms of results expected
of him & use these measures of guides for operating the unit & assessing the con
tribution of its members. The MBO focuses attention on participatively set goals
that are tangible, verifiable & measurable. The superior & subordinates jointly
determine goals to be considered during appraisal period & what level of perfor
mance is necessary for subordinates to satisfactorily achieve specific goals. Du
ring performance appraisal period the superior & subordinates update & alter goa
ls as necessary due to changes in business environment. If not achieved identify
reasons for deviation.
SYSTEM of Performance Appraisal – a) b) c) d) e) f) g) Establish Performance Stand
ard. Communicate standard & expectation to employees. Measure actual performance
, by following instructions. Adjust actual performance due to environment influe
nce. Compare actual performance with set standards & find out deviations. Sugges
t changes in job analysis & standards if necessary. Follow up.
Page 29
PROBLEMS• Rating biases• Halo effect • Error of central tendency. • Personal Prejudice. •
Recency effect.
Mainly the performance management of UTCL is done by online system includes the
following basic processes 1. 2. 3. Annual goal setting Mid year review Annual pe
rformance review
Page 30
1.Annual goal setting –
In the month of April/May every year, after the annual planning and budgeting ro
unds, all teams identify their KRA’s and goals for the forthcoming financial year.
This process occurs by offline. Then the employees fill their goal setting docu
ment in the Poornata system, listing the KRA’s, Goals, Measurement Criteria, Assig
ning Weightage and due date for completion of specific goals as already discusse
d offline. Then they notify the same to their manager/immediate supervisor and a
wait approval. The manager recommends any changes if required or else approves t
he goals set in the document. The approval of the goals set by the managers comp
letes the goal setting process. The approved documents will be then available to
the employees as well as their managers for the reference throughout the year.
These documents can also be viewed by manager’s manager (Reviewer) for their indir
ect subordinates.
Page 31
2. Mid Year Review: Mid year review of goals set at the beginning of the financi
al year held on the months of October/November every year. The mid year review g
enerally initiated by the manager. The main focus of the mid year review is to c
heck if the goals set at the beginning of the year are relevant or if they need
to be revised or updated. The mid year review is also an opportunity for the man
ager and his team members to identify and discuss about any performance issues a
nd initiate corrective action for the same. The mid year review does not entail
any ratings.
3. Annual Performance review: The annual performance reviews against goals set a
nd achieved held during the months of AprilMay every year. The employee complete
s his self-review /appraisal against goals set, online in the Poornata system an
d submits the same to his manager for review. The manager then discuss the perfo
rmance of the employee with him/her off-line, give him feedback on his performan
ce and capture his own comments and performance ratings against goals and overal
l ratings in the manager’s evaluation form. The manager also discusses the employe
e’s performance as well as rating with the manager’s manager (reviewer) and sends th
e document to the HR department for further processing.
Page 32
3. Training and Development
The needs of individual are objectively identified & necessary interventions are
planned for identified groups, which get rolled out in a phased manner through
training calendar. The training and development program is charted out to cover
the number of trainees, existing staff etc. The programs also cover the identifi
cation of resource personnel for conducting development program, frequency of tr
aining and development programs and budget allocation. Training and development
programs can also be designed depending upon job requirement and analysis. Selec
tion of trainees is also facilitated by job analysis. The company has a strong f
ocus on manpower training according to their requirements. The internal training
department aims at improving the skill sets relevant to the work profile of emp
loyees. • This includes improving communication • Different skills • E-mail programmin
g • Operation systems. The design of the training program can be undertaken only w
hen a clear training objective has been produced. The training objective clears
what goal has to be achieved by the end of training program i.e. what the traine
es are expected to be able to do at the end of their training. Training objectiv
es assist trainers to design the training program.
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Training DesignThe trainer – Before starting a training program, a trainer analyze
s his technical, interpersonal, judgmental skills in order to deliver quality co
ntent to trainers. The trainees – A good training design requires close scrutiny o
f the trainees and their profiles. Age, experience, needs and expectations of th
e trainees are some of the important factors that affect training design. Traini
ng climate – A good training climate comprises of ambience, tone, feelings, positi
ve perception for training program, etc.
Trainees’ learning style – The learning style, age, experience, educational backgrou
nd of trainees must be kept in mind in order to get the right pitch to the desig
n of the program.
Training strategies – Once the training objective has been identified, the trainer
translates it into specific training areas and modules. The trainer prepares th
e priority list of about what must be included, what could be included.
Training topics – After formulating a strategy, trainer decides upon the content t
o be delivered. Trainers break the content into headings, topics and ad modules.
These topics and modules are then classified into information, knowledge, skill
s, and attitudes.
Sequence the contents – Contents are then sequenced in a following manner: • From si
mple to complex • Topics are arranged in terms of their relative importance • From k
nown to unknown • From specific to general • Dependent relationship
Training tactics – Once the objectives and the strategy of the training program be
comes clear, trainer comes in the position to select most appropriate tactics or
methods or techniques. The method selection depends on the following factors: I
BSAR Navi Mumbai (satishpgoyal@yahoo.co.in) Page 34
• Trainees’ background • Time allocated • Style preference of trainer • Level of competenc
e of trainer • Availability of facilities and resources, etc lities
Improve performance
Page 35
“Training & Development is any attempt to improve current or future employee perfo
rmance by increasing an employee’s ability to perform through learning, usually by
changing the employee’s attitude or increasing his or her skills and knowledge.”
MEA I G OF TRAI I G & DEVELOPME T ACCORDI G TO UTCL: The need for Training and D
evelopment is determined by the employee’s performance deficiency, computed as fol
lows. Training & Development Need = Standard Performance – Actual Performance
Training: Training refers to the process of imparting specific skills. An employ
ee undergoing training is presumed to have had some formal education. No trainin
g program is complete without an element of education. Hence we can say that Tra
ining is offered to operatives.
Development: Development means those learning opportunities designed to help emp
loyees to grow. Development is not primarily skills oriented. Instead it provide
s the general knowledge and attitudes, which will be helpful to employers in hig
her positions. Efforts towards development often depend on personal drive and am
bition. Development activities such as those supplied by management development
programs are generally voluntary in nature. Development provides knowledge about
business environment, management principles and techniques, human relations, sp
ecific industry analysis and the like is useful for better management of a compa
ny.
The Training Inputs are • Skills • Education • Development • Ethics • Problem Solving Skil
ls • Decision Making • Attitudinal Changes IBSAR Navi Mumbai (satishpgoyal@yahoo.co.
in) Page 36
Importance of Training & Development
• Helps remove performance deficiencies in employees • Greater stability, flexibilit
y and capacity for growth in an organization • Accidents, scraps and damages to ma
chinery can be avoided • Serves as effective source of recruitment • It is an invest
ment in HR with a promise of better returns in future • Reduces dissatisfaction, a
bsenteeism, complaints and turnover of employees
eeds of Training
Individual level • Diagnosis of present problems and future challenges • Improve ind
ividual performance or fix up performance deficiency • Improve skills or knowledge
or any other problem • To anticipate future skill-needs and prepare employee to h
andle more challenging tasks • To prepare for possible job transfers
Training given on
• Safety aspects • Behavorial aspects • Technical aspects • Communication skills
Page 37
Identification of Training eeds (Methods)
Individual Training Needs Identification
1. 2. 3. 4. 5. 6. 7.
Performance Appraisals Interviews Questionnaires Attitude Surveys Training Progr
ess Feedback Work Sampling Rating Scales
Group Level Training eeds Identification
1. 2. 3. 4. 5. 6. 7. 8. 9. Organizational Goals and Objectives Personnel / Skill
s Inventories Organizational Climate Indices Efficiency Indices Exit Interviews
MBO / Work Planning Systems Quality Circles Customer Satisfaction Survey Analysi
s of Current and Anticipated Changes
Benefits of Training eeds Identification
1. 2. 3. 4. Trainers can be informed about the broader needs in advance Trainers
Perception Gaps can be reduced between employees and their supervisors Trainers
can design course inputs closer to the specific needs of the participants Diagn
osis of causes of performance deficiencies can be done.
Page 38
5. Talent Management
It is a holistic and systematic process, across the group. It is built on the wo
rk done so far on people processes, and has a Talent Identification and Talent D
evelopment Strategy for all the 3 levels of management i.e. Senior, Middle & Jun
ior Management. This is facilitated by Development Assessment Center followed by
Individual Development Plan, enabling planned succession and career management.
The talent management process includes HR process for • Recruitment, • Performance,
• Compensation, • Succession planning, • Learning and other capabilities around self-
service, • Analytics
Page 39
• Reporting. With businesses going global and competition becoming intense, there
is mounting pressure on organizations to deliver more and better than before. Or
ganizations therefore need to be able to develop and deploy people who can artic
ulate the passion and vision of the organization and make teams with the energy
to perform at much higher levels. Talent management is a key business process an
d like any business process takes inputs and generates output. Talent management
is a professional term that gained popularity in the late 1990s. It refers to t
he process of developing and fostering new workers through onboarding, developin
g and keeping current workers and attracting highly skilled workers to work for
your company. Talent management in this context does not refer to the management
of entertainers. Companies that are engaged in talent management (human capital
management) are strategic and deliberate in how they source, attract, select, t
rain, develop, promote, and move employees through the organization. This term a
lso incorporates how companies drive performance at the individual level (perfor
mance management). The term talent management means different things to differen
t people. • To some it is about the management of high-worth individuals or “the tal
ented”. • To others it is about how talent is managed generally - i.e. on the assump
tion that all people have talent which should be identified and liberated. Talen
t management decisions are often driven by a set of organizational core competen
cies as well as position-specific competencies. The competency set may include k
nowledge, skills, experience, and personal traits (demonstrated through defined
behaviors)
Page 40
5. Job Analysis & Evaluation
It is broadly categorized in two parts. Job Analysis is a process to understand
the job, identify and disaggregate the activities, competencies and accountabili
ties associated with the job. It defines and clusters the task required to perfo
rm the job. It also clarifies boundaries between jobs. The output of Job Analysi
s exercise is referred to as job description.
.
Page 41
STEPS (Process of Collecting Information) “Job Analysis is a process of studying a
nd collecting information relating to operations and responsibilities of a speci
fic job. The immediate products of this analysis are ‘Job Description’ and ‘Job Specif
ications’.” (S ystematic Exploration of Activities) “Job Analysis is a systematic expl
oration of activities within a job. It is a basic technical procedure that is us
ed to define duties and responsibilities and accountabilities of the job.” (Identi
fying Job Requirements) “Job is a collection of tasks that can be performed by a s
ingle employee to contribute to the production of some product or service, provi
ded by the organization. Each job has certain ability requirements (as well as c
ertain rewards) associated with it. Job Analysis is a process used to identify t
hese requirements.” Each job is a unique description of a role that a person can h
old in an organization or required to be performed for the business benefit of t
hat organization. When jobs are created, their tasks and requirements are taken
into consideration. Jobs are used in the following components: • Job and Position
Description • Shift Planning • Personnel Cost Planning • Career and Succession Plannin
g Note: Job descriptions should be as general as possible and as detailed as nec
essary.
Page 42
JOBS
Jobs
Jobs are general classifications of tasks performed by employees Examples : Head
of Department Buyer Secretary
Secretary
Buyer
Head of Department

Page 43
Positions
Positions
Positions are the concrete representation of jobs. They are held by individuals
at your enterprise.
Positions are specific to your enterprise More than one position can be based on
the same job Each position typically represents one employee, but may be partia
lly filled by more than one
Job: Head of Dept.
Position: HOD : Purchasing Position: HOD : Sales
Position: HOD : HR
Page 44
Once you have created a job, define the number of positions required the enterpr
ise. Jobs are not staffed by employees. That is the role of positions. If more t
han one person must perform jobs, more than one position must be created to meet
this requirement. A position inherits the job’s tasks, and can also be assigned i
ts own additional tasks. Positions can be 100% staffed, partially staffed, or va
cant. When we define a position as vacant, the system prompts us to define the p
eriod for which the position will be vacant There will be a central authority th
at will be designated to declare vacancies and make them available for Recruitme
nt (both internal and external). Positions can fall vacant due to reassignment o
r Separation as well. Such positions become unoccupied and not vacant. Vacancy i
s thus a declared feature for a position. A chief position is a position designa
ted as the leader of a particular organizational unit.
By matching the requirements of a position and the qualifications of the employe
es, we will be able to do career planning for employees and succession planning
for positions. A profile matching reports can also be run to review the results
of how an existing employee or an applicant fares against the requirements of a
position.
Page 45
6. Organizational Structure
Using the basic object types – constructs of relationships is built to mirror the
business edifices and processes. By assigning object characteristics, validation
s, requirements etc, we can capture
complex organizational realities with relative ease.
Process Flow:
• Before creating all of the other necessary objects and relationships, the user m
ust first create a root organizational unit. Once one organizational unit has be
en created, it is recommended to l create the appropriate organizational units b
elow it. • Jobs may be created after an organizational unit exists in the model. • Y
ou can assign cost centers to organizational units and Positions.
Page 46
Inputs: Organization chart • Root org unit • Additional Org units • Jobs if Required • P
ositions • Details to where the positions need to be mapped. • Position Details like
Position Type, Position Sub Type, Department, and Sub department. Every organiz
ation has its organizational structure. According to this every employee has som
e specific work. The work also depends upon their levels. As per their levels in
different departments they will have to do their work.
In RMC business, there are different departments so as to organize the work effi
ciently and effectively. These are: • HR • Marketing • Technical • Commercial and Accoun
ts • IT • Key Accounts • CRM • Quality As for different departments different works has
been specified for the different levels of people. It helps them to perform thei
r work, which has been specified to him. For similar jobs also the work of the e
mployees’ has been structured properly, to avoid the repetition of the work with t
he other employees. It helps in decrease the overlapping of the work.
Page 47
To manage the different levels of work the employees have been separated in to d
ifferent designations and different depts. According to their area of specializa
tion. The designations which have been given to the employees are based on the s
kills they have, grades, knowledge, varying experiences. These designations have
been specified as per the standard HR Practices of the organizations, so as to
make the organization different from other organizations. In this way the organi
zation stands in a better position than its competitors in the competitive busin
ess.
Page 48
The different designations given to the employees in UTCL (RMC Division) are giv
en in the following table.
Designation (s) Jt. President /Jt. Exc. President Sr. Vice President Vice Presid
ent Asst. Vice President Sr. General Manager / General Manager Dy. General Manag
er Sr. Manager Manager Dy. Manager Asst. Manager Sr. Engr. /Sr. Officer Engineer
/ Officer Asst. Engr. / Asst. Officer Jr. Engr. /Jr. Officer Sr. Supervisor Sup
ervisor Support Staff
Page 49
7. Human Resource Information System
POORNATA, an ERP (People soft) implementation of Human Resource practices has be
en introduced in UTCL to elevate HR processes to world class levels and standard
ize them across Units and Businesses. This has resulted in single integrated HR-
ERP for all management cadre employees of the group. These automated HR Processe
s will also aid in faster, efficient, timely and accurate data availability to M
anagement for decision-making. UTCL’s People Soft Enterprise Performance Managemen
t (EPM) enables it to achieve world-class performance by aligning the right info
rmation and resources to strategic objectives. People Soft EPM offers performanc
e management solutions for every budget and every phase of the management cycle,
helping its managers to formulate strategies for profitable growth, align strat
egies with operational plans, and actively monitor day-to-day operations. Poorna
ta helps a lot in the different works of the organization. It helps in the follo
wing ways • It helps in entry of all the database of all the employees. • It reduces
time to note all the databases of the employees. • It reduces different mistakes
or errors while maintaining the databases • It helps in doing performance appraisa
l of the employees. • It also helps in doing the data updation of the employees. • I
t helps in recruitment and selection of the employees • It reduces the time of the
work • It also reduces the no of employees for maintaining the database. • It helps
in maintaining the job description of employees. • It records the compensation de
tails for the employee.
Poornata also helps the employees in this way, IBSAR Navi Mumbai (satishpgoyal@y
ahoo.co.in) Page 50
Once the data of an employee entered in to Poornata (ERP), the employee gets a P
oornata ID, which helps the employees to know about the different policies of Or
ganization. They can know these policies directly from the ERP system. As it don
e only through Online, there is no delay in getting different infomations. It al
so helps them to do the reporting to the concerned person. They can also fill th
eir problems which they face during their work and send to their departments. In
this way Poornata helps not only the managers but the employees also. Poornata
(ERP) helps UTCL in the following ways Poornata helps in performing day to day r
oles. Introduction – Poornata helps in creating and updating of the positions of t
he employees. Each position will correspond to specific vacancy in the organizat
ion, have a specific headcount defined for it and is also tied to the following
specific attributes: • Business unit • Department • Company • Job code • Location • Regulat
ry Region • Job Function • Reporting to position (The position to which this particu
lar position reports to) • Career stages Every time one or more of the above attri
butes change, the same have to be updated for the position, or a new position ma
y need to be created corresponding to the new combination of the attributes. IBS
AR Navi Mumbai (satishpgoyal@yahoo.co.in) Page 51
Any individual who occupies a position will inherit the above-mentioned attribut
es of the position. A position is thus specific and particular opening in the or
ganization, as opposed to job codes, which are more generic in nature. Job codes
reflect the job points of the jobs across the organization, whereas a position
number reflects a specific job description in the organization. • Poornata helps a
nd gives hints and warns the user the important information he must know about t
he Poornata system. • It provides the additional information to assist the user &
provide key information. • It also tells the frequently asked questions with respe
ct to hiring employees. • It also shows the common error and warning messages that
the user may get at the time of hiring. It needs the information about regardin
g these: Employee ID, Position Number, Job code (the job points of the employee)
, Company (The legal entity to which an employee /department is attached.), The
Business unit to which the employee belongs to, Location (i.e. where the employe
e works), Department etc. Following are the steps that will be used to maintain
positions and department budgets • Creating new positions • Updating the information
for existing positions as and when required 1. Creating a new position A positi
on corresponds to a specific vacancy in the organization. Hence a position shoul
d be created in Poornata, only when a new vacancy has arisen in the organization
, and the approval for the same has been obtained offline. Only after the offlin
e approval has been obtained, should the position be created in the system, i.e.
only pre-approved positions should be entered in to the system. 2. Updating The
information for existing positions
Page 52
From time to time the user should update the information for an existing positio
n. Typical situations are when: • The position attributes or the approved max head
count for the position has changed. • The position no longer exists. • Organizationa
l Restructuring. Direct Hire Process: It helps in doing the directly hiring an e
mployee by Poornata system. Introduction: The direct hiring process involves an
employee being directly added to the Poornata system that is the situation where
his information doesn’t exits as applicant in the Poornata system. An employee on
joining the group would fill up the joining check list and the related forms as
per the unit policy. The HR administrator would then hire him into the system b
y capturing his relevant information with respect to his personal job compensati
on, qualifications and dependents’ information. The hire action will be used to ca
pture the event of the employee’s joining the organization. There can be either of
two reasons for hire: • Joining the ABG: This will reflect the situation where an
employee joins a unit of the ABG group directly. • Joining the acquired company:
This will reflect the situation where an employee had joined an organization, wh
ich was subsequently acquired by ABG. Going forward the action of joining the ac
quired company will be used to enter the data of those employees from the non-ma
nagement cadre moving into the management cadre who had originally joined a comp
any that was acquired by ABG. The following information would be captured at the
time of hiring the employee.
Page 53
• Personal information – Name, address, NIN, DOB, gender marital status, religion /
caste. • Job related information related to hiring, his position a related details
. • Compensation information with respect to the break of his CTC Recording person
al actions for an employee Introduction: Post hiring as the employee moves throu
gh the organization, there would be various kinds of updation in the employee da
ta. Broadly the processes that an employee could move through in the course of h
is life cycle in the organization comprise: • Probation, followed by confirmation.
• Promotion • Pay rate change • Transfer • Resignation • Termination • Separation /Retirem
nt
Page 54
8. Compensation Philosophy of the companyIt is an outcome of what the Organizati
on would like to pay for, which is determined by external and internal factors.
All the processes are aligned to reinforce the philosophy. The company views com
pensation not only as something that reflects on the pay slip or in the CTC (Cos
t To Company) but also they are concerned about overall employee well being thou
gh they may not put any monetary value on items like Scholarships, Club membersh
ip, Retirement benefit, Health and Accident coverage. The Group’s approach towards
various aspects of compensation focuses on: • Pay for performance (Variable Pay)
Rewards stretch performance which is linked to business, team and individual res
ults • Compensation increase Pay for the job Internal equity based on contribution
to the organization • External benchmarking Relevant industry segment and people
market Parameters beyond compensation: head count/ level/ reporting Individual p
rofile and performance To be market aware, not blindly follow market practices • C
ompensation structure Tax efficient but compliant Common perk structure but vary
ing amount
Page 55
Three major terms used in the company’s compensation: 1. Fixed Cost: It is the fix
ed component of the salary that is committed to an employee and is paid on month
ly / annual basis. This includes base salary, all perks and reimbursements and r
etrials such as PF, Gratuity and Superannuation. 2. Variable Pay: This is the va
riable component, payout of which is contingent on Business, Unit/Zone and Indiv
idual performance. Targets for the year will be fixed and communicated at the be
ginning of every performance year 3. Cost to Company: This is a sum of Fixed Cos
t and Variable Pay. CTC is decided based on designation, qualification and exper
ience. Basic is around 42% of fixed cost without housing. Perks and allowances a
re fixed as per the designations. Variable pay based on job band is payable at 1
8%, 15% and 12% of fixed cost without housing. Balance amount is paid as special
allowance.
Page 56
9. EXIT I TERVIEWS
An exit interview is simply a conversation between a departing employee (who is
leaving the company either voluntarily or involuntarily) and a representative fr
om the organization. The interview can follow a structured format or be conducte
d on an informal basis; written questionnaires can even be used in place of a fa
ce-to-face meeting. Whichever format is used, exit interviews are generally docu
mented. Traditionally, exit interviews are conducted with employees leaving an o
rganization. The purpose of the interview is to provide feedback on why employee
s are leaving, what they liked or didn’t like about their employment and what area
s of the organization they feel need improvement. Exit interviews are one of the
most widely used methods of gathering employee feedback, along with employee sa
tisfaction surveys. Benefits of Exit Interview Exit interviews can be a win-win
situation for both the organization and the leaver. The organization gets to ret
ain a portion of the leaver’s knowledge and make it available to others, while the
leaver gets to articulate their unique contributions to the organization and to
‘leave their mark’. Exit interviews offer a fleeting opportunity to find out inform
ation that otherwise might be more difficult or impossible to obtain. The exit i
nterview is an important learning tool for employers. When properly conducted, t
he interview provides the employer with the opportunity to: • Discuss and clarify
the reasons for the termination • Clarify pay and benefits issues (e.g., receipt o
f the last paycheck, the amount of unused vacation, conversion or continuation o
f benefits, terms of a severance package, unemployment insurance, etc.) • Explain
company policies relating to departing employees (e.g., trade secret confidentia
lity, restrictive covenants or non-compete agreements, the possibility of future
re-employment, freelance or contract work, the provision of references to prosp
ective employers, etc.) IBSAR Navi Mumbai (satishpgoyal@yahoo.co.in) Page 57
• Ensure the return of keys, security cards, and company property • Obtain informati
on about improper or questionable management practices connected with the employ
ee s termination • Obtain information about a supervisor s management skills • Obtai
n information about how effectively a department operates • Obtain feedback about
employees opinions and attitudes about the company • Resolve or defuse any remain
ing disputes with the exiting employee • Protect itself against subsequent charges
that the employee was forced to resign (i.e., constructive discharge) UTCL is d
oing this interview. Because it knows “Learn of potential changes in policies and
practices that may make the company more competitive (e.g., compensation and ben
efits packages, flexible work arrangements).
Page 58
EXPOSURE TO OTHER KEY HR OPERATIO S
• Approval of loans. • Expense related issues. • Clearance certificates. • Local conveya
nce. • Exit interview form. • Application form. • Joining formalities. • Making joining
letters. • Maintaining personal files with updated details. • Verifying Mediclaims.
Page 59
Comparison of HR Practices With the MASLOW’S theory-
I
Self-Esteem
Self Actualization
Belongingness & Love
Safety eeds
Physiological eeds
MASLOW’S EED HIERACHY THEORY
Explanation:According to Maslow “Human beings have wants & desires which can influ
ence their behavior. Only unsatisfied needs can influence behavior, satisfied ne
eds do not act as motivators. Since needs are many, they are arranged in the ord
er of their importance, or hierarchy from the basic to complex.”
Page 60
Physiological eeds The most basic, powerful & obvious of all human needs is the
need for physical survival. Included in this group are the needs for food, drink
, sleep, protection from extreme temperature etc. That means the basic needs.
In UTCL physiological needs are represented by Employees’ concern for salary Basic
working conditions. E.g.-In workers level it is providing the basic needs (e.g.
through wages), which are required for them. It gives all hygienic factors to t
he workers (better working environment). It’s also providing uniforms & shoes, so
that they will get satisfied at their working place and get motivated to work ef
ficiently. It’s not only providing the physiological needs at working level but at
employees’ level also.
Safety eedsOnce physiological needs are met, another set of motives, called safe
ty or security needs, become motivators. The primary motivating force here is to
ensure a reasonable degree of continuity, order, structure, & predictability in
one’s environment.
In UTCL security needs means the factors like Job security, Salary increments, S
afe working conditions etc. It also satisfy the safety needs of employees includ
e Group insurance, Provident fund, gratuity, IBSAR Navi Mumbai (satishpgoyal@yah
oo.co.in) Page 61
Safe working conditions, Grievance procedure, System of seniority to govern lay-
off etc. It’s definitely provides job securities to its employees because once emp
loyee get in to the organization, the chances of retrenchment is very less till
the employee has not done any thing misconduct. Because of these reasons employe
es can satisfy their safety needs. That is the reason for low attrition in the o
rganization.
Belonging & Love eeds The belonging & Love needs constitute the third level in t
he hierarchy of needs. These needs arise when physiological & safety needs are s
atisfied.
In UTCL the work groups are very co-operative. There present the peer acceptance
, Professional friendship & Friendly supervision in the organization. Here the m
anagers also encourage informal group.
So there is completely a friendly working environment. That’s why employees are ve
ry friendly.
Self-Esteem eedsNext in Maslow’s hierarchy is esteem or egoistic needs.
In the work place of UTCL, self-esteem needs are; Job title, merit pay, Peer/sup
ervisory recognition, Challenging works, Responsibility etc. The Group fulfils t
hese needs by giving Challenging work assignments, IBSAR Navi Mumbai (satishpgoy
al@yahoo.co.in) Page 62
Performance appraisals, Performance recognition, Involving employees in goal set
ting & decision making. In this way UTCL satisfies the self-esteem needs of empl
oyees.
Self-Actualization eedsFinally if all the above four levels’ needs are satisfied,
the needs for self-actualization comes. The employees who are in the highest pos
ition in UTCL are comes under these needs like: 1.V.P., 2.President, 3.GM etc. 4
.All top level employees. They are getting all types of facilities like mobile,
medical, education, conveyance allowances etc.So they are in the position that t
hey are satisfied with all the needs. Now they are helping their juniors for the
betterment of the organization. All the five needs of Maslow’s hierarchy are fulf
illed by UTCL. So the employees are getting motivated and performing efficiently
in the organization, which impacts directly on the success of UTCL group. That’s
why the attrition rate is less in the organization, which is one of the reason f
or the success of the companies.
Page 63
KEY LEAR I GS FROM THE PROJECT
• Firstly it was a very good experience to work and learn with a world class for t
wo months as it was my first step into the corporate world. • When I saw my senior
people doing each & every kind of work I came to know how much important is eac
h & every work. Maintaining files in systematic manner with each & every detail
is very important, if not done it hinders the work whenever these are required f
or reference in medical claim formalities, appraisal etc. • As I worked with the e
mployees of HR department in the organization during the project they shared the
ir experience and learnings with me, which was a very good opportunity I got dur
ing my project. • I learned different HR Policies of the organization which were u
nknown to me before entering to the corporate world. • I also learned how much the
values and culture of the organization impacts the employees productivity. Like
here the Seniors were approachable in nature, I felt an open culture. • Many a ti
mes I felt people are not open to new ideas and they are resistant to change. • I
have gained some learning from every individual working here; it might be in ter
ms of knowledge, skills, behavior or personal traits etc. • I have learned many sm
all, minute things by observations, being in the HR department for 2 months, whi
ch could not be learnt simply by reading books theoretically. The practical expe
rience was totally different. • I have also learnt that a HR person should be very
polite, soft spoken & good in handling people. Co-ordination with all departmen
ts is very necessary especially with Finance Department.
Page 64
OBSERVATIO S A D FI DI GS
During the study of the project I observed different functions of the HR Departm
ent. I got the knowledge about the different types of HR Policies functioning in
the organization. I also got knowledge about how the organization is following
their values in a very sincere way. I learnt how and what types of facilities ar
e being provided to the employees . I also observed how they are doing the Perfo
rmance Appraisal on basis of the achievement of the targets by the employees in
the time given to them through ERP. I got the knowledge about different departme
nts in a manufacturing company and idea about the challenges what the employees
are facing while performing their work. As I worked on the ERP system of the org
anization, I came to know that how they are maintaining the database of the empl
oyees for all departments region-wise & its importance. They emphasis on providi
ng proper working environment to their employees, so that the employees can work
efficiently & smoothly .
Page 65
RECOMME DATIO S
•
The company should give the compensation as per to the skills, so that the emplo
yees could do the efficient work.
•
Organizations must enhance work force motivation to improve productivity. Worker
s must be encouraged and motivated to develop a customer satisfaction mind set.
•
Organizations need to empower their workers by allowing them greater autonomy an
d control and to design jobs that are more stimulating. This will enhance the pe
rsonal productivity.
•
Interdependency of different departments should be well studied, co-ordinated fo
r effective output.
•
Training schedule is worked out well here with proper planning schedule. Recruit
ment proper planned, structured according to openings in plant, new vacancies.
•
Goal Setting programs undertaken with schedule to find potential prospective emp
loyees for higher posts, giving training, discussing the on job responsibilities
.
•
The employee goals are well studied and structured. The Key Related Areas are pr
operly designed & clearly mentioned to employees.
Page 66
OME CLATURE A D ABBRIVIATIO
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. UTCL: - Ultratech Cement Ltd. VSF: - Viscose
Staple Fibre. KPI: - Key Performance Indicator. VFY: - Viscose Filament Yarn. RM
C: - Ready Mix Concrete. OYOCS: - Own Your Own Car Scheme. CRM: - Cement Researc
h Management. EPM: - Enterprise Performance Management. ERP: - Enterprise Resour
ce Planning. HRA: - House Rent Allowance. LTA: - Leave Travel Assistance
Page 67
LIMITATIO S
During the project there were various constraints, which were faced. The review
is done in retrospect and is an average of six months old, so recollection of ev
ents is poor . The opinions of staff and manager are often in opposition, causin
g 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 Man
ager giving their opinion and the staff member having to defend the position, ra
ther than a positive discussion . The process is usually done in a rushed manner
to meet a budget development process and therefore loses its relevance to perfo
rmance . Results of merit rating are not accurate unless factors in the assessme
nt are relevant. Sometimes,proper weightage may not be given to different qualit
ies to be rated. Actual rating of subjective factors like initiative & personali
ty of employees may not be on scientific lines. Superior may be biased. Method o
f Appraisal unreliable.
Page 68
BIBILIOGRAPHY:
References:
Websites:
www.adityabirla.com www.bizhrguide.com www.grasim.com
Text Books:
STEPHE S ROBBI S C.B.MAMORIA & S.V.GA KAR Personnel Management Himalaya Publicat
ion
Page 69
A
EXURE-1
Process of Performance Appraisal
Employee Evaluation at Managerial Level
Mr.X , Div., Desig. ABG Performance Doc.:07/01/2007 – 06/31/2008
Section-1 –JOB PURPOSE
RMC (Zonal Head,Karnataka)
Description:
• To achieve market growth for both Birla Ready Mix & Ultra Tech Concrete. • Ensure
achievement of both sales & credit targets, optimizing of resources. • Develop/ ha
rmonize team operations of plant / marketing for achieving customer satisfaction
& maximum output. • Focus on future commercial / dedicated expansions.
Section –2 –KRA KRA No.1 SALES & MARKET SHARE • Description: To achieve the Sales Targ
ets as per Budget with increase in market share. KRA No.2 CREDIT CONTROL • Descrip
tion: Reduction of critical o/s , Reducing no. of days.
KRA No.3 OPTIMIZATION OF RESOURCES IBSAR Navi Mumbai (satishpgoyal@yahoo.co.in)
Page 70
• Description: Optimising Manpower resources to generate maximum output. KRA No.4
CUSTOMER SATISFACTION • Description: Ensuring customer satisfaction KRA No.5 MARKE
T EXPANSION • Description: Market expansion for commercial & dedicated plants. KRA
No.6- STATUTORY COMPLIANCES • Description: Ensuring operation of plants with all
legal compliances.
Section-3- EMPLOYEE GOALS
Goal 1: Supports KRA No.1
Weight-20%
1.Description: To achieve the Sales Targets as per Budget. 2.Measurement: Actual
sales achieved every month compared with targeted volumes. 3.Comments: As again
st budgeted volume of 49920 u.m achieved 47177 cu.m, loss due to strike. Rating:
Exceeds-110-117%
Goal 2 : Supports KRA No.1
Weight-5%
1.Description: Achieve & retain market share as per sales target. 2.Measurement:
To be monitored monthly via-a-vis budget. 3.Comments: Market share improved fro
m last year 19% to this year 23% despite construction industry showing trends of
slow down. Rating: Far exceeds Expectation>120%
Goal 3: Supports KRA No.2 1.Description: Credit control
Weight : 10%
Page 71
2.Measurement: Monitor the same every month for number of days & reduction in cr
itical. Outstanding as compared to the budget. 3.Comments: Critical outstanding
reduced from 179 lacs to 156 lacs.All major accounts reconciled. Rating: Exceeds
Expectation>120%
Goal 4: Supports KRA No.3
Weight:20%
1.Description: Optimising manpower resources, maximizing output forpumps/plant.
2.Measurement: Availability w.r.t. the sanctioned manpower & Training for maximu
m ;output & harmonious operations etc. 3.Comments: Harmonius operation was ensur
ed by timely requirement & in house training. Rating: Exceeds>110-117%
Goal 5: Supports KRA No.4. 1.Description: Ensure Customer Satisfaction 2.Measure
ment: Feedback from Customers.
Weight:10%
3.Comments: Mobile testing facility started at Banglore. Feedback from customers
obtained & periodically analysed. Rating: Far Exceeds Expectation>120%
Goal 6: Supports KRA No.5.
Weight:10%
1.Description: Market expansion for commercial & dedicated plants. 2.Measurement
: As per expansion plans based on market potential. 3.Comments: Market expansion
in Manglore and Mysore achieved with in two months of commercial production ach
ieved market share of 25%. Rating: Far Exceeds Expectation>120%
Page 72
Goal 7: Supports KRA No.6.
Weight: 15%
1.Description: Ensure operation of plants with all legal compliances. Safety nor
ms followed in all plants. 2.Measurement: 100% statutory compliance. No. Of safe
ty trainings imparted to staff & workers. 3.Comments: Training programs/Demos co
nducted in all plants. Rating: Far Exceeds Expectation>120%
Section 4 – Employee Mid Year Review Comments-
Description: • To achieve sales target as per budget : Against budgeted target of
282000 cu.m achieved 263000 cu.m. Shortfall mainly due to 18 days of strike by s
and suppliers.
• Achieve & Retain market share: Market share of 22% achieved. Improvement of 3% o
nYOY basis.
• Credit Control: No. of days o/s reduced from 38days to 27days.
• Optimisation of Resources: with in 2 months of operation.
• Ensure customer satisfaction: Mobile concrete Training facility introduced.
• Market Expansion through dedicated plants: 1captive plant started & successfully
running.
• Ensuring legal compliances: All legal compliances are met.
Major Challenges:
Creating differentiation in product & services to enhance brand premium.
Page 73
Manager’s COMME TS –
• Sales target impacted due to 18 days strike, otherwise would have achieved. • BLK
project plant, a good initiative. • Cr control has significantly improved but stil
l more needs to be done & focused into. • New products to be pushed & new plants h
ave been well established.
Section 5- VALUES Values Commitment Passion Seamlessness Speed
Section 6- EMPLOYEE COMME TS
Section 7- Training eeds
Section 8- Career Aspiration
A
EXURE-2
Page 74
Page 75
A
EXURE- 3
EMPLOYEE REFERRAL APPLICATIO FORM (RMC DIVISIO )
E Code No: Employee Name: Department: Location: Contact Details:
Position Referred For:
Location:
Referred Candidate’s Name:
I hereby declare that I know the above candidate personally/professionally and h
e is willing to join RMC business of ABG if found suitable and offer given to hi
m as per his satisfaction.
Signature of the Employee Date:
Signature of HR
Page 76
Annexure- 4
TRA SFER REQUEST FORM AME OF TRA SFEREE POSITIO DESIG ATIO / JOB BA D EMPLOYEE C
ODE PRESE T LOCATIO PRESE T DEPARTME T PRESE T SUPERIOR ( AME & POSITIO ) FU CTI
O AL HEAD
LOCATIO O TRA SFER EW POSITIO EW DEPARTME T DATE OF TRA SFER EW SUPERIOR ( AME &
POSITIO ) EW FU CTIO AL HEAD EW ZO E Zonal / Functional Head (Transferor) Zonal
/ Functional Head (Transferee)
Page 77

Satish Summer HR Project For MBA in Mumbai

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A PROJECT REPORT On Study of HR Practices & Process of Performance Appraisal

With special reference to ADITYA BIRLA GROUP GRASIM I DUSTRIES

IBSAR Navi Mumbai (satishpgoyal@yahoo.co.in)

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