50288440 Performance Appraisal Project Report
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Transcript of 50288440 Performance Appraisal Project Report
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CHAPTER 1
a. Human Resources Management
A Theoretical framework
The Human Resources Management (HRM) function includes a variety of
activities, and key among them is deciding what staffing needs you have and
whether to use independent contractors or hire employees to fill these needs,
recruiting and training the best employees, ensuring they are high performers,dealing with performance issues, and ensuring your personnel and management
practices conform to various regulations. Activities also include managing your
approach to employee benefits and compensation, employee records and
personnel policies. Usually small businesses (for-profit or nonprofit) have to carry
out these activities themselves because they can't yet afford part- or full-time
help. However, they should always ensure that employees have -- and are aware
of -- personnel policies which conform to current regulations. These policies are
often in the form of employee manuals, which all employees have.
Note that some people distinguish a difference between HRM (a major
management activity) and HRD (Human Resource Development, a profession).
Those people might include HRM in HRD, explaining that HRD includes the
broader range of activities to develop personnel inside of organizations,
including, e.g., career development, training, organization development, etc.
There is a long-standing argument about where HR-related functions
should be organized into large organizations, e.g., "should HR be in the
Organization Development department or the other way around?"
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The HRM function and HRD profession have undergone tremendous
change over the past 20-30 years. Many years ago, large organizations looked to
the "Personnel Department," mostly to manage the paperwork around hiring and
paying people. More recently, organizations consider the "HR Department" as
playing a major role in staffing, training and helping to manage people so that
people and the organization are performing at maximum capability in a highly
fulfilling manner.
After you have invested considerable time and money recruiting and
training your employees, you must now determine how to make sure those
valuable employees are productive and get them to remain loyal to your firm.
Retention of employees is essential to maintain client relationships and keeprecruiting and training costs in line. Losing an experienced employee almost
always results in significant costs to your firm. The keys to employee satisfaction
and retention are founded on strong leadership and sound management
practices. If you can master these arts, you should have happy, loyal employees
and clients, resulting in growth, profits and personal gratification. This article will
discuss key factors in motivating and retaining good people.
Operating Systems
The foundation of an efficient and effective workplace is the structure,
discipline and consistency provided by well-conceived systematic operating
methods. World-class companies like Disney, McDonalds and Ritz Carleton all
have well defined operating methods. A policies and procedures (P&P) manual is
critical to ensure that employees understand what is expected of them and know
how they should handle the myriad of duties and responsibilities in the day-to-
day operation of the office. The P&P manual spells out how you would like things
done in your office and your expectations for the behavior of your employees. As
your operation grows larger, the system becomes more important because your
ability to oversee and communicate directly and frequently with each employee
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becomes more difficult. Written operating systems are absolutely essential when
you expand to more than one office location.
Training
Pre-work training should include a review of your policies and procedures,
with special emphasis on the most important subjects. (Each employee should
receive a personal copy of your P&P Manual to read before coming to the
training class.) In addition to training in your policies and procedures, customer
service and marketing should be covered at length. Special emphasis should be
placed on your corporate culture. New employees need more training than priors,
but all employees should receive training each year. New employees should also
have several days of on-the-job training with the office manager or experienced
employees before beginning their position; and they should not be left on their
own in the office until they are experienced enough to feel confident. Many of the
frustrations employees feel on the job--as well as most errors and client
problems--are due to inadequate training. Comprehensive training will make your
life as a manager much easier, and your employees and clients will be happier.
Tool
Employee costs constitute the greatest expense in any service business.
Not giving your employees adequate tools to do the job is penny wise and pound
foolish. Computers need not be state-of-the-art, but they do need to be fast and
reliable enough to minimize down time and reduce employee and client
frustration. If your office is not operating with a Local Area Network (LAN), you
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should set one up without delay. A LAN manages printer sharing and centralizes
client files for easy computer cross-checking, e-filing., and report writing. Copiers
should be reliable and fast, with automatic feed, and ample supplies always on
hand. A fax is no longer a costly luxury for most offices, but a necessity. Internet
access is almost as important as the phone for effective communication and is
becoming more essential for research. Don't forget to provide the little things, like
reliable staplers, staple removers, scissors, pens, post-its, business card holders,
etc. An appointment book, a Rolodex (orsoftware address book), and reference
books and resources should also be provided. Comfortable, functional office
furniture and adequate shelving and storage are also essential. Don't forget aids
for employees with special needs, such as under-desk computer drawers and
keyboard & mouse cushions. At Peoples Income Tax, we use checklists of office
furnishings, equipment and supplies used to take inventory and request missing
or shortage items. Attention to detail and providing adequate tools to do the job
will eliminate a key source of employee frustration and increase employee
productivity and satisfaction.
Office atmosphere
How your employees feel about their jobs is greatly influenced by your
office atmosphere. Extravagance is not necessary, but the office should be
attractively decorated and a pleasant place to work. Little things like a fresh coat
of paint and a wallpaper border make a big difference. A stereo (with ceiling
speakers) tuned to a soft neutral music enhances the office atmosphere and
creates an illusion of privacy. Dont neglect the back room and the rest room. We
pay as much attention to decorating and appointing our rest rooms as we do our
client reception areas. We also provide a microwave and refrigerator for the back
room of every office and, space permitting, a table and chairs where our
associates can eat. The impression you make on your employees is just as
important as the image you project to your clients. Keeping the office clean and
uncluttered requires the cooperation of all employees, and you should insist that
every employee pitches in to help. However, you should regularly hire
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contractors for heavy cleaning (e.g., carpet, windows and restroom). Your
employees attitudes are affected by their physical work environment; make sure
it is positive!
Support
Your employees will appreciate having adequate support. They need
someone readily available to help when they have questions or encounter
problems. Support can be provided on-site by an office manager or veteran
employee or by telephone or e-mail when on-site help is not available. Having
adequate help to properly serve all clients in the office is also essential for
employee morale. The important point is that your people should not feel like
they are out there on their own with no one to turn to when they need help. If they
feel this way, they might as well go into business on their own.
Corporate Culture
World-class companies always have in common World-class cultures.
Leaders of such businesses recognize that their companies exist to satisfy a
social need. Profits are not the goal, but are a byproduct of meeting the needs of
customers and employees. Businesses also have a responsibility to give back to
the communities in which they operate. Most employees also have a need to
make meaningful contributions to society through their work. They also like to
take pride in their work and deliver quality products and services. And they need
to continue to learn and grow professionally. A good corporate culture enables
employees to combine their strengths to meet these mutual needs as part of a
dynamic team.
Your companys culture starts with your companys mission and values, which
should be well thought-out and articulated in writing. A mission statement and set
of guiding principles is typically developed by the companys owner or CEO to
reflect his or her business philosophy. Input should also be solicited from key
employees. The mission statement and guiding principles of Peoples Income Tax
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is provided as an example (Exhibit 2). When hiring new employees, it is essential
to confirm their understanding of and agreement with your company philosophy.
Your values must not merely be lip service, but should be internalized and
practiced daily by all employees. As the owner or CEO, you must set the
standard for your people.
Compensation
A performance-based compensation plan should be designed to
encourage your employees to behave in ways that will result in attainment of the
goals of your Company, while also meeting your employees personal objectives.
Company goals usually include growth, profitability, quality service, efficiency,
effectiveness, and image and reputation. To attract desirable employees, your
base pay and earnings potential should be competitive within your industry
(equal to or better than your main competitors for employees). The pay plan must
be objective and fair to all employees. Rewards should be commensurate with
contributions. The behaviors and attitude your pay plan should encourage
include honesty, professional pride, continuing professional education, loyalty,
thoroughness, accuracy, efficiency, teamwork, salesmanship, courtesy, concern
for clients, self-direction, frugality and long-term thinking. Peoples compensation
plan, devised with these factors in mind, includes a competitive guaranteed wage
as a draw against commissions for individual and office production. Additional
commissions are paid for experience, helping to generate office revenue growth,
and attaining and maintaining professional. Establishing a sound compensation
plan is one of the most important projects you will undertake. Once the plan is
established, it is difficult to make radical changes. Your compensation plan is an
essential element of your ability to compete effectively.
Benefits
Providing whatever benefits you can put you in a better competitive
position to attract and retain seasonal employees. A profit sharing plan could be
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adopted for all employees to share in the profit pool in proportion to their annual
earnings relative to total earnings of all employees. The profit pool could be some
percentage (e.g. 10-20% as determined by management) of the increase in
pretax profits over the prior year. Peoples Income Tax has a Fidelity 401k plan
through its membership with the U.S. Chamber of Commerce that permits all
year-round and seasonal employees to participate, and the company makes 3%
contributions.
Some of Peoples seasonal tax associates who work part-time during the
off-season providing client service and teaching an income tax school work
enough hours to qualify for the companys group health insurance plan. Group
life and disability insurance and other benefits can be obtained throughprofessional associations. Even if the employee pays the full premium, group
rates tend to be lower than individual coverage. Group discounts for products
and services are often extended to employees through professional associations
and company membership in the local Chamber of Commerce. Peoples Income
Tax, as a small employer, was able to become a member of the Virginia Credit
Union, making all of Peoples employees eligible for the benefits of credit union
membership. Peoples also provides paid time off for its associates to volunteer
for company approved charitable activities such as providing free tax service for
welfare-to-work program participants and residents of homeless and battered
women shelters. Be creative. Little perks, like buying pizza for the staff of the
office on the busiest days of the work week, help to make your employees
appreciate their jobs. Be creative!
Recognition
Numerous studies and surveys have documented the fact that money is
not always the primary motivator for most employees. Recognize your people
frequently for their good work and they will repeat the performance frequently.
Praise must be sincere and should be distributed equitably, if warranted. When
possible, praise people publicly in meetings or employee newsletters. Be sure to
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give people credit and rewards for good ideas they come up with that benefit the
company. Reinforce the right behaviors. Avoid saying Great but. Look for key
measures to recognize employees, such as production, client retention rate, etc.
Come up with contests to recognize your employees, such as the most referrals
for another service you offer, or the most new clients brought in. Give recognition
certificates, plaques and prizes and other than money, such as tickets for movie
rental or sports events, or gift certificates for merchandise or dinner. Giving
something tangible makes a more lasting impression. Praising your best
performers (the top 10-20%) will raise the bar for your weaker people. The goal is
to encourage behaviors that build your business and recognize your people for
practicing those behaviors as often as possible.
Communication
Lack of effective communication from management is usually the greatest
cause for employee dissatisfaction and premature departure. The best managers
listen to and communication frequently with all employees; and they make it easy
for employees to tell them about problems and concerns. Communication should
include training, group and individual meetings and, most important, daily
discussions between you and your employees. The larger your organization
becomes, the more difficult it is to keep in touch with all of your employees,
especially if you have multiple offices. Yet, as the manager, you must make the
time to regularly talk with everyone. E-mail is a good communication vehicle, but
the phone is more personal; and neither can replace face-to-face meetings.
Publishing employee newsletters is a good way for larger organizations to
enhance communication. An Intranet can also be an effective internal
communication vehicle. Keep communication simple, provide adequate
information and provide examples for clarity. Show your trust in your people and
make them feel included by sharing with them financial and other company inside
information. Management can make much better decisions by getting input from
front-line employees. If your people know that their voices are heard and they
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feel like they are part of the decision making process, they will be much happier,
loyal and more likely to support new ideas and programs.
Empowerment
Engage your employees in decision-making; give them the authority to act
in the best interests of the company. Provide training in resolving client problems
and then trust them to make the right decisions. Give your people some time to
think and plan by building in some slack through adequate staffing and by
providing clerical support. Dont criticize employee mistakes; instead celebrate
honest mistakes. Recognize that making decisions naturally results in making
mistakes because no one is perfect. If you criticize honest mistakes, your people
will stop making decisions. Failure is also OK, because it is a normal part of the
road to success. Nothing is more gratifying than to see your people develop the
skills and confidence to act independently and to make sound decisions that are
in the best interests of the company and your clients.
Leadership
Much has been written about leadership and you should take the time
whenever the opportunity arises to read ideas on how to be a more effective
leader. Here are ten basic keys: (1) Integrity: always tell the truth and always
keep your promise, even if it hurts to do so. (2) Trust: You must first demonstrate
your trust in people by making yourself vulnerable before you can expect them to
place their trust in you. (3) Respect: If you really dont care about your people
they will sense your lack of concern and will not have respect for you. (4)Fairness: Treat all employees fairly and equally (including family members)
regardless of your personal feelings. (5) Vision: To be a true leader, you must
have an unfaltering vision, be able to communicate it to your people, and get
them to understand and share in your excitement for the vision. (6) Optimism:
You must always be positive and confident that the company will succeed; but
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you should also be realistic. (7) Decisive: A leader must make decisions and stick
with them as long as they make sense. Consensus is not always better than an
individual decision, particularly in a crisis situation. Remember, the buck stops
with you! Trust your intuition. Intuition draws upon your experience, stored
knowledge and information you may not even realize you have in your head. (8)
Example: You must practice what you preach or you will have little credibility. (9)
Teamwork: Insist on mutual respect, courtesy and cooperation among your
people. This fundamental attitude was crucial in shaping our nation and is also
essential to build your company. (10) Authority: Remember that authority is not
vested in your position as the boss. Authority resides with the people who report
to you and they have the power grant it to you or not.
Having Fun
People like to work in an environment that is enjoyable; they can get
burned out if the work environment is totally serious and strictly business. Great
companies like Southwest Airlines have come up with creative ways for
employees to have fun. I think every manager should read the bestseller book,
NUTS!, By Southwest chairman, Herb Kelleher. If youre not naturally good at
getting people to have fun, designate a key employee to assume this role. A
friend, Hugh Goldthorpe, who is a top executive with Owens and Minor of
Richmond, Virginia, has adopted (and had printed on his business cards) his
official job title as: Head Cheerleader.
Motivating and keeping employees requires effective management
practices and strong leadership skills. A good operating system and adequate
training are essential. Your people need the proper tools and support to do the
job. A performance-based compensation plan should be designed very carefully
to ensure that your employees are encouraged to help build the business and are
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rewarded for their contributions, and provide as many extra benefits as possible.
Screening new employment prospects to insure they fit in and buy into your
culture will prevent future problems. Employment agreements are a must and
should be reviewed by and explained to new hires. A valuable project is to
identify the 2-3 greatest frustrations of your employees and your clients and
devise ways to eliminate these irritations. Employees should be trusted, included
and empowered to make decisions and act autonomously. They also need to be
part of a harmonious team working for the mutual benefit of the clients, the
company and themselves. And they would enjoy being at a fun place to work!
Ultimately, your management and leadership skills and efforts will determine your
success in providing an atmosphere where your employees will be motivated to
be effective and will remain loyal to your company.
b. Concepts Related to Performance Appraisal System
TALENT MANAGEMENT
Talent management is a professional term that gained popularity in the
late 1990s. It refers to the process of developing and fostering new workers
through on boarding, developing and keeping current workers and attracting
highly skilled workers at other companies to come work for your company. Talent
management in this context does not refer to the management ofentertainers.
Companies that are engaged in talent management (human capital
management) are strategic and deliberate in how they source, attract, select,
train, develop, promote, and move employees through the organization. This
term also incorporates how companies drive performance at the individual level
(performance management).
The term talent management means different things to different people. To
some it is about the management of high-worth individuals or the talented whilst
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to others it is about how talent is managed generally i.e. on the assumption that
all people have talent which should be identified and liberated.
This term is usually associated with competency-based human resource
management practices. Talent management decisions are often driven by a set
of organizational core competencies as well as position-specific competencies.
The competency set may include knowledge, skills, experience, and personal
traits (demonstrated through defined behaviors).
Older competency models might also contain attributes that rarely predict
success (e.g. education, tenure, and diversity factors that are illegal to consider
in many countries).
In the late 1990s, technology companies engaged in a war for talent.
Objectives:
To identify, nurture, groom and motivate talented MCS (management
carder staff).
Career and succession planning to build in-house pool of talent (grow your
own timber) for our future needs of HODs and GMs.
Determine talent strength (numbers) and quality (competencies), future
requirements and ideal organizational structure, identify gaps and take
actions.
Competitive advantage:
Embrace a talent mindset.
Craft a winning employee value proposition.
Rebuild your recruiting strategy.
Weave development into your organization.
Differentiate and affirm your people.
Limitations:
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Retention rates in marketing are a problem. It was suggested to consider
the leadership issues, careful selection, increased motivation and
performance incentives.
EMPLOYEE INVOLVEMENT
Definition: Employee involvement is creating an environment in which people
have an impact on decisions and actions that affect their jobs.
Employee involvement is not the goal nor is it a tool, as practiced in many
organizations. Rather, it is a management and leadership philosophy about how
people are most enabled to contribute to continuous improvement and the
ongoing success of their work organization.
My bias, from working with people for 40+ years, is to involve people as
much as possible in all aspects of work decisions and planning. This involvement
increases ownership and commitment, retains your best employees, and fosters
an environment in which people choose to be motivated and contributing.
How to involve employees in decisionmaking and continuous improvement
activities is the strategic aspect of involvement and can include such methods as
suggestion systems, manufacturing cells, work teams, continuous improvement
meetings, Kaizen (continuous improvement) events, corrective action processes,
and periodic discussions with the supervisor.
Intrinsic to most employee involvement processes is training in team
effectiveness, communication, and problem solving; the development of reward
and recognition systems; and frequently, the sharing of gains made through
employee involvement efforts.
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Employee Involvement Model
For people and organizations who desire a model to apply, the best I have
discovered was developed from work by Tannenbaum and Schmidt (1958) and
Sadler (1970).
Tell: the supervisor makes the decision and announces it to staff. The
supervisor provides complete direction.
Sell: the supervisor makes the decision and then attempts to gain
commitment from staff by selling the positive aspects of the decision.
Consult: the supervisor invites input into a decision while retaining
authority to make the final decision herself.
Join: the supervisor invites employees to make the decision with the
supervisor. The supervisor considers her voice equal in the decision
process.
To round out the model, I add the following:
Delegate:
The supervisor turns the decision over to another party. Employee
involvement consists of those practices which are initiated principally by
management and are designed to increase the employee information about, and
commitment to the organization fostering trust. Involvement assumes recognition
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that employees have great untapped potential which can be used to the
organizations advantage by securing commitment of the employees to the
success of the organization.
The action plan:
Employee involvement focus in on correcting the balance towards an
employee contributing also his brain powers in terms of ideas and initiative for
improvement in the areas of his work/ his responsibilities and not only his brains.
The concept is application to workers, staffs and managers alike.
Objective:
Helping employees to contribute better on their jobs. Faster and higher quality of problem resolution.
Companies gaining better competitive edge.
Employees gaining greater job satisfaction, joy and pride in work.
Employees displaying greater identification with changes in policies,
practices, systems, structures and work methods.
INDUSTRIAL RELATIONSThe term industrial relation in practice has come to mean primarily the
relations between the management and the unions in an industrial enterprise. It
ought to include employee relations, irrespective of whether a union exists in a
particular unit or not.
We all know that unions came into being, since for ages an individual
employee has tented to be exploited by the employer. To be sure, most of us in
India are even today partners in this process of exploitation. The reference is to
the institution of domestic servants, whether we look at their wages, at their
working hours or their health care and so on.
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The same is by and large for labors employed on construction projects or
on farms. It must therefore be accepted that the trade unions does serve a social
purpose through the practice of collective bargaining.
It never pays to delay or postpone a constructive confrontation to demand
performance be it in the volume or quality of the output.
Law and penalties
Legislation, acts, regulations, standards, codes of practice, prosecutions,
enforceable undertakings, fines, improvement and prohibition notices
Rights and obligations
Your rights as a consumer, worker, employer, manufacturer, WHSO;
manage your risks; meet your obligations
Workplace incidents and inspections
Notify of an incident, in an emergency, inspections, inspectors role,
workers compensation
Training, licenses and registrations
Accreditation, training providers, tickets, licenses, plant registrations,
seminars, educational tools, apprenticeships and traineeships
Workers compensation and rehabilitation
Workers compensation and rehabilitation legislation, rights and
obligations, other jurisdictions, claiming workers compensation and rehabilitation
Publications and forms
Reports, research, newsletters, submissions, conference papers, codes
and standards, forms, blitzes, audits, subject index A-Z
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MENTORING
More than ever before, organizations, large and small, are looking outsidetraditional mentoring paradigms to raise the bar on the practice of mentoring by
creating a mentoring culture.
A mentoring culture continuously focuses on building the mentoring capacity,
competence, and capability of the organization. A mentoring culture encourages
the practice of mentoring excellence by continuously:
creating readiness for mentoring within the organization, facilitating multiple mentoring opportunities, and
Building in support mechanisms to ensure individual and organizational
mentoring success.
In a mentoring culture, eight hallmarks build on and strengthen each other. All
are present, at least to some degree; however they manifest themselves
differently depending on the organizations previous success with mentoring.
The Eight Hallmarks of a Mentoring Culture
Accountability. Accountability enhances performance and produces long-
lasting results. It requires shared intention, responsibility and ownership, a
commitment to action and consistency of practice. Accountability also
involves very specific tasks:
--setting goals,
--clarifying expectations,
--defining roles and responsibilities,
--monitoring progress and measuring results,
--gathering feedback, and
--formulating action goals.
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Alignment. Alignment focuses on the consistency of mentoring practices
within an institutions culture. It builds on the assumption that a cultural fit
already exists between mentoring and the organization and that mentoring
initiatives are also are tied to goals larger than just initiating a program. When
mentoring is aligned within the culture, it is part of its DNA. A shared
understanding and vocabulary of mentoring practice exists that fits naturally
with the organizations values, practices, mission, and goals.
Communication. Communication is fundamental to achieving mentoring
excellence and positive mentoring results. Its effects are far-reaching; it
increases trust, strengthens relationships, and helps align organizations. It
creates value, visibility and demand for mentoring. It is also the catalyst fordeveloping mentoring readiness, generating learning opportunities, and
providing mentoring support within an organization.
Value and Visibility. Sharing personal mentoring stories, role modeling,
reward, recognition, and celebration are high leverage activities that create
and sustain value and visibility. Leaders who talk about formative mentoring
experience, share best practices, and promote and support mentoring by their
own example add to the value proposition for mentoring.
COMMUNICATION
Communication is one of the toughest issues in organizations. Effective
communication requires four components interworking perfectly for shared
meaning, my favorite definition of communication.
The individual sending the message must present the message clearly and indetail, and radiate integrity and authenticity.
The person receiving the message must decide to listen, ask questions for
clarity, and trust the sender of the message.
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The delivery method chosen must suit the circumstances and the needs of
both the sender and the receiver.
The content of the message has to resonate and connect, on some level, with
the already-held beliefs of the receiver.
With all of this going on in a communication, I think its a wonder that
organizations ever do it well.
Change management practitioners have provided a broad range of suggestions
about how to communicate well during any organizational changes.
LEADERSHIP AND MANAGEMENT
Leaders of organizations, especially people with high level titles and
ownership positions, establish and maintain the level of comfort that other
employees experience when they are asked to speak up. In most organizations,
the willingness of employees, even managers, to speak up in disagreement with
the higher level person is appallingly bad. Why is this so? Is it because people
lack personal and professional courage at work? Or, are they too beholden to
these executives for their job?
In any case, it is the leader who establishes the tone and the work
environment in which people chooses or chooses not to exercise personal
courage and freedom of expression. If the leader has traditionally proved to be
genuinely open to comments and criticism, people are willing to agree, disagree,
and express opinions.
The good leader, who wants to take advantage of the experience,
knowledge, and thoughtfulness of talented staff, remembers this. The good
leader is aware of their power to encourage or stifle opinions and debate. They
use this power to genuinely appreciate and encourage input, debate, and
differing opinions.
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JOB DESCRIPTION
Effectively developed, job descriptions are communication tools that are
significant in your organizations success. Poorly written job descriptions, on the
other hand, add to workplace confusion, hurt communication, and make people
feel as if they dont know what is expected from them.
Job descriptions are written statements that describe the duties,
responsibilities, required qualifications, and reporting relationships of a particular
job. Job descriptions are based on objective information obtained through job
analysis, an understanding of the competencies and skills required to accomplish
needed tasks, and the needs of the organization to produce work.
Job descriptions clearly identify and spell out the responsibilities of a
specific job. Job descriptions also include information about working conditions,
tools; equipment used knowledge and skills needed, and relationships with other
positions.
Still uncertain about the value of job descriptions? Consider these tips
about employee job descriptions.
Positives about Job Descriptions
Job descriptions provide an opportunity to clearly communicate your
company direction and they tell the employee where he or she fits inside of the
big picture.
Whether youre a small business or a large, multi-site organization, well-
written job descriptions will help you align employee direction.
Alignment of the people you employ with your goals, vision, and mission
spells success for your organization. As a leader, you assure the interfunctioning
of all the different positions and roles needed to get the job done for the
customer.
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Job descriptions set clear expectations for what you expect from people.
According to Ferdinand Fournies in Why Dont Employees Do What Theyre
Supposed to Do and What to Do about It, this is the first place to look if people
arent doing what you want them to do. He says you need to make certain that
they clearly understand your expectations. This understanding starts with the job
description.
Job descriptions help you cover all your legal bases.
Whether youre recruiting new employees or posting jobs for internal
applicants, job descriptions tell the candidate exactly what you want in your
selected person.
Clear job descriptions can help you select your preferred candidates and
address the issues and questions of those people who were not selected.
Well-written job descriptions help organization employees, who must work
with the person hired, understand the boundaries of the persons responsibilities.
People who have been involved in the hiring process are more likely to
support the success of the new employee or promoted coworker. Developing job
descriptions is an easy way to involve people in your organizations success
c. Review of literature
Fletcher C, Performance appraisal and management, November 4, 2001:
Performance appraisal has widened as a concept and as a set of practices
and in the form of performance management has become part of a more
strategic approach to integrating HR activities and business policies. As aresult of this, the research on the subject has moved beyond the limited
confines of measurement issues and accuracy of performance ratings and
has begun to focus more of social and motivational aspects of appraisal. This
article identifies and discusses a number of themes and trends that together
make up the developing research agenda for this field. It breaks these down
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in terms of the nature of appraisal and the context in which it operates. The
former is considered in terms of contemporary thinking on the content of
appraisal (contextual performance, goal orientation and self awareness) and
the process of appraisal (appraiserappraisee interaction, and multi-source
feedback). The discussion of the context of appraisal concentrates on cultural
differences and the impact of new technology.
Gregory H. Dobbins, Performance Appraisal as Effective
Management or Deadly Management Disease, 1990: Understanding
person and system sources of work variation is fundamental to performance
appraisal. Two divergent perspectives
on this issue, the traditional humanresource management viewand the statistical process control view (Deming,
1986), arecontrasted. Two studies are reported that investigate two specific
questions that arise from a broader view of the appraisal process. Results
indicate that managers and subordinates believe that typical poor
performance has different causes and that actual productivity levels far
outweigh person or system sources of performance variance in appraisal
judgments.
Gregory H. Dobbins, A Contingency Approach to Appraisal Satisfaction,
1990: The present study explored the moderating effects of organizational
variables on the appraisal characteristic-appraisal satisfaction relationship.
Analyses indicated that the appraisal characteristics of action plans,
frequency, and rater training were more positively related to appraisal
satisfaction when subordinates experienced role conflict, were not closely
monitored, and supervisors had a large span of control. The results provide
substantial support for conceptualizing appraisal satisfaction as a contingent
function of both appraisal characteristics and organizational variables.
Implications of the findings for the design of appraisal systems, appraisal
effectiveness, and future research are discussed.
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Taylor Cox, Differential Performance Appraisal Criteria, 1986 :
Performance appraisal ratings of 125 first-level managers were analyzed
to investigate the degree to which the criteria usedto evaluate the overall
job performance of black managers differs from that used to evaluate
white managers. The performance appraisal form included items that
measured both the social behavior dimen sion and task/goal
accomplishment dimension of job performance. The appraisal ratings of
both groups on each dimension werecorrelated with measures of overall
job performance and promotability. Results indicated that social behavior
factors aremore highly correlated with the overall job performance of black
ratees than for white ratees. Implications of these results for both black
managers and organizations are discussed.
David A. Waldman, Predictors of Employee Preferences for Multirater
and Group-Based Performance Appraisal, 1997: This study
conceptualizes and measures user preferences for 360-degree appraisals
and group-level performance management (PM). Users are defined as
either recipients of PM processesor those whose job it is to administer the
process. Aspects of individual users, their work design, and current
appraisal context were used to predict preferences. Two studies were
conductedinvolving data collection in a large Canadian telecommunications
conglomerate and a department of the Canadian government, respectively.
Predictors explained significant amounts of variance in user preferences,
especially those pertaining to group-level PM. Practical implications are
suggested with regard to collectingand using user preferences. In addition,
suggestions for futureresearch are offered concerning the need to examine
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a broad range of users in different organizational settings and to measure
actual system design features and their effectiveness.
Dennis W. Organ, A Restatement of the Satisfaction-Performance
Hypothesis, 1988: This article reviews recent evidence in support of
Organs (1977) argument that satisfaction more generally correlates with
organizational prosocial or citizenship-type behaviors than with traditional
productivity or in-role performance. An attempt is then made to interpret just
what it is in satisfaction measures that provides this correlation, leading to
the suggestion that fairness cognitions comprise the major factor.
Implications of this interpretation for theory, research, and management
practice are offered.
CHAPTER 2
METHODOLOGY
Need of the study:
The study concentrates on the HR affairs of the company. It involves the
study of performance standards of the employees of JK Paper Mills.
This study has been carried out in order to learn the Performance
Appraisal System of JK Paper Mills Pvt. Ltd; to know what strategies are being
implied and how far they are effective.
Objectives of the study:
To analyze and apply performance appraisal strategies to improve the
performance of the individual employees.
To know about the requirements of the employees.
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To know the best performance appraisal strategy of the company.
Improve the performance of the employees and there by improving the
overall performance of the company, by providing suggestions if any.
To verify the standard of JK Paper Mills when compared to other paper
industries present in the market.
Scope of study:
It is a systematic procedure of collecting information in order to analyze
and verify a phenomenon.
The collection of information has been done through two major sources:
1. Primary Data.
2. Secondary Data.
Primary Data:
It is the information collected directly without any reference. In
this study, it is gathered through interviews with various employees, human
resource officers and other concerned people. Some of the information were
verified and supplemented through personal observation.
Secondary Data:
The Secondary data was collected from already published
sources such as pamphlets, annual reports, various journals and internal
records. The data collection includes:
Collection of required data from annual report of JK. Papers Ltd.
Reference from textbooks and journals relating to the paper industry in
India.
Annual reports of the company.
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Presentation of the study:
Chapter I: This chapter deals with the history and the global prospective
of the Paper industry. It also tells us about the other important world
markets for paper and the future prospects in these markets.
It also tells us about the various concepts that are related to
performance appraisal strategies.
Chapter II: This chapter deals with the methodology of the study along
with the needs, objectives and limitations of the study.
This chapter also deals with how the survey was carried outby taking the primary data and the secondary data, that is by carrying out
a survey and also taking the findings of other surveys and documents into
account.
It talks about the need and objective of the study that is to find
out how the company is faring in regard to its performance. It also finds
out the limitations that I encountered during the period of study.
Chapter III: This chapter deals with the profile of the company. It gives a
brief history of the company. It goes on to talk about the progress and also
the innovations and technological progress that the company has excelled
in papers over the years. It tells us about the quality legacy of the
company, in the end it talks about the unique performance appraisal
strategy of the company and a few of the products that the company sells.
Chapter IV: This chapter deals with the analysis of the survey that I had
conducted during the period of my study. The survey tries to find out
various aspects like the satisfaction of the employees, performance of the
employees, awareness in the organization, performance appraisal
strategies used by the company and various other aspects.
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Chapter V: This chapter includes the summary of the project. It also
includes my findings and suggestions and conclusions during my project
period.
Limitations of the study:
The study is focused on a very general level rather than a full scale
detailed report.
The study does not get information from an in depth prospective.
The study is not necessarily the solution to the problem that exists.
There were a lot of breaks and hindrances while the study took place.
The feedback given by recipients is not necessarily right.
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CHAPTER 3a. Profile of Paper Industry
WHAT IS PAPER
Paper has played a vital role in the development of mankind, since times
immemorial, as a means of communication, as the most versatile material for
packing of goods, as a medium of preserving knowledge for progeny.
Paper is defined as A mat of cellulose fibers arranged in crises cross fashion
with hydrogen bond and other forces.
INTRODUCTION
Paper is derived from the word papyrus. Today, paper includes a wide
range of products with very different applications: communication, cultural,
educational , artistic, hygienic, sanitary as well as storage and transport of all
kinds of goods. Its almost impossible to imagine a life without paper.
There is a degree of consensus that the art of making paper was first discovered
in China and its origin in that country is traced back to 2 nd Century. In about
A.D.105 Ts Lun , an official attached to imperial court of China , created a
sheet of paper using Mulberry and other bast fibers along with fishnets, old
rags and hemp waste. (2nd Century B.C)
Chinese considered paper a key invention and kept this a closely guarded secret
for over Five Centuries until the technology slowly made it way westward. The
Arabs captured Chinese city containing a paper mill in the early 700s and
from this started their own paper making industry.(Early 700s )Invention of
printing in 1450s brought a vastly increased demand for paper .
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LIST OF SATEWISE INDIAN PAPER INDUSTRY
Table 1:
STATENO.OF PAPER MILLS
ANDHRA PRADESH
ASSAM
BIHAR
GUJARAT
HARYANA
HIMACHAL PRADESHJAMMU & KASHMIR
KARNATAKA
KERALA
MADHYA PRADESH
MAHARASHTRA
NAGALAND
ORISSA
PONDICHERRY
PUNJAB
RAJASTHAN
TAMIL NADU
UTTAR PRADESH
WEST BENGAL
22
02
04
68
15
0601
14
05
21
71
01
09
01
37
07
31
16
TOTAL 594
SOURCE: Indian Press Services News Bulletin.
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J K ORGANIZATION - HOW IT ALL BEGAN
During the later half of the 18th Century , Shri Binodia Ram Singhania of
village Singhana, which lies in the Shekavati region of Rajasthan, migrated to
Uttar Pradesh. The family settled down in Kanpur and slowly spread its roots
there. JK Organization was born under the leadership of Lala Kamlapatji and his
father Lala Juggilalji. Hence the name J.K.
A VISION TAKE SHAPE
The foundation of JK Organization was laid when the nation was passing
through turbulent times. It was the time when Indians were discriminated
against, in their own home land. Born on 7th November, 1884, Lala Kamlapatji,
the worthy son of Lala Juggilal Singhania, set up the first Cotton Mill in Northern
India in 1921, exclusively using Indian capital, Management and Labour. One
after another, other enterprises were started by him. JK Jute Mills Co. Ltd., JK
Iron & Steel Co. Ltd., JK Oil Mills, JK Cotton Manufacturers, JK Hosiery Factory,
JK Hosiery Factory (Calcutta), Kamlapat Motilal Sugar Mills, Kamla Ice Factory
were few of the initiatives of Lala Kamlapat Singhania.
LEGACY OF ENTREPRENEURSHIP CONTINUED
Keeping alive the spirit of entrepreneurship, the three sons of Shri.
Kamlapat Singhania Sir Padampat Singhania, Lala Kailashpat Singhania and
Lala Lakshmipat Singhania started up a number of industries across India and
further consolidated the existing businesses. They were the pioneers in settingup a mini steel plant in 1924, and first Indian Jute Mill in 1929 in Uttar Pradesh.
FROM HISTORY TO CONTEMPORARY
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The Singhanias of today and their generation next have inherited the spirit
of meeting the entrepreneurial challenges of the times from their forefathers.
Under the visionary leadership of Shri Hari Shankar Singhania, President, JK
Organisation, supported by his brothers, the organization has shown exemplary
growth in diversified businesses.
GROUP COMPANIES
Chart 1:
With a century of multi-business, multi-product and multi-location businessoperations, the Group has Companies with a diverse portfolio including
Automotive Tyres & Tubes, Paper & Pulp, Cement, V-Belts, Oil Seals, Power
Transmission Systems, Hybrid Seeds, Woollen Textiles, Readymade Apparels,
Sugar, Food & Dairy Products, Cosmetics, etc. All products of the Group are not
only strong brand names but also reputed market leaders in their respective
segments.
With its operations spread in almost every state of India, the Group
employs over 30,000 people along with a nationwide sales and service network
of over 10,000 distributors and a large number of retailers and service centers.
Some of the leading Group Companies include:
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JK Tyre JK Industries Ltd. Is a leading Tyre manufacturer in India.
JK Paper It is one of the Indias foremost paper manufacturers.
JK Lakshmi Cement It is a renowned and well-established name in theIndian Cement Industry.
Fenner India It is the leading manufacturer of V-belts, Oil Seals and Power
Transmission Systems.
JK Seeds JK Agri Genetics Ltd. Is one of the most reliable and well-known
names in Hybrid Seeds.
JK Dairy It is engaged in the production and sale of Milk Powders and
Ghee. JK Sugar It is one of the leading producers of high quality Sugar in India.
b. Profile of JK Paper Mills Pvt. Ltd.
J K PAPER LTD.
JK Paper Ltd., Indias largest producer of Branded papers is a leading
player in the Printing and Writing segment. It operates two plants in India, one in
the East JK Paper Mills (JKPM) in Rayagada, Orissa with a capacity of 127,000
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tonnes per year and the other in the West Central Pulp Mills (CPM), located in
Songadh, Gujarat with a production capacity of 55,000 tonnes per year.
JK PAPER MILLS
Chart 2:
JK Paper Mills, a Unit of JK Paper Ltd. Is a premier integrated Pulp and
Paper Mill located at Jaykaypur, Dist. Rayagada, Orissa. JKPM was
commissioned in the year 1962 with an integrated pulp and paper plant with
15000 TPA installed capacity for manufacturing high quality writing and printingpapers. Over the years, the production capacity has been enhanced to a level of
127,000 TPA with the addition of 4 more paper machines manufacturing
diversified product range from 29 GSM to 300 GSM of different grades of paper.
In 2005, an offline coating machine has also been set up to manufacture
premium grades of coated papers.
Since its inception, JK Paper Mills has strived for excellence and consistently set
high standards in quality, productivity, conservation of energy and water,
industrial safety as well as pollution control and environment protection which are
indicated by achievements like:
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A View of J K Paper Mills, Jaykaypur,Rayagada
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Manufacture of surface sized Maplitho for the first time in the country with
indigenous raw material.
Capacity utilization of 120%
First Paper Mill in India to get ISO 9001 and ISO 14001.
Adjudged First Greenest Paper Mill in India in 1999.
Most modern and largest pulp mill in the country.
First Paper Mill not only in India but also in South-East Asia to have received
TPM Excellence Award from Japanese Institute of Plant Maintenance, Japan.
ORGANISATIONAL CHART
Chart 3:
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PRODUCTION CAPACITY OF JK PAPER MILLS
Table 2:
MACHINE YEAR OF
INSTALLATION
INSTALLED
CAPACITY, TPA
Paper Machine I 1962 35,000 tpa
Paper Machine- II 1970 4,700 tpa
Paper Machine III 1972 26,000 tpa
Paper Machine IV 1989 8,000 tpaPaper Machine V 1994 16,000 tpa
TOTAL 90,000 tpa
J K PAPER MILLS PHILOSOPHY
Headquarters
Strategy Department
Finance Department
IT Department
Administration
Marketing Department
Public Relations Department
Legal Department
Personnel Department
Sales Department
Research Department
Logistics Department
Production
Security Department
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JK Paper Mills believe that leadership is not merely a matter of size. With
leadership, comes the responsibility to drive growth in all its possible dimensions.
Leadership demands transformation. And to that extent, leadership shapes the
very quality of growth.
At JK Paper Mills, it is this ceaseless quest for holistic growth that has
shaped its operations in the present as well as influenced their investments in the
future in world-class technologies for enhancing customer experience, besides
enabling to fulfill social responsibilities.
At JK Paper Mills, technology up-gradation has meant more than just
better business sense. JK Paper Mills have moved beyond enhanced
productivity, wider product range and better value, to investing in and nurturing a
future ready organization that is driven by its two core growth engines
Customers and Environment.
J K Paper Mills firmly believe that much more than the technology, its how
well equipped we are to harness it that determines the road to transformation.And therefore, JKPMs investments are focused on continuous and consistent
up-gradation of processes, people and nature. Be it converting wastelands into
productive plantations to produce world-class pulp, or scouting for and mentoring
professionals who can drive the technology movement at JK Paper Mills.
VISION
To be a dynamic benchmark and leader in the Indian paper industry
MISSION
To achieve growth and leadership through the JK brand equity, customer
obsession, technological innovation and cost leadership, with a clear focus on
environment, while continuously enhancing shareholder value.
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QUALITY POLICY
To provide customer delight both internal and external through our
products and services at lowest cost by continuous improvement in
processes, productivity, quality and management systems.
LEADERSHIP IN BRANDS
The secret of success of the J K Paper Mills is attributed to its policy for
sustained efforts for quality, new product development and continuous offering of
value added products to customers.
JK Paper Mills has been consistently consolidating its leadership position
in the Indian Paper Industry by continuously focusing on quality upgradation and
productivity increase. Beyond this, JK Paper Mills has been investing
continuously in Branding of its products, resulting in almost half of its revenues
coming from branded products. Not only has the Company retained its dominant
leadership in the branded paper market but has been introducing premium new
brands like JK Excel Bond, JK Copier Plus and JK Savanna year after year
in International quality consumer friendly packs. Both JK Copier and JK Easy
Copier are the countrys two largest paper brands.
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PRODUCTS OFFERED BY JK PAPER MILLS
Table 3:
SURFACE SIZED MAPLITHO AND
SURFACED SIZED SUPER HIGH
BRIGHT MAPILTHO
Super grade of writing & printing paper with
high finish and brightness.
JK COPIER A paper most suited in all Xerox Machines.
SURFACE SIZED PULP BOARD &
SURFACE SIZED SUPER HIGH
BRIGHT PULP BOARD
Super grade of Board for printing & paching
with high finish and brightness.
CHANCELLOR BOND A superior variety Bond and writing and
printing.
JK BOND A normal grade of Bond Paper
WOOD FREE PRINTING A writing and printing paper with good
finish and brightness meant for export
market.
ARIMAL A lower grammar writing & printing paper
used for Bills Books as well as Airmail.
JK LASER PRINTING Suitable for Laser Printer
TITANIUM DIOXIDE LOADED
TISSUE PAPER
A better grade food packaging paper
OPAQUE PRINTING PAPER A common food packaging
WHITE OFFSET BOARD A high bright board supplied to cigarette
industries
VARNISHABLE MAPLITHO Catering labels and quality printing jobs with
varnishing
YELLOW PRINTING Used for yellow pages in Telephone Directory
as well as for other quality printing
WAX MATCH TISSUE Used for match sticks of better quality
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OFFSET PRINTING (NATURAL
SHADE )
A paper used for coating base
Block centered art board For playing cards
INVORY BOARD A superior coated board used for Visiting
cards and invitation cards.
ENAMEL BOARD A superior coated board used for visiting
CHROMO PAPER A coated Board used for printing magazine
covers.
JK PAPER & SOCIETY
JK Paper has always been a front runner in taking initiatives for improving
the quality of life of the community, especially in the vicinity of its manufacturing
plants. Some of the initiatives taken in the last few years towards Community
Development and enhancing Community Relations include:
EDUCATION
2 full fledged schools at Jaykaypur, Rayagada (Orissa). 2800 children is the
strength of the students at present, which include children of Company
employees as well as from the community of nearby villages.
Adult literacy programme for local community.
Night schools for adults, which are being run by unemployed youths from the
villages.
FINANCIAL ASSISTANCE FOR
School construction & Furnishing
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Providing educational aids & school uniform, text books, black boards etc.
Scholarship to students.
Schools for mentally challenged with residential care facilities.
HEALTH
JKPM has its own dispensary, which, in addition to the employees, also
attend to residents of the communities in the vicinity.
Health awareness programme, doctors and renowned experts are invited
to organize camps for awareness and also for cardiology, gynecology, dental,
eye and family planning programmes in collaboration with Government
hospitals, local clubs etc.
SPORTS AND OTHER RECREATIONAL ACTIVITIES
Games and sports are promoted among the village youth through local
tournaments.
Similarly, to promote sports, apart from organizing rural tournaments, sports kits
are distributed free of cost to over 25 villages in Orissa every year.
ENVIRONMENT
JK Paper Mills ensures that not only are its effluents well within the notified
parameters but it also takes proactive measures to continuously improve them
further.
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The Company has signed a voluntary Charter on Corporate Responsibility for
Environment Protection (CREP) with Ministry of Environment & Forests and is
investing in the required facilities for environment protection.
Projects for conservation of energy and water are regularly taken up at both Mills.
Treated effluent water is being used for irrigation purpose.
INFRASTRUCTURE
Infrastructure development projects like building approach roads to nearby
villages, providing pipe water supply, construction of Water storage tank,
Town Gate. Police Chowki, etc. are regularly taken up around J K Paper
Mills.
ANCILLARY DEVELOPMENT
Realising that apart from development programmes, the communities also
need source of livelihood, the Company is promoting various ancillary
industries like alum, carton, core pipe, dry board, fly ash bricks and other
industries in the vicinity of the Mills, generating local employment
opportunities.
ASSISTANCE FOR NATURAL CALAMITIES
JK has always been in the forefront of meeting the challenges of natural
calamities. Be it the recent flood in Surat, drought or super-cyclone in Orissa or
the Gujarat Earthquake, or other tragedies like tsunami elsewhere. Apart from
cash contributions by the Organization, employees have also contributed
generously from their salaries. Additionally, immediate relief material in terms of
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medicines, blankets, tents etc. have also been sent to the relief camps for
distribution.
JKPM opened a special nursery at Bhubaneswar to enable new plants to
be planted in places where super-cyclone had uprooted the existing trees.
AN EVERGREEN VISION
Responsible paper making demands a holistic environmental vision and J
K Paper Mills see trees as not just a critical raw material resource but also the
means to transform the lives of the rural community while also promoting a
greener India.
Today, J K Paper Mills high tech farm forestry movement is 53,000
hectares vast and has become a Peoples Movement involving thousands of
farmers across Orissa, Andhra Pradesh, Chhattisgarh, West Bengal, Gujarat and
Maharastra. Alongwith environmental benefits, distribution of high yield Clonal
plants developed at JKPMs in-house R & D Centre has helped farmers to
substantially increase the returns from their farms. Teams from the Company
travel across the rural hinterland encouraging, educating and advising farmers
about the merits of farm forestry and the latest farming techniques.
Advanced research in high-yield saplings has resulted in enhancing raw
material availability and quality, greening of surroundings and generating nearly
28 million man-days of employment among the rural masses. It has put JK Paperahead, both in terms of product quality and cost competitiveness.
What sets eco-commitment apart is J K Papers unique corporate vision
to protect the environmental through process innovations rather than end-of-
process treatments. Thus, J K Papers environmental friendly practices are
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designed to go beyond our operational requirements and work towards ensuring
a better and greener tomorrow for the society as a whole.
THE SPRIT OF PEOPLE
JK Paper Mills today continues to be the Industrys Change Agent and
benchmark, thanks to the indomitable spirit of its people. Leadership, at all levels
in the organization has enabled J K Paper Mills to scale new heights in various
facets of the Business. Be it brands, quality of products and services, technology
and innovative strategies, people management practices, J K Paper Mills stands
out as an undisputed leader.
The common perception that with increasing mechanization and
automation, the value of the human touch reduces could not be farther form the
truth. In todays world, human decisions have a far greater impact over a larger
interlinked process, making it even more critical to deploy the right talent at the
right place to manage the operations. To address this challenge, J K Paper Mills
have invested substantially in continuous improvement of processes and human
skills. This effort involves identifying the grooming individuals, who can drive
the technology movement at J K Paper, through time-tested practices such asQuality Circles a dynamic shop floor level participative management system.
Jishu Hozen Circles within the TPM (Total Productive Maintenance) best
practices, Suggestion Scheme, Exemplary Work Award and several TPM related
Awards. On the process front, the Company has adopted an ERP (Enterprise
Resource Planning) system to ensure seamless flow of information and enhance
managerial efficiency. This also aids J K Paper Mills personnel in ultimately
enhancing Customer Satisfaction.
Clearly, J K Paper has gone well beyond just strategic investments in
technology, by implementing a series of dynamic HR practices so that Team JK
is more empowered than its peers in making the most of technology.
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c. Performance Appraisal practices in JKPM
PERFORMANCE APPRAISAL
Introduction:
The appraisal system is a key human resources management system.
While the system enables the setting of objectives and facilitates the review of
performance against these objectives, it can also be effectively used to build
customer focus and enhance competitiveness. This is possible if the nature of
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objectives and the manner in which they are achieved answers the following
questions-
When achieved, to what extent will customer value be enhanced?
When achieved, to what extent will it help the company respond to
change?
When achieved, to what extent will the companys competitiveness be
enhanced?
Setting objectives:
Objectives must flow from the business and functional plans and address
the key result areas of the job. Objectives must be-
Specific: The appraisee must understand them clearly.
Measurable: In term of quality, quantity, cost and time.
Attainable: Targets must have inbuilt stretch but yet be within the
capabilities of the appraisee.
Relevant: to the role and responsibilities with the job and link up with the
unit, business and functional plans.
Time bound: agree to the timeframe within which the objectives must be
achieved, which will also help prioritization.Remember , objectives must be S.M.A.R.T
Pre-requisites of an effective appraisal process:
Purpose of the job- The overall rate of the job from organisations point of
view; why the job exists and what contribution it is expected to make.
A statement of the key result areas that flow from the purpose of the job-
statements of the continuing end results and outcomes required of the job,
statements which identify what the job achieves and why.
Having listed the key result areas, it is necessary to clearly state the
objectives for the year. These objectives must flow from the business,
functional and unit plans.
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For objectives to invoke commitment, they must be agreed between the
job holder and his boss and not set unilaterally.
For objectives to be meaningful, they must be specific, measurable,
attainable, relevant and time bound.
The appraisal process must focus on performance against agreed
objectives, enable the individual to give feedback to the organization his
own feelings, aspirations, difficulties, etc and serve as a forum for dialogue
between the individual and the organization.
The process must focus on performance, not personality; on facts, not
perception and demonstrated behaviour, not hunches.
Performance appraisal process:
Chart 4:
-Ratings
-Review
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Planning for
performance
Goals
Standards
KPAS/KRAS
Periodic
review/feedback
Observations
Feedback
Support
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-Action
Advantages/Benefits:
To Appraisers:
More productive- Allows the appraiser to concentrate efforts on the more
productive managerial tasks and activities.
Annual performance
evaluation/review
Ratings
Review discussions
Action plans
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Less stressful- Creates a more harmonious, less adversarial, working
relationship between appraiser and appraisee.
More rewarding- Improved productivity of the work group.
To Appraisees:
Feedback
Opportunity
Autonomy
PERFORMANCE COUNSELING
Definition:
Performance counseling can be defined as the help provided by a
manager to his subordinate in analyzing his performance and other job behaviors
in order to increase his job effectiveness. There are three processes involved in
counseling- communication, influencing and helping.
Objectives:
Helping the counselor to realize his potential as an employee.
Helping him to understand himself- his strengths and his weaknesses.
Helping him to have better understanding of the environment.
Encouraging him to set meaningful goals for further improvements.
Encouraging him to generate alternatives for dealing with various
problems.
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Providing him an empathic atmosphere for sharing and discussing his
tensions, conflicts, concerns and problems.
Conditions for effective counseling:
General climate of openness and mutuality.
General helpful and empathic attitude of the counselor.
Uninhibited participation of the subordinate.
Joint goal-setting and performance review.
Focus on work behavior.
Solving work related problems.
Counseling process:
A formal counseling process is of three phases-
PHASE I: Rapport building.
a) Attending.
b) Listening.
c) Acceptance.
PHASE II: Exploring.
a) Problem identification.
b) Diagnosis.
PHASE III: Action planning.
a) Searching.
b) Decision making.
c) Supporting.
Establishing for dialoguing:
The appraisal interview is also an ideal opportunity for the boss and the
job holder to dialog on his career. Here are some sample questions that can
constitute the basis for a dialog on an individuals career-
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Current assignment:
What do find challenging and exciting about your current assignment?
Do you feel you are being fully utilized in your current assignment?
Goals and aspirations:
What objective have you set for your personal and professional growth?
How do you intend to pursue these?
How can an organization assist in the process?
Career plan:
What responsibilities do you see yourself capable of assuming?
What do you see yourself doing three years from now?
Performance ratings:
Appraisal system requires an overall performance rating-
Outstanding performance.
Good performance.
Satisfactory performance.
Barely adequate performance.
Poor performance.
An ongoing process:
It is necessary to engage in a formal appraisal process once a year.
However we must guard against the process degenerating into a year-end ritual-
something to be got over with for the sake of the firm. Once objectives are set at
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the beginning of the year, any time is a good enough time for the job holder and
his boss to engage in a review of how things are going.
Periodic review and feedback on performance as well as the process of
dialoguing whereby the individual feeds back his overall feelings, difficulties,
challenges, etc. spurs on performance and enables the achievement of results
against agreed objectives as well as reinforces desired behaviors which in turn
enhances the competencies of the business.
CHAPTER 4
Analysis of the study on Performance Appraisal System in JKPM
Duration for which the respondent has been working in JKPM.
This question was asked to the employees working in JKPM to find out the
duration for which they have been working in the organization, based upon which
we can know if the employees are satisfied with their job in the company or not.
Table 4:Duration of work period in JKPM.
Particulars No. of respondents Percentage of
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respondents
0-1 yrs 2 3%
1-5 yrs 33 55%
5-10 yrs 15 25%
10+ yrs 10 17%Total 60 100%
Chart 5: Duration of work in JKPM.
0
5
10
15
20
25
30
35
0-1 yrs 1-5 yrs 5-10 yrs 10+ yrs
no. of respondents
3 percent of the respondents are dealing with JK Paper Mills for less than
a year.55 percent of the respondents are dealing in JK Paper Mills from 1-5 yrs.
25 percent of the respondents are dealing in JK Paper Mills from 5-10 yrs. 17
percent of the respondents are dealing in JK Paper Mills for over 10 yrs.
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Extent of satisfaction in setting goals/objectives in the beginning of the
year.
This question was asked to the employees of JKPM to find out the extent of
satisfaction of the employees in setting goals/objectives in the beginning of the
year to know if they are being given opportunities to express their views.
Table 5: Extent of satisfaction
Particulars No. of respondents Percentage of
respondents
Very satisfied 38 63%
Satisfied 18 30%
Dissatisfied 4 7%
Total 60 100%
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Chart 6: Extent of satisfaction.
0
5
10
15
2025
30
35
40
very satisfied satisfied dissatisfied
no. of respondents
63 percent of the respondents are very satisfied in setting their goals and
objectives in the beginning of the year. 30 percent of the respondents are
satisfied in setting their goals and objectives in the beginning of the year. 7
percent of the respondents are dissatisfied in setting their goals and objectives in
the beginning of the year.
Ratings of the PA strategies and programmes in the company.
This question was asked to the employees of JKPM to rate the standard of
various PA strategies and programmes that take place in the organization.
Table 6: Ratings of PA strategies.
Particulars No. of respondents Percentage of
respondents
Good 42 70%
Average 18 30%
Bad 0 0%
Total 60 100%
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Chart 7: Ratings of PA strategies.
0
5
10
15
2025
30
35
40
45
Good Average Bad
no. of respondents
70 percent of the respondents rate the Performance Appraisal strategies as
good. 30 percent of the respondents rate the Performance Appraisal strategies
as average.None of the respondents rates the Performance Appraisal strategies
as bad.
Performance Appraisal strategies are fair and objective.
This question was asked to the employees to know if the performance appraisal
strategies are fair and objective to the employees.
Table 7: PA strategies are fair or not.
Particulars No. of respondents Percentage of
respondents
Yes 34 84%
No 26 16%
Cant say 0 0%
Total 60 100%
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Chart 8: PA strategies are fair or not.
0
5
10
15
20
25
30
35
Yes No Can't say
no. of respondents
84 percent of the respondents say that the Performance Appraisal strategies are
fair and objective. 16 percent of the respondents say that the Performance
Appraisal strategies are not fair and objective.None of the respondents are there
who cant say anything.
It is necessary to appraise an employee.
This question was asked to the employees to know how important it is to
appraise an employee.
Table 8: Necessity to appraise an employee.
Particulars No. of respondents Percentage of
respondents
Yes 60 100%
No 0 0%
Total 60 100%
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Chart 9: Necessity to appraise an employee.
0
10
20
30
40
50
60
Yes No
no. of
respondents
100 percent of the respondents say that it is necessary to appraise an employee.
None of the respondents says that it is necessary to appraise an employee.
There is clarity in what is expected from the employee.
This question was asked to the employees to know if they are made clear on
what is expected of them so that they can work accordingly.
Table 9: Clarity in what is expected from the employee.
Particulars No. of respondents Percentage of
respondents
Yes 60 100%No 0 0%
Total 60 100%
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Chart 10: Clarity in what is expected from the employee.
0
10
20
30
40
50
60
Yes No
no. of
respondents
100 percent of the respondents say that they are clear with what is expected of
them.None of the respondents say that they are not clear with what is expected
of them.
Feedback is given to the Management Cadre Staff for the task
accomplished by them.
This question was asked to the employees to know if they are provided with
proper feedback for the task they accomplish, based upon which they can work
better in future.
Table 10: Feedback is given to MCS.
Particulars No. of respondents Percentage of
respondentsYes 37 62%
No 23 38%
Total 60 100%
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Chart 11: Feedback is given to MCS.
0
5
10
15
20
25
30
35
40
Yes No
no. of
respondents
62 percent of the respondents say that the feedback is given to the MCS for the
task accomplished by them.38 percent of the respondents say that the feedback
is not given to the MCS for the task accomplished by them.
Suggestions and innovations are rewarded.
This question was asked to the employees to know if they are motivated by
accepting their suggestions and innovations in the form of rewards.
Table 11: Suggestions and innovations are rewarded.
Particulars No. of respondents Percentage of
respondents
Yes 21 35%
No 39 65%Total 60 100%
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Chart 12: Suggestions and innovations are rewarded.
0
5
10
15
20
25
30
35
40
Yes No
no. of
respondents
35 percent of the respondents say that their suggestions and innovations