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1
A PROJECT REPORT ON
EFFECTIVENESS OF
PERFORMANCE MANAGEMENT
SYSTEM
AT
NTPC Kahalgaon
Based on Survey conducted on Executives at NTPC Kahalgaon in the
month of June-July 2010
July, 26, 2010
2
HR Department
Kahalgaon super Thermal Power Project
Bhagalpur
A PROJECT REPORT ON
EFFECTIVENESS OF
PERFORMANCE MANAGEMENT
SYSTEM
AT
NTPC Kahalgaon
Submitted to- Submitted by-
Employee Development Center Ambesh Kumar
NTPC Kahalgaon Rajeev Kumar
MBA(HR) 2009-2011
Copy to- MBA Dept. TMBU Bhagalpur
HOD, MBA Program
TMBU Bhagalpur
July, 26, 2010
3
Declaration
We hereby declare that the project entitled “Effectiveness of Performance
ManagementSystem” at KHSTPPissubmitted for partial fulfillment of our course
curriculum i.e.- MBA(HR) from TMBU Bhagalpur (session 2009-2011) The
project was carried out by the survey done by us with the sincere intention of
benefitting the company . Project duration was from June, 10, 2010 to July, 26,
2010. To the best of my knowledge it is original work carried out by us and is not
submitted in any other college.
Ambesh Kumar
Rajeev kumar
MBA(HR),Session 2009-2011
MBA Dept. TMBU Bhagalpur
4
Acknowledgement
To accomplisha project work likethis efforts of manypeopleare required and ours
is not an exception, a numberof people have helped us. First of all wewould liketo
thank Sri ShubhasisGhosh(GM,khstpp), and Sri Rajnish Rastogi (DGM-HR). We
convey our special thanks to Miss Pallavi (Officer-HR) for her guidance during
the course of our project study. We express our sincere thanks to Mr. Nalin vikash
(Officer-Rajbhasha), Mr.Anurag Sinha (Sr.Engineer, EDC), Mr Pravin
Mundaria(Officer-Finance), Mr. Kanchan Chourasia (Sr. Engineer-O&M) and
Mr. A. K. Das (Sr. PR Officer).
We like to thank Mr. B.R.Prasoon (EDC), Mr. R.Raghunathan (Officer-
CSR), Mr. B. P. Yadav(Sr. Manager-Finance), Mr. Naveen Choudhary(Officer-
Law), Mr. Atul Parashar(Officer-EW), Mr. P. K. Shamal(Sr. Officer-EW) and all
those persons who helped us in getting grass root information aboutNTPC and the
performancemanagementsystem workingthere, from whom we received valuable
co-operation, useful suggestions and relevant data and information pertaining to
our project and responses to questionnaire. We are thankful to all of our friends
who have been a source of motivation to us.
At last but not least we convey our heartily gratitude to our Director Prof.
Ratnesh Sinha and all the faculty members of MBA program, TMBU Bhagalpur
for their constant guidanceand help. Finally we thank God who blessed us in our
endeavor.
Ambesh kumar
Rajeev kumar
MBA-HR (2009-2011)
MBA program, TMBU Bhagalpur
5
Table of contents
Page
Declaration 3
Acknowledgement 4
Introduction to NTPC 7
NTPC Kahalgaon-An overview 29
Performance Management-What, Why and How 41
PMS at NTPC 47
Methodology Used for Study and Data Collection 53
Graphical Representation of Feedback given by
Executives 55
Suggestions 76
Conclusion 77
Limitations of The Research 78
Appendix-
Bibliography 79
Questionnaire 80
6
Table of Figures
Page
NTPC at a Glance: - Details of power stations 9-10
Subsidiary companies 11
Joint Ventures 11
National awards for performance of thermal
Power stations 16
Project under construction 16-17
Capacity addition in 2009-2010 18
Planned capacity addition in 2010-2011 18
NTPC’s share in total electricity generation 20
Ash utilization 26
Milestone dates of Kahalgaon units 38
KPA setting process 49
Weightage of PMS parameter for different grades 50
Performance linked pay 51
Response to questionnaire 56-75
7
Introduction To NTPC
8
INTRODUCTION TO NTPC
NTPC: India’s largest power company
Established on 7th November 1975 to play a major role in the development of
Indian Power Sector: NTPC Limited is today India’s largest power company with
an installed capacity of 31,704 MW Lighting up more than one fourth of India
through its 15 coal based 7 gas based and 5 joint venture projects, NTPC Limited
plans to become a 75,000 MW Company by the year 2017 with a visionto become a
world class integrated power major with increasing global presence. NTPCRanked
No. 1 Independent Power Producer in Asia and 2nd in the world in the Platts Top
250 Global Energy Company list for 2009. Ranked number ONE in the category the
'Best Workplaces for Large Organizations' and number tenth overall for the year
2009 by Great Places to Work Institute’s India chapter in collaboration with
Economic Times.
9
NTPC: At a Glance
Category No. of stations Capacity (MW)
Coal based station 15 24,885
Gas based station 7 3,955
Joint venture 5 2,864
Total 31,704
Details of power Stations(NTPC)
Project State Capacity(MW)
a. Coal Based
Singrauli Uttar Pradesh 2000
Korba Chhattisgarh 2100
Ramagundam Andhra Pradesh 2600
Farakka West Bengal 1600
Vindhyachal Madhya Pradesh 3260
Rihand Uttar Pradesh 2000
Kahalgaon Bihar 2340
Dadri Uttar Pradesh 1330
Talchar Kaniha Orissa 3000
Unchahar Uttar Pradesh 1050
Talchar Thermal Orissa 460
Tanda Uttar Pradesh 440
Simhadri Andhra Pradesh 1000
Badarpur Delhi 705
Sipat-II Chhattisgarh 1000
Total 24885
10
b. GasBased
Anta Rajsthan 413
Auraiya Uttar Pradesh 652
Kawas Gujrat 645
Dadri Uttar Pradesh 817
Jhanor Gujrat 648
Rajeev Gandhi(Kayamkula) Kerela 350
Faridabad Haryana 430
Total 3955
c. Joint Venture
Roukela Orissa 120
Durgapur West Bengal 120
Bhilai Chhattisgarh 574
Ratnagiri Maharashtra 1940
Kanti Bihar 110
Total 2864
Total Production(a+b+c) 31704
11
Subsidiary companies of NTPC
NTPC – Joint Ventures (15)
NTPC – Joint Ventures (15)
GENERATION
ARAVALI POWER
COMPNAY PVT LTD
50%
NTPC TAMIL NADU
ENERGY COMPNAY LTD
50%
NABINAGAR POWER
GENERATING
COMPNAY LTD
50%
MEJA URJA NIGAM LTD
50%
NTPC SAIL POWER
COMPNAY PVT LTD
50%
RATNAGIRI GAS AND
POWER PVT LTD
29.65%
SERVICES
UTILITY
POWERTECH LTD
50%
NTPC ALSTOM
POWER SERVICES
PVT LTD
50%
NATIONAL HIGH
POWER TEST
LABORATORY PVT
LTD
25%
POWER
TRADING
PTC INDIA
LTD
5.28%
NATIONAL
POWER
EXCHNAGE
LTD
16.67%
EQUIPMENT
MANUFACTRUI
G
NTPC BHEL
POWER PROJECTS
PVT LTD
50%
BF NTPC ENERGY
SYSTEMS LTD
49%
COAL
ACQUISITION
INTERNATIONAL
COAL VENTURES
LTD
14.28%
NTPC SCCL
GLOBAL
VENTURES PVT
LTD
50%
12
Electrifying performance
The company recorded a total generationof 218.84 Billion Units (Bus) showing an
increase of 6% over the pervious year’s generation of 206.93 Bus with a share of
20% (Ines of JV company) in the total installed capacity of the country NTPC
generated 28.6% electricity during 09-10. Exceeded the MoU ‘Excellent’ target of
217 BUs.
Vision
“A world class integrated power major, powering India’s Growth, with
increasing global presence.”
Core Values
 Businessethics
 Customer focus
 Organizational & ProfessionalPride
 MutualRespectand Trust
 Initiative and speed
 Total Quality for Excellence
13
FINANCIAL FACTS >>>
100% realization of the billing for the seventh consecutive year.
Provisional and un-audited Net Sales of Rs. 46,504.47 crore during 2009-10
as against Rs. 41,791.30 crore registering an increase of 11.28%. The
provisional and un-audited Gross Revenue is Rs.49,478.86 crore during
2009-10 as against Rs.45,272.76 crore for the year 2008-09, an increase of
9.29%.
Provisional and un-audited Profit after tax for the year 2009-10 is
Rs.8,656.53 crore ascompared to Rs.8,201.30 crore during the year 2008-09,
an increase of 5.55%.
Highest interim dividend @ 30% amounting to Rs. 2,473.64 crore paid
during the year.
Capital Expenditure of Rs. 10,137.18 crore during 2009-10; NTPC Group’s
capital expenditure was Rs. 14,002.11 crore.
Approved outlay for 2010-11 for NTPC’s capital schemes is Rs.22,350 crore;
for NTPC Group the outlay is around Rs.29,104.06 crore.
Contributed Rs.3,260.21 crore to exchequer on account of Corporate tax,
Dividend and tax thereon and wealth tax.
Shareholder Wealth
Third largest market capitalization of over Rs.1,70,000 crore as on 31-03-2010.
Growing Stature
Recommended for “Maharatna” status.
EXCELLENT rating under Government of India MoU for the year 2008-09.
14
Bulk Tendering
Tendering undertaken for 11 units of 660 MW (including 2 units for DVC).
Rural Electrification
Under Rajiv Gandhi GrameenVidyutikaranYojana, NTPCElectricSupply Company
Ltd (NESCL) completed electrification of 8017 villages and provided 8.65 Lakhs
BPL connections, thereby exceeding GoI target of electrification of 7500 villages
and 8.5 Lakhs BPL connections.
Commonwealth Games
Official Power Partner of Delhi 2010 Commonwealth Games.
15
Further Public Offer
Government shareholding in NTPC reduced from 89.5% to 84.5% through
divestment of Government stake by 5% under Further Public Offer (FPO).
Accolades
Top six out of eight National Awards for Meritorious Performance of
Thermal Power Stations for 2008-09 instituted by the Government of India
won by NTPC coal stations.
16
Simhadri 1000 MW Gold Shield
Korba 2100 MW Silver Shield
Ramagundam 2600 MW Silver Shield
Dadri (coal) 840 MW Bronze Shield
Rihand 2000 MW Bronze Shield
Vindhyachal 3260 MW Bronze Shield
No. 1 Independent Power Producer inAsia and 2nd globally in the PlattsTop
250 Global Energy Company Rankings 2009
THE GROWTH STORY >>>
Installed capacity reaches 31,704 MW (including 2864 MW under JVs).
All time highest single day generation of 684.55 MUs from all NTPC stations
on 31st March, 2010
17,830 MW under construction at 17 locations. .
Project (Fuel) , State Capacity
Sipat-I (Coal), Chhattisgarh 1980
Barh –I (Coal), Bihar 1980
17
Korba-III (Coal), Chhattisgarh 500
Dadri-II (Coal)-Unit # 2, U.P. 490
Farakka-III (Coal), West Bengal 500
Simhadri-II (Coal), Andhra Pradesh 1000
Indira Gandhi STPP - JV With HPGCL & IPGCL (Coal),
Haryana
1500
Vallur (Phase -I & Phase –II) (Coal) - JV With TNEB,
Tamil Nadu
1500
Nabinagar-JV With Railways (Coal), Bihar 1000
Bongaigaon (Coal), Assam 750
Mauda-I (Coal), Maharashtra 1000
Barh-II (Coal), Bihar 1320
Rihand-III (Coal), UP 1000
Vindhyachal-IV (Coal), MP 1000
Muzaffarpur-II (Coal), JV With BSEB, Bihar 390
Koldam (Hydro), H.P 800
Loharinag Pala ( Hydro ), Uttaranchal* 600
Tapovan Vishnugad ( Hydro ), Uttaranchal 520
Total 17,830 MW
18
Capacity Addition in 2009-2010 (1560 MW)
Planned Capacity Addition in 2010-2011 (4150 MW)
Project/ Unit Capacity (MW)
NTPC owned
Kahalgaon Stage-II 500
Dadri Stage-II, Unit # 5 490
Under JVs
RGPPL Block- I 640
Less on account of overall de-rating of RGPPL (-)180
Kanti Stage-I 110*
Net addition 1560
Project/ Unit Capacity (MW)
Sipat Stage-I, Unit-1 660
Jhajjar, Unit-1 & 2 1000
Korba Stage –III, Unit-7 500
NCTPP Stage – II, Unit-6 490
Simhadri, Stage-II, Unit-3 & 4 1000
Farakka, Stage-III, Unit-6 500
Total 4150
19
Future Capacity Under Different Stages
Projects for which bids invited 7092 MW
Projects for which FR approved 4345 MW
Projects for which FR prepared/under preparation ~15,000 MW
Growth in Commercial Capacity
1490 MW declared commercial (including 500 MW under JV).
New national benchmark: Dadri Unit-5 (490 MW) begins commercial
operation in 39 months from zero date.
Generation
Impressive Growth Rate
Generation increased by nearly 6% to 218.84 BUs compared to 3% generation
growth achieved in 2008-09; Exceeded the MoU ‘Excellent’ target of 217 BUs.
170.88
188.67
200.86
206.93
218.84
2005-06 2006-07 2007-08 2008-09 2009-10
Generation (BUs)
20
Sustaining Market Leadership
Contributed 28.6% of total electricity generated in the country
Total electricity available in the country 771.17 BUs
Electricity import from Bhutan 5.34 BUs
Total Electricity Generation in the Country 765.83 BUs
Total Generation from NTPC Units 218.84 BUs
NTPC share in total electricity generation in the country 28.6%
21
World Class Capacity Utilization
With 90.81% Plant Load Factor (PLF) during 2009-10 (National PLF
77.48%), coal stationsachieved PLF of more than 90% for third consecutive
year.
Six coal stations achieved PLF of more than 95%.
Dadri (Coal) Stage I (4X210 MW) achieved highest ever PLF of 100.59 %.
Sixteen units recorded more than 100% PLF.
SevenNTPCcoal stations figure among the top 10 stations in the country in
terms of PLF.
Highest ever PLF of gas stations at 78.38% (previous year PLF 67.01%).
22
Augmenting Fuel Security
Model Coal Supply Agreement signed with Coal India Ltd (CIL) for supply of
coal to NTPC stations for 20 years.
Gas supplies increase to 13.88 MMSCMD (up 29% over previous year).
Long termcontract for supply of RLNG of 2.0 MMSCMD on firm basis and 0.5
MMSCMD on fallback basis signed with GAIL for 10 years.
Under NELP VIII, NTPC has been allotted one block at Cambay basin as a
sole operator and three blocks as a member of consortiums.
Coal Mine Development
Working on captive coal mines with target of 47 MTPA by 2017 from the 6 blocks
allotted.
More than 6735 acres of Land in Pakri Barwadih and about 1594 acres of land in
ChattiBariatucoal block have beenacquired and land acquisitionfor Dulanga and
Talaipalli are in progress.
Rehabilitation Action Plan (RAP) has been approved by NTPC Board for Pakri
Barwadih, Chatti Bariatu and Kerandari.
Mining Plan approved for Dulanga (7 MTPA) and Talaipalli (18 MTPA).
JV agreement has been signed with CIL for development, operation and
maintenance of Coal Blocks and Integrated Power Projects.
23
Coal Block Acquisition Abroad
Due diligence for acquisition of stakes in two coal mines in Indonesia is
under progress and consultant appointed for carrying out due diligence for
one coal block in Mozambique.
International Coal VenturesLtd (ICVL) hasbeenincorporated on20.05.2009
as a JV company of NTPC, RINL, SAIL, NMDCand CIL for sourcing coking and
thermal coal from overseas countries like Australia, Mozambique, Canada,
Indonesia and USA. ICVL is pursuing 3 thermal coal opportunities in
Indonesia, Australia and South Africa.
Getting into Nuclear
JV agreement is expected to be signed shortly with Nuclear Power Corporation of
India Limited (NPCIL). Approval has been obtained from Department of Atomic
Energy (DAE).
Focus on Renewables
By 2017, NTPC plans to have at least 1000 MW through renewable energy
resources such as wind, hydro, solar, biomass and geo-thermal.
24
Long Term Corporate Plan upto 2032
Finalizing the Long Term Corporate Plan of NTPC to set the goals and directions
for a period of 2032 with a view to positioning NTPC as the world’s largest and
best power producer.
Technology Roadmap upto 2032
Chalking out a long term technology roadmap upto 2032 which involves
development,adoptionand promotion of safe, efficient and clean technologies for
entire value chain of power generation business.
ENVIRONMENT MANAGEMENT
NTPC has adopted advanced and high efficiency technologies such as super
critical boilers for the up-coming greenfield projects (e.g Barh, Sipat etc).
Out of total coal based capacities to be developed during 12th plan period,
over 90% will be based on supercritical technologies.
In additionto adopting advanced and high efficiency technologies, NTPChas
been pursuing the objective of sustainable power development with
following initiatives:
25
CO2 measurement systemsare being installed at all our stations in the
chimney stacks.
61 Ambient Air Quality Monitoring System (AAQMS) installed in all
NTPC stations.
Installed Bio–methanation Plant at Faridabad.
Creation of green wealth of more than 18.80 million trees.
26
ASH UTILISATION
Achieved ash utilization of 59.73% i.e. 27.61 million tons of ash.
10.85 million tonsfly ash issued to cement and concrete industry which is 8.5
% more than last year.
545 million ash bricks have been manufactured in Pilot ash brick
manufacturing plants.
1.13 million tonsof ash fromTalcher-Thermal has been utilized for filling of
abandoned South Balanda coal mine of MCL in Orissa.
MoU has been signed with Research Designs & Standards Organization
(RDSO), Lucknow to explore use of ash in Railway embankment.
27
HUMAN RESOURCE MANAGEMENT
HR Vision:
To enable our people to be a family of committed world class professionals, making NTPC a
learning organization.
The HR Dept. has a long history inNTPC. This dept. wasearlier knownas personnel
dept. then finally HRS(Human Resource Services)
HRS contributes its expertise in handling and executing the
Existing and Developing HR trends and innovations. Following are the areas of
operation. :-
Employee Welfare
Employee Benefits
Employee Relations (Industrial Relations)
Employee Services (Office Admin.)And Pensions
Employee Services (Town Admin.)
Training and Development (EDC)
Performance Management System and Human Resource Development
Corporate Social Responsibility
Rajbhasha (Hindi)
Law
Peoplesoft – HRMS (ERP Software)
Public Relations
28
The HR strategy of NTPC has been designed around the four building blocks
of competence building, commitment building, culture building and system
building. Culture building is done by creating transparency, openness and
ease of communication, strengthening mutual respect and trust, leading to
establishment of a people oriented and people sensitive organization. This
has resulted in recognition of NTPC as one of the best employers in the
country as well as obtaining consistently high rankings in surveys such as
“Great place to work” and “Best companies to work for”.
Employee Development Centers (EDC) have been set up to cater to the need
of appropriate Training and Development of employees.
Leadership Assessment and Development System (LEADS): With a view to
developing a pipeline of leadersfor key leadership positions in the company,
an initiative named LEADS has been launched. A Leadership Development
Centre (LDC) at corporate centre hasbeenset up to formulate the process of
identifying and grooming potential leaders.
High Productivity of Team-NTPC: During 2009-10, sales per employee
increased fromRs. 1.77 crore to Rs.1.96 crore, profit per employee increased
from Rs. 34.7 lakh to Rs. 36.45 lakh, value added per employee increased
from Rs. 59.36 lakh to Rs. 72.96 lakh and the man:MW ratio improved from
0.85 to 0.82.
Total employee strength is 24,955 as on 31.03.2010, as against 24,713 on
31.03.2009 (including employees in JVs & Subsidiaries).
29
NTPC Kahalgaon
An Overview
30
NTPC KAHALGAON -An Overview
At Kahalgaon, a place from where light of wisdom eradicated darkness from
the minds of millions, it is the dawn of a new era. Kahalgaon super thermal power
project is the seventh in a series of STPs set up by the NTPC and first of it’s kind in
Bihar and second in the entire EasternRegion. Contributing to NTPC’sgood health
is one of its unit at Kahalgaon in Bihar which was set up in 1987 with a technical
collaboration from the then USSR. The location of the plant is such that the raw
material for the plant like coal is easily available from the Rajmahal collieries
(31km from Kahalgaon) and the water requirement is met from river Ganges.
The project with Stage-I capacity of 840 MW has already been completed
comprising 4X210 MW unit is under commercial operation. Further expansion of
500X2=1000MW in State-II, Phase-I & 500X1=500 MW in phase-II during 10th year
is under commercial operation. The ultimate capacity is 2340 MW.
31
Destination Kahalgaon
A lush green, picturesque Kahalgaon is set like an emerald on the bank of holy
river Ganga. The place was, once, the abode of saints and Sufis and has a history
dating back to Vedic times. According to legend, the place derived its name from
Kohol Muni. Another story is that Saint Durvasha, famous from his bad temper
(‘Kalaha’), hailed from this place. The Kashri Hill where Saint Durvasha had
hisashram is about 6.5 Km north-east of the town.
The ancient temple of shiva & kali at Bateswarsthan (Known as Gupt Kasi) is
situated at Kahalgaon on the bank of Ganga. The Chinese pilgrims Hieun Tsiang
and Fa Hien are said to have visited this place. Lord Budha’s feet are also believed
to imprint on this holy place.
The site of ancient university of vikramshila of the 8th centure A.D., established
by king dhrampal, is only 15 Km from the town. Students from all over the world
came to this place in search of knowledge. It was from here, Saint Deepankar
Janapada, the renowned Buddhist scholar and Vice-chancellor of Vikramshila
University spread the light of wisdom and love. Kahalgoan is also known as the
land of sevensages(‘Sapt Rishis’). The place was also an important centre of trade
and commerce during the Britishers.
Deeptinagar- A Mini India
The Deeptinagar Township is built ina planned and systematic way, with wide
open streets, spaces, parks and greeneries. The pristine glory and ecology of the
surroundings area is least disturbed. A permanent township with all modern
facilities completed and employees residing here represent the culture of mini
India.
NTPC has developed its own shopping complex where all essential
commodities and services are available. Besides, the NTPC employees also run a
Co-oprative store. The Banking & Postal needs of residents of Deeptinagar and
surrounding areas are taken care by branches of state Bank of India, Allahabad
Bank with ATM facilities and full fledged Post Office with speed post facilities
established inour Township. Deeptinagar officersample opportunities for healthy
recreation and Socio cultural activities. These needs are taken care of by the
employee’s welfare Association, Vikramshila club and Srishti Samaj by organizing
various cultural programmes from time to time.
32
The NTPC sport council and apex body of sports enthusiasts conducts
interdepartmental tournament into institute in various games and sports besides
regularly conducting rural sports & inter duty football tournament.
Health Care
“Our hospital is an ISO 9001, 14001, 18001 &5’S certified hospital with all
specialties &
equipped with modern set up provide diagnostic & therapeutic services including
promotive & preventive health care to the residents of Deepti Nagar & its
surrounding areas.”
Education- A foremost Objective
Imparting excellent education to the children of employees has been one of the
foremost welfare measureof NTPC. There are three teaching institution affiliated
to C.B.S.E. stream, namely St. Joseph’s School, DAV Public School and Kendriya
Vidyalaya. The schoolsare running effectively and are imparting education to the
children of employees and surroundings. In additin to basic education, these
institutions. SrishtiSamaj of Deeptinager also runs Little flowers school and Vidya
BhawanSchool. The former impartspre-schoolseducationto tiny-totsby play-way
technique and the later imparts free primary education to the children of
neighbouring villages.
33
Environmental Excellence
The Kahalgaon plant of NTPC integrates many environmental provisions in the
plant design in order to keep emission, effluents and ambient air quality well
withinacceptable limits, it has provided the best available equipments, devicesand
systems such as high efficiency electrostatic, precipitators (ESPs) Tall stacks and
Low Nox Burners for control of stack emissions, dust extrication and dust
suppression system for control of fugitive dust. Effluent treatment plants
NeurtalisationPitsand Ash pondsfor control of the effluent quality, Ash water Re-
circulationsystemand cooling Towers for control of the effluent quality as well as
conservation of water and sewage Treatment plant (STP) for treatment of the
domestic sewage from its plant and township areas.
All pollutants discharged from the power plant are monitored at the
stipulated frequency at the source itself and at the points of discharge Besides
ambient air, surface water and ground water quality around NTPC Plants are
regularly monitored to assess any adverse impacts as a result of operation of the
power plant NTPC has drawn a programme for changing ash disposal systems at
its existing power plants from once through system to recycling system, where
clear effluent from ash pond s recycled and only little quality of blow down is
required to be discharged after treatment. The ash water recycling system has
already been installed and is in operation at Kahalgaon. The scheme has helped
the station to save huge quantity of fresh water required as makeup water for
disposal of ash .
34
In order to control fugitive dust from these ash ponds during strong
wind conditions, a continuous water cove is maintained in the ash pond for the
disposal of Bio-Medical waster as per the MOEP notification one autoclave has
beeninstalled at the hospital which is in operation. At regularly intervals training
and awareness programme for Brick kiln owners/ manufactures for use of ash
Brick manufacturing are being conducted. Not only that, recently a Kisan Mela for
the farmers of affected villages was conducted- for promoting use of flv ash in
agriculture as a source of micronutrients and improvement in soil structure and
water holding capacity. What’s more in a concreted bid to counter the growing
ecological threat, NTPC is undertaking afforestation programme covering vast
areas of land in the plant areas Appropriate afforestation programme for plants
township and greenbelt areasof the project are prepared for implementations at
the site. The species are selected on the basis of their adaptability and local soil
condition. InKahalgaon8.7 lakh treeshave already beenplanted till the date. Only
in the financial year 2009-10, more than 10,000 trees have been planted. The
afforestation has not only contributed to the aesthetics but also has been serving
as a ‘sink’ for the pollutants release from the station and thereby protecting the
quality of ecology and environment in and around the project.
Transforming Lives
NTPC belives in growth with a human face and pursuing people centered
development NTPC is a socially comittel organsation and socially responsible
corporate citizen. It attaches great importance of discharging its overall
responsibilities to the community and the society at large where its project and
stations are located there is sharp focus on all round development of the
community which is why the efforts do not stop at the individual or family level
redressal but take a holistic approach. The NTPC limited has a defined corporate
social responsibility policy. The objectives of CSR have been marked for booth the
national level and the unit leve. The national objectives contained providing help
to physically challenged persons, making relief at the time of natural calamities,
maintaining national mouments and promoting self employment and co-
operatives among the unemployed youths. The unit level objectives deal with the
core issue of the communities, residing in the neighborhood of the operative
stations.
35
At Kahalgaon the following CSR Activities done during the period
of 2009-10.
10 nos. High Mast Lights erected at Bhagalpur. 6 nos. High Mast Lights are
proposed at Kahalgaon.
Total project affected villages – 66 (In Bhagalpur Distt. of Bihar-37 & in
Godda Distt of Jharkhand-29). Resettled in Indira Awas & Basant Vihar
Colony (RC-I & RC-II) – 285 Nos.
Construction/repair of approx.3.00 Km Road at village Anadipur, Katoria –
to- Mazdaha and at Kahalgaon. Work in progress:
Construction/renovation of 03 Community Hall at Chhopaltola,
Sobhnathpur & Mahagama.
Free education, books and school bags, to poor children of nearby villages
350 Nos. in Vidya Bhawan School in NTPC Township from Class-I to Class-
IV.
Sewing Training & Adult Education is imparted to the women/ young girls
of nearby villages.
Distribution of Relief Materials for Fire Victims at Krishandaspur(70) &
Naya Nagar Ranideora(11) of KahalgaonBlock. Distributed Relief Materials
for Fire Victims at Babupur Deora(152) of Pirpainti Block. Relief materials
provided to the fire victim of Jamunia Tola.
EYE CAMP organized in Nov.2009 by our Hospital and patients operated-
155.
Distribution of study materials/stationeries and woolen clothes to the
children of Ramadevi Hindu Anathalay at Bhagalpur.
Relief materials distributed to fire victims at Daulatpur-22 families in
association with Srishti Samaj.
36
Financial Support for purchase of Newspapers and Magazines to
Vikramshila Vihar Library, Ganguly Park, Kahalgaonfor educational access
to the general public.
Sponsored Sports and Games tournament at Kahalgaon, Akbarpur, Lailakh,
Belbadda & Banshipur to encourage local youths under CSR budget.
03 Nos. Tubewells installed in nearby villages.
CSR FUTURE PLANS
Adoption of 06 villages (03 in Bhagalpur District of Bihar & 03 in Godda
District of Jharkhand)
Installation of 14 High Mast Lights (08 in Godda District and 06 in
Bhagalpur District)
Providing opportunity under job contract for engagement to equired
number of PAPs of unskilled and semi-skilled categories.
Encouraging formation of Co-operatives of PAPs by giving membership to
land oustees for awarding job contract in plant and township area.
Work proposed in 2010-11 :-
Constructionof Girls & Teachers' Common Room with Toilet in SSV College,
Kahalgaon
Widening of Siri Ghat (From Sati Ghat to Durga Sthan LCT Ghat),
Kahalgaon
37
Developmental work in Kahalgaon Railway Station
Construction of drain on both sides from Vikramshila Park Chowk to
Irrigation Dept's Bandh Chowk, Kahalgaon
Repair of PCC Road & drainage – Kalpana Cinema Road (Station chowk to
Charodham – 1.5 Km), Kahalgaon
Construction of Madya Vidyalaya (Middle School),Choudhary Tola,
Kahalgaon.
Constructionof road & drainage (fromChoudhary Tola Madya Vidyalaya to
Late Raghunath Sah & upto residence of Laxmi Prasad Choudhary – 1
Km),Choudhary Tola, Kahalgaon.
Construction of two rooms in High School, Gajhanda (Godda)
Construction of common room at Mahavidyalaya at Mahagama (Godda)
Construction of steps in Champa Talab in Kalgiganj.
Construction of retaining wall and development of site construction of
school building in Ogri Village
Construction of Community Hall with Toilet, Shobhnathpur
Construction of boundary wall, steps in pond, approach road & gate at
Yogbir Pahad
38
Developmental work in RC-I
Developmental work in RC-II
Milestones dates of Kahalgaon Units
Sl Units Date of Synch. Date of Coal Firing Date of
Commercialisation
1 Unit # 1 24/03/1994 18/08/1994 01.01.1995
2 Unit # 2 01/03/1994 30/11/1994 01.04.1995
3 Unit # 3 24/03/1995 31/08/1995 01.02.1996
4 Unit # 4 18/03/1996 31/03/1996 01.08.1996
5 Unit # 5 31/03/2007 02/02/2008 01.08.2008
6 Unit # 6 16/03/2008 03/11/2008 30.12.2008
7 Unit # 7 28/06/2009 28/06/2009 20.03.2010
39
Beneficiary States :
- States & Union territories of ER, NR, WR, SR & NER.
Transmission systems :
400 KV: 10 Lines i/s & 2 Lines under installation.
400 KV D/C to Farakka, Maithon, Patna.
400 KV 2 D/C to Biharsharif.
400 KV D/C Farakka line- 3 & 4 work being executed by PGCIL.
132 KV to Bihar Grid at Sabour & Kahalgaon and Jharkhand grid at Lalmatia,
40
KAHALGAON STATION PROFILE
Location : Kahalgaon
District - Bhagalpur
State - Bihar
Nearest Rail head : Kahalgaon
Nearest Airport : Patna (250KM) &
Kolkata (380 KM)
Capacity Installed : Stage-I (4 X 210 MW)
: Stage-II: Phase-I & II(3 X 500 MW)
Total Land Available: 3360 Acres
Plant - 883 Acres
Township - 432 Acres
MGR - 522 Acres
Ash dyke - 1395 Acres
Make-up & Roads - 128 Acres
Land Required for MGR up to New Coal Mines:
HURRA “C”: 99.55 Acres.
(Godda District- 99.55 Acres)
CHUPERBITTA: 334.62 Acres
Godda District:-103.69 Acres.
Sahebganj District: 230.93 Acres.
Source of Water : River Ganges
Make-up water : Stage-I - 3000 M3/Hr
requirement Stage-II - 6000 M3/Hr
Cooling system : Closed cycle induced draft Cooling towers system.
41
Performance Management
What, Why & How?
42
PERFORMANCE MANAGEMENT-What, Why & How?
Historical Perspective :-
 Measuring and appraising performance is probably the most researched area
within HRM,the last hundred years have seen continuous evolution in
approaches to Managing employee performance.
 The earliest recorded instance of a formal evolution report was in 1813.
 The start of the industrial age in the 1800s saw trends of performance
appraisal in industry.
 In the 1890s Frederick Taylor’s scientific approach and Fayal & Weber’s
bureaucratic theories suggested that financial inducements stimulated
production performance.
 The Hawthorne studies in 1927 - 1932 emphasized the influence of supportive
and caring supervision.
 It wasonly after world war–I that appraisals in industry became accepted. The
appraisal of managerswas not extensively practiced until after world war – II.
 The appraisal system that evolved over the period
 Narrative/Essay report: Used mainly by Armed forces , Civil
service and Large organization in public sector.
 Traits were the focus of performance Management in 1970s.
 MBO concept came into picture in 1980s.
43
When we talk about the five dimensionsof HumanResource Management (HRM),
we list down the following, namely,
Performance Management,
Career Management,
Recruitment & Selection,
Training & Development, and
Compensation & Benefits Management.
These five dimensions, though equally important, often fail to secure equal
attention from Human Resource (HR) managers. The facts that performance
management is not just an annual performance appraisal and training is not the
WHAT COUNTS
GET MEASURED
WHAT GETS
MEASURED GETS
DONE
WHAT GETS
REWARDED
COUNTS
WHAT GETS
DONE GETS
REWARDED
44
only solution to effective performance are forgotten by the HR managers and the
management team. Asa result, successful organizations, happy with their existing
success status, is actually deprived of a potential growth that could have been
achieved should they have invested more attention to performance management
than only performance appraisal For instance, the total HR performance of a
company is worth Rs 1000, which means the employees’ performance is resulting
revenue worth Rs 1000. Among this set of employees, some are excellent
performers, some are good, some moderate and some poor. This difference in
performance level are due to the fact that some are using 100%of their potentials,
some working below their full potentials and some working at zero or marginal
potentials. The challenge of equalizing the difference in performance level lies in
an objective performance management system.
What Performance Management Is Not:
it’s not just an annual performance appraisal
it’s not imposing targets/goals on an employee by his supervisor
it’s not only evaluating individual job performance
What is Performance Management:
it’s Management By Objectives (MBO)
it’s about setting SMARTER goals
it’s about planning to perform
it’s about periodically reviewing progress in performance
it’s about evaluating performance for further improvement
it’s about delivering reinforcement for performance success and
performance failure
45
What is the Performance Management Process/Cycle :
The steps of Performance Management Process are as follows:-
Individual Goal Setting & Performance Planning
A goal setting session between the PMS administration and the employee.
listing down the major goals to be achieved in a year in line with functional
objectives.
Reviewing goals to assess the feasibility of their accomplishments; making
sure the goals are SMARTER- Specific, Measurable, Actionable, Realistic,
Time-framed, Extended & Rewarding.
finalizing goals for a year.
planning about how to achieve the goals.
identifying the possible barriers in achieving them.
planning on ways to overcome those barriers.
Mid Year Performance Review
A performance review session between the PMS administration and the
employee
discussing performance progress status.
revising performance plan (if needed) with new deadlines for goals
46
Performance Appraisal
A performance appraisal session between the PMS administration and the
employee.
measuring performance as against preset goals.
measuring competencies required for current role.
measuring potentials as against required competencies set for future role.
chalking out Individual Development Plan outlining to fill skill gap,
motivation & aspiration gap and communication & cooperation gap.
chalking out Reinforcement plan to reward/recognize for success and
punish for deliberate failure.
The beauty of this Performance Management process is that it has three
dimensions only, which give three major outputs that can be fed into other four
dimensionsof HRM and not to mentionPerformanceManagementalso. The beauty
is illustrated as follows:
Performance
Assessment
Performance
Measures
Rating Scale Outputs
Performance
Evaluation
Preset Goals 5-points New goal setting
Competency
Evaluation
Required
competencies of
current role
5-points
Development
Plan
Potential
Evaluation
Required
competencies of
future role
5-points
Career
Development
Plan
47
Performance Management System
at NTPC
48
PMS AT NTPC
PMS is a five step process:-
Step 1
Identifying KPAs, Constituents, Weightages, Measures and Targets.
Identifying Functional and Managerial Competencies for the appraise.
Mid – year
Review
Annual
Assessment
Performance
planning
Feedback
Normalisation
Process
Step 1
Step 5
Step 4
Step 3
Step 2
PMS Process
49
Step 2
Joint review of performance
Document Changes in KPAs if any
Document mid year review discussion
Step 3
Assessment of KPAs, Competencies, Values and potential by appraiser .
Training and development plans.
Review by reviewing officer
Step 5
Communication of score
Developmental feedback
KPA Setting Process:
Company Goals
Unit Goals
Individual Goals
Functional
/Departmental Goals
MOUs
Special
task
Initiatives
Corporate
plan
50
PMS COMPRISES ASSESSMENT ON FOUR PARAMETERS WITH DIFFERENT
WEIGHTAGES FOR VARIOUS LEVELS
S.NO. PMS PARAMETER WEIGHTAGES FOR DIFFERENT GRADES
E1-E3 E4 E5 E6-E7 E7A-E8 E9
1 KPA 80 75 65 60 50 50
2 a. Functional
competency
assessment
10 10 10 10 10 05
b. Managerial
competency
assessment
05 05 10 10 15 15
3 Potential
assessment
Nil 05 10 10 10 10
4 Value assessment 05 05 05 10 15 20
Total 100 100 100 100 100 100
For junior executives there is higher weightage on KPAs and functional
competenciesasthere ishigher focuson achieving the immediate functional
task.
The weightage on Managerial competencies and values increases for an
executive asthe grade increasesbecause of importance of achieving business
goals by managing work of other employees through ethical means.
At NTPC Online Performance Management System is being practiced for
Executives. For Non Executives it is still manual.
51
Thre are three major challengesineffective implementationof PMSat NTPC
1. Involvement of big number of executives (approx 1200) in designing
of KPAs and Competency Directory.
2. Skill gap in feedback and performance counseling.
3. Transformation from legacy to transparent system.
PERFORMANCE LINKED PAY
Proportionincreases with seniority Proportion decreases with seniority
EMPLOYEE
COMPENSATION
FIXED
COMPONENT
VARIABLE
COMPONENT
INDIVIDUAL
PERFORMANCE
UNIT
PERFORMANCE
COMPANY
PERFORMANCE
52
Relative Weightage for company Unit and Individual
Performance.
PERFORMANCE WEIGHTAGE
TOP MGMT. MIDDLE MGMT. JUNIOR MGMT.
COMPANY’S 50% 35% 15%
UNIT’S 30% 25% 20%
INDIVIDUAL’S 20% 40% 65%
53
Methodology Used
For
Study and Data Collection
54
RESEARCH METHODOLOGY
This Project was made to study how effective the current performance
management system is and how convenient is the newly introduced online
performance management system at NTPC.
The method of survey was rather very simple. We used sampling method to
conduct survey. Sampling was done on random basis covering all departments. A
total of 50 executives from different departments of NTPC Kahalgaon were
surveyed. We personally met them and took their views during conversation .We
also supplied a questionnaire to each of themand collected backlater according to
their convenience giving them appropriate time to respond to the questionnaire.
A total of 20 questions were there in the questionnaire.
Analysis of raw data was done with the help of graphical representation.
55
Graphical Representation
Of
Feedback Given
By
Executives
56
Quest: 1- you feel convenient with computerized online performance
management system at NTPC.
Agree 58% Neutral 2% Strongly Agree 40%
Inference :- No one disagreed and only2 % Executiveswereneutral so we can
say that most of them are tech savvyand feel convenientwithonlinePMS.
58%
2%
40%
percentage
Agree
Neutral
Strongly agree
57
Quest:-2 your job description clearly define KPA’s on which your
performance is rated.
Agree 60% Neutral 24% Strongly Agree 16%
Inference:- They were well awareaboutthere KPAsand felt that it is according
to there job profileas 84% Executivesagreed to it.
60%
24% 16%
Percentage
Agree
Neutral
Strongly Agree
58
Quest:3 -The goals (KPA’s) set are always mutually agreed upon i.e.
your consent is taken into consideration while setting KPA’s.
Agree - 38% Disagree - 10% Neutral - 38% Strongly Agree - 14%
Inference: - The response wasdivided although52 % Executivesagreed about
their consent being taken intothe KPA setting process, 10% disagreed and 38%
preferred not to answer. It says that in general executives participatein the KPA
setting process but there is some dissatisfaction.
38%
10%
38%
14%
Percentage
Agree
Disagree
Neutral
Strongly agree
59
Quest: 4- The performance goal set by the appraiser for you are in
alignment with your career aspirations.
Agree-- 38% Disagree--10% Neutral -- 44% Strongly Agree – 6%
Strongly Disagree --2%
Inference :- This shows the level of job satisfaction of employees. As 44% of
them agreed and 0nly12% disagreed to the fact that their KPAsmatches their
career aspirations, wecan say mostlythey are satisfied
38%
10%
44%
6% 2%
Percentage
Agree
Disagree
Neutral
Strongly Agree
Strongly disagree
60
Quest: 5- The deadlines set to complete and submit the performance
documents are sufficient.
Agree—68% Disagree—6% Neutral—14% Strongly Agree—12%
Inference:- Mostly they are satisfied withthe operations of Performance
Managementsystem.
68%
6% 14%
12%
percentage
Agree
Disagree
Neutral
Strongly Agree
61
Quest: 6 - The KPA’s are in accordance with the MOU targets of the
company and the targets of the plant.
Agree—58% Disagree—8% Neutral—26% Strongly Agree-- 8%
Inference:- It simplyshowsthe awarenesslevel of Executives. 66% of them were
agree and felt that individualgoalsmatcheswell withunitgoalsand company
goals.
58%
8%
26%
8%
Percentage
Agree
Disagree
Neutral
Strongly Agree
62
Quest: 7- All the factors facilitating and hindering performance are
taken into consideration while appraising the performance.
Agree—40% Disagree—10% Neutral – 44% Strongly Disagree—2%
Strongly Agree—4%
Inference:- Although12 % of executives disagreed a healthy proportion of them
agreed to this. Generallymostof the factors affecting the performance of an
employeeare taken into considereation.
40%
10%
44%
4%
2%
Percentage
Agree
Disagree
Neutral
Strongly Agree
strongly Disagree
63
Quest: 8- Your seniors assist you at the time of your need.
Agree—64% Neutral—18% Strongly Agree—18%
Inference:- The response says that that there is a healthy environmentof
working, seniorsassist their subordinateswheneverthere is any need.
64%
18%
18%
Percentage
Agree
Neutral
Strongly Agree
64
Quest: 9- Your final rating is doesn’t only on your competencies and
KPA’s but also on several other factors are like your corporate image
and interpersonal relation with the rater.
Agree—40% Disagree—4% Neutral—16% Strongly Agree—40%
Inference:- Along withthe competencies and KPA achievementsthe factors like
corporate image andcommunicationskillsof the executivesmatter whilerating
their performance.
40%
4% 16%
40%
Percentage
Agree
Disagree
Neutral
Strongly Agree
65
Quest: 10- Your doubts and queries are addressed by the PMS
administrator while operating online PMS.
Agree—40% Disagree—4% Neutral—35% Strongly Agree—14%
Strongly Disagree—4%
Inference:- Except a few disagreementmostof the employees agree that their
doubts and queriesare addressed by the PMS administrator.
40%
4%
38%
14% 4%
Percentage
Agree
Disagree
Neutral
Strongly Agree
strongly Disagree
66
Quest: 11- PMS is very useful for career planning.
Agree—64% Disagree—4% Neutral—24% Strongly Agree—8%
Inference:-Most of the executiveadvocatethe need of performancemanagement
in career planning.
64%
4% 24%
8%
Percentage
Agree
Disagree
Neutral
Strongly Agree
67
Quest: 12- The process is used mainly for improving the future
performance along with reviewing the present performance.
Agree—52% Disagree—6% Neutral—26% Strongly Agree—28%Strongly
Disagree—2%
Inference:-Performance managementismeantfor improving future
performanceof employees and most of them agreed to it. The rewardsand
recognitionsare part of performanceupgradation.
52%
6%
26%
14% 2%
Percentage
Agree
Disagree
Neutral
Strongly Agree
strongly Disagree
68
Quest: 13- You feel free to express to your appraiser your
disagreement regarding the appraisal decision.
Agree—38% Disagree—20% Neutral—38% Strongly Agree—2%
Inference:-It seems that upto some extent the employees are hesitant to express
their disagreementregardingthe appraisaldecision to their appraiser, butoverall
the system is open and flexibleas40% of them agreed to it and almostthe sameno
were neutral.
38%
20%
38%
4%
Percentage
Agree
Disagree
Neutral
Strongly disagree
69
Quest: 14- Your seniors provides you with continuous feedback to
help you achieve your KPA’s.
Agree—46% Disagree—16% Neutral—36% Strongly Agree—2%
Inference:-Mostly Executivesare well awareaboutthere KPAs and seniors keep
providing them feedback to achievethat, althoughsome of them disagreed to it
whichmaybe due to miscommunication between seniorand subordinates.
46%
16%
36%
2%
Percentage
Agree
Disagree
Neutral
Strongly Agree
70
Quest: 15 - The recognition given to high performance is appropriate
and helps in motivating the employee.
Agree—42% Disagree—18% Neutral---32% Strongly Agree—8%
Inference:-The recognition given to Highperformers is appropriate. There are
scopes of evolution of the recognition system so that even those who disagreed to
the appropriatenessof the recognition system get satisfied.
42%
18%
32%
8%
Percentage
Agree
Disagree
Neutral
Strongly Agree
71
Quest: 16- Appropriate training is given to employees who fail to meet
the expected performance level.
Agree—18%Disagree—24% Neutral—48% Strongly Agree—2%
Strongly Disagree—8%
Inference:-Although half of the executives surveyed preferred to be neutral,
There is a need to improvethe trainingsystem so that appropriatetraining could be
given to those who need it.
18%
24%
48%
2%
8%
Percentage
Agree
Disagree
Neutral
Strongly Agree
strongly Disagree
72
Quest: 17- The online PMS is dynamic and keeps you aware about
your instantaneous weak and strong area of performance effectively.
Agree—32% Disagree—26% Neutral—30% Strongly Agree—2% Strongly
Disagree—10%
Inference:-The onlinePMS maybe dynamicascompared to the manualsystem
but it does not provideinstantaneousfeedback about one’s KPAs.
32%
26%
30%
2%
10%
Percentage
Agree
Disagree
Neutral
Strongly Agree
strongly Disagree
73
Quest: 18- You are satisfied with the weightages given against each
activity that you are supposed to perform in the specified period.
Agree—44% Disagree—10% Neutral—36% Strongly Agree—10%
Inference:-Mostly they agreed aboutthe adequacyof weightagesgiven against
each activitywhichthey are supposed to perform in a given period.
44%
10%
36%
10%
Percentage
Agree
Disagree
Neutral
Strongly Agree
74
Quest: 19- your training need should be identified through the
midyear review.
Agree—60% Disagree—12% Neutral—6% Strongly Agree—22%
Inference:-Mostly they agreed that their training needsshould be identified in
mid term. It shows the employees are eager to go through appropriatetrainingif
any and improvetheir performance.
60%
12% 6%
22%
Percentage
Agree
Disagree
Neutral
Strongly Agree
75
Quest: 20- Managers and Employees trust the appraisal process.
Agree—56% Disagree—8% Neutral—32% Strongly Agree—4%
Inference:-The appraisalprocess is trustworthy.
56%
8%
32%
4%
percentage
Agree
Disagree
Neutral
Strongly Agree
76
Suggestions
PMS should be linked to Business strategy.
Performance assessment should be objective and efficient.
PMSshould be an “openand participative system” with feedbackloops
where everyonefeelsfreeto expresstheir viewswith the appraiser.
PMSshould distinguish high performersfromlow performers. The
recognitionto high performersshould be done with more efficiency.
PMSshould have a “developmental focus” with appropriate training system
to cater the training need of employees.
The processshould be monitored efficiently addressing the doubtsand
queriesof the employees.
The KPA setting processshould ensure the active participationof executives.
There should not be any communicationgap betweenseniorsand
subordinatesasit is of utmost importance inperformancemanagement.
Persuasive sessionsshould be organized to emphasize the need of
performance management and how the active participationof employees
without any biaseshelp in improving performance management system.
77
Conclusion
The aim of performance management system is ensuring the
maximization of efforts by the employees of the organization to realize
the desired goals. More effective the performance management of an
organization more productive the organization would be. NTPC as a
whole is a big organization with vast number of employees working
there, to manage the performance of such a great number of people
efficiently is a herculean task.
The survey and personal interviews conducted during the
project work says that an effective performance management system is
on place but as we know everything in this world keep evolving itself for
betterment, the performance management system is not an exception.
NTPC can touch new heights in the field of energy
management by managing its manpower more efficiently, addressing
there training needs, recognizing the high performances and making
them feel the freedom of expressing their points.
78
Limitations of the Research
The subject was too big but time available was too less. The survey
was not conducted among all the employees of NTPC but on a
sample of randomly selected executives.
At times it was often felt that there is a difference between the real
feeling and the feedback given by executives. Exact feedback must
be given so that the analysis done would be correct.
Some of the executives were not interested in the subject metter.
We were unable to discuss issues related to our project with some
people and only responses to questionnaire were collected.
79
Bibliography
Human Resource and Personal Management - K. Ashwathapa
Organizational Behavior - Stephen p. Robins
http/intranet 1 – KHSTPP
www.google.com
www.wikipedia.org
www.citehr.com
www.ntpc.co.in
80
Questionnaire
On
Effectiveness of Performance Management System
 You feel convenientwithcomputerized onlineperformance management
system at NTPC
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 Yourjob description clearlydefines KPA’s(Key performing areas)on which
your performanceis rated.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 The goals(KPA’s) set are alwaysmutuallyagreed upon ie – your consent is
taken into consideration whilesetting KPA’s.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 The performancegoal set by the appraiserfor you are in alignmentwithyour
career aspirations.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
81
 The deadlinesset to completeand submitthe performancedocumentsare
sufficient.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 YourKPA,sare in accordance with the MOU targets of the companyand the
targets of the plant.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 All the factors facilitating and hindering performanceare taken into
consideration whileappraising the performance
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 Yourseniors assist you at the timeof your need.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
82
 Yourfinal rating isbased not only on your competenciesand KPA’sbut also on
several other factors likeyour corporate imageand interpersonalrelation with
the rater.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 Yourdoubts/Queriesare addressed by the PMS administratorwhileoperating
onlinePMS.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 Performancemanagementsystem is very useful for career planning.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 The process is used mainlyfor improvingthe future performancealong with
reviewing the present performance.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
83
 You feel free to express to your appraiseryour disagreementregarding the
appraisal decision.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 Yoursenior manager providesyou withcontinuousfeedback to help you
achieve your KPA’s.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 The recognition given to high performanceis appropriateand helpsin
motivatingthe employees.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 Appropriatetrainingisgiven to employees who fail to meet the expected
performancelevel.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
84
 The onlinePMS isdynamicand keepsyou awareaboutyour instantaneous
weak or strong area of performanceeffectively.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 You are satisfied withthe weightagesgiven againsteach activitythat you are
supposed to perform in the specified period.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 Yourtrainingneed should be identifiedthrough the mid yearreview.
1. strongly disagree
2. Disagree
3. Neutral
4. Agree
5. Stronglyagree
 Managersand Employeestrust the appraisalprocess.
1. strongly disagree
2. . Disagree
3. Neutral
4. Agree
5. Stronglyagree

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Performance-management-system-at-ntpc

  • 1. 1 A PROJECT REPORT ON EFFECTIVENESS OF PERFORMANCE MANAGEMENT SYSTEM AT NTPC Kahalgaon Based on Survey conducted on Executives at NTPC Kahalgaon in the month of June-July 2010 July, 26, 2010
  • 2. 2 HR Department Kahalgaon super Thermal Power Project Bhagalpur A PROJECT REPORT ON EFFECTIVENESS OF PERFORMANCE MANAGEMENT SYSTEM AT NTPC Kahalgaon Submitted to- Submitted by- Employee Development Center Ambesh Kumar NTPC Kahalgaon Rajeev Kumar MBA(HR) 2009-2011 Copy to- MBA Dept. TMBU Bhagalpur HOD, MBA Program TMBU Bhagalpur July, 26, 2010
  • 3. 3 Declaration We hereby declare that the project entitled “Effectiveness of Performance ManagementSystem” at KHSTPPissubmitted for partial fulfillment of our course curriculum i.e.- MBA(HR) from TMBU Bhagalpur (session 2009-2011) The project was carried out by the survey done by us with the sincere intention of benefitting the company . Project duration was from June, 10, 2010 to July, 26, 2010. To the best of my knowledge it is original work carried out by us and is not submitted in any other college. Ambesh Kumar Rajeev kumar MBA(HR),Session 2009-2011 MBA Dept. TMBU Bhagalpur
  • 4. 4 Acknowledgement To accomplisha project work likethis efforts of manypeopleare required and ours is not an exception, a numberof people have helped us. First of all wewould liketo thank Sri ShubhasisGhosh(GM,khstpp), and Sri Rajnish Rastogi (DGM-HR). We convey our special thanks to Miss Pallavi (Officer-HR) for her guidance during the course of our project study. We express our sincere thanks to Mr. Nalin vikash (Officer-Rajbhasha), Mr.Anurag Sinha (Sr.Engineer, EDC), Mr Pravin Mundaria(Officer-Finance), Mr. Kanchan Chourasia (Sr. Engineer-O&M) and Mr. A. K. Das (Sr. PR Officer). We like to thank Mr. B.R.Prasoon (EDC), Mr. R.Raghunathan (Officer- CSR), Mr. B. P. Yadav(Sr. Manager-Finance), Mr. Naveen Choudhary(Officer- Law), Mr. Atul Parashar(Officer-EW), Mr. P. K. Shamal(Sr. Officer-EW) and all those persons who helped us in getting grass root information aboutNTPC and the performancemanagementsystem workingthere, from whom we received valuable co-operation, useful suggestions and relevant data and information pertaining to our project and responses to questionnaire. We are thankful to all of our friends who have been a source of motivation to us. At last but not least we convey our heartily gratitude to our Director Prof. Ratnesh Sinha and all the faculty members of MBA program, TMBU Bhagalpur for their constant guidanceand help. Finally we thank God who blessed us in our endeavor. Ambesh kumar Rajeev kumar MBA-HR (2009-2011) MBA program, TMBU Bhagalpur
  • 5. 5 Table of contents Page Declaration 3 Acknowledgement 4 Introduction to NTPC 7 NTPC Kahalgaon-An overview 29 Performance Management-What, Why and How 41 PMS at NTPC 47 Methodology Used for Study and Data Collection 53 Graphical Representation of Feedback given by Executives 55 Suggestions 76 Conclusion 77 Limitations of The Research 78 Appendix- Bibliography 79 Questionnaire 80
  • 6. 6 Table of Figures Page NTPC at a Glance: - Details of power stations 9-10 Subsidiary companies 11 Joint Ventures 11 National awards for performance of thermal Power stations 16 Project under construction 16-17 Capacity addition in 2009-2010 18 Planned capacity addition in 2010-2011 18 NTPC’s share in total electricity generation 20 Ash utilization 26 Milestone dates of Kahalgaon units 38 KPA setting process 49 Weightage of PMS parameter for different grades 50 Performance linked pay 51 Response to questionnaire 56-75
  • 8. 8 INTRODUCTION TO NTPC NTPC: India’s largest power company Established on 7th November 1975 to play a major role in the development of Indian Power Sector: NTPC Limited is today India’s largest power company with an installed capacity of 31,704 MW Lighting up more than one fourth of India through its 15 coal based 7 gas based and 5 joint venture projects, NTPC Limited plans to become a 75,000 MW Company by the year 2017 with a visionto become a world class integrated power major with increasing global presence. NTPCRanked No. 1 Independent Power Producer in Asia and 2nd in the world in the Platts Top 250 Global Energy Company list for 2009. Ranked number ONE in the category the 'Best Workplaces for Large Organizations' and number tenth overall for the year 2009 by Great Places to Work Institute’s India chapter in collaboration with Economic Times.
  • 9. 9 NTPC: At a Glance Category No. of stations Capacity (MW) Coal based station 15 24,885 Gas based station 7 3,955 Joint venture 5 2,864 Total 31,704 Details of power Stations(NTPC) Project State Capacity(MW) a. Coal Based Singrauli Uttar Pradesh 2000 Korba Chhattisgarh 2100 Ramagundam Andhra Pradesh 2600 Farakka West Bengal 1600 Vindhyachal Madhya Pradesh 3260 Rihand Uttar Pradesh 2000 Kahalgaon Bihar 2340 Dadri Uttar Pradesh 1330 Talchar Kaniha Orissa 3000 Unchahar Uttar Pradesh 1050 Talchar Thermal Orissa 460 Tanda Uttar Pradesh 440 Simhadri Andhra Pradesh 1000 Badarpur Delhi 705 Sipat-II Chhattisgarh 1000 Total 24885
  • 10. 10 b. GasBased Anta Rajsthan 413 Auraiya Uttar Pradesh 652 Kawas Gujrat 645 Dadri Uttar Pradesh 817 Jhanor Gujrat 648 Rajeev Gandhi(Kayamkula) Kerela 350 Faridabad Haryana 430 Total 3955 c. Joint Venture Roukela Orissa 120 Durgapur West Bengal 120 Bhilai Chhattisgarh 574 Ratnagiri Maharashtra 1940 Kanti Bihar 110 Total 2864 Total Production(a+b+c) 31704
  • 11. 11 Subsidiary companies of NTPC NTPC – Joint Ventures (15) NTPC – Joint Ventures (15) GENERATION ARAVALI POWER COMPNAY PVT LTD 50% NTPC TAMIL NADU ENERGY COMPNAY LTD 50% NABINAGAR POWER GENERATING COMPNAY LTD 50% MEJA URJA NIGAM LTD 50% NTPC SAIL POWER COMPNAY PVT LTD 50% RATNAGIRI GAS AND POWER PVT LTD 29.65% SERVICES UTILITY POWERTECH LTD 50% NTPC ALSTOM POWER SERVICES PVT LTD 50% NATIONAL HIGH POWER TEST LABORATORY PVT LTD 25% POWER TRADING PTC INDIA LTD 5.28% NATIONAL POWER EXCHNAGE LTD 16.67% EQUIPMENT MANUFACTRUI G NTPC BHEL POWER PROJECTS PVT LTD 50% BF NTPC ENERGY SYSTEMS LTD 49% COAL ACQUISITION INTERNATIONAL COAL VENTURES LTD 14.28% NTPC SCCL GLOBAL VENTURES PVT LTD 50%
  • 12. 12 Electrifying performance The company recorded a total generationof 218.84 Billion Units (Bus) showing an increase of 6% over the pervious year’s generation of 206.93 Bus with a share of 20% (Ines of JV company) in the total installed capacity of the country NTPC generated 28.6% electricity during 09-10. Exceeded the MoU ‘Excellent’ target of 217 BUs. Vision “A world class integrated power major, powering India’s Growth, with increasing global presence.” Core Values  Businessethics  Customer focus  Organizational & ProfessionalPride  MutualRespectand Trust  Initiative and speed  Total Quality for Excellence
  • 13. 13 FINANCIAL FACTS >>> 100% realization of the billing for the seventh consecutive year. Provisional and un-audited Net Sales of Rs. 46,504.47 crore during 2009-10 as against Rs. 41,791.30 crore registering an increase of 11.28%. The provisional and un-audited Gross Revenue is Rs.49,478.86 crore during 2009-10 as against Rs.45,272.76 crore for the year 2008-09, an increase of 9.29%. Provisional and un-audited Profit after tax for the year 2009-10 is Rs.8,656.53 crore ascompared to Rs.8,201.30 crore during the year 2008-09, an increase of 5.55%. Highest interim dividend @ 30% amounting to Rs. 2,473.64 crore paid during the year. Capital Expenditure of Rs. 10,137.18 crore during 2009-10; NTPC Group’s capital expenditure was Rs. 14,002.11 crore. Approved outlay for 2010-11 for NTPC’s capital schemes is Rs.22,350 crore; for NTPC Group the outlay is around Rs.29,104.06 crore. Contributed Rs.3,260.21 crore to exchequer on account of Corporate tax, Dividend and tax thereon and wealth tax. Shareholder Wealth Third largest market capitalization of over Rs.1,70,000 crore as on 31-03-2010. Growing Stature Recommended for “Maharatna” status. EXCELLENT rating under Government of India MoU for the year 2008-09.
  • 14. 14 Bulk Tendering Tendering undertaken for 11 units of 660 MW (including 2 units for DVC). Rural Electrification Under Rajiv Gandhi GrameenVidyutikaranYojana, NTPCElectricSupply Company Ltd (NESCL) completed electrification of 8017 villages and provided 8.65 Lakhs BPL connections, thereby exceeding GoI target of electrification of 7500 villages and 8.5 Lakhs BPL connections. Commonwealth Games Official Power Partner of Delhi 2010 Commonwealth Games.
  • 15. 15 Further Public Offer Government shareholding in NTPC reduced from 89.5% to 84.5% through divestment of Government stake by 5% under Further Public Offer (FPO). Accolades Top six out of eight National Awards for Meritorious Performance of Thermal Power Stations for 2008-09 instituted by the Government of India won by NTPC coal stations.
  • 16. 16 Simhadri 1000 MW Gold Shield Korba 2100 MW Silver Shield Ramagundam 2600 MW Silver Shield Dadri (coal) 840 MW Bronze Shield Rihand 2000 MW Bronze Shield Vindhyachal 3260 MW Bronze Shield No. 1 Independent Power Producer inAsia and 2nd globally in the PlattsTop 250 Global Energy Company Rankings 2009 THE GROWTH STORY >>> Installed capacity reaches 31,704 MW (including 2864 MW under JVs). All time highest single day generation of 684.55 MUs from all NTPC stations on 31st March, 2010 17,830 MW under construction at 17 locations. . Project (Fuel) , State Capacity Sipat-I (Coal), Chhattisgarh 1980 Barh –I (Coal), Bihar 1980
  • 17. 17 Korba-III (Coal), Chhattisgarh 500 Dadri-II (Coal)-Unit # 2, U.P. 490 Farakka-III (Coal), West Bengal 500 Simhadri-II (Coal), Andhra Pradesh 1000 Indira Gandhi STPP - JV With HPGCL & IPGCL (Coal), Haryana 1500 Vallur (Phase -I & Phase –II) (Coal) - JV With TNEB, Tamil Nadu 1500 Nabinagar-JV With Railways (Coal), Bihar 1000 Bongaigaon (Coal), Assam 750 Mauda-I (Coal), Maharashtra 1000 Barh-II (Coal), Bihar 1320 Rihand-III (Coal), UP 1000 Vindhyachal-IV (Coal), MP 1000 Muzaffarpur-II (Coal), JV With BSEB, Bihar 390 Koldam (Hydro), H.P 800 Loharinag Pala ( Hydro ), Uttaranchal* 600 Tapovan Vishnugad ( Hydro ), Uttaranchal 520 Total 17,830 MW
  • 18. 18 Capacity Addition in 2009-2010 (1560 MW) Planned Capacity Addition in 2010-2011 (4150 MW) Project/ Unit Capacity (MW) NTPC owned Kahalgaon Stage-II 500 Dadri Stage-II, Unit # 5 490 Under JVs RGPPL Block- I 640 Less on account of overall de-rating of RGPPL (-)180 Kanti Stage-I 110* Net addition 1560 Project/ Unit Capacity (MW) Sipat Stage-I, Unit-1 660 Jhajjar, Unit-1 & 2 1000 Korba Stage –III, Unit-7 500 NCTPP Stage – II, Unit-6 490 Simhadri, Stage-II, Unit-3 & 4 1000 Farakka, Stage-III, Unit-6 500 Total 4150
  • 19. 19 Future Capacity Under Different Stages Projects for which bids invited 7092 MW Projects for which FR approved 4345 MW Projects for which FR prepared/under preparation ~15,000 MW Growth in Commercial Capacity 1490 MW declared commercial (including 500 MW under JV). New national benchmark: Dadri Unit-5 (490 MW) begins commercial operation in 39 months from zero date. Generation Impressive Growth Rate Generation increased by nearly 6% to 218.84 BUs compared to 3% generation growth achieved in 2008-09; Exceeded the MoU ‘Excellent’ target of 217 BUs. 170.88 188.67 200.86 206.93 218.84 2005-06 2006-07 2007-08 2008-09 2009-10 Generation (BUs)
  • 20. 20 Sustaining Market Leadership Contributed 28.6% of total electricity generated in the country Total electricity available in the country 771.17 BUs Electricity import from Bhutan 5.34 BUs Total Electricity Generation in the Country 765.83 BUs Total Generation from NTPC Units 218.84 BUs NTPC share in total electricity generation in the country 28.6%
  • 21. 21 World Class Capacity Utilization With 90.81% Plant Load Factor (PLF) during 2009-10 (National PLF 77.48%), coal stationsachieved PLF of more than 90% for third consecutive year. Six coal stations achieved PLF of more than 95%. Dadri (Coal) Stage I (4X210 MW) achieved highest ever PLF of 100.59 %. Sixteen units recorded more than 100% PLF. SevenNTPCcoal stations figure among the top 10 stations in the country in terms of PLF. Highest ever PLF of gas stations at 78.38% (previous year PLF 67.01%).
  • 22. 22 Augmenting Fuel Security Model Coal Supply Agreement signed with Coal India Ltd (CIL) for supply of coal to NTPC stations for 20 years. Gas supplies increase to 13.88 MMSCMD (up 29% over previous year). Long termcontract for supply of RLNG of 2.0 MMSCMD on firm basis and 0.5 MMSCMD on fallback basis signed with GAIL for 10 years. Under NELP VIII, NTPC has been allotted one block at Cambay basin as a sole operator and three blocks as a member of consortiums. Coal Mine Development Working on captive coal mines with target of 47 MTPA by 2017 from the 6 blocks allotted. More than 6735 acres of Land in Pakri Barwadih and about 1594 acres of land in ChattiBariatucoal block have beenacquired and land acquisitionfor Dulanga and Talaipalli are in progress. Rehabilitation Action Plan (RAP) has been approved by NTPC Board for Pakri Barwadih, Chatti Bariatu and Kerandari. Mining Plan approved for Dulanga (7 MTPA) and Talaipalli (18 MTPA). JV agreement has been signed with CIL for development, operation and maintenance of Coal Blocks and Integrated Power Projects.
  • 23. 23 Coal Block Acquisition Abroad Due diligence for acquisition of stakes in two coal mines in Indonesia is under progress and consultant appointed for carrying out due diligence for one coal block in Mozambique. International Coal VenturesLtd (ICVL) hasbeenincorporated on20.05.2009 as a JV company of NTPC, RINL, SAIL, NMDCand CIL for sourcing coking and thermal coal from overseas countries like Australia, Mozambique, Canada, Indonesia and USA. ICVL is pursuing 3 thermal coal opportunities in Indonesia, Australia and South Africa. Getting into Nuclear JV agreement is expected to be signed shortly with Nuclear Power Corporation of India Limited (NPCIL). Approval has been obtained from Department of Atomic Energy (DAE). Focus on Renewables By 2017, NTPC plans to have at least 1000 MW through renewable energy resources such as wind, hydro, solar, biomass and geo-thermal.
  • 24. 24 Long Term Corporate Plan upto 2032 Finalizing the Long Term Corporate Plan of NTPC to set the goals and directions for a period of 2032 with a view to positioning NTPC as the world’s largest and best power producer. Technology Roadmap upto 2032 Chalking out a long term technology roadmap upto 2032 which involves development,adoptionand promotion of safe, efficient and clean technologies for entire value chain of power generation business. ENVIRONMENT MANAGEMENT NTPC has adopted advanced and high efficiency technologies such as super critical boilers for the up-coming greenfield projects (e.g Barh, Sipat etc). Out of total coal based capacities to be developed during 12th plan period, over 90% will be based on supercritical technologies. In additionto adopting advanced and high efficiency technologies, NTPChas been pursuing the objective of sustainable power development with following initiatives:
  • 25. 25 CO2 measurement systemsare being installed at all our stations in the chimney stacks. 61 Ambient Air Quality Monitoring System (AAQMS) installed in all NTPC stations. Installed Bio–methanation Plant at Faridabad. Creation of green wealth of more than 18.80 million trees.
  • 26. 26 ASH UTILISATION Achieved ash utilization of 59.73% i.e. 27.61 million tons of ash. 10.85 million tonsfly ash issued to cement and concrete industry which is 8.5 % more than last year. 545 million ash bricks have been manufactured in Pilot ash brick manufacturing plants. 1.13 million tonsof ash fromTalcher-Thermal has been utilized for filling of abandoned South Balanda coal mine of MCL in Orissa. MoU has been signed with Research Designs & Standards Organization (RDSO), Lucknow to explore use of ash in Railway embankment.
  • 27. 27 HUMAN RESOURCE MANAGEMENT HR Vision: To enable our people to be a family of committed world class professionals, making NTPC a learning organization. The HR Dept. has a long history inNTPC. This dept. wasearlier knownas personnel dept. then finally HRS(Human Resource Services) HRS contributes its expertise in handling and executing the Existing and Developing HR trends and innovations. Following are the areas of operation. :- Employee Welfare Employee Benefits Employee Relations (Industrial Relations) Employee Services (Office Admin.)And Pensions Employee Services (Town Admin.) Training and Development (EDC) Performance Management System and Human Resource Development Corporate Social Responsibility Rajbhasha (Hindi) Law Peoplesoft – HRMS (ERP Software) Public Relations
  • 28. 28 The HR strategy of NTPC has been designed around the four building blocks of competence building, commitment building, culture building and system building. Culture building is done by creating transparency, openness and ease of communication, strengthening mutual respect and trust, leading to establishment of a people oriented and people sensitive organization. This has resulted in recognition of NTPC as one of the best employers in the country as well as obtaining consistently high rankings in surveys such as “Great place to work” and “Best companies to work for”. Employee Development Centers (EDC) have been set up to cater to the need of appropriate Training and Development of employees. Leadership Assessment and Development System (LEADS): With a view to developing a pipeline of leadersfor key leadership positions in the company, an initiative named LEADS has been launched. A Leadership Development Centre (LDC) at corporate centre hasbeenset up to formulate the process of identifying and grooming potential leaders. High Productivity of Team-NTPC: During 2009-10, sales per employee increased fromRs. 1.77 crore to Rs.1.96 crore, profit per employee increased from Rs. 34.7 lakh to Rs. 36.45 lakh, value added per employee increased from Rs. 59.36 lakh to Rs. 72.96 lakh and the man:MW ratio improved from 0.85 to 0.82. Total employee strength is 24,955 as on 31.03.2010, as against 24,713 on 31.03.2009 (including employees in JVs & Subsidiaries).
  • 30. 30 NTPC KAHALGAON -An Overview At Kahalgaon, a place from where light of wisdom eradicated darkness from the minds of millions, it is the dawn of a new era. Kahalgaon super thermal power project is the seventh in a series of STPs set up by the NTPC and first of it’s kind in Bihar and second in the entire EasternRegion. Contributing to NTPC’sgood health is one of its unit at Kahalgaon in Bihar which was set up in 1987 with a technical collaboration from the then USSR. The location of the plant is such that the raw material for the plant like coal is easily available from the Rajmahal collieries (31km from Kahalgaon) and the water requirement is met from river Ganges. The project with Stage-I capacity of 840 MW has already been completed comprising 4X210 MW unit is under commercial operation. Further expansion of 500X2=1000MW in State-II, Phase-I & 500X1=500 MW in phase-II during 10th year is under commercial operation. The ultimate capacity is 2340 MW.
  • 31. 31 Destination Kahalgaon A lush green, picturesque Kahalgaon is set like an emerald on the bank of holy river Ganga. The place was, once, the abode of saints and Sufis and has a history dating back to Vedic times. According to legend, the place derived its name from Kohol Muni. Another story is that Saint Durvasha, famous from his bad temper (‘Kalaha’), hailed from this place. The Kashri Hill where Saint Durvasha had hisashram is about 6.5 Km north-east of the town. The ancient temple of shiva & kali at Bateswarsthan (Known as Gupt Kasi) is situated at Kahalgaon on the bank of Ganga. The Chinese pilgrims Hieun Tsiang and Fa Hien are said to have visited this place. Lord Budha’s feet are also believed to imprint on this holy place. The site of ancient university of vikramshila of the 8th centure A.D., established by king dhrampal, is only 15 Km from the town. Students from all over the world came to this place in search of knowledge. It was from here, Saint Deepankar Janapada, the renowned Buddhist scholar and Vice-chancellor of Vikramshila University spread the light of wisdom and love. Kahalgoan is also known as the land of sevensages(‘Sapt Rishis’). The place was also an important centre of trade and commerce during the Britishers. Deeptinagar- A Mini India The Deeptinagar Township is built ina planned and systematic way, with wide open streets, spaces, parks and greeneries. The pristine glory and ecology of the surroundings area is least disturbed. A permanent township with all modern facilities completed and employees residing here represent the culture of mini India. NTPC has developed its own shopping complex where all essential commodities and services are available. Besides, the NTPC employees also run a Co-oprative store. The Banking & Postal needs of residents of Deeptinagar and surrounding areas are taken care by branches of state Bank of India, Allahabad Bank with ATM facilities and full fledged Post Office with speed post facilities established inour Township. Deeptinagar officersample opportunities for healthy recreation and Socio cultural activities. These needs are taken care of by the employee’s welfare Association, Vikramshila club and Srishti Samaj by organizing various cultural programmes from time to time.
  • 32. 32 The NTPC sport council and apex body of sports enthusiasts conducts interdepartmental tournament into institute in various games and sports besides regularly conducting rural sports & inter duty football tournament. Health Care “Our hospital is an ISO 9001, 14001, 18001 &5’S certified hospital with all specialties & equipped with modern set up provide diagnostic & therapeutic services including promotive & preventive health care to the residents of Deepti Nagar & its surrounding areas.” Education- A foremost Objective Imparting excellent education to the children of employees has been one of the foremost welfare measureof NTPC. There are three teaching institution affiliated to C.B.S.E. stream, namely St. Joseph’s School, DAV Public School and Kendriya Vidyalaya. The schoolsare running effectively and are imparting education to the children of employees and surroundings. In additin to basic education, these institutions. SrishtiSamaj of Deeptinager also runs Little flowers school and Vidya BhawanSchool. The former impartspre-schoolseducationto tiny-totsby play-way technique and the later imparts free primary education to the children of neighbouring villages.
  • 33. 33 Environmental Excellence The Kahalgaon plant of NTPC integrates many environmental provisions in the plant design in order to keep emission, effluents and ambient air quality well withinacceptable limits, it has provided the best available equipments, devicesand systems such as high efficiency electrostatic, precipitators (ESPs) Tall stacks and Low Nox Burners for control of stack emissions, dust extrication and dust suppression system for control of fugitive dust. Effluent treatment plants NeurtalisationPitsand Ash pondsfor control of the effluent quality, Ash water Re- circulationsystemand cooling Towers for control of the effluent quality as well as conservation of water and sewage Treatment plant (STP) for treatment of the domestic sewage from its plant and township areas. All pollutants discharged from the power plant are monitored at the stipulated frequency at the source itself and at the points of discharge Besides ambient air, surface water and ground water quality around NTPC Plants are regularly monitored to assess any adverse impacts as a result of operation of the power plant NTPC has drawn a programme for changing ash disposal systems at its existing power plants from once through system to recycling system, where clear effluent from ash pond s recycled and only little quality of blow down is required to be discharged after treatment. The ash water recycling system has already been installed and is in operation at Kahalgaon. The scheme has helped the station to save huge quantity of fresh water required as makeup water for disposal of ash .
  • 34. 34 In order to control fugitive dust from these ash ponds during strong wind conditions, a continuous water cove is maintained in the ash pond for the disposal of Bio-Medical waster as per the MOEP notification one autoclave has beeninstalled at the hospital which is in operation. At regularly intervals training and awareness programme for Brick kiln owners/ manufactures for use of ash Brick manufacturing are being conducted. Not only that, recently a Kisan Mela for the farmers of affected villages was conducted- for promoting use of flv ash in agriculture as a source of micronutrients and improvement in soil structure and water holding capacity. What’s more in a concreted bid to counter the growing ecological threat, NTPC is undertaking afforestation programme covering vast areas of land in the plant areas Appropriate afforestation programme for plants township and greenbelt areasof the project are prepared for implementations at the site. The species are selected on the basis of their adaptability and local soil condition. InKahalgaon8.7 lakh treeshave already beenplanted till the date. Only in the financial year 2009-10, more than 10,000 trees have been planted. The afforestation has not only contributed to the aesthetics but also has been serving as a ‘sink’ for the pollutants release from the station and thereby protecting the quality of ecology and environment in and around the project. Transforming Lives NTPC belives in growth with a human face and pursuing people centered development NTPC is a socially comittel organsation and socially responsible corporate citizen. It attaches great importance of discharging its overall responsibilities to the community and the society at large where its project and stations are located there is sharp focus on all round development of the community which is why the efforts do not stop at the individual or family level redressal but take a holistic approach. The NTPC limited has a defined corporate social responsibility policy. The objectives of CSR have been marked for booth the national level and the unit leve. The national objectives contained providing help to physically challenged persons, making relief at the time of natural calamities, maintaining national mouments and promoting self employment and co- operatives among the unemployed youths. The unit level objectives deal with the core issue of the communities, residing in the neighborhood of the operative stations.
  • 35. 35 At Kahalgaon the following CSR Activities done during the period of 2009-10. 10 nos. High Mast Lights erected at Bhagalpur. 6 nos. High Mast Lights are proposed at Kahalgaon. Total project affected villages – 66 (In Bhagalpur Distt. of Bihar-37 & in Godda Distt of Jharkhand-29). Resettled in Indira Awas & Basant Vihar Colony (RC-I & RC-II) – 285 Nos. Construction/repair of approx.3.00 Km Road at village Anadipur, Katoria – to- Mazdaha and at Kahalgaon. Work in progress: Construction/renovation of 03 Community Hall at Chhopaltola, Sobhnathpur & Mahagama. Free education, books and school bags, to poor children of nearby villages 350 Nos. in Vidya Bhawan School in NTPC Township from Class-I to Class- IV. Sewing Training & Adult Education is imparted to the women/ young girls of nearby villages. Distribution of Relief Materials for Fire Victims at Krishandaspur(70) & Naya Nagar Ranideora(11) of KahalgaonBlock. Distributed Relief Materials for Fire Victims at Babupur Deora(152) of Pirpainti Block. Relief materials provided to the fire victim of Jamunia Tola. EYE CAMP organized in Nov.2009 by our Hospital and patients operated- 155. Distribution of study materials/stationeries and woolen clothes to the children of Ramadevi Hindu Anathalay at Bhagalpur. Relief materials distributed to fire victims at Daulatpur-22 families in association with Srishti Samaj.
  • 36. 36 Financial Support for purchase of Newspapers and Magazines to Vikramshila Vihar Library, Ganguly Park, Kahalgaonfor educational access to the general public. Sponsored Sports and Games tournament at Kahalgaon, Akbarpur, Lailakh, Belbadda & Banshipur to encourage local youths under CSR budget. 03 Nos. Tubewells installed in nearby villages. CSR FUTURE PLANS Adoption of 06 villages (03 in Bhagalpur District of Bihar & 03 in Godda District of Jharkhand) Installation of 14 High Mast Lights (08 in Godda District and 06 in Bhagalpur District) Providing opportunity under job contract for engagement to equired number of PAPs of unskilled and semi-skilled categories. Encouraging formation of Co-operatives of PAPs by giving membership to land oustees for awarding job contract in plant and township area. Work proposed in 2010-11 :- Constructionof Girls & Teachers' Common Room with Toilet in SSV College, Kahalgaon Widening of Siri Ghat (From Sati Ghat to Durga Sthan LCT Ghat), Kahalgaon
  • 37. 37 Developmental work in Kahalgaon Railway Station Construction of drain on both sides from Vikramshila Park Chowk to Irrigation Dept's Bandh Chowk, Kahalgaon Repair of PCC Road & drainage – Kalpana Cinema Road (Station chowk to Charodham – 1.5 Km), Kahalgaon Construction of Madya Vidyalaya (Middle School),Choudhary Tola, Kahalgaon. Constructionof road & drainage (fromChoudhary Tola Madya Vidyalaya to Late Raghunath Sah & upto residence of Laxmi Prasad Choudhary – 1 Km),Choudhary Tola, Kahalgaon. Construction of two rooms in High School, Gajhanda (Godda) Construction of common room at Mahavidyalaya at Mahagama (Godda) Construction of steps in Champa Talab in Kalgiganj. Construction of retaining wall and development of site construction of school building in Ogri Village Construction of Community Hall with Toilet, Shobhnathpur Construction of boundary wall, steps in pond, approach road & gate at Yogbir Pahad
  • 38. 38 Developmental work in RC-I Developmental work in RC-II Milestones dates of Kahalgaon Units Sl Units Date of Synch. Date of Coal Firing Date of Commercialisation 1 Unit # 1 24/03/1994 18/08/1994 01.01.1995 2 Unit # 2 01/03/1994 30/11/1994 01.04.1995 3 Unit # 3 24/03/1995 31/08/1995 01.02.1996 4 Unit # 4 18/03/1996 31/03/1996 01.08.1996 5 Unit # 5 31/03/2007 02/02/2008 01.08.2008 6 Unit # 6 16/03/2008 03/11/2008 30.12.2008 7 Unit # 7 28/06/2009 28/06/2009 20.03.2010
  • 39. 39 Beneficiary States : - States & Union territories of ER, NR, WR, SR & NER. Transmission systems : 400 KV: 10 Lines i/s & 2 Lines under installation. 400 KV D/C to Farakka, Maithon, Patna. 400 KV 2 D/C to Biharsharif. 400 KV D/C Farakka line- 3 & 4 work being executed by PGCIL. 132 KV to Bihar Grid at Sabour & Kahalgaon and Jharkhand grid at Lalmatia,
  • 40. 40 KAHALGAON STATION PROFILE Location : Kahalgaon District - Bhagalpur State - Bihar Nearest Rail head : Kahalgaon Nearest Airport : Patna (250KM) & Kolkata (380 KM) Capacity Installed : Stage-I (4 X 210 MW) : Stage-II: Phase-I & II(3 X 500 MW) Total Land Available: 3360 Acres Plant - 883 Acres Township - 432 Acres MGR - 522 Acres Ash dyke - 1395 Acres Make-up & Roads - 128 Acres Land Required for MGR up to New Coal Mines: HURRA “C”: 99.55 Acres. (Godda District- 99.55 Acres) CHUPERBITTA: 334.62 Acres Godda District:-103.69 Acres. Sahebganj District: 230.93 Acres. Source of Water : River Ganges Make-up water : Stage-I - 3000 M3/Hr requirement Stage-II - 6000 M3/Hr Cooling system : Closed cycle induced draft Cooling towers system.
  • 42. 42 PERFORMANCE MANAGEMENT-What, Why & How? Historical Perspective :-  Measuring and appraising performance is probably the most researched area within HRM,the last hundred years have seen continuous evolution in approaches to Managing employee performance.  The earliest recorded instance of a formal evolution report was in 1813.  The start of the industrial age in the 1800s saw trends of performance appraisal in industry.  In the 1890s Frederick Taylor’s scientific approach and Fayal & Weber’s bureaucratic theories suggested that financial inducements stimulated production performance.  The Hawthorne studies in 1927 - 1932 emphasized the influence of supportive and caring supervision.  It wasonly after world war–I that appraisals in industry became accepted. The appraisal of managerswas not extensively practiced until after world war – II.  The appraisal system that evolved over the period  Narrative/Essay report: Used mainly by Armed forces , Civil service and Large organization in public sector.  Traits were the focus of performance Management in 1970s.  MBO concept came into picture in 1980s.
  • 43. 43 When we talk about the five dimensionsof HumanResource Management (HRM), we list down the following, namely, Performance Management, Career Management, Recruitment & Selection, Training & Development, and Compensation & Benefits Management. These five dimensions, though equally important, often fail to secure equal attention from Human Resource (HR) managers. The facts that performance management is not just an annual performance appraisal and training is not the WHAT COUNTS GET MEASURED WHAT GETS MEASURED GETS DONE WHAT GETS REWARDED COUNTS WHAT GETS DONE GETS REWARDED
  • 44. 44 only solution to effective performance are forgotten by the HR managers and the management team. Asa result, successful organizations, happy with their existing success status, is actually deprived of a potential growth that could have been achieved should they have invested more attention to performance management than only performance appraisal For instance, the total HR performance of a company is worth Rs 1000, which means the employees’ performance is resulting revenue worth Rs 1000. Among this set of employees, some are excellent performers, some are good, some moderate and some poor. This difference in performance level are due to the fact that some are using 100%of their potentials, some working below their full potentials and some working at zero or marginal potentials. The challenge of equalizing the difference in performance level lies in an objective performance management system. What Performance Management Is Not: it’s not just an annual performance appraisal it’s not imposing targets/goals on an employee by his supervisor it’s not only evaluating individual job performance What is Performance Management: it’s Management By Objectives (MBO) it’s about setting SMARTER goals it’s about planning to perform it’s about periodically reviewing progress in performance it’s about evaluating performance for further improvement it’s about delivering reinforcement for performance success and performance failure
  • 45. 45 What is the Performance Management Process/Cycle : The steps of Performance Management Process are as follows:- Individual Goal Setting & Performance Planning A goal setting session between the PMS administration and the employee. listing down the major goals to be achieved in a year in line with functional objectives. Reviewing goals to assess the feasibility of their accomplishments; making sure the goals are SMARTER- Specific, Measurable, Actionable, Realistic, Time-framed, Extended & Rewarding. finalizing goals for a year. planning about how to achieve the goals. identifying the possible barriers in achieving them. planning on ways to overcome those barriers. Mid Year Performance Review A performance review session between the PMS administration and the employee discussing performance progress status. revising performance plan (if needed) with new deadlines for goals
  • 46. 46 Performance Appraisal A performance appraisal session between the PMS administration and the employee. measuring performance as against preset goals. measuring competencies required for current role. measuring potentials as against required competencies set for future role. chalking out Individual Development Plan outlining to fill skill gap, motivation & aspiration gap and communication & cooperation gap. chalking out Reinforcement plan to reward/recognize for success and punish for deliberate failure. The beauty of this Performance Management process is that it has three dimensions only, which give three major outputs that can be fed into other four dimensionsof HRM and not to mentionPerformanceManagementalso. The beauty is illustrated as follows: Performance Assessment Performance Measures Rating Scale Outputs Performance Evaluation Preset Goals 5-points New goal setting Competency Evaluation Required competencies of current role 5-points Development Plan Potential Evaluation Required competencies of future role 5-points Career Development Plan
  • 48. 48 PMS AT NTPC PMS is a five step process:- Step 1 Identifying KPAs, Constituents, Weightages, Measures and Targets. Identifying Functional and Managerial Competencies for the appraise. Mid – year Review Annual Assessment Performance planning Feedback Normalisation Process Step 1 Step 5 Step 4 Step 3 Step 2 PMS Process
  • 49. 49 Step 2 Joint review of performance Document Changes in KPAs if any Document mid year review discussion Step 3 Assessment of KPAs, Competencies, Values and potential by appraiser . Training and development plans. Review by reviewing officer Step 5 Communication of score Developmental feedback KPA Setting Process: Company Goals Unit Goals Individual Goals Functional /Departmental Goals MOUs Special task Initiatives Corporate plan
  • 50. 50 PMS COMPRISES ASSESSMENT ON FOUR PARAMETERS WITH DIFFERENT WEIGHTAGES FOR VARIOUS LEVELS S.NO. PMS PARAMETER WEIGHTAGES FOR DIFFERENT GRADES E1-E3 E4 E5 E6-E7 E7A-E8 E9 1 KPA 80 75 65 60 50 50 2 a. Functional competency assessment 10 10 10 10 10 05 b. Managerial competency assessment 05 05 10 10 15 15 3 Potential assessment Nil 05 10 10 10 10 4 Value assessment 05 05 05 10 15 20 Total 100 100 100 100 100 100 For junior executives there is higher weightage on KPAs and functional competenciesasthere ishigher focuson achieving the immediate functional task. The weightage on Managerial competencies and values increases for an executive asthe grade increasesbecause of importance of achieving business goals by managing work of other employees through ethical means. At NTPC Online Performance Management System is being practiced for Executives. For Non Executives it is still manual.
  • 51. 51 Thre are three major challengesineffective implementationof PMSat NTPC 1. Involvement of big number of executives (approx 1200) in designing of KPAs and Competency Directory. 2. Skill gap in feedback and performance counseling. 3. Transformation from legacy to transparent system. PERFORMANCE LINKED PAY Proportionincreases with seniority Proportion decreases with seniority EMPLOYEE COMPENSATION FIXED COMPONENT VARIABLE COMPONENT INDIVIDUAL PERFORMANCE UNIT PERFORMANCE COMPANY PERFORMANCE
  • 52. 52 Relative Weightage for company Unit and Individual Performance. PERFORMANCE WEIGHTAGE TOP MGMT. MIDDLE MGMT. JUNIOR MGMT. COMPANY’S 50% 35% 15% UNIT’S 30% 25% 20% INDIVIDUAL’S 20% 40% 65%
  • 54. 54 RESEARCH METHODOLOGY This Project was made to study how effective the current performance management system is and how convenient is the newly introduced online performance management system at NTPC. The method of survey was rather very simple. We used sampling method to conduct survey. Sampling was done on random basis covering all departments. A total of 50 executives from different departments of NTPC Kahalgaon were surveyed. We personally met them and took their views during conversation .We also supplied a questionnaire to each of themand collected backlater according to their convenience giving them appropriate time to respond to the questionnaire. A total of 20 questions were there in the questionnaire. Analysis of raw data was done with the help of graphical representation.
  • 56. 56 Quest: 1- you feel convenient with computerized online performance management system at NTPC. Agree 58% Neutral 2% Strongly Agree 40% Inference :- No one disagreed and only2 % Executiveswereneutral so we can say that most of them are tech savvyand feel convenientwithonlinePMS. 58% 2% 40% percentage Agree Neutral Strongly agree
  • 57. 57 Quest:-2 your job description clearly define KPA’s on which your performance is rated. Agree 60% Neutral 24% Strongly Agree 16% Inference:- They were well awareaboutthere KPAsand felt that it is according to there job profileas 84% Executivesagreed to it. 60% 24% 16% Percentage Agree Neutral Strongly Agree
  • 58. 58 Quest:3 -The goals (KPA’s) set are always mutually agreed upon i.e. your consent is taken into consideration while setting KPA’s. Agree - 38% Disagree - 10% Neutral - 38% Strongly Agree - 14% Inference: - The response wasdivided although52 % Executivesagreed about their consent being taken intothe KPA setting process, 10% disagreed and 38% preferred not to answer. It says that in general executives participatein the KPA setting process but there is some dissatisfaction. 38% 10% 38% 14% Percentage Agree Disagree Neutral Strongly agree
  • 59. 59 Quest: 4- The performance goal set by the appraiser for you are in alignment with your career aspirations. Agree-- 38% Disagree--10% Neutral -- 44% Strongly Agree – 6% Strongly Disagree --2% Inference :- This shows the level of job satisfaction of employees. As 44% of them agreed and 0nly12% disagreed to the fact that their KPAsmatches their career aspirations, wecan say mostlythey are satisfied 38% 10% 44% 6% 2% Percentage Agree Disagree Neutral Strongly Agree Strongly disagree
  • 60. 60 Quest: 5- The deadlines set to complete and submit the performance documents are sufficient. Agree—68% Disagree—6% Neutral—14% Strongly Agree—12% Inference:- Mostly they are satisfied withthe operations of Performance Managementsystem. 68% 6% 14% 12% percentage Agree Disagree Neutral Strongly Agree
  • 61. 61 Quest: 6 - The KPA’s are in accordance with the MOU targets of the company and the targets of the plant. Agree—58% Disagree—8% Neutral—26% Strongly Agree-- 8% Inference:- It simplyshowsthe awarenesslevel of Executives. 66% of them were agree and felt that individualgoalsmatcheswell withunitgoalsand company goals. 58% 8% 26% 8% Percentage Agree Disagree Neutral Strongly Agree
  • 62. 62 Quest: 7- All the factors facilitating and hindering performance are taken into consideration while appraising the performance. Agree—40% Disagree—10% Neutral – 44% Strongly Disagree—2% Strongly Agree—4% Inference:- Although12 % of executives disagreed a healthy proportion of them agreed to this. Generallymostof the factors affecting the performance of an employeeare taken into considereation. 40% 10% 44% 4% 2% Percentage Agree Disagree Neutral Strongly Agree strongly Disagree
  • 63. 63 Quest: 8- Your seniors assist you at the time of your need. Agree—64% Neutral—18% Strongly Agree—18% Inference:- The response says that that there is a healthy environmentof working, seniorsassist their subordinateswheneverthere is any need. 64% 18% 18% Percentage Agree Neutral Strongly Agree
  • 64. 64 Quest: 9- Your final rating is doesn’t only on your competencies and KPA’s but also on several other factors are like your corporate image and interpersonal relation with the rater. Agree—40% Disagree—4% Neutral—16% Strongly Agree—40% Inference:- Along withthe competencies and KPA achievementsthe factors like corporate image andcommunicationskillsof the executivesmatter whilerating their performance. 40% 4% 16% 40% Percentage Agree Disagree Neutral Strongly Agree
  • 65. 65 Quest: 10- Your doubts and queries are addressed by the PMS administrator while operating online PMS. Agree—40% Disagree—4% Neutral—35% Strongly Agree—14% Strongly Disagree—4% Inference:- Except a few disagreementmostof the employees agree that their doubts and queriesare addressed by the PMS administrator. 40% 4% 38% 14% 4% Percentage Agree Disagree Neutral Strongly Agree strongly Disagree
  • 66. 66 Quest: 11- PMS is very useful for career planning. Agree—64% Disagree—4% Neutral—24% Strongly Agree—8% Inference:-Most of the executiveadvocatethe need of performancemanagement in career planning. 64% 4% 24% 8% Percentage Agree Disagree Neutral Strongly Agree
  • 67. 67 Quest: 12- The process is used mainly for improving the future performance along with reviewing the present performance. Agree—52% Disagree—6% Neutral—26% Strongly Agree—28%Strongly Disagree—2% Inference:-Performance managementismeantfor improving future performanceof employees and most of them agreed to it. The rewardsand recognitionsare part of performanceupgradation. 52% 6% 26% 14% 2% Percentage Agree Disagree Neutral Strongly Agree strongly Disagree
  • 68. 68 Quest: 13- You feel free to express to your appraiser your disagreement regarding the appraisal decision. Agree—38% Disagree—20% Neutral—38% Strongly Agree—2% Inference:-It seems that upto some extent the employees are hesitant to express their disagreementregardingthe appraisaldecision to their appraiser, butoverall the system is open and flexibleas40% of them agreed to it and almostthe sameno were neutral. 38% 20% 38% 4% Percentage Agree Disagree Neutral Strongly disagree
  • 69. 69 Quest: 14- Your seniors provides you with continuous feedback to help you achieve your KPA’s. Agree—46% Disagree—16% Neutral—36% Strongly Agree—2% Inference:-Mostly Executivesare well awareaboutthere KPAs and seniors keep providing them feedback to achievethat, althoughsome of them disagreed to it whichmaybe due to miscommunication between seniorand subordinates. 46% 16% 36% 2% Percentage Agree Disagree Neutral Strongly Agree
  • 70. 70 Quest: 15 - The recognition given to high performance is appropriate and helps in motivating the employee. Agree—42% Disagree—18% Neutral---32% Strongly Agree—8% Inference:-The recognition given to Highperformers is appropriate. There are scopes of evolution of the recognition system so that even those who disagreed to the appropriatenessof the recognition system get satisfied. 42% 18% 32% 8% Percentage Agree Disagree Neutral Strongly Agree
  • 71. 71 Quest: 16- Appropriate training is given to employees who fail to meet the expected performance level. Agree—18%Disagree—24% Neutral—48% Strongly Agree—2% Strongly Disagree—8% Inference:-Although half of the executives surveyed preferred to be neutral, There is a need to improvethe trainingsystem so that appropriatetraining could be given to those who need it. 18% 24% 48% 2% 8% Percentage Agree Disagree Neutral Strongly Agree strongly Disagree
  • 72. 72 Quest: 17- The online PMS is dynamic and keeps you aware about your instantaneous weak and strong area of performance effectively. Agree—32% Disagree—26% Neutral—30% Strongly Agree—2% Strongly Disagree—10% Inference:-The onlinePMS maybe dynamicascompared to the manualsystem but it does not provideinstantaneousfeedback about one’s KPAs. 32% 26% 30% 2% 10% Percentage Agree Disagree Neutral Strongly Agree strongly Disagree
  • 73. 73 Quest: 18- You are satisfied with the weightages given against each activity that you are supposed to perform in the specified period. Agree—44% Disagree—10% Neutral—36% Strongly Agree—10% Inference:-Mostly they agreed aboutthe adequacyof weightagesgiven against each activitywhichthey are supposed to perform in a given period. 44% 10% 36% 10% Percentage Agree Disagree Neutral Strongly Agree
  • 74. 74 Quest: 19- your training need should be identified through the midyear review. Agree—60% Disagree—12% Neutral—6% Strongly Agree—22% Inference:-Mostly they agreed that their training needsshould be identified in mid term. It shows the employees are eager to go through appropriatetrainingif any and improvetheir performance. 60% 12% 6% 22% Percentage Agree Disagree Neutral Strongly Agree
  • 75. 75 Quest: 20- Managers and Employees trust the appraisal process. Agree—56% Disagree—8% Neutral—32% Strongly Agree—4% Inference:-The appraisalprocess is trustworthy. 56% 8% 32% 4% percentage Agree Disagree Neutral Strongly Agree
  • 76. 76 Suggestions PMS should be linked to Business strategy. Performance assessment should be objective and efficient. PMSshould be an “openand participative system” with feedbackloops where everyonefeelsfreeto expresstheir viewswith the appraiser. PMSshould distinguish high performersfromlow performers. The recognitionto high performersshould be done with more efficiency. PMSshould have a “developmental focus” with appropriate training system to cater the training need of employees. The processshould be monitored efficiently addressing the doubtsand queriesof the employees. The KPA setting processshould ensure the active participationof executives. There should not be any communicationgap betweenseniorsand subordinatesasit is of utmost importance inperformancemanagement. Persuasive sessionsshould be organized to emphasize the need of performance management and how the active participationof employees without any biaseshelp in improving performance management system.
  • 77. 77 Conclusion The aim of performance management system is ensuring the maximization of efforts by the employees of the organization to realize the desired goals. More effective the performance management of an organization more productive the organization would be. NTPC as a whole is a big organization with vast number of employees working there, to manage the performance of such a great number of people efficiently is a herculean task. The survey and personal interviews conducted during the project work says that an effective performance management system is on place but as we know everything in this world keep evolving itself for betterment, the performance management system is not an exception. NTPC can touch new heights in the field of energy management by managing its manpower more efficiently, addressing there training needs, recognizing the high performances and making them feel the freedom of expressing their points.
  • 78. 78 Limitations of the Research The subject was too big but time available was too less. The survey was not conducted among all the employees of NTPC but on a sample of randomly selected executives. At times it was often felt that there is a difference between the real feeling and the feedback given by executives. Exact feedback must be given so that the analysis done would be correct. Some of the executives were not interested in the subject metter. We were unable to discuss issues related to our project with some people and only responses to questionnaire were collected.
  • 79. 79 Bibliography Human Resource and Personal Management - K. Ashwathapa Organizational Behavior - Stephen p. Robins http/intranet 1 – KHSTPP www.google.com www.wikipedia.org www.citehr.com www.ntpc.co.in
  • 80. 80 Questionnaire On Effectiveness of Performance Management System  You feel convenientwithcomputerized onlineperformance management system at NTPC 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  Yourjob description clearlydefines KPA’s(Key performing areas)on which your performanceis rated. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  The goals(KPA’s) set are alwaysmutuallyagreed upon ie – your consent is taken into consideration whilesetting KPA’s. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  The performancegoal set by the appraiserfor you are in alignmentwithyour career aspirations. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree
  • 81. 81  The deadlinesset to completeand submitthe performancedocumentsare sufficient. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  YourKPA,sare in accordance with the MOU targets of the companyand the targets of the plant. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  All the factors facilitating and hindering performanceare taken into consideration whileappraising the performance 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  Yourseniors assist you at the timeof your need. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree
  • 82. 82  Yourfinal rating isbased not only on your competenciesand KPA’sbut also on several other factors likeyour corporate imageand interpersonalrelation with the rater. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  Yourdoubts/Queriesare addressed by the PMS administratorwhileoperating onlinePMS. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  Performancemanagementsystem is very useful for career planning. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  The process is used mainlyfor improvingthe future performancealong with reviewing the present performance. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree
  • 83. 83  You feel free to express to your appraiseryour disagreementregarding the appraisal decision. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  Yoursenior manager providesyou withcontinuousfeedback to help you achieve your KPA’s. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  The recognition given to high performanceis appropriateand helpsin motivatingthe employees. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  Appropriatetrainingisgiven to employees who fail to meet the expected performancelevel. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree
  • 84. 84  The onlinePMS isdynamicand keepsyou awareaboutyour instantaneous weak or strong area of performanceeffectively. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  You are satisfied withthe weightagesgiven againsteach activitythat you are supposed to perform in the specified period. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  Yourtrainingneed should be identifiedthrough the mid yearreview. 1. strongly disagree 2. Disagree 3. Neutral 4. Agree 5. Stronglyagree  Managersand Employeestrust the appraisalprocess. 1. strongly disagree 2. . Disagree 3. Neutral 4. Agree 5. Stronglyagree