project ReportON

360 DEGREE APPRAISALINHERO MOTO CORP

Submitted in partial fulfillment of the requirement ofBaCHELOR of business administration (BBA)in AMETY UNIVERSITY.

Submitted ByPARVINDER SINGH

Enrolment No.: 19

DECLARATION

This is to certify that the project Report entitled 360 DEGREE APPRAISAL IN HERO MOTO CORP. is my original work and this has not been submitted in part or full to this or any other university/institution for the award of any degree or diploma.

Signature of candidatePARVINDER SINGHEnrolment No.:

ACKNOWLEDGMENT

Completing a task is never one man effort. It is often the result of invaluable contribution of number of individuals in a direct or indirect manner that helps in sharing a making of success.I express my gratitude towards the management of HERO MOTO CORP. for giving me the opportunity to undergo my project report in a Multinational concern of a great reports and allowing me to gain invaluable experience with subsequent exposure to the modern business world.I am extremely grateful to my project guide Mr. Saurabh Mittal (Manager - HR & Administration) for completing my project report successfully. His constant support as well as the guidance, which he gave to me, helped me tide over the difficulties.I further extend my thanks to all the employees for their appreciation & cooperation given by them to me in gathering information for the survey.Last but not least I bow my head before GOD who has been the ultimate source of the energy.PARVINDER SINGH.

TABLE OF CONTENTSS.NO.TITLE

1. INTRODUCTION

2. Company profile

3. conceptual discussion

4. RESEARCH METHODOLOGY

5. NEED OF THE STUDY

6. SCOPE OF THE STUDY

7. DATA ANALYSIS& INTERPRETATION

8. FINDINGS and recommendations

9. Annexure

10. BIBLIOGRAPHY

COMPANY PROFILE

ABOUT USHero Motocorp Ltd., formerly Hero Honda, is an Indian motorcycle and scooter manufacturer based in New Delhi, India. The company is the largest two wheeler manufacturer in the world. In India, it has a market share of about 46% share in 2-wheeler category. The 2006 Forbes 200 Most Respected companies list has Hero Honda Motors ranked at #108. On 31 March 2013, the market capitalisation of the company was INR 308 billion (USD 5.66 billion). Hero Honda started in 1984 as a joint venture between Hero Cycles of India and Honda of Japan. In 2010, when Honda decided to move out of the joint venture, Hero Group bought the shares held by Honda. Subsequently, in August 2011 the company was renamed Hero MotoCorp with a new corporate identity. In June 2012, Hero Motocorp approved a proposal to merge the investment arm of its parent Hero Investment Pvt. Ltd. into the automaker. The decision comes after 18 months of its split from Honda Motors. History"Hero" is the brand name used by the Munjal brothers for their flagship company, Hero Cycles Ltd. A joint venture between the Hero Group and Honda Motor Company was established in 1984 as the Hero Honda Motors Limited at Dharuhera, India. Munjal family and Honda group both owned 26% stake in the Company.During the 1980s, the company introduced motorcycles that were popular in India for their fuel economy and low cost. A popular advertising campaign based on the slogan 'Fill it Shut it Forget it' that emphasised the motorcycle's fuel efficiency helped the company grow at a double-digit pace since inception. In 2001, the company became the largest two-wheeler manufacturing company in India and globally. It maintains global industry leadership till date. The technology in the bikes of Hero Motocorp (earlier Hero Honda) for almost 26 years (19842010) has come from the Japanese counterpart Honda.

1956Formation of Hero Cycles in Ludhiana(majestic auto limited) 1975Hero Cycles becomes largest bicycle manufacturer in India. 1983Joint Collaboration Agreement with Honda Motor Co. Ltd. Japan signed Shareholders Agreement signed 1984Hero Honda Motors Ltd. incorporated 1985Hero Honda motorcycle CD 100 launched. 1989Hero Honda motorcycle Sleek launched. 1991Hero Honda motorcycle CD 100 SS launched. 1994 Hero Honda motorcycle Splendor launched. 1997Hero Honda motorcycle Street launched. 1999 Hero Honda motorcycle CBZ launched. 2001 Hero Honda motorcycle Passion and Hero Honda Joy launched. 2002Hero Honda motorcycle Dawn and Hero Honda motorcycle Ambition launched. 2003Hero Honda motorcycle CD Dawn, Hero Honda motorcycle Splendor plus, Hero Honda motorcycle Passion Plus and Hero Honda motorcycle Karizma launched. 2004Hero Honda motorcycle Ambition 135 and Hero Honda motorcycle CBZ Star launched. 2005Hero Motocorp SuperSplendor, Hero Honda motorcycle CD Deluxe, Hero Honda motorcycle Glamour, Hero Honda motorcycle Achiever and Hero Honda Scooter Pleasure. 2007New Models of Hero Honda motorcycle Splendor NXG, New Models of Hero Honda motorcycle CD Deluxe, New Models of Hero Honda motorcycle Passion Plus and Hero Honda motorcycle Hunk launched. 2008New Models of Hero Honda motorcycles Pleasure, CBZ Xtreme, Glamour, Glamour Fi and Hero Honda motorcycle Passion Pro launched. 2009New Models of Hero Honda motorcycle Karizma:Karizma ZMR and limited edition of Hero Honda motorcycle Hunk launched 2010New Models of Hero Honda motorcycle Splendor Pro and New Hero Honda motorcycle Hunk and New Hero Honda Motorcycle Super Splendor launched. 2011New Models of Hero Honda motorcycles Glamour, Glamour FI, CBZ Xtreme, Karizma launched. New licensing arrangement signed between Hero and Honda. In August Hero and Honda parted company, thus forming H\ero MotoCorp and Honda moving out of the Hero Honda joint venture. In November, Hero launched its first ever Off Road Bike Named Hero "Impulse". 2012-New Models of Hero Motocorp Maestro the Musculine scooter and Ignitor the young generation bike are launched. 2013-Hero MotoCorp unveiled line-up of 15 updated products including Karizma R, ZMR, Xtreme, Pleasure, Splendor Pro, Splendor iSmart, HF Deluxe ECO, Hero Motocorp SuperSplendor, Passion Pro and Xpro, Glamour and Glamour FI etc. It also introduced three new technologies- Engine Immobilizer in new Xtreme, Integrated Braking System (IBS) in new Pleasure and i3S (Idle Stop and Start System) in new Splendor iSmart 2014-Hero MotoCorp Launched Splendor Pro Classic, Xtreme Sports and new models of Karizma ZMR, Karizma R, Maestro and Pleasure. 2014 -In the month of October 2014 Hero updated it's 100cc engine range. which was used now with passion pro, splendor pro classic. Soon it will be updated in its other 100cc verients also.Termination of Honda joint venture.In December 2010, the board of directors of the Hero Honda Group had decided to terminate the joint venture between Hero Group of India and Honda of Japan in a phased manner. The Hero Group would buy out the 26% stake of the Honda in JV Hero Honda.

Logo of Hero Honda, as the company was known till August 2011Under the joint venture Hero Group could not export to international markets (except Sri Lanka and Nepal) and the termination would mean that Hero Group can now export. Since the beginning, the Hero Group relied on their Japanese partner Honda for the technology in their bikes. So there are concerns that the Hero Group might not be able to sustain the performance of the joint venture alone. The Japanese auto major will exit the joint venture through a series of off market transactions by giving the Munjal familythat held a 26% stake in the companyan additional 26%. Honda, which also has an independent fully owned twowheeler subsidiaryHonda Motorcycle and Scooter India (HMSI)will exit Hero Honda at a discount and get over $1 billion for its stake. The discount will be between 30% and 50% to the current value of Honda's stake as per the price of the stock after the market closed on Wednesday. The rising differences between the two partners gradually emerged as an irritant. Differences had been brewing for a few years before the split over a variety of issues, ranging from Honda's reluctance to fully and freely share technology with Hero (despite a 10-year technology tie-up that expires in 2014) as well as Indian partner's uneasiness over high royalty payouts to the Japanese company. Another major irritant for Honda was the refusal of Hero Honda (mainly managed by the Munjal family) to merge the company's spare parts business with Honda's new fully owned subsidiary Honda Motorcycle and Scooter India (HMSI). As per the arrangement, it will be a two-leg deal. In the first part, the Munjal family, led by Brijmohan Lal Munjal group, will form an overseas-incorporated special purpose vehicle (SPV) to buy out Honda's entire stake, which will be backed by bridge loans. This SPV would eventually be thrown open for private equity participation and those in the fray include Warburg Pincus, Kohlberg Kravis Roberts (KKR), TPG, Bain Capital, and Carlyle Group. Honda will continue to provide technology to Hero Honda motorbikes until 2014 for existing as well as future models.Formation of Hero MotoCorpThe name of the company was changed from Hero Honda Motors Limited to Hero MotoCorp Limited on 29 July 2011. The new brand identity and logo of Hero MotoCorp were developed by the British firm Wolff Olins. The logo was revealed on 9 August 2011 in London, to coincide with the third test match between England and India. Hero MotoCorp can now export to Latin America, Africa and West Asia. Hero is free to use any vendor for its components instead of just Honda-approved vendors. On 21 April 2014, Hero MotoCorp announced their plan on a $40 Mn joint venture with Bangladesh's Notiol Niloy Group in the next five years also hero updated its 100cc engine range in 2014 for 100cc bikes except hero dawn.

VisionThe story of Hero Honda began with a simple vision - the vision of a mobile and an empowered India, powered by its two wheelers. Hero MotoCorp Ltd., company's new identity, reflects its commitment towards providing world class mobility solutions with renewed focus on expanding company's footprint in the global arena.

MissionHero MotoCorps mission is to become a global enterprise fulfilling its customers' needs and aspirations for mobility, setting benchmarks in technology, styling and quality so that it converts its customers into its brand advocates. The company will provide an engaging environment for its people to perform to their true potential. It will continue its focus on value creation and enduring relationships with its partners

STRATEGY

Hero MotoCorps key strategies are to build a robust product portfolio across categories, explore growth opportunities globally, continuously improve its operational efficiency, aggressively expand its reach to customers, continue to invest in brand building activities and ensure customer and shareholder delight.

BrandThe new Hero is rising and is poised to shine on the global arena. Company's new identity "Hero MotoCorp Ltd." is truly reflective of its vision to strengthen focus on mobility and technology and creating global footprint. Building and promoting new brand identity will be central to all its initiatives, utilizing every opportunity and leveraging its strong presence across sports, entertainment and ground-level activation.

DISTRIBUTIONThe Company's growth in the two wheeler market in India is the result of an intrinsic ability to increase reach in new geographies and growth markets. Hero MotoCorps extensive sales and service network now spans over to 6000 customer touch points. These comprise a mix of authorized dealerships, service & spare parts outlets, and dealer-appointed outlets across the country.

Board of DirectorsPROFILE OF DIRECTORS

Dr. Brijmohan Lall MunjalChairman & Whole Time Director

Mr. Pradeep DinodiaNon Executive & Independent Director

Gen. (Retd.) V. P. MalikNon Executive & Independent Director

Mr. Suman Kant MunjalNon Executive Director

Mr. Paul EdgerleyNon Executive Director

Dr. Anand C. BurmanNon Executive & Independent Director

Mr. Sunil Kant MunjalJt. Managing Director

Mr. M. DamodaranNon Executive & Independent Director

Dr. Pritam SinghNon Executive & Independent Director

Mr. Ravi NathNon Executive & Independent Director

AWARDS.

2013 Green Pioneer Award - 2013 "Business Leader of the Year" Award by Hon'ble President of India, Shri. Pranab Mukherjee, at the AlMA Managing India Awards 2013 on April 11, 2013 (Conferred on Mr. Pawan Munjal) "Business Leader of the Year" Award in the Auto (Two Wheelers) category by Deputy Chairman of the Planning Commission Mr. Montek Singh Ahluwalia, at the NDTV Business Leadership Awards 2013 (Conferred on Mr. Pawan Munjal) CFO of the year Award (Conferred on Mr. Ravi Sud)

2012 Business Leader in Automobiles (two-wheelers) at the NDTV Profit Business Leadership Awards 2012 (Conferred upon Mr. Pawan Munjal) Best value for Money Bike Maker and Best Advertising in Two Wheelers Category at the Auto India Best Brand Awards 2012 Digital Advertiser of the year at the Indian Digital Media Awards (IDMA) 2012 Three awards (Launch Event of the year, Rural Engagement Progamme and Live Patron Award for Marketing Excellence) at the WOW Awards organised by EventFAQs Advertiser of the year 2012 by Indian Digital Media Awards 2012 Innovation in Loyalty Marketing Award (Initiative: Hero GoodLife Utsav) by Colloquy Loyalty Awards TPM Excellence Award 2012 by JIPM (Japan Institute of Plant Maintenance) Best Learning & Development Award Asias Third Best Employer Brand Award ET Now Talent & HR Leadership Award 8th Recruiting and Staffing Best-in-Class Award Global HR Excellence Award India Human Capital Award by Human Capital Business Technology Excellence Awards 2012 Business Technology Innovation Awards 2012 Top Green IT Enterprise Award IT Transformers Award Quality Circle Excellence Award at National QC Convention - 2012

2011 Two-wheeler Manufacturer of the Year award by Bike India magazine. Adjudged the "Bike Manufacturer of the Year" at the Economic Times ZigWheels Car and Bike Awards CNBC Awaaz - Storyboard special commendation for "Effective rebranding of a new corporate entity" by CNBC Awaaz Consumer Awards "Most Recommended Two-Wheeler Brand of the Year" award by CNBC Awaaz Consumer Awards Colloquy Loyalty Awards "Innovation in Loyalty Marketing International 2011" for Hero GoodLife "Best Activity Generating Short or Long-Term Brand Loyalty" by the Promotion Marketing Award of Asia Order of Merit for Hero GoodLife Ranked No 1 brand in the Auto (Two-Wheelers) category in the Brand Equity "Most Trusted Brand" 2011 survey

2010 Rated as Top Indian Company in Automobile - Two Wheelers sector by Dun & Bradstreet - Rolta Corporate Awards 2009 Most Preferred Brand of Two-Wheelers" award at the CNBC Awaaz Consumer Awards. Adjudged at top of the two-wheeler category in the Brand Equity Most Trusted Brands 2010 Survey. Ranked No. 3 Most Trusted Brand across categories amongst Young Adult Males Company of the Year awarded by Economic Times Awards for Corporate Excellence 2008-09. CNBC TV18 Overdrive Awards 2010 'Hall of Fame' to Splendor NDTV Profit Car & Bike Awards 2010 Two-wheeler Manufacturer of the Year Car and Bike Viewers' Choice Two-wheeler of the Year (Karizma ZMR) Bike Maker of the Year by ET-ZigWheels Car & Bike of the Year Awards 2009

2009 'Two-wheeler Manufacturer of the Year' by NDTV Profit Car & Bike Awards 2009 and Passion Pro adjudged as Car and Bike Viewers' Choice two-wheeler Top Indian Company under the 'Automobile - Two-wheelers' sector bythe Dun & Bradstreet-Rolta Corporate Awards Won Gold in the Reader's Digest Trusted Brand 2009 in the 'Motorcycles' category NDTV Profit Business Leadership Awards 2009 - two-wheeler category

2008 NDTV Profit Business Leadership Award 2008 - Hero Honda Wins the Coveted "NDTV Profit Business Leadership Award 2008" TopGear Design Awards 2008 - Hunk wins Bike of the Year. NDTV Profit Car India & Bike India Awards - NDTV "Viewers' Choice Award" to Hunk in Bike category IndiaTimes Mindscape and Savile Row ( A Forbes Group Venture ) Loyalty Awards - "Customer and Brand Loyalty Award" in Automobile (two-wheeler) sector Asian Retail Congress Award for Retail Excellence (Strategies and Solutions of business innovation and transformation) - Best Customer Loyalty Program in Automobile category NDTV Profit Car India & Bike India Awards - Bike Manufacturer of the year Overdrive Magazine - Bike Manufacturer of the year TNS Voice of the Customer Awards: No.1 executive motorcycle Splendor NXG No.1 standard motorcycle CD Deluxe No. premium motorcycle CBZ Xtreme.OperationsHero MotoCorp has four manufacturing facilities based at Dharuhera, Neemrana and Gurgaon in Haryana and at Haridwar in Uttarakhand. These plants together have a production capacity of 7.6 million 2-wheelers per year. Read More Hero MotoCorp has a sales and service network with over 6,000 dealerships and service points across India. It has a customer loyalty program since 2000, called the Hero Honda Passport Program which is now known as Hero GoodLife Program. Hero GoodLifeIt is reported that Hero MotoCorp has five joint ventures or associate companies, Munjal Showa, AG Industries, Sunbeam Auto, Rockman Industries and Satyam Auto Components, that supply a majority of its components. The company has a stated aim of achieving revenues of $10 billion and volumes of 10 million two-wheelers by 201617. This in conjunction with new countries where they can now market their two-wheelers following the disengagement from Honda. Hero MotoCorp hopes to achieve 10 per cent of their revenues from international markets, and they expected to launch sales in Nigeria by end-2011 or early-2012.Motorcycles Sleek (Discontinued) Street (Discontinued) Achiever Ambition 133, Ambition 135 (Discontinued) CBZ, CBZ Star (Discontinued) CBZ Xtreme, Hero New Xtreme 2014 CD 100, CD 100 SS, Hero Honda Joy, CD Dawn, CD Deluxe, CD Deluxe (Self Start) New HF Dawn,New HF Deluxe, HF DELUXE ECO Glamour, Glamour F.I. Hunk Karizma, Karizma R, Karizma ZMR FI Passion, Passion Plus, Passion Pro, Passion XPro, New Passion Pro TR Splendor, Splendor+, Splendor+ (Limited Edition), SuperSplendor, Splendor NXG, Splendor PRO, Splendor [iSmart],Splendor Pro Classic Hero Impulse launched in 2011 after the separation of Hero and Honda. Its India's first off-road and on road Bike. Hero Ignitor launched in 2012 Hero HX250rScootersIt has 2 models in scooters: Pleasure MaestroCompany performanceThe company has sold over 47 million 2-wheelers since its inception in 1984 till March 2013. It sold 6.07 million 2-wheelers in 2012, out of which 5.5 million were motorcycles. Hero Motocorp sells more two wheelers than the second, third and fourth placed two-wheeler companies put together. Its most popular bike Hero Honda Splendor sells more than one million units per year. In 2013, Hero MotoCorp registered best ever calendar year performance of more than 6.1 million unit sales. By selling 6.25 lakh units in the month of October, it became the first-ever manufacturer to cross landmark 6 lakh unit sales in a month. In the last quarter of the year or say in the festive season, the company sold more than 1.6 million units, while in non festive time in AprilMay 2013, it managed to sell out quite good numbers of units- 1.1 millionEmployeesAs on 31 March 2013, the company had 5,832 employees, out of which 66 were women (1.1%). It also had approx. 13,800 temporary employees on that date. The company had an attrition rate of 5.1% in the FY 2012-13. The company spent INR 8.21 billion on employee benefits during the FY 2012-13.

Sports Association Hero MotoCorp began its association with the prestigious Indian Open Golf tournament in 2005. The tournament has helped catapult the popularity of golf in India. Illustrious golfers from around the world participate in this annual event, which boasts of the largest prize fund sanctioned solely by the Asian Tour. Hero MotoCorp, the world's largest manufacturer of two-wheelers, took over title sponsorship of the World Challenge Hero World Challenge Hockey is India's national sport, and Hero is committed to doing its part to promote and popularize the sport. In 2010, Hero MotoCorp extended its support to Hockey by sponsoring the 'Hockey World Cup 2010' that was held in India. 2 years after this, Hero Motocorp was also the sponsor of the 'FIH Road to London 2012' tournament. The company is proud to associate with, and will continue to endorse this great sport in the future. Our association with cricket goes a long way. Hero MotoCorp has in the past sponsored major cricket tournaments in association with International Cricket Council (ICC), including the cricket World Cup and the Champions Trophy. Hero has also been associated with IPL.

INTRODUCTION TO THE TOPIC

Conceptual discussion

Definition of 360 degree performance appraisalIn the formatted from of 360-degree performance appraisals, the performance of an employee will be assessed based on ideas of many other different people, for example customers, suppliers, peers and direct reports. If the assessed is a manager, his/her staff will be often asked for feedback on how that manager is doing his task. In case of using 360-degree performance appraisal, it is vital that the process be implemented by the manager of Human Resources Department so that the subordinate reviewers (or staff) are made sure that all their assessments on performance are kept anonymous.Whats 360 degree measures? 360 degree measures manners and capacities. 360 degree improves such skills as listening, planning and goal-setting. 360 degree concentrates on subjective areas, for example efficiencies of teamwork, character, and leadership. 360 degree supplies on the way others think about a specific staff.Advantages of 360 degree appraisal Offer a more comprehensive view towards the performance of employees. Improve credibility of performance appraisal. Such colleagues feedback will help strengthen self-development. Increases responsibilities of employees to their customers. The mix of ideas can give a more accurate assessment. Opinions gathered from lots of staff are sure to be more persuasive. Not only manager should make assessments on its staff performance but other colleagues should do, too. People who undervalue themselves are often motivated by feedback from others. If more staff takes part in the process of performance appraisal, the organizational culture of the company will become more honest.

Disadvantages of 360 degree appraisal Taking a lot of time, and being complex in administration Extension of exchange feedback can cause troubles and tensions to several staff. There is requirement for training and important effort in order to achieve efficient working. It will be very hard to figure out the results. Feedback can be useless if it is not carefully and smoothly dealt. Can impose an environment of suspicion if the information is not openly and honestly managed.Who should conduct 360 degree performance appraisal? Subordinates. Peers. Managers (i.e. superior). Team members. Customers. Suppliers/ vendors. Anyone who comes into contact with the employee and can provide valuable insights and information.

360 degree appraisal has four components: Self appraisal Subordinates appraisal Peer appraisal. Superiors appraisal Performance Appraisal and 360 degree Performance Appraisal is a formal, structural way of measuring ,evaluating and influencing and employees job related attributes , behaviors and customs, as well as level of absenteeism, to discover how productive the employee is and whether he or she can perform as or more effectively in the future ,so that the employee and the organization, and society are at a benefit.Performance Appraisal System (PAS) organization to: To conduct a job analysis to identify job duties and responsibilities for which criteria need to be developed. Choose and appropriate and valid performance appraisal method to assess job behaviors or customers. Develop a process for conveying job expectations to employees prior to the appraisal periods . Establish a feedback System relating to the job performance . Evaluate how well the PAS is doing in relation to the stated objective and making necessary revisions . Performance Appraisal Covers Job Performance Absenteeism Theft Alcohol/drug use Unethical behavior

Major Purposes of Performance Appraisal are : Evaluative Developmental Evaluative includes performance measurement, compensation and motivation . Developmental includes management, development, identification of potential, feedback. Human resource planning, communications, performance improvement and research or legal compliance.

Performance appraisal methods(Tools of ) Performance appraisal methods include 11 appraisal methods / types as follows:1. Critical incident methodThis format of performance appraisal is a method which is involved identifying and describing specific incidents where employees did something really well or that needs improving during their performance period.Overview Each employee will be evaluated as such and ones performance appraisal will be based on the logs that are put in the evaluation form. The manager maintains logs on each employee, whereby he periodically records critical incidents of the workers behavior. At the end of the rating period, these recorded critical incidents are used in the evaluation of the workers performance. The critical incidents file of performance appraisal is a form of documentation that reflect all data about employee performances.Disadvantages of critical IncidentThis method suffers however from the following limitations: Critical incidents technique of evaluation is applied to evaluate the performance of superiors rather than of peers of subordinates. Negative incidents may be more noticeable than positive incidents. It results in very close supervision which may not be liked by the employee. The recording of incidents may be a chore for the manager concerned, who may be too busy or forget to do it. The supervisors have a tendency to unload a series of complaints about incidents during an annual performance review session.

2. Weighted checklist methodIn this style, performance appraisal is made under a method where the jobs being evaluated based on descriptive statements about effective and ineffective behavior on jobs.Process of weighted checklist HR department and Managers / Supervisors will set up checklist for each position. If the rater believes strongly that the employee possesses a particular listed trait, he checks the item; otherwise, he leaves the item blank.Sample of weighted checklist Does he give respect to his superiors? Yes/No Does he follow instructions properly? Yes/No Does he make mistakes frequently? Yes/NoThe value of each question may be weighted equally or certain questions may be weighted more heavily than others.Advantages and disadvantages of weighted checklist This method help the manager in evaluation of the performance of the employee. The rater may be biased in distinguishing the positive and negative questions. He may assign biased weights to the questions. This method also is expensive and time consuming. It becomes difficult for the manager to assemble, analyze and weigh a number of statements about the employees characteristics, contributions and behaviors.3. Paired comparison analysisThis form of performance appraisal is a good way to make full use of the methods of options. There will be a list of relevant options. Each option is in comparison with the others in the list. The results will be calculated and then such option with highest score will be mostly chosen.Advantages and disadvantages of paired comparison analysis It is useful where priorities are not clear. It is particularly useful where you do not have objective data to base this on. It helps you to set priorities where there are conflicting demands on your resources. This makes it easy to choose the most important problem to solve, or select the solution that will give you the greatest advantage.Steps to conduct paired comparison analysis List the options you will compare (elements as A, B, C, D, E for example). Create a table 6 rows and 7 column. Write down option to column and row; A to row second, cell first from left and A to row first, cell second from left; B to row third, cell first from left and B to row first, cell third from left etc; column seventh is total point. Identify importance from 0 (no difference) to 3 (major difference). Compare element A to B, C, D, E and place point at each cell. Finally, consolidate the results by adding up the total of all the values for each of the options. You may want to convert these values into a percentage of the total score.

Paired comparison in performance appraisal The term used to describe an appraisal method for ranking employees. We use the above model to appraise employee s performance.4. Graphic rating scalesThis format is considered the oldest and most popular method to assess the employees performance.In this style of performance appraisal, the management just simply does checks on the performance levels of their staff.Content of appraisal Quantity of work. Volume of work under normal working conditions Quality of work. Neatness, thoroughness and accuracy of work Knowledge of job. Dependability. Conscientious, thorough, reliable, accurate, with respect to attendance, relief, lunch breaks, etc. Judgment attitude. Exhibits enthusiasm and cooperativeness on the job Cooperation . Willingness and ability to work with others to produce desired goals. Initiative.Rating scalesRating scales can include 5 elements as follows: Unsatisfactory Fair Satisfactory Good OutstandingAdvantages of the rating scales Graphic rating scales are less time consuming to develop. They also allow for quantitative comparison.Disadvantages of the rating scales Different supervisors will use the same graphic scales in slightly different ways. One way to get around the ambiguity inherent in graphic rating scales is to use behavior based scales, in which specific work related behaviors are assessed. More validity comparing workers ratings from a single supervisor than comparing two workers who were rated by different supervisors.5. Essay Evaluation methodIn this style of performance appraisal, managers/ supervisors are required to figure out the strong and weak points of staffs behaviors. Essay evaluation method is a non-quantitative technique. It is often mixed with the method the graphic rating scale.Input of information sources Job knowledge and potential of the employee; Employees understanding of the companys programs, policies, objectives, etc.; The employees relations with co-workers and superiors; The employees general planning, organizing and controlling ability; The attitudes and perceptions of the employee, in general.Disadvantages of essay evaluation Manager / supervisor may write a biased essay. A busy rater may write the essay hurriedly without properly assessing the actual performance of the worker. Apart from that, rater takes a long time, this becomes uneconomical from the view point of the firm, because the time of rater is costly. Some evaluators may be poor in writing essays on employee performance. Others may be superficial in explanation and use flowery language which may not reflect the actual performance of the employee.6. Behaviorally anchored rating scales (BARs)This formatted performance appraisal is based on making rates on behaviors or sets of indicators to determine the effectiveness or ineffectiveness of working performance. The form is a mix of the rating scale and critical incident techniques to assess performance of the staff.Classification of behaviorally anchored rating scales: Behavioral observation scales Behavioral expectations scales Numerically anchored rating scalesRating scalesEach behavior can rate at one of 7 scales as follows (you can set scales depend on your requirements) Extremely poor (1 points) Poor (2 points) Below average (3 points) Average (4 points) Above average (5 points) Good (6 points) Extremely good (7 points)Advantages and disadvantages of behaviorally anchored rating scales: This method are very useful and exactly. It is very difficult to develop this method because you need to identify what is good level etc.

7. Performance ranking methodThe performance appraisal of ranking is used to assess the working performance of employees from the highest to lowest levels.Managers will make comparisons of an employee with the others, instead of making comparison of each employee with some certain standards.8. Management By Objectives (MBO) methodMBO is a method of performance appraisal in which managers or employers set a list of objectives and make assessments on their performance on a regular basis, and finally make rewards based on the results achieved. This method mostly cares about the results achieved (goals) but not to the way how employees can fulfill them.Classification of Objectives Corporate objectives Functional objectives Individual objectivesConditions of Management By ObjectivesAn objective must be satisfied SMART conditions: Specific, Measurable, Achievable, Relevant, and Time-Specific.Advantages of MBO It is based on the assumption that the individual (employee) knows more than anyone else about her/his own capabilities, needs, strengths, weaknesses and goals. A further advantage of MBO is that the emphasis is on the future rather than on the past. Appraisal thus becomes a means to a constructive end.9. 360 degree performance appraisalThe style of 360 degree performance appraisal is a method that employees will give confidential and anonymous assessments on their colleagues. This post also information that can be used as references for such methods of performance assessments of 720, 540, 180Whats 360 degree measures? 360 degree measures manners and capacities. 360 degree improves such skills as listening, planning and goal-setting. 360 degree concentrates on subjective areas, for example efficiencies of teamwork, character, and leadership. 360 degree supplies on the way others think about a specific staff.Advantages of 360 degree appraisal Offer a more comprehensive view towards the performance of employees. Improve credibility of performance appraisal. Such colleagues feedback will help strengthen self-development. Increases responsibilities of employees to their customers. The mix of ideas can give a more accurate assessment. Opinions gathered from lots of staff are sure to be more persuasive. Not only manager should make assessments on its staff performance but other colleagues should do, too. People who undervalue themselves are often motivated by feedback from others. If more staff takes part in the process of performance appraisal, the organizational culture of the company will become more honest.Disadvantages of 360 degree appraisal Taking a lot of time, and being complex in administration Extension of exchange feedback can cause troubles and tensions to several staff. There is requirement for training and important effort in order to achieve efficient working. It will be very hard to figure out the results. Feedback can be useless if it is not carefully and smoothly dealt. Can impose an environment of suspicion if the information is not openly and honestly managed.Who should conduct 360 degree performance appraisal? Subordinates. Peers. Managers (i.e. superior). Team members. Customers. Suppliers/ vendors. Anyone who comes into contact with the employee and can provide valuable insights and information.360 degree appraisal has four components: Self appraisal Subordinates appraisal Peer appraisal. Superiors appraisal10.Forced ranking (forced distribution)In this style of performance appraisal, employees are ranked in terms of forced allocations.For instance, it is vital that the proportions be shared in the way that 10 or 20 % will be the highest levels of performances, while 70 or 80% will be in the middle level and the rest will be in the lowest one.Application of Forced RankingGE, Ford Motor, Conoco, Sun Microsystems, Cisco Systems, EDS, Enron and a host of other U.S. corporations have adopted similar policies of this methodAdvantages and disadvantages of forced RankingAdvantages: They force reluctant managers to make difficult decisions and identify the most and least talented members of the work group. They create and sustain a high performance culture in which the workforce continuously improves.Disadvantages They increase unhealthy cut-throat competitiveness; They discourage collaboration and teamwork; They harm morale; They are legally suspect giving rise to age discrimination cases.11. Behavioral Observation ScalesThe method based on the scales of observation on behaviors is the one in which important tasks that workers have performed during their working time will be assessed on a regular basis.Rating scalesWe use 5 scales as follows to identify frequency of behavior. Never Seldom Sometimes Generally Always

Working Together In Performance AppraisalLINE MANAGERHR PROFESSIONALSEMPLOYEE

Work within HR professionals in developing the appraisal process Work with line managers in developing the appraisal process May appraise the work of other employees

Complete the appraisal form on employees Coordinate the completion of Appraisal forms May Appraise their own performance

Give feedback to the employees Train line managers in giving feedback Participate in the feedback process .May appraise the boss

Performance appraisal system and the choice of Raters / Who does the Appraising?While many different sources can be used together performance data, the relevance of these sources needs to be considered prior to the choice of rating method. Performance Appraisal raters include: Supervisors Peers Subordinates Self Customers Computer monitoring Appraisal by supervisorsThe superior is the immediate boss of the subordinate being evaluated. The assumption is that the superior knows the subordinates job and performance better than anyone else. But appraisal by the superior has drawbacks. To counter these organization process. Allowing other people to gather performance appraisal data creates a greater openness in the appraisal process, thus helping to enhance the quality of the superior-subordinate relationship. Self AppraisalThe use of self-appraisal was made popular as an important component in MBO. Subordinates who participate in the evaluation process may become more involved and committed to the goal. Subordinate participation can also clarify employee roles and reduce the uncertainty about what to do.At this time, Self Appraisals are effective tool for program focusing on self development, personal growth and the goal commitment. However, Self Appraisal are subject to systematic biases and distortions when used for evaluations. There is evidence that self rating are more lenient or higher than those obtained from supervisors. Self ratings will correspond more closely to the supervisor ratings when extensive performance feedback is given and when employees know that their performance ratings will be checked against objective criteria. It has been suggested that self-appraisals are particularly useful in small companies, especially when it is an employee initiated an demand appraisal. Team Member AppraisalTeam member involvement in the appraisal process can take different forms. In addition to defining performance expectations, team members can commonly serve as evaluators, the co-worker who is at an individuals side all day has an excellent opportunity to observe that individuals behavior. Common performance dimensions on which team members have evaluations expertise include : Attendance and timeliness Interpersonal skills Group supportiveness Planning and coordinationTeam members can also provide useful information for evaluating how well the team as a whole is functioning in terms of productivity, cohesiveness and motivation.

Appraisal by Customers/ClientsAppraisal of customers are appropriate in situations in a variety of contents.If all these sources are combined to receive information about an individual then the process is called 360-degree feedbackAppraisal information from all directions give employees more information on their behaviors, thus enhancing the potential for improvement. The focus is on achievement and the fulfillment of the organization strategy.In contrast to the traditional approach, where a single supervisor rates employee performance, multiple source systems allow evaluations to be conducted by a group of colleagues and internal customers who form a circle around the employee. Employees are more likely to respond constructively to a groups suggestions on how to improve their performance. As a result, the evaluation process becomes more of a diagnostic tool for employee development and less of an instrument to judge and discipline employees. The evaluation process produces more valid results because it involves a group of people interact with the employee in many different ways. For the same reason, the process has proved to be less susceptible to gender and ethnicity biases than single source evaluations.As organizations become flatter and move towards team-based management structures, multiples source evaluation systems can play an integral role in facilitating participation and enhancing productivity. Establishing feedback criteriaThe first step in designing a multiple source assessment system is selecting evaluation criteria and developing a behavior profile, so employees can be assessed relative to a model and no relative to co-workers. The process of defining evaluation criteria should be participative. For the system to work effectively, shareholders in the organization must be given an opportunity to get involved upfront. Select Evaluation team Do not limit evaluation team to employees closest colleagues. To get the most out of the multiple source assessments, the group should reflect the employees internal customers. Teams should reflect the employees internal customers. Teams should consist of five to eight members, including the employee being evaluated. Employees then have the opportunity to compare their self-evaluations with the groups assessment. Conduct the evaluations Evaluation forms can be distributed in the form of hardcopy or electronically. Using an electronic mail system is one very efficient method for carrying out this process. It is important, however, to establish procedures for ensuring the anonymity of evaluators and the confidentiality of their responses. Analysis results Along with the raw results of the evaluations provides employees with an analysis of the data that will clarify and focus areas of strength and weakness in the performance. Intervene to improve behaviorInstead of focusing only on the problems, seek to identify structural constituents to improvement, and attempt to change those factors. For example, does the employee have the necessary training and tools to perform the job, and are internal procedures clearly communicated?In conclusion, there are four basic criteria employees should look for in a multiple source evaluation system : fairness, accuracy, simplicity and trustworthiness.

The 360 Degree- TechniqueThe Indian ScenarioIts a reality check. You have assessed your managers performance using top-down evaluation systems. You have gauged their potential, using sophisticated psychometric tests. Now, you can have the persona of each - his talents, his behavioral quirks, his values, his ethical standards, his tempers, his loyalty - scanned, sorted, and stethoscope by those best - placed to carry out the diagnosis : his colleagues.This hot new form of assessment, known as 360-degee feedback, involves having a manager rated by everyone above, alongside, and below him. And the hoary hypothesis is that it is exploding : an evaluation can only be conducted by the boss.This how new thing has captured the Indian scenario in a big way. Says Tarun Sethi, Director, Shilputsi Consultants : Every organization wants to know everything about a man thats why 360-degree should be on top of a CEOs wish list.The technique originally started at General Electric, US, 1992. And now it has nabbed the Indian corporate scene to a great extent. Corporate like General Electrics (GE), Reliance Industries Ltd. (RIL), Crompton Greaves, Godrej Soaps, Wipro, Infosys, Thermax, American Express, Hewlet Packard, HERO MOTOCORP, Thomas Cook, Mafatlal Industries and the list keeps on increasing. They are all using tools to find out home truths about their manages. Although deployed mostly as a fact finding and self-correlation technique, 360-degree feedback is also beginning to be used to design promotion and reward.Just what makes 360-degree feedback, amulti-rater assessment, revolutionary? As the label suggests, it involves collecting responses through structured questionnaire about a manager from his bosses, peers, and subordinates. The technique pans over a several parameters: performance as well as behavior, how effectively a manager handles his boss and his juniors, how clearly he communicates, how deftly he delegates, how abrasively he administrators. Values, ethics, fairness, balance and courtesy - nothing is excluded from the ambit. And neither, crucially, is the question of how inspired the managers leadership is. The questions are formulated so as to elicit one of the five responses to the subjects rating on a parameter: significant strength, strength, meets requirements, development required, and cannot rate. Normally questions related to behavior are more effective than performance related queries. The latter requires judgment which cannot only be difficult, but also based. By contrast, the former elicit reportage which is the simpler and more reliable.Each manager is assessed by a minimum 15 colleagues: at least two of them being his bosses, four of them peers, and six of them as subordinates. While immediate supervisors are best-placed to evaluate performance parameters, peer judgment provides a comparative - and even competitive - perspective. And including juniors is crucial: many an ample of the bosss eye metamorphoses into a brutal bully with subordinates, often hording responsibility rather than delegating it. The best 360-degree system polls customers too.Crunched and graphed by a computer, the responses are presented collectively to the subject of the appraisal, with specific comments being presented later. Bar-charts for each parameter indicate what percentage of respondents in each category - boss, peer, or subordinate - rated the subject. Then, interpretations of what the findings are actually telling their subject follow. And finally, counseling sessions tackle ways to solve the specific problems and weaknesses identified by the 360-degree assessment.

The 360-Degree-An AnalysisHow does 360-degree score over other form of performance appraisal. Normal performance appraisal systems judge the outcome of a managers efforts, but ignores the road taken. They focus on achievements rather than the intrinsic qualities that a manager must have in order to lead. But these qualities are what the appraisal reveals. Remember : it wont Tell your manager whether theyve met their targets, but it will praise or warn them about their styles. Among the other benefits that will follow : Bridging the gap between self-assessment and colleagues views, the feedback will home in on managerial causes of organizational problems. Teamwork will thrive once assessmence by - peers is embedded in the fabric of your company. Your managers will manage people better after being 360-degreed. The method looks not just at whether managers achieve their goals, but also how they achieve them.Whom should you subject to a 360-degree assessment? Although applicable across functions and anywhere in the hierarchy, the tool is most effective when used from the top down. For, the effect that the CEO and the top managers have been administered the test convinces everyone else to go through it too.However, dont be surprised if the results are uneven. For, individual reactions can vary, and not every manager in your company will accept and benefit from the findings.Should your managers pay-cheque reflect their appraisals? Used to complement performance assessment, the feedback can be a useful compass for pointing out the directions to compensation. But dont deploy it as the sole arbiter of reward. After all, performance in terms of meeting targets must be fundamental to evaluation.But how can you ignore, when determining increments, the leadership ratings that a 360-degee test gives your manager. To resolve the contradiction HERO MOTOCORP uses a target-based performance bonus at the year-end. And the leadership ratings of the 360-degree assessment is linked to promotions and increments.So, managers have to make the numbers for a one-off reward, and earn high grades on the 360-degree test for permanent gains. Dont replace your current system with 360-degree assessment, therefore, but do add it to your appraisal arsenal.

MERITS Evaluates methods required to achieve the targets. Reveals strengths and weaknesses in managing style. Forces inflexible managers to initiate self-change. Creates an atmosphere of teamwork and empowerment. Unearths truths about organizational culture and ambience. DEMERITS Ignores performance in terms of reaching goals. Colleagues responses tend to be biased. Assesses deny the truth of negative feedback. The system can be utilized to humiliate people. Linking findings to rewards can prove to be unfair.PERFORMANCE APPRAISAL AT HERO MOTOCORP

In the traditional factory, production takes place on a variety of machines. In the Automobile industry, it takes place in the minds of the people not surprisingly human resource management is usually high on the agenda of any inspired company. HERO MOTOCORP goes a step beyond. One of the biggest challenges that HERO MOTOCORP faces is how to unleash the intellectual and emotional potential of its employees to create an institution that emerges a role model within its industry worldwide. From investing liberally in the minds of HERO MOTOCORP- fostering a culture of risk taking, to participating actively in their personal lives and recognizing exceptional contributions through innovative mechanisms. HERO MOTOCORP believes that when an organization pioneers in a new area mistakes can happen. HERO MOTOCORP strongly believes in creating an environment in which decision making is not stifled buy the fear of the retribution. The HERO MOTOCORP model for maintain competitiveness focuses on two aspects : MERIT and SPINNOVATION. MERIT (Meeting Every Requirement On Time) ensures that a customer requirements are captured, performance against these is measured and improvements brought about though corrective action at the ream level and the individual levels. Balancing work life and personal life is a key concern for most working people. HERO MOTOCORP regularly conducts personal effectiveness program (PEP) for all Mangers. A large majority of these managers have reported better health. Reduced stress and improved productivity as a result. Personal transformation is achieved through PQI (Personal Quality Initiative), a revolutionary movement conceptualized and developed within HERO MOTOCORP. PQI provides simple formats to identify habits that need to change. Since the launch in 1994, over 2,000 HERO MOTOCORP employees have been trained by their supervisors in this program, and have reported remarkable personal gains that are usually not considered part of conventional HR activity. These training needs are identified during the Performance Appraisal of the employees. The Performance Appraisal system at HERO MOTOCORP has been made in a way that its concern for people (the Vision Document) has been tailored and incorporated as a tool to aid in the development of the employee as well as the overall development of the organization as a whole. The PEP and the IEF (Individual Effectiveness Feedback) are based upon the 7HABITS given by Stephen K. At HERO MOTOCORP performance appraisal is used as a tool as well as a methodology to bring about changes in the organization. Besides an ongoing performance appraisal system, HERO MOTOCORP conducts the 360-degree PA at least once in a year. This 270-degree performance appraisal ( so as to what they name it) covers the peers, the subordinates and the superiors; but it fails to consider the customers ( and so people at HERO MOTOCORP consider is as a 270-degree rather than 360-degree PAS). The purpose of PAS is developmental and is conducted generally once in year but may be conducted even after the issues. There are six basic Core Competencies that are evaluated. These basic core competencies assess the performance, values, behavior, attitudes as well as different things for different employees and different things for different input sources are also assessed. Besides this, the leadership styles of the employees is also evaluated. Teams are formed that comprise of the peers, the subordinates as well as the superiors; and the feedback is taken then. This kind of feed aback is taken for the managers at all levels , the senior (alphanumeric). The conclusion arrived at is then kept confidential and is given to the employee in an oral as well as written form and the sources are protected. After the feedback has been taken the employee is called by the personnel executive and is given the conclusions of the feedback that had been arrived at after processing them with the help of special software packages. The employee has full freedom to discuss his feedback with the management. The employee is them made to call up a meeting of the team members involved in the performance appraisal and is then supposed to discuss issues with them. In the end the team members give their combined written comments to the employee. Besides this, different training needs of the employee are then identified and the relevant training programs are then conducted. Different personality development programs are conducted by the organization for the employees. It is after all this that a development plan is prepared for the employee wherein they identify their key performance areas and areas that need improvement. This is an all round development plan that exists round the year and it is upon this criteria that the employee is evaluated the next year when this performance appraisal is conducted. Appraisal systems these days offer employees a better chance of recognizing problem zones. A 360-degree appraisal system -- where individual weaknesses are recognized and necessary training requirements are identified -- is well-accepted in all companies. ``The onus of sustaining the benefits of the training programme must be taken upon by the individual himself.'' Training is effective only when carried over to the workplace. World-class organizations are not built overnight, they are sustained over a period of time in a carefully planned manner. ``If you do not plan it well, you cannot build excellence or nurture a climate of excellence. Organizations, therefore, have to build an appetite in individuals for seeking out opportunities. After all, opportunity hunger arises from appetite and not from starvation.'' Above everything else, there must be a clearly-laid path for individuals to survive the competition. This is where training helps.

The Analysis The Human Resource Department is considered to be one the best in the country. HERO MOTOCORP in itself is involved in frequent in-house as well as outhouse training programs, personality development programs, performance appraisal, total quality management etc. The performance appraisal conducted over here is of two types. One is meant to evaluate employees regarding their performance and the other is regarding the feedback of the employee by different employees (i.e. the 270-degree feedback). These two appraisals are conducted on a half yearly basis i.e. one id conducted after every six months. The Key Performance areas for each employee are identified at least once every year which provide role clarity to employees in terms of their work as well as their behavior towards other employees. Line managers discuss performances and targets with their subordinates. Managers also practice self appraisal, reviewing and analyzing what affects their performance. There is also a considerable amount of communication existing in the organization at all levels. The automobile industry has widely recognized 360 degree feedback as a useful developmental tool. The HR managers and employees have realized that professional success is not one-dimensional but encompasses the entire spectrum of an individuals professional conduct. The 360 degree feedback is particularly significant in the knowledge economy since the companys wealth resides in each employee. Each asset can be a potential leader and the contribution of each asset in turn determines the success of the company. Theoretically, 360 degree feedback is the gap analysis between how one evaluates oneself on a set of criteria and the evaluation by the manager, peers and direct reports against the same set of criteria. The gap can then be overcome through counseling, training or coaching sessions.

The major drawbacks faced are : The educational background of the employees subordinates, peers or superiors sometimes makes a difference in the feedback they give. The whole method is too subjective and deals mainly with employees performance and not with the objectives to be achieved. Occurrence of errors like central tendency or Halo Effect. Sometimes the biases in the minds of the raters may effect their feedback regarding an employee.

objective and research methodology

NEED FOR THE STUDY

The study has been done for Hero MotoCorp. However it has provide detail coverage of the vast and complex Performance management policies and practices in the company. It had reflected the impact of polices and traces the need for change in the policy and practices that are currently required. In this way, an empirical study on the recent policies has been made and a comprehensive view of the Performance Management System has been developed.

A very practical approach to the study had been facilitated in having a clear picture of the actual performance management practices in the organization. A diagnosis of the concrete problems has been made to appraise the working of H.R.Department.

ObjectiveS OF THE STUDY

To study about the process of 360- degree appraisal method at HERO Motocorp To study the practically of the method. To evaluate the merits and demerits of the method. To study the effectiveness of the360 - degree performance Appraisal To know the HR department activities in the performance appraisal.

Research methodology The procedure adopted for conducting the research requires a lot of attention as it has direct bearing on accuracy, reliability and adequacy of results obtained. It is due to this reason that research methodology, which we used at the time of conducting the research, needs to be elaborated upon. It may be understood as a science of studying how research is done scientifically. So, the research methodology not only talks about the research methods but also considers the logic behind the method used in the context of the research study. Research Methodology is a way to systematically study and solve the research problems. If a researcher wants to claim his study as a good study, he must clearly state the methodology adapted in conducting the research the research so that it may be judged by the reader whether the methodology of work done is sound or not.

Research design There are different ways of research designs classified by various authors. Different types of research design have emerged on account of different perspective from which a research can be viewed. The three broad categories of research design are:(1) Exploratory Research (2) Descriptive Research (3) Casual Research

For this particular study I had used exploratory Research MethodExploratory Research: This is used in order to study the environment and give a direction to the study. The focus is on the discovery of ideas. It is generally based on secondary data that are readily available. It doesnt have a rigid and format design as the researcher may have to change his focus or direction depending on the variables.In exploratory research the first stage is I have done a basic and applied research which means- understanding about the topic through journals and magazines and by visiting Library. The project was conducted in the following way:1. The methodology adopted was obtaining primary data from HERO MOTOCORP.Ludhiana. Calculating all the secondary data on 360 degree appraisal as available in published works. Identifying the most significant and conclusive theory necessary. Analyzing to the above & creating a response sheet to obtain primary data on 360 degree appraisal. Personal visit to ensure that the primary data (unstructured). This is standing testimonial. Interpretation & Analyzing.

The information for the project was collected from the following sources: Primary sources -50% Secondary sources-50%

Data Collection

Primary Data:

Primary data are those, which are collected afresh and for the first time and this happen to be original in character. Following are some of the sources of primary data. Experiments, Survey.

Secondary Data:

Secondary data are those data which have already been collected by someone else and which have already been used as per required. It is collected mostly from books, journals and periodicals, Government Records, Public Sector Records etc.

The primary sources included the conduction of interviews with the help of : QuestionnairesSample Size: The total number of respondents was 200 employees of HERO MOTOCORP.Managerial usefulness of the study To point out and suggest the organization to adopt remedial actions to remove those loopholes, aiming to improve the productivity and efficiency of the worker and increase the level of job satisfaction among them.

Scope of the study

This project had helped to understand about the 360 degree performance appraisal system in the following ways:Most managers and employees hate the traditional one-to-one annual reviews with the boss. But by using 360-degree feedback as part of their staff appraisal and development process they can bring some serious benefits to both their business and their people. People gain much better self awareness by learning how their colleagues perceive them. People generally like 360 degree feedback. They take things less personally and are more likely to take on board what's been said. It helps people understand how their behavior influences both their own personal effectiveness and how they impact the smooth running of the organization. It improves communication within the organization and encourages a more open culture where giving and receiving constructive feedback is the norm. It is a very powerful driver for change both for individuals and organizations as a whole.

Limitation of the Study/ Project Work

Time constraint. Reliability of the response. Problems while collecting the information through primary and secondary sources.

Flow Diagram

Setting the ObjectivesSecondary Data CollectionPrimary Data CollectionLiteratureReviewFormation of QuestionnaireQuestionnaire DistributionSample Data CollectionInputting- Coding ResponseInterpretation & AnalyzingFindingsReport Writing

data analysis

Data ANALYSIS

At the primary data based on questionnaire response. Primary data for 360 degree has been presented. All data collected read in to the computer. Sample sheet are attached in Annexure I. The sample structure conducted 200 individual.

1. Career paths are laid down for every employee, with opportunities and limitations clearly specified: (a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes6432

Often10452

Always 3216

TOTAL200100

Fig. 1

Analysis: 68% people says that there are career paths for every employee, with opportunities and limitations. 32% opportunities and limitations, people believes that sometimes there are career paths for every employees.

2. There are mechanisms in your company to identify potential leaders and motivate people:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes126

Often8643

Always 10251

TOTAL200100

INTERPRETATION:Acc. to this 51% of the employees feel that there are mechanisms in your company to identify potential leaders and motivate people:

3. Key performance areas are identified for each employee at least once a year:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

Fig. 3NO. OF RESPONDENTS% AGE

Never00

Rarely84

Sometimes63

Often5226

Always 13467

TOTAL200100

INTERPRETATION: Around 67% of the employees feel that there should be Key performance areas which would be identified for each employee at least once a year

4. These areas provide role clarity and direction to employees in terms of their work:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always NO. OF RESPONDENTS% AGE

Never00

Rarely84

Sometimes2010

Often3216

Always 14070

TOTAL200100

Fig. 4

Analysis: 30% people believes that sometimes these areas provide role clarity and direction to employees in terms of their work. 70% people says that these areas provide role clarity and direction to employees in terms of their work.

Q.5 Goal-setting exercises are used to stretch employee's capabilities to the limit?

NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes6030

Often3618

Always 10452

TOTAL200100

Fig. 5

Analysis: 30% people believe that sometimes goal setting exercises are used to stretch employees capabilities to the limit. 70% people says that goal exercises are used to stretch employees capabilities to the limit.

Q.6 There is a mechanism by which performance plans for the company are prepared every year?NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes9246

Often3216

Always 7638

TOTAL200100

Analysis: 46% people believes that sometimes there is mechanism by which performance plans for the company are prepared every year. 54% people says that there is mechanism by which performance plans for the company are prepared every year.

Q.7 Line managers always discuss performances and targets with their subordinates?

NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes3216

Often3216

Always 13668

TOTAL200100

Analysis: 16% people says that line managers sometimes discuss performance and targets with their subordinates. 84% people agree with the statement that line managers always discuss performance and targets with their subordinates.

Q.8 = Managers practice self-appraisal, reviewing and analyzing what affects their performance?NO. OF RESPONDENTS% AGE

Never00

Rarely4020

Sometimes6030

Often6030

Always 4020

TOTAL200100

Analysis: 20% people believe that managers rarely practice self-appraisal, reviewing and analyzing what affects their performance. 30% people believe that sometimes it happens. 50% people agree on this statementQ.9 There is a degree of horizontal communication across functions and people at the same level?NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes3618

Often12864

Always 3618

TOTAL200100

Analysis: 18% people says that sometimes there is a degree of horizontal communication across functions and people at the same level. 82% people agree on this statement that there is a degree of horizontal communication across functions and people at the same level.Q.10 The circulars and newsletters in your company keep every employee well-informed?NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes3618

Often12864

Always 3618

TOTAL200100

Analysis: 100% people strongly agree that the circulars and news letter in the company keep every employee well informed. This figure clearly shows that the company is very much aware of the importance of the circulars and the news letters thats why the result of this statement is 100%.Q.11 There are mechanisms for employees at all levels to meet top managers if they wish?NO. OF RESPONDENTS% AGE

Never105

Rarely3819

Sometimes6030

Often3618

Always 5628

TOTAL200100

Fig. 11

Analysis: 30% people says that sometimes they get opportunity to meet the top managers if they wish. 28% people says that rarely there are mechanisms for employees at all levels to meet the top managers if they wish. 24% people totally agree about the mechanisms for employees at all levels to meet the top managers if they wish. 18% people totally denying this statement.

Q.12 There are constant investments in improving your company's communications infrastructure?NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes3618

Often5628

Always 10854

TOTAL200100

Fig. 12

Analysis: 18% people says sometimes there are constant investments in improving the companys communications infrastructure. 82% people agree with this statement that the there are constant investments in improving the companys communications infrastructure.

Q.13 The company has adequate mechanisms by which it can project a good image of itself?NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes5628

Often10050

Always 4422

TOTAL200100

Fig. 13Analysis: 28% people says that the company sometimes use the adequate mechanisms by which it can project a good image of itself. 72% people believe that the company always use the adequate mechanisms by which it can project a good image of itself.

Q.14 Your company tries to organize itself around small cross-functional or functional teams?NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes3015

Often11055

Always 6030

TOTAL200100

Fig. 14Q.15 Every employee is empowered and has the autonomy to plan, organize, and do his work?NO. OF RESPONDENTS% AGE

Never00

Rarely5628

Sometimes3618

Often84

Always 10050

TOTAL200100

Fig. 15

Analysis: 54% people agree that every employee is empowered and has the autonomy to plan, organize and do his work. 18% people says that sometimes it happens. 28% people says that rarely it happens.

Q.16 Delegation is not confined to the top, but is intrinsic to the organization's culture?NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes3618

Often11256

Always 5226

TOTAL200100

Fig. 16

Analysis: 82% people agree on this statement that delegation is not confirmed to the top, but is intrinsic to the organizations culture. 18% people says sometimes it happens.

Q.17 Every senior manager in your company is seen by his subordinates as a role model to emulate?NO. OF RESPONDENTS% AGE

Never126

Rarely00

Sometimes00

Often15276

Always 3618

TOTAL200100

Fig. 17

Analysis: 76% people agree that sometimes this situation is occurs when every senior manager in the company is seen by his subordinates as a role model to emulate. 18% people says always every senior manager in the company is seen by his subordinates as a role model to emulate. 6% people strongly disagree with the statement.

Q.18 Employee participation is sought in all matters that pertain to the work and the company's goals?

NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes3618

Often3618

Always 12864

TOTAL200100

Fig. 18

Analysis: 82% people agree that employee participation is sought in all matters that pertain to the work and the companys goal. 18% people says sometimes it happens.

Q.19 Employees in your company believe that total quality is the only key to sustained success?NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes5628

Often9648

Always 4824

TOTAL200100

Fig. 19

Analysis: 72% people in the company believe that total quality is the only key to sustained success. 28% people sometimes believe on this statement.

Q.20 Every employee in the company has a sense of pride in the quality of the work they do?NO. OF RESPONDENTS% AGE

Never00

Rarely00

Sometimes00

Often6834

Always 13266

TOTAL200100

Fig. 20

Analysis: Approximately 100% people of the company has a sense of pride in the quality of the work they do.

Findings and recommendations

On the basis of the whole study, following conclusions can be derived: The Human Resource Department of HERO MOTO CORP Ltd could be considered as one of the best in the industry. HERO MOTO CORP is involved in frequent in-house as well as outhouse training programs, personality development programs, performance appraisal, total quality management and a variety of modern HR practices. Every employee in the company has a sense of pride in the quality of the work they do. In HERO MOTO CORP the circulars and the newsletters keep aware every employee well-informed. Individuals getting a broader perspective of how they are perceived by others than previously possible. 360 degree feedback Increases awareness of and relevance of competencies. More reliable feedback to senior managers about their performance. Encouraging more open feedback- new insights. Providing a clearer picture to senior management of individuals real worth. Clarified to employees critical performance aspects. Focused agenda for development. Forced line managers to discuss development issues. 360 degree feedback helps to raise the self-awareness of people managers of how they personally impact upon others- positively and negatively. 360 degree is basically a rounded view of the individuals/ teams/ organizations performance and what the strengths and weaknesses are. Key development areas could be identified for the individual, a department and the organization as a whole from 360 degree feedback.

RECOMMENDATIONS

RECOMMENDATION:

Certain recommendations can be made after interviewing various employees at different levels with the help of my data sheet.Some recommendations are as follows :- Good performer should not only be rewarded by promotion etc., but also by appreciation of their performance in public Workers opinion regarding their job should be given more priority. The work related benefits like overtime, production incentives expenses should be provided to the employees There should be proper utilization of existing manpower Employees should be given recognition at proper intervals. Suggestions from the employees should be welcomed with open arms and if found suitable should be implemented More opportunities should be given to the employees regarding, T&D, MDPs, participation in decision makings etc.

Significance

Performance appraisal is a key HR process in any organization. If not handled properly, it could lead to several negative consequences for the employee as well as the organization. The consequences could range from drop in motivation and performance level to increase in the rate of attrition. The traditional methods of appraisal are subject to a number of biases and that leaves a lot to be desired. That is why, most of the organizations today are going for newer systems of performance appraisal that are more objective, impartial, and effective.360 degree appraisal is one such modern method of appraisal which promises to be a highly effective tool for appraisal of performance. However, its early days and the effectiveness of this method needs to be assessed in an objective manner. Therefore, the present study is an attempt to evaluate the efficacy of this tool as perceived by the employees of the organization.Based on the research conducted, following suggestions could be offered for HERO MOTO CORP Ltd: The performance appraisal system for the supervisors and the managers should be clubbed together into one i.e. there should be just one performance appraisal system for the organization. The performance Appraisal should be taken up on a yearly basis as well as on a mid -term basis. For the initial stage of implementing this appraisal system, the senior level of employees should be taken up first. The performance appraisal should be conducted on the basis of the objectives set by the appraise along with his superior. The objectives should be at least 5 in number and may be job related or may be based upon the personal development area of the employee. The employee should be appraised on the midterm as well as yearly basis. The progress should be noted down and the objectives for the next term should be set on the basis of this progress. Besides this, the appraise should be evaluated on the basis of some core competencies as well as the leadership style of the appraise. For this teams comprising of the direct reports, colleagues, subordinates as well as the managers. The core competencies to be evaluated and appraised, which are reflective of the means adopted by the employee to achieve higher objectives, are: Business and technical details Customer focus Teamwork and co-operation Setting and fulfilling Commitments Communicating with others Innovation and creativity.

Annexure

QUESTIONNAIRE

Dear Sir / madam, The information obtained through this questionnaire will kept strictly confidential and used only for academic purposes.

NAME OF THE RESPONDENT: ____________________________________________(Optional)

AGE*:__________________________________________________________________

DESIGNATION*:________________________________________________________

ORGANIZATION*:_______________________________________________________

LEVEL OF MANAGEMENT: (a)UPPER (b) MIDDLE (c)LOWER

EXPERIENCE IN PRESENT ORGANIZATION*:______________________________

TOTAL EXPERIENCE*:___________________________________________________

(* indicated items must be filled up)

Please indicate your agreement/ disagreement with the following statements by encircling the appropriate choice.

1. Career paths are laid down for every employee, with opportunities and limitations clearly specified: (a) Never(b) Rarely(c) Sometimes (d) Often(e) Always 2. There are mechanisms in your company to identify potential leaders and motivate people:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

3. Key performance areas are identified for each employee at least once a year:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

4. These areas provide role clarity and direction to employees in terms of their work:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

5. Goal-setting exercises are used to stretch employee's capabilities to the limit:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

6. There is a mechanism by which performance plans for the company are prepared every year:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

7. Line managers always discuss performances and targets with their subordinates:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always 8. Managers practice self-appraisal, reviewing and analyzing what affects their performance:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

9. There is a degree of horizontal communication across functions and people at the same level:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

10. The circulars and news letters in your company keep every employee well-informed:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always 11. There are mechanisms for employees at all levels to meet top managers if they wish:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

12. There are constant investments in improving your company's communications infrastructure: (a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

13. The company has adequate mechanisms by which it can project a good image of itself:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

14. Your company tries to organize itself around small cross-functional or functional teams:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

15. Every employee is empowered and has the autonomy to plan, organize, and do his work:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

16. Delegation is not confined to the top, but is intrinsic to the organization's culture:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

17. Every senior manager in your company is seen by his subordinates as a role model to emulate:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

18. Employee participation is sought in all matters that pertain to the work and the company's goals:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always 19. Employees in your company believe that total quality is the only key to sustained success:(a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

20. Every employee in the company has a sense of pride in the quality of the work they do: (a) Never(b) Rarely(c) Sometimes (d) Often(e) Always

25. Any other comments/ suggestions regarding the existing performance appraisal system in your company: _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________

references References

HUMAN RESOURCE MANAGEMENT Human Resource Management & Personnel Management - K. Aswathapa Human Resource Management - T.N. Chabra

RESEARH METHODOLOGY Research Methodology - C.R. Kothari

MARKETING RESEARH Marketing Research - Rajendra Nargundkar

WEBSITES

http://www.heromotocorp.com http://en.wikipedia.org/wiki/Hero_MotoCorp www.google.com