performance appraisal at airtel

8/11/2019 performance appraisal at airtel

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EXECUTIVE SUMMARY

Research report is the inseparable aspect of the professional course today. This is

the basic criteria which makes it mandatory for the participants in any curriculum that

he/she carries out in his/her own thought and blends it with the official data on the

basis of which a complete report is formulated.

With this philosophy in mind my Research report is based on the performance

appraisal of employees carried in the Telecom industry with special reference to

AIRTEL lucknow.

(A) PURPOSE OF THE STUDY

The entire study has been based on the accomplishment of the following obecti!es.

To measure the effecti!eness of the performance appraisal.

To know the most effecti!e method of the performance appraisal.

(B) METHODOLOGY OF THE STUDY

"pecific and proper methodology was needed to make the research report

successful and the methodology adopted has been concerned with techni#ues for

collecting primary and secondary data. This research report work of mine was

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centered in and around sales department where we gathered responses from

around $% employee. &rimary data ha!e been gathered on the basis of the

structural #uestionnaire which are designed under the guidance of the company

concerned people. The secondary information has been gathered from the

company's internal files and records.

( C ) LIMITATIONS OF THE STUDY

There are certain limitations( which cannot be ruled out after taking all possible

precaution regarding the basic rules of personnel departments.

)irst of all( the scope of study is limited as it come only important pro!isions laid

down by go!t. for the welfare of the workers.

The sample si*e was small here( the conclusion might not be right for the

remaining workers.

time gi!en by worker is !ery less.

+o consolidate date a!ailable, means students depend upon the secondary data.

data collection method was e-pensi!e

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4

"erial no. hapters &age +o.

I.

II.

III.

IV.

V.

VI.

VII.

VIII.

IX.

X.

XI.

XII.

XIII.

Acknowledgement&refaceE-ecuti!e summary

&erformance appraisal An

Introduction.

ompany's &rofile.

0rgani*ation's hart.

&erformance appraisal at AIRTEL.

0becti!es of the study.

Research methodology.

Analysis and Interpretation of thestudy.

)indings of the study.

Recommendations.

Limitations.

onclusion

Appendi-.

1ibliography.

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PERFORMANCE APPRAISAL

INTRODUCTION

&erformance appraisal is one of the traditional and most uni!ersal practices of the

management. It is a systematic and obecti!e way of udging the relati!es worth or

ability of an employee in performing his task. ;odern management refers to an

appraisal system in which the employee's merit like initiati!e( dependability(

personality etc. are compared with others and ranked and rated. The trend now a

day is in the direction of attempting to measure what the man does


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MEANING

>&erformance appraisal is the process of e!aluating the performance and

#ualifications of the employees in terms of the re#uirements of the ob for which he

is employed( for purposes of administration including placement( selection for

promotions( pro!iding financial rewards and other actions which re#uire differential

treatment among the members of a group as distinguished from action affecting all

members e#ually?.

It is a systematic e!aluation of the indi!iduals with respect to his or her performance

on the ob and his or her potential for de!elopment.

In a nutshell we can say that performance appraisal is a process by which indi!idual

employees beha!ior and accomplishments for a fi-ed time period are e!aluated.

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OBJECTIVES

Appraisals ser!e to monitor the effort of indi!iduals to integrate and coordinate

indi!idual's effort into a cooperati!e endea!or and gi!e feedback to the indi!idual to

pro!ide a means of correcting or commanding the efforts of indi!iduals and to pro!ide

an e#uitable and consistent basis of distributing rewards and penalties. It mainly

concerns itself with the following three purposes@ 3

a) ADMINISTRATIVE DECISIONS-It can ser!e as a basis for ob change or promotion.

b) EMPLOYEE DEVELOPMENT-

1y identifying the strengths and weakness of an employee it ser!es as a

guide for formulating a suitable training and de!elopment programme to

impro!e his #uality of performance in his present work. It ser!es as a

feedback to the employee. 1y letting the employee know how well he is

doing or where he stands with his super!isors it tells him what he can do

to impro!e his present performance and go up in the management

hierarchy.

c) PERSONNEL RESEARCH-

This in!ol!es generation of manpower information.

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USES OR IMPORTANCE OF PERFORMANCE APPRAISAL

&erformance appraisal is a significant element of the information and control system

in the organi*ation. "ome common applications of performance appraisal are gi!en

below3

&erformance appraisal pro!ides !aluable information for personnel

decisions such as pay increases( promotions( demotions( transfers and

terminations.

It helps to udge the effecti!eness of recruitment( selection( placement

and orientation systems of the organi*ation.

It is useful in analy*ing training and de!elopment needs.

It can be used to impro!e performance through appropriate feedback(

working and counseling employees.

&erformance appraisal facilitates human resources planning( career

planning and succession planning.

It promotes a positi!e work en!ironment( which contributes to

producti!ity.

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A competiti!e spirit is created and employees are moti!ated to impro!e

their performance.

"ystematic appraisal of performance helps to de!elop confidence among

employees.

PROCESS OF PERFORMANCE APPRAISAL-

This process of performance appraisal has many stages and in!ol!es multiple

acti!ities to be undertaken by an organi*ation. These are usually format

determination( sharing e!aluation( designing organi*ational inputs and reward

administration. The !arious approaches for appraisal are3

2= Intuiti!e approach3 where the boss udges the employee based on his

perception of the employee beha!ior.

4= The self3appraisal approach3 where the employee himself e!aluates his

performance.

$= roup approach3 where he is e!aluated by a group of persons.

6= The con!entional trait approach3 where the boss e!aluates the

con!entional employee on the basis of presence or absence of certain

traits likes integrity( honesty( dependability etc.

%= 0n achie!ed results3 where the targets are pre set ointly by the rater and

rates in a restricted sense.

5 4

% $

10

Communicating standardsTaking corrective actions

Setting performance standards


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THE PERFORMANCE APPRAISAL PROCESS

There are number of performance criteria which may be used to measure the

proficiency of an employee. It can be classified into two main categories@

OBJECTIVE CRITERIA AND SUBJECTIVE CRITERIA-

Amount and #uality of production( work sample tests( length of ser!ice( amount of

training necessary( absenteeism( accidents etc. are all obecti!es criteria.

Rating of employee's ob proficiency by their superior( peers and subordinates( e-tent

of upward communication of ideas( degree of knowledge about corporate goal(

contribution to socio cultural !alues is all e-amples of subecti!e criteria.

ESSENTIALS OF AN EFFECTIVE PERFORMANCE APPRAISAL SYSTEM

2. ;utual trust

4. lear obecti!es

$. "tandardi*ation

6. Training

%. Bob relatedness

5. Cocumentation

7. )eedback and participation

8. Indi!idual differences

9. &ost appraisal inter!iew

2:.Re!iew and appeal

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easuring performance

Comparing t!e standards

"iscussing resu#ts


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MODELS OF PERFORMANCE APPRAISAL

;any form of rating are presently a!ailable each naming its strong points as well as

limitations. They may be classified into two broad category

PERFORMANCE APPRAISAL

TRACITI0+AL ;ETD0C" ;0CER+ ;ETD0C"

2. onfidential report 2. Assessment center

4. )ree form or essay 4. DR accounting

$. "traight ranking $. 1eha!iorally anchored

rating scales

6. &aired distribution 6. ;10 appraisal

%. )orced distribution %. $5:3degree appraisal

5. raphic rating scales

7. hecklist method

8. ritical incidents

9. roup appraisal

2:. )ield re!iew

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TRADITIONAL METHODS OF PERFORMANCE APPRAISAL

1) Ra!"# $%&'-

The oldest and simplest method of performance appraisal is to compare one man

with all other men and place in a simple rank order. In this way ordering is done

from best to worst of all indi!iduals comprising the group. This method takes into

account rating by more than one another rater. The ranks assigned are then

a!eraged and relati!e is determined for each member.

This method has two ad!antages of simplicity and naturalistic or naturalness. 1ut

it has disad!antages of being subecti!e and the ranking becomes difficult when

there are e!en twenty or thirty cases. Also the magnitude of the difference in

ability between ranks is not e#ual at different positions.

As an answer to the last problem the paired comparison techni#ue of ranking has

been e!ol!ed. In this method the rater compares each man in his group with

e!ery other man with the final ranking of each worker determined by the number

of time he was udged better than others.

1) Ra!"# ca*% $%&'-

This method pro!ides a kind of scale for measuring absolute differences between

indi!iduals. This is method is of two types3

$% D!c+%%-the characteristic ob knowledge' may be di!ided into fi!e

categories on a discrete scale >e-ceptionally good?( >abo!e

a!erage?( >a!erage?( >below a!erage? and >poor?. The rater can tick

mark category( which describes best he person being rated.

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$$% C'"!",', '+ #+a&!c- where ust abo!e the category notation an

interrupted line is pro!ided. The rater can tick at any point along its

length.

There are four kinds of standards used in rating scales( namely

numerical or alphabetical( descripti!e adecti!e( man3to3man and

beha!ior sample. In man-to-man rating scalethe standards are !ery

concrete because these are neither numbers nor alphabets forced distribution system? is used where the rater is instructed

about the percentage of cases( which should fall in each category.

)or e-ample( ob knowledge the following percentage must be used@

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poor32:F( below a!erage34:F( a!erage36:F( abo!e a!erage34:F

and e-ceptionally good32:F.

) C&%c/*! $%&'-

This consists of a list consisting of a number of statements about the worker and

his beha!ior. Each statement on this list is assigned a !alue( which are deri!ed

from preliminary research in which the pooled udgments of person familiar with

the ob are used. The rater is asked to place a plus sign or a #uestion mark in

front of each statement depending on whether he feels the description applies(

does not apply or there is doubt. The method has the ad!antages of re#uiring only

a report of facts from the rater. )inal rating is a!erage of the scale !alue of the

statement( which the superior had checked.

"ince the !alue assigned to different statements do not appear on the list the rater

does not know how highly he has rated a gi!en indi!idual. De also does not ha!e

to distinguish among !arious categories for each of the se!eral traits considered

for each the se!eral employees working under him. The rater is more precise and

less ambiguous in his e-pression of the worthiness of the indi!idual. The e-tent of

constant and halo error are also minimi*ed.

3% F'+c% c&'!c% $%&'-

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The forced choice rating form contains a series of groups or statements. The rater

checks how effecti!ely the statements describe each indi!idual being e!aluated.

Each statement carries weight( which is not indicated to the rater. There are a

number of !ariations. "ometimes all the statements may be either fa!orable or

unfa!orable. In another( from four statements two positi!e and two negati!e the

rater picks the most appropriate and the most inappropriate respecti!ely. It makes

the performance e!aluation more obecti!e.

0) C+!!ca* !"c!%" %c&"!,%-

It in!ol!es three steps. A list of noteworthy


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co!ers the strengths and weaknesses( main achie!ements and failure( personality

and beha!ior of the employees. 1ut it in!ol!es a lot of subecti!ity because

appraisal is based on impressions rather than on data.

5= F+%% 3'+$ '+ %a4 $%&'-

Gnder this method( the e!aluator writes a short essay on the employee's

performance on the basis of o!erall impression. The description is e-pected to be

as factual and concrete as possible. An essay can pro!ide a good deal of

information about the employee especially if the e!aluator is asked to gi!e

e-amples of each one of his udgments.

5) S+a!#& +a"/!"# $%&'-

In this techni#ue( the e!aluator assigns relati!e ranks to all the employees in the

same work unit doing the same ob. Employees are ranked from the best to the

poorest on the basis of o!erall performance. The whole man is compared with the

whole man' without analy*ing performance. The relati!e position of an employee

is reflected in his numerical rank.

6) Pa!+% c'$a+!'" $%&'-

This is a modified form of man to man ranking. Derein( each employee is

compared with all the others in pairs one at a time. The number of times an

employee is udged better than the other determines his rank. omparison is

made on the basis of o!erall performance. The number of comparisons to be

decided on the basis of the following formula3

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7) G+', a+a!a* $%&'-

Gnder this method( a group of e!aluators assesses employees. This group

consists of the immediate superior of the employee( other super!isors ha!ing

close contact with the employee's work( head of the department and a personnel

e-pert. The group determines the standards of performance for the ob( measures

actual performance of an employee( analyses the cause of poor performance and

other suggestions for impro!ement in future.

18) F!%* +%9!%: $%&'-

In this method( a training officer from the DR department inter!iews line

super!isors to e!aluate their respecti!e subordinates. The inter!iewer prepares in

ad!ance the #uestions to be asked. 1y answering these #uestions a super!isor

gi!es his opinion about the le!el of performance of his subordinate( the

subordinate's work progress( his strengths and weakness( promotion potential(

etc. The e!aluator takes detailed notes of the answer( which are then appro!ed by

the concerned super!isor. These are then placed in the employee's personal

ser!ice file.

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MODERN METHODS OF PERFORMANCE APPRAISAL;

1) A%$%" c%"%+-

An assessment center is a group of employees drawn from the different work units.

These employees work together on an assignment similar to the one they would be

handling when promoted. E!aluators obser!e and rank the performance of all the

participants. E-perienced managers with pro!en ability ser!e as e!aluators. This

group e!aluates all employees both indi!idually and collecti!ely by using simulation

techni#ues like role playing( business games and in basket e-ercises. Employees are

e!aluated on ob related characteristics considered important for ob success.

) H,$a" +%',+c% acc',"!"# $%&'-

DR is a !aluable asset of the organi*ation. This asset can be !alued in terms of

money. When component and well3trained employees lea!e an organi*ation the

human asset is decreased and !ice !ersa. Gnder this method( performance is udged

in terms of cost and contribution of employees. osts of DR consist of e-penditure onDR planning( recruitment( selection( induction( training( compensation( etc.

contribution of DR is the money !alue of labor producti!ity or !alue added by DR.

difference between cost and contribution will reflect the performance of employees.

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a process whereby the superior and subordinate

managers of an organi*ation ointly identify its common goals( define each

indi!idual's maor areas of responsibility in terms of results e-pected of him and use

these measures as guides for operating the unit and assessing the contributions of

each of its members?

The main steps in!ol!e din performance appraisal through ;10 are as follows3

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a= "et organi*ational goals

b= Cefining performance targets

c= &erformance re!iews

d= )eedback

;10 is superior to other methods of performance appraisal. It offers the following

benefits@

Ends3means chain

Role clarity

0becti!e appraisal

;oti!ation and commitment

;anagement de!elopment

oordination

;10 suffers from the following drawbacks@

Cifficulty in goal setting

&roblem of participation

Lack of understanding

Time consuming and e-pensi!e

Infle-ibility

2) T&%


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$5:3degree system in!ol!es e!aluation of a manager by e!eryone abo!e( alongside

and below him. "tructured #uestionnaires are used to collect responses about a

manager from his bosses( peers and subordinates. "e!eral parameters relating to

performance and beha!ior are used in #uestionnaires. Each manager is udged by a

minimum of fifteen colleagues( at least two of them being his bosses( four of them

peer( and si- of them subordinates. The responses are presented collecti!ely to the

assesees in the form of charts and graphs. omments and interpretations are

presented later. ounseling sessions are arranged to sol!e the weaknesses identified

in the $5:3degree assessment. The $5:3degree assessment program is effecti!e

when used from the top down. The fact that the manager at the top has also been

administered the test con!inces and they willing to go through it as well.

FOUR INTEGRAL COMPONENTS OF 360-DEGREE APPRAISAL

LIMITATIONS OF PERFORMANCE APPRAISAL

The main problems in!ol!ed in performance appraisal are as follows@

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S&'()$*)

EMPLOYEE

SUBORDINATE

PEERPEER


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1) E++'+ !" +a!"#-

&erformance appraisal may not be !alid indicator of performance and potential of

employees due to the following types of errors@

a) Halo effect- it is the tendency to rate an employee consistently high or low

on the basis of o!erall impression. 0ne trait of the employee influences the

rater's appraisal on all other traits.

b) Stereotyping-this implies forming a mental picture of a person on the basis

of his se-( age( caste or religion.

c) Central tendency- it means assigning a!erage rating to all the employees

in order to a!oid commitment or in!ol!ement. This is adopted because the

rater has not to ustify or clarify the a!erage ratings.

d) Constant error- some e!aluators tend to be lenient while others are strict in

assessing performance. In first case( performance is o!errated while in

second case it is underrated.

e) Personal bias- performance appraisal may become in!alid because the

rater dislikes the employee. "uch bias may arise on the basis of regional or

religious beliefs and habits or interpersonal conflicts.

f) Spill over effect- this arises when past performance affects assessment of

present performance.

) Lac/ '3 +%*!ab!*!4-

Reliability implies stability and consistency in the measurement. Lack of consistency

o!er time and among different raters may reduce the reliability of performance

appraisal.


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Raters may fail to e!aluate performance accurately due to lack of knowledge and

e-perience. &ost appraisal inter!iew is often handled ineffecti!ely.

0) N%#a!9% a+'ac&-

&erformance appraisal loses most of its !alue when the focus of management is on

punishment rather than on de!elopment of employees.

2) M,*!*% 'b>%c!9%-

Raters may get confused due to two many obecti!es or unclear obecti!es of

performance appraisal.

=) R%!a"c%-

Trade unions may resist performance appraisal on the ground that it in!ol!es

discrimination among its members.

5) Lac/ '3 /"':*%#%-

The staff appraising performance of employees might not be trained and e-perienced

enough to make correct appraisal.

6) H4%+c+!!ca* '+ ?H'+"@ %33%c-

It is the tendency of the superior to rate people lower than their performance ustify.

O&%+ +'b*%$ '3 P%+3'+$a"c% A+a!a* +%'+% b4 9a+!', ,!% a+%;-

2= Relationship between appraisal rates and performance after promotions was notsignificant.4= Absence of inter3rater reliability.$= The situation was unpleasant in feedback inter!iew.

6= ;ost part of the appraisal is based on subecti!ity.

PERFORMANCE APPRAISAL OF MANAGERS

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Appraisal of managers is !ery important. 1ut it is more difficult because it cannot be

measured in #uantitati!e terms. ;anagerial appraisal should measure therefore( both

performance in accomplishing goals and performance as a manager.

1) P%+3'+$a"c% !" acc'$*!&!"# #'a*-

A manager is responsible for achie!ing the targets of his work unit. The e-tent to

which these targets are achie!ed is a good criterion for e!aluation.

) P%+3'+$a"c% a $a"a#%+-

Although an impressi!e record of setting and accomplishing goals is an indicator of a

manager's performance( this standard cannot be used in all cases. ;anagers

achie!e organi*ational goals by performing the basic managerial functions.

Therefore( a manager can be appraised on the basis of how well he understands and

undertakes these functions of planning( organi*ing( staffing( directing and controlling.

Each of these functions in!ol!es a series of acti!ities. These acti!ities can be taken

as standards of performance. A fi!e3degree rating scale can be used to rate the

performance of managers. Weights to the scale can be assigned for those acti!ities(

which are clear and ade#uately known.

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COMPANY@S PROFILE

B&a+! A!+%* L!$!%( commonly known as A!+%*( is an Indian multinational steel

communicationsser!ices company head#uartered at +ew Celhi( India. It operates in

4: countries across "outh Asia( Africa and the hannel Islands. Airtel has ";

networkin all countries in which it operates( pro!iding 4( $and 6ser!ices

depending upon the country of operation. Airtel is the worlds third largest mobile

telecommunications companywith o!er 452 million subscribers across 4: countries

as of August 4:24. It is the largest cellular ser!ice pro!iderin India( with 28$.52

million subscribers as of +o!ember 4:24. Airtel is the third largest in3country mobile

operator by subscriber base( behind hina ;obileand hina Gnicom.

Airtel is the largest pro!ider of mobile telephonyand second largest pro!ider of fi-ed

telephonyin India( and is also a pro!ider of broadbandand subscription tele!ision

ser!ices. It offers its telecom ser!ices under the a!+%*brand( and is headed by "unil

1harti ;ittal. 1harti Airtel is the first Indian telecom ser!ice pro!ider to achie!e isco

old ertification. It also acts as a carrier for national and international long distance

communication ser!ices. The company has a submarine cable landing station at

hennai( which connects the submarine cable connecting hennaiand "ingapore.

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http://en.wikipedia.org/wiki/Telecommunicationshttp://en.wikipedia.org/wiki/Telecommunicationshttp://en.wikipedia.org/wiki/New_Delhi,_Indiahttp://en.wikipedia.org/wiki/Channel_Islandshttp://en.wikipedia.org/wiki/GSM_networkhttp://en.wikipedia.org/wiki/GSM_networkhttp://en.wikipedia.org/wiki/2Ghttp://en.wikipedia.org/wiki/3Ghttp://en.wikipedia.org/wiki/3Ghttp://en.wikipedia.org/wiki/4Ghttp://en.wikipedia.org/wiki/List_of_mobile_network_operatorshttp://en.wikipedia.org/wiki/List_of_mobile_network_operatorshttp://en.wikipedia.org/wiki/List_of_mobile_network_operators_of_Indiahttp://en.wikipedia.org/wiki/China_Mobilehttp://en.wikipedia.org/wiki/China_Unicomhttp://en.wikipedia.org/wiki/Mobile_telephonyhttp://en.wikipedia.org/wiki/Fixed_telephonyhttp://en.wikipedia.org/wiki/Fixed_telephonyhttp://en.wikipedia.org/wiki/Broadband_Internet_accesshttp://en.wikipedia.org/wiki/Pay_televisionhttp://en.wikipedia.org/wiki/Ciscohttp://en.wikipedia.org/wiki/Chennaihttp://en.wikipedia.org/wiki/New_Delhi,_Indiahttp://en.wikipedia.org/wiki/Channel_Islandshttp://en.wikipedia.org/wiki/GSM_networkhttp://en.wikipedia.org/wiki/GSM_networkhttp://en.wikipedia.org/wiki/2Ghttp://en.wikipedia.org/wiki/3Ghttp://en.wikipedia.org/wiki/4Ghttp://en.wikipedia.org/wiki/List_of_mobile_network_operatorshttp://en.wikipedia.org/wiki/List_of_mobile_network_operatorshttp://en.wikipedia.org/wiki/List_of_mobile_network_operators_of_Indiahttp://en.wikipedia.org/wiki/China_Mobilehttp://en.wikipedia.org/wiki/China_Unicomhttp://en.wikipedia.org/wiki/Mobile_telephonyhttp://en.wikipedia.org/wiki/Fixed_telephonyhttp://en.wikipedia.org/wiki/Fixed_telephonyhttp://en.wikipedia.org/wiki/Broadband_Internet_accesshttp://en.wikipedia.org/wiki/Pay_televisionhttp://en.wikipedia.org/wiki/Ciscohttp://en.wikipedia.org/wiki/Chennaihttp://en.wikipedia.org/wiki/Telecommunicationshttp://en.wikipedia.org/wiki/Telecommunications


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Airtel is credited with pioneering the business strategy of outsourcingall of its

business operations e-cept marketing( sales and finance and building the minutes

factory model of low cost and high !olumes. The strategy has since been copied by

se!eral operators. Its networkJbase stations( microwa!e links( etc.Jis maintained

by Ericssonand +okia "iemens +etworkwhereas business support is pro!ided by

I1;( and transmission towers are maintained by another company


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HISTORY

"unil ;ittal founded the 1harti roup. In 298$( ;ittal was in an agreement with

ermanys "iemens to manufacture push3button telephone models for the Indian

market. In 2985( ;ittal incorporated 1harti Telecom Limited


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This e-pansion allowed it to offer !oice ser!ices all across India. In 4::9( Airtel

launched its first international mobile network in "ri Lanka. In 4:2:( Airtel ac#uired

the African operations of the Muwait based NainTelecom. In ;arch 4:24(Airtel

launched a mobile operation in Rwanda.

Today( Airtel is the largest cellular ser!ice pro!ider in India and the third largest in the

world

Airtelcomes to you from 1harti ellular Limited 3 a part of the biggest pri!ate

integrated telecom conglomerate( 1harti Enterprises.

1harti pro!ides a range of telecom ser!ices( which include ellular( 1asic( Internet

and recently introduced +ational Long Cistance. 1harti also manufactures and

e-ports telephone terminals and cordless phones. Apart from being the largest

manufacturer of telephone instruments in India( it is also the first company to e-port

its products to the G"A. 1harti is the leading cellular ser!ice pro!ider( with a footprint

in 2% states co!ering all four metros and more than 7 million satisfied customers.

VISION;

To make mobile communications a way of life and be the customers first choice.

MISSION;

We will meet the mobile communication needs of our customers through@

OError3free ser!ice deli!ery

OInno!ati!e products and ser!ices

O ost efficiency

O Gnified ;essaging "olutions

CORE VALUE;

We will delight our customer with our simplicity( speed P inno!ation.

We will honors our commitment.

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We will follow the highest standard of professional integrity P beha!iour.

We will respect indi!idual( build winning teams and lead by e-ample.

We will create a fun filled and friendly workplace.

AIRTELMOBILE COMMUNICATIONS LIMITED

1harti Tele3entures Limited was incorporated on Buly 7( 299% for promoting

in!estments in telecommunications ser!ices. Its subsidiaries operate telecom

ser!ices across India. 1harti Tele3entures is Indias leading pri!ate sector pro!ider of

telecommunications ser!ices based on a strong customer base consisting of 7.64

million total customers( which constitute( 5.75 million mobile and 5%7(::: fi-ed line

customers( as of April $:( 4::6.

1harti Tele3entures !ision for its mobile business is To make mobile

communications a way of life and be the customers first choice?.

The mission is to meet the mobile communication needs of the customer through 2=

error free ser!ice 4= Inno!ati!e products and ser!ices and $= cost efficiency. The

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ompany's strategic obecti!e is to consolidate its leadership position amongst the

mobile ser!ice pro!iders in India.

The Indian mobile market( according to the 0AI( has increased from appro-imately

2.4 million subscribers as of ;arch $2( 2999 to appro-imately 49.42 million

subscribers as of Bune $:( 4::6.

Cespite this rapid growth( the mobile penetration rate in India( at appro-imately 4.8F

as of Bune $:( 4::6( is significantly lower than the a!erage mobile penetration rate in

other Asian and international markets.

The number of mobile subscribers in India is e-pected to show rapid growth o!er the

ne-t four years. 1y 4::5 it is proected at %: million by 0AI and 66 million by

artner.

1harti Tele3entures belie!es that the demand for mobile ser!ices in India will

continue to grow rapidly as a result of the following factors@

Lower tariffs and handset prices o!er time,

rowth in pre3paid customer category,

reater economic growth and continued de!elopment of Indias economy,

Digher #uality mobile networks and ser!ices, and

reater !ariety and usage of !alue added ser!ices.

1harti Tele3entures( through its subsidiary has the licenses to pro!ide "; ser!ices

in all the twenty3two telecom circles in India. It proposes to consolidate all its

subsidiaries pro!iding mobile ser!ices under 1harti ellular Limited.

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As of Bune $:( 4::6( appro-imately 94F of Indias total mobile subscriber market

resided in the ompanys si-teen mobile circles( which collecti!ely co!ered only %5F

of Indias land mass.

AIRTEL DISTRIBUTION SYSTEM

DISTRIBUTION SYSTEM

A proper distribution system is !ery important for e!ery company because nowadays

the customer wants full ser!ice without any pain. Airtel has a deep penetration in the

market of prepaid cards( coupons( easy recharge and postpaid cards. I also seen in

the market the happy faces of customers and retailers of Airtel because of the easya!ailability of Airtel cards and coupons.

BENEFITS OF GOOD DISTRIBUTION SYSTEM

2. Easy a!ailability

4. "atisfied customers

$. ompetiti!e ad!antage

6. 1etter market reputation

%. "a!es time

DISTRIBUTION SYSTEM OF AIRTEL

2. 0rgani*ation


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HRM DEPARTMENT;

DR ;ission "tatement

T' *%a &% '+#a"!a!'" !" %"&a"c!"# ! &,$a" ca!a* a" c+%a!"# a

:!""!"# %"9!+'"$%" :&%+% %9%+4'"% %">'4 c'"+!b,!"# ' &% b% '3 '"%@

ab!*!4.

Airtel will achie!e this by@

I"!+!"# a" $'!9a!"# ! %'*%.

D%9%*'!"# ! %'*% ' +!9% 3'+ &!#&%+ a"a+.

D+!9!"# a" '%" $!"% a" %"%++!!"# c'+'+a% c,*,+% :&%+% %'*%

&+',#& *%a%+&! a a** *%9%* a+% ' +%a$ a+% ' +4 a+% ' 3a!* a"

a+% ' ,cc%%.

A+ac!"# a" +%c+,!!"# &% b% a*%"

Airtel has a !ery defined and well structured department and its !arious policies ofkeeping each employee producti!e part of the organi*ation are intoned with thecorporate world's re#uirement.

Employees in the company are largely committed to their organi*ation and ha!eshown progress in the company. Employees are satisfied with the DR department of

Airtel "; ompany.

Dumans are the basic tool for ha!ing competiti!e edge in the market for most of theorgani*ations and Airtel is one of these. Airtel has one of the best DR systems inIndia that gi!es it an edge o!er its competitors.

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HR DEPARTMENT SECTIONS;DR department of Airtel has three sections.

E$*'4%% %+9!c%

o &ayroll information

o Lea!e and medical record

o )inal settlements and pro!ident fund

o &olicies and procedures

o Employees record and recreation

OD a" E33%c!9%"%

o Training plan

o Talent management

o &erformance management

o Employees retentation

o 0rientation employee communication

Sa33!"# a" c'$%"a!'"

o "taffing plan and DR budgeting

o ;anagement trainee and internship program

o Inter!iewing and selection

o ompensation( benefits and incenti!e

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P%+3'+$a"c% R%9!%:;

At AIRTEL a re!iew is intended to be an open and frank discussion between anemployee and their Team Leader/;anager. enerally there are two elements@ first isthe element in which discussion takes place o!er the strengths and areas which needto be de!eloped as displayed by the ob holder o!er the past 24 months. Theperformance is of course udged comparing the performance against the coreindicators of Bob. The second element is concerned with discussing the trainingneeds/inputs acti!ities that are considered to be appropriate to help the obholdero!ercome some of de!elopment areas discussed in the re!iew and also thoseacti!ities that are deemed appropriate to build upon their current strengths.

A+a!a* ca%#'+!%

A+a!a* ca%#'+4 D%3!"!!'" '3 ca%#'+4 O3 'a* ",$b%+ '3%$*'4%% :&!c& ca"b% +a% !" &!ca%#'+4

2.e-pertIndicates e-ceptionalperformance

2%F

4.!ery ood Indicate performancethat consistently meets

the re#uirements of theposition(? !ery good?indicates the indi!idualis on track forad!ancements

2:F

$. ood Indicated performancethat re#uiresimpro!ement


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At AIRTEL the primary sources of performance appraisal are the managers andsecondary sources are employees themsel!es. Though the peers also gi!e theiropinion but it usually does not ha!e any weightage unless a conflict arises betweenthe manager and the employee.

F%%bac/;

Workers at AIRTEL are informed of their performance and gi!en the opportunity toe-press their opinion o!er their own le!el of performance against each competence.This ser!es the following two main purposes@

It enables the re!iewer to redefine whether the initial assessment was correct( ascircumstances may e-ist that the re!iewer is unaware of.

1y asking the worker what he sees to be his own strengths and de!elopmentareas often help to reduce negati!e responses and makes planning trainingneeds/inputs acti!ities easier if the person is able to e-press for himself the areas

in which he feels he can impro!e.

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ANALYSIS

SOT ANALYSIS

)ollowing is the "W0T Analysis for AIRTEL

STRENGTH EANESS

OPPORTUNITIES THREATS

38

ery focused on telecom.Leadership in fast growing cellularsegment.&an3India footprint.The only Indian operator( otherthan "+L( that has aninternational submarine cable.

&rice ompetition from 1"+L and;T+LGntapped Rural market

The fast3e-panding I&L market.Latest technology and low costad!antage.Duge market.

ompetition from other cellular andmobile operaters."aturation point in 1asic telephonyser!ice


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STRENGTH

VERY FOCUSED ON TELECOM 1harti Airtel is largely focused on the

telecom( around 9$F of the total re!enue comes from telecom


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EANESS

P+!c% C'$%!!'" 3+'$ BSNL a" MTNL. Airtel is tough competition from

the operators like 1"+L nd ;T+L as these two operators are offering ser!icesat a low rate.

U"a% R,+a* $a+/%. Although Airtel ha!e strong &resence throughout

the country but still they are far away from the Indian rural part and generallythis part is co!ered by 1"+L so indirectly Airtel is loosing re!enue from therural sector.

OPPORTUNITIES

THE FAST EXTENDING IPLC MARET An I&L


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A!+%*to enter /e-pand in this $a+/%. B%!%there is a !ast rural segmentwhere the cellular ser!ices ha!e not made much headway and manycustomers are look!"# ':a+ A!+%*for pro!iding the ser!ice to them. Withits wide and e-tensi!e presence e!en in the remotest areas( A!+%*poised togain a big market share in this segment when it e-pands cellular ser!ices into

the rural areas.

THREATS

COMPETITION FROM OTHER CELLULAR It is time for 1"+L to

impro!e/e-pand its cellular ser!ices. )ierce and cut3throat competition isalready in place with the markets e!er abu** with se!eral tariff reductions andannouncement of attracti!e packages( trying to grab most of the mind share'of the king' 3 the consumer'( whose benefits are increasing with passing ofe!eryday. If 1"+L is not inno!ati!e and agile( its cellular ser!ice will be a flop.It needs to be proacti!e with attracti!e packaging( pricing and marketing

policies lest its presence in the market be treated with disdain by the pri!atecellular companies. The launch of WLL ser!ices by Reliance Infocomm hasaggra!ated the situation.

MARET MATURITY IN BASIC TELEPHONY SEGMENT Although Airtel

entered in the basic telephony market it's a biggest there for the company asthe basic telephony market has reached

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!. Qua#tity of o!"-on the basis of !olume of work( output disregarding

mistakes in their factor.

". $u%&'(#t-on basis of employee's ability to think clearly and make

logical decisions.

#. I#itiati)(-on the basis of his resourcefulness in handling assignment

without detailed instructions and ability to think on original lines.

$. A*ility to l(a!#- this is seen by the speed with which instructions are

grasped and new routines mastered.

%. $o* "#ol(%&(-this assessment here is made on basis of knowledge for

ob re#uirement gained through education and e-perience that is to see

whether he is familiar with the ob or not.

&. Attitu%(-on basis of his attitude towards work and fellow employees that

is whether he is cooperati!e willingly and tries to do a through ob.

'. P(!+o#ality-on the basis of the effect of employee's personality upon

people contacted that is whether he makes a fa!orable impression by his

tact or whether he is courteous and friendly in his daily associations.

(. Saf(ty-on the basis of whether the employee is safety conscious or not.

. Su,(!)i+io# a*ility-this is applicable for super!isors only. Assessment

is made on the basis of the employee's ability to organi*e a group for

ma-imum efficiency and whether he has an ability to coordinate acti!ities

of the group with other related groups within the organi*ation.

)or the unskilled and semi3skilled workers udgment( initiati!e( personality and

super!ision ability are not applicable.

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The Annual onfidential Report is filled by the immediate super!isors and is then

re!iewed by the departmental head.

&romotion of e-ecuti!es is done on the basis of seniority as well as on performance

and merit. The ice &resident


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OBJECTIVES OF STUDY

2= To study the performance appraisal system in AIRTEL.

4= To study the method used for performance appraisal in the organi*ation.

$= To study the satisfaction le!el of the employees' after performance appraisal.

6= To pro!ide suggestions if necessary.

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RESEARCH METHODOLOGY

+o work can be completed without the research methodology. Research

methodology is an important tool which pro!ides a techni#ue to conduct the study

efficiently and effecti!ely. Research methodology is a way to systematically sol!e the

research problem. It may be understood as a science of studying how research is

done scientifically.

RE"EARD ;ETD0C0L0 is a way to systemically sol!e the research problem. It

may be understood as a science of studying how research is done. and it to study the

!arious steps that are generally adopted by a researcher in studying his research

problem it is necessary for the researcher to design the methodology form the

problem as a method differ from problem3 problem.

T4% '3 R%%a+c&3Cescripti!e Research

Sa$*!"# D%!#"-+a"'$ a$*!"#

U"!9%+%3The uni!erse chooses for the research study is the employee of

Airtel(Lucknow

SAMPLE SIE

I ha!e choosen a sample si*e of the 2:: employees.

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DATA COLLECTION

P+!$a+4 aa3data collected through #uestionnaire

S%c'"a+4 aa3Are collected through the !arious maga*ines and ournal and

web sites of AIRTEL( &ress releases of the company. +ewsletters and 1rochures and

detailed descripti!e leaflets ;aga*ines like 1usiness World( 0utlook( etc

"ample area3Employees of Airtel(Lucknow

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AARENESS OF PERFORMANCE APPRAISAL;

I+TER&RETATI0+3

The whole population under study is aware of the e-istence of performance appraisalsystem within the organi*ation.

54

E-istence of performance appraisal system

2::F

yes


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NUMBER OF EMPLOYEES APPRAISED IN THE ORGANIATION;

I+TER&RETATI0+3

2::F of the employees within the organi*ation are appraised.

55

Appraisal of employees

2::F

yes


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NUMBER OF TIMES APPRAISAL TAES PLACE;

I+TER&RETATI0+3

)or most of the employees' performance appraisal takes place annually.

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METHODS OF PERFORMANCE APPRAISAL;

I+TER&RETATI0+3

hecklist method is used for performance appraisal is %7F(obser!ation method isused by 27F (self appraisal method and others are used in e#ual proportion i.e 2$F

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AARENESS OF FEEDBAC BY SUPERIOR AFTER PERFORMANCEAPPRAISAL;

I+TER&RETATI0+3

;aority of the employees are aware of the feedback pro!ided by the superior afterperformance appraisal.8:F are aware of performance appraisal and 4:F are not.

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POSITIVE CHANGE FELT BY EMPLOYEES AFTER APPRAISAL

I+TER&RETATI0+3

;ost of the employee's belief that after performance appraisal there has been a

positi!e change in their performance le!el.88F feel the change and 24F did not.

59

&ositi!e change felt by employees in their performance after appraisal

88F

24F

yes

no


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SATISFACTION LEVEL OF EMPLOYEES TOARDS PERFORMANCEAPPRAISAL

I+TER&RETATI0+3;aority of the population under study is satisfied with the performance appraisalsystem carried out in the organi*ation 5:F are satisfied and 6:F are not.

60

"atisfaction le!el of employees towards performance appraisal system

5:F

6:F

satisfied

unsatisfied


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NEED OF IMPROVEMENT IN PERFORMANCE APPRAISAL SYSTEM

I+TER&RETATI0+3

%5F of the employee's belief that performance appraisal system can still be impro!edand 66F employee belief that there is no need of impro!ement.

61

+eed of change or impro!ement in performance appraisal system

%5F

66F yes

no


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FINDINGS

;ostly the whole population under study is aware of the performance appraisal

system done in the organi*ation. All the employees are appraised by the head of the

human resource department.

The whole population under study is appraised annually by the head of the human

resource department. That is once in a year the performance appraisal system is

practiced in the organi*ation.

All the employees in the organi*ation are appraised by the checklist method. The

head of the personnel department prepares the checklist form containing #uestions

which is filled by all the employees.

;aority of the employees under study say that after performance appraisal they are

pro!ided with proper feedback so that they can impro!e their performance and are

also guided for further betterments.

;ost of the employees ha!e found a positi!e change in their performance afterappraisal and proper feedback. After appraisal if the employees are not found up to

the mark then they are properly guided and trained for impro!ement.

;ost of the employees are fully satisfied with the performance appraisal system done

in the organi*ation but some of them also want some changes as they say that

nothing is perfect and e!erything can be impro!ed.

hanges which the employees want in the appraisal system are3

The performance appraisal system should take place twice in a year that is

half yearly instead of yearly.

The appraisal system should not be biased.

The immediate head or super!isor of the employee should do the appraisal

and also pro!ide proper feedback.

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RECOMMENDATIONS

2= The system can be redesigned in the sense that there should be three

different formats( one each for managers( officers and super!isors( and non3

super!isors personnel instead of the same format for each category.

4= The reliability of a rating system can be obtained by comparing the rating of

two indi!idual for the same person.

$= The rating must be made by the immediate superior. Dowe!er( a staff

department can assume the responsibility of monitoring the system. Though

the staff department cannot change any rating( it can point out inconsistencies

to the rater such as harshness( leniency( and central tendency and so on.

6= The system should be used as a mechanics to under trained difficulties of

subordinates and pro!iding ways to remo!e them. The superior should

understand the strength and weaknesses of their subordinates and help them

to reali*e these. They should help the subordinates to become aware of their

positi!e contribution. They should also encourage them to accept moreresponsibilities and challenges and ac#uire new capabilities. )inally the

superior should plan for effecti!e utili*ation of the talents of subordinates.

%= &ro!ision should be made to identify the training needs of the employees.

5= There should be a system of self appraisal' of the employee. Along with the

appraisal form appraised by immediate superior( the employee should also

appraise himself and two forms should together go the personnel department.

If there is a wide disparity in any factor( then it should be analy*ed and efforts

should be made to know the possible causes of the occurrence.

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7= All the traits should not be treated e#ually for all indi!iduals. "pecific standards

should be fi-ed for specific groups of employees.

8= There should be a system of performance counseling with the ratee. The

apraisee should unreser!edly be told how he has been e!aluated( strong and

weak points should be fully discussed with him. &roper feedback regarding his

performance should be gi!en to him as he is interested not only in knowing as

to where he stands but also as to what he can do to go up in the hierarchy.

Apraisee can also discuss his grie!ance with the appraiser which will help in

maintaining harmonious industrial relation.

9= There should be some criteria for potential appraisal' which should be

measured in terms of indi!iduals ability to undertake greater responsibilities in

the decision making process leading to greater decentrali*ation.

2:=Appraisal should be done with attention. A casual !iew to the appraisal should

not be adopted as it is !ery important for the person being appraised.

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LIMITATIONS OF THE STUDY

2= The time during which the study was done was not sufficient.

4= The information pro!ided by the employees was biased.

$= The employees were not fully aware of the performance appraisal system

being practiced in the organi*ation.

6= 0rgani*ation "tructure was comple- to study.

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CONCLUSION

;anagement in the modern times primarily means handling of men because it is

through them that the world mo!es. 0f men( machine( money and material( men are

the most important assets possessed by the organi*ation. They rely on the appraisal

system as a tool for deployment of manpower. 1ut many people get upset the

moment they learn about the time for their performance to be appraised.

&erformance appraisal is therefore a !ery !ital tool for personal de!elopment and

because of the comple- factors in!ol!ed it has to be handled !ery delicately. It is a

process of assessing systematically the performance of a person on the ob and his

potential for higher le!els ob in future. It pro!ides an obecti!e basis for taking

personnel decisions. If performance appraisal is not done properly then superiors will

not able to take proper personnel decisions. They will not be able to udge the

effecti!eness of recruitment( selection( and placement and orientation system of the

organi*ation.

If performance system is biased then the superior will not able to udge the realperformance of the employees and will not be able to gi!e the proper feedback and

analy*e their training and de!elopment needs. "ystematic appraisal of employees

helps to de!elop confidence among them.

The performance appraisal system in a reputed organi*ation like Airtel has been

studied with a !iew to analy*e the practical implications of the system and to gi!e

findings regarding the !arious aspects of the performance appraisal system and their

some of the applications. The !arious suggestions gi!en ha!e been based on the

sur!ey conducted of different appraisers and appraises in the organi*ation.

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UESTIONNAIRE

This #uestionnaire is constructed to study the topic titled >A c'$+%&%"!9% ,4'3 %+3'+$a"c% a+a!a* 4%$. The information and opinion gi!en by you shall

be kept confidential and will be used for academic purpose only.

+A;E

AE

E+CER

0+TAT +0.

S2= Are you aware of performance appraisal system in your organi*ation

a= es b= +o

S4= Da!e you e!er been appraised

a= es b= +o

S$= Dow many times the performance appraisal system takes place in yourorgani*ation

a= Annually b= Dalf yearly c= SuarterlyS6= What are the methods used by the organi*ation for performance appraisal

a= checklist methodb= self appraisal methodc= diary methodd= obser!ation methode= any other method

S%= Co you get the feedback after the performance appraisal

a= es b= +o

S5= Co you find any positi!e change in your performance after appraisal

a= es b= +o

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S7= Are you satisfied with the methods of performance appraisal used by theorgani*ation a= satisfied b= unsatisfied

S8= Co you feel that there is a need of any change or impro!ement in the

performance appraisal system

a= es b= +o

S9= what kind of change you want to impart

S2:= Would you like to gi!e any suggestion

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BIBLIOGRAPHY

Tripathi( &.@ Personnel *anagement+"ultan hand and "ons( +ew Celhi( 299%.

;onappa( Arun and ;.". "aiyidain@ Personnel *anagement( Tata ;craw Dill( +ewCelhi( 4::6.

1oler( ;alti@ Performance ,ppraisal+ikas &ublishing Douse( +ew Celhi( 4::%.

)lippo( Edwin 1.@ Personnel *anagement+;craw Dill( Mogakusha( Tokyo( 4::%.

upta( .1.@ Hman esorce *anagement+ "ultan hand and "ons( +ew Celhi(4::7.

www.airtel.com
http://www.airtel.com/http://www.airtel.com/

performance appraisal at airtel

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