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DECLARATION
I Prativa Kumari do here by declare that this project report entitled
R&D INSTITUTE LIKE CIMFR MOVING TOWARDS FINANCIAL
INDEPENDENCE AT CIMFR, DHANBAD.Submitted by me to Asian
Workers Development Institute (AWDI),sector-06 to fulfill the requirements
of our syllabus is an original work done by me and has not been submitted to
any other institution in part or full for the award of any degree or publication.

Place
CIMFR,DHANBAD

Signature
Prativa Kumari
Roll- No-MB-14

ACKNOWLEDGEMENT
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I consider myself fortunate to be associated with STEEL AUTHORITY OF
INDIA LIMITED, ROURKELA STEEL PLANT, ROURKELA, largest
steel producing public sector Company in the country for undertaking my
summer training.
It is a great honor for me to be assigned this topic.
I take this opportunity to thank Sri P.K Mahapatra {AGM (Elect) CPP-I} of
RSP, SAIL for providing me every possible guidance and suggestions to
complete this report.
I am thankful to the employees of who rendered me invaluable assistants in
the task of preparing this report.
I am also thankful to the employees of various production departments for
their co-operation and offering valuable feedback on the subject without
which the project report would have been incomplete.
We extend our deep sense of gratitude to all the staff of the unit who provided
us with all the requirements like data, relevant news etc and above all a sense
of familiarity with genuine interest and support.
My parents also hold utmost importance in the accomplishment of the goal by
providing me the financial and emotional support.

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SYNOPSIS
A performance appraisal is a process of evaluating an employees performance
on a job in terms of its requirements. Mangment system is an important tool
in the hands of Supervisors to assess their subordinates. It is systematic
evaluation of an employee by some other qualified person, who is familiar
with employees performance on the job. It is a process of estimating or
judging value excellence qualities of some other person.
Since organization exist to achieve goals, the degree of success that individual
goal is important in determining organizational effectiveness. The
understanding of the functioning and role fulfillment of successful employees
who have been excellent enough in meeting their individual goals vis--vis
organizational goals are become a critical part of HRM. This leads us to the
topic of performance appraisal because performance appraisal is about
development of abilities and capabilities.
An in-depth analysis of executive performance management system in SAIL
Rourkela Steel Plant gives an understanding about the level of excellence
aimed as goal of the system adhered and the method of execution of the
system. The method of execution is in line of the system envisaged and in the
focus of the top management. The teams responsible for coordination of
execution and the individual nodes of the system are functioning as per the
desired level. This ensures the level of functional excellence at Rourkela Steel
Plant.

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Research methodology
The following methods logiest have been following by me for this
study:
a. Acquiring information different printed materials such as articles,
journals and official records.
b. Obtaining information through discussion with concerned executives .
c. Going through sample confidential reports and character rolls of
different Employees marked by their superior officers of Rourkela steel
plant.
d. I have also discussed with the performance appraisal of their staff of
Rourkela steel plant and gained sufficient information to we port on the
write the topic.

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CONTENTS
Introduction
About R.S.P

Special feature of RSP

Raw material of RSP
Products manufactured &Bi-products
Manpower of R.SP
Hierarchy of Management
Organizational chart
Salary &wage structure
Welfare facilities
Trade union

1.

2.
3.
4.
5.

Performance Managment System Over view

Qualitative differences between supervisory and
non- supervisory P.M.S
Salient features need to be addressed in P.A.S
Performance Managment System in SAIL.
Executive Performance Management System in SAIL
Study of Deviation Analysis
Conclusion

BIBLOGRAPHY

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Introduction Module
SAIL in Brief
SAIL traces its origin to the formative years of an emerging nation - India.
After independence the builders of modern India worked with a vision - to lay
the infrastructure for rapid industrialization of the country. The steel sector
was to propel the economic growth. Hindustan Steel Private Limited was set
up on January19, 1954. Hindustan Steel (HSL) was initially designed to
manage only one plant that was coming up at Rourkela. For Bhilai and
Durgapur Steel Plants, the preliminary work was done by the Iron and Steel
Ministry. From April 1957, the supervision and control of these two steel
plants were also transferred to Hindustan Steel. The registered office was
originally in New Delhi. It moved to Calcutta in July 1956 and ultimately to
Ranchi in December 1959. The 1 MT phases of Bhilai and Rourkela Steel
Plants were completed by the end of December 1961. The 1 MT phase of
Durgapur Steel Plant was completed in January 1962 after commissioning of
the Wheel and Axle plant. The crude steel production of HSL went up from .
158 MT (1959-60) to 1.6 MT. A new steel company, Bokaro Steel Limited,
was incorporated in January 1964 to construct and operate the steel plant at
Bokaro. The second phase of Bhilai Steel Plant was completed in September
1967 after commissioning of the Wire Rod Mill. The last unit of the 1.8 MT
phase of Rourkela - the Tandem Mill - was commissioned in February 1968,
and the 1.6 MT stage of Durgapur Steel Plant was completed in August 1969
after commissioning of the Furnace in SMS. Thus, with the completion of the
2.5 MT stage at Bhilai, 1.8 MT at Rourkela and 1.6 MT at Durgapur, the total
crude steel production capacity of HSL was raised to 3.7 MT in 1968-69 and
subsequently to 4MT in 1972-73.

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SAIL Today
SAIL today is one of the largest industrial entities in India. Its strength has
been the diversified range of quality steel products catering to the domestic, as
well as the export markets and a large pool of technical and professional
expertise.
Today, the accent in SAIL is to continuously adapt to the competitive business
environment and excel as a business organization, both within and outside
India.

MAJOR UNITS
Integrated Steel Plants:
Bhilai Steel Plant (BSP) in Chhattisgarh

Durgapur Steel Plant (DSP) in West Bengal

Rourkela Steel Plant (RSP) in Orissa

Bokaro Steel Plant (BSL) in Jharkhand

IISCO Steel Plant (ISP) in West Bengal

Special Steel Plants:

Alloy Steels Plants (ASP) in West Bengal

Salem Steel Plant (SSP) in Tamil Nadu

Visvesvaraya Iron and Steel Plant (VISL) in Karnataka

Subsidiary:
Maharashtra Elektrosmelt Limited (MEL) in Maharashtra
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JOINT VENTURE OF SAIL

NTPC SAIL Power Company Pvt. Ltd (NSPCL).

Bokaro Power Supply Company Pvt. Limited (BPSCL).
Metal Junction Services Limited.
SAIL-Bansal Service Center Ltd.
Bhilai JP Cement Ltd.
Bokaro JP Cement Ltd.
SAIL&MOIL Ferro Alloys (Pvt.) Limited.
S&T Mining Company Pvt. Ltd.
International Coal Ventures Private Limited.

PRODUCT MIX OF SAIL

PRODUCT WISE
Semis
Long Products
Flat Products

Tubular Products
Railway Products
PLANT WISE
Bhilai Steel Plant
Bokaro Steel Plant

Blooms, Billets & Slabs

Structural, Crane Rails, Bars, Rods & Re-bars,
Wire Rods
HR Coils, Sheets & Skelp, Plates, CR Coils &
Sheets,
GC Sheets\ GP Sheets and Coils, Tinplates,
Electrical Steel
Pipes
Rails, Wheels, Axles, Wheel Sets
Blooms, Billets & Slabs Beams, Channels, Angles,
Crane
Rails
Plates, Rails, Pig Iron, Chemicals & Fertilizers
HR Coils & Sheets, Plates, CR Coils & Sheets, GP
Sheets & Coils/ GC Sheets, Pig Iron, Chemicals &
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Fertilizers
Durgapur
Steel Blooms, Billets & Slabs, Joists, Channels, Angles,
Plant
Bars, Rods & Re-bars, Skelp, Wheels, Axles,
Wheel Sets, Pig Iron, Chemicals & Fertilizers
Rourkela Steel Plant Plates, CR Coils & Sheets, GP Sheets/ GC Sheets,
Tinplates,
Electrical Steel, Pipes, Pig Iron, Chemicals &
Fertilizers
Salem Steel Plant
Stainless Steel

ROURKELA STEEL PLANT

Rourkela Steel Plant (RSP), the first integrated steel plant in the public sector
in India, was set up with German collaboration with an installed capacity of 1
million tones. Subsequently, its capacity was enhanced to 1.9 million tones.
Rourkela Steel Plant is located in the north-western tip of Orissa and at the
heart of a rich mineral belt. Being situated on the Howrah-Mumbai rail
mainline, Rourkela is very well connected with most of the important cities of
India. The nearby airports are Ranchi (173 km), Bhubaneswar (378 km) and
Kolkata (413 km). Rourkela also has an airstrip maintained by RSP.
As the largest industrial venture in the state of Orissa RSP began on a misty
winter morning in the month of January 1955.The mutation of RSP from calm
sleepy village is to a dynamic centre for growth forms a glorious chapter in
the history of Indias economic development of RSP is the first integrated
steel plant is the public sector. It comes into production when the first Blast
furnace was commissioned by Dr. Rajendra Prasad on the 2nd February 1959.
The plant was started with the collaboration of West Germany with technical
& financial assistance of M/S friend Kruppa, Essen & Demag A Kilienges all
Schft Diusburg. It was designed to produce flat products e.g. plates strips, Tin

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plates etc. and large diameter pipes .It has a capacity of 1.8 M.T. of ingot steel
to be converted into 1.2 MT of scalable steel.
At the initial stage the Hindustan steel limited at Rourkela proposed capacity
of 9.5 million tons (MT) of ingot steel in year .In 1955, the govt. of India
decided to raise the plant capacity to one million tones .The plant was
designed & constructed by Germany that it had become the 3 rd steel plant in
world to have the L.D technology, the most sophisticated & advanced method
of steel making known to the world at the time. The unit of one million tone
which was expanded later to 1.8 million tone p.a in 1987-88.The first hot strip
mill, Blast furnance-1, the first L.D vessel & the first hot metal trapped has
been commissioned between the period 1958-62. while the commissioning of
the one millions tones plant was going ahead, it was felt that the finished
product units viz, Blooming & slabbing mill, hot strip mill & plate mill
proposed an must have ability to attain higher capacity and since there was
tremendous demand for flat steel products in the country at the time .It is
decided to raise the ingot capacity to 1.8 MT p.a. between 1965& 69 and
expansion was complete with commission of additional capacities. The
commissioning of the expansion units began in 1965 & was completed by the
end of 1968, through some unit take one take one of the galvanizing lines
were commissioned only at the end of 1969.
The plant was modernized in the mid-1990s with a number of new units
having state-of-the-art facilities. Most of the old units were also revamped for
effecting substantial improvement in the quality of products, reducing cost and
ensuring cleaner environment.RSP was the first plant in India to incorporate
LD technology of steel making. It is also the first steel plant in SAIL and the
only one presently where 100% of slabs are produced through the costeffective and quality-centric continuous casting route.RSP presently has the
capacity to produce 2 million tones of hot metal, 1.9 million tons of crude
steel and 1.67 million tones of saleable steel. It is SAILs only plant that
produce silicon steels for the power sector, high quality pipes for the oil & gas
sector and tin plates for the packaging industry. Its wide and sophisticated
product range includes various flat, tubular and coated products.
At Rourkela efforts to update technology and introduce modification to keep
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in step with new development is a continuous process. The recent
modernization programme of RSP aims to upgrade the technological status of
the plant of the level prevailing in the developed countries. The objective is to
make up the operational deficiency by replacing the obsolete technology, plant
equipment, processes & by adding essential matching facilities. This will
enhance the production & productivity, improve quality, cut down cost, effect
energy saving &endure better environmental control.
The world today is characterized by change, competitiveness, quality
production along with low cost &minimization of wastage. To keep up with
the modern times RSP is undergoing a modernization plant completed in
between 1997-98. A completely new latest technique is coming up in RSP.
The unit is under construction at present. The technology is from TPE, &
Russia, & has been undertaken by Mukund Ltd Mumbai. The estimated
annual production of this unit will be 1.44 million tones &it will account for
80% of the production of the plant. The manpower required is estimated to be
1047. There have been many improvements over the old units. The capacity of
the mixer is SMS # 2 is 1300 as against 1100 tons of SMS 1 .There are two
converters in SMS2 each of capacity 150 tons as against fire convectors in
SMS 1-3% of 50 tones & 2% of 60 tons capacity. Hence blowing for
Oxygen is closed in SMS 2 .Hot metal will be directly made into slabs, the
process known as continuous casting. There is hence no requirement for
blooming &mill. There are also provisions for pollution control by wetting the
gas & transforming it to gas holder. Technology, plant & equipment, processes
& by adding essential matching facilities. This will enhance the production &
productivity, improve quality, cut down cost, effect energy saving &endure
better environmental control. The world today is characterized by change,
competitiveness, quality production along with low cost &minimization of
wastage. To keep up with the modern times RSP is undergoing a
modernization plant completed in between 1997-98.A completely new latest
technique is coming up in RSP. These modernized units are under construction
at present. The technology is sourced from TPE, & Russia.

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Core values of RSP

Customer satisfaction
Consistent profitability
Concern for people
Commitment to excellence

Special feature of RSP

i.

It is one of the oldest steel plants and also the First integrated steel plant
to be established in India.

ii.

It is the first plant in India to adopt L.D process of steel making and to
implement it successfully.

iii.

It produces maximum tonnage of steel usage.

iv.

It is the first in using vacuum degassing metallurgy. This system has

accepted primarily for the production of silicon steel for cold rolled
grain oriented and non-oriented sheet. The system consists of a vacuum
refining, vacuum oxygen refining unit and a degassing unit.

v.

It is the first steel plant to adopt external desulphurization or hot metal

by calcium carbide inspection process.

vi.

It was also the only steel plant having a fertilizer complex attached to it.

vii.

It was the first plant in Asia to introduce Basic Oxygen Furnace (BOF),
at a time when this process was yet to receive recognition from the
established steel producers.

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Raw material of RSP

- Iron Ore- Capitve mine at Barsuan, high greade ore is obtained from kalta
&purchased for MMTC.
- lime stone-(BF grade) - Purnapani & birmitrapur (SMS grade) Santa
- Dolomate- (BF grade) - Birmitrapur(SMS grade)- hirri(Bilaspur)
- Coal Jharia & Kargali

Products manufactured &Bi-products

Products manufactured:a) Plants.
b) Hot roll sheets &coils.
c) Electrical sheets.
d) Cold roll sheets &coils.
e) Galvanized sheets.
f) Electric registance weld pipe.
g) Spiral weld pipes.
h) CRGO/CRNO Sillicon sheets.
i) Ammonium sulphate.

Bi-products:a) Benzol products.

b) Tar products.
c) Mis. products.
d) Coke products.
e) Grannulated slags.

Manpower of R.SP
RSP has vast manpower strength of 21000. The executive are classified in to
ten grade E0 to E9 and the non-executives are also classified in to ten grades
from S1 to S10.There are four other grades (non works)for the teacher,
doctors, nursing staff etc. from SL1 to SL4. The non-executive grades (both
works & non-works) are further classified in to cluster as given below.

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Works
S-1, S-2------------Cluster-A (unskilled & semi-skilled workers)
S-3------------------Cluster-B (Technicians & operators)
S-4, S-5, S-6------ (ITI holder)
S-7------------------Cluster- C (Sr. Technicians & Sr. operator)
S-8------------------Diploma holders
S-9------------------Cluster-D (Supervisiors staff)
Non-works
SL-1, SL-2------------------- Cluster-X
SL-3, SL-4------------------- Cluster-Y

ORGANIZATIONAL CHART

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Executive Director
General Manager
Dy. General Manager
Asst. General Manager
Sr. Manager
Manager
Dy. Manager
Asst. Manager
Junior Manager
M.T(T) /M.T(A)

Presently, the Executive Director (works) is head of the head of various for
department who report to the Chief Executive Officer. There are various
managers of each department who are responsible to the head. Under each
head there are Managers, Dy. Manager, Who are the line of authorities. The
working staffs are responsible to the Line managers. The personnel
department is headed by Director. He is assisted by the General Manager
(Personnel & Administration) chief personnel Managers, Manager, Senior
Manager, Dy. Managers, Asst. Managers, and Jr. Managers. The personnel
function in respect of all the works units inside the plant premises is looked
after by the dy. General Manager (PL) works. It assists the executive Director
(works) and other line management personnel and labour welfare matters. The
chief personnel manager (OD) is the in-charge of the following personnel
function
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1) Sanction of all executive posts.
2) Recruitment of all executives posts.
3) Personnel matter of the executive employees of the steel plant.
4) Management and development and research.

Welfare Facilities Provided by RSP

A) statutory
1) Welfare measures under factories act viz canteen, drinking water
washing facilities public convenience buildings, crche, first-aid, fire
services, safety etc.
2) Provident fund- CPF
3) Gratuity
4) Workmens compensation act

B) Non-statutory
1) Housing &housing rent allowances
2) LTC/LLTC
3) Transport facilities
4) Free education
5) Free medical facilities
6) Life cover schema
7) Family planning incentives
8) Canteen subsidy

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Trade union
There are ten registered union in Rourkela steel plant but there are one
recognized union with whom the management negotiates and forms
participate forums. At present Rourkela Sramik Sangha is the Recognized
union recognition awarded through secret ballot-The other trade union are
as follows:Trade union
Affiliation
1) RSS
2) RMS
3) Hindustan steel workers association
4) Rourkela steel mazdoor union
5) Rourkela ispat shramik singh
6) Steel employee trade union

INTUC
HMS
INTUC
AITUC
UTUC
CITU

Performance Managment is
The present study about the Critical Analysis of Performance Managmentl
System is to analyzing the various components of the present system. Since
organization exist to achieve goals, the degree of success that individual goal
is important in determining organizational effectiveness. The assessment of
how successful employees have been at meeting their individual goals,
therefore, becomes a critical part of HRM. This leads us to the topic of
performance appraisal.

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Performance Managment is a method of evaluating the behavior of the
employees in the work spot. The appraisal is a systematic process. It tries to
evaluate performance in the same manner using the same approach.
Performance evaluation is not job evaluation. Performance appraisal refers to
how well someone is doing an assigned job. Appraisal of employees serves
several useful purposes like compensation decisions, promotion decisions,
Training and development programmes, Feedback and personal development.
Performance Managment is a broader term than merit rating. In the past
managers used to focus on the traits of an employee while ranking people for
promotion and salary increases. Employees trait such as honesty,
dependability, drive, personality, etc were compared with others and ranked or
rated. The attempt was to find the person has (traits) rather than what he does
(performance); the focus was on the input and not on the output. This kind of
evaluation was open to criticism because of the doubtful relationship between
performance and mere possession of certain traits. Since organization exist to
achieve goals, the degree of success that individual goals are important in
determining organizational effectiveness. The assessment of how successful
employees have been meeting their individual goals, therefore, becomes a
critical part of HRM.
This leads us to the topic of performance Managment. There are basically
three purposes to which performance appraisal can be put.
First, it can be used as a basis for reward allocations. Decisions as to
who gets salary increases, promotions and other rewards are determined
by their performance evaluation.
Second, these appraisals can be used for identifying areas where
development efforts are needed. As noted in our discussion of training
and management development, management development, management
needs to spot those individuals, who have specific skill or knowledge
deficiencies. The performance Managment is a major tool for identifying
these deficiencies.

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Finally, the performance Managment can be used as a criterion against
which selection devices and development programs are validated. It is
one thing is to say, for example, that our selection process is successful
in differentiating satisfactory performers from unsatisfactory performers.
But there must be some standard of satisfactory performance. The
development of a valid, reliable, and bias-free performance appraisal system
can establish such standards. It is an important command in the hand of the
seniors or supervisors to avoid an unwanted adverse entry. However the
executive on personal ground or reason should never misuse this authority.
This appraisal of individual in the employment has been labeled and described
by experts over the years in the different way. Common description include
performance Appraisal, Merit Rating ,Behavioral Assessment, Employee
Evaluation, Personal Review, Progress Report, Qualification Report, Annual
Confidential Reports, Service Rating and fitness reports etc.

M.C Gregor says formal performance appraisal plan are designed to meet
three needs. One of them organization and other two are individual namely.
1. They provide systematic block up to salary increases, transfer, donation and
termination.
2. There are means of telling a subordinate how he is doing and suggesting
needed change in this behavior, attitude, and skill or job knowledge. They let
him know where he stands with the loss.
3. They are used as a base for coaching and counseling the individual by the
superiors.
The purpose of rating has different aims as:
1. How he discharges his work assigned to him.
2. Suitability for termination needed.
3. Transfer or termination needed.
4. Evaluation of training needs.
5. He should know where he stands.
6. He should make up his deficiency.

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REDRABOSECERAJA has defined after completing the survey of personnel
practices in India that all the public sector undertaking covered by the survey
use some sort of employee performance appraisal system, where as some of
them assess performance through progress reports and other use merit rating
program me. The appraisals are generally conducted annually. Somewhere the
employees are rated on personality, characteristics and performance. The
appraisal are generally found for promotion and helping the supervisor know
their employees, helping the workers know their progress, wage and salary
administration and training and development. In a private sector most of the
organization uses performance appraisal on merit rating programme and some
others adopting the procedure as public sectors are doing.
RONALD BENJAMIN has defined that a performance appraisal determine
who shall receive merit, employee improvement and determines training
needs determine probability, identifying, those who should be transferred.
Moreover, it improves employees job performance, encourages employees to
express their view or to seek clarification, job duties, broaden their outlook
capacity and potential, promotes a more effective utilization of man power
and improves placement facilities, selection, prevents grievance and increases
the analytical ability of supervisor.

The main objective of performance managment is:

1. To enable an organization to maintain a list of quality employees and to
identify and meet their training needs and aspiration.
2. To determine increments and provide reliable index for promotion and
transfer to position with greater responsibility.
3 To maintain individual and group development by informing the employees
by its performance standards.
4. To suggest the way of improving the employees performance when he is
not found to be up to the work during review period.
5. To identify areas for further training needs.
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6. To help to determine promotion and transfer.
7. To reduce grievances.
8. To improve job performance.

THE APPRAISAL PROCESS (Who & How to Appraise)

Establish performance standards.
Communicate performance expectations to employee.
Measures actual performance.
Compare actual performance with standards.
Discuss the appraisal with the employees. If necessary, initiate corrective
action
Rourkela Steel Plant, the unit of my study is a vast organization constituting
of 22,191 employees from which 2100 are in the management cadre or
executives. My focus of study is to understand the validity of the performance
appraisal system in place, its implementation process, the outcomes and future
development strategies on it. If performance appraisal would have been not
there, it would have been very difficult to the part of management to know
their depth performance ability in their work attitude and obedience to the
supervisor in carrying out the order. To assess of these things of an employee
there is performance appraisal.

The main aim of performance appraisal is:

To evaluate how far results are achieved and to plan for better
performance.
To understand the gaps in knowledge and skill which can be filled by
planned guidance and training.
To identify man with potential so that reliable management succeeding plan
can be built up.
To know performance in the present role and responsibilities.
To judge the competency, values & potential.
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To know the training and development needs.

Performance Managment System in RSP.

The employees can be categorized in two different segments, managed group and
managing group. To enhance the operational efficiency and be effective in the market all
the stake holders in the functional process must be reviewed and necessary guidance
must be provided in alignment with the goal of the organizations. Rourkela Steel Plant
one of the key unit of SAIL has a laid down procedure for development of its employees.
The development planning, feedback system for all the employees follow a common set of
principles envisaging the key attributes of different roles and responsibilities. This
creates a thin line in the process of execution of performance management system
between managed and the managing group. A brief detailing of non executive
performance appraisal system is also produced to have a understanding of the various
roles and responsibilities of the executives.

Non- Executives performance managment system in R.S.P

In case of workers appraisal report, it is called the confidential
character roll, for the year ending 31 st December. There are
many kind of forms used by different industries. So far,
Rourkela Steel Plant is concerned, there are four different
forms such as Class-III(Non-technical), Class-III(Technical),
Class-IV(Technical & Non-technical).Class-III(Non-technical)
includes all the official staff i.e. Assistant, Sr. Executive
Assistant,
Head
Assistant,
Administrative
Assistant,
Assistant(T), Executive Assistant cum Sr. Assistant, Private
secretaries and teachers etc. In the month of December, the
officer, who is controlling the office, will fill up the CCR forms
prescribed there in as under:
1. Name
2. Designation
3. Personal number

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4. Educational qualification
5. Department and branch office in which employee
6. Scale of pay
7. Present day
8. Date of birth
9. Date of joining in the present post
10. Assessment of:
a) Personality
b)Integrity
c) Intelligence and general ability
d) Initiative and resources fullness
e) Devotion to duty and industry
f) Promptness and accuracy in doing job
g) Reliability
h) Capacity for assuming responsibility
i) Amenability to discipline
j) Relation with other employees
k)Punctuality
l) Attendance
I) Actual attendance during the year including E.L, Maternity
leave (off days and holidays)falling during E.L. period to be
excluded.
ii) Whether unauthorized absence exceeded 4 times during
the year.
iii) Whether any punishment relating to attendance was
awarded.

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Assessment and grading should be following of the five. Those
workers work at least 285 days or more during the years, their
grading is very good.
During the year 255 & above-----------Good
--do-225 & above-----------Satisfactory
--do-195 & above-----------Indifferent
--do-194 & below----------Poor
11) Whether he officiated/acted against higher vacancy,
whenever required. Whether there is any instance of refusal.
12) In case of Sr. Executive Assistant
a) General control over its staff i.e. maintaining order
and discipline and checking late attendance.
b) Systematic and methodical distribution of work
amongst his staff.
c) Supervision over quality and accuracy of work by the
staff and on proper maintenance of reference books, files,
registers and diaries etc.
d) Capacity of ensuring of prompt submission of work
return etc.
e) Submission of cases in proper order i.e. pulling of
relevant papers, referencing of notes and correspondence etc.
f) Watching proper work.
g) Capacity to train, help and advice his staff.
h) Able to handle tricate cases.
i) Skill in notice and drafting.
j) Capacity to take quick and sound decision.
CLASS-III TECHNICAL STAFF:

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In this CCR form, the Class-III technical staff such as, Sr. Store
Keeper, Asst store keeper, Draft man, Head draft man, Tracor
Ferro printer of design section are coming. This CCR form
slightly differs than that of Class-III(Non-technical) form. The
particular asked for in this form are to filled up by the
Reporting Officer. The contents of the forms are as under:1. Name
2. Designation
3. Personal number
4. Date of birth/Age
5. Date of joining in the present post
6. Educational qualification
7. Present day and scale of pay
8. Department and branch in which employee
9. Description of work on which employee
10. Assessment of:
a) Personality
b) Integrity
c) Intelligence and general ability
d) Initiative and resources fullness
e) Devotion to duty and industry
f) Promptness and accuracy in doing job
g) Reliability
h) Capacity for assuming responsibility
i) Amenability to discipline
j) Relation with other employees
k) Punctuality
l) Attendance
i) Actual attendance including E.L and maternity leave.
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ii) Whether unauthorized absence exceeds four times in the
year.
iii) Whether any punishment, relating to attendance was
awarded. Assessment and grading should be one of the
following five.
Full attendance in the
Grading
Year under review
300 days & above
---very good
270 days & above
---Good
240 days & above

----

Satisfactory

210 days & above

---Indifference
209 days & below
---Poor
11. Has he acquired qualification?
12. (a) Has he been responsible for any outstanding work
meriting special recommendation? If so, give brief details.
(b) Has he been reprimanded for different work for much
reason? If so give brief particulars.
13. Has he displaced special attitude of any particular class of
work?
14. General remarks, including remarks as to any defect in
character, which militate against his efficiency and suitability
for any particular type of work.
15. General grading (the assessment and grading)
i) Is he fit for promotion to the next higher grade?
ii) Is he good material for development?
The above columns will be filled up by the Reporting Officer
and for their necessary action and records. Before submitting
the forms in the personnel department the higher officer will
go through the remarks and grading given by the Reporting
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Officer. If it differs he will give his own comments in the forms
from the higher officer, the personnel department will go
through the forms and adverse remarks if any found there in
through the Reporting Officer for his future development.
CLASS-IV (NON-TECHNICAL & TECHNICAL)
In this categories of staff the workers like khalasi, Helper,
Messenger, Sr. Messenger, Chowkidar, Sweeper, Ward Boy,
and Dresser etc. are coming. The CCR form meant for the
above categories of stall contains the following headings to be
filled up by the Reporting Officer not below the rank of
Dy.Manager, Grade-1 under the scale of Rs-6,500-225-8,500
for year ending 31st Dec.
The CCR form meant for CLASS-IV staff slightly differs from
the CLASS-III as under:
1. Name
2. Designation
3. Personal number and token number
4. Date of birth/Age
5. Date of joining in the present post
6. Educational qualification
7. Present day and scale of pay
8. Branch/office in which employed.
9. Can be read and write Oriya/Hindi/English
10. Assessment of:
a) Intelligence
b) Amenability to Discipline
c) Honesty and Integrity
d) Devotion to duty and industry
e) Promptness in doing work
f) Reliability
h) Punctuality
i) Attendance

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i) Actual attendance including EL, maternity leave (Off days
and holidays during EL to be executed from January to
December of the year) should be recorded. In case of new
appointment, proportionate calculation from the date of
joining to December will be taken).
ii) Whether any punishment relating to attendance was
awarded.
iii) Whether unauthorized absence exceeds 4 times in the
year.
Full attendance in the
Grading
Year under review
300 days & above
---very good
270 days & above
---Good
240 days & above
---Satisfactory
210 days & above
---Indifference
209 days & below
---Poor
11) Whether he has officiated/acted against higher vacancy
whenever required? Where any instances of refusal.
12) Has any appreciation between shown for his good work?
b) Has he been reprimanded for indifferent work or for any
other reason? If so give brief details.
13) Is he fit for promotion to the next higher grade?
14) Has he acquired any additional qualification during the
year?
15) General remarks (including remarks as to any defect any
character, which militate against the efficient discharge of his
duties)
CLASS-IV(NON-TECHNICAL STAFF):

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The CCR form used for class-IV (Non-technical staff) is similar
as that of used for class-IV (Technical staff). If differs slightly in
the assessment of attendance. The assessment grading for
class-IV (Non-technical staff) are as follows:285 days & more
----------very good
255 days & more
-----------Good
225 days & more
-----------Satisfactory
195 days & more
-----------Indifferent
194 days & more
------------poor
After giving the required remarks, Reporting Officer will hand
over the forms to the higher officer. The exercise of the higher
officer and the personal department on these CCR forms only
is the same as has been explained in Class-III employees
above.

EXECUTIVE PERFORMANCE MANAGEMENT SYSTEM OF SAIL

The executive performance appraisal system used in RSP is a revised one
performance appraisal system is implemented from the year 1995-96. These
are
A.
Self appraisal
B.
Performance review and planning
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C.
D.
E.

Performance assessment
Development plan
Evaluation &Final grading

A. Self appraisal:Tasks /targets indicating a few key performance. Areas will be set for
each appraisal by his reporting officer in consultation with the former.
This will be communication to the appraisal by 31th march of every
year, before the start of the assessment year.
- The self appraisal form will be filled up by the appraisal twice a year,
once in the first work of October and then in the first week of April.
The appraisal will factually report on the following in the self appraisal
at the end of the assessment year:a) The highlight of performance.
b) Major strength
c) Development needs

Now it has come across the various process involved in the executive
performance appraisal system is RSP.SAIL has adopted a new IT enabled
EPMS system which aims for performance excellence and highest level of
transparency. This highlights the focus of the top management on total
development of their executives. So the name has been changed from EPAS to
EPMS. The linking of all nodes through IT infrastructure in the present EPMS
created an excellent space for performance enhancement, performance
planning, time management and understanding of functioning of all nodes of
the organisation.
Goal of Performance Managment in SAIL RSP:
Conducting performance managment on employees, performance should be
more than a simple check list of dos and donts. Performance evaluation
should serve as a vital component, one of that is, interest to both the
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organization and the employee. From the organizational prospective, sound
performance appraisals can assure that the correct work is being done, work
that assist in meeting department goals. In a simplistic rendition, each
employees work should support the activities of her bosss performance
objectives. This should ultimately continue up the hierarchy, with all efforts
supporting corporate strategic goals.
From the employee prospective, properly operating performance appraisal
systems provide a clear communication of worker expectations. Knowing
what is expected is a first step in helping one to cope better with the stress
usually associated with a lack of clear direction. Secondly, properly designed
performance appraisal should also serve as a means of assisting an employees
personal development.
To make effective performance managment a reality, four criteria need to be
present.
These are:
Executives need to be actively involved in the evaluation and development
process.
Section/Department/Unit heads need to enter performance appraisals with a
constructive and helpful attitude.
Realistic goals must be mutually set.
Bosses must be aware and have knowledge of the employees job
performance.
If these criteria are present, the performance managment process now
becomes a communication meeting. With both parties well prepared for the
performance review, the two discuss the total performance of the employee,
addressing both the strengths and weaknesses of the employee, and how these
attributes lead to the attainment of the mutually agreed on goals. While at this
stage, one is not only addressing past performance but also areas for
continuous development have been identified. The next step, then, is to meet
and plan for the employees development. Performance managment need not
to be as stressful or threatening as they are. With proper preparation and a few
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key criteria in place, the performance appraisal process can be enhanced.
However, we can expect to reap this enhancement only after we make this
transition towards more participative performance appraisals, ones that focus
not solely on performance, but also a personnel development.

Scope
The Executive Performance Management System is aimed at performance and
development planning and assessing the performance, potential, competencies
and values of executives up to E-7 grade. The top management cadre in E-8
and E-9 grade performance management is as per PSEB format.

OBJECTIVE
Unlike all other Performance Managment system SAIL EPMS is also aimed to
To enable executives to plan their work, utilize their capabilities and
maximize their contributions.
To create a performance culture through continuous performance
improvements of individual executives their teams and in turn the
organization
To identify and develop leadership talent for future.
COMPONENTS:
The components of Executives Performance Management System in SAILare:
Performance Planning
Assessing and developing competency for the future.
Development Planning
Online System of EPMS
Performance Review and Assessment

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Final Performance categorization of ratings by the Performance
Management Committee (PMC)

Communication of the Performance Ratings to the Executives

(Transparency)
Assessment of assessors.
Leadership Development and competency building through 360 degrees.
Feedback and Assessment and Development Centers.
Team Appraisals
Performance linked pay and other rewards.

Performance Planning
Performance planning is to contribute significantly to role clarity, competency
utilization, and potential development and performance improvements. By the
use of this component, the following outcomes are accepted to be achieved:

The link between the department and its manager are established. As the
Departments so as their managers are clear of their activities and Key
performance areas (KPAs) at the beginning of the year. This ensures that
every department or section must focus its Key activities; processes
involved and planned results/outcomes.
Every manager is clear about the activities he/she is expected to
undertake, with time investments and also with results/outcomes.
KPAs crate the link between individual executives contributions to and/or
effect the achievement of the departmental and organizational goals and
achievements of APP.

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The performance plan is also to indicate the time to be spent by each
executive on each of the KPAs and should have a shared understanding
between the Individuals Executive & his Reporting officer of the nature
of activities to be undertaken, time estimates and linkage with
departmental goals or targets. The process is also expected to lead to
better time and competency management of executives and thus
contribute to organizational efficiencies.
Planning of performance is to be done at individual, sectional and Departmental
level. This flows from a Departmental Goal Setting cascade exercise, which
will be done in a workshop form.

The Goal Alignment Cascade Workshop is a process of sequentially breaking

down organizational objectives and targets into those of various levels in the
organization, i.e., Plants/Units and then Departments to Individuals concerned.
The individual KPAs (Key Performance Areas) would also include KPAs over
and above these cascaded ones which are applicable to Units, departments,
functions and individuals. In the beginning of the performance year (i.e. April
every year), all departments are to plan their Team & Individual Key
Performance Areas (KPAs) in line with the departmental goals through a GOAL
ALIGNMENT CASCADE WORKSHOP keeping in view the APP of the
Plant/Unit.
Individual KPAs along with maximum marks/ weight-age and criteria for
evaluation are to be assigned in consultation with Reporting officer and
concurrence of HOD.
The KPAs shall have total weight-age of 60 points for E1 to E5 and 50 points
for E6 & above level executives.
KPAs are classified as under-

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Routine KPAs (i.e. jobs of routine nature and at the same time critical
contributions of the officer like filing of statutory returns for an accounts officer
or plant supervision for a shift in-charge);
Non-Routine KPAs/Special Projects: Non-Routine KPAs are key
contributions of the role holder other than the routine activities. Special projects
are to be undertaken at the initiatives of the executive concerned. Special
projects are those which are not a part of the current job, tasks and
responsibilities but undertaken by the individual on his initiative to make a
difference in the organization and demonstrate his leadership competencies.
These projects may become critical inputs for future leadership assessments.
The special project KPAs should be contributions beyond the role of the officer
concerned and are meant to develop future potential leadership qualities of the
individual. Senior officers should encourage their juniors to undertake at least
one special project in a year and allocate around 5% of the officers time for the
same. As we go in the managerial hierarchy, it is envisaged that the percentage
of Non-routine KPAs/ Special Projects will increase.

Assessing and Developing Competencies for the future Competencies,

Potential and values
As one move higher in the managerial hierarchy, the managerial and
leadership competencies become more critical. For facilitating their success at
a later stage, managerial and leadership competencies need to develop from
early stages. To prepare executives for future leadership roles and to ensure
that they are equipped with competencies required to perform their current
roles as well as the likely roles in future, the new PMS has given due weightage to three sets of competencies. These include:
(i) Competencies required by all executives to perform their current
managerial roles;

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(ii) Competencies required to prepare them for future roles (potential factors),
and
(iii) The values needed to be demonstrated by executives all through their
career.
Every executive is required to exhibit certain competencies while achieving
their KPAs. These competencies needed to be discussed along with KPAs and
common understanding arrived at for exhibiting those competencies and the
indicators of these competencies The performance, competencies, potential
factors and values will carry different weight-ages as given below:
Components

E1 - E5

E6 E7

E8 E9

Performance
Competencies
Values
Potential
Total

60
15
15
10
100

50
20
15
15
100

50
20
15
15
100

The competencies required to be exhibited by every executive will include

the following
A) Competencies:
1. Technical/Functional competencies
2. Commercial acumen
3. Interpersonal skills and team work
4. Proactive Problem solving and Initiative
5. Communication skills(listening, clarity of thought and expression,
written and oral)
6. Positive attitude.
B) Potential factors:
1. Vision and Leadership
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2.
3.
4.
5.

Ability to assume responsibility and take decisions

Execution ability
Change management(openness to change , initiate and manage change)
Creativity

C) Values:
These include beliefs, behaviors and actions that are to be exhibited by
every executive
1.
Customer focus
2.
Consistent Profitability
3.
Commitment to Excellence
4.
Concern for people
5.
Integrity & Character.

In the beginning of the year, if any executive would like to receive training or
any developmental inputs on any of these competencies (example,
communication skills, vision, changes management skills, etc.) he needs to
incorporate the same into his development Plan as Explained in Development
Planning.
At the end of the year there will be self-assessment by the individual
indicating both qualitatively and quantitatively his assessment of the manner
and extent to which he exhibited these competencies. The qualitative inputs
will be used for assessment by the reporting and reviewing officers besides
their own observations. The self-assessment in quantitative terms however
will not be known to the Reporting and Reviewing officers until all three
complete their assessment.
Development Planning:
The current thinking worldwide is that competency development should take
place immediately on experiencing the competency gap or on the decision to
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build any new competency. It makes business sense to provide the training or
any other development input on the basis of the need felt. The system
envisages that Training and Development needs are identified and planned in
the beginning of the performance year. The assumption here also is that once
performance plans or KPAs are identified and the competencies needed are
known, the performer himself will be in a good position to identify his own
needs. The development planning, therefore, is an effort initiated by the
executive concerned with the help of his Reporting Officers and he completes
the fulfillment of development needs with either self initiative or with the help
of the plan/unit HRD department/MTI.
On-line EPMS:
Technology innovations have revolutionized todays corporate sector. Egovernance and such other practices are the order of the day. Even small
organizations with global presence have started using IT support to improve
their management practice. SAIL has decided to use the technological
innovations to its advantages. Use of IT makes performance planning easy;
communication and documentation become grate aids. In the month of April,
as soon as the Performance Planning and goal Alignment workshops are over,
each executive is required to plan his performance in terms of KPAs and
record the same in the format provide in Online PMS system. The online
facilities/system is accessible to all executives and departments. In the on line
format the executives record his/her KPAs along with the weight-ages within
the stipulated time frame. The filled in formats of the concerned executives
will then be available to the Reporting Officer, Reporting Officer (O),
Reviewing Officer and HOD for ratifying it within the stipulated period, also
OD & HRD. Units Heads, Corporate HR, Directors and chairman have access
to all the forms. Department Key Performance Areas and Developmental
plans will be available for viewing to all executives across Plants/Units at all
times during the year.

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Performance Review and Assessment
In the middle of the performance year (i.e. in the month of October) every
executive make a self review of the performance plans by indicating the status
of activities undertaken & accomplishments/highlight of performance. To
assist his records The Performance Diary is a online tool provided to the
executive concerned for keeping record of key information related to
performance. The individual concerned can make entire as and when required
and all entries will be kept by date time entered into the online system. Each
individual executives entry is intimated to his Reporting Officer & every
Reporting Officers remarks / entries is intimated to the Individual executive
concerned. The Reviewing Officer is able to view the Executives concerned
Performance Diary whenever he desire. The diary is expected to ease the
effort of tracking key performance events/activities and would be used as a
support documents during performance discussions. Performance review
held twice a year-midyear & annually. The midyear & final reviews are
specially focused on Feedback & Counseling and hence required the
Reporting officer to have a formal feedback session with the executive
reporting to him. The Reporting officer gives comments on the same after
discussion with the executive concerned and record them in the formal
provided in the online PMS system. The reviewing officer keeps himself
appraised by seeing the same and passing his comments. These can be viewed
by the executive concerned, Reporting officers and HOD. When used
effectively, Feedback & Counseling is a powerful tool for positively impacting
performance. Assessment is only at the end of the assessment year. However,
review discussions/feedback can be held between individual concerned &his
Reporting Officer any number of times during the year and the same is
recorded in the system.
The qualitative comments of the Individual & Reporting Officer are recorded
on the online PMS format on completion of the assessment year and the rating
is done also ratified up to the level of PMC.

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Performance management Committee (PMC)
Every individuals performance is dependent on the competencies of the
officer concerned including his ability to manage and get the support he
requires his motivation as reflected in the effort he puts in to Performa various
KPAs and related activities he undertakes, and the support he received to
perform various tasks and activities. The performance is also subject to
unpredictable and unexpected chance occurrence / contingencies. A good
manager and leader is able to predict the unexpected to al large extent and
plan for continuous performance as organizational performance depends on
each individual performing well. Experience across the world and studies
have indicated that subjectively is an inevitable part of Performance
appraisals. No two appraisers are comparable as the circumstances,
competencies; work effort and support received or managed for different
executive may not always be comparable. Use of numerical numbers requires
standardization and comparability. While work output delivered at lower
levels by workmen are comparable to some extent as they are measured in
physical quantities, the output of performance of supervisors, and executives
become incomparable on objective parameters. Thus the ratings assigned by
the executives, reporting Officer and Reviewing Officer are subject to
subjectively and interpretations. Reorganization the subjective nature of the
appraisal, it necessary to ensure that relatively good performance rewards,
incentives etc. In this process, determination of who can be called as good
performer is subject to various dilemmas. The first problem arises infixing
standards as the KPAs are varied, task are varied it is difficult to fix
comparable standards for all officers.
Recognizing this, SAIL EPMS uses a committee system to reduce subjectively
and recognize the good performer. The Performance Management Committee
consists of the Reporting Officer Reviewing Officer and the HOD. The HOD
plays a rationalization role as he always has more information of the
performance of the department as well as the performance of various sections.
Taking into consideration the team performance and the individual
contribution to the team performance and also taking into account the inputs
from the Reporting & Reviewing officers and using the inputs provided by the
executive concerned, the PMC assesses & categorizes each of the officers
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performance for the assessment year into four categories as per assessment
table given below.
EP = Exceptional Performer (to be given very sparingly for role model
unquestionable, all agree, Consensus
HP = High Performer (Exceeds all targets, agreed by all as an excellent
performer)
AP = Average Performer (Meets minimum targets / requirements)
LP = Low performer (Not able to complete targets and needs to improve
delivery of results)

Certain indicators are used by the Reporting officer to consolidate

observations and assess subordinates.
Level 0
Absent

Level 1

Beginner

Level 2

learner

Level 3

Practitioner

Level 4

Specialist

Level 5

Leader teacher/Mentor

This categorization is based on various factors,

The level of difficulty and challenge taken by the executive in the year
in terms of KPAs and activities.
The level of accomplishments or contributions of the executive to
departments goals/ performance and output.
The extent to which he received support from other input provides,
including his internal suppliers and customers.

Comparative rankings given by the RO confidentially to the PMC prior

to the meeting for cases where there is more than one PO under the same RO.
The ranking of the concerned executives will be provided by each RO besides
the self assessment formats and other details recorded in the on-line EPMS.
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There will be two categorization of assessment/rankings done:- one for
Performance and the second for Competencies, which also includes potential
and values. The PMC consisting of Reporting, Reviewing Officers and HOD
decided the entire four categories taking into account various inputs of the online system, assessments and other factors including the relative performance
of others and the favorability / un-favorability of the conditions, internal
support and input availability. The High Level PMC will finalize Exceptional
Performer for the High performers (say a particulars % age) and Low
performers by recording 2 major achievements/ shortcomings for categorizing
into these 2 categories. Any developmental needs arising out of the review
will be pointed out and posted on the Online PMS.
Communication of Performance:
Transparency through revealing of the marks and grades will be done in a
phased manner. Performance reports revealed as recorded by Reporting and
Reviewing officers. Online PMS system used to ensure transparency,
compliance and timeliness. The online platform used to develop and
communicate a definite development plan by the PMC for enhancing the
performance of low performers. If need be, the executive concerned can be
rotated to other departments/units for his improvements.
Assessing assessors for higher accountability:
SAIL recognize that our India Culture is that of relationship building and
people value culture by nature. In such a culture, it is difficult to give negative
feedback face to face and it has been a normal practice to communicate only
positive feedback to employees. SAIL also recognizes that in the past,
intention to give high ratings is used as a motivating mechanism and that is
how a lot of subjectivity creeps in. Most often, a Reporting or a Reviewing
Officer may feel that a particular executive has done only a poor job or a
below average job but communicates to the executive concerned that he has
done a great job to buy him motivation for the future. Raters do very in their
philosophy and approach. Some are strict and more objective and may swing
to one extreme, while a few others may be lenient and generous. However to
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make the system become less subjective and to ensure that all executives use
similar standards, an attempt is being made to develop all assessors to be more
objective and make proper judgment of the performance of their juniors. This
is a long term goal.
A beginning is being made in SAIL EPMS to introduce a system of assessing
the assessors and also to audit the implementation of the PMS. This will be
done through the following:
1.
Assessing the Assessors by studying their rating behavior and giving
them feedback about their rating behavior.
2.
Using EPMS Audit Committees periodically to review the
implementations of the EPMS

EPMS Audit Committee:

1.
Every Plant/Unit will also have an EPMS Audit committee to review and
audit the implementation of the EPMS. The EPMS Audit committee will meet
during the stipulated time period.
2.
The Audit Committee will look into the individual grievances/appeals, If
any received during the year at the end of the assessment year, look into these
cases, study the ratings, interview some of the candidates as they deem fit and
make suggestions to improve the EPMS and its implementation
3.
Assessors from department with average performance but giving high
rating for their junior to be questioned by PMS Audit Committee.
Leadership Development:
(Competency Building through 360 Degree Feedback and Development Centers. )

In the recent year, a lot of development has taken place in the field of
performance management. Two such developments include the 360 Degree
feedback and the Assessment and Development Centers. The 360 Degree
Feedback is a multi-rater feedback in which the candidate is assessed at the
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end of the year by his juniors, seniors, internal customers, external customers,
wherever applicable. These along with self assessment by the executive
concerned gives insights into the impact made by the Executive on his juniors,
seniors and internal customers and help the Executive Concerned to improve
his performance in subsequent period. Particularly in culture where employees
dont give objective feedback to each other due to a desire to maintain good
relations, It has been found to be useful. SAIL has decided to use this system
selectively for the development of its senior level executive. The 360 Degree
Feedback is being tried out on an experimental basis and will be used as a
development tool. Assessment and Development Centre is a specially created
in which a series of exercise are used to assess the competencies of a given
individual for jobs he/she has usually not performed so far. Assessment
centers have become a useful technique to assess the companies needed by
officers for higher level joins and use the information to develop individual to
perform higher level jobs or roles. An assessment centre uses a variety of
testing techniques designed to allow candidates to demonstrate, under
standardized conditions, the skills and abilities that are most essential for
success in a given job. An assessment center consists of standardized
evaluation of behavior based on multiple inputs. Features of an assessment
centre include measurement of techniques selected based on job analysis,
simulation exercise, assessors behavioral observations (Classified into
meaningful and relevant categories), and use of multiple assessors for each
candidate. In an Assessment centre the candidate is assessed by external
assessors on a set of predetermined competencies using multiple methods.
Thus the data generated are supposed to be more objective and have been
found to have reasonable degree of predictive validity Due to their predictive
validity; they are being used in India for development purpose.
Performance linked pay and other rewards:
Performance Linked play, Rewards and Incentives have becomes the order of the day.
These are necessary and are good ways of keepings up employee motivation, morale,
reducing absenteeism and increasing retention as well a contributing to their quality of
life. In the past, employees used to be given incentives largely through promotions and
sometimes depending on their experience and period of stay with the company, loyalty

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used to be rewarded through career progression and status linked incentives.
Developments in industry have given rise to verity of incentives and rewards. SAIL as a
PSU would like to use many of these experiences as possible but it also has a philosophy
of offering a career at SAIL as the main incentive for performance. SAIL is for those who
have a long commitment to make and build their career. At the same time s SAIL cannot
keep creating new positions on continues basis, the avenue of granting promotions as an
incentive becomes limited. Hence, new system need to be thought of and therefore, the
move is to start a performance linked pay on select basis. This is a onetime lump sum
amount given to individual on the basis of their outstanding performers during a
particulars assessment year.
In addition SAIL also plans to introduced the following forms of Non-financial rewards
1.
Achievement Rewards consisting of:
a.
Recognition consisting of:
2.
Recognition consisting of:
a.
Praise.
b.
Long service awards
c.
Work related trips aboard,
d.
Chairmen Dinner,
e.
Directors Dinner etc.
3.
Influence Enhancing recognitions and awards such as:
a.
Task Force,
b.
Committees.
c.
Achievers Form etc.
Responsibility enhancing rewards and recognition such as :
a.
Personal growth
b.
Additional responsibility
c.
Promotion etc.
5.
Team Rewards.
a.
Team Celebrations
b.
Picnics and other forms
SAIL introduced performance linked pay and recognition systems and also executed the
same in the most transparent manner. SAIL believes in the philosophy that good
performance should be recognized and rewarded. The quantum of rewards and the form
of rewards depends upon many factors. The recognition and rewards and the form of
rewards depends upon many factors. The recognition and rewards are of many forms.

Modernization of R.S.P
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Production range
The products of RSP can be broadly classified as Prime products & Secondary
products

Prime products;
a) Pipes
- Electric resistant welder pipes (ERWP)
- Spirally welded pipes (SWP)
b) Sheets
-Silicon steel sheets
A) Cold rolled non-oriented(CRNO)
B) Cold rolled grain-oriented(CRGO)

-Galvanized sheets
A) Galvanized plain (GP)
B) Galvanized corrugated (GC)

-Hot rolled sheets (HRS)

-Cold rolled sheets (CRS)
c) Plates
-Electrolytic tin plates
-Plates mill plates
-Hot rolled plates
d) Slabs
-Prime
-Slab
e) Coils
-HR steel coils
-CR sheet coils
-Pipe plants return coils (PPRS)
f) Fertilizers
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-Calcium ammonium nitrate(CAN)

Secondary products
Iron and steels scraps
a) Re-rollable scrap
b) Melting scrap
c) Industrial scrap
d) Defectives

Online system

All executives have to record their Key Performance Areas in the online
PMS within the stipulated time period.
For this EPMS id is assigned to the executives along with their
Reporting and Reviewing Officers.
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Performance diary to be maintained online to keep a record of key

information related to performance. Concerned executive and Reporting
officer can make entries as and when required.
The Reviewing officer can view the performance diary of concerned
Executive.

Structure of the EPMS

Key Performance Areas (KPAs)
KPAs are weighted and quantifiable with evaluation criteria.
KPAs can be further classified into:
i. Routine KPA- jobs of routine nature but critical
ii. Non- routine KPA/Special Projects

Special projects are to be taken up at the initiative of the executive

concerned.
As one goes up the hierarchy the percentage of Non-routine KPAs will
increase.

Performance Diary and Review

Performance diary is maintained online to record individual executives

performance highlights/constraints which would be accessed by both the
Reporting and Reviewing Officer.

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Each executives entry is intimated to his/her Reporting Officer and

every Reporting Officers remarks/ entries are intimated to the executive
concerned.
The diary eases the effort of tracking key performance events/activities
and would be used as a support document during performance
discussions.
Record only significant events and accomplishments and constraints
faced.

Constraints and problems that could not be solved are included for later
view and assessment.
Issues that have been solved are noted to bring it to notice of Reporting
and Reviewing Officer.

Weight age of various components

Performance Review discussion
Mid Year review:
The Reporting Officer is expected to have a formal feedback/
counseling session (online or offline) with the executives reporting to
him.
In the middle of October an executive is expected to make a selfreview of the performance plans by indicating the status of the
activities undertaken & accomplishments or highlights of
performance.
The reporting officer makes online comments on the same after
discussion with the executive.
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The Reviewing officer can be also add his comments on line on the
executive

These can be viewed by t he executive, the Reporting Officer and the

reviewing officer and the Head of the Department

Annual Performance Review and Assessment

Final performance review is done by recording the comments of both

the executive concerned and his Reporting Officer on the fulfilment
of KPAs.

Multi-stage assessment of Performance (self, Reporting and

Reviewing).

The appraise does self-assessment on achievements and shortcoming

of KPAs as per tasks set at start of the year. Marks are recorded on
the achievement of KPA only i.e. performance.

Reporting and reviewing officer to independently assess the appraise

on performance factors as well as potential, values and competency
and record the marks.

Marks given by the Reporting and Reviewing Officer would be

visible to them after all of them complete their assessment online.

Final assessment and grading is done by the Performance Review

Committee (PRC). The executives are appraised separately based on

Performance and competency factors including values and potential

and are given two separate ratings.

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Competencies

These is measured according to six factors:

Commercial acumen

Technical/ functional competencies.

Interpersonal skills and team work

Proactive problem solving and initiative

Communication skills

Positive attitudes.

These competencies are considered to be important for performing

well in any organisation.

Reporting officer keeps noting any behavior relating to these or any

other competencies the individual exhibits in the year.

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ON LINE EPMS

All executives to record their KPAs in the online PMS system within the
stipulated time period after which the system will not be available for
entering KPAs till the next review period.
For this, each executive would be assigned an EPMS ID along with his
Reporting and Reviewing Officers.
Performance diary to be maintained online for keeping record of key
information related to performance. Individual concerned and his
Reporting officer can make entries as and when required.
Reviewing Officer can view the executive concerneds Performance
Diary.
Performance Reviews to be held and recorded online twice a year and
assessment to be done once a year.
Multistage Assessment by Self, Reporting and Reviewing Officer
independently and recording of marks on KPAs in online system
Final grading on performance would be communicated to the individual
concerned after finalization of grading for the year through the system

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SUGGESTION:

The appraisal system of SAIL is very good indicating that

there is good degree of improvement desirable to the
organization. The following are some of the points that
have been born in my mind while attempting to study the
Executives Performance Appraisal System of SAIL.
The whole system should be more effective than at
present to make everyone satisfied.
Job rotation should be done on the basis of Performance
Review Planning.
The appraisal system should be more focused to achieve
all its required objectives.
The existing appraisal format should provide adequate
opportunities to reflect an individuals goals and
aspirations of growth in the organization.
The present system of distribution of ratings is not
justified.
The existing appraisal system should be adequate
enough to assess the performance and potential of
individuals.

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Conclusion

Last but not the least, the conclusion drawn is one of the
most important features of project report. SAIL a large
industry having 4 integrated steel plants,2 special steel
plants,3 subsidiaries & 10 related units operating all over
India. It is one of the important industries of India. It has a
huge team working together to achieve required objectives.
SAIL-Rourkela Steel Plant, where I had my training has a
dynamic, huge and strong team. The total manpower of RSP
is around 19982.Out of total executives in RSP are 2273 and
rest 17709 are non-executives. Personnel policies in SAIL
are very comprehensive. Each small topic is very vast in
itself. It was not an easy task to cover whole of the
personnel policies
I have been allotted the topic Critical Analysis of
Executives Performance Managment System That is very
important topic in every organization. This was the most

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interesting topic . Under this we have learned the ultimate
management practice would be to know what needs to be
done and to have perfectly accurate measures but operate
at various levels of ignorance .Each involving different types
of risks and costs.

BIBLIOGRAPHY

AGM(Electric)CPP-I

P.K MAHAPATRA

SAIL News sahayog.

Various News papers and Magazine.

The Performance Appraisal source book.

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