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A STUDY OF PERFORMANCE

MANAGEMENT SYSTEM AT
SMC

Presented by:
Neha Bharti
MBA : 3rd sem
Introduction
Performance Management is a structured visual approach to
monitor the business performance, highlighting issues &
reacting to them in a timely manner.

Performance management can be regarded as a systematic


process by which the overall performance of an organization
can be improved by improving the performance of individuals
within a team framework.
Components

• Performance Planning
• Performance Appraisal and Reviewing
• Feedback
• Rewarding good performance
• Performance Improvement Plans
• Established in 1990.
• SMC insurance is one of the largest and professional
direct insurance Broking House in India accredited by
Insurance Regulatory and Development Authority
(IRDA).They deal in all types of insurance products of all
life and general insurance companies .

• SMC Insurance is a part of SMC Global, which is a


leading financial services provider in India.
RESEARCH OBJECTIVES

• To understand the concept of the performance management


system in the organizations.
• To review how the performance management system helps in
achieving the organization’s desired goals.
• To offer suggestions and recommendation regarding the
existing performance management system in the company.
• To find out whether the employees are satisfied with the
present performance management system or not.
RESEARCH METHODOLOGY

• Research Design: Descriptive and Exploratory Research


• Sampling techniques: Stratified Sampling
• Research Instrument: Questionnaire Method
• Type of Data: Primary and Secondary Data
• Research tools: Pie Charts, Bar Diagrams
DATA ANALYSIS &
INTERPRETATION
Q1. Do you think that Performance management system is essential for the
employees of the company?
80% of the employees agreed & 20% of the employees partially agreed.

Q2. Performance Management has been described as the responsibility,


which is not liked by the superiors. Do you think so?
46% executives said partially, 27% executives said yes, remaining 27% said
Not at all.

Q3. Do you think Performance Management System is clearly defined in the


organization?
75% of employees agree, 25% of the employees feel that it is not clearly
defined
Q4. Does your supervisor give you effective feedback on a regular basis?
100% of the employees say that the superior gives them effective
feedback on a regular basis.

Q5. Do you think that Performance Management is the tool that improves
employees’ Performance level?
To a great extent -74%, To some extent -18%, Not at all -8%

Q6. Are you capable of achieving goals set for you?


100% Consistently, occasionally 0%

Q7. Does Your Job Description clearly define KRA’s on which your
performance is rated?
75 % Consistently,15% Occasionally, 10% Never
Q8. Do you get merit raise when the performance evaluation
indicates that you are meeting the set standard on the job?
70% get merit raise up to a great extent, 20% employees get merit
raise up to some extent and minority of 10% employees agree that
they do not get any merit raise.
Q9. Are you satisfied with the existing Performance Management
System?
53% of the employees are fully satisfied & 45% say to some extent,
while 2% says that they are not at all satisfied.

Q10. Are you satisfied with the weightages given against each
activity that you are supposed to perform in the specified period
by PMS?
37% of the employees are satisfied with the weightages assigned to
them, 28% said that they are satisfied to some extent, 35% are not
at all satisfied with the same.
FINDINGS

• Performance management system in SMC should be increased.


• The company should improve the existing system by designing and
implementing departmental performance review system on quarterly
basis.
• Supervisor provides feedback to employees ,communication the
objectives whenever it is required.
• Currently the company’s existing Appraisal System is on annual
basis. This may be reviewed on a quarterly basis
• The current Performance Management System used in the
organization enables them to achieve the set Goals and Targets. But
company should endorse proper diagnostic mapping for role
modifications/ training and development needs.
RECOMMENDATIONS

Company should have a well-planned communication system and


employees’ views should be taken into consideration.
Management should try to analyze the strengths and weaknesses of
the employees.
Teamwork should be assigned to employees.
Employees should be given proper training and development
programs to learn new concepts and technologies.
Features and tools of Performance Appraisal system should be
changed so that the subjectivity is reduced
The review should be done quarterly and specifically focused on
feedback and coaching and hence should require the appraise and
the appraiser to have formal feedback session.