PM & IR PROJECT
PERFORMANCE MANAGEMENT AT UNION BANK OF INDIA
Submitted To Prof. PANKAJ KUMAR
GROUP
Anup Gupta ABM02003
Arjun Balaji PGP21062
Harish Narayanan S PGP21071
Kaushik Prasad PGP21073
Navneet Bhaiyya PGP20185
Ramachandran R PGP21091
Sameer Bhat PGP21093
Shaktie Prakash PGP21094
Shashi Kant Ranjan PGP20195
Sumit Takkar PGP21096
TABLE OF CONTENTS
1. PURPOSE OF STUDY 3
2. PROBLEM DEFINITION 4
3. METHODOLOGY 4
4. CURRENT PERFORMANCE APPRAISAL SYSTEM 5
4.1 Appraisal Methodology 5
4.2 Incentivization 9
5. DEFICIENCIES OF THE CURRENT SYSTEM 10
5.1 Current Methodology 10
5.2 Current Performance Appraisal Report: 11
6. SUGGESTIONS AND CONTRIBUTIONS FOR IMPROVEMENT 12
6.1 Increase in evaluation frequency 12
6.2 Individual Parameters 13
6.3 Reducing Subjectivity 14
6.4 Involving the appraisee in the process 15
6.5 Making the appraisal form concise 16
6.6 Focus on future 16
6.6.1 Changing roles of HR Management 16
6.6.2 Focus on Innovative practices and innovation 18
6.7 Self Evaulation 18
7. CONCLUSION 20
8. REFERENCES 21
APPENDICES:
 EXSTING APPRAISAL FORMS: APA-1 TO APA-8
 KEY RESPONSIBILITY AREAS (KRAs)
1. PURPOSE OF STUDY
After employee selection, performance appraisal is the most important management tool
for the success and growth of any organization. The performance appraisal, when properly
carried out, can help to fine tune and reward the performance of present employee and
align the personal goals of the employee with the organizational goals.
Performance appraisal for evaluation using the traditional approach has served the
following purposes:
 Promotion, separation, and transfer decisions
 Feedback to the employee regarding how the organization viewed the employees
performance
 Evaluations of relative contributions made by individuals and entire departments in
achieving higher level organization goals
 Criteria for evaluating the effectiveness of selection and placement decisions, including
the relevance of the information used in the decisions within the organization
 Reward decisions, including merit increases, promotions, and other rewards
 Ascertaining and diagnosing training and development decisions
 Criteria for evaluating the success of training and development decisions
The age old performance appraisal systems in many of India public sector banks play the
traditional role well. But the present situation demands much more from the performance
appraisal system, because of which the system need to be dynamic and needs to be
revamped over a period of time. Hence the purpose of this study is to analyze the current
appraisal system, and suggest some changes in the methodology and in the performance
appraisal form which can address the problems enumerated in this study.
2. PROBLEM DEFINITION
The traditional performance appraisal system present in union bank of India (with about
26000 employees) serves the regular purposes of control, promotion decisions, reward
decisions, feedback etc. But the fallacies in the appraisal system like subjectivity,