Performance Appraisal System In Bpos: A Field Study

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PERFORMANCE APPRAISAL SYSTEM IN BPOs: A FIELD STUDY

INTRODUCTION Forrester research predict that 3.3 millions US jobs to move offshore by 2015 Nasscon – mckinsey report says that total opportunity is at $148 billion India - 540000 jobs with revenue of $24.67 billion

3R RECRUITMENT RETAINING REWARDING

Rank Parameter 111

score Rank Parameter

score

Training

8.4

1

people

8.2

2

Overall satisfaction

8.3

2

Company culture

8.2

3

people

8.3

3

Overall satisfaction

8.1

4

Company culture

8.2

4

Training

8.0

5

Appraisal system

7.8

5

Composition satisfaction

7.6

6

Job content

7.7

6

Job content

7.5

7

Composition satisfaction

7.5

7

Appraisal system

7.5

8

Salary & compensation

7.4

8

Salary & compensation

7.1

REASONS FOR JOINING ORGANISATION  High growth opprtunity -51.8  Salary is good - 45  Good working environment – 44.9  Transport facility available – 38.6  Good benefits – 37.5  Job content – 36.2  College like atmosphere – 33.3

 Flexibility of time - 25.7  Can make a lot of friends – 22.6  Education level does not matter – 19.7  Attractive lifestyle – 18.9  Peers are of same age group – 17.7  Found nothing better to do – 10.2  Did not get a better job – 7.7

REASON FOR LEAVING ORGANISATION  For higher education – 42  Salary – 39.7  Timing – 35.1  For marriage – 33  No growth opportunity – 33  Illness – 27.2  Physical strain – 27.1

 No personal life – 24.6  Insufficient leave – 23.2  Uneasy relationship with peers - 12.5  Friends moving out – 10.8  Job contents – 9.9  Transportation - 6.8  Misguidance by the company – 5.1

CHARACTERISTICS OF GOOD PERFORMANCE MANAGEMENT  Career progression for all employees  Match between organizational goals & individual goals  Employees involvement in setting up of goals  A clear linkage between performance & appraisal

BPO-1

PERFORMANCE APPRAISAL SYSTEM  Frequency of performance appraisal

once in a year probation period  Focus of the appraisal system  Methodology of appraisal system HR Manager Report manager

 Performance parameters

Goals competencies  Rating  Feedback mechanism  Rewards

BPO-2

INTRODUCTION  This BPO handles inbound process.  Which means receiving calls from the

customers and solving there queries.

PERFORMANCE APPRAISAL SYSTEM 1. Frequency of performance appraisal 2. Focus of the appraisal system: KRA’s & KPA’s 3. Methodology of appraisal system: Structured

differently for different levels. 4. Performance parameters: Job knowledge, Adherence to schedule, Adaptability & flexibility, Communication, Interpersonal Skills & Customer Orientation.

1. Ratings 2. Feedback mechanism 3. Rewards

BPO-3

INTRODUCTION  It was founded in March 2004.  It is fully owned subsidiary of a leading

industrial conglomerate in India.  It is latest venture of this grp.  It caters to their internal needs/clients.  It is now catering to customer care requirements of grp. Of telecom Co.  It is operating with 3000 plus workforce.

PERFORMANCE APPRAISAL SYSTEM 1. Frequency of performance appraisal 2. Focus of the appraisal system 3. Methodology of appraisal system 4. Performance parameters 5. Ratings 6. Feedback mechanism 7. Rewards

BPO-4

INTRODUCTION  Has its offices in 3 southern cities which

provides data processing and customer service facilities.  There are 3 different types of organization structures : Matrix based BPO process based Functional based

PERFORMANCE APPRAISAL SYSTEM 1. Frequency of performance appraisal 2. Focus of the appraisal system 3. Methodology of appraisal system 4. Performance parameters 5. Ratings 6. Feedback mechanism 7. Rewards

BPO-5

INTRODUCTION  Part of a global IT services company specializing

in resting, development and certification solutions.  Provides quality assurance and third party

confirmation.  Maintains testing facilities in Europe, USA and

India.

PERFORMANCE APPRAISAL SYSTEM 1. Frequency of performance appraisal: After completion of 6 months from the date of joining thereafter once in a year. 2. Focus of the appraisal system: Responsibilities, Achievements and goals. 3. Methodology of appraisal system: Not disclosed

4.

Performance parameters: Performance in work, role as a team member, new technologies learnt.

5.

Ratings: Not disclosed

6.

Feedback mechanism: Only in case of disagreements.

7. Rewards: Not disclosed.

BPO-6

INTRODUCTION  A captive BPO- leader in the business Services

and Technology Solutions industry.

 Established in 1997 in India, operates in 4

countries with a workforce of 18000 plus employees.

 Its revenue in 2004 exceeded US$400 million.

PERFORMANCE APPRAISAL SYSTEM 1.

Frequency of performance appraisal: Once in a year. For trainees after probation period of 6 months.

2. Focus of the appraisal system: Productivity and Quality. 3. Methodology of appraisal system: Done by team leader and reporting manager once a month.

4. Performance parameters:  Handling time  ASA- Average Speed to Answer  ROC- Resolution On 1st Call  PNR- Problem Not Resolved 5. Ratings: Not disclosed 6. Feedback Mechanism: Exists. 7. Rewards: monthly as well as annual incentives are given.

BPO-7

INTRODUCTION  Subsidiary of a telecom company.  Leading domestic call centre providing

inbound and outbound services.  Start off operations in 1995 as a joint

venture with a global electronics giant.

PERFORMANCE APPRAISAL SYSTEM 1. Frequency of performance appraisal: 2 in a

yr, rewards on yrly basis.

2. Focus of the appraisal system: kpa’s for each

appraisal.

3. Methodology of appraisal system: def a list

of Job res of appraisee by apraiser, list of key achvmnts is cited by appraiser & later varified by appraisee.

PERFORMANCE PARAMETERS 1. Job: comm skills,contact ablity,planing,org. 2. General: punctual,absentism,cont for job,flexible. 3. Personal:ledrhip,tw,commitment,behav. 4. Feedback mechanism: signed by 2 parties.

COMPARATIVE ANALYSIS

1.

Frequency of performance appraisal:1,5,6:- yrly ; 7:-2 in 1 yr ; 2:- 4 in 1 yr; 3:- monthly ; 4:- acc to str.

2.

Focus of the appraisal system: productivity, goals, targets.

3.

Methodology of appraisal system: 1:-same; 4:-spcfic job & role, 2,3,6,7:-immediate supervisor.

4.

Performance parameters: focus on call,higher mngrl level, 3:kat ; 6:- pnr.

5. Ratings: 3:- not given ; 1&6:- retraining. 6. Feedback mechanism: 1,2,6:- part of

process others only for exception. 7. Rewards: 3:-most attractive.

RECOMMENDATIONS  Retaining & motivating employees are key

challenges.  Must consider best practices of other

companies at same situation.  Fair& relavant &link to tangible rewards.

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