A Project Report On Performance

Appraisal At National
Hydroelectric Power Corporation
Ltd.

SUBMITTED TO:

GURU JAMBESHWAR UNIVERSITY, HISSAR

IN THE ABLE GUIDANCE OF
MR.SOUMITRA MOOKHERJEE

SUBMITTED BY:
GEETIKA RANA
MBA (IV SEMESTER)
(2005-2007)
UNIVERSITY ROLL NO. - 05061241062

STUDY CENTRE

NIMS: NETAJI SUBHASH INSTITUTE OF MANAGEMENT

SCIENCES

CERTIFICATE

Certified that the work done by the candidate is original

and is of the standard expected for the MBA student

Name of Project Guide

Name of the student

Mr. Soumitra Mookherjee

Geetika Rana

Signature of Project Guide

Signature of the student

..

Table Of Contents
Acknowledgement
Introductions to NHPC
NHPC-An overview
Objective
Mission
Vision
Agenda
Values
Profile
NHPC-Environment Policies
NHPC-Quality Policies
Management Test
Projects of NHPC
Investment Aspects
Hydro Power Projects and Submerge
Performance of the company in 2002-03
Achievements of NHPC
Expertise of NHPC in Hydroelectric projects

Looking Ahead
# Tenth Plan (2002-07)
Company profile of Punj Lloyd
Performance Appraisal in Punj Lloyd Ltd
Objective of Performance Review in Punj Lloyd Ltd.
Period of Review
Forms used for Performance Appraisal
Objective Of the study
Human Resource Development
Objective of Performance Appraisal
Performance Appraisal of NHPC
Performance Evaluation, Potential Evaluation
Ingredients of Factors
Conclusion
Bibliography

Acknowledgement
I take pleasure in submitting the Survey Report titled A Project Report on
Performance Appraisal at National Hydroelectric Power Corporation" as part of
my project work.
I express highly indebted attitude gratitude to Mr. Soumitra Mookherjee
(Sr.Faculty Mgt. Studies), my project who directed and co-operated in
accomplishing this piece of task. We are thankful to him for his kind support to us.
In the end I would like to express my deepest gratitude to the entire faculty members of
NIMS who have been guiding force behind this project and encouraged us for successful
completion of the industrial training. I wish to express my appreciation to all those

with whom I have interacted and whose thoughts and insights helped me in
furthering my knowledge and understanding regarding this study.

However, I accept the sole responsibility of any possible errors of omission.

Geetika Rana

Introduction to
NHPC
NHPC-An Overview
National Hydroelectric Power Corporation was incorporated under the companies at 1956
in November 1975 as a central government enterprise with the initial authorized share
capital of Rs.2000million for hydro power development in central sector. Since then,
NHPC has become the largest organization of hydro power development in India, with
capabilities to undertake all the activities from conceptualization to commissioning in
relation to setting above hydro projects.
The corporation included Wind and Tidal power in its objects in 1998 and geothermal
and gas power in 1999 and is also preparing to take up mini-micro hydro projects.
NHPC is a schedule A Enterprise of the government of India with an authorized share
capital of Rs.100, 000 million. With an investment base of over Rs.120000 million,
NHPC is among the top ten companies in the country in terms of investment.

About NHPC System

NHPC ltd. Is a leading public sector power company established under the companies act
1956 with the initial authorized share capital of Rs.2000 million for hydro power
development. NHPC Ltd. Is spread throughout the Indian subcontinent, and abroad in its
various project sites, These projects as well as the corporate office have to invite tenders
from qualified contractors/companies to fulfill their requirements. NHPC has a network
of around 900 PCs located at the corporate office and projects and integration of these
a computer to maximize the benefits is underway. A VSAT based closed user group
satellite communications network has been implemented for connecting corporate office
and project and the network supports voice/data/fax communication. In addition, long
distance satellite telephones and INMARSAT phones have been provided for efficient
communication network in the organization.
IN A NUTSHELL NHPC HAS WORLD CLASS EXPERTISE AND POTENT FOR
EXECUTION OF HYDROELECTRIC PROJECTS OF ANY SIZE FROM CONCEPT
OF COMMISSIONING.

Objective

To Harness the vast hydro potential of the country along with the Wind and Tidal
Power in all aspects to produce cheap, pollution free and inexhaustible power.

To play a significant role in the integrated and efficient development of hydroelectric

power in the central sector covering all aspects- investigation, planning, design,
construction, operation and maintenance.

To generate sufficient internal resource for short term and long term financing foe
expansion of existing and setting up a new project.

To formulate strategic long term corporate plan to achieve desire growth of the
activities of the corporation commensurate with national objectives.

To continue efforts to maximize output and generation at the least economic cost.

To complete all ongoing projects without any time and cost over runs

To achieve suitable organizational development through effective HR development.

Mission
The mission of NHPC is to harness the vast hydro potential of the country along with
Wind , Tidal, Geothermal and Gas power in all aspects to produce cheap, pollution free
and inexhaustible power. NHPC would play a significant role in the integrated and
efficient development of Hydroelectric power in the central sector covering all aspects

such as investigation, planning, Design, construction, operation and maintenance of

hydroelectric power projects.

Vision

Clear power for everyone.

To be a world class organization in hydroelectric Wind, Tidal and Geothermal Power

with dominate Indian leadership and global presence.

Preservation of the environment matrix and biodiversity in the project area as well as
protecting rights of project affective people (paps ).

Agenda
NHPC vision for the new millennium is to provide the best solution to match Indias
energy needs without disturbing sensitive environments.

Values

Respect the individuality

Be a model Employer

Efficiency, Profitability, Cost, consciousness

Concern for environment and ecology.

Innovative entrepreneurship.

Sensitivity to feedback.

System Approach

Performance of the company

ENVIRONMENTAL POLICY OF NHPC

OUR AIM
To add the environmental concerns in hydro power development.
To maintain and continually improve environmental management system to conform of
international standards.

OUR COMMITMENTS
To comply with legal environment required.
To prevent pollution from our activities.

OUR ENDEAVOUR
To make optimum utilization of natural resources.
To motivate employees for the cause of environment.

QUALITY POLICY OF NHPC

OUR AIM
Development of vast hydro potential at fast pace and optimum cost.
Concentration of cheap, clean and reliable power through hydro electric project.

OUR COMMITMENTS
To comply with various requirements of hydro power generation.
To continuously improve the effectiveness of quality management

system(QMS) and the

related process.

OUR ENDEAVOUR
To maintain optimum gestation period for project development by reducing the processing
time at relevant function.
To increase productivity through systematic operations and preventive maintenance.
To improve employee performance through training and motivation.

MANAGEMENT TESTS
This group of test predicts a persons potential for success as supervisor, middle manager
or senior executive. These instruments ranges from individual test to group of test that
make up a test battery

MANAGEMENT READINESS PROFILE

Identifies persons with managerial potential by assessing the following six personality
traits:

Management interest

Leadership

Energy level

Practical thinking

FLEISCSMANS LEADERSHIP OPINON QUESTIONAIRE

It provides a self report measure of two important dimension of supervisory leadership.
Consideration and structure, consideration refers to leaders levels of rapport, mutual
trust and two way communication with subordinates. Structure refers to the leaders
tendency to initiate ideas sets standards and plan or direct a group to word organizational
goal.

Self Appraisal by Employees

Employees of the rank of Deputy Manager and above are required to review their own
performance according to their own judgment. They have to mention Key Result areas
undertaken/supervised by them, significant contribution made by them and areas in which
they think need training for better performance.

Part-II contains factors analysis in which their appraiser rates their appraise on various
factors on the scale of 1 to 5, where
1.
2.
3.
4.
5.

Stands for unsatisfactory.

Stands for Average.
Stands for Good.
Stands for Very Good.
Stands for Outstanding.

The appraiser are required to mention specific incidents if the rating is 1 or 5.

Part-III contains training/development/potential review. In this section the appraiser

has to mention the specific strengths and areas of improvement and areas in which the
Appraise needs training. Then there are recommendation by the appraiser and reviewer
and finally the SBU Head on the assessment made by the formers.

INVESTMENT ASPECTS
The completion cost of some of the hydro power projects

NAME OF THE
PROJECT

CAPACITY

(MW)
Baira siul (HP)
180
Lok Tak (Manipur)
105
Chamera-I (HP)
540
Kopili (N.E)
250
Lower Periyar (Kerala) 180

COMPLETION
COST

COST/MW

(Rs in Cr)
148.08
117.14
2114.02
373
326

(Rs in Cr)
0.82
1.11
3.91
1.492
1.81

HYDRO POWER PROJECTS AND

SUBMERGENCE
NAME OF PROJECT
STATE

CAPACITY(MW)

Chamera-I
Chamera-II
Parbati-II
Tanakpur
Dauligang-I
Rangit
Teesta-V
LoktakD/S
Uri
Dulhasti
TOTAL

540
300
800
120
280
60
510
90
480
390
3570

HP
HP
HP
Uttaranchal
Uttaranchal
Sikkim
Sikkim
Manipur
J&K
J&K

SUBMERGENCE
975
25
27
140
29
13
68
257
Nil
85
1619

\\

Performance of the
Company In 2002-03

Performance Highlights 2002-03

Record net profit (Un Audited) of Rs.511.40 crores, an increase of 8.6% over 20012002

Highest budgetary support received from Government of India Rs.875 crores

Achieved sales turn over of Rs.1327.45 crores.

Operating power stations generated 9863 million units of energy.

Power stations achieved a capacity index of 96.62%.

Paid an interim dividend of Rs.50 crores to the Government of India.

Realized Rs.1381.58crores from the beneficiary States.

Work on the 300 MW Chamera Stage-II Project in Himachal Pradesh ahead of

schedule and likely to be commissioned in June 2003.

Work on 510 MW Teesta Stage-V project in Sikkim ahead of schedule.

Survey and investigation works on projects with a total installed capacity of over
25000MW in Siang, Subansiri and Dibang River basins in Arunachal Pradesh
progressing as per schedule.

Authorized share capital increased to Rs.10000 crores.

Consultancy assignments worth Rs.2668 Lakhs received.

Tripartite Agreements signed with 24 states for one time settlement of dues

ISO-9001:2000 and ISO-14001:1996 awarded to NHPC Corporate Office.

Achieved EXCELLENT performance as per MOU targets.

Employees given extensive raining in various fields and achieved 25387 man days
against the MOU target of 8500 man days.

Shree Nand Lal Nishad, employee of NHPC awarded Prime Ministers Shram Vir
Award-2001.

For Public Sector, NHPC Pavilion adjudged 1st for excellence in display in the India
International Trade Fair 2002 and awarded gold medal.

For progressive use of Rajbhasha, NHPC bagged VIDUT RAJBHASHA

SHIELD (2nd Prize) and RAJBHASHA VAIJAYANTI SHIELD (1st prize).

Achievements of NHPC
NHPC has been appointed as Lenders Independent Engineer by Industrial Finance
Corporation of India Ltd. (IFCI) for 400 MW Maheshwar H.E. Project against stiff
international competition for a consultancy fee of Rs.163.45 Lakhs. Maiden entry of
NHPC as Consultant to Financial Institutions for the Projects in the Private Sector. NHPC
has been appointed as Lenders Independent Engineer by ICICI for 300 MW Baspa-II
HE Project against stiff international competition for a consultancy fee of Rs.164 Lakhs
in Himachal Pradesh appointed by IFCI (now lead bank is ICICI Ltd.).
Development of Software packages in F& A areas for BBMB Ltd. For a total fee
of Rs.24.33 Lakhs.
Techno-Commercial Evaluation of the offer received by DVC from M/S
ALSTOM-BHEL Consortium, techno-commercial negotiation, associating in
joint inspection and witnessing of major tests for refurbishment of Hydel Unit
for Maithon HE Project of Damodar Valley Corporation (DVC) for a total fee of
Rs.157.50 Lakhs
Techno-Economic Feasibility Study of Earthen Dam to be constructed
downstream of the existing concrete Dhanikari Dam for water supply to Port Blair
for Andaman & Nicobar Administration for a total fee of Rs 42 Lakhs.
Annual Maintenance Contract for Software Packages in F& A areas for M/S
Nathpa Jhakri Power Corporation Ltd.

 Assistance for Indirasagar & Omkareshwar HE Projects of NHDC Ltd. For a

consultancy fee of Rs.349.43 Lakhs

Commercial Management for Nathpa Jhakri HE Power Project of NJPC Ltd. For
a consultancy fee of Rs37.81Lakhs
Design and Engineering of Electro-Mechanical Works for the Nathpa Jhakri
Hydroelectric Power Project of NJPC Ltd for a consultancy fee of Rs.38.40 Lakhs.
Operation and Maintenance for Nathpa Jhakri Hydroelectric Power Project of
NJPC Ltd for a consultancy fee of Rs37.10 lakhs.
Generating Equipment review and Erection Review for Nathpa Jhakri
Hydroelectric Power Project of NJPC Ltd for a consultancy fee of Rs32 lakhs.
Development of EDP & Communication Infrastructure for Nathpa Jhakri
Hydroelectric Power Project of NJPC Ltd for a consultancy fee of Rs68 lakhs.
Feasibility Study for six Mini/Micro Hydroelectric Power Projects in Andaman
& Nicobar Island for A7N Administration for a consultancy fee of
Rs.17.25Lakhs.
Feasibility Study of Kalpong Downstream HE Project in North Andaman &
Nicobar Island for A & N administration for a consultancy fee of Rs.25 lakhs.

Expertise of NHPC in Hydro

Electric Projects
World class expertise in design & engineering of hydroelectric
project.
Construction of underground of medium to large dimension in all
types of rock condition.
Construction of medium to large diversion structure.
Handling sophisticated indigenous as well as imported construction
equipment.
Tackling operation and Maintenance problem of hydro-electric
projects particularly in Himalayan regions.
Equipped with state of art equipment and techniques. Investigation of
projects and preparation has detailed project reports.
Information Technology and Communication.

Looking Ahead
Despite of the fact that HE Projects are recognized as the most economic and preferred
source of electricity, share of hydropower in the total installed capacity in India has been
declining steadily since 1963. The hydro share has declined from 44%to in 1970 to 24%
in 1999. The ideal hydrothermal mix should be in the ratio of 40:60 and present
imbalance is largely responsible for the system in stability. In order to reverse the trends
and given the renewed trust on hydropower by the Government, NHPC has drawn up a
massive capacity addition plan in hydro sector up to 2017.

Tenth Plan,(2002-07)
Projects to be completed in tenth plan (2002-07)

S.N
o.

Projects(State)

Total
Capacity(mw)

1
2
3.
4.
5.
6.
7.
8.
9.

DULHASTI(J&K)
CHAMERA-II(H.P)
DHAULIGANGA-I(U.P)
TEESTA-V(SIKKIM)
SEWA-II(J&K)
BAV-II(MAHARASHTRA)
INDIRASAGAR(NHDC)(M.P)
TEESTA LOW DAM STAGE-III(WB)
OMKARESHWAR(NHDC)(M.P)

390
300
280
510
120
37
1000
132
520

10.
11

PURULIA PSS(WB)
TEESTA LOW DAM STAGE-IV(WB)

900
168

Company Profile of PUNJ LLOYD

Punj Lloyd Ltd. Is a front line engineering construction company engaged in a diverse
range of project activities in India and abroad. It has executed over 400 industrial
projects worldwide in sections such as Oil and Gas, chemicals, Petrochemicals
complexes and significant industrial civil projects in diverse sectors such as nuclear and
gas based fiber plant, aviation industry, fertilizer etc.
Punj Lloyd Ltd., was promoted in 1989 by Shri .SNP Punj along with his two sons Atul
Punj and Udai Punj. Its main task was to provide infrastructure for Oil And Gas sector
through pipeline construction and turn key construction projects.
Over the period, the company has built itself as a premier force in engineering and
construction, in recognition of its quality system standards. Punj Lloyd Ltd, has been
awarded 9002 certificate in 1985 by DNV, Netherlands for installation of cross country
pipelines from a tank ages, Civil construction, implant piping, mechanical, electrical and
instrumentation work on turnkey and conventional basis.

Performance Appraisal in Punj Lloyd Ltd.

In Punj Lloyd Ltd. A much importance is attached to performance appraisal system right
from the planning stage to the execution. The company makes every effort to motivate
the employees to perform at the optimum level and hence endeavors to suitably place the
employees in the organization depending upon their education, experience, skills,
aptitude and potential. Performance appraisal is one such exercise conducted by the
company to know the performance of its employees and take appropriate measures to
develop their to meet individual aspirations for career growth and organization need.
The company has developed a systematic appraisal system for its employees which
provides for an objective assessment of the employees performance. The period of review
is one calendar year.
Performance appraisal system in Punj Lloyd was introduced from the year 1993-94 and
as such is still in its development stage. An effort is made to improve upon the system
based upon feedback from various sources.

.OBJECTIVES OF PERFORMANCE
REVIEW IN PLL

The overall objective of the performance review system is to ensure that each
employee is guided and developed in such a way that the company obtains the
maximum benefit from his abilities throughout his career, while at the same time,
providing for the employees the maximum job satisfaction and growth
opportunities.
Performance review provides an in insight to training needs and potential of
employees who have capabilities to progress further and who can shoulder
responsibilities of higher position.
The system also helps in reaching a realistic evaluation of performance of an
employee based on relevant data at the end of performance review year.

Period Of Review
Review period is from 1st January to 31st December.

FORMS USED FOR PERFORMANCE

APPRAISAL
To have an objective assessment of the employees at various levels, formats have been

designed keeping in view the nature of job and work requirements. Therefore, four types
of annual appraisal forms are used covering four categories as follows:
1.
2.
3.
4.

Deputy Manager and Above

Supervisor to senior engineer and Equivalent
Non-Supervisory staff
Housekeeping, security, maintenance and workers.

Factors Assessed
The factors assessed for each category are as follows
# Deputy Manager and above
a)
b)
c)
d)
e)
f)
g)
h)
i)

Group performance
Job competence
Planning and execution
System discipline
Cost consciousness
Initiative
Communication
Leadership
Interpersonal relationship

# Supervisor to Sr. Engineer and equivalent

a)
b)
c)
d)
e)

Job competence
Work attitude
Interpersonal relationship
Initiative/creativity
Communication

# Non-supervisory staff
a)
b)
c)
d)

Overall work
Attitude to Work
Discipline
Honesty and sincere towards job and company

# Housekeeping, Security, Maintenance and Workers

a)
b)
c)
d)

Overall work
Attitude to work
Dependability
Discipline

Part-I requires the appraiser to give a brief description of the nature of appraisers
work, major assignments carried out by him during the assessment year, significant
achievements and contributions made by him and if he is capable of handling other areas
of work.

OBJECTIVE OF THE STUDY

To understand the various functions and the overall working of the

Human Resource Department.
To evaluate the effectiveness of the existing system of performance
Appraisal in NHPC.
How the training need are identified from Appraisal forms.
To evaluate the effectiveness of these training needs after there
fulfillment.

CONCEPT OF HUMAN RESOURCE

DEVELOPMENT
Globalization and liberalization has brought into focus the basic issues that are being
faced by organization today and perhaps the greatest challenge to the corporate sector in
the coming years will be the management of its people. This is an acknowledgement of
the fact that it is the people and not machines and materials that must run the
organization. Equal access to capital, technology and market is forcing organization to
reply on their people as the only source of competitive advantage today. There has been a
growing recognition of this valuable asset - the human beings in an organization and has
led to the use of expression human resource development replacing personnel
management.

It is the greater demand being made by customers that is making people increasingly
important. Because they are both the source and conduit of knowledge, it is the people
who lie at the heart of the core functions of the corporation, as well as of the management
initiatives that are shaping its operations.
As Adi Godrej, CEO Godrej Soaps, puts it "all corporate strengths are dependent on
people.
So people are crucial because
The exclusive source of knowledge for organization is people.

1) -

Individual knowledge is the starting point for organizational knowledge.

The knowledge pool for each individual cannot be replicated.
Only people can spread knowledge resources across the company.
It is only people who can convert knowledge into efficient action.
In the organizational context, HRD has been defined as - ~'a process
in which the employees of an organization are continuously helped
in a planned way to

2) - Acquire or sharpen capabilities required to perform various tasks and

functions associated with their present or future expected roles;
3) -

Develop their general capabilities as individuals so that they are able to discover
and exploit their own inner potential for their own and/or organizational purposes;
and Develop an organizational culture where superior-subordinate relationship,
teamwork and collaboration among different sub-units are strong and contribute to
the organizational health, dynamism and pride of employees."

Thus HRD means the growth of individual and hence of the organization. Coalescing
corporate needs with the individual is crucial. Individual bring into the corporation their
own ambitions. As a result human resource function has acquired a new and crucial
responsibility; ensuring those corporate and individual objectives are melded into one.

Corporate goals must factor in individual career growth.

Company profits must be linked to personal rewards.
1) -

Organizational learning must involve employees training.

Job responsibilities must facilitate personal development.

2) -

Business strategies must consider human resource issues.

Performance Appraisal is the systematic, periodic and an impartial rating of an

employee's excellence in matters pertaining to his present job and his present job and his
potential for a better job. It is the process of obtaining, analyzing and recording
information about the relative worth of an employee; it is a process of evaluating an
employee's performance, of a job in terms of its requirement. It is the process of
estimating or judging the value, excellence, qualities for the purpose of administration
including placement, selection for promotions, providing financial rewards etc.

The appraisal and reward system must be so designed that exacts the best people, retains
them and motivates them to give their best. Today, rewards for an employee - covering
both monetary compensation and non-monetary recognition must fulfill four objectives:
They must meet his basic needs and conform to the three parameters of external equity,
internal equity and individual equity. The first of these must ensure fairness vis--vis
compensation standards in the industry. The second must ensure a fair deal for him within
the organization in comparison to his colleagues. And the third must reward his unique
contribution to the company.

OBJECTIVE OF PERFORMANCE
APPRAISAL

The main objectives of Performance Appraisal are as follows:

1)- To Provide feedback to employees so that they come to know where they stand and
can improve their job performance.

2)

To provide a valid database for personnel decisions concerning placements,

pay,

promotions, transfer, punishment etc.

3) To diagnose the strengths and weaknesses of individuals so as to identify further

Training needs.

4) To provide coaching, counseling, career planning and motivation to subordinates.

5)

To develop positive superior - subordinate relations a3ad thereby reduce grievances.

6) To facilitate research in personnel management.

7)

To test the
induction pro.

effectiveness

of

recruitment,

selection,

placement

and

Performance Appraisal
of NHPC
Employees are the Corporation's most precious asset and like all assets need to be
periodically appraised. This appraisal is in fact a continuous process, though the
results of such appraisal are recorded at prescribed intervals.
The appraisal is both in the interest of the organization as well as of the
individual in that it should enable both to know the strength and weakness of the
employees and take necessary action as warranted by the requirements of the
organization and individual growth. The need for an honest unbiased and frank
appraisal of employees at regular intervals is accepted in all organizations, though
the systems adopted for assessment might be different.
The following general instructions regarding the periodicity, recording, custody
etc. of

the Performance Appraisal are laid down for observance in the Corporate

Office, Projects / Units:

1.1 FORMATS
The forms as indicated below will be used for writing the Performance Appraisal:
For Cadre Employee:
a) For Executives Form I
For Non-Executives/Work charged Form il
b) For deputationist:
Forms as prescribed by the respective lending Organizations
.
1.2 PERIODICITY
a) For executives, the reports will be written for year basis i.e. 1st January to 31st
December.
b) For all other employees including workcharged, the reports will be written for 12
months period on financial year basis i.e. 1st April to 31st March.
b) For deputationists, the 12 months period will be reckoned as prescribed by their
parent departments.

1, 3

RECORDING/COMPLETING OF APPRAISAL
a) Deputationists
Action will be initiated by the P&a Wing of Corporate Office/Projects, to procure

the Necessary forms from

the concerned lending organizations two months before the

expiry of the period for which, the appraisal is to be recorded. On receipt of the forms
and after filling in the relevant particulars, the same will be passed on to the concerned
officers for recording the appraisal. Performance Appraisals of all executives duly
completed with an extra copy to be retained in the
Corporate

Office,

will

be

sent

by

the

Projects/Units

to

Corporate Office (in sealed cover by name to General Manager (P&A)/Chief (P&A)
for onward transmission to the lending organizations. A copy of the Performance
Appraisal may be kept by the Project for their reference before sending to the
Corporate Office.
Performance appraisal of non-executive deputationists will be sent to the lending
Organizations directly by P&A Wing of the respective Projects/Units after retaining
copies for reference.
c) Cadre Employees
P&A Wing in the Corporate Office/Projects will forward to the respective
departments, the forms with relevant particulars of employees duly filled in.
Completed Appraisals will be returned in time to the Head of respective P&A by
name by the concerned department.
d) P&A Wing will scrutinize all Appraisals to ensure that the same are complete in
all respects. Incomplete Appraisals will be returned and got completed from the
respective Officers before taking further action thereon.
Performance Appraisals in respect of all cadre Executives will be forwarded by the

Heads of P&A Wing in the Projects to the Corporate Personnel Wing in time, after
retaining a copy thereof for Project reference.
e) Performance appraisal of an employee will be written by the Initiating Officer
only when the employee has completed at least three months with the Initiating
Officer. When an Officer (Initiating Officer) is transferred to another Department /
Project / Unit, repatriated to his parent organization or leaves service of Corporation,
the Performance Appraisals of the staff who have worked under him for a period of
three months and more should be got completed by him before his release.
f) When an employee is transferred very frequently and does not complete even
three months with any Initiating Officer, a Certificate to the effect that the
Performance Appraisal of such employee has not been written as he did not work
with any officer for at least three months, will be inserted in his Performance
Appraisal dossier under the signature of his present immediate Officer. However, if
the present Initiating Officer or the Reviewing Officer is of the opinion that he can
comment upon the work and conduct of such an employee he may record his
comments, alternatively, a certificate may be recorded that the employee's appraisal
for the previous year may be taken as his appraisal for the current year also and
placed in the Performance appraisal Dossier of the employee.

1.4 INITIATING / REVIEWING OFFICER

Generally, the Appraisal will be written by an officer called the "Initiating
Officer". Reviewed by a superior officer called the "Reviewing Officer" and
accepted by the next higher Officer called the "Accepting Officer".

However, in respect of the personal staff attached to General Managers/Heads of

Departments Directors/Chairman and Managing Director, Initiating, Reviewing and
Accepting Officer will be the same.

NOTE 1:
The appraisal as a rule be initiated by the officer directly supervising the work of the
employee reported upon. in a case where there is no initiating / reviewing officer at the
level indicated above, the appraisal will be initiated / reviewed by an officer in the next
higher

scale,

which

is

in

direct

supervisory

charge,

and

reviewed

by

another officer who is in the higher scale than the initiating officer. (clarification issued
vide

NOTE 2:
CMD will be the accepting officer in respect of Sr. Manager/Managers posted in
Divisions where Chiefs /General Managers are reporting direct to him.

1.5 GENERAL INSTRUCTIONS

1. Appraisal should be objective assessment of the capability, performance,
personality, strength and weakness of the employee reported upon. Vague and
ambiguous remarks should be avoided.
2. Tendency to over-rate / under-rate should be guarded against. In any group of
people, generally about 10% can be expected to be outstanding performers, an equal

number as low and below average performers, while the remaining 80% can be
expected to be average or high average performers. While no percentage for writing
the performance appraisals can be fixed; the following may be kept in view, as
guidelines, while rating the assesses:-

Outstanding

10%

Above
Average

20%

High
Average

30%

Average

30%

Low
Average

05%

Below
Average

05%

Average report does not debar a person from promotion.

3.

The assessment should be based on sufficient evidence reflected during the period
under review. It should be fair and accurate. Personal bias should not operate in
assessing an employee.
The assessment of an employee should not be based on a recent incident or two

during the assessment period but on his performance throughout the period under review.
4.

Appraisals with Low and Below Average or Outstanding ratings must be

supported by positive reasons / work done leading to the said rating.

5.

In case of difference of opinion between the initiating & Reviewing officer, the

assessment of accepting officer will stand.

6. Notwithstanding any other instructions, all Low and below average and outstanding
appraisals in regard to non-executives / executives will be submitted to the Chief
Engineer or General Manager / Chairman & Managing Director respectively.
7. The substance of an adverse remark in the appraisal will be communicated to the
reportee in writing (in the Performa specimen enclosed as Annexure-!) by the
initiating officer and the fact of such communication noted on his appraisal, within 30
days from the date of acceptance of the appraisal. In exceptional cases, if the
accepting officer feels that communication of adverse remarks will serve no useful
purpose and may only discourage the reportee; he should submit the case for orders of
his next superior officer unless the accepting officer is himself a Director/General
Manager or the CMD.
8. A score of 3 marks or less against quantifiable factors will constitute an adverse
remark and will be communicated to the assessee. In regard to factors which are not
quantifiable, what constitutes 'adverse remark' will be decided by the Accepting
Officer, whose decision will be final. The accepting officer will clearly spell out in
the Appraisal itself the adverse remarks to be communicated.
9. Appeals, if any, against, ' adverse remarks' will be submitted within 30 days from the
receipt of such remarks by the employee concerned.
10. The power to expunge the adverse remarks will lie with Chief Engineer or General
Manager in the case of non-executives and Chairman & Managing Director in the
Case of executives.

1.5 CUSTODY
Custody of Performance Appraisals will be with officers as indicated below:
a.

Executives / Central Cadre Supervisors.

In respect of Chief/Chief Engineer / General Manager and above Chairman &

Managing Director
In respect of St. Manager/Manager General Manager (P&A)
In respect of all other Executives Manager (P&A) & other Central Cadre Supervisors
Corporate Office
b. Non -Executives in Projects / Units
Non - Executives in the Projects/Units Officers-in-charge of P&A Wing
Non-Executives in the Corporate Office Manager (P&A)

1.6 The development of an officer is the direct responsibility of the officer under whom
the individual is working. It is, therefore, the paramount duty of the reporting officer to
counsel the assessee once a quarter, on various inadequacies and ways to overcome
them. He should also keep a tag on the progress made by the assessee .The personal
record of such counsels and responses may be kept by the Reporting Officer as an aid
to annual Performance Appraisal.

Emp.

No.
NATIONAL HYDROELECTRIC POWER CORPORATION LTD.
(A
Government
of
India
Enterprise)
PERFORMANCE APPRAISAL FOR EXECUTIVES
Appraisal for the period
Fromto

1.

Name

2.

Designation and since how long in this post

3.

Project / Divisions / Units

4.

Present Scale of pay / Basic pay (From)

5.

Academic and Professional Qualifications

6.

Total days of leave taken during the year

7.

Date of joining NHPC

8.

Self appraisal by the assessee (if the space is sufficient, please attach a separate

sheet)
a)

What were the targets / tasks/duties assigned to you to be achieved?

b)

Achievement against assigned targets/tasks/duties

c)

Reasons for shortcomings and your suggestions for overcoming the same

d) Do you really feel that your time is fully utilized and if not, how much more and
what other work of your interest could be assigned to you?
e)

Do you think that you are in the right job? If not, would you suggest a Division /

Section to which you should be assigned to realize better results?

f)

What are the training programmes that you have so far attended? Briefly indicate to

what extent you have been benefited by these programmes

g) Efforts made by you to train person(s) working with you
PERFORMANCE EVALUATION
1.

PROFESSIONAL ABILITY
Possession

of
its

professional
updating;

ability

in

knowledge

and

skill

applying

knowledge

and

and
skill

to

carry out tasks,

2.

JOB RESPONSIBILITY
Meeting targets; shouldering responsibility; understanding all phases of work; extent

of

follow up required

3.

QUALITY OF WORK
Thoroughness,

accuracy

and

general

excellence

output; extent of work free from errors; consistence of output under varying
conditions
4. INITIATIVE
Ability to be self-reliant and resourceful; ability to carry out task without outside
guidance' innovative
5. COST CONSCIOUSNESS

of

Efforts towards optimum utilization of available resources and elimination of waste

6.

INNOVATIVE THINKING
Generation

of

ideas,

grasping

problems

and

evolving

relevant solutions
7.

COMMUNICATION (WRITTEN & ORAL)

Skill

to

give

and

receive

instructions

accurately,

ability

to present issues lucidly, sharing information with all

concerned.
8. DECISION MAKING
Ability to decide logically; quickly and correctly
9. INTER PERSONAL RELATIONS
Attitude

towards

and

degree

of

co-operation

with

colleagues, subordinates and seniors

10.

LEADERSHIP
Ability

to

motivate

others,

sensitivity

to

the

needs

and

problems of others, acceptance by the group

11.

DISCIPLINE
Adheres

to

expected

standards

of

conduct,

follows

instructions, is punctual and responsible

12. TRAINING
Training

in

specific

areas

required

to

improve

performance in present job

13.

INTEGRITY
Honesty,

sincerity
Corporation.

towards
If

the

"Questionable"

job
give

and
data

the
facts

as

supportive evidence.
OVERALL EVALUATION
Outstanding
Very good
Good
Average
Poor
POTENTIAL EVALUATION
Evaluate the employee's overall potential for holding a position of higher
responsibility on the basis of your observation of the employee's functioning in the
present position.
INGREDIENTS OF FACTORS
9, (i) Professional ability
a) Does he have adequate professional knowledge and does he update it?
b) Does he have adequate professional knowledge in related areas?
c) Is he effective in applying professional knowledge?
d) Is he seen as a resource man by others? e) Is he quick to recognize
opportunities, think originally and initiate new ideas?

ii) Administrative ability:

a) Does he understand objectives and develop realistic and workable plan of action
in relation to tasks assigned?
b) Does he distribute and assign work properly?
c) Does he direct and co-ordinate efforts effectively?
d) Does he initiate corrective action, when necessary and develop new procedures
and systems to meet requirements of optimization?
iii) Work Target Responsibility:
a) Is he willing to assume responsibility?
b) Does he display vigor in carrying through to completion?
c) Has he produced results commensurate with the manpower and other resources
keeping the constraints in view?
d) Has he completed assigned tasks in expected time?
iv) Quality of work:
a) Has his work shown accuracy & clarity?
b) Has his work been systematic?
c) Has his work shown constructive imagination, initiative and innovative approach?
v) Decision Making
a) Is he able to grasp problems?
b) Does he think out and critically examine alternative course of action in the light of
relevant facts?

c) Does he take timely and sound decisions?

d) Does he take decisions willingly at his level, or does he pass on the buck?

vi) Leadership;
a) Is he sensitive to the needs and problems of others including their needs to
develop?
b) Is he receptive to their ideas and suggestions?
c) Is he considerate and fair?
d) Is he accepted by the group?
e) Has he provided professional guidance willingly and developed his subordinates
professionally?
g) Has he motivated his subordinates to produce desired results?
vii) Moral standards:
a) Is he principled?
b) Does he keep the interest of the organization above his own?
c) Does he have the courage of conviction?
viii) Communication Ability:
a) Does he receive and give instructions accurately?
b) Does he present issues unambiguously/lucidly in writing?
c) Does he keep his juniors, seniors and associates well informed about work

matters?
ix) Inter - personal relations:
a) Does he adjust to new or changing situation and cooperate well with colleagues
and seniors?
b) Is he accepted and does he make due contribution as a member of the group?
c) Does he use problem solving skills to settle differences with others, consistent with
organizational objectives?
x) Punctuality
a) Does he reach his office/work site in time?
b) Does he normally reach his office work site before time?
c) Does he insist on his subordinates coming in time or does he allow laxity?
d) Does he keep his appointments? Is he in time for meeting, conferences, etc.?
xi) Discipline
a) Is he disciplined himself i.e. unquestioned compliance with authority and obedient?
b) Has he instilled a sense of discipline in his subordinates?
c) Is he involved in any enquiry or fray?
d) Has any disciplinary action been initiated or pending against him?
xii) Dependability/Loyalty:
a) Does he speak well of the organization?
b) Is he faithful to you?
c) Is he faithful to the men working under him?

d) Is he faithful to others working in the Organization?

xiii) Integrity:
a) Is he exceptionally honest and above board?
b) Is he honest and dependable?
c) Is he generally honest and fair in his dealings?
CONFIDENTIAL
FORM II
NATIONAL HYDROELECTRIC POWER CORPORATION LIMITED
(A GOVERNMENT OF INDIA ENTERPRISE)
PERFORMANCE APPRAISAL FOR NON-EXECUTIVES
Appraisal for the period
fromto
1. Name
2. Designation and since how long in this post
3. Project/Division/Office
4. Present Scale of pay / Basic pay (from)
5. Academic and professional qualifications
6. Date of joining NHPC.
To be Filled in by the Initiating Officer
7. Describe briefly the nature of work which the employee has been engaged on
during the period under review.

8.

Assessment of the Initiating / Reviewing officers Initiating Officer

I) Job ability
II) Work responsibility
III) Work output
IV) Quality of work

V) Inter-personal relations
Vl) Punctuality
VII) Discipline (State, if any disciplinary
action has been taken or is pending
Total
9. Dependability / Loyalty
10. Integrity ( mention if anything adverse has come to notice)
11. Mention areas where assessee can do better
12.

Specify adverse remarks, if any to be communicated to the individual

13. Assessment of the Accepting Officer

The appraisal is over-estimated/liberal /justified/strict/under estimated.
The adverse remarks recorded by Initiating Officer / Reviewing Officer should be
communicated.

INGREDIENTS OF FACTORS
i)

Job ability:
a) Does he have the required knowledge and skill?
b) Does he make an effort to improve his knowledge & skill?
c) Is he effective in applying knowledge & skills to carry out his duties?

ii) Work responsibility:

a) Is he regular and punctual and uses his time purposefully ?
b) is he disciplined? Does he follow rules of conduct and is he obedient to authority?
c) Does he co-operate with seniors and colleagues?
d) Does he take interest, work hard and carry out his duties willingly and responsibly?
iii) Work output:
a) Has he completed his work on time?
b) Has he been consistently high in his output?
iv) Quality of work:
a) Has his work been accurate and neat?

b) Has his work been thorough and systematic?

c) Has he been consistent in turning out quality work?
v) Inter-personal relations
a) Does he adjust to new or changing situation and co-operate well with colleagues
and

seniors?

b) Is he accepted and does he make due contribution as a member of the group?

c) Does he use problem solving skills to settle differences with others, consistent
with organizational objectives?
d) Does he get along well with outside people and organization?
vi) Punctuality:
a) Does he reach his office/work site in time?
b) Does he normally reach his office work site before time?
c) Does he insist on his subordinates coming in time or does he allow laxity?
d) Does he keep his appointments? Is he in time for meeting, conferences, etc.?
vii) Discipline:
a) Is he disciplined himself i.e. unquestioned compliance with authority and
obedient?
b) Has he instilled a sense of discipline in his subordinates?
c) Is he involved in any enquiry or fray?
d) Has any disciplinary action been initiated or pending against him?
viii) Dependability Loyalty:
a) Does he speak well of the organization?

b) Is he faithful to you?
c) Is he faithful to the men working under him?
e) Is he faithful to others working in the Organization?

ix) Integrity:
a) Is he exceptionally honest and above board?
b) Is he honest and dependable?
c) Is he generally honest and fair in his dealings?
d) Has he tendency to be occasionally dishonest; his behaviour harms no one but
himself?
e) Is he dishonest and a bad influence on others?

Conclusion

All the objectives planned to be achieved during this training module were successfully
achieved. It was clearly understood and penned down as to how the Human Resource
Department works. A detailed and thorough study of how Performance appraisal in
NHPC works was done.
All these helped in understanding that training not only enables employees to do their job
effectively but it also helps them throughout their career by preparing them to undertake
future responsibilities and understand the corporate world before they actually get into it.
Key lies in the fact that if a corporation has developed a set of values and principles that
view employee as an important asset then education and training remains even during
Corporate downsizing.

Bibliography

Personnel Management By C.V. Mamoria

Encyclopedia of Management By Jano Johannsen/G.Terrypage

Human Resources Management

www.nhpc.co.in

Intranet Of NHPC

Corporate website of Punj Lloyd.